P03 JEFO VISN 12 PACS Redacted.pdf

This is a Justification for an Exception to Fair Opportunity, a federal contracting document authorizing a sole-source award to Change Healthcare Technologies, LLC under FAR 16.507-6(b)(2) due to the unique and specialized nature of the supplies and services required.

The Department of Veterans Affairs National Acquisition Center is executing eight delivery orders under the Defense Logistics Agency contract SPE2D1-18-D-0006 to upgrade the Change Healthcare Enterprise Imaging Picture Archiving and Communication System (PACS) from version 14.1 (Windows Server 2016) to version 14.2.2 (Windows Server 2022) across multiple Veterans Integrated Service Network 12 facilities: Chicago VAMC ($266,925.49), Danville VAMC ($65,191.74), Hines VAMC ($169,420.05), Iron Mountain VAMC ($65,191.74), Madison VAMC ($33,735.53), Milwaukee VAMC ($740,696.00), North Chicago VAMC ($132,999.84), and Tomah VAMC ($65,191.74), for a combined total value of $1,539,352.13. The procurement includes hardware (HPE servers, Dell EMC storage systems, memory upgrades), software (Nuance Carahsoft Microsoft SQL Server 2022 licenses, SQL Server embedded licenses), and services (implementation, data migration, remote server support, training, and professional services). The justification asserts that Change Healthcare Technologies is the sole capable vendor because it maintains exclusive authority over PACS software maintenance, support, and FDA compliance; owns proprietary trade information; and can guarantee software compatibility and warranty validity, with installation by third parties invalidating warranties and risking FDA regulatory violations.