W--LEASING OF MRI MOBILE UNIT UNDER CONTRACT: GS-30F-0024W FOR A SIX (6) MONTHS PERIOD. CLARIFICATION: THE CO THAT AWARDED INITIAL GS-30F-0024W USED THE INCORRECT NAICS CODE (336992); INSTEAD OF 621512.

Attachment A: Request for Sole Source Memo Format DEPARTMENT OF VETERANS AFFAIRS Justification and Approval For Other Than Full and Open Competition 1. Contracting Activity: Department of Veterans Affairs, VISN XX, XXXX Medical Center Fully identify the contracting agency and organizational activity responsible for the proposed contracting action. Specifically identify as a "Justification for Other Than Full and Open Competition." Identify purchase request (i.e. 2237) number, if applicable. 2. Nature and/or Description of the Action Being Processed: Describe the action being reviewed and approved and state whether the action will be awarded as a new contract or by modification to an existing contract (identify contract number) and identify the type contract planned (e.g., firm-fixed-price, time and materials, labor hour, etc.) An individual J&A cannot be used to support more than one contract, irrespective of the quantities or the dollar value stated therein. If a proposed contract will contain unpriced options (including NTE prices), those options must be supported by a separate J&A prior to option exercise or the J&A supporting the basic contract must be a Class J&A. For Class J&A situations where the number of contracts in the class can be identified: (1) Provide brief general description of actions, (2) identify the document as a Class J&A, (3) identify the supplies and services that are being acquired, and (4) for each contract in the class identify the contractor; estimated value; type of contract and rationale for contract length; and estimated award date. Where the same information applies to more than one contract within the class, it need only be stated one time. 3. Description of Supplies/Services Required to Meet the Agency's Needs: Specifically describe the supplies and/or services to be acquired including the estimated value (including options) and quantity of each item, the total estimated value of the acquisition, and the estimated delivery dates/periods of performance. If there is a national authority, the document must be cited and either a web link included or a copy of the requiring document attached. Include the requirement delivery date or period of performance. 4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC §253(g), as implemented by FAR 6.302. The specific paragraph must be cited. Most likely, only the -1 or -2 authorities will be cited. Please be aware that failure to adequately plan for future requirements does not constitute appropriate use of the unusual and compelling urgency statutory authority. ( ) (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; 5. Demonstration that the Contractor's Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): Provide, in narrative form, a detailed explanation supporting and clearly relating to the conditions described by the FAR for using the particular authority cited. This section is normally the most detailed part of the justification as the essence of the justification is presented here. Keep in mind that this document is posted and that your judgment may be formally questioned and protested if your justification is insufficient or not valid. Contracting without providing for full and open competition shall not be justified on the basis of lack of advance planning by the requiring activity or concerns related to the amount of funds available (e.g., funds will expire)(See FAR 6.301(c)). To assist you, the following information is provided: a. Only One Responsible Source (FAR 6.302-1) - In the case of a follow-on contract for continued development or production of a major system or highly specialized equipment/services, the rationale must first justify the supplies/services as being a "major system" or "highly specialized." The rationale must then justify "either" substantial duplication of cost to the government that is not expected to be recovered through competition, or unacceptable delays in fulfilling the agency's requirements, whichever situation applies. If both of these situations apply, the rationale can be based on either of these two situations, or both. Note: Discuss the use of restrictive brand name descriptions in requirements documentation here under Part V. An acquisition that uses a brand name description or other purchase description to specify a particular brand name, product, or feature of a product, peculiar to one manufacturer does not provide for full and open competition regardless of the number of sources solicited. If there is going to be a brand name used, you will need to justify it and clearly explain why a specific brand produced by a single company is required as opposed to allowing free and open competition. The justification should indicate that the use of such descriptions in the acquisition is essential to the Government's requirements, thereby precluding consideration of a product manufactured by another company. (Brand-name or equal descriptions, and other purchase descriptions that permit prospective contractors to offer products other than those specifically referenced by brand name, provide for full and open competition and do not require justifications and approvals to support their use.) When using this exception, the contracting officer should include one of the following sentences, whichever is applicable: "Accordingly, XYZ Corporation is the only firm capable of providing the supplies and services described in Section III above without the Veteran's Health Administration experiencing substantial duplication of cost that could not be expected to be recovered through competition," or "Accordingly, XYZ Corporation is the only firm capable of providing the supplies and services described in Section III above without the Veteran's Health Administration experiencing unacceptable delays in fulfilling its requirements," or "Accordingly, XYZ Corporation is the only firm capable of providing the supplies and services described in Section III above without the Veteran's Health Administration experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling its requirements." b. Unusual and Compelling Urgency (FAR 6.302-2, 6.303-2(a)(9)(ii)) - Contracting Officers shall contact SAO East as soon as practicable when contemplating an award under the authority cited in FAR 6.302-2 for J&As requiring HCA or DSPE approval. Provide an explanation why (1) the supplies or services are needed at once because of fire, flood, explosion, or other disaster, or (2) essential equipment or repairs to that equipment are needed at once, e.g., to preclude impairment of healthcare delivery capabilities or mission performance. In other words, identify the anticipated serious injury to the Government, the nature of the urgency, the reasons for it occurring and why it is "urgent and compelling" to preclude adverse impact to Veteran care. Merely citing adverse impact to Veteran care is not in and of itself sufficient reason to use this exception from the requirement to obtain full and open competition. Note that only the minimum quantity required to satisfy the unusual and compelling urgency qualifies for this exception; thus, this exception might not suffice to justify option quantities. c. Industrial Mobilization; or Engineering, Developmental, or Research Capability (FAR 6.302-3) - The most important part of justifications citing this authority is demonstrating the need to maintain the capability possessed by the identified source(s). Some form of market survey may be critical in demonstrating the uniqueness of this capability. d. Authorized or Required by Statute (FAR 6.302-5) - It is imperative to identify what is being acquired and the applicable statute authorizing other than full and open competition. Note: Some statutes do not require a written J&A. e. National Security (FAR 6.302-6) - Provide the minimum essential information needed to establish validity of the justification. This information will make the J&A a classified document. Special handling procedures are required for processing such documentation to the approval authority. Only parties with a "need to know" and the proper level of security clearance should be permitted access to the documentation. Such acquisitions are also exempt from synopsis under FAR 5.202(a)(1). f. Public Interest (FAR 6.302-7) - This authority may only be used when none of the other authorities is appropriate and may not be made on a class basis. Provide detail addressing the reasons full and open competition is not in the public interest and why no other authority is appropriate for use. Approval to use this statutory exemption may only be made by a written determination by the Secretary of Veterans Affairs, and with Congressional notification not less than 30 days before award of the contract. 6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Describe all efforts taken (or to be to be taken) to ensure that offers are solicited from as many potential sources as practicable under the circumstances. The following issues should be addressed in this paragraph: Sources Sought Synopsis: If a sources sought synopsis was issued, state the date the synopsis was issued, the synopsis number, and a brief description of its content. If any responses were received, describe in detail the results of the screening process and the rationale for determining the unacceptability of any synopsis respondents. This is particularly important when citing the authority of 10 USC 2304(c)(1), "Only one (or a limited number of) responsible source(s)", since it is this survey of the market place that confirms our assumptions regarding the capability of industry to meet our needs. (See FAR 6.303-2(a)(6)). If the proposed action was not or will not be synopsized, cite the specific authority for not doing so (per FAR 5.202) and the rationale for the synopsis exception. Note that although synopsis of proposed contract actions initiated pursuant to FAR 6.302-2 may not be required, use of this authority is not an automatic exemption from synopsis. (See FAR 5.202(a)(2)). Other Actions: In this paragraph, discuss any other actions taken or planned to facilitate competition for this acquisition. The discussion should include actions tried or considered even if the actions were unsuccessful. If the efforts were unsuccessful, so state and describe why. 7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable: Include a statement by the contracting officer that the anticipated cost will be considered fair and reasonable and provide the basis for this determination. The steps that will be taken to ensure the final contract price will be fair and reasonable are also described here. Describe the extent of cost or price analysis anticipated including the requirements for certified cost or pricing data, technical evaluations, and audits (FAR 6.303-2(a)(7)). 8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: Discuss any market research conducted pursuant to FAR Part 10 and describe results of that research. Market research is any effort undertaken to determine if sources capable of satisfying the agency's requirements exist and to determine if commercial items or non-developmental items are either available or can be modified so that they will satisfy the agency's needs. Market research should be focused not only on identifying alternate sources, but also on alternate equipment or substitutes that might fill the government needs with only minor modification. Regardless of the approach used, the results should provide a high level of confidence that no other qualified sources exist. Generally, some form of market research should be conducted, but it is most critical when citing the authority of FAR 6.302-1, only one (or a limited number of) responsible source(s). Under such circumstances, use the following sentence: "As described in Section VI above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties." When other exceptions from the requirement to obtain full-and-open competition are relied upon, the market research might be limited to an examination of the acquisition history and experience with the marketplace under previous acquisitions for the same or similar items. If no market research was conducted, so state and provide the rationale. 9. Any Other Facts Supporting the Use of Other than Full and Open Competition: Provide any other facts supporting the use of other than full and open competition, including an explanation of why specifications, engineering descriptions, statements of work, statements of objectives, or purchase descriptions suitable for full and open competition have not been developed, are not being developed, are not being used, or are not available. (see FAR 6.302-1(b)(2) and 6.303-2(a)(9)(i)). 10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: State "See Section VI above." 11. 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: Describe any actions taken or to be taken to foster competition for future acquisitions of the supplies or services being acquired. Describe potential actions that could be undertaken to remove the barriers to competition that have been identified in the justification and include a milestone schedule for accomplishing these actions. For example, if a follow-on competitive acquisition is planned, so state and give planned award date. If no actions are planned, so state and provide reasons. If approval is sought for more than one year, explain why a sole source effort is required for the planned time duration. 12. 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. (This signature is the requestor's supervisor, fund control point official, chief of service, someone with responsibility and accountability) _____________________________ ________________________ Name Date Title Facility 13. Approvals in accordance with FAR 6.304 This part if filled out by Contracting Staff as part of the Justification 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 Date Title Facility b. One Level above Contracting Officer: I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief. *This signature may be the VISN NCM if the Contracting Officer and Contracting Supervisor is the same individual. _____________________________ ________________________ Name Date Title Facility c. NCM : I certify the justification meets requirements for other than full and open competition. _____________________________ ________________________ Name Date Network Contract Manager VISN X d. SAO East: I certify the justification meets requirements for other than full and open competition. _____________________________ ________________________ Jeffrey R. Ryan Date Director Service Area Office, East e. VHA HCA's Review and Approval: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and recommend approval (over $50 million), approve (up to $ 50 million) for other than full and open competition. _____________________________ ________________________ Joseph A. Williams, Jr. RN, BSN, MPM Date Head of Contracting Activity (HCA) Veterans Health Administration f. VHA Senior Procurement Executive Approval (over $50 million): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for other than full and open competition. _____________________________ ________________________ Jan R. Frye Date Deputy Assistant Secretary Office of Acquisition and Logistics Senior Procurement Executive (SPE) Department of Veterans Affairs Attachment B: Request for Limited Sources Memo Format LIMITED SOURCES JUSTIFICATION ORDER >$100,000 FAR PART 8.405-6(g) 2237 Transaction # or Vista Equipment Transaction #: 672-11-2-035-0024 This acquisition is conducted under the authority of the Multiple Award Schedule Program. The material or service listed in par. 3 below is sole source, therefore, consideration of the number of contractors required by FAR Subpart 8.4 - Federal Supply Schedules, is precluded for the reasons indicated below. Restricted to the following source: Provide original manufacturer's name for material or contractor's name for service. (If a sole source manufacturer distributes via dealers, ALSO provide dealer information.) Manufacturer/Contractor: Salvadorini Consulting, LLC Manufacturer/Contractor POC & phone number: David Salvadorini Mfgr/Contractor Address: 111 Linden Ln, Lexington, NC 27292-4864 Dealer/Rep address/phone number: +1 (555) 000-0000 0 The requested material or service represents the minimum requirements of the Government. (1) AGENCY AND CONTRACTING ACTIVITY: Department of Veterans Affairs VA Caribbean Healthcare System______ One Veterans Plaza_________________ San Juan, PR VISN: 8-NCA 8 (2) NATURE AND/OR DESCRIPTION OF ACTION BEING APPROVED: Leasing of MRI Mobile Unit for additional six (6) months, in order to avoid payment of transportation from the USA of new equipment. Unit is already installed at the Facility and all electrical components in place for continuation of radiology services. (3) (a) A DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY'S NEED: MRI Mobile Unit Trailer 1.5T Symphony (b) ESTIMATED DOLLAR VALUE: $257,700.00 (c) REQUIRED DELIVERY DATE: February 1, 2011- Delivery not required, but new contract (4) IDENTIFICATION OF THE JUSTIFICATION RATIONALE (SEE FAR 8.405-6), AND IF APPLICABLE, A DEMONSTRATION OF THE PROPOSED CONTRACTOR'S UNIQUE QUALIFICATIONS TO PROVIDE THE REQUIRED SUPPLY OR SERVICE. (CHECK ALL THAT APPLY AND COMPLETE) 0 Specific characteristics of the material or service that limit the availability to a sole source (unique features, function of the item, etc.). Describe in detail why only this suggested source can furnish the requirements to the exclusion of other sources. 0 A patent, copyright or proprietary data limits competition. The proprietary data is: 0 These are "direct replacements" parts/components for existing equipment. ____________________________________________________________________________ ____________________________________________________________________________ 0 The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing. Describe the equipment/function you have now and how the new item/service must coordinate, connect, or interface with the existing system. 1 The new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures. The equipment had been in the Facility for more than a year, but the contract was awarded prior to GS Contract obtained by current contractor on March 2010. This Contractor provides the best value for the Facility because it will provide continuation of current services on leasing for MRI Mobile Unit stationed at the Hospital since August 2009. This award to GS-30F-0024W is necessary to continue the services of leasing for this radiology equipment because the Facility has not completed the construction of the VA- owned property for the required MRI system. The continuation with the same Contractor will save money to the Government because it will save on transportation charges for new equipment. Besides, this Contractor is a SDVOSB. Only one responsible source and no other supplies or services will satisfy agency requirements per FAR 6.302-1. 0 An urgent and compelling need exists, and following the ordering procedures would result in unacceptable delays. (5) DESCRIBE WHY YOU BELIEVE THE ORDER REPRESENTS THE BEST VALUE CONSISTENT WITH FAR 8.404(d) TO AID THE CONTRACTING OFFICER IN MAKING THIS BEST VALUE DETERMINATION: Only this source will save money and will provide continuation of this necessary services to the patients because the Contractor has been given services for more than a year. The equipment is in the premises until January 31, 2011 with current contract VA248-P-1134. This Contractor has had an excellent performance during the past year (2009-2010); and will truly satisfy the Facility needs for this coming six (6) months; until the Hospital completes the construction to install the VA-owned equipment. (6) DESCRIBE THE MARKET RESEARCH CONDUCTED AMONG SCHEDULE HOLDERS AND THE RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED: Two more SDVOSB's found in the USA, but none in the Island or nearby the Island. The transportation of this huge equipment will increase the cost, and may not be on time to assure continuity of services. This equipment, when delivered, was stopped by Customs, and some additional documentation was submitted in order to avoid additional charges because it was for the Federal Government. (7) ANY OTHER FACTS SUPPORTING THE JUSTIFICATION: None. (8) A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME ANY BARRIERS THAT LED TO THE RESTRICTED CONSIDERATION BEFORE ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES IS MADE: The Facility is saving money to the Government in keeping the same Contractor, and this Contractor fully complies with the First Contracting Program because the Contractor is a SDVOSB one. (9) 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. I understand that processing of this limited sources justification restricts consideration of Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4. (This signature is the requestor's supervisor, fund control point official, chief of service or someone with responsibility and accountability.) SIGNATURE DATE Edda Quintero, MD Chief, Radiology Services Radiology Services NAME TITLE SERVICE LINE/SECTION VA Caribbean Healthcare System FACILITY --------------------------------------------------------------------------------------------------------------------- (10) APPROVALS IN ACCORDANCE WITH FAR 8.405-6(h): a. CONTRACTING OFFICER'S CERTIFICATION (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief. CONTRACTING OFFICER'S SIGNATURE DATE ______________________________ NAME AND TITLE FACIL HIGHER LEVEL APPROVAL (For orders over $650,000): 0 REQUIRED 0 NOT REQUIRED b. ONE LEVEL ABOVE CONTRACTING OFFICER: I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief. *This signature may be the VISN NCM if the Contracting Officer and Contracting Supervisor is the same individual. SIGNATURE DATE NAME AND TITLE c. NCM : I certify the justification meets requirements for restricting consideration of Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4. Name DATE VISN X NCM d. SAO EAST : I certify the justification meets requirements for restricting consideration of the Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4. JEFFREY RYAN DATE Director SAO East e. VHA HCA'S REVIEW AND APPROVAL(over $650,000 to $12.5 million): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for restricting consideration of the Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4 JOSEPH A. WILLIAMS, Jr., RN, BSN, MPM DATE Head of Contracting Activity (HCA) f. VHA Senior Procurement Executive Approval (over $12.5 million): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for other than full and open competition. _____________________________ ________________________ Jan R. Frye Date Deputy Assistant Secretary Office of Acquisition and Logistics Senior Procurement Executive (SPE)