DOCUMENT
J -- Service GE Imaging Equipment-VISN 12 10/1/19-9/30/20 - Attachment
- Notice Date
- 10/1/2019
- Notice Type
- Attachment
- NAICS
- 334517
— Irradiation Apparatus Manufacturing
- Contracting Office
- Department of Veterans Affairs;Great Lakes Acquisition Center (GLAC);115 S 84th Street, Suite 101;Milwaukee WI 53214-1476
- ZIP Code
- 53214-1476
- Solicitation Number
- 36C25220Q0014
- Archive Date
- 10/31/2019
- Point of Contact
- Lori Eastmead
- E-Mail Address
-
Government Email
(Lori.Eastmead@va.gov)
- Small Business Set-Aside
- N/A
- Award Number
- VA797H-17-D-0024 36C25220N0053
- Award Date
- 10/1/2019
- Awardee
- GENERAL ELECTRIC COMPANY;3000 N GRANDVIEW BLVD W-443;WAUKESHA;WI;53188
- Award Amount
- $1,505,845.48
- Description
- Page 1 of 4 Original Date: 08/30/2017 Revision 01 Eff Date: 04/23/2018 LIMITED SOURCES JUSTIFICATION ORDER >SAT FAR PART 8.405-6 Acquisition Plan Action ID: 36C252-19-AP-3135 Contracting Activity: Department of Veterans Affairs, VISN 12, Great Lakes Acquisition Center, 115 S. 84th Street, Suite 101, Milwaukee, WI 53214-1476. Purchase requests pertaining to this acquisition are; 695-20-1-133-0005/0006/0007/0008/0011 and 0013. Description of Action: This acquisition is conducted under the authority of the Multiple-Award Schedule Program (41 U.S.C. 251 and 40 U.S.C. 501). This action is a new requirement for a one-year (12 month) firm-fixed price task order against a NAC contract to perform services for High Tech Medical Equipment (HTME). Order against: FSS Contract Number: V797H-17-D-0024 Name of Proposed Contractor: General Electric Company (GE) Street Address: 3000 N. Grandview Blvd., W-443 City, State, Zip: Waukesha, WI 53188-1615 Phone: 312-636-2344 Description of Supplies or Services: Estimated value of the proposed action is $1,550,845.48. VISN 12 Biomedical Engineering has a requirement for GE imaging equipment preventative maintenance and emergency repair services. The contractor shall provide all labor, materials, tools, and equipment necessary to provide these services. These services are critical for the continuity of patient care and are required at six of the VISN s medical centers. The diagnostic imaging equipment is used for creating visual representations of the interior of the body for clinical analysis and medical intervention. Some modalities also provide a visual representation of the function of some organs or tissues.These services are critical to maintaining the equipment in good operational order so the VA can meet its mission of delivering high quality care to veteran patients. Service will require remote access through GE s proprietary software. Remote access is required to maintain all available support methodologies to maintain uptime of the equipment. Attachment A has the listing of the equipment also identified on the service schedule. Period of performance: 10/01/2019 09/30/2020. (4) IDENTIFY THE AUTHORITY AND SUPPORTING RATIONALE (see 8.405-6(a)(1)(i)(A), (B), and (C) or 8.405-6(b)), AND IF APPLICABLE, A DEMONSTRATION OF THE PROPOSED CONTRACTOR S UNIQUE QUALIFICATIONS TO PROVIDE THE REQUIRED SUPPLY OR SERVICE. Only one source can provide the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized. Remote access is required with site to site VPN utilizing GE s proprietary software to maintain operable 95% uptime availability. The imaging equipment is specialized High Tech Medical Equipment (HTME). GE is the only vendor with an Interconnection Security Agreement/Memorandum of Understanding (ISA/MOU) mandated by VA Directive 6500 to service the equipment. Items peculiar to one manufacturer: A patent, copyright or proprietary data limits competition. The proprietary data is: See Attachment A for a complete list of radiology equipment used for diagnostic imaging of the internal body. These are direct replacements parts/components for existing equipment. 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. (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: The task order will be placed against a National Acquisition Center (NAC) contract, VA797H-17-D-0024, which has been determined to be fair and reasonable per FAR Part 8.404 (d). The total asset value of these items is over $18M (See Attachment A for complete equipment listing). The level of coverage required by each Medical Center covered under this agreement was determined by their Biomedical Engineering leadership at those respective Medical Centers to meet regulatory and patient care requirements. The estimated value of this order to maintain existing equipment is $1.5M which is approximately 8% of the total asset value. This cost is reasonable based on the VA Enhanced Biomedical Engineering Resource survey where the national average for full service contract coverage is 9% of the total asset value. If the VA were to pursue replacing existing imaging equipment, it is estimated to cost over $20M based on inflation including $1.5M in construction costs to accommodate site preparations; of which 20% is based off the average cost to install an imaging modality (not all equipment included requires construction for installation). The equipment listed on Attachment A is at various stages of life cycle and separate processes are underway for replacement planning at each Medical Center and in the VISN. At this time, based on current operability of existing equipment, reasonable cost of maintenance services and the prohibitive cost of replacement, the VA determined that maintaining the existing equipment through an order for maintenance service represents the best value. The Joint Commission requires under Environment of Care (EOC) standard 2.04 that we maintain diagnostic imaging equipment according to manufacturer requirements. This contract was determined as the best method to meet that requirement as well as ensure that veterans receive timely diagnostic imaging care. The total asset value of these items is over $18M (See Attachment A for complete equipment listing). The level of coverage required by each Medical Center covered under this agreement was determined by their Biomedical Engineering leadership at those respective Medical Centers to meet regulatory and patient care requirements. The estimated value of the contract is $1.5M with is rough 8% of the total asset value. This cost is price reasonable based on the VA Enhanced Biomedical Engineering Resource survey where the National average for full service contract coverage is 9% of the total asset value. Equipment included in this agreement is coming off warranty or has been off warranty for several years and covered under previous agreements with GE through task orders against the NAC/DOD contract on an annual basis. Any lapse in service agreement coverage could result in the manufacturer no longer covering high cost items such as x-ray tubes and imaging detectors. It is estimated that could put the VA at risk of additional expenses of $500,000 annually as emergency requirements. (6) DESCRIBE THE MARKET RESEARCH CONDUCTED AMONG SCHEDULE HOLDERS AND THE RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED: The Contracting Officer reviewed the Veteran s Information Pages (VIP) under three different criteria however, no SDVOSB/VOSB vendors were found that meets the minimum requirements and the VA s Rule of Two. An intent to sole source notice (36C25220Q0014) was posted to FBO from 7/26/19 8/5/19. Upon expiration of the notice, no vendor responses were received. Furthermore, market research showed only one schedule holder is capable of meeting this requirement. (7) ANY OTHER FACTS SUPPORTING THE JUSTIFICATION: GE already possesses the security documentation needed upon award to allow for remote access to the equipment located at the various facilities. (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: This procurement consists of maintenance support and service for high-tech medical equipment. The basic service requires remote access to the equipment and GE does not allow other vendors or manufacturers access. In the future, when new equipment is procured, the Government will attempt to include a service agreement with the purchase of the equipment. This initiative may increase competition while lowering the overall cost by having prospective offerors consider maintenance in their pricing. (9) 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. 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.) _____ Steve Treiber DATE Biomedical Engineering Supervisor Oscar G. Johnson VAMC (10) APPROVALS IN ACCORDANCE WITH THE VHAPM Part 806.3 OFOC SOP: a. CONTRACTING OFFICER S CERTIFICATION (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief. _____ Lori Eastmead DATE Contracting Officer Network Contracting Office 12 b. One Level Above the Contracting Officer (Required over the SAT but not exceeding $700K): I certify the justification meets requirements for other than full and open competition. ______________________________ Jeffrey A. Statz DATE Contracting Officer/Services Branch Chief Network Contracting Office 12 c. Director of Contracting 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. _____ Paul M. Lauro DATE Director of Contracting NCO 12 Great Lakes Acquisition Center HIGHER LEVEL APPROVAL (Required for orders over $700,000): d. VHA SAO HCA REVIEW AND APPROVAL (over $700,000 to $68 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. _____ Terry L. Spitzmiller DATE Executive Director Regional Procurement Office Central (VHA)
- Web Link
-
FBO.gov Permalink
(https://www.fbo.gov/spg/VA/VAGLHS/VAGLHCS/Awards/VA797H-17-D-0024 36C25220N0053.html)
- Document(s)
- Attachment
- File Name: VA797H-17-D-0024 36C25220N0053 VA797H-17-D-0024 36C25220N0053_1.docx (https://www.vendorportal.ecms.va.gov/FBODocumentServer/DocumentServer.aspx?DocumentId=5174454&FileName=VA797H-17-D-0024-083.docx)
- Link: https://www.vendorportal.ecms.va.gov/FBODocumentServer/DocumentServer.aspx?DocumentId=5174454&FileName=VA797H-17-D-0024-083.docx
- Note: If links are broken, refer to Point of Contact above or contact the FBO Help Desk at 877-472-3779.
- File Name: VA797H-17-D-0024 36C25220N0053 VA797H-17-D-0024 36C25220N0053_1.docx (https://www.vendorportal.ecms.va.gov/FBODocumentServer/DocumentServer.aspx?DocumentId=5174454&FileName=VA797H-17-D-0024-083.docx)
- Record
- SN05465342-W 20191003/191001230821-503cb79a5683c687d37c4b43a46fffdd (fbodaily.com)
- Source
-
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