S-44300-00008533.pdf

Sole Source Determination # S-44300-00008533 CSTAT 5788/gfd Page 1 of 6

SOLE-SOURCE DETERMINATION MEMO

FOR SUPPLIES AND SERVICES

Date: October 30, 2023 Sole source number: S-44300-00008533

To: Kirk N. Rhoades, Designated Procurement Officer ODHS Office of Contracts & Procurement

Requestor: Elizabeth Stelle Agency/division: Oregon Health Authority, Public Health Division Program/office: Oregon State Public Health Laboratory (OSPHL) Contract specialist: Geneva Degner

Agency Sole source rule: Sole source authority:

OHA OAR 137-047-0275 ORS 413.033

Estimated total contract value: Approximately $2,500,000.00 over a five-year period, with the option to extend for a maximum term of 10 years. This estimated spend is not a budget limit or not-to-exceed amount.

Description of goods or services: Hologic Panther Fusion upgrade modules (2), Hologic maintenance and service agreements, Hologic collection devices, reagents, test kits, consumables, and supplies.

1. Background: This Sole Source Determination applies to the purchase of Hologic Panther system upgrades, maintenance and service, equipment rental, collection devices, reagents, test kits and consumables used in testing for Chlamydia, Gonorrhea, SARS-CoV-2, and Influenza A and B. These instruments require the use of proprietary Hologic collection swabs, tubes, kits and other products. These high throughput instruments require minimal staff time by automatically running tests and providing results to submitters (hospitals, clinics, doctor’s offices, independent collection labs) to determine appropriate patient care.

2. Prospective contractor/vendor:

Legal entity name: Hologic Sales and Service, LLC

DBA:

Sole Source Determination # S-44300-00008533 CSTAT 5788/gfd Page 2 of 6

Address: 250 Campus Drive, Marlborough, MA 01752 Contact person: Casey Groh Phone: 509.290.9048 Email: Casey.Groh@hologic.com

Protests are due by 3:00 PM within seven calendar days after the first date the notice is posted on OregonBuys. Protests by telephone will not be accepted. Protests must be in writing sent via email to the following:

Oregon Department of Human Services Office of Contracts and Procurement ATTN: Geneva Degner Address: 500 Summer St NE, E03, Salem, OR 97301 Email: geneva.f.degner@odhsoha.oregon.gov

Agency reserves the right to expand the scope of work, term and dollar amount of the resulting contract to purchase additional goods and services, including but not limited to, future upgrades, instruments, software, on-call maintenance, preventative maintenance, calibration, training, test kits, consumables and supplies from Hologic for a period of up to 10 years from the date of this notice.

3. Written findings of fact (market research):

The findings below must include factual information supporting the determination that meet the sole source requirement in statute.

Pursuant to ORS 279B.075, Agency must conduct market research that supports the assertion that there is only one source that can provide the goods or services. Market research includes utilization of the internet, trade journals, agency vendor lists, professional organizations, studies, catalogs/industrial periodicals, vendor sources, yellow pages, etc.

For information technology contracts, any ownership or proprietary issues should be fully addressed with written documentation to support facts.

Agency must select at least one of the findings and prepare the determination as it specifically relates to the good or service being procured. More than one finding can be addressed. The findings are as follows:

mailto:geneva.f.degner@odhsoha.oregon.gov

Sole Source Determination # S-44300-00008533 CSTAT 5788/gfd Page 3 of 6

Pursuant to ORS 279B.075 (2)(a): Provide findings supporting the determination that the efficient utilization of existing goods requires the acquisition of compatible goods or services from only one source.

The OSPHL has invested significant funds and time into validating the specific kits, installing the large Panther Fusion Systems, ensuring proper venting, electrical capacity, and drainage. Laboratory renovations would be required to remove and replace the current system with a new system. The OSPHL has paid for the Hologic systems to interface with the Laboratory Information Management System (LIMS), and there are not sufficient funds to validate a new manufacturer’s testing platform. If OSPHL were required to bring on a new testing platform, both old and new systems would be required to run parallel for a period of time to ensure test results are validated and ranges are the same. The renovation costs associated with this are prohibitive and there is not sufficient space to house two different systems at once.

Only Hologic proprietary products are compatible with the existing Hologic Panther Fusion Systems currently installed at the laboratory. Hologic is the manufacturer and only distributor for Hologic products.

All Laboratory personnel currently use the Hologic instruments and are familiar with the testing procedures. Upgrading and maintaining the established systems and procedures, rather than changing platforms, provides substantial cost savings for the lab and will not disrupt the flow of testing and results reporting.

or

Pursuant to ORS 279B.075 (2)(b): Provide findings supporting the determination that the goods or services required for the exchange of software or data with other public or private agencies are available from only one source.

or Pursuant to ORS 279B.075 (2)(c): Provide findings supporting the determination that the goods or services are for use in a pilot or an experimental project.

or

Pursuant to ORS 279B.075 (2)(d): Any other findings that support the conclusion that the goods or services are available from only one source.

Internet market research indicates that Hologic Panther Fusion instruments and the Hologic kits and products used by OSPHL can only be obtained from Hologic and are not available under a DAS statewide price agreement or through distributors.

In searching Hologic’s website for authorized distributors, only Hologic company

Sole Source Determination # S-44300-00008533 CSTAT 5788/gfd Page 4 of 6 locations are listed. Only Hologic authorized service technicians may service and repair Hologic instruments.

APPROVED:

By:

Signed by DPO electronically via OregonBuys Kirk N. Rhoades or acting DPO

BRAND NAME DETERMINATION:

If a brand name is involved, Agency must also satisfy the requirements of OAR 125-247- 0691 by completing Attachment 1.

Sole Source Determination # S-44300-00008533 CSTAT 5788/gfd Page 5 of 6

ATTACHMENT 1

DETERMINATION OF BRAND NAME SPECIFICATION

Requestor: Elizabeth Stelle Agency/division: Oregon Health Authority, Public Health Division Program/office: Oregon State Public Health Laboratory (OSPHL)

Agency Brand name statute/rule: Brand name authority:

OHA ORS 279B.215 ORS 413.033

1. Brand name to be acquired: Hologic Panther Fusion equipment and products

Legal entity name: Hologic Sales and Service, LLC

DBA:

Address: 250 Campus Drive, Marlborough, MA 01752 Contact person: Casey Groh Phone: 509.290.9048 Email: Casey.Groh@hologic.com

2. Findings to satisfy required standards:

Use of a brand name specification is unlikely to encourage favoritism in the awarding of public contracts or substantially diminish competition for public contracts because:

Hologic Panther Fusion Systems are already in use by OSPHL. Hologic is the manufacturer and only supplier of Panther Fusion Systems, upgrades, products and services. Hologic does not sell through distributors and there are no competitors.

Only Hologic authorized service technicians may repair and service the Hologic instruments.

or

Use of a brand name specification would result in substantial cost savings to the agency or the public because:

or

Sole Source Determination # S-44300-00008533 CSTAT 5788/gfd Page 6 of 6

There is only one manufacturer or seller of the product of the quality, performance or functionality required; because:

or The efficient utilization of existing goods requires the acquisition of compatible goods or services because:

The OSPHL has invested significant funds and time into validating the specific kits, installing the large Panther Fusion Systems, ensuring proper venting, electrical capacity, and drainage. Laboratory renovations would be required to remove and replace the current system with a new system. The OSPHL has paid for the Hologic systems to interface with the Laboratory Information Management System (LIMS), and there are not sufficient funds to validate a new manufacturer’s testing platform. If OSPHL were required to bring on a new testing platform, both old and new systems would be required to run parallel for a period of time to ensure test results are validated and ranges are the same. The renovation costs associated with this are prohibitive and there is not sufficient space to house two different systems at once.

Only Hologic proprietary products are compatible with the existing Hologic Panther Fusion Systems currently installed at the laboratory. Hologic is the manufacturer and only distributor for Hologic products.

FINDINGS

The findings are accepted, adopted, and incorporated by reference herein.