Description
Page 6 of 6 LIMITED SOURCES JUSTIFICATION ORDER >SAT FAR PART 8.405-6 Acquisition Plan Action ID:_ REDACTED Contracting Activity: Department of Veterans Affairs, VISN 4, Lebanon VA Medical Center 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). New Requirement to sole source to the following vendor: Order against: FSS Contract Number: _VA119-15-A-0019_ Name of Proposed Contractor: SAN-I-PAK PACIFIC INC. Street Address: REDACTED City, State, Zip: REDACTED Phone: REDACTED Description of Supplies or Services: The estimated value of the proposed action is $ REDACTED. This request is an urgency procurement for a new San-I-Pak waste disposal unit/system to replace the current one that is at the end of its life, which must be replaced in order to maintain/meet safety regulations and protocols. San-I-Pak shall provide the following along with installation: auto-clave series 341L with slide, 40 cubic yard liquid sealed roll off container, 96-gallon trainable dot cart with latches and bio-hazard symbol, 96-gallon cart with lid, single stage mounted cart dumper, two stage cart dumper, special length load platform, weighting system, flared guide channels, machine stand, stage 1/11 cold weather package, and one year quarterly preventive maintenance & bag/liner package. San-I-Pak has proprietary technology for their odor management system and medical/solid waste system. Their system is fully automated, which includes loading, treatment, and discharge. The items exist on the BPA, VA119-15-A-0019. (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. An urgent and compelling need exists, and following the ordering procedures would result in unacceptable delays. The San-I-Pak system is at the end of the product s lifecycle and the chances of the system failing, grows each day. If the system were to fail without a replacement or fix, it could cause harm to the facility and/or the people on site. Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized; specific characteristics of the material or service that limit the availability to a sole source (unique features, function of the item, etc.). A Sources Sought Notification was posted onto FBO.gov, with only one (1) response, and that was from San-I-Pak. No other vendor offered an equal product or claimed that they were an authorized reseller/distributor. San-I-Pak was contacted in search of any additional SDVOSBs and/or VOSBs who were authorized to sell their products. San-I-Pak stated that they had no authorized entities, due to proprietary technology/information they use for their products and systems. They did reflect their statement during the Sources Sought response, about subcontracting work out to another Small Business socioeconomic category, for the installation. In the interest of economy and efficiency, 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. Items peculiar to one manufacturer: A patent, copyright or proprietary data limits competition. The proprietary data is: (If FAR 8.405-6(a)(2)iii before posting. Do not include specific proprietary data. Only mention the type of equipment, procedure, etc. to show that proprietary supplies or services are being procured.) San-I-Pak holds proprietary technology/information in the development of their waste disposal system. It relates to the material used and custom development for each facilities system. No other vendor can provide the desired commodities but have stated that partnering up with another type of SB socioeconomic category would be possible. 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. The product provided is custom made and not readily available, due to the variable locations of facilities and the desired placement of this system. San-I-Pak holds proprietary information in the development of the product/system being requested. There is already a San-I-Pak waste disposal system in place but is at the end of the product s lifecycle. Each piece must be compatible with the other for the system to work or risk of system failure will likely occur. (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: San-I-Pak already holds a BPA contract that has been determined to be fair and reasonable. If another vendor were to be considered, the Government could be looking at additional administrative cost and the prospect of construction, due to the location of the facility and the placement of the system. The San-I-Pak products were custom made to fit the current placement of the system. By replacing the current San-I-Pak system, that is at the end of its life cycle, with another, we reduce the chances of construction be needed or any taxing oversight from the Program Office. Including the concern with the age of the system, if the waste disposal system were to fail, it could cause harm to the facility and/or the people. (6) DESCRIBE THE MARKET RESEARCH CONDUCTED AMONG SCHEDULE HOLDERS AND THE RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED: An initial search was conducted on Unicor and AbilityOne using the following keywords: waste, container, cart, weight. On Unicor, there were zero (0) results, but on AbilityOne, out of around a total of 1,000 products viewed/reviewed, none came close to the need of the procurement or could be considered an equal supply/service. Next, a search was conducted on GSAAdvantage. Around a total of 2,000 products were viewed/reviewed, but the results were the same as the previous searches. A new keyword, San-I-Pak, was used, but that too had zero (o) hits. Another search was conducted on the National Acquisition Center, again, using the same keywords as the previous searches. After view/reviewing the products, there seems that there might be some products that could be similar but due to the facility and the locality of where the system is needed, it is too difficult to tell if this is an accurate equal product. To further identify the market and any socioeconomic categories, a Sources Sought Notification was posted onto FedBizOpps (fbo.gov). Only one (1) vendor replied with an interest in the procurement or any additional information and that was San-I-Pak. The vendor did state that for the installation, because they are not a licensed contractor, they would supervise the connections of electrical, water, steam, and drain lines. The vendor would also verify that it is properly completed and that they could provide a "turn-key installation" by subcontracting a licensed SDVOSB for the connection of the utilities. The original product, that needs replaced, vendor, San-I-Pak, was contacted to see if they had any authorized REDACTED. After speaking with the vendor, San-I-Pak, does not have any authorized resellers for any of their supplies due to the proprietary information/trades that go into their products. These products are not readily available, they are custom made to fit the facility's locality of system. The vendor does work with small businesses in relation to some of their services that they provide. (7) ANY OTHER FACTS SUPPORTING THE JUSTIFICATION: As stated above, though San-I-Pak does not have any authorized resellers/distributors for their products on account that the items are custom made and there is proprietary information/technology that is involved, they have the potential to subcontract the installation (while supervising) to a Small Business socioeconomic category. (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: See previous sections. (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. SIGNATURE DATE REDACTED TITLE SERVICE LINE/SECTION Wilkes-Barre VA Medical Center FACILITY (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. _____ CONTRACTING OFFICER DATE REDACTED NCO 4 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. _____ DIVISION CHIEF SIGNATURE DATE REDACTED NCO 4 HIGHER LEVEL APPROVAL (Required for orders over $700,000): c. 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. _____ Acting Executive Director, SAO EAST DATE REDACTED SAO EAST