VCS warehouse lease

DEPARTMENT OF VETERANS AFFAIRS



Justification and Approval



For



Other Than Full and Open Competition





1. Contracting Organization: Department of Veterans Affairs, VISN 8, VACHS Medical Center



2. Description of Action: This is a request for other than full and open competition for a contract action of approximately four and a half (4 1/2) months, from May 22, 2010 through September 30, 2010 with Cesar Castillo, Inc. To provide complete Warehouse/ Storage and Delivery service in compliance with VA Handbook 7128 titled Storage and distribution Procedures, Part 1.2.5002. Services include Receiving, storage in a temperature and humidity controlled area, delivery of merchandise to the VA Caribbean Healthcare System (VACHS) in San Juan, Puerto Rico to safeguard all items susceptible to life station and deterioration and to prevent contamination of stored supplies to include temperature control. Action is contemplated to cover the period required to lease a space for warehouse in compliance with al procedures set forth in VA Directive 7815, dated April 22, 1998 titled Acquisition of Real Property by Lease and by assignment from General Service Administration (GSA).





3. Description of Supplies or Services: Contractor shall provide warehousing/storage and delivery services to include receiving and delivering of merchandise. Storage of supplies at temperature controlled environment of not to exceed 75° Fahrenheit degrees; keeping an accurate record of received and delivered products.





4. Statutory Authority: FAR 6.302-1 Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.





5. Validity of Use of Statutory Authority: The Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits proposals. Cesar Castillo, Inc. will provide temperature and humidity controlled space to safeguard all items susceptible to infestation and deterioration and to prevent contamination. This procurement action is to avoid infestation; deterioration and contamination of clean/sterile items while a long term lease contract is procure.



Due to above reasons, Cesar Castillo, Inc. is the only source that can meet mission needs, to provide the VA Caribbean Healthcare System, San Juan, PR on a timely manner, the required storage, space and delivery system to comply with the requirements and specifications.







6. Actions to Promote Competition: This is a one time action. A new Acquisition is planned for third quarter FY 11. Service is developing a new scope of work to conduct market research and all other requirements to submit procurement package to the ASAO East 8 based on findings.



7. Determination of Fair and Reasonable Price: The anticipated price to the Government is $ 169,350.00. Estimated cost is based on current market price at the present time. A request for proposal will be issued to the Contractor. Contractor's proposal will be evaluated against the estimated cost. Negotiation will be held, if required, in order to reach a fair and reasonable price for both parties.





8. Market Survey (FAR 10): A market survey was conducted for this action. Cesar Castillo, Inc. is the only Contractor that can meet Government requirements within the time frame required as indicated in paragraph 5 above.



9. Other Considerations: N/A





10. Listing of Sources that expressed, in writing, an interest in the acquisition:



None



11. Statement of Actions to Overcome Barriers to Competition: N/A



12. Requirements Certification: I certify that the requirement outlined in this justification is a bonafide 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.



_____________________________ ________________________

Name: Jose R. Pagan Date

Title: Chief, Storage& Distribution

Facility: VA Caribbean Healthcare System

Carolina Warehouse







13. Approvals in accordance with FAR 6.304



a. Contracting Officer's Certification: (required) I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.





_____________________________ ________________________

Name: Ms. Awilda Perales Date

Title: Supervisory Contract Specialist

Facility: ASAO East 8