A03-3M_Justification_and_Approval_FY-16-01_Red_Redacted.pdf

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Abbreviated Justification and Approval Document

For Other Than Full and Open Competition of Requirements Greater than $150,000 Not Exceeding $650,000

(IAW FAR 6.304)

1. CONTRACTING ACTIVITY

Army Contracting Command-Aberdeen Proving Ground, Natick Contracting Division, ATTN: CCAP-SCN, General Greene Avenue, Natick, MA 01760

2. DESCRIPTION OF ACTION

Requirement: ✔ New Repeat

Pricing: ✔ Firm-Fixed Price Time & Materials Cost

Funds: Other Funds:

Name of Proposed Contractor: 3M Company Street Address: 575 West Murray Blvd City, State, Zip: Murray, UT 84123 Phone:

3. DESCRIPTION OF SERVICES AND SUPPLIES

(Describe the services or supplies. Including make & model number to be acquired below.)

The estimated value of the proposed action is:

This requirement is for a software based solution that will provide transcriptionists remote access to providers’ dictated notes and a method to upload completed transcribed documents for providers to review and sign digitally from both within and outside the MTF. This transcription and dictation system shall be Health Insurance Portability and Accountability Act (HIPAA) compliant and must meet Department of Defense (DoD) Information Assurance Certification and Accreditation Process (DIACAP) certification/approval. The solution shall be capable of interfacing with Military Health System (MHS) approved Electronic Health Record (EHR) and associated systems (Composite Health Care System [CHCS]/CliniComp’s Essentris/Armed Forces Health Longitudinal Technology Application [AHLTA]) today and the DHMSM solution in the future.

4. AUTHORITY CITED

(Identify the statutory authority, FAR title and FAR citation permitting other than full and open competition.)

10 USC 2304(c)(1), FAR 6.302-1 - Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. REASON FOR AUTHORITY CITED:

The Secure Enterprise Dictation and Transcription Solution (SEDTS) product by 3M has successfully passed the DoD Information Assurance Certification and Accreditation Process (DIACAP) at a US Air Force Medical Treatment Facility. SEDTS also has a Business-to- Business (B2B) connection from the Defense Information Systems Agency (DISA) to 3M’s secure hosted data center in Austin, TX. B2B allows medical dictations (HIPAA Data) to securely return to the MTF. The 3M SEDTS product includes agile software modification and

Page 2 of 420150824 development capability, which (1) allows a variety of commercial dictation input devices to function with the bundled dictation and transcription solution, and (2) meets both the Army Medical Department’s (AMEDD’s) and local security requirements, e.g. foot pedals, and microphone input. The unique 3M SEDTS dictation solution is th only solution that meets all the government's requirements to include: (1) Allow for Dictation by any provider within the organization, (2) Allow providers who do not have dedicated transcriptionists to review and approve/sign their own notes, (3) Provide coding and not coaching in order to assist providers and transcriptionists or coders in improving the accuracy of documentation and workload credit,

(4) Automatically upload signed notes to the Essentris inpatient electronic record, (5) The solution will provide the ability to search and run reports on all dictated notes, (6) Be DIACAP certified/approved. 3M is the only source available that meets all the requirements. The unique product (SEDTS) is available only from 3M, which holds all the rights in data, copyrights and secret processes in accordance with FAR 6.302-1(b)(2). It has been determined that for another contractor to develop an alternative solution that meets the Government’s minimum needs (which includes successfully passing the Government’s DoD Information Assurance Certification and Accreditation Process (DIACAP)) would cost the government a significant amount of funding above the 3M proposal.

6. ADDITIONAL INFORMATION:

(i) What harm will come to the Government if desired supplies/services are not provided on time?

Slippage in schedule will increase cost to the Government by approximately $15K per month as the current out of date system will need to be maintained until the new is operational. Avoidance of this cost by ceasing the current system as planned with no dictation service until the new system is operational is both clinically and administratively unacceptable given existing medical documentation requirements. The alternative, i.e., allow the current system to end as planned with no replacement while the new system’s delivery date slips, would negatively impact the quality of care provided at MAMC and associated patient administration business practices by producing unacceptable delays in the preparation of medical documentation and create a growing backlog of medical record entries.

(ii) What harm will come to the Government if desired contractor doesn’t receive the award?

Failure to proceed with the noncompetitive procurement (i.e., proceed with a full and open or small business set-aside procurement path) will harm the Government by creating risk in the Government’s ability to accomplish its prescribed medical documentation requirements within budget and on schedule. A competitive approach will open the bid opportunity for vendors who have no Military Training Facility (MTF) DIACAP products or experience – this void among all vendors except 3M will further produce schedule risk and cost risk as any other vendor will have to learn and go through the process for certification of their product. The government will have to pay a significant amount of money above 3M's proposal in order to receive the product that 3M already has in place.

7. ACTIONS TO INCREASE COMPETITION:

State what actions will be taken to increase competition before subsequent acquisition of the supplies or services is required.

This dictation software product industry is expanding and it is possible that more companies in the future will start offering these types of products. While alternative DIACAP approved dictation software products that also meet all the government requirements are not available today, it is likely that a full and open competition in three to four years would result in several capable vendors being able to compete. Over the next seven years the Department of Defense will deploy a new clinical electronic health record that will be an industry standard product

Page 3 of 420150824 versus the current electronic medical eco system that exists now using multiple systems built or tailored specifically for the DoD. Over the course of this time it will become easier to find vendors meeting the common criteria described in this document.

8. MARKET RESEARCH

(Describe the extent of the market research conducted to identify all qualified sources and the results thereof. “Market Research” is defined as those attempts made to ascertain whether other qualified sources exist. Research of the market place may consists of written, telephonic, or world wide web inquires.)

Market Research was conducted over a two year period, including visiting trade shows, attending in-person demonstrations of products, discussions with other facilities using similar products, and contacting vendors. Over the course of the two year period, no less than five vendors were approached, and of them all, the SEDTS by 3M is the only product that met all the requirements.

Market research included looking at Microsoft, IBM, Nuance and GE. All vendors were met with either by phone, onsite meetings or at trade shows. All were found to be lacking in quality Natural Language Processing (NLP), none had an Information Assurance certification and none had a direct interface from their products to a government electronic health information system.

IBM and Nuance are working to acquire these capabilities but thus far are not at the level of 3M.

Being able to dictate clinical notes that are then automatically placed into the electronic health record means that provider notes will be available much sooner for nursing staff and other providers to read and use in their care of the patients. In addition to this the licensing of the 3M product by the numbers of dictated lines of texts versus the current process of named licenses will ensure that the service is available to most of the clinical providers within the facility, thus improving access to the service. It will also prevent the waste that can occur when named licenses are not used or are shelved for long periods of time when providers are on leave or deployed.

9. INTERESTED SOURCES:

A Special Notice was posted on FedBizOpps on May 27, 2015. One vendor responded to the notice, Genesis Government Solutions, Inc. However, the solution that Genesis offers does not meet all the requirements and is not DIACAP approved.

10. PROCUREMENT HISTORY:

Previous Contract or Purchase Order Number: or ✔ N/A

Previously Competed? ✔ N/A No Yes

Previous authority for other than Full & Open Competition:

N/A

11. TECHNICAL / REQUIREMENTS CERTIFICATION:

I certify that the support data under my best cognizance which is included in this abbreviated-J&A is accurate and complete to the best of my knowledge and belief.

Submitted By:

Position Title:

Email Address:

Date:

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12. FAIR AND REASONABLE COST DETERMINATION:

I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable.

The techniques to be used to determine fair and reasonable prices are: price analysis.

As part of the basis, certified cost or pricing data will not be required.

If one of the exceptions in FAR 15.403 applies, please indicate.

Typed Name:

Date:

Title: Contracting Officer

Signature:

13. CONTRACTING OFFICER'S APPROVAL

Based on the foregoing justification, I hereby approve the procurement of: SEDTS by 3M ordered under the descriptionaboveon another thanfull andopencompetitionbasispursuant to theauthorityof10USC 2304(c) (1) , subject to availabilityof funds, andprovided that servicesandpropertyherein describedhaveotherwisebeenauthorizedforacquisition.

Signature:

Contracting Officer Date: