Service agreement for Linear Accelerator

Added: Dec 02, 2016 4:23 pm Chapter VI: Other Than Full and Open Competition (OFOC) SOP

Attachment 3: Request for Sole Source Justification Format >$150K



OFOC SOP Revision 05 Page 1 of 3

Original Date: 03/22/11

Revision 05 Date: 05/02/2016

DEPARTMENT OF VETERANS AFFAIRS



Justification and Approval (J&A)

For

Other Than Full and Open Competition (>$150K)



Acquisition Plan Action ID: VA255-16-AP-3941



Contracting Activity: Department of Veterans Affairs, VISN 15



Maintenance and repair service contract for the Varian Clinac Accelerator and its components at John Cochran division, St. Louis VA Medical Center.

2237: 657-17-1-1110-0011



Nature and/or Description of the Action Being Processed:



The Contractor shall supply all labor, travel, materials, equipment, tools, supervision, and all incidentals required to complete on-site full service planned maintenance and corrective maintenance for the Varian Clinac Accelerator high energy x-ray machine and its components. This will be a Firm Fixed Price contract for one year + 2 option years. $178,578 per year; total value $535,644.00.



Name of proposed Contractor:

Varian Medical Systems, Inc.

3100 Hansen Way

Palo Alto, CA 94304-1030



Description of Supplies/Services Required to Meet the Agency s Needs:



This is a justification for soliciting one source, Varian Medical Systems, Inc., for the services required to maintain the Clinac Accelerator and its components. Varian s Clinac products utilize proprietary Varian technology. Varian s service and support training, procedures and documentation are intellectual property of Varian and are proprietary.



Contract period: December 1, 2016 to November 30, 2017 with two additional option years.



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 FAR 6.302-1;

( ) (2) Unusual and Compelling Urgency per FAR 6.302-2;

( ) (3) Industrial Mobilization, Engineering, Developmental or Research Capability

or Expert Services per FAR 6.302-3;

( ) (4) International Agreement per FAR 6.302-4

( ) (5) Authorized or Required by Statute FAR 6.302-5;

( ) (6) National Security per FAR 6.302-6;

( ) (7) Public Interest per FAR 6.302-7;



Demonstration that the Contractor s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):



Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements per FAR 6.302-1. The Varian Clinac Accelerator system utilizes proprietary software and only Varian technical support personnel are certified to service the Varian Medical Systems, Clinac Accelerator and its proprietary operating software. In an effort to ensure proper patient care, it is within the best interest of the government to ensure these critical pieces of equipment are maintained and repaired to meet all OEM specifications. Based on previous procurement history and the proprietary nature of the requirement, there is not a reasonable expectation that offers will be received from two or more eligible SDVOSB s, VOSB s or any other SB concern.



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 FBO on October 5, 2016 and Varian Medical Systems and The Remi Group, LLC, a large business, replied. The Remi Group, LLC, noted that they provide services that manage the maintenance of multiple equipment types under one fixed-price agreement. While these services are available from this contractor on a GSA contract (GS-21F-0093V), The Remi Group, LLC is a third party, and the end user would be required to go through their call center. Accordingly, the manufacturer would not directly work with the end user. There is only one linear accelerator at the John Cochran VA Medical Center, and continuing to work with Varian Medical Systems will allow for more prompt service when the accelerator is down and emergency service is needed.



Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable:



The cost associated with this service, estimated to be $178,548.00 per year, is deemed to be fair and reasonable after looking at similar awarded contracts in FPDS. Also, the St. Louis VAMC has acquired these services from Varian since 2013 and the price has remained consistent.



Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted:



Market research was conducted in an attempt to identify open market competitors that could provide the required services. VetBiz.gov, AbilityOne, GSA, SBA were searched to confirm whether any other vendors could perform services related to the proprietary equipment. The market research performed shows that no other vendors are certified or authorized to service the Varian equipment. FPDS searches for the Clinac Accelerator services were all found to be awarded to Varian by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.



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



N/A



Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:



Varian Medical Systems and The Remi Group, LLC.



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:



This equipment utilizes unique technology. The manufacturer will specify hardware and software support since the software is proprietary. The option of product replacement exists, but the equipment has not reached its end of life. Re-procuring in an effort to avoid proprietary issues and expand the competitive field would result in a substantial duplication of cost.



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 and belief.



Signatures on file