P03(Rdacted)_JA SAT-SAP Par Excellence.docx

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

DEPARTMENT OF VETERANS AFFAIRS

BRAND NAME JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C259-23-AP-1312 Tracking Number: 36C259-23-AP-1312

1. Contracting Activity: Organizational Activity:

Department of Veterans Affairs Department of Veterans Affairs Network Contracting Office 19 Salt Lake City VA Medical Center (NCO19) 500 Foothill Drive 6162 South Willow Drive, Suite 300 Salt Lake City, Utah 84148 Greenwood Village, Colorado 80111

2. Nature and/or Description of the Action Being Processed: Product / Purchase and installation of a weight based inventory management system in 12 off-site Leased buildings(CBOC’s) and 1 onsite leased building.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: : PAR Excellence is an inventory management technology that uses calibrated/weight bins to capture data related to end user usage, stock replenishment and other inventory related transactions in a supply closet. This technology captures transactions and usage data and keeps it stored on the users workstations and networks with VISTA/GIP. What this system will allow is for the complete inventory of all expendable medical supplies to be accurately updated and correct on hand quantities updated in the system every 15 minutes. This will require less man hours to have a more accurate inventory. This system will incorporate accurate inventory accounct at all community based clinics. The system eliminates manual counting systems performed by clinicians.

Estimated dollor value: $507,850.21

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 ( ) 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 requested Par Excellence products are propiatary and is the only company that has a weight-based inventory management system that currently networks directly with VISTA/GIP in all scan modes. SDV Medical is the only authorized distributer of the Par Excellence system. SDV Office Systems are an SDVOSB.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Multiple SDVOSB’s and SB’s that offered inventory management systems were discovered during market research. However, Par Exellence has the only product that will intergrate with the VISTA & GIP system that are currently in place at the Salt Lake City VA Medical Center. SDV Office Systems LLC is the only athorized SDVOSB distributor for Par Excellence.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: Unit/lines item prices on new quote were compared the unit/line item prices on the most recent contract that had the exact same items, 36C25922P1314. It was determined that there was an average increase of 6.4% per unit price. According to the consumer price index, the average price of rose by 6.5% over the past 12 months. 2023 pricing is determined to be fair and reasonable due too new year pricing and inflation.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: A search was performed using VIP, SBA, FPDS, GSA and SAM. All market research showed that only Par Excellence is the only company that currently manufactures a weight based inventory management system that fully intergrates with VISTA/GIP in all scan modes. Par Excellence is a LB manufacture. SDV Office Systems LLC is the sole SDVOSB distributor of there products. Previous sources sought (36C25922Q0467) was posted for a previous procurement of the same equipment less than 7 months ago. Results of the sources sought discovered that multiple SB vendors were capapable of providing similar items but it would take some time to intergrate the systems to work with the VISTA and GIP programs that are already in place. VISN 19 previously awarded to SDV Office Solutions LLC for the exact type of equipment at the Salt Lake City VA Medical Center under contract 36C25922P1314, during 4th quarter of 2022 for $3,099,317.86. This is a follow-on requirement. Changing to systems would result in significant cost and potentially have unneccasary negative impact on the veterans.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: Par Exellence is the only manufacture that has a developed inventory weight based inventory management system that can fully intergrate with VISTA and GIP programs, in place at the Salt Lake City VA Medical Center. Par Excellence is a large business and has only one athorized SDVOSB distributor (SDV Office Systems LLC.)

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

· SDV Office Systems LLC (SDVOSB) NACIS 541519/333997/6670 scales Has PAR Excellence Distributor Letter

· Electronic Logistics Network (SB) NAICS 423430/541922 (Only responded with a question and did not provide any other potential vendors that support requested products)

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: Continue to monitor the market for this type of product. At this time there are no other options available on the market that can fully be integrated in the the VISTA & GIP programing that is already in place at the Salt Lake City VA Medicial Center.

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.

Steven Harrelson Supervisory, Inventory Management Specialist Salt lake City VA Medical Center

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.

Douglas D. Buffington Contracting Officer NCO 19, Supply Team 2

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.

Jason Thomas Branch Chief NCO 19, Supply Team 2

Last Updated: 02/01/22 Page 1 of 9