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FBO DAILY - FEDBIZOPPS ISSUE OF OCTOBER 05, 2018 FBO #6160
DOCUMENT

65 -- Pyxis Software and Equipment Upgrade - Attachment

Notice Date

10/3/2018
 

Notice Type

Attachment
 

NAICS

339999 — All Other Miscellaneous Manufacturing
 

Contracting Office

Department of Veterans Affairs;Network Contracting Office 21;VA Southern Nevada Healthcare System;6900 N. Pecos Road, Building 6;North Las Vegas NV 89086
 

ZIP Code

89086
 

Solicitation Number

36C26118Q9199
 

Archive Date

11/25/2018
 

Point of Contact

Susanne Christen, Susanne.Christen@va.gov
 

E-Mail Address

susanne.christen@va.gov
(susanne.christen@va.gov)
 

Small Business Set-Aside

N/A
 

Award Number

36C26118P2304
 

Award Date

9/26/2018
 

Awardee

CAREFUSION SOLUTIONS, LLC;3750 TORREY VIEW COURT;SAN DIEGO;CA;92130
 

Award Amount

$2,645,246.00
 

Description

DEPARTMENT OF VETERANS AFFAIRS (VA) Justification and Approval (J&A) (Redacted) For Other Than Full and Open Competition (>$150K) Acquisition Plan Action ID: Contracting Activity: VA Veterans Health Administration (VHA) Network Contracting Office (NCO) 21 6900 N. Pecos Road, Building 6 North Las Vegas, Nevada 89086 The procurement number is. Nature and/or Description of the Action Being Processed: NCO 21 intends to enter into a firm-fixed price, sole source contract with Carefusion Solutions, LLC (Carefusion), 3750 Torrey View Court, San Diego, California 92130-2622 for the procurement of a software and equipment upgrade, support services, and other services for the VA Southern Nevada Healthcare System (VASNHS), 6900 North Pecos Road, North Las Vegas, Nevada 89086. The award action, contract number 36C26118P2304, will be a new contract. The applicable North American Industry Classification System (NAICS) code for this acquisition is 339999 All Other Miscellaneous Manufacturing and the business size standard is 500 employees. The product classification code is 6515 Medical and Surgical Instruments, Equipment, and Supplies. The period of performance for the upgrade of the software and equipment and removal and disposal of obsolete equipment is six (6) months following the effective date of award. The period of performance for the maintenance support services and other services is one (1) base year and four (4) option years, with services commencing upon the delivery, installation, and acceptance of the upgrades. FAR13.5 Simplified Procedures for Certain Commercial Items: This procurement is for supplies and services in accordance with FAR subpart 13.5 Simplified Procedures for Certain Commercial Items, and specifically FAR 13.501 Special Documentation Requirements, where acquisitions conducted under Simplified Acquisition Procedures are exempt from the requirements of FAR part 6, but still require a justification using the format of FAR 6.303-2. Description of Supplies/Services Required to Meet the Agency s Needs: This requirement is for a Carefusion Pyxis software and hardware upgrade, removal and disposal of equipment, maintenance support services, and analytics and related services. The software and hardware upgrade will support optimal performance of the Pyxis anesthesia, AMD, and supply systems, enhance the quality of medical care, improve quality control, and allow the VA to meet Joint Commission standards. An estimated $__________________ of software upgrades are needed, an estimated $__________________ of equipment upgrades are needed, and an estimated $____________________ of services are needed. Carefusion will remove and dispose of __________________ pieces of obsolete Carefusion equipment for $__________________. The total estimated value of the acquisition is $__________________. This estimate is inclusive of all options. Statutory Authority Permitting Other than Full and Open Competition: FAR13.5 Simplified Procedures for Certain Commercial Items: The authority for the application of Simplified Procedures for Commercial Items, FAR subpart 13.5, to this procurement is 41 U.S.C. §1901. Restricted competition of this procurement is implemented by FAR 13.106-1(b)(2). Demonstration that the Contractor s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): Pyxis software is proprietary to Carefusion, and it is the only vendor capable of upgrading the operating system and software platform, upgrading the equipment, providing maintenance and support services, and providing analytics/other related services. The system is currently in use throughout all of VASNHS, which includes six (6) VA community clinics and the Mike O Callaghan Federal Medical Center. The Mike O Callaghan Federal Medical Center is comprised of the main hospital, emergency room, specialty clinics, inpatient facilities, lab, radiology, mental health clinic, extended care and rehabilitation facility, and supply department. VASNHS facilities are spread out from one another, and are located in North Las Vegas, Las Vegas, Pahrump, and Laughlin, Nevada. The Carefusion Pyxis anesthesia, AMD, and supply systems are all integrated into these seven (7) VA facilities, and the Carefusion Pyxis anesthesia, AMD, and supply systems are all integrated with each other to streamline processes and reduce costs. Based on extensive market research, including confirmation from Carefusion that it is the original equipment manufacturer (OEM), it was determined that Carefusion is the only source capable of satisfying the VA s requirements discussed above. With respect to software maintenance and software implementation portions of the requirement, only Carefusion has access to underlying software code that is necessary to provide this support. Specifically, if another source were to attempt to manipulate the Carefusion software code to provide equivalent software maintenance support (bug fixes, minor release upgrades, live troubleshooting support, etc.), or customized software implementation support, it would result in configuration and installation issues as the proprietary code is required to ensure the services provided will work on the current software and equipment. In addition, use of another source for the aforementioned services would invalidate VA s enterprise license. With respect to the support and analytics portions of the requirement, Carefusion has confirmed that it is the only vendor with the proprietary rights to provide this support and analytics, and there are no other authorized resellers. An estimated $__________________ worth of equipment does not need to be upgraded/replaced if Carefusion is awarded the contract. This is based on current market prices, and awarding the contract to Carefusion would result in a major cost savings of the $___________________ when compared to purchasing entirely new AMD and anesthesia systems from another vendor. This equipment is currently installed, is in good operating condition, and is in use, and the software and equipment upgrades or replacements of this procurement must be able to integrate with this existing equipment to realize the $___________________ in cost savings. Only Carefusion has access to the underlying, proprietary operating system software, interfaces, and analytics software that allows for integration of the Pyxis anesthesia and AMD equipment. In addition, procuring entirely new systems would duplicate $__________________ in costs, which could not be expected to be recovered through competition, and use of another source for this procurement would invalidate the VA s warranty for the existing Carefusion Pyxis equipment as soon as another vendor s equipment was electronically or physically connected to it or it was altered in any way by another vendor. It would also invalidate the VA s warranty for the other vendor s equipment if that equipment were connected to the Carefusion Pyxis equipment. An infrastructure for Carefusion Pyxis anesthesia, supply, and AMD systems currently exists at VASNHS, and the three Pyxis systems are integrated both within their respective systems and with each other. No other infrastructure exists. If the requirements were procured from another source, then a new, disparate infrastructure would need to be built, and the anesthesia and AMD systems would not be capable of integrating with the supply system. The estimated cost of operating a second, disparate infrastructure is $___________________ over the estimated ________-year life of the AMD and anesthesia systems. Workflow for the facility would need to be changed substantially, new procedures and policies would need to be put into place, and staff would need training on new systems, if another source were used for this procurement. Also, there would be an opportunity cost if the requirements were procured from another source because VA nurses, engineers, pharmacy, and management staff would need to spend time on putting new workflows, processes, and procedures in place; and they would need to spend time on training, rather than spending time on patient care, other engineering projects, or other management projects. With the Carefusion Pyxis systems, the staff would need little or no training, and new workflows, processes, and procedures would not need to be put into place. It would be an estimated $_________________ for training if the items were procured from another vendor. If the requirements were procured from another source, then, the time that it would take to install, test, fix bugs, and implement the new infrastructure, anesthesia system, and AMD system for the upgrade is estimated to be __________________, which would be a lengthy timetable for the systems upgrades that are presently needed. Interface development would take _______ to ________ months, testing would take ________ to _______ months, training would take ___________, and equipment trade-out, medication trade-out, input at each PCC, and coordination would take ___________. Integration would need to be tested for the BoxPicker, ScriptPro, CPRS, and VISTA programs, and a review of the HL7 conformance statements and interface connections would be needed, if another vendor's system were used. The existing Carefusion AMD and anesthesia systems would need to continue to be fully functional while systems were in the process of being transferred over to a different vendor's system, if another vendor's system were used. In addition, There would be additional labor costs for a wide range of VA personnel from GS-6 through GS-13 levels, which would be based on the GS level of each VA employee involved, and the time required to develop the new processes, training, and workflows. Accordingly, Carefusion is the only vendor capable of providing the supplies and services described in Section III above without the VHA experiencing substantial duplication of costs that could not be expected to be recovered through competition. An upgrade of the Carefusion Pyxis AMD and anesthesia systems at VASNHS translates into a total estimated cost savings of _______ percent for the procurement as compared to a procurement of completely new AMD and anesthesia systems. In addition, the estimated period of performance for Carefusion is _______ months from the time of award to the go-live date of the upgrade, which is substantially sooner than the _______ year that it would take if the requirements were procured from another vendor. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as Deemed Practicable: Extensive market research was conducted, details of which are in section 8 of this justification. This effort did not yield any additional sources that can meet the Government s requirements. There is no competition anticipated for this acquisition. Additionally, the proposed action will be synopsized on the Governmentwide Point of Entry (GPE) in accordance with FAR 5.201. Any quotes that are received shall be evaluated and the justification will be made publicly available. Any vendor capable of providing the requirements may submit a quote for consideration. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The CO anticipates that the price to the Government will be fair and reasonable.______________________________________________________________________________. This is a procurement for commercial items, and obtaining certified cost or pricing data is not authorized. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: A sources sought notice was published on the GPE, and follow-up inquiries were emailed to vendor s that responded if additional information was needed. The sources sought notice was published on June 21, 2018, and responses were due on July 5, 2018. It contained a synopsis of the requirement, a disclaimer, and a sources sought description, which included salient characteristics, a questionnaire, and contact information for the contract specialist. An evaluation of responses was based on the responses to the questionnaire and any additional material provided. ___________________________________ responded to the sources sought notice. _____________________ stated that they would not be able to provide all of the items for the acquisition. Carefusion stated that it would be able to provide all of the items of the acquisition. A search of the Vender Information Pages (VIP) VetBiz database and Dynamic Small Business Search (DSBS) database was conducted. Two or more SDVOSBs or VOSBs or small businesses were not found that could provide the items for this procurement. The mandatory sources were searched for venders that could possibly provide the items, and none were found. A search of the preferred sources did not produce any vendors that could provide the items of the procurement. A search of the internet was conducted, and one vendor was found that could provide the items, which was Carefusion. The acquisition package was thoroughly reviewed, and several meetings were held with the requesting service regarding this procurement. The results of the sources sought notice, and other market research conducted, produced one vendor, Carefusion, that could meet the requirements of this procurement. While software exists that is similar to the Carefusion products used by VA (such as ____________), only Carefusion can provide the required maintenance support and analytics services due to the proprietary restrictions discussed above. In addition, as referenced above, Carefusion does not provide any other company with access to its underlying software code, nor proprietary rights, which are necessary to perform services required by this procurement. Therefore, only a contract directly with Carefusion as the OEM can satisfy the VA s requirement. Carefusion is a _______________________________________________________________________. Any Other Facts Supporting the Use of Other than Full and Open Competition: _____________________________________ are not able to provide the maintenance support or analytics services for the procurement because they are not OEMs or authorized resellers of these items. In addition, the acquisition is for an amount that is more than the simplified acquisition threshold (SAT), and there is no waiver to the non manufacturer rule (NMR) in place for NAICS code 339999. ____________________________ are not OEMs or resellers of a small business OEM for the items in this procurement, nor do they provide any added value for the items in this procurement. Because of the above, an SDVOSB or small business set-aside would not be conducted for this procurement. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: Carefusion Solutions, LLC, _________________________, and _________________________. 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: For future acquisitions, VA contracting and other staff will continue to conduct appropriate market research to determine if sources capable of meeting the agency s requirement(s) are available in the marketplace. Requirements Certification: I certify that the requirement(s) outlined in this justification is/are 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. _____________________________ ________________________ VASNHS Date Approvals in accordance with the VHAPM Part 806.3 OFOC SOP: Branch Chief: I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief. _____________________________ ________________________ Date Contracting Officer NCO 21 NCO 21 Director of Contracting: I certify the justification meets requirements for other than full and open competition. _____________________________ ________________________ Date Director of Contracting NCO 21 VHA SAO HCA 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 approve for other than full and open competition. _____________________________ ________________________ Date Acting Executive Director, SAO West Head of Contracting Activity (HCA)
 

Web Link

FBO.gov Permalink
(https://www.fbo.gov/notices/360e09a168e6c20ba75139eb64bae179)
 

Document(s)

Attachment
 

File Name: 36C26118P2304 36C26118P2304_1.docx (https://www.vendorportal.ecms.va.gov/FBODocumentServer/DocumentServer.aspx?DocumentId=4620291&FileName=-15621.docx)

Link: https://www.vendorportal.ecms.va.gov/FBODocumentServer/DocumentServer.aspx?DocumentId=4620291&FileName=-15621.docx

 

Note: If links are broken, refer to Point of Contact above or contact the FBO Help Desk at 877-472-3779.
 

Record

SN05113939-W 20181005/181003230536-360e09a168e6c20ba75139eb64bae179 (fbodaily.com)
 

Source

FedBizOpps Link to This Notice
(may not be valid after Archive Date)

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