VA awards $231M National Dialysis EHR Software Solution to Document Storage Systems, Inc

Contract Overview

Contract Amount: $231,192 ($231.2K)

Contractor: Document Storage Systems, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-30

End Date: 2027-04-29

Contract Duration: 364 days

Daily Burn Rate: $635/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: NATIONAL DIALYSIS EHR SOFTWARE SOLUTION

Place of Performance

Location: FAYETTEVILLE, CUMBERLAND County, NORTH CAROLINA, 28301

State: North Carolina Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $231,191.88 to DOCUMENT STORAGE SYSTEMS, INC. for work described as: NATIONAL DIALYSIS EHR SOFTWARE SOLUTION Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. Duration of 364 days suggests a focus on immediate needs or a bridge to a future solution. 3. The contract is for Computer Systems Design Services, a broad category. 4. No small business set-aside was utilized. 5. The contract is a Firm Fixed Price type, providing cost certainty. 6. The award is a Delivery Order, indicating it's part of a larger contract vehicle.

Value Assessment

Rating: questionable

Benchmarking the value of this contract is challenging without more specific details on the services provided and comparable market rates for specialized EHR software. The fixed-price nature offers some cost predictability, but the lack of competition raises concerns about whether the VA secured the best possible price. Without a competitive process, it's difficult to assess if the pricing is aligned with market standards or if it represents a fair value for the required services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach bypasses the standard competitive procurement process, which typically involves soliciting bids from various qualified companies. The lack of competition means that only one vendor, Document Storage Systems, Inc., was considered for this requirement. This can limit opportunities for innovation and potentially lead to higher costs compared to a fully competed contract.

Taxpayer Impact: Taxpayers may not benefit from the cost savings typically achieved through a competitive bidding process. The absence of multiple offers means the government did not leverage market forces to drive down prices, potentially resulting in a higher overall expenditure for this software solution.

Public Impact

Veterans receiving dialysis treatment will benefit from an updated Electronic Health Record (EHR) software solution. The services delivered will enhance the management and accessibility of patient health data for dialysis care. The contract is national in scope, implying impact across VA facilities nationwide. The implementation of new EHR software may have implications for IT staff managing and supporting the system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competitive pressure on pricing.
Lack of detailed service description makes value assessment difficult.
Short contract duration could indicate a temporary solution or potential for future sole-source extensions.

Positive Signals

Firm Fixed Price contract provides cost certainty for the VA.
National scope ensures a standardized solution across VA facilities.
Award to a single vendor may streamline implementation and support.

Sector Analysis

The healthcare IT sector is characterized by significant investment in specialized software solutions like EHRs. The market for these systems is competitive, with numerous vendors offering solutions tailored to specific medical needs. The VA's procurement of a national dialysis EHR software solution falls within the broader category of health information technology services, which are critical for modern healthcare delivery. Comparable spending benchmarks would typically involve analyzing other large-scale EHR implementations within federal agencies or large healthcare systems.

Small Business Impact

This contract does not appear to have a small business set-aside. The sole-source nature of the award further suggests that subcontracting opportunities for small businesses may be limited unless specifically mandated by the prime contractor. Without a competitive solicitation that includes small business goals, the direct impact on the small business ecosystem for this specific contract is likely minimal.

Oversight & Accountability

Oversight for this contract will be managed by the Department of Veterans Affairs. Accountability measures will be tied to the terms and conditions of the Firm Fixed Price contract, including delivery schedules and performance requirements. Transparency regarding the justification for the sole-source award and the specific details of the software solution would be crucial for public assessment. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Veterans Health Administration EHR Modernization
Federal Health IT Services
Department of Veterans Affairs IT Contracts
Medical Software Solutions

Risk Flags

Sole-source award lacks competitive justification.
Limited transparency on specific services and performance metrics.
Potential for higher costs due to lack of competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $231,191.88 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 $231,191.88.

What is the period of performance?

Start: 2026-04-30. End: 2027-04-29.

What is the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was awarded on a sole-source basis ('CT': 'NOT COMPETED'). A detailed justification would typically be documented by the agency (Department of Veterans Affairs) in accordance with federal procurement regulations (e.g., FAR Part 6). Common reasons for sole-source awards include the existence of only one responsible source, a public exigency, or a treaty or international agreement. Without the agency's specific justification document, it is impossible to determine the precise rationale. This lack of competition raises concerns about potential overpayment and missed opportunities for better value through a competitive process.

How does the $231 million contract value compare to similar national EHR software solutions for dialysis care?

Direct comparison of the $231 million contract value to similar national EHR software solutions for dialysis care is difficult without more granular data on the scope of services, user base, and specific functionalities included. EHR implementations can vary widely in cost based on factors such as the number of users, integration requirements with existing systems, data migration complexity, and ongoing support and maintenance. The fact that this is a sole-source award also complicates benchmarking, as competitive bids often drive prices down. To assess value, one would need to compare this to other large-scale, potentially sole-source, or competitively procured EHR systems within large healthcare networks, considering the specific features and scale of operations.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

The provided data does not specify the key performance indicators (KPIs) or service level agreements (SLAs) for this contract. These are critical components that define the expected performance standards and quality of service for the National Dialysis EHR Software Solution. Typically, for an EHR system, KPIs might include system uptime, data accuracy rates, response times for technical support, user satisfaction scores, and successful integration with other VA systems. SLAs would outline the remedies or penalties if these performance standards are not met. The absence of this information in the summary data makes it challenging to assess the contractor's performance obligations and the VA's recourse in case of deficiencies.

What is the track record of Document Storage Systems, Inc. in providing similar EHR software solutions to federal agencies?

Document Storage Systems, Inc. (DSS) has a history of providing IT solutions and services to federal agencies, including the Department of Veterans Affairs. While the provided data does not detail their specific track record with EHR software for dialysis, DSS has been involved in various health IT projects. Their experience often includes document management, data integration, and software development for healthcare environments. A thorough assessment of their track record would require reviewing past performance evaluations, contract history, and client feedback specifically related to EHR implementations of similar scale and complexity to ensure they possess the necessary expertise and reliability for this critical national solution.

What are the potential risks associated with a sole-source award for a critical national healthcare IT system?

Sole-source awards for critical national healthcare IT systems like a dialysis EHR software solution carry several potential risks. Firstly, the lack of competition can lead to inflated prices, meaning the government may pay more than necessary. Secondly, without the pressure of competing bids, the vendor may have less incentive to innovate or provide superior service. Thirdly, there's a risk of vendor lock-in, making it difficult and costly to switch providers in the future. Finally, the absence of a competitive evaluation process might mean that alternative, potentially more suitable or cost-effective solutions from other vendors were not considered, potentially impacting the overall effectiveness and efficiency of the healthcare delivery.

How will the implementation of this EHR software impact the workflow of healthcare providers and administrative staff within the VA's dialysis centers?

The implementation of a new National Dialysis EHR Software Solution is expected to significantly impact the workflow of healthcare providers and administrative staff within the VA's dialysis centers. Ideally, a well-designed EHR system should streamline processes such as patient registration, scheduling, clinical documentation, medication management, and billing. It can improve data accessibility, facilitate better care coordination, and reduce manual data entry. However, the transition period often involves a learning curve, requiring staff training and potential adjustments to established routines. The success of the workflow integration depends heavily on the software's usability, the quality of training provided, and the effectiveness of change management strategies employed by the VA and Document Storage Systems, Inc.

Industry Classification

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

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

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: $331,855

Exercised Options: $231,192

Current Obligation: $231,192

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