Justification FAR Part 13 XPERT Service Agreement 1_Redacted.pdf
PDF 732 KB Posted
- Solicitation number
- 0012295054
- Issued by
-
Department of the Army Medical Command
About this file
This is a Justification Review Document for a sole source FAR Part 13 procurement for a full-service maintenance agreement for five Government-owned GeneXpert Systems located at Carl R. Darnall Army Medical Center (CRDAMC) in Fort Hood, Texas. The contract is a Fiscal Year (FY) 26 Base with three one-year options, spanning from October 2025 to September 2029, with Cepheid as the sole source provider. Market research conducted between June 5-13, 2025, confirmed that Cepheid is the only vendor capable of providing maintenance services for these specialized molecular analyzer systems, as they exclusively own the proprietary firmware necessary to operate the equipment.
The total estimated contract value was redacted, but the procurement is funded through Fiscal Year (FY) Defense Health Program funds, subject to fund availability. Cepheid does not authorize maintenance or software support to third-party vendors and is the sole manufacturer of the GeneXpert systems. Previous contracts with Cepheid for similar requirements include contract numbers W81K022P0147 and W81K022P0100, both awarded as sole source procurements. The government emphasizes that patient care and treatment will be significantly impacted without maintaining the uptime functionality of these critical medical equipment systems, and they will continue to conduct market research to explore potential alternative sources in the future.
View the file
On GovTribe
Work with this file
- Download the original file
- Contacts named in this file
- Similar government files
- Ask GovTribe AI about this file
Text version
Control Number: 25-MRCO-WEST-216
JUNE 2025
8. Actions to Increase Competition: Market Research that was conducted revealed that there is currently one business concern that will be able to provide these services.
Based on market research and acquisition history, competition is not anticipated for this requirement. The Government will continue to assess the market for new entrants. Due to the specific needs for the supplies for the health and welfare of the patients this action was not solicited. 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. When the current product becomes obsolete, or when equivalent products that meets the requested Government specifications becomes available, every effort shall be made to utilize the equivalent product. The Government will continue to evaluate the capabilities of other vendor’s products and re-procure the products that provides the best value to the Government. Carl R. Darnall Army Medical Center (CRDAMC) in conjunction with the Medical Command (MEDCOM) will continue to evaluate the capabilities of other vendor's products and re-procure the system maintenance services that provides the best value to the Government. The Government will continue to seek new resources that will satisfy these requirements through continued market research, requests for Statements of Capability, and telephonic inquiries.
9. Market Research: Market Research was conducted in accordance with Federal Acquisition Regulation (FAR) Part 10 to identify all qualified sources. Market research was conducted on the General Services Administration (GSA) eLibrary, Electronic Catalogue ECAT, Google, Spend Under Management and FPDS.gov. Market research was conducted by contracting on 05 - 13 June 2025 and found that the OEM Cepheid is the only source that has the capabilities to provide these services. Cepheid does not authorize the maintenance of equipment or software, provide training, nor sell parts to third party vendors. A search was done on GSA and found that Cepheid does not have a GSA contract. The services requested for software support, license, repairs, and upgrades can only be found on the open market and can only be provided by Cepheid.
Currently only one source is capable of providing the specialized equipment maintenance required at the level of quality required because the equipment is unique and highly specialized. Cepheid has provided a sole source letter stating that they are the sole manufacturer of the GeneXpert systems and the maintenance services to be provided on this analyzer. Based on this information, the Contracting Officer has determined this is a sole source requirement.
10. Interested Sources: Cepheid is currently the only authorized provider of service for GeneXpert systems to customers within the United States, excluding territories.
11. Other Facts: Currently Cepheid has the proprietary rights of the firmware that is necessary to run the GeneXpert system molecular analyzer and is unique to Cepheid.
a. Procurement history. The table below are contracts that were previous awarded from MRCO-West to Cepheid. The historical procurements of this requirement are in the Paperless Contacting File (PCF) system. The Small Business Coordination Record, Control Number: 25-MRCO-WEST-216
CUI//SP-PROCURE//FEDCON
JUNE 2025
15.Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.
File details come from the government source that posted it. Updated .