SP_REQ-DASOBO-00021243_Amd-1_Attachment 1.pdf

REQUEST FOR SPECIAL PROCUREMENT

Submit a Special Request through ORPIN to the Department of Administrative Services State Procurement Office. The Agency Head or designee (e.g., Designated Procurement Officer) must authorize this Special Request.

PART A. Requesting Agency must complete Items I through 13.

1. Requesting Agency Name: Department of Administrative Services (DAS) Procurement Services

2. Date of Request: 08-08-2012 3. Agency 5-digit Number: ~1~0~7~0~0 _____ _

4. Agency Contact Name: Lori Nordlien S. Phone: 503-378-6781

6. Type of Request: _ Class Special Procurement _lL Contract-specific Special Procurement

7. Time Period Requested: From: 09/01/2012 To: 08/31/2022

8. Total Estimated Cost: $5 000 000.00

9. Title: Supplies and/or Services to be Acquired:

DNA equipment/instruments, equipment upgrades, future technology equipment, maintenance services for the equipment and its operating software, analytical/data analysis software, maintenance for the analytical/data analysis software, and consumable supplies that is specified for human identification or intended for use with the human identification supplies to determine the genotype of evidence (Supplies and Services).

10. Background and Proposed Contracting Procedure: Provide a description of what has been done in the past and the proposed procedure. The Agency may, but is not required to, also include the following types of documents: Notice/Advertising, Solicitation(s), Bid/Proposal Forms(s), Contract Form(s), and any other documents or forms to be used in the proposed contracting procedure. Attach additional sheets as needed.

Request: The Oregon Department of State Police (OSP) Forensic Services Division (FSO) requests approval ofthis Special Procurement process to directly award a price agreement to Life Technologies Corporation (LTC), formerly known as Applied Biosystems, Inc. or ABI, for the Supplies and Services.

Background:

Overview

Since 1997, the purchases of the Supplies and Services have been under separate contracts. It would be very beneficial to OSP, DAS and Department of Justice (DOJ) to have one contract for five years, with the option to extend for another five years, that would allow OSP to purchase L TC Supplies and Services.

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The OSP FSD provides DNA testing in criminal cases. OSP FSD analytical equipment and its supplies are validated for OSP FSD's casework and only complementary kits meeting the requirements of the validation are used.

The OSP FSD DNA unit utilizes exclusively LTC Supplies and Services from the quantitation step through the DNA data analysis step.

OSP FSD's goal is to have consistent, reliable, accurate, and verifiable data in performing laboratory testing. OSP FSD has a need to have properly functioning analytical equipment, and the performance of analytical instruments, software, and consumables plays a major role in achieving FSD's mission.

Therefore, validating OSP FSD's Supplies and Services is a part ofOSP FSD's practice in meeting FSD's accreditation requirements when providing DNA testing.

The procedure for performing a type of DNA testing done through OSP FSD laboratories is called Short Tandem Repeats (STR) analysis, and was validated in 1997 with two complementary kits supplied by Applied Biosystems, the predecessor of LTC.

Expiring Price Agreement:

In October 2006, the State Procurement Office awarded a sole source Price Agreement #6841 to Applied Biosystems for the purchase of multiple DNA reagents, typing kits, genetic analyzer capillaries, and other consumable supplies ("Consumables"). This price agreement has evolved over time as OSP FSD added more items into the products list catalog of accepted and validated consumables. This price agreement expired on June 30, 2012, and OSP FSD now needs to replace this price agreement with an updated agreement in order to maintain OSP FSD's validated procedures for DNA testing. OSP has a need to update the consumable list as the industry has progressed over time and put in place the proposed price agreement that will allow for the consumable list to be updated over time as the consumable list changes and technology changes.

Equipment validation and needs:

FSD has an ongoing need to purchase additional Supplies and Services. The equipment must. conform to certain functions and performance specifications; therefore, associated hardware, software, and fmnware must also conform and contribute to the overall proper function and performance of the equipment. The Supplies and Services function as a system that, as mentioned before, requires validation. Each time a new component of the system is changed, the system has to be re-validated.

The following past price agreement and contract would be superceded by the new proposed price agreement:

1. 6841- Price Agreement for DNA consumables, expired 06-30-12

2. 102-1308-08 - Contract for the ABI 3130xl Genetic Analyzer ID Systems and Services (The model is no longer manufactured), expires 4-1-14

Vendor proven performance and reliability:

LTC and its predecessor, Applied Biosystems, Inc., have been vendors that have provided exceptionally high quality products and have exceptional proven performance in providing quality Supplies and Services . L TC has a special section of its company dedicated to human identification and Forensic DNA analysis. Forensic DNA analysis has special restrictions and applications that LTC implemented in the production and distribution of their Supplies and Services. FSD needs a vendor that is reliable and can provide appropriate and proper ongoing quality assurance. L TC has these resources that meet OSP FSD's needs.

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Consumables

Supplies and Services include consumable supplies that are specified for human identification or intended for use with the human identification supply. The consumable Supplies include DNA typing kits, DNA quantitation kits, buffers, polymer and plastic products.

Equipment/Instruments

Supplies and Services include equipment/instruments or components that are specified for human identification use and proprietary to L TC, including different brands of equipment/instruments such as Invitrogen®, and Applied Biosystems®.

Software

Supplies and Services include any software programs that are specified for human identification use and proprietary to LTC. OSP FSD currently uses the Applied Biosystems® GeneMapper® ID-XSoftware to analyze casework and CO DIS database results. DNA fragment results from the Genetic Analyzers are transferred into the software program. The software is a powerful data analysis tool that significantly reduces the amount of time spent on routine data analysis and manual review for both single source and forensic casework samples. This software improves lab productivity by minimizing data review and adds consistency and reproducibility to the review process.

Maintenance

Supplies and Services include the maintenance of the equipment/instruments, its operating software and the analytical software.

Proposed Procedure:

1) Public Notice for seven (7) days of the approval ofthis Special Procurement and DAS Procurement Services' intent to award a price agreement to L TC. If no protests are received, or if any protest is resolved by the State Chief Procurement Officer, then

2) Direct negotiation with LTC and award of the proposed price agreement.

11. Justification for use of Special Procurement: Describe the circumstances that justify the use of a Special Procurement. Attach relevant documentation.

Based on OSP FSD's past experience with Applied Biosystems, Inc, (now LTC) OSP FSD finds that L TC meets OSP FSD's accreditation requirements for qualifications of its equipments and for use in OSP FSD's validated processes and applications. OSP FSD has 15 years experience with Applied Biosystems, Inc.'s and LTC's Supplies and Services as the OSP FSD's providers for human identification since 1997, when the OSP FSD started using the AB CE310 and CE3100 instruments, along with the "Profiler Plus" and "COfiler" kits.

Efficiencies

The efficient utilization of existing DNA consumable supplies, software, and equipment/instruments requires the acquisition of compatible equipment/instruments, equipment upgrades, analytical/data analysis software, and consumable supplies. The current DNA nnit operations have been validated and optimized using the LTC's Supplies and Services. A change in any one of these DNA analysis products would have an impact on the operations of the laboratory. The level of the impact could be major and delay the release of DNA data needed by the Criminal Justice System.

This Special Procurement would allow the OSP FSD to continue to purchase L TC' s Supplies and Services and, therefore provide the following efficiencies:

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• Human identification validation would be more efficient due to the familiarity with the DNA consumables, instruments and software.

• 1bis will allow the OSP FSD to have multiple instruments of the same type of platform or updated platform which will save money in consumable supplies and maintenance.

• Equipment maintenance would require less time due to existing knowledge and experience with Applied Biosystems instruments.

• Consumables used on the other existing Applied Biosystems instruments could be used, saving time and money.

L TC has a very good ordering process and provides excellent service through a dedicated staff within a section of the company responsible for human identification and Forensic DNA analysis. LTC has implemented special restrictions and applications in the production and distribution of its equipment/instruments, equipment upgrades, firmware, analytical/data analysis software, and consumable supplies.

Cost Consideration:

To save the state money andtime, maintain consistency, and stay within its laboratory accreditation and validation requirements, OSP FSD requests approval of this Special Procurement to continue using L TC as its provider for the Supplies and Services.

It would cost the State tremendous expense to change manufacturers for its DNA systems after acquiring Supplies and Services for over 15 years from LTC. Changing equipment, software, or consumables would be cost prohibitive due to the expenses associated with FSD staff time for validating, implementing, and training on new equipment and processes for DNA testing. Furthermore, changing DNA equipment and processes will result in operation downtime, increased DNA backlog, inability to meet court deadlines, and may create additional court challenges which is not an acceptable option to the

OSP FSD.

Further, if the OSP FSD had to change to a different manufacturer's equipment, OSP FSD would not be able to trade-in the used LTC (Applied Biosystem®) equipment. This is not an efficient use of state funds by the OSP FSD. The OSP FSD does not have an exact calculation of the estimated cost to change each part of the DNA systems. Depending on which part is changed, it could take several months of validation time plus the training for the analysts.

Compatibility:

It is crucial to have hardware, software, and firmware that are compatible with the current equipment/instruments and its associated hardware, software, and firmware. Additionally, the Supplies have to be compatible and usable with the equipment/instruments.

Equipment & supplies through one source:

OSP FSD finds that Life Technologies is the sole manufacturer or provider of the Supplies and Services.

12. Findings to Satisfy the Required Standards: This proposed special procurement:

(a) will be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts because there is no other known source for the equipment, equipment upgrades, software, and equipment/software maintenance. There is an alternate source for similar but not identical consumables that do not meet the needs of OSP FSD. The alternate source is not significantly less costly and in some instances the consumables do not perform as well as the L TC consumables.

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The "DNA test kits" currently in use by the DNA section, specifically the Identifiler and Identifiler Plus amplification kits, are the only conunercially available kits that allow for the simultaneous testing of the specific DNA markers used by OSP FSD DNA Unit. Both of these kits were extensively validated by the OSP DNA Unit to determine their sensitivity, precision, and accuracy. In addition, all ofOSP FSD's workflow and infrastructure, including case file documentation and worksheets, instrumentation thresholds, database searches, etc, are built around these specific amplification kits.

The similar kits from the alternate source look at some of the same DNA locations, but not all, and do not produce the same results as the current test kits when used on evidence, reference, or databasing samples. This conclusion is supported by published studies and presentations from scientific meetings regarding the differences between the commercially available amplification kits, comparing and contrasting their performance.

Therefore, it is unlikely that competition exists to meet the requirements of OSP FSD.

and

(b )(ii) the proposed special procurement will otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with the requirements of ORS 279B.055, 279B.060, 279B.065, or 279B.070, or any rules adopted thereunder because the other sourcing methods do not permit a direct award of a single price agreement to L TC in the place of various solicitations and contracts. The price agreement for the Supplies and Services will efficiently support OSP FSD in providing a public service that no other agency in the state can provide. The OSP FSD provides scientific support and technical forensic services to the Criminal Justice system in Oregon including law enforcement, district attorneys, courts and the defendants in criminal cases. The analysis of evidence supports investigators in the assessment of criminal activities against people and property. OSP FSD also provides unbiased testimony that assists judges and/or juries in courts. The results of the scientific examination provides investigative information that assists all criminal justice partners in ensuring the safety of the people of Oregon. OSP FSD's analytical results may lead to a resolution of a case prior to the trial due to a plea agreement being reached or charges being dropped. This saves the State of Oregon, counties or cities the expenses associated with going to trial. If during the course of an investigation OSP FSD's scientific findings exclude an individual as the source of the evidence, it can save police officers' time and allow them to focus their investigation on finding the real perpetrator.

This public service cannot be measured in dollars and cents, or in any other form of performance metric.

It is simply a service that keeps criminals off the street, and protects the innocent from injustice.

13. Optional Signatnre: The signature of the Agency Head or designee ( e.g., Designated Procurement Officer) is not required on the Request submitted through ORPIN. Agency may also elect to attach a signed Request as a pdf file through ORPIN or submit a signed hard-copy Request.

Electronically in ORPIN Name Date

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REQUEST FOR SPECIAL PROCUREMENT

PART B. The State Procurement Policy Office of the Department of Administrative Services completes Part B.

STATUTORY AND RULE AUTHORITY:

ORS 279B.085(3) states the Director of the Department of Administrative Services may approve a special procurement if the Director finds that a written request submitted under ORS 279B.085(2) demonstrates that the use of a special procurement as described in the request, or an alternative procedure prescribed by the Director will:

(a) Be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts; and (b)(A) Result in substantial cost savings to the contracting agency or to the public; or

(B) Otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with requirements that are applicable under ORS 279B.055, 279B.060, 279B.065 or 279B.070 or under any rules adopted thereunder.

OAR 125-246-0170 delegates the authority of the Director to approve special procurements to the Chief Procurement Officer of the State Procurement Policy Office, Department of Administrative Services. OAR 125- 247-0285 through 125-247-0288 implement ORS 279B.085.

FINDINGS:

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

CONDITIONS OF APPROVAL:

1. Notice Period before Award. DAS Procurement Services shall post the notice, The Special Procurement may not be used until after the completion of the seven (7) day notice period required pursuant to OAR 125-247- 0287(4), and either:

No protests or objections were received by DAS Procurement Services in response to this notice, or ii If any protest or objection is received during the notice period, then not until the Chief Procurement

Officer or delegatee confirms in writing the first possible award date.

2. SB 1518 (2012) Requirements. DAS Procurement Services shall comply with the requirements of SB 1518 (Chapter 53, 2012 Laws), regarding a report about this Special Procurement DAS Procurement Services shall use a form and follow the instructions provided by the Chief Procurement Officer or delegate.

APPROVED:

Karen Hartley for ~:

Dianne Lancaster Date Chief Procurement Officer, Department of Administrative Services

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