A3_Culligan RO Service Contract Sole Source - Signed.pdf

Controlled by: DON, USMC, I&L HCA Controlled by: MARCORLOGCOM CUI Category(ies): PROCURE Limited Dissemination Control: DL ONLY

POC:

CUI//SP-PROCURE//DL ONLY

Determination that Only One Source is Reasonably Available (Including Brand Name) – FAR Part 12 Acquisitions under the SAT

V 1.6 (20 December 2023)

MEMORANDUM TO THE FILE

Subj: DETERMINATION THAT ONLY ONE SOURCE IS REASONABLY

AVAILABLE FOR A FAR PART 12 ACQUISITION COMMERICAL PRODUCTS AND

COMMERCIAL SERVICES

I. BACKGROUND:

1. As required by FAR 12.102(a) this memorandum documents the determination that, for this acquisition valued at or below the Simplified Acquisition Threshold (SAT), only one source is reasonably available. This memorandum further outlines the basis supporting that determination.

II. DESCRIPTION OF ITEM OR SERVICE:

Marine Depot Maintenance Command (MDMC) is requesting the procurement of a Culligan service contract for the existing Culligan Reverse Osmosis (RO) water treatment system currently installed at the facility. The service contract covers scheduled preventive maintenance, filter replacement, system inspection, performance testing, and emergency repair services necessary to maintain the RO system in proper operating condition. Estimated dollar amount is $33,765.00. Requesting period of performance to begin 60 days from contract award for the duration of one year.

III. THE DETERMINATION FOR USE OF OTHER THAN FULL AND OPEN

COMPETITION IS BASED ON THE FOLLOWING (select all that apply):

A. ___ ONLY ONE RESPONSIBLE SOURCE (select all that apply):

1. ___ RESTRICTIVE RIGHTS. The source has established proprietary rights, limited rights in data, patent rights, copyrights or secret processes in the item or service required.

2. _X_ EXCLUSIVE LICENSING AGREEMENTS. The item or service is only available from the Original Equipment Manufacturer (OEM), or there is only one authorized distributor or technical representative for the OEM.

The required service must be performed by Culligan, the Original Equipment Manufacturer (OEM) and sole authorized service provider for the Culligan RO system currently installed at MDMC. The following facts support this determination:

Manufacturer’s Confirmation of Sole Source

1. In a statement provided by the manufacturer (see attached letter), Culligan confirms that "Culligan of Americus is the proprietary owner of the Reverse Osmosis Water System that has been installed at the Marine Base in Albany Georgia within building 2210." The letter explicitly states that "Culligan of Americus has no authorized distributors or resellers for the products

CUI Category(ies): PROCURE Limited Dissemination Control: DL ONLY

Determination that Only One Source is Reasonably Available (Including Brand Name) – FAR Part 12 Acquisitions under the SAT installed within building 2210." This letter confirms that only the local authorized Culligan distributor in Leesburg, GA, can provide the required service and parts.

2. OEM-Specific Equipment and Proprietary Components The RO system installed at MDMC is a Culligan-manufactured system requiring OEM-specific filters (D1027139/D1027162), membranes (TMG20D-400), and replacement components (end caps 01031545) that are proprietary to Culligan. These components are engineered and calibrated specifically for this system's pressure tolerances, flow rates, and water quality output specifications. Third-party components are not manufactured to the same specifications and cannot be guaranteed to perform equivalently within this system's design parameters.

3. Warranty and System Integrity The installed Culligan RO system, with a total replacement value of $357,450, is no longer covered by a manufacturer's warranty and needs a preventive maintenance contract to keep equipment operational. Award of this service contract to any vendor other than Culligan for a requirement valued at only $33,765 would expose the Government to an unacceptable operational risk in the depot that is disproportionate to any potential savings from competition.

4. Negative Impacts of Award to a Non-Culligan Vendor Award of this service contract to any vendor other than Culligan would result in the following adverse consequences to the Government:

— Cost impact: A non-OEM service provider would not have access to Culligan proprietary replacement components at OEM pricing. Third-party parts sourced through alternative channels carry a significant cost premium and may require custom fabrication or adaptation, increasing both parts cost and labor time. Additionally, this route would expose the Government to full replacement cost liability for the entire system in the event of failure.

— Time impact: Culligan-authorized technicians carry OEM-specific parts inventory and possess system-specific training enabling rapid diagnosis and repair. A non-OEM technician would require additional diagnostic time, may be unable to source compatible components without significant lead time, and would lack access to Culligan's technical support infrastructure. This would materially extend downtime in the event of system failure or emergency repair.

— Performance impact: The Culligan RO system is calibrated to produce water meeting specific purity standards required for MDMC and ESPC boiler operations. Service performed by a non- OEM technician without access to Culligan's calibration specifications and proprietary diagnostic tools risks miscalibration of the system, resulting in water quality output that does not meet operational requirements. This creates both mission impact and potential health and safety risk to personnel relying on the system.

— Warranty and liability impact: As stated above, use of a non-OEM service provider risks system degradation and damage. Any system damage resulting from non-OEM service would be borne entirely by the Government with no recourse to the manufacturer.

CUI Category(ies): PROCURE Limited Dissemination Control: DL ONLY

Determination that Only One Source is Reasonably Available (Including Brand Name) – FAR Part 12 Acquisitions under the SAT

For the reasons stated above, Culligan is the only responsible source capable of providing the required service contract without material risk of cost increase, extended downtime or performance degradation. Award to any other source would not serve the best interest of the Government.

3. ___ OTHER REASONS.

B. ___ BRAND NAME

Item required must be a brand name, product, or feature of a product, particular to one manufacturer.

C. ___URGENT AND COMPELLING. The supplies or services are of such unusual and compelling urgency that the Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals. Urgent requirements are supplies or services that will result in a work stoppage, or are mission critical and the routine processing time would result in injury to the Government. The determination that the procurement for the above item/service is an urgent and compelling requirement is based on the following:

1. Date on which the requirement was first identified:

2. Required delivery date/period of performance:

3. Explanation of why delivery/commencement of services by the date mentioned above is required:

V. CERTIFICATIONS:

A. Technical / Requirements Certification: I certify that the facts and representation under my cognizance which are included in this justification are complete and accurate to the best of my knowledge and belief.

Signature Name (Printed) / Phone # Date

B. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Signature Name (Printed) / Phone # Date

TIPPER.CHRISTOPHER.S.1250702147 Digitally signed by TIPPER.CHRISTOPHER.S.1250702147 Date: 2026.06.16 07:39:17 -04'00'

CUI Category(ies): PROCURE Limited Dissemination Control: DL ONLY

Determination that Only One Source is Reasonably Available (Including Brand Name) – FAR Part 12 Acquisitions under the SAT

Distribution List for DL ONLY Limited Dissemination Control

MCFCS Personnel

LB Personnel

Procurement Team Personnel (to include but not limited to: Legal, Customers/Requirements Owners, Source Selection Personnel, Small Business Representatives)

Any other individual designated by the KO