P03 687-24-3-196-0013 Philips imaging Sole Source.pdf

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SOLE SOURCE JUSTIFICATION FOR AWARD 36C26024P1094 Federal contract opportunity
Solicitation number
36C26024P1094
Issued by
Department of Veterans Affairs Veterans Health Administration Veterans Integrated Service Network 20

About this file

This document is a Sole Source Justification under Simplified Procedures for Certain Commercial Items in accordance with FAR 13.5. It describes a new requirement for PHILIPS NORTH AMERICA LLC to deinstall, relocate, reinstall, and recalibrate/recertify PHILIPS radiological imaging systems at the JMW campus' building 86. The total estimated cost is $388,950 with a period of performance through June 30, 2025. The Contracting Officer determined that PHILIPS NORTH AMERICA LLC is the sole source provider for these services, as they hold exclusive rights over the products and no other vendors were identified as capable of fulfilling the requirement. Market research was conducted through a Sources Sought notice on SAM.gov, but no responsive vendors were found. This justification enables a sole-source award to PHILIPS NORTH AMERICA LLC under the FAR 13.5 simplified procedures for certain commercial items.

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VHAPG Part 813.5 Simplified Acquisition Procedures for Certain Commercial Items Attachment 1: Request for Sole Source Justification Template >SAT-$7.5M under FAR13.5

Effective Date: 02/01/2022 Page 1 of 3

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-2988

1. Contracting Activity:

Department of Veterans Affairs, Network Contracting Office 20, located at 1601 E. Fourth Plain Blvd, Bldg. 17 Suite B428, Vancouver, WA 98661, in support of VISN 20 PVA Jonathan M. Wainwright Memorial VAMC at 77 Wainwright Dr, Walla Walla, WA 99362. This is a Justification for Sole Source Other Than Full and Open Competition. Funding for this procurement action is provided through Purchase Request 687-24-3-196-0013.

2. Nature and/or Description of the Action Being Processed:

This is a new requirement for PHILIPS NORTH AMERICA LLC to deinstall, relocate, reinstall, and recalibrate/recertify PHILIPS radiological imaging systems to their permanent location at the JMW campus’ building 86.

3. Description of Supplies/Services Required to Meet the Agency’s Needs:

Deinstallation, relocation, reinstallation, and calibration of Philips Proxi-Diagnost Radiographic/Fluoroscopic Imaging System

$114,050.00 DOA To 06/30/2025

Deinstallation, relocation, reinstallation, and calibration of Philips DigitalDiagnost (Chest) Radiographic Imaging System

$99,100.00 DOA To 06/30/2025

Deinstallation, relocation, reinstallation, and calibration of Philips Computed Tomography Imaging System

$76,700.00 DOA To 06/30/2025

Deinstallation, relocation, reinstallation, and calibration of Philips DigitalDiagnost (Full) Radiographic Imaging System

$99,100.00 DOA To 06/30/2025

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:

Effective Date: 02/01/2022 Page 2 of 3

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

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

PHILIPS NORTH AMERICA LLC has sole rights over their the radiological imaging systems and services with no authorized distributors. Letters of perpetuity/Sole Source from PHILIPS NORTH AMERICA LLC declaring they are the sole manufacturer and service provider of their products has been placed in the eCMS Briefcase as P02.

6. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable:

In accordance with FAR 6.303-2(b)(7), the Contracting Officer (CO) has determined that the anticipated cost to the Government for this sole-source contract with PHILIPS NORTH AMERICA LLC will be fair and reasonable. This determination is based on the following factors:

• Market Research: A thorough market research effort has been conducted, including the issuance of an Open Market Sources Sought notice on SAM.gov. This Sources Sought was open for a period of 7 days, from 07-15-2024 to 07-22-2024. No vendors responded to the Sources Sought notice.

• Exclusive Rights: PHILIPS NORTH AMERICA LLC holds exclusive rights over their products and services, with no authorized distributors or other businesses capable of providing the required services as outlined in the Statement of Work (SOW).

• Sole-Source Basis: Due to the lack of identified and capable SD/VOSBs, the acquisition plan for this requirement will be a sole-source open market contract in accordance with FAR 13.302-1.

PHILIPS NORTH AMERICA LLC, as the Original Equipment Manufacturer (OEM), is the only vendor capable of fulfilling the requirement.

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

Market Research Was Not Conducted:

Based on the market research conducted, it was found that there are no verified and capable SD/VOSBs identified that are capable of performing the requirement. A Open Market Sources Sought was issued to SAM.gov. It was open from 07-15-2024 to 07-22-2024. No vendors responded to the posted Sources Sought. No businesses were found capable of providing the items for this requirement. PHILIPS NORTH AMERICA LLC has sole rights over their products and services with no authorized distributors. They are the only authorized vendor capable of providing the required services listed in the SOW. Therefore, the acquisition plan for this requirement will be a sole-source open market contract IAW FAR 13.302-1. This requirement will be awarded on a sole-source basis to the OEM. A FAR 13 Sole Source Justification will be approved and uploaded to the ECMS briefcase.

This market research information is not more than 12 months old.

8. Any Other Facts Supporting the Use of Other than Full and Open Competition:

A Open Market Sources Sought was issued to SAM.gov. It was open from 07-15-2024 to 07-22-2024.

No vendors responded to the posted Sources Sought. No businesses were found capable of providing the items for this requirement.

Effective Date: 02/01/2022 Page 3 of 3

9. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

PHILIPS NORTH AMERICA LLC PWFVQLA9SX78 LB

10. 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: N/A

11. 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.

Charles Hartwick Date Contracting Officer

JOFOC Tracking Number FY24 - NCO 20 - 2075

Krystal Weeks Date Branch Chief https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx

2024-08-06T07:17:05-0700
CHARLES HARTWICK
2024-08-07T08:33:56-0700
KRYSTAL WEEKS

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