P03-JA - Wavemark_Redacted.pdf

WaveMark Software Support and Maintenance Control Number VA-21-00002631

JUSTIFICATION FOR A SOLE SOURCE AWARD

FOR CERTAIN COMMERCIAL ITEMS

1. Contracting Activity: Department of Veterans Affairs (VA) Office of Procurement, Acquisition, and Logistics

Technology Acquisition Center 23 Christopher Way

Eatontown, NJ 07724

2. Description of Action: The proposed sole source action is for a firm-fixed-price contract for the renewal of WaveMark software and hardware support and maintenance services with Cardinal Health, 300 Baker Ave Ste. 207, Concord, MA 01742.

3. Description of the Supplies or Services: Department of Veterans Affairs, Veterans Integrated Services Network (VISN) 10, has a requirement for continued software and hardware support and maintenance, of the Cardinal Health WaveMark Systems currently in place at all six VISN 10 locations listed (Richard L. Roudebush VA Medical Center (VAMC) located at 1481 W 10th Street, Indianapolis, IN 46202, the Cincinnati VAMC located at 3200 Vine Street, Cincinnati, OH 45220, the Cleveland VAMC located at 10701 East Boulevard, Cleveland, OH 44106, the Dayton VAMC located at 4100 W Third Street, Dayton, OH 45428, the Ann Arbor VAMC located at 2215 Fuller Road, Ann Arbor, MI 48105, and the Detroit VAMC located at 4646 John R Street, Detroit, MI 48201). Currently the infrastructure in place at VISN 10 consists of real-time location system (RTLS) smart cabinets, point of service stations, and tagging stations, in addition to the workflow including disposable tags on consumables, the interface with Veterans Health Information Systems and Technology Architecture (VistA), and the WaveMark EiRTLS software licenses. The WaveMark Supply Management and workflow solution supports an optimized supply chain to drive effective patient care.

The radio-frequency identification (RFID) cabinets track supplies being utilized within the Cath Lab through integration with the supply chain management and ordering system. For this requirement, the Contractor shall provide the continuation of technical and phone support to facilitate operation of the VA-owned perpetual WaveMark software licenses and interfaces in conjunction with the WaveMark hardware (cabinets).

The Contractor shall also remediate software and/or hardware issues associated with the WaveMark system and bring it back into working order. No software or hardware is being procured as a result of this action. As the RTLS system for inventory management within Cardiology is a required system, VA anticipates use of this system for at least the next 5 years. The period of performance for this effort will be a 12-month base period and four 12-month option periods for continued software and hardware maintenance and support. The total estimated value of the proposed action is inclusive of options.

4. Authority: The statutory authority permitting other than full and open competition is 41 U.S.C. 1903 as implemented by the Federal Acquisition Regulation (FAR) 13.501, entitled “Special Documentation Requirements”.

5. Rationale Supporting Use of Authority Cited Above: The proposed source for this action is Cardinal Health, 300 Baker Ave Ste. 207, Concord, MA 01742. Based on the market research, as described in Section 8 of this justification, it was determined the software and hardware support and maintenance required is only available directly from Cardinal Health which owns the proprietary rights to the software. The current VISN 10 RFID infrastructure is comprised of existing WaveMark software and cabinet hardware. VA requires support of the existing infrastructure for continued functionality and continued operational availability. Due to the proprietary nature of the software code of the WaveMark systems, only Cardinal Health will meet VA's requirements due to compatibility and interoperability with the proprietary software. No other source can provide the required WaveMark support and maintenance. Only Cardinal Health has access to the proprietary database, structure, protocols, and application programming interfaces specific to the maintenance needed for the software and hardware in place.

Furthermore, an acquisition of a different product would result in the duplication of costs, estimated at (based on previous procurement history), which would not be recouped with competition. VISN 10 VAMCs would need to procure new hardware and software in addition to the previously procured software along with the associated maintenance support as each is proprietary to their unique products. No other software is compatible with or interoperable with the existing Cardinal Health WaveMark proprietary database structures, protocols, and software application programming interfaces. Interruption in services would cause an immediate impact to patient care with delays in catheterization procedures, would affect patient safety with consumables tracking linked to VistA, and could delay the VISN 10 integration with Cerner as that new interface is beginning development.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. There is no competition anticipated for this acquisition. Additionally, the proposed action will be synopsized on the Federal Business Opportunities Page in accordance with FAR

5.201. Any proposals that are received shall be evaluated.

7. Actions to Increase Competition: 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.

8. Market Research: The Government's technical experts conducted market research in August 2020 by reviewing similar software and hardware support and maintenance services (i.e. TrackCore and Pyxis) to ascertain if other brands could meet VA's requirements. Only Cardinal Health has access to the proprietary database, structure, protocols, and application programming interfaces specific to the maintenance needed for the software and hardware in place. Therefore, at present there is no other software and hardware maintenance available in the marketplace that can meet this requirement. In addition, VA networking Subject Matter Experts regularly review industry trade publications and conduct internet research to ascertain if any other brand name software is available. Based on the market research efforts, the Government's technical experts have determined that only the aforementioned Cardinal Health WaveMark support and maintenance can meet all of VA's needs. Finally, the undersigned contracting officer contacted Cardinal Health on September 30, 2020 to inquire if Cardinal Health has any authorized resellers of its WaveMark products and services. The representative at Cardinal Health confirmed that WaveMark is proprietary technology and Cardinal heath is the only authorized seller and does not subcontract any of the items or service.

9. Other Facts: None

Approval

In my role as procuring activity Advocate for Competition, based on the foregoing justification, I hereby approve the acquisition of the renewal of WaveMark software and hardware support and maintenance services, on an other than full and open competition basis pursuant to the statutory authority cited in Section 4 above, subject to availability of funds, and provided that the services herein described have otherwise been authorized for acquisition.

Date: ____________ Signature: ________

Advocate for Competition Technology Acquisition Center

Office of Procurement, Acquisition, and Logistics

10/14/20