VA Awards $302.8M for National Dialysis EHR Software, Sole-Source Contract

Contract Overview

Contract Amount: $302,779 ($302.8K)

Contractor: Document Storage Systems, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-08-25

End Date: 2027-06-15

Contract Duration: 1,024 days

Daily Burn Rate: $296/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: NATIONAL DIALYSIS EHR SOFTWARE SOLUTION

Place of Performance

Location: PALO ALTO, SANTA CLARA County, CALIFORNIA, 94304

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $302,779.26 to DOCUMENT STORAGE SYSTEMS, INC. for work described as: NATIONAL DIALYSIS EHR SOFTWARE SOLUTION Key points: 1. Significant investment in critical healthcare IT infrastructure. 2. Sole-source award raises questions about competition and potential cost savings. 3. Long-term contract (2027) suggests a need for sustained support and development. 4. Focus on electronic health records highlights data management and patient care improvements.

Value Assessment

Rating: questionable

The award of $302.8 million for a national dialysis EHR solution is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar EHR systems or services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs for taxpayers compared to a fully competitive process.

Taxpayer Impact: The lack of competition for this significant contract could lead to suboptimal pricing, potentially increasing the financial burden on taxpayers.

Public Impact

Veterans will benefit from a potentially modernized and integrated dialysis electronic health record system. Improved data management could lead to better patient care coordination and outcomes for dialysis patients. The long-term nature of the contract suggests a commitment to ongoing support and system evolution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Potential for overpricing
Vendor lock-in risk

Positive Signals

Addresses critical healthcare need
Long-term commitment to solution

Sector Analysis

The Department of Veterans Affairs is investing heavily in healthcare IT, specifically in electronic health record systems. This $302.8 million contract for a national dialysis EHR solution falls within the broader trend of federal agencies modernizing their IT infrastructure to improve service delivery.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were considered or had opportunities to participate in subcontracting.

Oversight & Accountability

The sole-source nature of this award warrants close oversight to ensure the VA is receiving adequate value for the taxpayer dollars expended and that the vendor is meeting all contractual obligations.

Related Government Programs

Computer Systems Design Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Sole-source award limits competition.
Potential for higher costs due to lack of bidding.
Risk of vendor lock-in.
Need for strong contract oversight to ensure value.
Limited transparency on pricing benchmarks.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $302,779.26 to DOCUMENT STORAGE SYSTEMS, INC.. NATIONAL DIALYSIS EHR SOFTWARE SOLUTION

Who is the contractor on this award?

The obligated recipient is DOCUMENT STORAGE SYSTEMS, INC..

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $302,779.26.

What is the period of performance?

Start: 2024-08-25. End: 2027-06-15.

What specific justification was provided for the sole-source award of the National Dialysis EHR Software Solution?

The justification for a sole-source award typically involves demonstrating that only one responsible source can provide the required supplies or services. This could be due to unique capabilities, proprietary technology, or urgent and compelling needs where competition is not feasible. Without the specific justification document, it's impossible to detail the exact reasons, but it would need to meet strict federal acquisition regulations.

How will the VA ensure cost-effectiveness and prevent potential overpricing given the sole-source nature of this contract?

The VA can employ several strategies to mitigate cost risks with sole-source contracts. This includes rigorous negotiation of contract terms, establishing clear performance metrics and milestones, conducting independent cost analyses, and potentially incorporating price adjustment clauses tied to market benchmarks or performance outcomes. Regular performance reviews and audits are also crucial.

What are the key performance indicators (KPIs) for this National Dialysis EHR Software Solution, and how will their achievement be measured?

Key performance indicators for an EHR system typically include system uptime, data accuracy and integrity, user satisfaction (clinicians and patients), interoperability with other systems, and adherence to security protocols. The contract should clearly define these KPIs, establish baseline measurements, and outline the methods for ongoing monitoring and reporting to ensure the system effectively supports dialysis care.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 12575 US HIGHWAY 1, JUNO BEACH, FL, 33408

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $399,571

Exercised Options: $302,779

Current Obligation: $302,779

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10A22D0003

IDV Type: IDC

Timeline