DEPARTMENT OF VETERANS AFFAIRS VISN 22 NETWORK CONTRACTING ACTIVITY JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION VA-262-10-RQ-0530 FAR 6.302-5, 41 U.S.C. 253 (c) (5) SEPTEMBER 14, 2010 1. Agency and Contracting Activity Identification: The VISN 22 Network Contracting Activity, as requested by the Department Veterans Affairs Southern Nevada Healthcare System (VASNHS), shall enter into a contract that requires justification for other than full and open competition. 2. Nature of Acquisition Being Approved: The contractor shall provide Stryker Brand Integrated Surgical Suites for the VA Southern Nevada Healthcare System in accordance with the terms and conditions of the resulting contract. 3. Description of Supplies or Services to Meet Agency Needs: VASNHS is requesting a sole source service contract from Alliant Healthcare to provide integrated surgical suites as authorized by statute, Pursuant to 38 U.S.C. § 8127(c) and 8128; and sections 502 and 503 of the Public Law (PL) 109-461. The Integrated surgical suites consist of boom systems and associated surgical lights, video monitors, nurse documentation stations and electronics integration in 7 ORs, a Bronchoscopy room, 4 EGD rooms, and a Cystoscopy room. Areas to receive the stated equipment are shown on the drawings attached to the solicitation under Section D. Additionally, the contractor shall install equipment and medical gas supply boom systems in twenty-two (22) ICU and Step-down Patient Bedrooms. (Room Specifications are listed under Section D) The period of performance shall cover September 28, 2010 through February 28, 2011. The estimated cost is $4,887,693.13. 4. Statutory Authority Permitting Other Than Full and Open Competition: The products are being procured under the authority of 41 U.S.C. (c) (2), FAR Part 6.302-5 Authorized by Statute and 6.302-2 (b). 5. Demonstration of the Proposed Contractor's Unique Qualifications or the Nature of the Acquisition Requires Use of the Authority Cited:. It is recommended that a sole source Service Disabled Veteran Owned Small Business (SDVOSB) award be made to: Alliant Healthcare Products. In accordance with FAR 6.302 "Circumstances Permitting Other than Full and Open Competition" the following statutory authority is cited as justification to award a sole source Veteran Owned Small Business contract valued more than $25,000 (simplified acquisition threshold) and less than $5,000,000 (authority ceiling limit). The contracting officer has validated that the contractor is registered and certified in the VA VetBiz.gov data base and qualifies as "small" in accordance with federal small business size standards for the applicable North American Industry Classification System code is 334510 assigned to the procurement. VA Southern Nevada Healthcare System is requesting Stryker brand equipment on the basis that the structural supports of the hospital are Stryker specific. Structural systems have been installed by the General Contractor and validated by VASNHS for Phase 4 of the hospital project to support the Stryker booms. The structural supports have been fabricated with Stryker bolt patterns. Changing vendors at this point could very well have significant impacts as other vendors will most likely have to re-fabricate the structural supports to fit their equipment. Depending on the timing, this could involve opening up the hard pan ceilings (ORs, Broncoscopy & EGD), removing what's already been installed, re-fabricating the support and seismic bracing, reinstalling, and closing up the ceiling. The schedule calls for the wall close up and ceiling going in before the end of this year. Installing other brands of equipment would result in both increased costs and time delays for the project. Based on the fact that Alliant Healthcare is the exclusive provider of Stryker Integrated Systems, it is in the best interest of the Government to sole source this procurement to Alliant Healthcare. 6. A Description of Efforts Made to Ensure That Offers From as Many Potential Sources As Practicable and Whether a Notice Will Be Publicized. A notice will be transmitted to FBO in accordance with FAR part 5. 7. Determination Anticipated Cost Will Be Fair and Reasonable: The contract price of $4,887,693.13 and is within the limits for the sole source award authority. The Contracting Officer estimates that the contract award can be made at a fair and reasonable price and offers the best value to the United States based upon: Marketing Survey Comparison of Commercial Prices 8. Description and Results of Market Research or Statement why Market Research Was Not Conducted: Market research information was obtained by surveying the internet, Government websites and a sources sought posting was publicized in FBO. Based on the above findings and analysis, integrated surgical suites are available in the commercial marketplace and the requirement should be a FAR Part 12 acquisition. The following concepts are recommended: Use a Statement of Work to identify the required services and supplies. The work statement shall name equipment as Stryker Brand. Stryker Brand bolts were utilized during the construction of the facility and a change to any other manufacturer would cause a delay and additional cost to change the bolts. Based on the fact that Alliant Healthcare is the exclusive provider of Stryker Integrated Systems, it is in the best interest of the Government to sole source this procurement to Alliant Healthcare pursuant to 38 U.S.C. § 8127(c) and 8128; and sections 502 and 503 of the Public Law (PL) 109-461. 9. Any Other Facts Supporting the Use of Other Than Full and Open Competition: None. 10. List Any Other Sources That Expressed Interest in Writing? Two other SDVOSB and one VOSB responded to the sources sought and stated that they sell similar medical equipment, but the equipment is not compatible with the Stryker specific structural system currently in place in the Medical Center. 11. A Statement of the Actions, if any, the Agency May Take To Remove of Overcome Any Barriers to Competition Before Any Subsequent Acquisition is required: The VA could mitigate future barriers to competition by investigating alternative solutions prior to designing/ constructing infrastructure based on the requirements of one particular manufacturer. 12. I hereby certify that the above is accurate and complete to the best of my knowledge and belief. ____________________________ Chelsea Black Contracting Officer Recommend Approval / Disapproval ____________________________ Aaron Villalpando Network Contract Manager Recommend Approval / Disapproval ____________________________ Delia Adams, Director SAO West Approval / Disapproval ____________________________ Joseph A. Williams Jr., RN, BSN, MPN VHA Head of Contracting Activity
