Sole Source Justification - Loss of Use for RMR Med Gas.pdf

JOFOC Tracking Number: FY24 NCO 19 2733

Attachment 1: Request for SDVOSB/VOSB Sole Source Justification Format IAW VAAR 819.7008/9

VHAPG Part 819.7008/7009 Sole Source Awards to SDVOSB/VOSB Page 1 of 3 Revision: 03 Effective Date: 06/15/2024

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition

Acquisition Plan Action ID: 36C259 24 AP 4149

1. Contracting Activity: Organizational Activity:

Department of Veterans Affairs Department of Veterans Affairs Network Contracting Office 19 (NCO 19) Eastern Colorado Health Care System (ECHCS) 6162 South Willow Drive, Suite 300 1700 N Wheeling Street Greenwood Village, CO 80111 Aurora, CO 80045

2237#: 554 19 4 104 0241, 554 20 4 104 3563, 554 21 4 104 4325, 554 22 4 104 5840

2. Nature and/or Description of the Action Being Approved: This procurement is for a sole source firm fixed priced contract to Service Disabled Veteran Owned Small Business (SDVOSB) for the payment of lost/missing medical gas cylinders rented by Eastern Colorado Health Care System (ECHCS) against expired Indefinite Delivery Indefinite Quantity (IDIQ) 36C25918D0178.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The procurement provides payment for rented cylinders that were lost during the performance of the VISN 19 Medical Gas contract. At the end of contract 36C25918D0178 on 10 31 2023 an end of contract inventory was conducted, and the lost cylinders owned by the vendor, RAS Enterprises need to be paid for replacement. The estimated total contract amount is

4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC §3304(a)(5), 38 U.S.

Code § 8127(c), as implemented by FAR 13 (Authorized or Required by Statute). COs may use the non competitive (sole source) procedures authorized in VAAR 819.7008 (DEVIATION) or VAAR

819.7009 (DEVIATION) up to $5,000,000. Check the specific VAAR clause used below:

(X) 819.7008 Sole source awards to a certified service disabled veteran owned small business; or ( ) 819.7009 Sole source awards to a certified veteran owned small business

5. Demonstration that the Contractor’s Unique Qualifications and/or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): The authority above allows sole source awards to SDVOSB based on 38 U.S.C. 8127(c) and the SDVOSB concern, RAS Enterprises LLC, has been determined to be a responsible source with respect to performance and the business meets eligibility requirements in VAAR 819.7003. Additionally, RAS Enterprises LLC was the incumbent contractor satisfactorily providing the medical gases and rentals to the VISN 19 station in accordance with contract 36C25918D0178.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable, including whether a notice was or will be publicized as required by FAR Subpart 5.2 and, if not, which exception under FAR 5.202 applies: Market research was conduct as

VHAPG Part 819.7008/7009 Sole Source Awards to SDVOSB/VOSB Page 2 of 3 Revision: 03 Effective Date: 06/15/2024 described in paragraph 8 below and RAS Enterprises is a responsible SDVOSB and sole source award will be completed to meet the needs of ECHCS for replacement of lost cylinders that were rented form the vendor. This strategy is determined to be in the best interest of the government. Per the exception under FAR 5.202(a)(4), a notice will not be publicized for this proposed contract action as it is expressly authorized or required by statute 38 U.S. Code § 8127(c) to award a contract to a small business concern owned and controlled by veterans or a small business concern owned and controlled by veterans with service connected disabilities using procedures other than competitive procedures.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: It is anticipated that fair and reasonable price determination will be found with the pricing offered from RAS Enterprises LLC as they are currently providing the VISN 19 with medical gases and pricing can be compared to recent award of similar items. A determination of fair and reasonable pricing will also be prepared prior to award of the subsequent contract.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: In accordance with FAR 10, market research utilized SBA VetCert, and electronic Contract Management System (eCMS), which confirmed only RAS Enterprise is the only vendor for this requirement as it is for payment of their cylinders that were lost during performance of 36C25918D0178. The vendor met the eligibility criteria outlined in VAAR 819.7003, they are verified in SBA VetCert and the action is below the $5M threshold.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: None. Authority under 38 USC 8127(c).

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

RAS ENTERPRISES LLC

2512 25TH AVE, STE 3

Gulfport, Mississippi 39501

PH: 228.868.5478

Email: randy@rasenterprises.biz CAGE Number 3QDR3

SAM UEI: RSCDDXH8DFZ9

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 ascertain if there are changes in the marketplace at the time of future medical gas requirements allowing a more competitive approach, if available.

VHAPG Part 819.7008/7009 Sole Source Awards to SDVOSB/VOSB Page 3 of 3 Revision: 03 Effective Date: 06/15/2024

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.

Acquisition & Utilization Specialist Eastern Colorado Health Care System

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.

Contracting Officer

NCO 19

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.

Supply/Services Denver, Branch Chief

NCO 19