Limiting_Competition_Biomerieux.pdf

Control No: 19-RHCO-C-685

Version – February 2017

Memorandum for Record – Limiting Competition at or below the Simplified Acquisition Threshold

1. Contracting Activity: Regional Health Contracting Office-Central, JBSA – Fort Sam Houston, TX.

2. Description of Action:

Nature: Follow-on Requirement to W81K00-15-P-0407

Contract Vehicle: Purchase Request: 11397556

(Purchase Order number to be determined)

Pricing/Contract Type: Firm-Fixed-Price

Funds: Defense Health Program (Army), Subject to the Availability of FY20 funding

Name of Proposed Contractor(s) and Address:

Biomerieux, Inc 100 Rodolphe St Durham NC 27712-9402 Phone: 919-479-3636

Brand Name Buy: No

3. Description of Services or Supplies: The requirement is to establish a bridge contract for a cost-per-test arrangement, for the purchase of reagents to conduct three different types of tests: microbial identification testing, antimicrobial susceptibility testing, and blood culture testing. The purpose of these tests are to detect harmful bacteria or fungi in the blood and to determine which specific antibiotics a bacteria or fungi is sensitive to so that physicians are guided in drug choice and dosage for difficult-to-treat infections. The testing is performed in-house at Brooke Army Medical Center (BAMC), JBSA Fort Sam Houston, Texas.

Period of Performance: 1 October 2019 to 31 March 2020 Total Value:

NAICS: 325413, In-Vitro Diagnostic Substance Manufacturing

4. Authority: FAR 13.106-1(b)(1): For purchases not exceeding the simplified acquisition threshold (SAT), only one source reasonably available, urgency, exclusive licensing agreements, brand name, or industrial mobilization.

5. Reasons for Authority Cited: Establishing this contract will allow for the continuation of mission critical medical testing without a break in service while the long-term competitive procurement is solicited, offers are evaluated, awardee is selected, and new equipment is being installed and calibrated. Supplies are currently purchased under contract W81K00-15-P-0407; history of same or similar requirements for laboratory testing have traditionally resulted only in offers from other-than-small businesses. Any lapse in coverage would have an immediate negative impact and jeopardize the healthcare mission. Traditionally, new laboratory equipment takes a minimum of two (2) months to deliver, install, and go through the calibration process before it can be used by the hospital. There is not sufficient time to go through a competitive process and have new equipment installed prior to expiration of the current contract.

6. Publicizing Contract Actions: As a FAR Part 13 action, the public display and synopsis requirements of FAR 5.101 and FAR 5.203 apply and will be followed. A notice of intent to sole source was posted on FedBizOpps on 5 September 2019 and closed on 13 September 2019, with no responses from industry. Upon award of the contract, this approved Sole Source Justification will be posted to FedBizOpps. The solicitation for the long-term, competitive contract is expected to be posted to FedBizOpps on an unrestricted basis no later than 30 November 2019.

7. Market Research:

A Dynamic Small Business Search on the Small Business Administration’s website produced the following results, using NAICS code 325413 and keyword “microbial”:

o Cicadea Biotech: This company produces reagents, but none for the testing required by the BAMC laboratory.

o Aequor, Inc: This company produces “green” chemicals, and no reagents suitable for the required testing.

As of 20 September 2019, the below information was found on GSA E-Library by using Category 66 III “Clinical Analyzers, Laboratory, Cost Per Test” (605-5A, High Maintenance/complexity Analyzers) and 66 “Scientific Equipment and Services” (615-18, Biomedical and Industrial Particle Counting and Shorting Apparatus and Systems and Related Chemistries, Supplies and Consumables).

All companies listed are other-than-small businesses. While these vendors may be able to supply the required testing, the equipment installation/calibration timeline would still need to be considered.

Company and POC CAGE

L oc at io n

L B

SB

W O

S

E D

W O

H U

B Z on e

SD

V

O

8( a)

Capability/Experience

1 Becton, Dickinson and Company

22790 NJ Y Blood serum, urine, and fecal chemical analysis, instruments and related chemistries, supplies and consumables.

GS-07F-195DA

V797D-40095

2 BioMerieux, Inc. 4S002 NC Y Multi-test Analyzers, 66-102 Blood Coagulation Analyzers& 615-18 Microbiology Analyzers.

GS-07F-9525S

3 Fisher Scientific Co.

LLC

22527 PA Y Test and Measurement equipment, laboratory instruments, analysis equipment, mechanical and chemical.

GS-07F-161BA

4 Beckman Coulter Inc. 80740 CA Y Instruments for Chemistry, immunoassay, hematology, and microbiology testing.

Also accessories, software, and upgrades.

V797D-70260

5 Siemens Healthcare Diagnostics

1K2V6 MA Y Clinical Chemistry, Automation, Molecular, UA and Blood Gas, and Hematology V797D-30175

The Contracting Officer’s personal acquisition history in procuring similar (cost-per-test) contracts for laboratory testing indicates that typically, only offers from other-than-small businesses are received in response to solicitations.

8. Other Facts: Current contract W81K00-15-P-0407, expiring 30 September 2019, was awarded on a competitive, unrestricted basis. The Government intends to compete a long-term requirement, and post the solicitation to FedBizOpps (or successor site) no later than 30 November 2019. There are no known companies that can deliver, install, and calibrate their equipment prior to expiration of the current contract.

9. Technical/Requirements Certification: I certify 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.

Typed Name: Date: 20 September Title: OIC, Bacteriology, Department of Pathology and Area Laboratory Services, Brooke Army Medical Center Signature:

10. Contracting Officer Certification/Approval: I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable based upon previous award and competition of previous award and government estimate. I certify that this justification is accurate and complete to the best of my knowledge and belief, and that completing this purchase as a sole source is in the best interest of the Government. Additionally, I approve this justification to limit competition subject to the availability of funds and provided that the services or supplies herein described have otherwise been authorized for acquisition.

Typed Name:

Date: 20 September 2019 Title: Contracting Officer Signature: