P03 JA 36C260-21-AP-1599.docx

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

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C260-21-AP-1599

1. Contracting Activity: Department of Veterans Affairs, Veterans Healthcare Administration, Regional Procurement Office West, Network Contracting Office 20 on behalf of, Portland VA Medical Center, Office of the Network Director (OND), 2237 648-21-2-9964-0056.

2. Nature and/or Description of the Action Being Processed: The VISN 20 OND, has a new firm fixed price purchase order requirement for software maintenance service and remote technical support for CareFusion Alaris Infusion Pump at the following sites in VISN 20: VA Anchorage Health Care System, VA Boise Medical Center, VA Portland Health Care System, VA Roseburg Health Care System, VA Puget Sound Health Care System – Seattle and American Lake Divisions, VA Spokane Medical Center, and VA Walla Walla Medical Center.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: VISN 20 requires annual software updates and remote technical support for their CareFusion Alaris Infusion Pump Model 8015. The contractor shall perform on-site software installation and provide remote technical support. In addition, the contractor will provide clinical application and analytics support. The estimated base value of $248,380.00 with a life of $1,241,900.00 including Base + four (4) option years of support. The base period of performance (POP) starting 04/01/2021 – 03/31/2022.

VISN 20 sites currently use CareFusion Alaris PC Model 8015 infusion pumps to provide infusion therapy and requires a software maintenance services agreement to provide technical, software, clinical, and data analytics support at the following sites.

Anchorage, AK 99504

Boise, ID 83702

Portland, OR 97239

Roseburg, OR 97470

Seattle, WA 98108

Tacoma, WA 98493

Spokane, WA 99205

Walla Walla, WA 99362

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:

(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): The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing. The requirement is for software updates which must be compatible with the Infusion Pumps model 8015 VISN 20 currently has. Furthermore, the CareFusion Alaris Infusion System is the only infusion pump system that is approved by the FDS to communicate with the Cerner EMR.

The large business manufacture, CareFusion, stated that they were the only vendor authorized to perform software maintenance and service. IAW FAR 6.302-1(b)(1)(i), this will be sole-sourced to the manufacture.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: No actions were taken by the agency, as the vendor is the only OEM authorized vendor able to perform maintenance/service on their proprietary equipment without voiding the warranty.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The estimated cost of the contract is anticipated to be fair and reasonable IAW FAR 13.106-3(a)(2)(ii). Other purchases for similar maintenance of similar equipment has been found fair and reasonable on previous purchases. 36C26321P0208 awarded on 01/01/2021 was an open market award, sole sourced to CareFusion for similar services with a base cost of $92,040.00 and an estimated life cost of $509,352.00. The difference in total cost reflects a difference in scale as this action represents the VISN as opposed to a single site.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: A search of VIP using NAICS code 541519 and key word “Alaris” produced zero positive results. A similar search of SBA also had zero positive results. A search of FPDS using key words “Alaris Software Maintenance Service” populated nine results all for but one for CareFusion Solutions with the exception of one in 2009 for Cardinal Health. The initial Market Research from the end-user indicated that this may be on GSA schedule contract 36F79719D0060. However, when the manufacture, CareFusion was contacted, they stated that the service contract was open market & that they were the only vendor authorized to perform software maintenance and service.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: VISN 20 sites currently use CareFusion Alaris PC Model 8015 infusion pumps to provide infusion therapy and requires a software maintenance services agreement to provide technical, software, clinical, and data analytics support. CareFusion is the sole manufacturer and distributor of this software and only provider for software maintenance.

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

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: N/A, as the manufacture currently does not have a authorized vendor to perform maintenance and service on their proprietary software.

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.

Title: Biomedical Engineer Facility: VISN 20

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP: This part if filled out by Contracting Staff as part of the Justification

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.

Title: Branch Chief, Business Support - Logistics Facility: NCO 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.

Title: Director of Contracting Facility: Network Contracting Office 20 (NCO 20)

c. VHA RPO HCA Review and Approval: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve ($750K to $7.5 million (or $15.0 million for acquisitions described in FAR 13.500(c)) for other than full and open competition.

Executive Director, Regional Procurement Office West Head of Contracting Activity (HCA)

PM Part 813.5 SAP for Certain Commercial Items Page 1 of 9 Original Date: 08/30/17 Revision 03 Date: 02/11/2021