JEFO - FUJI- MAMC SPE2D1-17-D-0040_Redacted.pdf

This is a Justification for an Exception to Fair Opportunity (JEFO) document for a sole-source procurement under Defense Logistics Agency (DLA) Troop Support, Medical Supply Chain, Capital Equipment Division.

The justification supports a sole-source purchase of additional hardware, software, and licensing from Fujifilm Healthcare Americas Corp (Fuji) for Madigan Army Medical Center (MAMC) and 20 regional Defense Health Agency (DHA) sites operating under a "Hub and Spoke" model. The requirement is for an add-on delivery order to Fuji's existing Digital Imaging and Picture Archiving and Communication Systems (DIN-PACS) IV contract SPE2D1-17-D-0040 (expiring August 21, 2027). The previous delivery order SPE2D1-24-F-0309, awarded July 17, 2024, is referenced as the baseline for this additional requirement. The acquisition addresses an unanticipated increase in storage volume at MAMC and spoke sites due to latency and bandwidth constraints identified during network testing, requiring upgraded hardware and additional software licenses to maintain DHA's three-year minimum short-term storage requirement and ensure adequate cache storage at the PACS Hub. The "Hub and Spoke" arrangement was established to modernize and streamline healthcare services across Military Treatment Facilities (MTFs) worldwide through resource sharing and reduced equipment footprint.

The sole-source justification relies on FAR 16.507-6(b)(2), emphasizing that only Fuji can meet requirements due to proprietary DIN-PACS software architecture and the necessity for all spoke sites to use Fuji systems for connectivity and bidirectional communication with the Hub. Market research conducted by DLA Troop Support and DHA in November 2025 confirmed no competing DIN-PACS IV contract holders can provide the required software or licenses. DLA certified pricing as fair and reasonable based on prior contract determinations and determined the anticipated government cost will be fair and reasonable. The Contracting Officer (Zahkiyah Taylor, DLA Troop Support, FSDB) and DLA Troop Support Competition Advocate (Maciej Okulicz-Kozaryn) have approved the justification.