JOFOC - Omnicell Upgrades_6.1.2026_Copy.docx

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NOI to Sole Source to Omnicell for server upgrades
Solicitation number
NOI-OD-26-001141
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This is a Justification for Other than Full and Open Competition (JOFOC) document supporting a sole-source acquisition with Omnicell, Inc. The National Institutes of Health (NIH) Clinical Center Pharmacy Department seeks a firm-fixed-price award for software, hardware, and license upgrades to Omnicell servers, automated dispensing cabinets, and anesthesia workstations, along with a 12-month maintenance and support contract. The upgrades are required to achieve compliance with Windows 10 LTSC to enable ongoing security updates. Equipment to be procured includes 18 XTEXTEND Console AWS units, 17 EXTEND Console Half-Height MED units, 35 XTEXTEND Console Full-Height units, 5 Omnicell remote access licenses, 1 Omnicell Server, and 1 Virtual Server. The service agreement will provide full maintenance coverage including replacement parts, labor, travel expenses, telephone support, and software/hardware support according to manufacturer specifications. Award is projected for July 2026 using fiscal year 2026 Operations funds.

The justification supports sole-source competition under FAR 6.103-1 and HHSAR 306.103-1, citing that Omnicell, Inc. is the original equipment manufacturer and only authorized service provider for repairs, upgrades, and preventative maintenance on the proprietary Omnicell system. The government owns the existing equipment and requires certified technician support to maintain operational continuity. Price determination will be made using Federal Supply Schedule Pricing (FSS Contract 36F79723D0073), with certified cost or pricing data not required. The acquisition follows HHS Acquisition Regulation Class Deviation 2024-01 and requires approvals from the Division Director, NIH Head of Contracting Activity, NIH Advocate for Competition, HHS Office of General Counsel, HHS Advocate for Competition, and potentially the HHS Senior Procurement Executive if the total action value exceeds $90 million.

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Justification for Other than Full and Open Competition (JOFOC)

RFO - FAR 6.103-1

1. Acquisition Title: Software/Hardware upgrade – Omnicell, 500 Cranberry Woods Drive Cranberry Township, PA 1600665224, Ph: 650-251-6155

Division: NIH Clinical Center, Pharmacy Department

Contracting Activity: DHHS, National Institutes of Health, Clinical Center

Author: Richard DeCederfelt, Service Chief, Pharmacy Business Management

Basis for approval under RFO - FAR 6.104(c): Health and Human Services Acquisition Regulation (HHSAR) Class Deviation 2024-01

2. Nature and/or Description of the Action being Approved:

The National Institutes of Health (NIH), Clinical Center (CC) Pharmacy Department requests a firm-fixed-price award for equipment and services related to upgrading the software, license, and hardware components to the Omnicell servers, automated dispensing cabinets, and anesthesia workstations. These upgrades also include a 12-month contract for maintenance and support of the Omnicell pharmacy management system.

The Government projects award for July 2026 using fiscal year 2026 Operations funds.

3. Description of Supplies and/or Services:

Equipment and software updates are required to bring the equipment into compliance with Win10 LTSC version to allow for ongoing security updates. The service agreement shall satisfy the standards of the Original Equipment Manufacturer (Omnicell, Inc.) and include, but are not limited to, replacement parts coverage, service support, telephone support, software and hardware support, support service, full maintenance coverage by providing all replacement parts, labor, travel expenses, tools, test equipment and other incidentals necessary to maintain or restore the listed equipment to operating specifications according to the manufacturer s recommendations.

Product Description
Serial Number
Quantity
XTEXTEND CONSOLE, AWS
ANT-CNS-012
18
EXTEND CONSOLE, HALFHEIGHT
MED-CNS-501 XT
17
XTEXTEND CONSOLE, FULL HEIGHT
MED-PCB-501
35
Omnicell (OC) remote access license
Win2019
5
Omnicell (OC) Server
Win2019-21
1
Omnicell (OC) Virtual Server
Win2019
1

4. Statutory Authority Cited and Rationale:

a. RFO - FAR 6.103-1, Only one responsible source and no other supplies or services will satisfy agency requirements. Authority: 41 U.S.C. 3304(a)(1). Per RFO - HHSAR 306.103-1, for acquisitions covered by 42 U.S.C. 247d-6a(b)(2)(A), “available from only one responsible source” must be deemed to mean “available from only one responsible source or only from a limited number of responsible sources.”

This is a proprietary system, including all software and hardware. Omnicell, Inc is the Original Equipment Manufacturer and is the only known, authorized service provider for equipment and software upgrades, repair services, and preventative maintenance services on Omnicell equipment.

5. Special Considerations for Certain Contract Extensions or Bridge Contracts: N/A

6. Actions to Increase Competition:

a. A Notice Was Published:

7. Market Research:

Historical Purchases were investigated. Through trade shows, continuous learning seminars and trade journals, the CC Pharmacy Department stays abreast of the industry and is current on the availability of Pharmacy Medication Management Systems.

The Omnicell Automated Dispensing Cabinets and Pharmacy Medication Management System are government owned property and require service and maintenance by authorized, certified technicians to support continuity of operations for the Clinical Center, Pharmacy Department.

9. Additional Information or Other Facts: N/A

10. Technical or Requirements Program Management 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.

Richard DeCederfelt Service Chief, Pharmacy Business Management

Signature & Date:

11. Fair and Reasonable Price Determination: As the contracting officer, I hereby determine that the anticipated price to the Government for this contract action will be fair and reasonable.

Select the applicable squares to mark the techniques used:

This determination will be made using the following: ☐ cost analysis ☐ price analysis ☐ cost realism ☒ market pricing ☐ historical pricing ☐ other: Describe the methodology or combination of methodologies that will be used. See RFO - FAR subpart 15.2 for proposal analysis guidance.

As a part of this basis, certified cost, or pricing data (see RFO - FAR 15.403)— ☐ will be required. ☒ will not be required and the following FAR part 15 exception applies:

☐ Prices that will be agreed upon are based on adequate price competition.

☐ Prices that will be agreed upon are based on prices set by law or regulation.

☒ A commercial item is being acquired.

☐ A waiver has been granted by the HCA in accordance with RFO - FAR 15.403-2(c)(4).

☐ The contract action is a modification to a contract or subcontract for commercial item(s).

☐ The estimated cost of the contract action is less than the threshold for certified cost or pricing data.

The price is determined to be fair and reasonable based on Federal Supply Schedule Pricing 36F79723D0073

12. Contracting Officer (CO) Certification and Determination: I hereby certify that this justification is accurate and complete to the best of my knowledge and belief. And, based upon the foregoing, I also determine that using a sole-source contract is in the best interest of (insert Division). [Always required; CO approval authority is limited to $900 thousand.]

Typed Name

Contracting Officer
Signature & Date:

(The following Reviews and Approvals will ordinarily be provided on a separate page at the end of the justification to allow for minor, administrative changes to be made during the review process; delete any individual reviews/approvals not applicable.)

ELEVATED REVIEWS & APPROVALS

13. Insert Division Division Director: I reviewed this justification find that it adequately supports other than full and open competition.

Typed Name

Title
Signature & Date:

14. NIH Head of the Contracting Activity (HCA) Review and Approval: I reviewed this justification and find that it adequately supports other than full and open competition. [Division HCA approval authority is limited to $90 million.]

Typed Name

Head of the Contracting Activity
Signature & Date:

15. NIH Advocate for Competition (AfC) Review and Approval: I reviewed this justification find that it adequately supports other than full and open competition. [Division AfC approval authority is limited to $20 million.]

Typed Name

Title
Signature & Date:

16. HHS Office of General Counsel Review and Concurrence: I reviewed this justification and concur that it adequately supports other than full and open competition. [Mandatory when SPE approval is required, unless otherwise waived in writing by the SPE.]

Typed Name

Title
Signature & Date:

17. HHS Advocate for Competition (AfC) Review and Concurrence: I reviewed this justification and concur that it adequately supports other than full and open competition. [Mandatory when SPE approval is required.]

Typed Name

HHS Advocate for Competition
Signature & Date:

FINAL APPROVAL

18. HHS Senior Procurement Executive: Based on the foregoing, I hereby approve this justification for other than full and open competition pursuant to the authority of 41 U.S.C. 3304(a)(1) and in accordance with RFO - FAR 6.103. [Required if the total action value, including all options and FAR 52.217-8 value, exceeds $90 million.]

Typed Name

HHS Senior Procurement Executive
Signature & Date:

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