VAAR 819.7008 Sole Source Justification - AL.pdf

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: 05 Effective Date: 12/15/2025

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition

Acquisition Plan Action ID: 36C263-27-AP-0351

1. Contracting Activity: Department of Veterans Affairs, VISN 23, Nebraska Western Iowa VA Medical

Center Omaha Medical Center. 4101 Woolworth Ave., Omaha, NE 68105

2237: 636-27-1-5058-0007

2. Nature and/or Description of the Action Being Approved: This action is for the award of a new firm-fixed-price sole source contract to continue rental, operation, and support of existing trailer-mounted industrial chillers currently installed and operating at the Omaha VA Medical Center (VAMC) for continuation of critical cooling services used to support patient care areas and essential facility operations.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The Omaha VAMC requires continuous rental and operation of the temporary industrial chiller trailers currently providing cooling to the medical center. These chillers are needed to maintain required environmental conditions for patient care spaces, medical equipment rooms, and IT infrastructure rooms.

The existing facility chiller infrastructure is undergoing repairs, and there can be no interruption in cooling service during these repairs. The temporary chillers supplied by Mark VII are already fully installed, electrically connected, commissioned, and operating. Scope includes Labor for Installation, Setup, Delivery, & Removal of 2 chiller trailers.

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

Code § 8127(c), as implemented by RFO 6.103-5 (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 anticipated award is below the $5 Million threshold, the requirements will be synopsized at the time of award. Mark VII is a certified Service-Disabled Veteran Owned Small Business as listed on the SBA Small Business Search, and the contract will be found fair and reasonable making this eligible for a sole source award to a SDVOSB based on 38 U.S.C 8127(c) and VAAR 819.7008. Mark VII is the only responsible source able to meet this immediate requirement due to the following:

Mark VII’s chillers are already fully installed, connected, and operating at Omaha VAMC.

Disconnecting the existing units and replacing them with another vendor’s chillers would create an unavoidable loss of cooling, which presents a direct risk to patient care, medical equipment, pharmacy storage, and critical facility operations.

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Effective Date: 12/15/2025

Any service gap is unacceptable.

The hospital depends on continuous cooling. Removing existing chillers would require full shutdown, disconnection of electrical feeders, and removal of hoses, followed by a new installation from a different vendor — creating hours or days of downtime.

Reinstallation of new hose, temporary electrical work, commissioning, and startup, all of this is unnecessary because equipment is already in place and functioning. Mark VII has been found responsible and capable of fulfilling this requirement in accordance with VA needs. Because of these factors, they are the only the existing vendor can meet the government’s need without unacceptable risk.

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 RFO 6.301 and, if not, which exemption under RFO 5.101(b)(1) applies:

The contracting officer’s determination to make a sole source award is a business decision wholly within the discretion for the contracting officer. To ensure that opportunities are available to the broadest number of certified SDVOSBs, this authority is to be used judiciously and only when in the best interest of the Government. Due to the critical nature of continuous cooling and the fact that the existing rental chillers are already installed and operating, issuing a competitive solicitation would require removal of the current system, creating a disruptive gap in cooling service. Such a gap would jeopardize patient care activities and hospital operations; therefore, competitive solicitation is not practicable.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: Fair and reasonable pricing will be established through:

Review of the current rental agreement pricing already in place with Mark VII Comparison to historical costs for rental temporary chillers of similar size and capacity Review of any previous contracts at the facility for temporary cooling Verification that price changes are consistent with market conditions This analysis will confirm the rental cost is reasonable and consistent with industry rates. Please see market research for detailed information.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons

Market Research Was Not Conducted: Market research determined the following:

Multiple vendors exist in the market; however, none can provide immediate, continuous cooling without disconnecting the current units, which is not acceptable.

Alternative vendors would require full removal and reinstallation, creating downtime that the medical center cannot tolerate. Given these constraints, the research supports issuing a sole source continuation with the existing vendor to prevent operational risk.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: None

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: None

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Effective Date: 12/15/2025

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: Once the permanent chiller plant is repaired and stable, future temporary chiller rental requirements (if any) can be competed normally. Competitive acquisition is anticipated for any future rental needs once cooling continuity is no longer dependent on existing installed equipment.

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.

Steven Long Date Deputy Chief of Engineering Omaha VAMC

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.

Arielle Lifto Date Contracting Officer

NCO 23

STEVEN LONG Digitally signed by STEVEN LONG Date: 2026.10.01 13:01:54 -05'00'