J099--Karl Storz Scope Comprehensive Service

VHAPM Part 808.405-6 Limiting Sources

Attachment 2: Request for Limited Sources Justification Format >SAT

VHAPM Part 808.405-6 Limiting Sources Page 1 of 4

Original Date: 08/30/2017

Revision 02 Eff Date: 02/21/2020

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID:36C250-20-AP-4346

Contracting Activity: Network Contracting Office (NCO) 10 VA Healthcare Systems of Ohio

Description of Action: This activity proposes to procure a task order with Karl Storz Endoscopy Inc, a large business with an FSS contract (V797D-30255) for service for leased cytoscopes. The leased scopes will be exchanged by Karl Storz and replacement scopes will be provided from the company. The period of performance will be from 10-1-2020 through 9-30-2021.

Order against: FSS Contract Number: _ V797D-30255

Name of Proposed Contractor:

Karl Storz Endoscopy Inc.

Street Address:

2151 E. Grand Avenue

City, State, Zip:

El Segundo, CA 90245

Phone:

800-421-0837

Description of Supplies or Services:

The estimated value of the proposed action is $ 695,000.00

Engineering requires repair services for above stated scope used in OR which are used daily to provide direct patient care. The contractor shall provide all necessary labor, management, supervision, technical skills, quality control, materials, tools, transportation, software and equipment necessary to repair the above stated scopes. These scopes must be repaired with the use of OEM parts, tools, and materials. Contractor must have direct access to OEM parts or ability to replace scope with equipment of equal value

(4) Identify the Authority and Supporting Rationale (see below and if applicable, a demonstration of the proposed contractor s unique qualifications to provide the required supply or service.

FAR 8.405-6(a)(1)(A): An urgent and compelling need exists and following the ordering procedures would result in unacceptable delays:

FAR 8.405-6(a)(1)(B): Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized;

FAR 8.405-6(a)(1)(C): In the interest of economy and efficiency, 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.

FAR 8.405-6(b): Items peculiar to one manufacturer:

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

These are direct replacements parts/components for existing equipment.

The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing.

(5) Describe Why You Believe the Order Represents the Best Value consistent with FAR 8.404(d) to aid the contracting officer in making this best value determination: Karl Storz Endoscopy is the original provider of the surgical scopes and can quickly make the repairs/replacement of scope with the use of OEM equipment parts/ equipment type that third-party vendors do not have access to. The product warranty will be voided if a third-party vendor repairs the Video Cystoscopes. By utilizing Karl Storz, the current lead time for repair will be reduced from an average of two weeks to having a new scope in inventory within 24 hours. This reduction in time will reduce patient cancellations and help the VA provide superior service to our patients. This service is critical as it has a direct effect on patient care since the scopes are used daily. Without the use of the scopes - patient care would be significantly compromised. This presents an urgent and compelling need to quickly obtain repair of the scopes with the use of a vendor who displays the direct capability of immediately access to OEM parts needed for completing the repair services.

(6) Describe the Market Research Conducted among schedule holders and the results or a statement of the reason market research was not conducted: Market Research was conducted. However, OEM parts must be used to complete the repair service- We have looked for other companies with these capabilities through a variety of outlets, however, are unable to find a contractor whom displays the capabilities and access to OEM parts, tools, materials, and software necessary to maintain the stated scopes. Third party vendors do not have access to OEM parts. Vendor must exhibit and be authorized the ability to complete all operational modifications according and under manufacturer specifications. This does not afford us the time to conduct direct market research as the VA Rule of Two cannot be met.

(7) Any Other Facts Supporting the Justification: N/A

(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: For future procurements, Market Research will be conducted to identify if there are any new sources available.

(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.)

(10) Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

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/DESIGNEE S SIGNATURE DATE

______________________________

Roman Savino, Contract Specialist Network Contracting Office 10

b. One Level Above the Contracting Officer (Required over the SAT but not exceeding $700K): I certify the justification meets requirements for other than full and open competition.

_____

SIGNATURE DATE

Lisa Bailey, MBA

Acting Branch Chief Services Team 2

Network Contracting Office 10 (Indiana, Ohio & Michigan) Awarded contract V797D-30255 to KARL STORZ ENDOSCOPY-AMERICA, INC. for 695000.00000000 on 2020-10-01.