Notice of Intent to Award Sole Sources- Lease of Sterile Processing Department

The Department of the Army Medical Command has published a Special Notice announcing its intent to award a sole-source contract for the lease of sterile processing department services. The notice pertains to the Carl R. Darnall Army Medical Center (CRDAMC) and involves a procurement from HH/Killeen Health System, LLC (Seton Medical Center) for access to their sterile processing equipment and facilities. This procurement falls under NAICS code 531120 for lessors of nonresidential buildings and PSC code W065 for lease or rental of medical equipment and supplies. The notice was posted on June 26, 2025, with a response deadline of June 30, 2025. The contracting action is being conducted under the Defense Health Program and will be funded through Operations & Maintenance, Army (OMA) funds.

The sole-source justification stems from CRDAMC's urgent need to address ongoing equipment failures in their sterile processing department that threaten patient safety, surgical schedules, and mission readiness. The procurement objective is to secure immediate access to sterile processing capabilities for medical instruments when CRDAMC's internal systems are unable to function properly. Seton Medical Center has been identified as the only local medical facility with the necessary equipment, capacity, and an existing memorandum of agreement that meets CRDAMC's critical operational requirements. The contract will be structured as a fixed-price purchase order under the simplified acquisition threshold, with the justification based on FAR 13.106-1(b)(1) for urgent operational needs. Contractors have until June 30, 2025, to respond to this notice, though the sole-source nature indicates that HH/Killeen Health System, LLC is the intended awardee based on their unique qualifications and existing relationship with the medical center.