REDACTED LSJ.pdf

CONTROL NUMBER VA-26-00070454

LIMITED-SOURCES JUSTIFICATION

1. Contracting Activity: Department of Veterans Affairs (VA) Office of Procurement, Acquisition, and Logistics Technology Acquisition Center 23 Christopher Way Eatontown, NJ 07724

2. Description of Action: The proposed action is for a sole source, firm-fixed-price (FFP), task order for professional services to assist with the integration of brand name Data Innovations, LLC’s Instrument Manager to the Oracle Health federal Electronic Health Record (EHR) at all eight Veterans Integrated Service Network (VISN) 23 locations.

This proposed action is being conducted under the authority of the Multiple Award Schedule (MAS) Program; the proposed action will be awarded under the General Services Administration (GSA) Federal Supply Schedule (FSS) Contract GS-35F-389DA to Data Innovations, LLC, 463 Mountain View Drive, Suite 305, Colchester, Vermont 05446.

3. Description of the Supplies or Services: VA, Veterans Health Administration, VISN 23, Pathology and Laboratory Medicine have a requirement for integration of brand name Data Innovations, LLC’s Instrument Manager with the VISNs Electronic Health Record. Data Innovations, LLC’s Instrument Manager, is VA’s Laboratory Information System (LIS). It is the link between the lab analyzers and the Veterans Health Information System Technology Architecture (VistA) Computerized Patient Record System (CPRS). With the migration of the Health Record from VistA to Oracle, we require professional service assistance to also migrate the Data Innovations integration to the new Oracle Health Record. Data Innovations uses the Information and Technology platform at all eight VISN 23 laboratory locations for instrumentation management. The VISN 23 locations utilize the brand name Data Innovations, LLC’s Instrument Manager middleware for the process of getting the clinical laboratory analyzer results into the patient record, currently VistA, and soon to be Oracle. In order to remain functional, the brand name Data Innovations, LLC’s Instrument Manager ‘s integration must be migrated to Oracle. The required professional services include, but are not limited to, planning, building, testing, deployment, and support. The period of performance shall consist of one 12-month period. The total estimated value of the requirement is .

4. Authority: This acquisition is conducted under the authority of the MAS Program. The specific authority providing for a limited source award is Federal Acquisition Regulation (FAR) Overhaul VA Deviation 8.401(b) and General Services Acquisition Manual / Regulation (GSAM/R) 538.7104-3(b)(1)(ii), “Only one source is capable of providing the products, services, or solution required at the level of quality required because the products, services, or solutions are unique or highly specialized”

5. Rationale Supporting Use of Authority Cited Above: The proposed source is Data Innovation, LLC, 463 Mountain View DR STE 305, Colchester, Vermont 05446-5952.

VISN 23 HTM/Biomed Data Innovations CONTROL NUMBER VA-26-00070454 Oracle Migration Services

Based on market research it was determined that Data Innovations LLC is the only source capable of satisfying VA’s requirements.

All VISN 23 Pathology and Laboratory Medicine Services use Data Innovation, LLC’s Instrument Manager, as the middleware software to interface laboratory testing analyzers to the electronic health care record. Data Innovation, LLC’s Instrument Manager, is also the middleware software that supports auto-validation of laboratory results from the laboratory instruments to VistA and soon Oracle and is the only middleware fully approved on VA’s Technical Reference Model to interface high complexity laboratory equipment to VA’s network. It is a highly specialized software that can interface laboratory instruments and needs to integrate with the new health record, Oracle, for auto-validation and lab result reporting. This requirement is needed to ensure laboratory data can pass between the lab instruments and the medical record, in accordance with College of American Pathology and Joint Commission standards.

Data Innovations, LLC is the original equipment manufacturer (OEM) of the Instrument Manager software and the only vendor with the technical staff that has the specialized experience sufficient to meet Joint Commission Laboratory accreditation through Clinical Laboratory Improvement Amendments to provide support to the Government for Data Innovations, LLC’s Instrument Manager in accordance with accreditation standards. Additionally, as the OEM, Data Innovations, LLC is the only vendor who has proprietary access to the source code for their brand name Instrument Manager.

Veteran patient care would be greatly impacted negatively by laboratory result reporting delays and potential manual entry errors, which would also impact the clinical staff’s ability to diagnose and treat patients if there were any delay in fulfilling this requirement.

If another source was sought, conversion of the systems would require replacement of not only software, but interfacing hardware and training, plus a new solution would have to be created to interface with Oracle. With eight locations in VISN 23, the estimated duplicated cost to change to a different software for the same required outcome would be approximately $10 million, which does not take into account interoperability with VistA. This estimate is based on previous efforts to create the existing infrastructure. In addition, the aforementioned redesign of the infrastructure would result in extensive delivery delays of 8 to 10 years. Data Innovations, LLC’s Instrument Manger software, maintenance and regular software support has been in use as middleware for the VISN 23 Pathology and Laboratory Medicine Services Labs for over a decade and is heavily integrated with thousands of laboratory analyzers throughout the VISN. A redesign of the infrastructure would not be cost-effective and would adversely impact the quality of patient care. It is critical that VA prioritizes the implementation of reliable software to guarantee accurate and timely results for Veterans. If the necessary professional services were not procured, then Data Innovations, LLC’s Instrument Manager software used by VISN 23 would cease to function resulting in serious risk to patient safety.

Consequently, only Data Innovations, LLC, can satisfy these requirements because it holds the proprietary code and owns the intellectual property rights to manage and configure its own software and integrations. Due to the software being proprietary, access to the software code is required for integrating with a new patient record.

Without this access, modifying the software code as required for necessary updates and patches would not be possible. Data Innovations LLC is the only vendor capable of satisfying VA’s requirements discussed above without VA experiencing significant negative impact on Veterans and a substantial duplication of the cost that would not be recovered through competition

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. There is no competition anticipated for this acquisition. GSAM/R 538.7104-3(b)(3) (i) the justification will be made publicly available on the Contracting Opportunities Page within 14 days of award.

7. Actions to Increase Competition: The Government will continue to conduct market research to ascertain if there are changes in the marketplace that would enable future actions to be competed. Specifically, the Government will continue to monitor the marketplace to determine whether other brand name software could integrate into VA's existing infrastructure.

8. Market Research: Market Research was conducted beginning December 1st, 2025, to April 15th, 2026, by the Government’s Subject Matter Experts via web-based research.

No other sources can provide services for Data Innovations, LLCs Instrument Manager as it is a proprietary software product. However, if we were to switch to a different LIS we could use a different service provider. The software products CliniSys and Orchard software were reviewed by the Government’s technical experts. While these products possess some similar capabilities to perform the proposed effort, they do not possess the Health Level Seven middleware that is compatible with VistA and Oracle. Data Innovations LLC owns all intellectual property rights in their products and does not support third-party technical services no other vendor has access to this code. Without access to the proprietary code, no other provider can provide the requisite services.

Data Innovations LLC has confirmed to the government that they own all intellectual property rights for their products and they are the only ones that are authorized to provide the required services. There is no competition expected for this effort nor is there the possibility that this proposed action can be set aside due to proprietary reasons.

The Government posted a notice of intent to negotiate a FFP, sole source task order with Data Innovations, LLC located at 463 Mountain View Drive, Colchester, Vermont 05446 under their GSA MAS contract, GS-35F-389DA, for professional services to assist with the integration of brand name Data Innovations, LLC’s Instrument Manager, to the Oracle Health federal EHR for brand name Data Innovations, LLC's Instrument Manager Maintenance and Support. This notice of intent to sole source, issued as RFI1816228 on GSA e-Buy under MAS 54151 Software Maintenance Services, was posted on June 5, and closed on June 10, 2026, no alternative proposals were received.

9. Other Facts: None

Technical/Requirements Certification I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Date

VISN 23

Best Value Determination I hereby determine that the proposed contract action will represent the best value to the Government consistent with FAR Overhaul Deviation 8.401 and GSAM/R 538.71. GSA has already determined that the prices on the MAS/FSS contract are fair and reasonable. Further price analysis will be performed by comparing the quote to the Independent Government Cost Estimate. Additionally, price discounts will be sought.

Date

Technology Acquisition Center Office of Procurement, Acquisition, and Logistics Department of Veterans Affairs

Contracting Officer Certification/Approval I certify that this justification is accurate and complete to the best of my knowledge and belief. This contract action exceeds the simplified acquisition threshold, but does not exceed $900,000, therefore, the certification required by FAR Overhaul VA Deviation

8.401 and GSAM/R 538.71 serves as the Contracting Officer’s approval.”)

Date

Technology Acquisition Center Office of Procurement, Acquisition, and Logistics Department of Veterans Affairs

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