P03 Sole Source Justification Service Signed _Final.pdf

VHAPG Part 806.3 OFOC Page 1 of 3

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: 36C241-25-AP-0060

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C241-25-AP-0060

1. Contracting Activity: Department of Veterans Affairs, Regional Procurement Office East, Network Officer 1 (New England) on behalf of VISN 1: VA New England Healthcare System.

2237: 523-25-1-7853-0004

2. Nature and/or Description of the Action Being Processed: A firm fixed price purchase order with two option years for service, maintenance, and support of the Zimmer equipment across the VA New England). The contractor shall provide 24/7 phone support to surgical service and healthcare technology management (HTM) staff and on-site service Monday through Friday from 8:00 am to 5:00 pm. The service agreement should include all parts, labor, software upgrades, and travel for Premium and a 10% parts discount for Lite coverage. A field service engineer shall perform the OEM-required preventive maintenance in the month due. A field service engineer shall cover and perform all software upgrades, vulnerability patches, and security updates, including any required Microsoft patches, ensuring the VA maintains strict OEM standards and fully operational Zimmer surgical equipment.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The preventative maintenance and support services for the Zimmer are required for all VISN1 locations listed in the excel spreadsheet. The Base Period of Performance (POP) is expected to begin on 12/1/2024 and end on 11/30/2025. The estimated value of this action over the proposed Two (2) year period is $592,500 over a 12-mo base with 2 addn 12-mo periods.

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;

VHAPG Part 806.3 OFOC Page 2 of 3

Acquisition ID#: 36C241-25-AP-0060

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 required service is provided solely by Zimmer for the current VA-owned Rosa equipment. The existing equipment is in place and functioning correctly. The equipment currently being supported by Zimmer is not just highly specialized, but also essential to the Government's high standard of service. The equipment we request service and maintenance coverage for is a major specialized system that requires higher uptime as it is used in VISN 1 for surgery. If the systems are down, the site would not be able to complete the necessary testing on-site, which would cause delays in patient care. The equipment is only to be serviced and maintained by the OEM, Zimmer, as they are the only authorized service provider for their systems. Accordingly, Zimmer is the only company capable of providing the service required for the existing equipment. If the Government were to consider another laser manufacturer instead of purchasing this service plan, it would cost the Government an estimated $2,400,000 in new equipment plus that vendor's service.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: The OEM, Zimmer, is the only authorized service provider for their systems within the United States. An intent to sole source will be posted on SAM.gov Contacting Opportunities. A market survey was sent to Zimmer's Corporate contact to inquire if they had established an approved list of service providers for conducting a competitive requirement. Zimmer responded, stating they are the only ones that can service their equipment. This response was followed up with a letter of documentation from a sole source service provider.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: Pricing will be compared with simlare purchase orders in order to establish fair and reasonable pricing.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: This is a sole source acquisition, no one other than Zimmer Bioment can service their equipment. Zimmer provided a sole source letter stating such. A search was completed in Vet Cert using NAICS 811210 which yeiled 316 results none of which can meet the requirement. A search was completed in FPDS using keyword ROSA knee and PSC J065 resulted in 3 matches, all of the orders were sole source POs.

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

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

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: The government will continue to conduct market research to ascertain if there are updates or changes in the leasing and servicing of gastrointestinal scopes in the marketplace to enable for future requirements to be competed.

VHAPG Part 806.3 OFOC Page 3 of 3

Acquisition ID#: 36C241-25-AP-0060

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.

Ashley O’Mara Date Healthcare Technology Manager VA New England Healthcare System

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.

Ashley Zannikos Date Contract Specialist

RPOE, NCO 1

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.

Sheryl A. Anthony Date Branch Chief, Commercial Team 3

RPOE, NCO 1

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