P03 36C260-24-AP-5390 - 36C26025P0100 Signed.pdf

VHAPG Part 813.5 Simplified Acquisition Procedures for Certain Commercial Items Request for Sole Source Justification Template >SAT-$7.5M under FAR13.5

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Acquisition ID#: 36C260-24-AP-5390

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL ITEMS IN

ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C260-24-AP-5390 RPOW JOFOC Tracker: FY25 – NCO 20 - 208

1. Contracting Activity: Department of Veterans Affairs, Network Contracting Office 20, 1601 E.

Fourth Plain Blvd., Bldg. 17, Suite B428, Vancouver, WA 98661, in support of VISN 20, Puget Sound Health Care System (PSHCS), 1660 South Columbian Way, Seattle, WA 98108. 2237: 663-25-1-021- 0001.

2. Nature and/or Description of the Action Being Processed: This procurement is for Specialized Reference Lab Testing in accordance with FAR 13.5 Simplified Procedures for Certain Commercial Items and specifically FAR 13.501 Special Documentation Requirements, where acquisitions conducted under Simplified Acquisition Procedures are exempt from the requirements of FAR Part 6, but still require a justification using the format of FAR 6.303-2. This is a new firm-fixed-price follow-on award to contract 36C26023P0089.

This award will allow services to continue as a follow-on award to 36C26024P0089. 36C26024P0089 was awarded on 11/17/2023 as a sole source and expires 10/31/2024. VA PSHCS is proposing a three-month bridge 36C26025P0100, to include a three-month option to extend services. The long-term goal, while the bridge is in place, is to secure a base plus four year long term award for these testing services through competition.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: University of Washington Department of Laboratory Medicine (UWDLM) is the incumbent provider and performs reference lab testing including autopsies, hematology, coagulation, chemistry, immunology, microbiology, virology, molecular diagnostics, and genetics (see attached test menu). VAPSHCS does not have the capability to perform these autopsies and tests in house. These tests are unique and non-standard, and are used to diagnose illnesses, diseases, genetic predispositions, and cause of death if required.

Turnaround times (TAT) will not exceed 72 hours or 3 working days for standard tests and 12 hours for STAT or urgent testing. UWDLM provides dedicated courier services to pick up and drop off the specimens.

The proposed period of performance is a three month base from 11/01/2024 – 1/31/2025, and a three month option from 2/01/2025 to 4/30/2025. The total value of the contract is $600,517.20, with both the base and the option having a value of $300,258.60. This action is required to continue providing patient care while allowing time to properly solicit and award a new long-term contract.

4. Statutory Authority Permitting Restricted Competition:

FAR 13.5 Simplified Procedures for Certain Commercial Items. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 13.5 is 41 U.S.C. § 1901 and is implemented by FAR 13.106-1(b)(2) for restricting competition on this procurement. Competition is restricted on this procurement for the reason below:

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Acquisition ID#: 36C260-24-AP-5390

() Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

(X ) Unusual and Compelling Urgency ( ) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert

Services ( ) International Agreement ( ) Authorized or Required by Statute ( ) National Security ( ) Public Interest

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): UWDLM is the incumbent contractor and is currently the only laboratory situated to continue providing the required services on 11/01/2024. The VA Seattle Pathology and Laboratory Medicine cannot perform the specialized tests required by this contract action, which are vital and critical to providing patient care. These tests are unique and non-standard, and UWDLM is the only laboratory available to continue providing required Turnaround times (TAT) of 72 hours or 3 working days for standard tests and 12 hours for STAT or urgent testing on 11/01/2024. Furthermore, VA Physicians request a specific continuity of care for veteran patients, due to medical condition of specific patients, tracking and medication effectiveness cannot be analyzed if switched to a different laboratory. UWDLM provides dedicated courier services to pick up and drop off the specimens. These services cannot be disrupted without negatively impacting and halting patient care and UWDLM is the only laboratory capable of proving these services on 11/01/2024, the date these critical services are required.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: The long-term requirement will be solicited on SAM.gov promoting competition to the maximum extent practicable. The posting date of the solicitation is estimated to be on or around 01/01/2025.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The anticipated cost for this acquisition is fair and reasonable as UWDLM is offering the same pricing as previous contract 36C26023P0089 which was determined as fair and reasonable at time of contract award. A formal determination of fair and reasonable pricing will be included in the contract file.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons

Market Research Was Not Conducted: Market research was conducted IAW FAR 10 and VAAR 810.

For the reasons previously stated UWDLM is the only laboratory currently able to perform these essential services effective 11/01/2024. Extensive market research is being performed for the long-term competitive requirement.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: The University of

Washington School of Medicine is an Affiliate Institution of VA PSHCS in accordance with U.S.C.

8153. Many of the patient testing sent to UWDLM will be or are already being treated at the UWDLM for the disease/disorder these tests address. A large population of the VAPSHCS residents, physicians and doctors who perform research studies are from UWDLM and this creates a continuity of care as the have dual access to critical lab results and can seamlessly share information. The

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UWDLM has also developed some new and proprietary testing methods for many of these non-standard/unique lab tests.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: None.

11. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition before Making subsequent acquisitions for the supplies or services required: The long-term acquisition will be competed on SAM.gov.

12. Requirements Certification: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and 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.

David Travelstead

11/06/2024___________ Date

Administrative Specialist, Pathology and Laboratory Medicine VA Puget Sound Health Care System

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

a. Contracting Officer or Designee’s Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Jose Ronstadt Date Contracting Officer Ancillary Patient Care Branch Network Contracting Office 20

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $750K): I certify the justification meets requirements for other than full and open competition.

Jacob Jackson Date Branch Chief Ancillary Patient Care Branch Network Contracting Office 20 https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx