J065--Steris SPS Sterilization Equip Maint & Repair Service VA-BHHCS Base + 4 OPTNYRS commences 4/1/2021

VHAPM Part 806.3 Other Than Full and Open Competition (OFOC) SOP

Attachment 5: Request for Sole Source Justification Format >SAT

OFOC SOP Revision 11 Page 1 of 9

Original Date: 03/22/11

Revision 11 Date: 02/11/2021

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID:__ 36C263-21-AP-0432__________________________

Contracting Activity: Department of Veterans Affairs, VISN 23, VA-BHHCS Medical Center

2237: 568-21-3-5006-0014

Nature and/or Description of the Action Being Processed: NEW FFP Contract for continuing services STERIS STERILIZATION EQUIPMENT MAINT & REPAIR SERVICE

VA-BHHCS has a requirement for a service contract for the maint & repair of Steris sterilization equipment located in our Sterilization Processing Centers at both the Fort Meade and Hot Springs, SD sites.

Priority scheduling for service calls and access to spare parts inventory

All labor and travel during standard hours of coverage - Mon-Fri 7am - 7pm, excluding holidays

All parts that fail during normal use

Equipment Planned Maintenance services per manufacturer specifications performed during standard hours of coverage

Proprietary operating system software enhancements without hardware changes (excludes software upgrades)

Unlimited Technical Services Telephone Support

Unlimited Clinical Applications Telephone Support

Remote Diagnostics where applicable

Description of Supplies/Services Required to Meet the Agency s Needs: This Steris sterilization equipment is specialized and requires proprietary test equipment and, in some cases, software. The Steris field service engineers are local and are responsive to our needs when a piece of equipment fails. The POP is to begin 4/1/2021.

Statutory Authority Permitting Other than Full and Open Competition:

(X) (1) Only One Responsible Source and No Other Supplies or Services Will Satisfy

Agency Requirements per 41 USC §3304(a)(1) as implemented by FAR 6.302-1;

Demonstration that the Contractor s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): These services are provided by the Original Equipment Manufacturer (OEM) who provides FDA-approved parts and software that are proprietary in nature. A Sources Sought Notice was posted to the Contract Opportunities beta.SAM website, because the CO received an e-mail from an SDVOSB stating they were qualified to respond to STERIS M&R SERVICES solicitations. 2 SDVOSBs who claimed to be qualified and interested responded to the Sources Sought Notice. The CO then posted a 100% SDVOSB set-aside RFQ. Only 1 SDVOSB responded to the RFQ. That Offer was determined to be TECHNICALLY UNACCEPATABLE by the CO (after also gaining concurrence from VA Legal Counsel and the VA-BHHCS Service Line). It is now clear to the CO, Legal Counsel, and the VA-BHHCS Service Line that the only remaining, technically qualified option is the STERIS CORPORATION itself (Large Business). Steris Corporation is the only firm capable of providing the services described in Sections II and III above without the VHA experiencing unacceptable delays in fulfilling its requirements. Therefore, a FFP sole source contract to the OEM (Steris Corp.) is the correct contract vehicle, as unacceptable delays to the VA-BHHCS requirement will result if not approved.

Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: A Sources Sought Notice was posted to the Contract Opportunities beta.SAM website in DEC 2020, because the CO received an e-mail from an SDVOSB stating they were qualified to respond to STERIS M&R SERVICES solicitations. 2 SDVOSBs who claimed to be qualified and interested responded to the Sources Sought Notice. The CO then posted a 100% SDVOSB set-aside RFQ in JAN 2021. Only 1 SDVOSB responded to the RFQ. That Offer was determined to be TECHNICALLY UNACCEPATABLE by the CO (after also gaining concurrence from VA Legal Counsel and the VA-BHHCS Service Line). It is now clear to the CO, Legal Counsel, and the VA-BHHCS Service Line that the only remaining, technically qualified option is the STERIS CORPORATION itself (Large Business).

Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The quote provided by Steris Corp. is determined to be fair and reasonable based upon comparison of pricing to the current VA-BHHCS Steris Contract, other current NCO 23 Steris Contracts (MPLS and STC), and current/historical pricing within the VHA.

Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: Thorough Market Research was conducted for this requirement. As described in Section 6 above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties.

Any Other Facts Supporting the Use of Other than Full and Open Competition: N/A

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: Full service of Steris Corp. sterilization equipment requires proprietary parts, test equipment, and software which reduces potential for competition. Steris Corp verified that only one SDVOSB is certified by Steris Corp. to provide maintenance and repair to Steris Corp. equipment. That SDVOSB did NOT respond to the RFQ. If no other SDVOSB/Small Business becomes certified for Steris Corp. equipment, then, in the future, this must become a full and open competition, because the Rule of Two (SD/VOSBs) is not met. Awarded contract 36C26321C0059 to STERIS CORPORATION for 745680.00000000 on 2021-03-31.