P03_ SSJ FULLY_Redacted.pdf

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

Effective Date: 11/15/24 Page 1 of 4

REVISION: 01

Acquisition ID#: 36C241-26-AP-0148

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL ITEMS IN

ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C241-26-AP-0148

1. Contracting Activity: Network Contracting Office 1, Regional Procurement Office East, on behalf of the Department of Veterans Affairs, VISN 1, West Haven VA Medical Center 950 Campbell Avenue West Haven, CT 06516-2770. Funding 689-26-1-7934-0001.

2. Nature and/or Description of the Action Being Processed: This is a firm-fixed logical follow-on to contract number 36C24125P0017 for a continued monthly lease of (1) Siemens Horizon PET/CT system housed in a mobile coach. This acquisition will include options. VA Connecticut Healthcare System, West Haven Campus is currently coming to the end of the new PET-CT construction project.

The project was expected to be completed by 10/02/2025, it has been extended to 3/01/2026. This rental will be required monthly for a minimum of five (5) months, approximately 150 days, while the existing HVAC unit and all ductworks are being replaced along with departmental construction including the replacement of the existing PET/CT scanner. This rental will be required monthly while the PET Center construction project is completed. The current mobile PET/CT unit already onsite is compatible with the hardware and software VACT has purchased to allow for protocols to be transferred and reduce the need for staff training to provide more timely continuity of care until the new onsite system is installed. Currently, VACT staff technologists are trained on the unit and perform the exams as well as VACT radiologist interpret the cases.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: West Haven VAMC is seeking a continued lease of (1) Siemens Horizon 16 slice mobile PET/CT, currently onsite under contract number 36C24125P0017. The mobile unit will remain onsite for about five months. Period of Performance 10/02/2025 – 03/01/2026.

Base Period: 10/02/2025 – 12/01/2025 Option 1: 12/02/2025 – 01/01/2026 Option 2: 01/02/2026 – 02/01/2026 Option 3: 02/02/2026 – 03/01/2026

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

() Unusual and Compelling Urgency

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Acquisition ID#: 36C241-26-AP-0148

() Industrial Mobilization, Engineering, Developmental or Research Capability or Expert Services

() International Agreement () Authorized or Required by Statute () National Security () Public Interest

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 VA Connecticut Healthcare System (VACT) currently has a contract with RAYUS Radiology to lease the Siemens Horizon PET/CT as a fixed rental unit at the West Haven VA Medical Center. Replacing this unit would incur costs exceeding the current contract request and necessitate an additional construction contract to integrate a new Siemens unit with the VACT facility. Therefore, continuing the existing contract presents the best value for the Government.

The West Haven VA Medical Center supplies all the necessary staff and medical support for the Siemens Horizon PET/CT system, which is highly specialized and comparable to the Siemens Biograph system acquired by VA Connecticut in September 2021. The installation of the Biograph system is expected to be completed in FY2026 Q1 or Q2, following the removal of the existing GE PET/CT and the subsequent renovation of the PET Center.

The mobile PET/CT unit currently in operation at VA Connecticut has demonstrated exceptional reliability with minimal downtime. Moreover, the continued use of the Siemens Horizon system guarantees that VACT technologists will be well-trained and ready for the installation of the VA Connecticut-owned Siemens Biograph system in the PET Center. This seamless protocol transfer will ensure consistent and effective continuity of care, while also reducing training costs for the Government.

The technical superiority of the Siemens Horizon system has led to increased patient throughput and allowed the daily schedule to accommodate an additional two patients per day while providing superior image quality compared to the previous system. These benefits highlight the value of continuing the current contract and utilizing the Siemens Horizon PET/CT system, making it the most advantageous choice for the government and significantly enhancing patient care at the West Haven VA Medical Center.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Full and open competition would lead to undue delays and increased costs, adversely affecting the West Haven VAMC Radiology Department's ability to provide PET/CT imaging services. This would result in significant patient safety concerns and a decline in the quality of patient care. Therefore, a sole source award to the large business RAYUS Radiology is necessary to ensure uninterrupted and high-quality imaging services.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The pricing for this acquisition has been deemed fair and reasonable, based on thorough market research and a comparison with a previously awarded contract for the lease of this unit under contract number 36C24125P0017. The incumbent, RAYUS Radiology, continues to offer this new lease at the same daily rate of , which is highly competitive. No additional work

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Acquisition ID#: 36C241-26-AP-0148 or funding will be required beyond the lease of this mobile PET/CT unit, once the permanent Radiology Suite is constructed at West Haven VAMC. Furthermore, no additional configurations are necessary to maintain service for this mobile unit, which will remain operational on the grounds of West Haven VAMC.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: Various traditional sites such as VetCert, NAC, GSA eLibrary, SBA DSBS, and FPDS were thoroughly searched. The Contracting Activity initiated its search on VetCert using NAICS 621512, which resulted in 184 findings. However, due to the proprietary nature of this ongoing lease, it will not be set aside for SDVOSB distributors. A search in the GSA e-Library under the manufacturer "Siemens" identified several small business contractors with GSA contracts;

nevertheless, this lease will be awarded to a large business.

An FPDS search using the keyword “Siemens Horizon” revealed nine contract actions: five were Siemens mobile trailer leases by large business Rayus Radiology (formerly Insight), and the other four by large business SHARED MEDICAL SERVICES INC. Given that the Horizon mobile PET/CT unit is already onsite at the West Haven VAMC, this lease will be sole sourced to Rayus Radiology.

The final search in SBA DSBS using the keyword “Siemens” produced 48 small business contractors, but this lease will also be awarded to a large business. Pursuing full and open competition would lead to undue delays and additional costs, adversely affecting the West Haven VAMC Radiology Department’s ability to provide PET/CT imaging. This could compromise patient safety and the quality of patient care. Therefore, West Haven VAMC will extend their lease of one Siemens Horizon 16-slice mobile PET/CT unit, currently onsite under contract number 36C24125P0017, for an additional 150 days.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: West Haven VA Medical Center is currently leasing a Siemens Horizon PET/CT scanner, provided by RAYUS Radiology and under contract 36C24125P0017. Should West Haven VAMC lose access to this scanner, PET-CT scans could not continue until a new vendor can supply a comparable PET-CT scanner. With the project nearly complete, there is insufficient time for training on new applications and software.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: RAYUS Radiology, located at 5775 Wayzata Blvd., Suite 400, St. Louis Park, MN 55416, is the sole potential source to maintain normal radiology service operations.

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: No measures will be taken to address any barriers. The West Haven VA Medical Center is already leasing a Siemens Horizon PET/CT scanner provided by RAYUS Radiology, which is currently onsite under contract 36C24125P0017.

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.