PACS, Hines VAMC, Award Notice

This contract action awards a firm fixed price delivery order to Change Healthcare Technologies, LLC under the Defense Logistics Agency contract SPE2D1-18-D-0006 for the upgrade of the Enterprise Imaging PACS system at multiple Department of Veterans Affairs medical centers, with primary performance at Hines, Illinois. The upgrade involves migrating the PACS software from version 14.1 on Windows Server 2016 to version 14.2.2 on Windows Server 2022, along with associated hardware replacements including HPE and Dell application and storage servers, SQL Server 2022 licenses, and comprehensive implementation services such as data migration, high-availability configuration, remote infrastructure setup, and training. The procurement is non-competitive and justified as a sole-source award under FAR 16.507-6(b)(2), as Change Healthcare Technologies, LLC is the only entity capable of providing the necessary support due to the proprietary, FDA-cleared nature of its software, exclusive access to remote diagnostics, and requirement to maintain warranty validity. The government determined that no fair opportunity for competition is required because the services are unique and highly specialized, with pricing established as fair and reasonable through prior negotiation under the DLA base contract, eliminating the need for additional price evaluations. Performance spans multiple VA facilities including Chicago, Milwaukee, North Chicago, Hines, Danville, Iron Mountain, Tomah, and Madison, with inspection and acceptance occurring on-site at each location by VA biomedical and technical personnel. Packaging and labeling must comply with MIL-STD-2073-1 and MIL-STD-129, respectively, ensuring adherence to military logistics standards. The total contract value is $1,539,352.13, funded through the VA and executed through delivery orders issued under the DLA contract, with no option periods or extensions contemplated. All work must conform to VHA Directive 1104, DICOM standards, and FDA regulatory requirements, and only Change Healthcare-trained personnel are authorized to perform maintenance or support to preserve system integrity and compliance.