P03 signed_Redacted.pdf

VHAPG Part 806.3 OFOC Page 1 of 4

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: _36C241-25-AP-5214_________________

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C241-25-AP-5214

1. Contracting Activity:

Department of Veterans Affairs (VA), National TeleEEG and Epilepsy Program based out of VA

Boston Healthcare System at 150 S HUNTINGTON AVE, BOSTON, MA 02130 requires procurement of software and support services in coordination with Network Contracting Office

(NCO) 1.

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

The VA National TeleEEG and Epilepsy Program requires the procurement of Natus NeuroWorks version 10 (v10) licenses, Natus Advanced Care support services, and Persyst Prime license upgrades and support. This will support EEG study review services across VISN 1 VA sites, ensuring up-to-date technology and compatibility with existing EEG systems.

This requirement will be a Firm Fixed Price (FFP) brand name only requirement, authorized sellers only.

The procurement includes:

Natus NeuroWorks v10 licenses, installation services, and support maintenance.

A base year with four (4) option years for Natus Advanced Care and Persyst Prime support services.

This integration is necessary to maintain and enhance the TeleEEG Program’s operational capacity and compatibility with current EEG analysis systems.

3. Description of Supplies/Services Required to Meet the Agency’s Needs:

Natus offers telehealth solutions for EEG monitoring, primarily through their NeuroWorks EEG software and BrainWatch point-of-care EEG system. These solutions enable remote review, analysis, and remote monitoring of EEG data, facilitating timely diagnosis and treatment, especially in critical care settings.

The NeuroWorks software deliverables must integrate directly with existing hardware and software at

VA medical centers using Natus EEG and NeuroWorks v10. Natus Advanced Care support services are needed for unlimited onsite support, priority technical support, software updates, and remote professional support. Persyst Prime support and upgraded licenses are essential for updating Natus-

Persyst sites to the latest version, future upgrades, priority support, training, customized montages, trends, and compatibility with the NeuroWorks software.

The estimated Period of Performance for this rerquirement is:

VHAPG Part 806.3 OFOC Page 2 of 4

Acquisition ID#: _36C241-25-AP-5214_________________

Base - 9/15/2025 – 9/14/2026

Option 1 - 9/15/2026 – 9/14/2027

Option 2 - 9/15/2027 – 9/14/2028

Option 3 - 9/15/2028 – 9/14/2029

Option 4 - 9/15/2029 – 9/14/2030

4. Statutory Authority Permitting Other than Full and Open Competition:

( X ) (1) Only One Responsible Source and No Other Supplies or Services Will Satisfy

Agency Requirements per 41 USC §3304(a)(1) as implemented by FAR 6.302-1;

( ) (2) Unusual and Compelling Urgency per 41 USC §3304(a)(2) as implemented by FAR 6.302-2;

( ) (3) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert Services per 41 USC §3304(a)(3) as implemented by FAR 6.302-3;

( ) (4) International Agreement per 41 USC §3304(a)(4) as implemented by FAR 6.302-4

( ) (5) Authorized or Required by Statute per 41 USC §3304(a)(5) as implemented by FAR 6.302-5;

( ) (6) National Security per 41 USC §3304(a)(6) as implemented by FAR 6.302-6;

( ) (7) Public Interest per 41 USC §3304(a)(7) as implemented by FAR 6.302-7;

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 Department of Veteran Affairs has identified Natus Neuroworks software and support as the only available product that will meet the Governments need. Switching from Natus NeuroWorks to an alternative brand software would incur significant costs and introduce substantial disruptions to our current infrastructure. The Natus NeuroWorks system is intricately integrated with our hardware and software configurations at multiple VA medical centers. Transitioning to a different system would necessitate extensive purchases of new compatible equipment and software, fundamentally impacting various systems that would require replacement.

Each vendor's software is exclusive to its brand (e.g., Natus – NeuroWorks, Cadwell – Arc, NihonKohden – NK Workbench), making compatibility with existing infrastructure highly improbable. This transition could potentially cost between $100-200 million, inclusive of expenses for new equipment, software upgrades, installation, and possible reconfiguration, to support a different vendor’s system nationwide through our National Servers.

Currently, we utilize equipment and software from all three major vendors based on local requirements. This contract, however, specifically addresses Natus systems on our National Servers, which serve approximately 80-85% of VHA sites connected to our network.

Given the scale of this integration and the extensive use of Natus NeuroWorks, maintaining this system is crucial to ensuring continuous operations and compatibility. Transitioning to another brand would result in prohibitive costs, resource duplication, and service interruptions.

Therefore, no other supplies or services will satisfy the agency's requirements as effectively and economically as Natus NeuroWorks. The necessity to avoid excessive financial expenditure and operational disruptions justifies the selection of Natus as the brand name required.

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

VHAPG Part 806.3 OFOC Page 3 of 4

Acquisition ID#: _36C241-25-AP-5214_________________

The Contract Specialist (CS) posted an Intent to Sole Source notice via Sam.gov on 18 August 2025 under the impression the requirement was a sole source. In response to the posting was an authorized distributor Rhyfel Inc. The CS contacted the original equipment manufacturer, Natus, to confirm any additional sources of supply. Natus (LB) provided their two authorized distributors, Sound Medical

LLC (SDVOSB) and Rhyfel Inc. (SDVOSB). At this time no other sources of supply exist other than direct to the manufacturer.

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

Reasonable:

The Contracting Officer will ensure the proposed price is determined fair and reasonable in accordance with FAR 13.106-3.

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

Market Research Was Not Conducted:

The Contract Specialist conducted a Dynamic Small Business Search (DSBS) via SBA.gov. The search was for keyword “NeuroWorks” and resulted in 0 results.

Upon contacting the OEM, Natus, two additional vendors were provided who were authorized to provide the required software and support.

Both vendors, Rhyfel and Sound Medical are certified SDVOSBs as of August 19th, 2025. As a result, the Contract Specialist recommends soliciting the required for brand name Natus items on a 100%

SDVOSB set-aside basis.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition:

None

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

Rhyfel Inc. (SDVOSB)

Sound Medical (SDVOSB)

Natus (LB)

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:

At this time there are two capable and authorized SDVOSB distrubtors who can provide the required services and supplies. No action is planned to remove or overcome any barrier to competition at this time.

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.

VHAPG Part 806.3 OFOC Page 4 of 4

Acquisition ID#: _36C241-25-AP-5214_________________

Program Manager

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

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

Tyler Kenyon

Contracting Officer

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.

Branch Chief

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 recommend approval (if over $75 million) or approve ($750K to $75 million) for other than full and open competition.

VHA Head of Contracting Activity (HCA)

TYLER

KENYON

Digitally signed by TYLER

KENYON

Date: 2025.08.25 10:04:42 -04'00'