P03 - JA - JOFOC 36C261-21-AP-1773 Telemetery COVID HCA SIGNED_Redacted.pdf

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6525--COVID-19 | Expansion of Telemetry Systems
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36C26121AP1773
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This document contains a justification for a sole source award and notice of intent under the simplified acquisition procedures for certain commercial items. The Department of Veterans Affairs awarded a firm-fixed-price contract to Philips North America LLC for $1,182,079.76 to expand an existing Philips telemetry system. The expansion is needed to provide wireless monitoring capabilities for patients in additional areas of the Veterans Integrated Service Network 21 healthcare facility due to risks associated with transporting patients without telemetry coverage during the COVID-19 pandemic. Philips is the original equipment manufacturer of the existing telemetry system and the only vendor that can provide certified parts and upgrades to integrate with the current proprietary system. The contracting office conducted market research and received no responses to the notice of intent, confirming Philips as the only responsible source available to meet requirements.

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PM Part 813.5 SAP for Certain Commercial Items Page 1 of 5 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: 36C261-21-AP-1773

1. Contracting Activity:

Department of Veterans Affairs, Veterans Health Administration, Regional Procurement Off ice West, Network Contract Office (NCO) 21, for the Veterans Integrated Service Network (VISN) 21, Las Vegas, NV.

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

The VA Southern Nevada Healthcare System (VASNHS) has a requirement for wireless access to increase patient care with Telemetry system. This will increase the capabilities so patients can be monitored in Bldg. Five Community Living Center(s) (CLC) and be transferred from the CLC to main hospital building.

This request is to expand the current Telemetry f irmware/software with any up-to-date patches. The original system was established as of 03/2012. Due to COVID-19, patients are now located on the 1st and 2nd floor of Community Living Center (CLC), and are transported through the basement hallway of the CLC building to the south service elevators. The current Philips Telemetry System is not established at these locations. There is approximately a quarter of a mile that no Telemetry system in place, and now presents a very high risk to be able to provide immediate patient care.

It is critical that an expansion be integrated with the current Telemetry system. The expanded Telemetry system needs to be established on the 1st and 2nd floor of Community Living Center (CLC), and the basement hallway from CLC to the south service elevators.

Currently with the minimal technological conditions that is in place, a nurse must always be present to monitor patients. The nurse or staff must physically call on a telephone if a patient is in medical crisis in-order-to dispatch the medical crisis response team for patient care.

Once a Telemetry expansion is in place, the patients will then be fully monitored in these areas. An alarm will electronically be dispatched so that our medical crisis team can immediately take care of the patient that is in medical crisis.

The type of contract to be awarded will be FIRM-FIXED-PRICE.

Period of performance (POP) for supplies, installation, and training shall be:

06/11/2021 01/17/2022.

PM Part 813.5 SAP for Certain Commercial Items Page 2 of 5

Revision 03 Date: 02/11/2021

3. :

Estimated Amount of $1,182,079.76

The Contractor shall provide all necessary installation, labor, materials, supplies, tools, equipment, transportation, and generation for final specifications. The requested expansion of the current Telemetry system must have real-time patient data monitoring. The system must support stationary (hardwire) and mobile (wireless) patients. Mobile ambulatory and transport patients shall be continuously monitored by the new expansion using Philips equipment operating on a Wireless Medical Telemetry System (WMTS, 1.4GHz) infrastructure for CLC building 5, and the basement hallway to building 1 service elevators.

The contractor shall install network switches, access points, access point controllers, sync controller, and uninterruptible power supplies. This will include running cables to network closets to access points in-order-to maintain smart hopping technology in the designated areas. The coverage shall have no areas that will drop coverage when a patient is moved between locations (specifically between building 5 to building 1 basement hallway).

Access points will be installed in patient care areas to elevate any drop in coverage when patients are in patient room(s) and/or moved to other patient care locations. Cable management in network closets must be professionally organized, labeled, and secure.

Upon completion of project, the Contractor must ensure all connectivity equipment is working within the established specifications by the manufacture and VA Engineering.

4. Statutory Authority Permitting Restricted Competition:

FAR 13.5 Simplif ied Procedures for Certain Commercial Items. The statutory authority for applying the Simplif ied 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.

Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

Philips Healthcare f/k/a Philips Electronics North America Corporation is the original manufacturer of the Telemetry equipment that currently resides at the VA Medical Center Las Vegas. Because they are the original equipment manufacture, Philips can upgrade the hardware and software accordingly and service the equipment. Philips is the only vendor that offers certif ied parts that meet their original equipment manufacturers specif ications. Philips also retains the proprietary license and related authorizations for Philips Monitoring products, supplies, and support.

PM Part 813.5 SAP for Certain Commercial Items Page 3 of 5

Revision 03 Date: 02/11/2021

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

In accordance with FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. A Notice of Intent to Sole Source to Philips North America LLC (DUNS# 153882816) was posted on 05/25/2021 through 06/09/2021 receving no inquiry or responses from interested vendors.

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

Reasonable:

The Contracting Officer has determined that the anticipated price will be determined to be fair and reasonable. A FAR Part 13 Open Market Award Decision Documentation Form shall detail how the Government has determined that the anticipated cost will be fair and reasonable. The basis of price reasonableness will be determined based on comparison with similar items in a related industry.

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

Reasons Market Research Was Not Conducted:

Contacted knowledgeable individuals in Government and industry regarding market capabilities to meet this requirement.

Discussed current request with Robert Johnson, Contracting Officer Representative

(COR). Mr. Johnson has been involved with the procurement, installation, and utilization of other Telemetry system(s) and similar industry technological equipment throughout his federal career

Philips North America LLC (DUNS: 153882816), is currently the only known commercial item(s) vendor that can meet the Salient Characteristic need of this emergency requirement.

A review of the Vendor Information Portal (VIP) for Philips North America LLC (DUNS:

153882816) was conducted on 05/12/2021 confirmed that this company is not a SDVOSB/VOSB company.

Conducted a review of System for Awards Management (SAM) f or Philips North America LLC (DUNS: 153882816). Vendor is listed in SAM and the expiration listed is 03/02/2022. The vendor has no exclusions at the time of verif ication.

Conducted a review of FPDS-NG for Philips North America LLC (DUNS: 153882816) and found that the Department of Veterans Affairs has previously awarded 1218 contracts under NAICS code 334510, and 20 contracts under both NAICS code 334510 and PSC 6525.

This requirement consists of items found on both Philips FSS schedule and open-market items. Due to the open-market items exceeding the micro-purchase threshold, Philips agreed to honor their FSS rates for items on contract, this system will be procured via an open-market purchase order.

Posted a Notice of Intent to Sole Source to Philips North America LLC on 05/25/2021 through 06/09/2021 on our government port of entry (GPE). Contract Specialist did not receive inquiry or responses from interested vendors for solicitation 36C26121Q0709.

PM Part 813.5 SAP for Certain Commercial Items Page 5 of 5

Revision 03 Date: 02/11/2021

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.

Name: Date Title: Branch Chief

Facility: NCO 21

HIGHER LEVEL APPROVAL (Required for orders over $750,000):

c. Director of Contracting (DoC) Review and Approval: (over $750,000 to $68 million):

I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for restricting consideration of the Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4.

Date Title: Director of Contracting Facility: NCO 21

HIGHER LEVEL APPROVAL (Required for orders over $750,000):

d. VHA RPO HCA Review and Approval: (over $750,000 to $68 million):

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.

Date

Head of Contracting Activity (HCA)

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