JA Sole Source Pyxis May 2025 Redacted.pdf

CUI//SP-SSEL

Control Number: 25-MRCO-WEST-164

Justification Review Document For Sole Source - FAR Part 13.501*

(*Format follows FAR 6.303-2, but modified to reflect FAR subpart 13.5 procedures)

Program/Equipment: This is for the non-personal maintenance services for the Government-owned Pyxis Automated Medication Distribution System at Irwin Army Community Hospital (IACH), Fort Riley, Kansas 66442-4030.

Authority: 41 United States Code 1901 as implemented in Federal Acquisition Regulation § 13.501(a)(1)(ii), sole source (including brand name) under the authority of the simplified procedures for certain commercial items.

Amount: The total value for this award is 67,260$.00 for the base and the total with all options will be $289,212.00. Should the potential six-month extension be exercised under FAR § 52.217-8, the total contract amount would be $327,996.00. The contract will include FAR § 52.217-8 and 52.217-9.

Prepared by:

Typed Name: Clarence C. Cude, Jr. Phone: 254-553-8440 Title: Contract Specialist Date: 6 May 2025 E-mail: clarence.c.cude.civ@health.mil

Contracting Officer:

Typed Name: Joshua P. Barbero Phone: 254-553-3909 Date Reviewed: 6 May 2025 E-Mail: joshua.p.barbero.civ@health.mil

Technical Representative:

Typed Name: Michelle C. Trussell Phone: 785-240-7314 Title: Supply Technician Date Reviewed: 6 May 2025

Requirements Representative:

Typed Name: Lisa R. Hamm Phone: 785-239-7113 Title: Contract Manager Date Reviewed: 6 May 2025

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(Source Selection information - See FAR § 2.101 and 3.104-4)

1 JUN 2023

Controlled by: Army Controlled By: ODASA(P) CUI Category(ies): General Procurement and Acquisition Distribution/Dissemination Control: FED ONLY POC: Clarence C Cude, Jr., 254-553-8440 mailto:clarence.c.cude.civ@health.mil mailto:joshua.p.barbero.civ@health.mil

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2 JUN 2023

Sole Source Justification and Approval Under FAR § 13.501

1. Contracting Activity: Medical Readiness Contracting Office - West (MRCO-W), Fort Cavazos Health Contracting Branch (CavHCB), Fort Cavazos, Texas, 76544-4752.

2. Description of Action: The requested action is for Irwin Army Community Hospital (IACH), Fort Riley, Kansas, 66442-4030 for the non-personal maintenance services for the Government-owned Pyxis Automated Medication Distribution System. The proposed award is firm fixed price, Defense Health Program (DHP) Operation and Maintenance (O&M) funds will be used for this requirement.

3. Description of Supplies/Services: IACH requires non-personal maintenance services for the Government-owned Pyxis Automated Medication Distribution System. Pyxis is a brand of automated medication dispensing systems used in hospitals and other healthcare settings. These systems help with medication management, inventory control, and ensuring safe medication administration. This request is for commercial items and FY25 funds are available. The request is a base Period of Performance of 01 June 2025 to 31 May 2026 and three (3) twelve (12) month option periods, 1 June 2026 to 31 May 2029. This is a new request and there will continue to be a future need for these services. The approximate total value for this award is $67,260.00 for the base and the total with all options will be $289,212.00. Should the potential six-month extension be exercised under FAR § 52.217-8, the total contract amount would be $327,996.00. The contract will include FAR § 52.217-8 and 52.217-9. The period of performance is:

Base Period: 1 June 2025 – 31 May 2026 $67,260.00 Option Period 1: 1 June 2026 – 31 May 2027 $70,536.00 Option Period 2: 1 June 2027 – 31 May 2028 $73,848.00 Option Period 3: 1 June 2028 – 31 May 2029 $77,568.00 Possible six-month extension: 1 June 2029 – 30 November 2029 $38,784.00 Total: $327,996.00

4. Authority Cited: The statutory authority permitting other than full and open competition 41 United States Code 1901 as implemented in Federal Acquisition Regulation 13.501(a)(1)(ii), sole source (including brand name) under the authority of the simplified procedures for certain commercial items.

5. Reason for Authority Cited: This requirement is for the non-personal maintenance services for the Government-owned Pyxis Automated Medication Distribution System at IACH, Fort Riley, Kansas, 66442-4030. The Government-owned equipment came out of warranty. The contractor is Carefusion Solutions, LLC at 3750 Torrey View Ct, San Diego, California 92130. CareFusion Solutions, LLC, is a wholly owned subsidiary of Becton Dickinson and Company (BD) and per their sole source/ Original Equipment Manufacturer (OEM) letter, CareFusion is the exclusive manufacturer and provider of

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3 JUN 2023

Pyxis products and services as the sole company capable of performing installation and maintenance. They have the certified engineers authorized to perform the required maintenance. Carefusion Solutions is the only source authorized to service the Government-owned Pyxis Automated Medication Distribution System. The title page of the quote from BD indicates, “CareFusion Solutions, LLC is the exclusive manufacturer of Pyxis products. Only CareFusion and our Field Service Technician Affiliates have the capabilities and authorization necessary to perform installation and maintenance services for Pyxis products. Performance of those services by any other party voids our warranty for the serviced products.” Only persons who have been trained and certified by Carefusion Solutions are authorized to service the equipment. Carefusion Solutions has verified they do not have third part vendors authorized to service this equipment.

Service attempted or performed by unauthorized person will void Carefusion warranties and/or service agreements in accordance with the provisions of Carefusion’s product warranty policy and service agreements.

In addition, approved and propriety parts are necessary to service the Government-owned Pyxis Automated Medication Distribution System. These parts are only available through Carefusion authorized personnel. IACH does not have the organic capability to perform the maintenance required on the Government owned equipment. Carefusion would offer the best value to the Government in providing the maintenance services required.

6. Efforts to Obtain Competition: A notice to award sole source will be posted after approval of the Small Business Coordination Record, DD 2579.

a. Effective competition. Research was conducted by searching the Dynamic Small

Business Search at http://dsbs.sba.gov/dsbs/search/dsp_dsbs under NAICS Code 811210 and keyword “pyxis”, which did not identify any small businesses (SB).

Additionally, a SBA QMS was conducted using the NAICS “811210” and the key word “pyxis”. The results also showed no small businesses in any category. The market research results reveal there is not two or more small businesses that can fill this requirement.

b. A sources sought was not posted as there are no third-party providers available.

c. Subcontracting competition. In accordance with FAR § 19.705.2, the Contracting Officer has taken actions to determine whether a proposed contractual action requires a subcontracting plan. According to the System for Award Management (SAM) Carefusion Solutions, Inc. is a large business, and a subcontracting plan does apply.

7. Actions to Increase Competition: There is no previous contract for maintenance for the Government-owned Pyxis Automated Medication Distribution System. The Government will continue to seek new resources that will satisfy these requirements through continued market research, request for Statements of Capability, and telephonic inquiries and continue to evaluate the capabilities of other vendor’s products http://dsbs.sba.gov/dsbs/search/dsp_dsbs

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4 JUN 2023

and re-procure the system equipment maintenance that provides the best value to the Government.

8. Market Research: Market research was performed on 6 May 2025. As indicated in paragraph 6, a and b above, the contract specialist conducted a dynamic small business search (DSBS) at http://dsbs.sba.gov/dsbs/search/dsp_dsbs with the NAICS code 811210 and keyword “pyxis”, which did not identify any small businesses (SB).

Additionally, a SBA QMS was conducted using the NAICS “811210” and the key word “pyxis”. The results also showed no small businesses in any category. The market research results reveal there is not two or more small businesses that can fill this requirement. A sources sought was not posted as there are no third-party providers available.

9. Interested Sources:

None

10. Other Facts:

a. Procurement history:

No previous maintenance contracts for the Pyxis Automated Medication Distribution System. This system was acquired by the Defense Health Agency for the Military Treatment Facilities. This is a new system coming out of warranty.

11. Technical Certification:

I certify that the supporting data under my cognizance, which are included in the justification are accurate and complete to the best of my knowledge and belief.

Signature: XXXXXXXXXXXXXXXXXXXXXXX Date: 5/7/2025

Typed Name: Michelle C. Trussell Title: Supply Technician

12. Requirements Certification:

I certify that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

Signature: XXXXXXXXXXXXXXXXXXXXXXXXXX Date: ______5/7/2025______

Typed Name: Lisa R. Hamm Title: Contract Manager

13. Fair and Reasonable Cost Determination:

http://dsbs.sba.gov/dsbs/search/dsp_dsbs

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5 JUN 2023

I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable.

Signature: : XXXXXXXXXXXXXXXXXXXXXXX Date:

Typed Name: Joshua P. Barbero Title: Contracting Officer

14. Contracting Officer Certification:

I certify that this justification is accurate and complete to the best of my knowledge and belief.

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6 JUN 2023

Approval

Based on the foregoing justification, I hereby approve the procurement of non-personal maintenance services for the Government-owned Pyxis Automated Medication Distribution System at Irwin Army Community Hospital (IACH), Fort Riley, Kansas 66442-4030, to Carefusion Solutions, LLC, on an other than full and open competition basis pursuant to the authority of 41 U.S.C. 1901 as implemented by FAR §13.501, provided that the services and property herein described have otherwise been authorized for acquisition.

Sole Source Justification and Approval Under FAR § 13.501