P03 Limiting_Sources_Justification 36C245-23-AP-4131 CO-BC-HCA.pdf

VHAPG Part 808.405-6 Limiting Sources 36C245-23-AP-4131 – CensiTrac Services and Support for VISN 5

Effective Date: 02/01/2022 Page 1 of 5

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID: 36C245-23-AP-4131

(1) Contracting Activity: Department of Veterans Affairs, Network/Program Contracting Office 05, located at 849 International Dr, Ste 275, Linthicum Heights, MD 21090, in support of VISN 05 VA Health Care System at Addresses below:

Beckley VA Medical Center, 200 Veterans Ave, Beckley WV 25801-6444 Hershel "Woody" Williams VA Medical Center, 1540 Spring Valley Drive, Huntington WV 25704 Louis A. Johnson VA Medical Center, 1 Medical Center Drive, Clarksburg WV 26301 Martinsburg VA Medical Center, 510 Butler Avenue, Martinsburg WV 25405 VA Maryland Healthcare System, 10 N Greene St, Baltimore, MD 21201 Perry Point VA Medical Center, 361 Boiler House Road, Perry Point, MD 21902-9998 Washington DC VA Medical Center, 50 Irving Street, NW, Washington DC 20422

Purchase request # 482-24-2-759-0001

(2) Description of Action: This acquisition is conducted under the authority of the Multiple- Award Schedule Program (41 U.S.C. 152(3) and 40 U.S.C. 501).

The purpose of this requirement is to provide the licensing and support for the Censis Technologies’ Censitrac system at the Veterans Integrated Service Network (VISN) 5 medical centers. The requirement includes the Censis Technologies’ Censitrac Surgical Instrument Tracking system, InstrumenTrac, ScopeTrac Advanced, GovCloud Server, and Service+ subscriptions.

Order against: FSS Contract Number: GS-35F-0462X

Name of Proposed Contractor: Censis Technologies, Inc.

Street Address: 830 Crescent Centre Dr, Suite 610

City, State, Zip: Franklin, TN 37067

Phone: 615-468-8019

(3) Description of Supplies or Services:

Effective Date: 02/01/2022 Page 2 of 5

The estimated value of the proposed action is $1,555,850.12.

The requirement is for Censis InstrumenTrac Subscriptions for Washington DC, Beckley, Martinsburg, Baltimore, and Perry Point. The requirement shall include the Censis Censitrac GOV Cloud Server Subscription for Washington DC, Beckley, Martinsburg, Baltimore, and Perry Point. The contract shall include Censis Service + support for Washington DC, Beckley, Martinsburg, and Baltimore. The Censis ScopeTrac Stand Advanced Subscription shall be included for Baltimore and Martinsburg. All associated licenses shall be provided for in the contract. The Contractor shall maintain remote access capabilities to the Censitrac software and servers. The Contractor shall provide troubleshooting and issue resolution while following VA information security and privacy guidelines.

This requirement is for Censitrac maintenance/support (J065) Maint/Repair/Rebuild Of Equipment- Medical, Dental, And Veterinary Equipment And Supplies. It is for continuing vendor support for a system that is already installed and in use. New equipment is not being purchased. It is not using IT funding and is not impacting IT. FITARA should not be required.

PERIOD OF PERFORMANCE

Base Year January 1, 2024 - December 31, 2024 $283,850.12 1st Option Period January 1, 2025 - December 31, 2025 $318,000.00 2nd Option Period January 1, 2026 - December 31, 2026 $318,000.00 3rd Option Period January 1, 2027 - December 31, 2027 $318,000.00 4th Option Period January 1, 2028 - December 31, 2028 $318,000.00

Total $1,555,850.12

(4) Identify the Authority and Supporting Rationale (see below and if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service.

FAR 8.405-6(a)(1)(A): An urgent and compelling need exists and following the ordering procedures would result in unacceptable delays:

FAR 8.405-6(a)(1)(B): Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized;

The Censitrac product is owned by Censis Technologies, the original equipment manufacturer (OEM). Only Censis Technologies can provide support for their software product. No other manufacturer can maintain the Censitrac software, as they do not have access to the software code to troubleshoot or upgrade the Censitrac systems. Only Censis Technologies offers the subscriptions for InstrumenTrac, Censitrac GOV Cloud Server, and ScopeTrac. The facilities in VISN 5 have an existing base of hardware, to include handheld scanners, barcode scanners, and workstations. No other software is interoperable with the existing hardware due to the proprietary nature. No other systems could utilize the existing etching completed on the surgical instruments, which were

Effective Date: 02/01/2022 Page 3 of 5 specifically marked for the Censitrac system. Only Censis Technologies can meet the requirements of the Government.

FAR 8.405-6(a)(1)(C): In the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures.

FAR 8.405-6(b): Items peculiar to one manufacturer:

A patent, copyright or proprietary data limits competition. The proprietary data is:

These are “direct replacements” parts/components for existing equipment.

The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing.

(5) Describe Why You Believe the Order Represents the Best Value consistent with FAR 8.404(d) to aid the contracting officer in making this best value determination:

This will be against FSS Contract GS-35F-0462X, CO is not required to make a separate determination of fair and reasonable pricing because GSA has already determined the prices of supplies and fixed-price services, and rates for services offered at hourly rates, under schedule contracts to be fair and reasonable. By doing a VISN contract covering all VISN 5 locations, the contractor is offering 3% discount if invoices are paid on time.

(6) Describe the Market Research Conducted among schedule holders and the results or a statement of the reason market research was not conducted.

Market Research was completed in August, September and October of 2023. There are 100 SDVOBs and VOSBs found on VetCert by NAICS Code 513210. Searches on Sam.Gov and FPDS for similar contract opportunities were executed; all similar opportunities were being contracted to Censis Technologies.

Searches of the internet using Google were conducted, and a sole source document completed by the Technical Acquisition Center was found for VISN 10 for the same requirement, whereby Censis Technologies was the sole source vendor.

Notice Intent to Sole Source, 36C24524Q0053 was posted on SAM and RFQ1663442 was posted on GSA on 10/12/23, closed on 10/22/23, received 0 response. Proprietary letter is uploaded in the briefcase.

The Market Research did not yield any additional sources that can meet the requirements of the Government. Censis Technologies is the only provider of the Censitrac maintenance and subscriptions.

Effective Date: 02/01/2022 Page 4 of 5

(7) Any Other Facts Supporting the Justification:

The procurement is for sustainment of the existing systems, which still have several years of useful life. Early replacement would be costly and would not meet the timeframe required for supporting the existing systems. Instrument tracking systems are required for ensuring the surgical and dental instruments are properly processed, aiding in making known the instruments available for use for procedures, and providing proper reports for compliance requirements. Neglecting the subscriptions and maintenance of the instrument tracking system will result in non-compliance and potential safety issues for the processing and provision of surgical instruments.

(8) A Statement of the Actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made:

Censitrac was the nationally mandated program to provide instrument tracking services for the VA medical centers. Once the system has reached the end of its useful life and if no mandates exist, the VA medical centers will compete the requirement for replacement of the system in its entirety. The procurement strategies for subsequent orders for maintenance and support will be determined at the time of need.

(9) 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. I understand that processing of this limited sources justification restricts consideration of Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4. (This signature is the requestor’s supervisor, fund control point official, chief of service or someone with responsibility and accountability.)

11/8/2023_____

SIGNATURE DATE

Elyssa McFadden Biomedical Engineer Biomedical Engineering

NAME TITLE SERVICE LINE/SECTION

VISN 05

FACILITY

ELYSSA MCFADDEN Digitally signed by ELYSSA MCFADDEN Date: 2023.11.09 09:40:38 -05'00'

Effective Date: 02/01/2022 Page 5 of 5

(10) Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

a. Contracting Officer’s Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Darren G. Morris Date Contracting Officer

NCO 5

b. One Level Above the Contracting Officer (Required over the SAT but not exceeding $750K):

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

Evelyn E. Walker Date Branch Chief

NCO 5

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

c. VHA RPO HCA Review and Approval (over $750,000 to $75 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.

Joseph P. Maletta DATE VHA Head of Contracting Activity (HCA)

DARREN MORRIS Digitally signed by DARREN MORRIS Date: 2023.11.13 07:59:59 -05'00'

EVELYN WALKER

Digitally signed by EVELYN

WALKER

Date: 2023.11.21 09:39:28 -05'00'

JOSEPH

MALETTA

Digitally signed by JOSEPH

MALETTA

Date: 2023.11.27 07:53:23 -05'00'