McKesson_CPACS_JEFO_REV2.15.18_(003)_Redacted.pdf

JUSTIFICATION FOR EXCEPTION TO FAIR OPPORTUNITY (JEFO)

1. Defense Logistics Agency (DLA) Troop Support, Medical Supply Chain, Capital Equipment Division, is the contracting activity.

2. This justification is for the purchase of McKesson Cardiology Picture Archive and Communication Systems (CPACS), which includes a fully integrated Cardiovascular Information System (CVIS), on a sole source basis.

3. This is a new requirement for two CPACS and associated hardware and software (one for Madigan Army Medical Center (MAMC) and one for Tripler Army Medical Center (TAMC)) available on McKesson’s Digital Imaging Network-Picture Archive and Communication System (DIN-PACS) contract SPE2D1- 15-R-0004, which expires March 31, 2023. The total estimated dollar value is $2.3M.

4. The authority under the Multiple-Award Schedule Program waiving the competition requirements is FAR 16.505(b)(2)(i)(b), only one source is capable of providing the supplies required at the level of quality required because the supplies are unique or highly specialized. The use of this authority is necessary in order to meet the needs of the medical treatment facilities at MAMC and TAMC for a CPACS that is capable of integrating various cardiac diagnostic labs, including cardiac catheterization, echocardiography, electrophysiology, stress lab, hemodynamic monitoring and Holter studies in real-time.

Currently, each of the cardiac diagnostic labs are stand-alone units with different databases that operate independently and do not fully-support workload and information sharing capabilities, because they cannot connect to the network to provide a fully-integrated CVIS. This is a costly and time-consuming situation that requires manual intervention to support the complex cardiology clinical services and create meaningful cardiology reports. A fully integrated CPACS is essential to effectively manage cardiology workflow. McKesson is the only DIN-PACS vendor that currently meets the customer’s needs since no other DIN-PACS vendor offers hemodynamic monitoring as part of their fully integrated CPACS with a single database which allows multiple people to chart data on the same patient at the same time further allowing the hemodynamic data to be immediately available in the CVIS physician report, instead of requiring a case to be closed so data can be transferred after a procedure. Data also auto-populates and completes sections of the cardiac catheterization report as the procedure is in progress thus improving workflow and efficiency.

5. DLA Troop Support has already determined the price of the individual components that comprise McKesson’s CPACS and CVIS to be fair and reasonable based upon the pricing evaluated at the time of award of McKesson’s current DIN-PACS contract and subsequent modifications.

6. Market research is an ongoing process for the DIN-PACS program. The Navy Picture Archive and Communication System (PACS) office and DLA Troop Support regularly query DIN-PACS vendors about the hardware and software on the systems available. In July 14, 2015, the Navy PACS office and DLA Troop Support performed market research to ascertain which DIN-PACS vendors had a CPACS and whether the system had an ATO on a DoD network. This market research included examining PACS vendor product brochures and technical information via vendor websites. At that time, only five of the ten DIN-PACS contract holders had ATOs and they were invited to perform product demonstrations and provide literature and specifications on their systems.

This market research concluded that McKesson is the only DIN-PACS vendor that offers hemodynamic monitoring as part of their fully integrated CPACS. Recent market research has verified that this finding is still accurate.

7. There are no additional facts supporting this justification

8. DIN-PACS vendors have the opportunity to add products that fall within the scope of their DIN-PACS contract at any time; however, currently there are no other known DIN-PACS vendors that offer hemodynamic monitoring as part of their CPACS/CVIS and is authorized to operate on the DoD network.

9. I hereby certify that the information contained in this Justification is accurate and complete to the best of my knowledge and belief.

Date KATIE HUGHES Contracting Officer Capital Equipment

I hereby certify that the requirements which form the basis of this justification, are accurate, that these supplies meet the Government’s needs in accordance with applicable specification and that this justification is accurate and complete to the best of my knowledge and belief.

Date

Bio-Medical Engineer

I have reviewed this justification and recommend approval.

Date

IST Chief- FSDB

I have reviewed this justification for legal sufficiency.

Date DLA Counsel – Troop Support

I have reviewed and hereby approve this justification.

Date

DLA Troop Support Competition Advocate

HUGHES.KATIE.12

84072096

Digitally signed by

HUGHES.KATIE.1284072096

Date: 2018.02.15 13:48:04 -05'00'