6515--Award Notice and Justification Posting Consignment Embolization Coils BPA Base plus 4 OY contract

The Department of Veterans Affairs, through Network Contracting Office 19 in Greenwood Village, Colorado, has awarded a consignment blanket purchase agreement under Federal Supply Schedule contract 36F79721D0159 to Terumo Medical Corporation for proprietary embolization coils and controllers used in neurointerventional procedures. The contract, solicited under number 36C25926Q0458 and awarded on May 14, 2026, establishes a base year with four optional years extending through May 14, 2031, with a sole-source justification grounded in FAR 8.404 and GSAR 538.7104-3(b)(1)(ii) due to Terumo’s exclusive manufacturing rights and the absence of clinically equivalent alternatives in the market. The devices, including AZUR controllers and a full range of detachable coils in varying sizes and lengths, are maintained on-site at the Oklahoma City VA Healthcare System under a consignment model, where ownership remains with the vendor until the products are used in clinical procedures, at which point payment is triggered. The procurement is not subject to price competition, and no unit or total contract value is disclosed due to the nature of the consignment arrangement, though pricing is deemed fair and reasonable based on the existing FSS contract. Clinical necessity, patient safety, and immediate intraoperative availability are the primary drivers for the non-competitive award, with no competitive acquisitions possible under existing federal acquisition regulations. The contract specifies delivery performance at the Oklahoma City VA facility and includes no formal FOB terms or packaging requirements, as inventory is held and managed directly at the point of use. Contract administration is handled by Contracting Officer Natasha Holland, with no designated Contracting Officer’s Representative identified. The offeror, Terumo Medical Corporation, is classified as a large business under NAICS code 339112 with no socioeconomic certifications, and market research confirmed no small business, veteran-owned, or HUBZone firms could meet the technical requirements. The award was not based on a trade-off or LPTA process but rather on the unique, non-substitutable nature of the product, which must comply with the clinical protocols and safety standards of the VA healthcare system. Documentation supporting the sole-source determination and consignment structure was provided, including a redacted limited sources justification, but no formal FAR clauses, inspection criteria beyond FSS compliance, accounting codes, invoicing systems, or labor or environmental