The Utah Procurement Code provides that a procurement may be made without competition when the University determines that there is only one source that can reasonably meet the University’s need for the required supply or service, as described in Utah Code Ann. § 63G-6a-802.
The Purchasing Department has received the following request for sole source procurement
Product and/or Service to be purchased: Monthly Lease of 5 Voluson E 10 Ultrasound Machines
Sole Source Supplier: GE Healthcare
Earliest Proposed Purchase Date: February 06, 2024
Buyer Name: Anthony Ferrara
Sole Source Justification:
A cost benefit analysis demonstrates that the estimated transitional costs are unreasonable or cost-prohibitive.
Equipment – 5 GE Voluson E 10 ultrasound machines. We originally set up 5 year operating lease for these 5 machines at the end of 2018. The lease expired in December 2023 and we are looking to go month to month while we determine next steps to either renew the lease for the current machines, get new machines, or a combination of both. Net selling price was $611,785 at the time of the lease initiation and current fair market value is $250,000.
If we were to keep our existing equipment there would be no transitional costs. All staff is knowledgeable with the equipment, and they are currently functioning in the clinic. If we were to move to a different brand of ultrasound there, we would need to procure the new machines, accessories and training. There would be IT implementation costs to integrate the new ultrasound machines into our current infrastructure.