SEC. 2. MANAGEMENT OF SUPPLY CHAINS FOR MEDICAL 
FACILITIES OF DEPARTMENT OF VETERANS 
AFFAIRS. 
(a) IN GENERAL.—The Secretary may carry out a 
covered information technology system that— 
(1) is cloud-based; 
(2) includes functions relating to— 
(A) inventory management of both expend-
able and nonexpendable items covered by the 
system, with respect to both— 
(i) physical inventory; and 
(ii) perpetual inventory; 
(B) management of the receipt of such 
items, with respect to— 
(i) intake; 
(ii) returns; and 
(iii) the identification of such items 
that are recalled; 
(C) management of the storage of such 
items, with respect to— 
(i) local storage; and 
(ii) centralized storage at a medical 
facility or warehousing at a different loca-
tion for one or more medical facilities; 
(D) management of the distribution of 
such items; 
VerDate Sep 11 2014 
22:48 Apr 13, 2023
Jkt 039200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H2499.IH
H2499
pbinns on DSKJLVW7X2PROD with $$_JOB
(E) the generation and scanning of 
barcodes or the use of radio frequency identi-
fication technology or other similar inventory 
tracking technology; 
(F) reporting, consisting of— 
(i) standard or preexisting reports; 
and 
(ii) customizable or custom-generated 
reports; and 
(G) either in the system itself or through 
an interface with an external information tech-
nology system— 
(i) capital asset management; 
(ii) maintenance of a catalog of avail-
able supplies; and 
(iii) lifecycle tracking from acquisition 
of such items through the disposal of such 
items; 
(3) with respect to the items covered by the sys-
tem— 
(A) includes— 
(i) medical supplies; 
(ii) surgical equipment and supplies; 
(iii) laboratory equipment and sup-
plies; 
VerDate Sep 11 2014 
22:48 Apr 13, 2023
Jkt 039200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H2499.IH
H2499
pbinns on DSKJLVW7X2PROD with $$_JOB
(iv) supplies and capital equipment 
pertaining to facilities or real property; 
(v) biomedical equipment; 
(vi) textiles and apparel; 
(vii) dental equipment and supplies; 
and 
(viii) equipment and supplies relating 
to the treatment of sleep apnea; 
(B) may include (but, if not so included in 
the system itself, the system shall include 
through an interface with an external informa-
tion technology system)— 
(i) prosthetic appliances requiring ex-
tensive customization or fitting; 
(ii) prosthetic appliances not requiring 
extensive customization or fitting; 
(iii) pharmaceuticals; 
(iv) reusable medical equipment; and 
(v) eyeglasses; and 
(C) does not include— 
(i) software; 
(ii) equipment and supplies of the Na-
tional Cemetery Administration the man-
agement of which cannot be accommodated 
VerDate Sep 11 2014 
22:48 Apr 13, 2023
Jkt 039200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H2499.IH
H2499
pbinns on DSKJLVW7X2PROD with $$_JOB
by a process used by the Veterans Health 
Administration; or 
(iii) equipment and supplies of the 
Veterans Benefits Administration the man-
agement of which cannot be accommodated 
by a process used by the Veterans Health 
Administration; 
(4) has existing interfaces with or the capability 
to interface with— 
(A) procurement, purchasing, or ordering 
systems of the Department; 
(B) the Integrated Financial and Acquisi-
tion Management System of the Department of 
Veterans Affairs; and 
(C) the electronic health record systems of 
the Department, including— 
(i) the Veterans Health Information 
Systems and Technology Architecture and 
Computerized Patient Record System; and 
(ii) the electronic health record system 
established under the Electronic Health 
Record Modernization Program (as defined 
in section 503 of Veterans Benefits and 
Transition Act of 2018 (Public Law 115– 
407; 38 U.S.C. 5701 note prec.)); 
VerDate Sep 11 2014 
22:48 Apr 13, 2023
Jkt 039200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H2499.IH
H2499
pbinns on DSKJLVW7X2PROD with $$_JOB
(5) has the capacity to accommodate not fewer 
than 50,000 users; and 
(6) includes any other functions, capabilities, or 
components as determined by the Secretary. 
(b) REQUIREMENTS.—If the Secretary carries out a 
covered information technology system under subsection 
(a), the Secretary shall— 
(1) determine whether the functions of the sys-
tem are satisfactory by piloting such functions at 
one facility of the Department before expanding im-
plementation of the system throughout the Depart-
ment; and 
(2) with respect to the functions referred to in 
subsection (a)(1)(A), prioritize the delivery of inven-
tory management capabilities. 
(c) EXCEPTION.—Subsection (a) shall not apply with 
respect to information technology systems used by the Sec-
retary at joint facilities of the Department of Veterans Af-
fairs and the Department of Defense. 
(d) COMPLETION OF IMPLEMENTATION.—The Sec-
retary shall complete the implementation of a covered in-
formation technology system by not later than three years 
after the date of the enactment of this Act. 
(e) COVERED INFORMATION TECHNOLOGY SYSTEM 
DEFINED.—In this section, the term ‘‘covered information 
VerDate Sep 11 2014 
22:48 Apr 13, 2023
Jkt 039200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H2499.IH
H2499
pbinns on DSKJLVW7X2PROD with $$_JOB
technology system’’ means an information technology sys-
tem, or a system of systems, for the management of supply 
chains, including with respect to inventory and other func-
tions. 
Æ 
VerDate Sep 11 2014 
22:48 Apr 13, 2023
Jkt 039200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6301
E:\BILLS\H2499.IH
H2499
pbinns on DSKJLVW7X2PROD with $$_JOB