P03 SoleSelectionJustification_Revels_Signed.pdf

Attachment 1: Request for Sole Source Justification Format >SAT

VHAPG Part 806.3 OFOC Page 1 of 5

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: __________________

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID:_VA-26-00003586

1. Contracting Activity:

Department of Veterans Affairs, VISN 06, Salem VA Medical Center

Contracting Activity VHA RPO East, NCO 6.

Project # 658-26-104

PR# TBD

CAM Funding Approved

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

Requirement: New Contract for needed renovation to existing space to accomodate installation of new GE CT Camera in Nuclear Medicine Department.

Contract is firm fixed price and quoted at $263,620.00

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

Services included in the contract include:

a. Complete and sealed Architectural and Engineering Construction Drawings

b. Removal of existing equipment

c. Partial renovation of existing space to accommodate new equipment

The total estimated value of the contract stands at $263,620.00 and construction will last approximately 5 weeks.

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

( ) (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

(X) (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 5

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: __________________

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the

Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

Per VAAR 819-7008, the requirement necessitates specialized expertise in power and other facility adaptations for the installation and operation of radiology and other high-dollar, specialized equipment. The equipment in this case is a computed tomography camera, a medical imaging device that uses X-rays to create detailed cross-sectional images of the body. This equipment has already been purchased, although it has not been delivered due to a lack of accommodating infrastructure in the space. The space will require modifications to structural, electrical, and mechanical systems to accommodate the new CT scanner.

The expertise necessary to work on sensitive, high dollar equipment such as this radiology equipment and ensure its ongoing safe operation is a very specialized service that, within the

VISN 6 region and the Salem Medical Center, has only been provided by one firm – Revels

Contracting Services Inc. of Charlotte, NC. No other firms exist in the catchment of the VA and the North Carolina / Southern Virginia area, which are capable of providing this service.

Moreover this firm is uniquely familiar with the Salem VA having performed several similar projects recently at this VAMC.

Accordingly, Revels Inc is the primary contractor used for the construction required for imaging projects and GE Healthcare is satisfied with their work. Revels Inc works with the installation team from GE Healthcare. VHA experiencing substantial duplication of cost that could not be expected to be recovered through competition. Other General Contractors would be required to subcontract Revels to perform the work as required by the equipment manufacturer resulting in larger overhead and contracting fees.

SDVOSB CONSIDERATIONS: The firm performing the work, Revels Contracting

Services, Inc., is a Service-Disabled Veteran Owned Small Business (SDVOSB). The preferred practice of soliciting several SDVOSB firms so that competition among the set– aside group is achieved is not permissible in this case, as Revels Contracting Services, Inc.

(Revels). is uniquely qualified to perform the service and does not have competitors in this market. Moreover, competitors outside the local area are unfamiliar with local building codes, with construction at the VA to VA engineering requirements, and with the particular power system serving the Salem VAMC.

Therefore, maximum utilization of veteran-owned businesses has been accomplished, and this proposed contract meets the VA’s required preference for contracting with veteran-owned firms. The Contracting Officer’s Representative (COR) has prepared an Independent

Government Cost Estimate (IGCE) close to the Contractor’s proposed price. The IGCE is primarily based on experience with similar work on the station but also relies on industry-standard cost data from RS Means. The ultimate decision on price reasonableness rests with the Contracting Officer (CO), and the CO has accepted the COR’s IGCE. The CO compared the IGCE with the proposal from the planned source, Revels, and has found that the price proposed by Revels is fair and reasonable.

VHAPG Part 806.3 OFOC Page 3 of 5

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: __________________

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

Using a source other than Revels Contracting Services Inc. would result in a contractor working on the equipment that is unfamiliar with providing power for sensitive radiology equipment in which the patient’s safety is at risk should power be lost. The inherent risk to patient safety from a mistake in provision of power is unacceptable and precludes use of a source that is unfamiliar with this type of work and with the Salem VA 480 volt electric power system. Given these circumstances, there is no other practical contractor in the geographic area that is able to perform the required scope of work in a manner that would prevent delays, change orders and ensure proper testing of the equipment.

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

Reasonable:

The anticipated cost of the acquisition has been deemed as fair and reasonable. The basis for this determination is a result of market research and technical analysis by the contracting teams. The contractors proposal was compared against the Independent Government

Estimate and deemed to be fair and reasonable. Refer to the IGE Narrative for a more full explanation of the cost breakdown.

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

Reasons Market Research Was Not Conducted:

Market research conforming to requirements for procurements above the simplified acquisition threshold of $250,000 has been conducted by the contracting team of the CO, Contract Specialist, and COR. See the Market Research report documenting such work

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

As stated above, Revels Inc is considered the only qualified contracting service approved to complete this highly specialized work and is a preferred vendor by all major healthcare product manufacturers. Revels is able to provide “turn key” installation which includes preparation of engineered contract documents and proper implementation of those documents through the construction process. Revels specializes in the installation of healthcare equipment and is determined to be a “one stop” contractor, providing all services required for installation, saving the government money through their services directly, and also a timely execution of the acquisition, thus preventing the hospital to spend more money sending patients to the community.

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

No other local sources have expressed an interest in this aquisition

VHAPG Part 806.3 OFOC Page 4 of 5

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: __________________

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:

There are no actions planned to remove or overcome any barriers to competition due to the fact that the barriers that require a sole source to Revels are outside of the governments control. As stated previously, Revels inc is the only preferred vendor for the required work and is also an SDVOSB, which satisfies the requirement of preferred preference for contracting with Veteran-owned firms.

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.

Date 07/15/2025 Jon Manninen

Title COR/Engineer Salem VAMC

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.

Date 07/15/2025 Name Patrick Stultz Title Contracting Officer Facility RPO-E NCO 6 https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx

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Revision: 03 Effective Date: 04/15/24

Acquisition ID#: __________________

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.

Name Date

NCO/PCO XX Duty Title

Facility

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)

d. VA Senior Procurement Executive Approval (over $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 other than full and open competition.

Executive Director Office of Acquisition and Logistics

Senior Procurement Executive (SPE)

Department of Veterans Affairs