Single Source Justification 36C25725Q0434-CO signed.pdf

Revision: 01 Effective Date: 11/15/2024 Page 1 of 3 Acquisition ID# 36C257-25-AP-2698

DEPARTMENT OF VETERANS AFFAIRS

Justification for Single Source Awards IAW FAR 13.106-1 For

Over Micro-Purchase Threshold but Not Exceeding the SAT ($250K)

Acquisition Plan Action ID: 36C257-25-AP-2698 JOFOC Log Number: FY25 - NCO 17 - 1181

1. Contracting Activity: Department of Veterans Affairs, VISN 17, Network

Contracting Office 17, located at 5441 Babcock Rd, Suite 302 San Antonio, TX 78240, in support of VA Valley Coastal Bend Health Care System (VATXVCBHCS) Harlingen Health Care Clinic Bio-Med Service, 2601 Veterans Drive, Harlingen, Texas 78550. Requisition number (2237): 740-25-4-2153-0041

2. Brief Description of Services required and the intended use/Estimated

Amount: This requirement fulfills the ongoing need for Full Service of Preventative Maintenance and Repairs of VA owned Samsung equipment used in Radiology Services. (Samsung GM85, EE#17507, Serial #5143M3HK600009X Digital Detector SN#KR14MI9002582ADWCYK4M0089 and Samsung GM85, EE#17508 Serial #5143M3H6600011N Digital Detector SN#KR14MI9002582ADWCYK4M0077).

Estimated amount for Base plus Four-year contract, Firm Fixed Price: $240,000.00.

3. Unique characteristics that limit availability to only one source, with the reason no other supplies or services can be used: The Samsung GM85 is a sophisticated medical imaging system with proprietary components, such as the digital detector (e.g., SN#KR14MI9002582ADWCYK4M0089 and SN#KR14MI9002582ADWCYK4M0077), which require specialized knowledge of Samsung’s hardware, software, and diagnostic protocols. Samsung-certified technicians are uniquely trained and equipped with proprietary tools, firmware updates, and calibration procedures essential for maintaining the equipment’s performance and compliance with medical imaging standards. Non-certified technicians lack access to these resources, risking improper repairs or degraded functionality.

The government has a vested interest in preserving the warranty to ensure the equipment remains fully operational and to avoid additional costs from defects or failures. Samsung’s warranty terms, as outlined in their letter (please see market research bellow, and letter in braincase), explicitly require certified technicians to maintain coverage. FAR 46.501 encourages warranties to “protect the Government’s interest,” and FAR 46.703(c) emphasizes ensuring “conformance of supplies or services to contract requirements.” Allowing non-certified servicing would void the warranty, exposing the agency to financial and operational risks, such as costly repairs or replacement outside warranty coverage.

https://www.acquisition.gov/?q=/browse/far/13

Effective Date: 11/15/2024 Page 2 of 3 Acquisition ID# 36C257-25-AP-2698

The GM85 is used for diagnostic imaging, where accuracy and reliability are paramount for patient safety and mission success. Samsung-certified technicians ensure the equipment meets original performance specifications (e.g., image quality, radiation safety) through authorized parts and procedures. Non-certified servicing could compromise these standards, potentially leading to diagnostic errors or equipment downtime, which is unacceptable for a healthcare-related acquisition.

As a commercial item, the GM85 falls under FAR Part 12, which allows tailoring of contract terms to reflect customary commercial practices. Samsung’s requirement for certified technicians is consistent with their standard warranty policy for this equipment, as evidenced by their letter (please see market research below). FAR 12.302(b) permits such tailoring when necessary to meet agency needs, provided it aligns with market norms for high-tech medical devices.

4. Description of market research conducted and results or statement why it was not conducted:

Conducting market survey Based on a letter from NeuroLogica Corp. dated March 6, 2025, a Notice of Intent to Sole Source (36C25725Q0434) was posted for ten days, yielding no objections or responses. This letter outlines NeuroLogica’ s policy regarding authorized service for Samsung Digital Radiography (DR) products in the U.S.

Samsung DR products can only be installed and serviced by individuals authorized by NeuroLogica Corp. These service providers must either be direct employees of the company or contractors working directly with it. Authorized personnel, including dealers and service contractors, receive training exclusively from Samsung Certified Trainers at NeuroLogica’ s Training Institute in Danvers, Massachusetts.

Please note that this letter does not specifically name any other authorized service providers but NeuroLogica Corp. the current incumbent.

• A DSBS search utilizing keywords “Samsung maintenance” and NAICS 811210 rendered zero results.

• An AbilityOne search utilizing keywords “Samsung maintenance” zero results.

• A FPDS search utilizing keywords “Samsung maintenance” rendered multiple awards made to NeuroLogica Corp., three awards were made in 2024, one award was made in March 10,2025 (sole sourced, Contract number 36C26125P0723, Network Contracting Office 21.)

• A search in GSA utilizing keywords “Samsung maintenance” rendered zero results. Note: the search in GSA for service with keywords ““Samsung maintenance” rendered results for “maintenance” and for “Samsung” but not actual results for maintenance of Samsung equipment.

• A search in SAM.gov rendered multiple Sole Source requirements for Samsung equipment made to NeuroLogica Corp.

The VA Rule of Two cannot be fulfilled because market research confirms that no third-party providers possess the Samsung-specific training, tools, or

Effective Date: 11/15/2024 Page 3 of 3 Acquisition ID# 36C257-25-AP-2698 authorization required to service the Samsung GM85. Only Samsung-certified technicians are qualified to maintain these units (EE#17507 and EE#17508) without voiding the warranty or compromising proprietary technology and critical performance. Therefore, a single-source restriction is essential to safeguard the government’s investment, ensure operational reliability, and adhere to Samsung’s commercial warranty terms. As no other sources can meet these criteria, sole-source procurement of maintenance services is justified under FAR 6.302-1.

5. Contracting Officer's Certification: Purchase is approved in accordance with

FAR13.106-1(b). I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Name: _______________________________ Date: __________________ Jose Campa

Contracting Officer, Lab Support Team Network Contracting Office 17 https://acquisition.gov/far/current/html/Subpart%2013_1.html#wp1125466