P03 Limiting_Sources_Justification_OVER_SAT - Copy_Redacted.pdf

VHAPM Part 808.405-6 Limiting Sources Attachment 2: Request for Limited Sources Justification Format >SAT

VHAPM Part 808.405-6 Limiting Sources Page 1 of 5 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID:_36C256-20-AP-4212_

(1) Contracting Activity: : Department of Veterans Affairs, NCO 16 Gulf Coast Veterans Health Care Systems Biloxi Services Team C

Procuring for: VISN 16, Alexandria VA Health Care System, 2495 Shreveport Hwy 71 N, Pineville, LA 71360.

2237: 520-20-4-084-0056

(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

Order against: FSS Contract Number: _V797D-30111__________

Name of Proposed Contractor: Omnicell Inc.

Street Address: 590 E. Middlefield Road City, State, Zip: Mountain View, CA 94043 Phone: Matthew Osucha 404-450-2459

Bradley Galbreath 817-239-0308

(3) Description of Supplies or Services: Medical Pharmacy Equipment for Alexandria VA Medical Center. The Alexandria VA has a requirement for the expansion of the existing Automated Drug Dispensing Cabinets (ADC) system. The primary use of the system has been to maintain inventory control, as well as, drug accountability over all controlled substances in the facility.

Due to a need to further restrict drug access within the medication rooms and maintain better inventory control and accountability of patient wards at the facility, pharmacy service in conjunction with nursing service is expanding the role and capacity of the existing Omnicell system.

We are requesting approval . The period of performance is one month and includes one-year warranty. Market research shows zero SDVOSB/VOSB that meet the criteria. Equipment is on FSS contract V797D-30111.

The estimated value of the proposed action is

VHAPM Part 808.405-6 Limiting Sources Page 2 of 5 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

VHAPM Part 808.405-6 Limiting Sources Attachment 2: Request for Limited Sources Justification Format >SAT

(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 automated drug dispensing cabinets by Omnicell are currently being successfully utilized throughout the Alexandria VA Medical Center for medication management. The drug dispensing cabinets allow for inventory control and restricted access to controlled substances. At this time, the Omnicell hardware and software is licensed and proprietary and Omnicell does not utilize authorized distributors to provide their equipment, maintenance, or upgrade services. Thus, any maintenance, including operation and diagnostic use of Omnicell hardware, performed by anyone other than authorized Omnicell trained technicians will void the product warranty on all existing equipment.

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 (If FAR 8.405-6(a)(2)iii before posting. Do not include specific proprietary data.

Only mention the type of equipment, procedure, etc. to show that proprietary supplies or services are being procured.)

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

VHAPM Part 808.405-6 Limiting Sources Page 3 of 5 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

(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:

The Omnicell units are on VA Contract which offers the best pricing available. Switching to another unit/brand would require a significant uneconomical duplicate investment in computer hardware, software, and technician training. The Alexandria VA Health Care System has substantially invested in Omnicell equipment over the timespan and it is the logical choice for the procurement of the additional units.

Although the pricing was determined fair and reasonable at the onset of Omnicell’s NAC contract, additional discounts will be sought as we are acquiring a substantial amount of equipment. Analysis of historical data and acquisitions from other VAMC’s will also be utilized to ensure that the Government is receiving the most fair and reasonable pricing.

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

VetBiz was utilized to determine if there were any SDVOSBS/VOSBs using NAICS 339112. There are 0 SDVOSB/VOSB certified businesses that can provide the equipment.

SBA was also searched for small business to see if they could meet the Government needs; the result was zero vendors matching the search result. FPDS_NG was queried, and it was discovered that all pharmacy dispenser equipment had been purchased sole source to Omnicell under contract V797D-30111. Correspondence with the manufacturer confirmed that the company does not utilize third party distributors and provided documentation that they do not authorize 3rd party vendors to distribute their equipment.

(7) Any Other Facts Supporting the Justification: None

(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:

Due to the proprietary nature of the equipment from the OEM manufacturer, no other sources can provide the requested equipment. Market research will be performed for future requirements to other sources become authorized to provide the pharmacy dispensers.

(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.)

Karen Rubenstein DATE Administration Officer Alexandria VA Health Care Systems

(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.

Tina Harris DATE Contracting Officer

b. One Level Above the Contracting Officer (Required over the SAT but not exceeding $700K):

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

Windell Lance DATE DIV I Services C Chief HIGHER LEVEL APPROVAL (Required for orders over $700,000):

VHAPM Part 808.405-6 Limiting Sources Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

Karen K.

Rubenstein 235082

Digitally signed by Karen K.

Rubenstein 235082 Date: 2020 08.20 10 39:21 -05'00'

Tina L. Harris 535994

Digitally signed by Tina L.

Harris 535994 Date: 2020.08.20 10:51:57 -05'00'

Windell L.

Lance 123245

Digitally signed by Windell L. Lance 123245 Date: 2020.08.20 11:11:09 -05'00'

AARON VILLALPANDO

178014

Digitally signed by AARON

VILLALPANDO 178014

Date: 2020.09.04 15:10:04 -05'00'

VHAPM Part 808.405-6 Limiting Sources Page 4 of 4 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

c. VHA RPO HCA Review and Approval (over $700,000 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.

Terry Spitzmiller DATE Executive Director Regional Procurement Office Central Veterans Health Administration

09/09/2020

TERRY L.

SPITZMILLER

394683

Digitally signed by TERRY

L. SPITZMILLER 394683

Date: 2020.09.09 12:50:46 -05'00'