P03 FAR 12 Restricting Competition.pdf

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J065--Swisslog Legacy Pneumatic Tube System Hardware and Software Upgrade
Solicitation number
36C26226Q1351
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This is a Single Source Justification document for a federal procurement action by the Department of Veterans Affairs. The contracting activity is VISN 22, Network Contracting Office 22 (NCO 22) in Long Beach, California, justifying a single-source award to Translogic Corp. for a pneumatic tube system upgrade at the Southern Arizona VA Healthcare System in Tucson, Arizona. The acquisition falls over the micro-purchase threshold but does not exceed the simplified acquisition threshold under FAR 12.102.

The procurement requires a hardware and software upgrade to an existing pneumatic tube system, including replacement of specific part numbers (86512201 PCB ASSY, TU/BLWR, ITS and 90311205 Programmed Flash Memory, V7.4, HMI 3 PCB), a software upgrade to a HITRUST-certified version approved by the VA Technical Reference Manual, and annual software licenses for the base year plus three option years. The justification for single-source procurement centers on the fact that only Translogic Corp., as the original equipment manufacturer, can perform the upgrade while ensuring full compatibility and functionality. The document notes that alternative solutions were evaluated, including a full system replacement estimated between an unspecified range (redacted) million dollars, which was determined to be more expensive and unnecessary. Market research confirmed that while third-party integrators such as Aerocom Systems and Pevco exist in the marketplace, only the OEM can guarantee warranty maintenance and system integrity. Any work performed by non-authorized agents could void existing warranties and service agreements. Contracting Officer Edgar Alvizar certified the justification as accurate and complete on August 13, 2026.

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Single Source Justification for MPT up to SAT

Revision: 02 Effective Date: 12/30/2025 Page 1 of 2 Acquisition ID# 36C262-26-AP-7178

DEPARTMENT OF VETERANS AFFAIRS

Justification for Single Source Awards IAW RFO FAR 12.102 For

Over Micro-Purchase Threshold but Not Exceeding the Simplified Acquisition Threshold

Acquisition Plan Action ID: 36C262-26-AP-7178

1. Contracting Activity: Department of Veterans Affairs, VISN 22, Network

Contracting Office 22 (NCO 22) in Long Beach, CA, is documenting Justification to restrict competition and procure Pneumatic Tube System upgrade service for the Southern Arizona VA Healthcare System (SAVAHCS), located at 3601 South 6th Ave, Tucson, AZ 85723.

2. Brief Description of Supplies/ Services required and the intended use/Estimated Amount: A pneumatic tube system (PTS) is a network of interconnected tubes that transport cylindrical carriers between different locations using compressed air or a vacuum. Objects placed inside sealed carriers (prescription medicine) are propelled through the pipes at high speeds, providing an automated, secure, and rapid way to move small goods across the medical center.

The requested upgrade will include replacing part numbers: 86512201 PCB ASSY, TU/BLWR, ITS and 90311205 Programmed Flash Memory,V7.4, HMI 3 PCB to include software upgrade to HITRUST certified version, currently approved by the VA Technical Reference Manual (TRM). Annual Software license for base and three

(3) option years is also included in this request. The proposed dollar value is $ .00

3. Unique characteristics that limit availability to only one source, with the reason no other supplies or services can be used: This is a request to upgrade an existing pneumatic tube system, only Translogic Corp. (OEM) can perform the upgrade to ensure compatibility and full functionality. Other alternatives were searched and none was found. Other sources with equal systems cannot guarantee full compatibility. A full replacement as an alternative was sought and it was determined that a full replacement would be more expensive (approximately from $ million to $ million) and unnecessary at this time. Upgrading this legacy system is cost-effective because replacing a new system involves a shift toward automated dispatching, closed-loop tracking, and integration with Autonomous Mobile Robots (AMRs) to bridge gaps in transport networks. Translogic is the sole source provider of Translogic Pneumatic Tube Systems. Only Sales

Single Source Justification for MPT up to SAT

Revision: 02 Effective Date: 12/30/2025 Page 2 of 2 Acquisition ID# 36C262-26-AP-7178

Representatives, Field Service Engineers, or designated employees of Translogic are authorized to service, sell, install, or upgrade Translogic tube systems or any individual component, which includes adding third-party hardware to their system control center (SCC) or any other system component. At the discretion of Translogic, any work performed on a Translogic tube system or individual piece of equipment could void any existing Translogic Corporation or Swisslog Healthcare warranty or service agreement currently in place if conducted by a non-authorized agent. For this reason, Translogic Corp. is the only source available that can meet this requirement and no other source can.

4. Description of market research conducted and results or statement why it was not conducted: Market research was conducted to evaluate the capabilities of the commercial marketplace to provide hardware and software upgrade for an existing Swisslog (Translogic) pneumatic tube system. It has been drafted in accordance with FAR Part 10 to determine if commercial products, commercial services, or non-developmental items are available to satisfy the agency’s needs. It was determined that Hardware/software upgrades for the Translogic system are highly commercialized and available in the marketplace. Primary Original Equipment Manufacturer (OEM) is Swisslog Healthcare. Additionally, qualified third-party commercial integrators, such as Aerocom Systems and Pevco, offer retrofit/upgrade solutions for hospital and institutional pneumatic tube networks. However, because this a request to upgrade an existing pneumatic system, only the OEM can perform the upgrade to ensure compatibility and full functionality and no other source can.

5. Contracting Officer's Certification: Purchase is approved in accordance with FAR

12. I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

EDGAR ALVIZAR Date Contracting Officer

EDGAR

ALVIZAR

Digitally signed by EDGAR

ALVIZAR

Date: 2026.08.13 10:15:36 -07'00'

File details come from the government source that posted it. Updated .