DH10--MOD to add Oracle integration service VISN 12 Data Innovations Universal Lab Interface

Request for Sole Source Justification Format >SAT

VHAPG Part 806.3 OFOC Page 1 of 4

Revision: 04 Effective Date: 12/15/25

Acquisition ID#: 36C252-26-AP-1072

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C252-26-AP-1072

Contracting Activity: Department of Veterans Affairs, throughout VISN 12, in support of the Veterans Integrated Service Network (VISN) 12:

Great Lakes Acquisition Center (GLAC), 115 S. 84th Street, Suite 101, Milwaukee, WI

695-26-2-133-0928 - $1,141,000.00

Nature and/or Description of the Action Being Approved:

This firm-fixed-price sole source modification to contract 36C25226P0010 is for the Oracle integration throughout the facilities in VISN 12 (listed below). This integration is required for the continuity of laboratory operations, timely and accurate lab results which are critical for diagnosis/patient safety, standardization, scalability, and resource optimization. This contract was originally awarded on a sole source basis to the Original Equipment Manufacturer (OEM), Data Innovations, LLC. (herein Data Innovations), in accordance with FAR 13.5 Simplified Procedures for Certain Commercial Items and specifically FAR 13.501 Special Documentation Requirements, where acquisitions conducted under Simplified Acquisition Procedures are exempt from the requirements of FAR Part 6, but still requires a justification using the format of FAR 6.303-2.

Jesse Brown VA Medical Center (537), 820 South Damen Avenue, Chicago, IL 60612;

VA Illiana Health Care System (550), 1900 East Main Street, Danville, IL 61832;

Edward Hines, Jr. VA Hospital (578), 5000 South 5th Avenue, Hines, IL 60141;

Oscar G. Johnson VA Medical Center (585), 325 East H Street, Iron Mountain, MI 49801;

William S. Middleton Memorial Veterans Hospital (607), 2500 South Overlook Terrace, Madison, WI 53705;

Tomah VA Medical Center (676), 500 East Veterans Street, Tomah, WI 54660; and

Clement J. Zablocki VA Medical Center (695), 5000 West National Avenue, Milwaukee, WI 53295.

Description of Supplies/Services Required to Meet the Agency s Needs:

The current contract provides licensing, 24x7 technical support, maintenance, software, and software upgrades of the laboratory universal interface system, including Data Innovations (DI) Instrument Manager (IM) proprietary operating system, instrument specific interface programs, interface equipment and network connectivity hardware and service located throughout the VISN.

The proposed new modification will implement Oracle integration. The OEM shall provide all necessary professional services, software installation and configuration, interface integration, interface support, interface solution testing to integrate existing Instrument Manager system with Oracle Health Federal Electronic Health Record (EHR), and both go-live and post go-live support.

Further, the OEM shall work with the Oracle Health Federal EHR team and VISN 12 to integrate the Instrument Manager system across VISN 12 facilities with the Oracle Health Federal EHR in accordance with the existing Interface Control Document (ICD), ensuring all test scenarios are completed successfully.

If the integration is not complete, the following issues could arise:

Disruption of Laboratory Workflow

Lab instruments would no longer automatically transmit results to the EHR.

Staff would need to manually enter results, increasing workload and the potential for transcription errors.

Turnaround times for lab results would increase, affecting clinical efficiency.

Patient Safety Risks

Delays or inaccuracies in lab data could lead to misdiagnoses, inappropriate treatments, or missed critical alerts.

Lack of real-time data availability could compromise emergency and acute care decisions.

Loss of Clinical Decision Support Functionality

Oracle EHR s decision support tools rely on timely and structured lab data.

Without integration, these tools may be disabled or provide incomplete recommendations.

Compliance and Accreditation Issues

Manual processes may not meet Clinical Laboratory Improvement Amendments of 1988 (CLIA), Clinical Advisory Panel (CAP), or VA standards for traceability and data integrity.

Facilities could face audit findings, citations, or even temporary suspension of lab operations.

Increased Operational Costs

Manual data entry requires additional staffing or overtime.

Errors may lead to repeat testing, patient dissatisfaction, and increased liability.

Data Fragmentation and Reporting Challenges

Lack of centralized, structured lab data would hinder enterprise-wide analytics, quality improvement, and public health reporting.

VISN-wide initiatives would suffer from inconsistent or incomplete data.

Staff Burnout and Morale Impact

Increased manual workload and stress from system inefficiencies could affect staff morale and retention.

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ESTIMATED VALUE: $1,141,000.00

Statutory Authority Permitting Other than Full and Open Competition:

(X) (1) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements per 41 USC §3304(a)(1) as implemented by RFO 6.103-1;

Demonstration that the Contractor s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

It is critical that the Oracle Integration of the Data Innovations Instrument Manager proprietary operating system is completed in accordance with OEM specifications by Field Service Engineers (FSEs) that are properly trained and factory authorized to avoid increased cost as well as the possibility of error, delay, and/or downtime. Data Innovations is the only company that has FSEs that are fully qualified and trained to provide this service. That said, Data Innovations, LLC does authorize one (1) SDVOSB, Four Points Technology (herein Four Points), as a reseller of their software/equipment but not their service(s). Four Points does not have OEM certified technicians on staff but can provide service by arranging service through Data Innovations, utilizing their certified technicians to provide the work. CS requested a market research quote from Four Points on 12/8/2025 and received their quote of $1,340,746.08 on 12/11/2025. This quote would result in an additional cost to the government of $199,746.08 or 17.5%. CS emailed Four Points on 12/11/2025 and informed them that the additional cost and lack of added value would disqualify them from providing this service.

As the OEM, Data Innovations, LLC is the only provider of direct, fully trained FSEs authorized to perform all Statement of Work (SOW) requirements at a reasonable price.

Accordingly, Data Innovations, LLC. is the only firm capable of providing the services described in Section III above without the Veteran s Health Administration experiencing additional cost and possible unacceptable delays in fulfilling its requirements by using a 3rd party vendor.

Description of Efforts Made to ensure that offers are solicited from as many potential sources as possible (including whether a notice was or will be publicized as required by RFO Part 5 and, if not, which exception under RFO Part 5 applies):

CS posted an intent to sole source, 36C25226Q0148, from 12/11/2025 through 12/16/2025. The intent required all interested vendors to submit the following:

1. A letter from the Original Equipment Manufacturer (OEM) stating vendor is an authorized distributor per clause 852.212-71(c). See below.

2. Proof vendor can provide OEM licensing, support, and software.

3. Proof vendor can utilize OEM s billable service, if using.

One (1) vendor, Dreamcatchers Consulting, LLC (SDB) (herein Dreamcatchers), responded to the intent to sole source with their capabilities statement; however, they did not include the requirements of the intent: the authorization letter or proof they could provide OEM licensing, support, and software. It stated, DreamCatchers confirms the following and will provide formal documentation with submission: OEM Authorization, Licensing, software, and support, and OEM Billable service. . The intent required interested vendors to submit these documents with their capabilities statement. To be thorough, the CS did reach out to the OEM asking if Dreamcatchers was an authorized vendor and their response, No Ma'am, I have never heard of them, and they are not an authorized partner / reseller. .

The government determined no other vendor could provide the services required for this contract at a reasonable price.

Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable

The Contracting Officer anticipates the cost to the Government will be fair and reasonable based on a comparison of prices from contracts that are similar in scope that were determined to be fair and reasonable, as well as a comparison to the Independent Government Cost Estimate.

Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted:

As described in Section 6 above, market research, in accordance with RFO Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties. The intent to sole source notifying industry of the government s intent to award to OEM, Data Innovations, LLC., returned zero (0) authorized vendors.

Any Other Facts Supporting the Use of Other than Full and Open Competition:

N/A

Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

Four Points Technology and Dreamcatchers Consulting, LLC. Four points proposed price was not fair and reasonable, and Dreamcatchers Consulting are not authorized by the OEM.

A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition before Making subsequent acquisitions for the supplies or services required:

At this time, only one business source, Data Innovations, LLC, is qualified for the Oracle Integration of the Data Innovations Instrument Manager proprietary operating system

Requirements Certification: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

_____________________________ ________________________

Name: Marcus Kuhnert Date

Title: Biomedical Engineer

Facility: VISN 12

Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

Contracting Officer Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

_____________________________ ________________________

Name: Eileen Meyer Date

Title: Contracting Officer

Facility: GLAC

One Level Above the Contracting Officer (Required over SAT but not exceeding $900K): I certify the justification meets requirements for other than full and open competition.

_____________________________ ________________________

Name: Matthew Zawada

Title: Services Branch Chief Date

Facility: GLAC