Medweb- DINPACS Class Redacted -JEFO- HL 3.20.26_Redacted.pdf

This is a Class Justification for Exception to Fair Opportunity (JEFO) document for contract SPE2D1-26-D-0002 issued by the Defense Logistics Agency (DLA) Troop Support, Medical Supply Chain, Capital Equipment Division for the purchase of annual Digital Imaging Network-Picture Archive and Communication Systems (DIN-PACS) maintenance, service, and support programs through Nexsys Electronics Inc. dba Medweb.

The justification covers maintenance services for previously acquired and installed Medweb DIN-PACS systems, with a maximum dollar value of $43,513,588.24 for sole source maintenance service delivery orders issued under the contract through November 24, 2029 (the expiration of the four-year base period). The document establishes that Medweb is the only vendor capable of providing DIN-PACS maintenance services because the systems utilize proprietary hardware and software, FDA-approved medical device software that requires manufacturer licensing and approval, and DoD cybersecurity compliance including Authority to Operate (ATO) maintenance and Information Assurance Vulnerability Management (IAVM) Program requirements. The justification notes that while new DIN-PACS delivery orders are highly competitive with all vendors given fair opportunity, maintenance for existing Medweb systems cannot be competitively sourced. The authority for the sole source exception is RFO 16.504-3(a)(2)(i), addressing unique or highly specialized supplies or services. Market research conducted through a Request for Information issued in August 2025 confirmed that no other DIN-PACS vendor can offer multi-vendor maintenance or meet the proprietary software licensing and DoD cybersecurity requirements. The Contracting Officer determined maintenance service pricing to be fair and reasonable based on fixed prices established in the Medweb DIN-PACS IV contract.