VA797H-17-D-0024-119.pdf

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DEPARTMENT OF VETERAN AFFAIRS

Office of Acquisition and Logistics

National Acquisition Center P.O. Box 76

Hines, IL 60141

Justification for an Exception to Fair Opportunity FAR 16.505(b)(2)(i)(A) – Urgency

(1) Identification of the agency and the contracting activity.

This Class Justification for an Exception to Fair Opportunity is in accordance with FAR 16.505(b)(2)(i)(A) – The agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays. This justification is on behalf of the Veterans Health Administration (VHA) and will be executed by the Department of Veterans Affairs National Acquisition Center (NAC – 36A797) located in Hines, IL.

(2) Nature and/or description of the action being approved.

This activity intends to issue numerous sole-source delivery orders for Portable X-Ray and Ultrasound systems against the NAC Indefinite Delivery, Indefinite Quantity contracts for Radiology High-Tech Medical Equipment (HTME) in order to support VHA’s efforts in response to COVID-19. Orders will be issued to various manufacturers/contract holders based on equipment that is currently in use at a given VHA facility.

(3) A description of the supplies or services required to meet the agency’s needs, including the estimated value.

Portable X-Ray units are required for radiographic imaging and will be used for general adult two-dimensional (2-D) radiographic studies, predominantly for chest x-rays. Ultrasound units are required for imaging abdominal and small parts, as well as vascular and cardiac procedures. Portable X-Ray and Ultrasound equipment will be used to diagnose, monitor, and treat Veterans in response to the COVID-19 pandemic national emergency.

Each medical facility across VHA, approximately 170 facilities, may be in need of at least one

(1) Portable X-Ray system and one (1) Ultrasound system. Facilities may need additional systems based on the number of COVID-19 cases being treated.

VISN Facility Name Station 1 (402) Togus, ME 402 1 (405) White River Junction, VT 405 1 (518) Bedford, MA 518 1 (523) Boston HCS (Boston) 523 1 (608) Manchester, NH 608 1 (650) Providence, RI 650 1 (689) Connecticut HCS (Westhaven) 689 2 (526) Bronx, NY 526 2 (528) Buffalo, NY 528

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2 (528A5) Canandaigua, NY 528 2 (528A6) Bath, NY 528 2 (528A7) Syracuse, NY 528 2 (528A8) Albany, NY 528 2 (561) New Jersey HCS (East Orange) 561 2 (620) Hudson Valley HCS (Castle Point, Montrose) 620 2 (630) New York HHS (Brooklyn) 630 2 (632) Northport, NY 632 4 (460) Wilmington DE 460 4 (503) Altoona, PA 503 4 (542) Coatesville, PA 542 4 (562) Erie, PA 562 4 (595) Lebanon, PA 595 4 (642) Philadelphia, PA 642 4 (646) Pittsburgh HCS (Pittsburgh PA) 646 4 (693) Wilkes-Barre, PA 693 5 (512) Maryland HCS (Baltimore MD) 512 5 (517) Beckley, WV 517 5 (540) Clarksburg, WV 540 5 (581) Huntington, WV 581 5 (613) Martinsburg, WV 613 5 (688) Washington DC 688 6 (558) Durham, NC 558 6 (565) Fayetteville, NC 565 6 (590) Hampton, VA 590 6 (637) Asheville, NC 637 6 (652) Richmond, VA 652 6 (658) Salem, VA 658 6 (659) Salisbury, NC 659 7 (508) Atlanta, GA 508 7 (509) Augusta, GA 509 7 (521) Birmingham, AL 521 7 (534) Charleston, SC 534 7 (544) Columbia, SC 544 7 (557) Dublin, GA 557 7 (619) Central Alabama HCS (Montgomery AL) 619 8 (516) Bay Pines, FL 516 8 (546) Miami, FL 546 8 (548) West Palm Beach, FL 548

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8 (573) N. Florida/S. Georgia HCS (Gainesville FL) 573 8 (672) San Juan, PR 672 8 (673) Tampa, FL 673 8 (675) Orlando, FL 675 9 (596) Lexington, KY 596 9 (603) Louisville, KY 603 9 (614) Memphis, TN 614 9 (621) Mountain Home, TN 621 9 (626) Tennessee Valley HCS (Nashville TN) 626 10 (506) Ann Arbor, MI 506 10 (515) Battle Creek, MI 515 10 (538) Chillicothe, OH 538 10 (539) Cincinnati, OH 539 10 (541) Cleveland, OH 541 10 (552) Dayton, OH 552 10 (553) Detroit, MI 553 10 (583) Indianapolis, IN 583 10 (610) Northern Indiana HCS (Marion, IN) 610 10 (655) Saginaw, MI 655 12 (537) Chicago (Westside), IL 537 12 (550) Illiana HCS (Danville IL) 550 12 (556) North Chicago, IL 556 12 (578) Hines, IL 578 12 (585) Iron Mountain, MI 585 12 (607) Madison, WI 607 12 (676) Tomah, WI 676 12 (695) Milwaukee, WI 695 15 (589) Kansas City, MO 589 15 (589A4) Columbia, MO 589 15 (589A5) Eastern Kansas HCS 589 15 (589A7) Wichita, KS 589 15 (657) St. Louis, MO 657 15 (657A4) Poplar Bluff, MO 657 15 (657A5) Marion, IL 657 16 (502) Alexandria, LA 502 16 (520) Biloxi, MS 520 16 (564) Fayetteville, AR 564 16 (580) Houston, TX 580 16 (586) Jackson, MS 586

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16 (598) Central Arkansas HCS (Little Rock AR) 598 16 (629) New Orleans, LA 629 16 (667) Shreveport, LA 667 17 (504) Amarillo HCS (Amarillo TX) 504 17 (519) West Texas HCS (Big Spring TX) 519 17 (549) North Texas HCS (Dallas TX) 549 17 (671) South Texas HCS (San Antonio TX) 671 17 (674) Central Texas HCS (Temple TX) 674 17 (756) El Paso, TX 756 19 (436) Montana HCS (Fort Harrison MT) 436 19 (442) Cheyenne WY 442 19 (554) Eastern Colorado HCS (Denver CO) 554 19 (575) Grand Junction, CO 575 19 (623) Muskogee, OK 623 19 (635) Oklahoma City, OK 635 19 (660) Salt Lake City HCS (Salt Lake City UT) 660 19 (666) Sheridan, WY 666 20 (531) Boise, ID 531 20 (648) Portland, OR 648 20 (653) Roseburg HCS (Roseburg OR) 653 20 (663) Puget Sound HCS (Seattle WA) 663 20 (668) Spokane, WA 668 20 (687) Walla Walla, WA 687 21 (570) Central California HCS (Fresno CA) 570 21 (593) Southern Nevada HCS (Las Vegas NV) 593 21 (612) Northern California HCS (Martinez CA) 612 21 (640) Palo Alto HCS (Palo Alto CA) 640 21 (654) Sierra Nevada HCS (Reno NV) 654 21 (662) San Francisco, CA 662 22 (501) New Mexico HCS (Albuquerque NM) 501 22 (600) Long Beach HCS (Long Beach CA) 600 22 (605) Loma Linda, CA 605 22 (644) Phoenix, AZ 644 22 (649) Northern Arizona HCS (Prescott AZ) 649 22 (664) San Diego HCS (San Diego CA) 664 22 (678) Southern Arizona HCS (Tucson AZ) 678 22 (691) Greater Los Angeles HCS (Los Angeles CA) 691 23 (437) Fargo, ND 437 23 (438) Sioux Falls SD 438

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23 (568) Black Hills HCS (Fort Meade SD) 568 23 (618) Minneapolis, MN 618 23 (636) Omaha, NE 636 23 (636A6) Central Iowa HCS 636 23 (636A8) Iowa City, IA 636 23 (656) St. Cloud, MN 656

Each system will be awarded on its own delivery order with system prices ranging from $140K

- $300K for portable x-ray units and $50K - $300K for Ultrasound units and price will be dependent on what system the facility purchases.

(4) An identification of the exception to fair opportunity (see 16.505(b)(2)) and the supporting rationale, including a demonstration that the proposed contractor’s unique qualification or the nature of the acquisition requires use of the exception cited. If the contracting officer uses the logical follow-on exception, the rationale shall describe why the relationship between the initial order and the follow-on is logical (e.g. in terms of scope, period of performance, or value).

Resultant orders will be issued on a sole source basis in accordance with FAR 16.505(b)(2)(i)(A) as the agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays. Portable X-Ray and Ultrasound systems are required for the diagnosis and treatment of COVID-19 patients in response to the pandemic and will be ordered by facilities on an as needed basis. These systems are needed on site immediately and the VA is already facing vendor lead times of up to eight (8) weeks for the manufacture and delivery of equipment.

VHA facilities are looking to add additional systems above and beyond the Portable X-Ray or Ultrasound systems currently in use at the facilities. It is essential that, when possible, facilities purchase systems from the same manufacturer of systems currently in use on site.

This will ensure that already purchased accessories can be used across the fleet of equipment. Furthermore, travel restrictions in response to COVID-19 are limiting and/or preventing vendors from traveling to provide system applications training, during which facilities learn how to operate new equipment. The purchase of systems from manufacturers already in use at a given site will remove the need for additional training and sites will be able to begin using new equipment immediately.

The contracting activity will immediately work each requirement as it is received. Due to the large number of anticipated requirements, competing each individual requirement among all contract holders would add several days to the order timeline which would have a severe negative impact on patient care. The NAC HTME Ordering Division will not be following its typical Consolidation process for any COVID-19 orders as the need is urgent and waiting to gather additional requirements would add further unacceptable delays.

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The original equipment manufacturer (OEM) of the systems currently in use is the only vendor able to meet the immediate need of the VA given the urgent nature of these requirements.

(5) A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

The contracting officer for any orders issued under this justification will ensure that all items are priced at or below the contract price and ensure prices are fair and reasonable prior to order award. HTME contract prices were previously determined fair and reasonable at time of contract award, and there have been no significant changes to the industry or market conditions that would result in changes to the reasonableness of the underlying contract prices.

(6) Any other facts supporting the justification.

None

(7) A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the exception to fair opportunity before any subsequent acquisition for the supplies or services is made.

This justification applies only to those orders for Portable X-Ray and Ultrasound systems in response to COVID-19. It is anticipated that other requirements will be subject to fair opportunity amongst all contract holders unless a separate justification for exception to fair opportunity is prepared.

Future requirements will be handled on a case by case basis and all attempts will be made to provide fair opportunity to all contract holders when appropriate.

(8) The contracting officer’s certification that the justification is accurate and complete to the best of the contracting officer’s knowledge and belief.

By signing this justification, the Contracting Officer hereby certifies that the justifications are accurate and complete to the best of their knowledge.

(9) Evidence that any supporting data that is the responsibility of the technical or requirements personnel (e.g., verifying the Government’s minimum needs or requirements or other rationale for an exception to fair opportunity) and which form a basis for the justification have been certified as complete and accurate by the technical or requirements personnel.

By signing this justification, the Office of Healthcare Technology Management hereby certifies that the justifications are accurate and complete to the best of their knowledge.

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(10) A written determination by the approving official that one of the circumstances in (b)(2)(i)(A) through (F) of this section applies to the order.

Based on the information contained herein, a determination has been made that this requirement meets the exception at FAR 16.505(b)(2)(i)(A) and the agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays.

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CERTIFICATION AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION:

Pursuant to FAR 16.505(b)(2)(ii)(B)(9), I certify that any supporting data that is my responsibility and which forms a basis for the justification is complete and accurate to the best of my knowledge and belief.

Megan Friel Date Biomedical Engineer Associate Director – Healthcare Technology Management

CONTRACTING OFFICER CERTIFICATION:

Pursuant to FAR 16.505(b)(2)(ii)(B)(8), I certify that the justification is complete and accurate to the best of my knowledge and belief.

Reagan P. Criddle Date Contracting Officer Chief - High-Tech Medical Equipment Ordering Division VA National Acquisition Center – Hines

HEAD OF CONTRACTING ACTIVITY APPROVAL:

Craig Robinson Date Associate Executive Director VA National Acquisition Center – Hines Head of Contracting Activity (orders > $13.5M up to $68M) Pursuant to 16.505(b)(2)(ii)(C))