Laboratory System Reengineering Project LSRP Extension Redacted.pdf

This is a Justification for Other Than Full and Open Competition document for a contract extension with Oracle Health Government Services, Inc.

The Department of Veterans Affairs (VA) seeks a six-month base period extension, with one six-month option period, to the existing firm-fixed-price contract 36C10B23C0009 for Commercial Off the Shelf (COTS) Licensing, Remote Hosting, Maintenance, and Sustainment of the Laboratory System Re-engineering Project (LSRP). The performance period runs from August 5, 2026 through February 4, 2027, with an optional period from February 5, 2027 through August 4, 2027. LSRP is a laboratory information management system (LIMS) that interfaces with VA's electronic health records and medical devices, supporting specimen collection, processing, and testing. The extension covers monthly status reports, software updates and patches, disaster recovery, technical support (24/7/365), cyber security implementation per VA Authority to Operate requirements, network and application support, capacity planning, and operations and maintenance support, with Health Level 7 (HL7) interface compliance for data transmission. The VA determined that Oracle Health is the only source capable of providing this proprietary software and support during the critical transition period, as the software is not offered as a stand-alone suite and has not been modernized to a cloud-native model. Market research conducted in July 2026 confirmed that alternative vendors including Booz Allen Hamilton, Cognosante, Ellumen, HP Enterprise Services, Liberty IT Solutions, and Leidos Inc. could not establish required interfaces without significant time and cost duplication. The extension is justified under 41 U.S.C. 3304(a)(1) as implemented by RFO VA Deviation 6.103-1 for sole source procurement.