P03 - FAR13.5_JA_OVER_SAT Final.pdf

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

PM Part 813.5 SAP for Certain Commercial Items Page 1 of 4 Original Date: 08/30/17 Revision 03 Date: 02/11/2021

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C252-21-AP-2231 / 607-21-3-969-0158

1. Contracting Activity:

Department of Veterans Affairs, VISN 12, William S. Middleton Memorial Veterans Hospital has submitted a requirement under 2237 number 607-21-3-969-0158 for a Leica Surgical Microscope package to the Great Lakes Acquisition Center (NCO12). Julia Vazquez from the Logistics will be the Madison contact point & Matthew Hohl from NCO12 will be responsible for the Contracting Action.

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

This justification and Approval is for the Leica Surgical Microscope which will be sole sourced to a Service‐Disabled, Veteran-Owned Small Business and awarded as a firm‐fixed‐priced purchase order.

This surgical microscope is to be used for ENT and Neurological Surgeries at the William S.

Middleton Memorial Veterans Hospital. The surgical microscope will continue to give the neurosurgeons the ability to continue complex and delicate surgeries.

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

This is a brand name only purchase of the Leica Surgical microscope, to include necessary accessories, to be provided by Melling Medical (Duns 078774013). This brand is currently in use within the Madison VA ENT & Neurology Departments and the current Leica microscope is having balancing and optic issues due to end of life which can severely affect the outcome of the surgery.

This estimated value of the procurement is $267,499.74 and the period of performance is a one-time delivery no later than 60 days ARO.

The following items represent the required equipment to be delivered:

• M530 Optics Carrier for ULT 530

• Dust Cover

• OHX Stand for M530

• Power cable, 5m, North America

• ULT530

• Binocular tube var. 30-150°T,Typ II L

• Eyepiece f. spect. w´s 10x/21B, type II

• Certificate of installation

• Stereo attachment for second observer

• Binocular tube var. 30-150°T,Typ II L

• Eyepiece f. spect. w´s 10x/21B, type II

• Binoc.tube var.0-180°t,type II

• Eyepiece f. spect. w´s 10x/21B, type II

• HD C100 for ULT530

• Documentation System Evo4K

• Docu Set EVO-4K with HDC100 plate

• 27" Medical HD Touch Monitor

• Autofocus Set for OHX

• Installation

• Training

4. Statutory Authority Permitting Restricted Competition:

PM Part 813.5 SAP for Certain Commercial Items Page 2 of 4

Revision 03 Date: 02/11/2021

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:

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

( ) 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):

This system needs to match the other Surgical microscopes within the ENT/Neurology Surgical Departments as continuity of care is critical. Per the Original Equipment Manufacturer (OEM) the only Authorized Distributor for the Leica brand is Melling Medical (078774013), which is a Service- Disabled, Veteran-Owned Small Business.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable:

The Leica Surgical Microscope is currrently being utilized within the Madison VAMC for surgical procedures. Continuity is critical to maintain the level of care for the Veteran population. The OEM identified their only distribution point for the VA is Melling Medical. No other Sources have been identified. An intent to sole source was posted (36C25221Q0756) which resulted in no responses.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and

Reasonable:

Historical Pricing was reviewed for “surgical microscope” at FPDS.gov. Within the last 2 years the VA has purchased 6 similar surgical microscopes with a median price of $300,863.93. Therefore, the price offered by Melling Medical is below the median price & lower than the OEM price.

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

Market Research Was Not Conducted:

The CS conducted a Search on VIP for “Leica” and one vendor was identified “Bitterroot Services & technology LLC.” The CS contacted the OEM to identify additional authorized distributors and it was identified that Melling Medical is the Exclusive Authorized Distributor and Bitterroot Services is NOT an authorized dealer. A search was done of the GSA advantage Website, NAC (FSS) website, National Contract Website [National Strategic Source Listing - National Contracts, BPAs, and BOAs (va.gov)], https://vaww.pclo.infoshare.va.gov/PCLO/MMStrategicPlan/PEO/Lists/National%20ContractBPABOA/AllItems.aspx

PM Part 813.5 SAP for Certain Commercial Items Page 3 of 4

Revision 03 Date: 02/11/2021 and other government contracts website [www.contractdirectory.gov] was completed. This resulted in identifying FSS Contract V797P-2082D which Leica Microsystems holds. The majority [57%] of items were found on this contract. An inquiry was sent to the FSS Contract holder to identify if the remaining items were on contract/off contract and associated prices. OEM Vendor stated they have made the decision to distribute exclusively through the SDVOSB authorized dealer for all open market items. The VA cannot split the order as we wouldn’t have a complete Microscope. The only source for this requirement is Melling Medical.

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

None

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

Melling Medical

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 Government will continue to conduct market research to ascertain if there are changes in the marketplace that would enable future actions to be competed.

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.

Julia Vazquez Date Inventory Management Specialists Madison VAMC

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.

Matthew Hohl Date Contract Specialist https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx

PM Part 813.5 SAP for Certain Commercial Items Page 4 of 4

Revision 03 Date: 02/11/2021

NCO12 Equipment Great Lakes Acquisition Center (GLAC)

b. Contracting Officer:

I certify the justification meets requirements for other than full and open competition.

Jim Hedman Date Contracting Officer NCO12 Equipment

c. 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.

Parris S. Weidenbach Date NCO12 Branch Chief (Equipment)