Carefusion pyxis service agreement FY16

LIMITED SOURCES JUSTIFICATION

ORDER >$150,000

FAR PART 8.405-6



2237 Transaction # or Vista Equipment Transaction #: 528-16-1-4803-0003, 528-16-1-5803-0009, 528-16-1-6803-0010, 528-16-1-7803-0015, 528-16-1-8803-0004



This acquisition is conducted under the authority of the Multiple Award Schedule Program. The material or service listed in par. 3 below is sole source, therefore, consideration of the number of contractors required by FAR Subpart 8.4 - Federal Supply Schedules, is precluded for the reasons indicated below.



Restricted to the following source: Provide original manufacturer's name for material or contractor's name for service. (If a sole source manufacturer distributes via dealers, ALSO provide dealer information.)



Manufacturer/Contractor: CAREFUSION SOLUTIONS, LLC

Manufacturer/Contractor POC & phone number: MELANIE WORTH/847-362-9498



Mfgr/Contractor Address: 3750 TORREY VIEW COURT SAN DIEGO, CA 92130-2635



Dealer/Rep address/phone number:



0 The requested material or service represents the minimum requirements of the Government.



(1) AGENCY AND CONTRACTING ACTIVITY: Department of Veterans Affairs

___________________________

___________________________





VISN: 2



(2) NATURE AND/OR DESCRIPTION OF ACTION BEING APPROVED:

Basic support and maintenance plan for VISN 02's inventory of CareFusion Pyxis units located at the Albany, Bath, Buffalo, Canandaigua and Syracuse Medical Centers from 10/01/2015 through 09/30/2016.



(3) (a) A DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY'S NEED:

The basic support and maintenance plan consists of the following:

1. Technical support center access 24 hours\365 days

2. On-site Field service within 24 hours of initial call

3. Adjustment and replacement of non-consumable parts

4. Maintenance and replacement parts on an exchange basis.

5. Replacement cubie pockets

6. On-site preventative maintenance once a year.

7. Software updates.

(b) ESTIMATED DOLLAR VALUE: $241,068.00



(c) REQUIRED DELIVERY DATE: 10/01/2015-09/30/2016



(4) IDENTIFICATION OF THE JUSTIFICATION RATIONALE (SEE FAR 8.405-6), AND IF APPLICABLE, A DEMONSTRATION OF THE PROPOSED CONTRACTOR'S UNIQUE QUALIFICATIONS TO PROVIDE THE REQUIRED SUPPLY OR SERVICE. (CHECK ALL THAT APPLY AND COMPLETE)



1 Specific characteristics of the material or service that limit the availability to a sole source (unique features, function of the item, etc.). Describe in detail why only this suggested source can furnish the requirements to the exclusion of other sources.

CareFusion Solutions LLC is the only company with a Schedule 65IIA contract (V797P-4012B) that can provide all necessary parts, perform all required repairs and software upgrades for CareFusion Pyxis units due to patents and copyrights. For this reason sub-contracting maintenance services is not available as only CareFusion Solutions LLC can access the diagnostic software and provide required parts to complete all repairs.



1 A patent, copyright or proprietary data limits competition. The proprietary data is:

(If FAR 8.405-6(a)(2)iii before posting. Do not include specific proprietary data. Only mention the type of equipment, procedure, etc. to show that proprietary supplies or services are being procured.)

CareFusion Pyxis units contain proprietary software that requires periodic updates to remain current that is only available through the manufacturer. Access to diagnostic software, which is required to trouble shoot CareFusion Pyxis units and perform many of the tasks required during scheduled maintenance services, are password protected and can only be accessed by CareFusion technicians.









0 These are "direct replacements" parts/components for existing equipment.

____________________________________________________________________________

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0 The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing. Describe the equipment/function you have now and how the new item/service must coordinate, connect, or interface with the existing system.













0 The new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures.













0 An urgent and compelling need exists, and following the ordering procedures would result in unacceptable delays.





















(5) DESCRIBE WHY YOU BELIEVE THE ORDER REPRESENTS THE BEST VALUE CONSISTENT WITH FAR 8.4 TO AID THE CONTRACTING OFFICER IN MAKING THIS BEST VALUE DETERMINATION:

Due to the volatility of the composition of VISN 2's inventory of CareFusion Pyxis units from year to year it is not realistic to compare Total Dollar Values of past and present procurements. However, a comparison of pricing for identical units found in the current and previous procurement can reasonably be done. The results of this review indicate that for the majority of the units the cost of a service plan ranges between $72.00 and $86.00, and that the average increase is $1.00-$3.00 depending on the unit. The average increase per unit is below %5, therefore the price is deemed fair and reasonable.



(6) DESCRIBE THE MARKET RESEARCH CONDUCTED AMONG SCHEDULE HOLDERS AND THE RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED:

Searches in GSA eLibrary and VA MedSurg indicate that CareFusion Solutions, LLC has line items on it schedule 65IIA contract (V797P-4012B) for service maintenance agreements in support of the CareFusion Pyxis units located at the five VISN 2 medical centers. Note, these service maintenance agreements do not show up on CCST but are found in CareFusion's Contractor T&Cs/Pricelist for FSS contract V797P-4012B. One other contractor, Innovation Associates Inc. was identified as being able to perform preventative maintenance services on CareFusion Pyxis units, however their FSS contract (V797D-40131) did not include service maintenance plans for CareFusion Pyxis units, only once-off repair services. A search on FBO located an intent to sole source notice for service maintenance agreements for CareFusion Alaris units but not CareFusion Pyxis units. A sources sought notice was posted on GSA eBUY (Q1003669)



(7) ANY OTHER FACTS SUPPORTING THE JUSTIFICATION:

None



(8) A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME ANY BARRIERS THAT LED TO THE RESTRICTED CONSIDERATION BEFORE ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES IS MADE:

None, the main barrier to competition is CareFusion Solution's schedule 65IIA contract and the existence of patents and copyrights held by the manufacturer.







(9) 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. I understand that processing of this limited sources justification restricts consideration of Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4. (This signature is the requestor's supervisor, fund control point official, chief of service or someone with responsibility and accountability.)





SIGNATURE DATE

Rummings, Lisa Program Support Specialist Biomedical Department

NAME TITLE SERVICE LINE/SECTION

Buffalo VA Medical Center

FACILITY





(10) APPROVALS IN ACCORDANCE WITH THE VHAPM, Volume 6, Chapter VI: OFOC SOP: This part if filled out by Contracting Staff as part of the Justification



a. CONTRACTING OFFICER'S CERTIFICATION (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.







CONTRACTING OFFICER'S SIGNATURE DATE



______________________________

Michael Spivack Buffalo VA Medical Center

Contract Specialist

NCO2 - Services Team





b. Director of Contracting/DESIGNEE: I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.





SIGNATURE DATE





Julie McCann

Spervisory Contract Specialist

NCO2 Deputy Director of Contracting