REDACTED JOFOC.pdf

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

Effective Date: 02/01/2022 Page 8 of 10

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):

While other nurse call systems are available on the market, with approximately half of the Reno VAMC upgraded presently to the Responder V, the costs associated with a full transition to another system would be extensive. Nurse Call Systems fall under Underwriters Laboratories (UL) Standard 1069 for Nurse Call and Emergency Call Systems. UL 1069 Standard for Hospital Signaling and Nurse Call Equipment was written to deal with the noise and electrical interferences common in hospital and healthcare facilities. The Original Equipment Manufacturer (OEM), Rauland-Borg’s Responder systems were designed to be compatible only with Rauland-Borg devices. Attempts to integrate other manufacturer parts or systems risks compliance with the UL1069 standard. Integrating the existing R5 components to any other manufacturers system would require additional transition time which introduces increased patient risk as the nurse call system is in use 24 hours a day. It would also introduce duplicated costs for procurement and maintenance on elements like software which are currently in place and do not require adjustment with an upgrade from R4 to R5. Integrating the existing R5 components to any other manufacturers system would void warranties in place on R5 components that were introduced within the last five (5) years which according to acquisition history would include several sections of the VAMC.

Rauland-Borg, a small business, maintains an authorized distributor and installer list on GSA under contract 47QTCA21D0098. A market inquiry to Cindy Dauber on behalf of OEM Rauland-Borg confirmed that authorized distributors have unique regions and only one distributor covers a given area. Innovative Communications Systems, LLC, a small business, is the only authorized distributor for the Reno/Northern Nevada area.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: A market research outreach was made to the OEM, Rauland-Borg to understand whether additional authorized distributors existed but confirmed that only Innovative Communications Systems, LLC would be authorized to provide the necessary parts and labor required for the Reno VAMC.

Effective Date: 02/01/2022 Page 9 of 10

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: Quoted prices will be compared with those deemed fair and reasonable in historical purchases, including comparison to the Rauland-Borg General Services Administration (GSA) contract which includes many of the necessary items for this requirement. This is in accordance with FAR 13.106-3 (a)(2)(ii) and (iii).

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: While the Small Business Administration (SBA) Dynamic Small Business Search (DSBS) was utilized to identify 656 Service Disabled Veteran Owned Small Businesses (SDVOSB) and 102 Veteran Owned Small Businesses (VOSBs) under NAICS 334111 (Electronic Computer Manufacturing), the market research outreach to the OEM, Rauland-Borg, confirmed that no SDVOSBs or VOSBs are authorized to distribute parts for the Responder V system to the Reno/Northern Nevada area. Per the OEM, authorized distributors have unique regions and only one distributor covers a given area. A search of SAM.gov Opportunities displays prior sole source procurements with redacted justifications for Nurse Call System Upgrades to the Responder V systems. While the recipients of such sole source awards are different based on regional distributors for Rauland-Borg, this reinforces that only one distributor is available per region and that this requirement cannot be competed.

This requirement cannot be set aside for small business, given only one source is capable of providing the necessary equipment and authorized installation. The VA Rule of Two cannot be met. The Non-Manufacturer Rule will not prohibit an award to a small business when the manufacturer is also a small business. The Buy American Act is not expected to limit the procurement of these domestic end items but appropriate BAA clauses and provisions will be utilized within the solicitation to allow respondents to confirm or correct assumptions on the domestic nature of this procurement.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: There are no other facts.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: Only Innovative Communications Systems, LLC is known capable of meeting this requirement.

The vendor has expressed interest by providing market researching pricing for the necessary upgrade.

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 identify any additional sources or products that may meet future requirements.

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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.

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.

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.

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 approve ($750K to $7.5 million (or $15.0 million for acquisitions described in FAR 13.500(c)) for other than full and open competition.