Acquisition ID#: 36C242-26-AP-1825

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS IN ACCORDANCE WITH RFO FAR 12

Acquisition Plan Action ID: 36C242-26-AP-1825

1. Contracting Activity: Department of Veterans Affairs, VISN 02, Network Contracting Office 2, Margaret Cochran Corbin VA Campus, 423 East 23rd Street, New York, NY 10010-5011.

Organizational Activity: James J. Peters VA Medical Center, 130 W. Kingsbridge Road, Bronx NY, 10468.

2237: 526-26-2-3086-0026

2. Nature and/or Description of the Action Being Processed: The James J. Peters VA Medical Center (Bronx) requests the brand name only purchase of the Omnicell Anesthesia XT Workstation to replace the end-of-of-life Omnicell Anesthesia G5, which can no longer deliver effective oversight in high-diversion areas.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The Omnicell XT Anesthesia Workstation is an automated medication management system for OR that securely stores, tracks and dispenses anesthesia medications and supplies. The procurement consists of 9 XT Anesthesia Workstations together with ancillary equipment. It includes the operating software, training for 12 months, installation and support services for 12 months via the Advantage Plan.

The estimated value of the proposed action is $ 471,629.28.

Period of Performance: The contractor must provide all the deliverables required within 60 days after award.

4. Statutory Authority Permitting Restricted Competition:

RFO FAR 12 Acquisition of Commercial Products and Commercial Services. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 12 is 41 U.S.C. § 1901 and is implemented by RFO FAR 12.102(b) 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 per 41 U.S.C. § 1901 as implemented by RFO FAR 12.201-1;

( ) Unusual and Compelling Urgency as implemented by RFO FAR 12.201-1;

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

Services per 41 U.S.C. § 1901 as implemented by RFO FAR 12.201-1;

( ) International Agreement per 41 U.S.C. § 1901 as implemented by RFO FAR 12.201-1;

( ) Authorized or Required by Statute per 41 U.S.C. § 1901 as implemented by RFO FAR

12.201-1;

( ) National Security per 41 U.S.C. § 1901 as implemented by RFO FAR 12.201-1;

( ) Public Interest per 41 U.S.C. § 1901 as implemented by RFO FAR 12.201-1;

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 James J. Peters VA Medical Center (Bronx) requests the brand name only purchase of the Omnicell Anesthesia XT Workstation to replace the end-of-life Omnicell Anesthesia G5, which can no longer deliver effective oversight in high-diversion areas.

Having utilized the G5 Omnicell workstations at James J. Peters VA Medical Center, the Omnicenter server is already in place to support all Omnicell units. The existing server infrastructure is extensively used to support Omnicell equipment across all wards in the hospital that manages pharmaceuticals with other Omnicell XT units. Additionally, an ongoing service contract with Omnicell is in place to maintain and support the equipment. Given this established setup, procuring the new Omnicell XT anesthesia workstations is essential to ensure seamless integration with the current server, maintain compatibility across all departments, and leverage the existing service contract. Furthermore, the pharmacy has collaboratively ensured that the supplied medications fit into the various specialized and personalized drawers provided by the equipment. Any deviation from procuring Omnicell-specific equipment would lead to significant operational disruptions, increased costs for reconfiguration, and potential risks to the continuity of patient care services.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: The OEM, who provided a quote, was contacted requesting a list of any authorized distributors. One name was provided, TrillaMed, a SDVOSB firm, and that distributor was contacted for a quote, which it provided.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The quote from the OEM, Omnicell, is based off pricing in the Federal Supply Schedule ensuring standardized terms for purchase, delivery and installation across all federal facilities.

TrillaMed’s initial quote was approximately 10% higher than that provided by Omnicell. When TrillaMed learned that a sole source award to Omnicell was pending, they offered to improve their pricing. We asked both vendors for their best offer. Omnicell stated their quote remained the same since it was based upon pricing in the Federal Supply Schedule while TrillaMed’s revised quote was approximately 2.4% higher than Omnicell's well within the 5% pricing preference allowed SDVOSB/VOSB firms.

This procurement will be satisfied by the revised quote offered by TrillaMed, which is considered the best value to the government. The estimated value of this procurement is $482,982.17.

Given that the current equipment has outlasted its expected lifespan without early replacement, this solution remains the most reliable and cost-effective choice for the facility and patient care.

Additionally, the necessary software is already installed, and the OR staff are fully trained and proficient in its use. The interface is already configured, and the background data files, including drug libraries, are in place, significantly reducing setup time and manpower. Alternative solutions are incompatible, requiring additional manpower for maintenance and resulting in conflicting operational workflows.

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

Market Research Was Not Conducted: A search on SBA Small Business Search using NAICS code 339112 in the profile showed two (2) SD/VOSBs: ReliableMed Supply, LLC. and Victor Medical Supply, LLC. A search on the SBA Small Business Search inserting NAICS code 339112 in the NAICS filter produced a list of 988 SD/VOSBs. This second set of search results will be ignored since the search results using the first set of parameters appear more relevant for our procurement.

A search on FPDS using keywords “Omnicell XT Anesthesia Workstation” showed previously awarded VA contract 36C24621N0934, awarded on 06/29/2021.

A search on GSA using part number “ANT-FRM-006” produced one vendor on a FSS contract.

Omnicell holds contract number 36F79723D0073 issued March 1, 2023. It is a large business.

A search on SCMC using part number “ANT-FRM-006” showed one result, Omnicell, which referenced the aforementioned contract.

A search on ECAT using part number “ANT-FRM-006” produced two results, the aforementioned FSS contract with Omnicell and an ECAT contract. TrillaMed holds the ECAT contract SPE2D121D7004 which was awarded August 18, 2021.

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: Two firms provided quotes:

Firm 1: Omnicell (Large Business) 500 Cranberry Woods Drive Cranberry Township, Pennsylvania 16066-5224 Bradley Galbreath, Director of Strategic Accounts bradley.galbreath@omnicell.com 817-239-C0308

Firm 2: TrillaMed (SDVOSB) 20300 W. 12 Mile Suite 103 Southfield, MI 48076 Tejas Smart, Senior Vice President tsmart@trillamed.com

(248) 203-9734

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: Should there be a future procurement, the OEM will be contacted to determine if there are additional authorized distributors, which would increase competition.

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.

Christopher R. Boccio Date Service Chief, Pharmacy Service mailto:bradley.galbreath@omnicell.com mailto:tsmart@trillamed.com

James J. Peters VAMC

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.

Alan Brasunas Date Contracting Officer

NCO 2

b. One Level Above the Contracting Officer (Required over $350K but not exceeding $900K): I certify the justification meets requirements for other than full and open competition.

Brad Mills Date

Supervisory Contract Specialist

NCO 2

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