P03 - Sole Source Justification SSA.pdf

VHAPG Part 813.5 Simplified Acquisition Procedures for Certain Commercial Items Attachment 1: Request for Sole Source Justification Template >SAT-$7.5M under FAR13.5

Effective Date: 02/01/2022 Page 1 of 3

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C257-22-AP-3534

JOFOC #: 2022-05-16T14:15:47

1. Contracting Activity: Department of Veterans Affairs, Veteran healthcare Administration, Regional

Procurement Office West, Network Contracting Office 17 on behalf of Central Texas Medical Center VA Health Care System, Security/Engineering Service. 2237: 674-22-3-5066-0048.

2. Nature and/or Description of the Action Being Processed: VISN17 Security/Engineering Service has a new firm fixed price purchase order requirement for yearly Software Service Agreements (SSA), yearly software updates and onsite software support for government owned American Dynamics and Software House equipment at the Central Texas Facilities in Temple, Waco, and Brownwood/Palestine/Austin CBOC locations.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: VISN 17 requires yearly

SSAs for government owned equipment, annual software updates and yearly onsite software support for both their American Dynamics and Software House equipment systems. The contractor shall renew the SSAs for both the above systems, perform on-site software support and install yearly software upgrades. The estimated base value is $90,500.00 with a total contract value of $452,500.00 (base + four (4) option years). The base period of performance is estimated to be 5/29/22 - 5/29/23. VISN 17 currently owns and utilizes American Dynamics and Software House equipment and software for security systems at the Temple, Waco, and Brownwood/Palestine/Austin CBOC Clinics.

4. Statutory Authority Permitting Restricted Competition:

FAR 13.5 Simplified Procedures for Certain Commercial Items. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 13.5 is 41 U.S.C. § 1901 and is implemented by FAR 13.106-1(b)(2) for restricting competition on this procurement. Competition is restricted on this procurement for the reason below:

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

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 item/service must be compatible in all aspects (form, fit and function) with existing systems presently installed and utilized. The requirement is for SSAs and software updates which must be compatible with the American Dynamics security cameras and Software House access controls equipment currently in use at multiple VISN 17 locations. Dealer on record that holds warranty for current equipment is Mayhew Technology Solutions, LLC (MTS) a Service Disabled Veteran Owned Business. As MTS holds the warranty on current equipment and software with active warranties, they are the only contractor capable of providing continued SSAs, updated software updates and onsite software support without a void of warranty on security system equipment for the facilites. As such, MTS is the only company capable of providing the supplies and services described above without a

Effective Date: 02/01/2022 Page 2 of 3 duplication of costs if the VA were to replace all existing equipment or additional costs for items currently under warranty as the warranty would be void.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: A notice of intent to sole source was posted on 5/17/22 with responses due by 5/20/22. One response was received, see section ten below. No other actions were taken by the agency as the vendor is the only one able to perform the required services without voiding warranty on currently owned equipment. Any access to the current system by another vendor, changes to the current configuration, any addition of equipment or updates to any software outside of MTS will cause a void in warranty.

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

Reasonable: The estimated cost of the contract is anticipated to be fair and reasonable IAW FAR 13.106-3(a)(2)(ii). Other purchases for similar items/services were found to be fair and reasonable on previous puchases. Contract 36C25721P0736 was awarded for $44,251.82 and contract 36C25721P0107 was awarded for $57,622.40 for the same and similar services. Final contract price will also be compared to the Idependant Government Cost Estimate (IGCE) which is $90,500 per year for a total estimated contract value of $452,500.

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

Market Research Was Not Conducted: A search of VIP using NAICS code 541519 and key word American Dynamics produced 21 results, none of which included both keywords. A search of VIP using NAICS code 541519 and keyword Software House produced 733 results, one of which included both key words and was an SDVOSB. Similar searches were completed on GSA and SBA which produced results, however, due to existing government owned equipment on warranty, only one vendor is capable of providing the services without voiding the warranty. This information was confirmed via vendor policy letter dated 5/16/22.

As described in Section 6 above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties.

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: Below is a list of sources that expressed interest in the acquisition from the notice of intent posting:

vCloud Tech Inc.

609 Deep Valley Dr. Ste 200 Rolling Hills Estates, CA 90274

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: Not applicable as the current vendor is the only vendor capable of providing the services without void of warranty on existing government equipment. Market research will be conducted for future requirements for new equipment in which the void of warranty would not apply.

Effective Date: 02/01/2022 Page 3 of 3

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.

Rene Flores Date Engineering Tech Central Texas VAMC Waco/Temple Engineering

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

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

Danise Burt Contracting Officer

NCO 17

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.

Latasha Messer LogPER Branch Chief

NCO 17

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