SSJ - Shredder Maintenance (KO signed)_Redacted.pdf

26 June 2025

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity. Naval Criminal Investigative Service-Headquarters (NCIS-HQ), Business

Operations Directorate, Acquisition Division

2. Description of the Action Being Approved. (Mark appropriate category.)

Award of a contract on a sole source basis for supplies/services.

Award of a contract on a brand name basis for supplies/services.

3. Description of Supplies/Services. (Identify supplies and services to be acquired, estimated value, and appropriation and funding amounts planned for the acquisition. Summarize long lists of items. Option quantities should be separately identified. Briefly address the period of performance or completion date).

Services to be acquired: Annual maintenance for shredders, and inspection of shred size to ensure devices are meeting target specifications and are in compliance with NSA requirements.

FISCAL

YEAR

APPROPRIATION DESCRIPTION AMOUNT

2025 OM&N SEM Preventative Maintenance Service Contract for Multiple Units

(Maintenance and Inspection Twice a Year)

Period of Performance: 01 August 2025 � 31 July 2028 (base + two option years)

4. Statutory Authority Permitting Other Than Full and Open Competition. (Select only one.)

10 U.S.C. 3204(a)(1), Only One responsible source and no other supplies or services will satisfy agency requirements.

10 U.S.C. 3204(a)(2), Unusual and compelling urgency.

10 U.S.C. 3204(a)(3), Industrial mobilization; engineering, developmental, or research capability; or expert services.

10 U.S.C. 3204(a)(4), International agreement.

10 U.S.C. 3204(a)(5), Authorized or required by statute.

10 U.S.C. 3204(a)(6), National Security.

10 U.S.C. 3204(a)(7), Public Interest.

5. Rationale Justifying Use of Cited Authority. The acquisition is being conducted under the procedures of FAR 13.106-1(b)(1)(i) � Soliciting from a single source. The justification rationale for restricting competition is:

Security Engineered Machinery Co., Inc. (SEM) is the only company permitted to work on their machines in the Russell-Knox Building (RKB) in Quantico, VA without risk of voiding any warranties. While SEM does have authorized service partners around the country and the world, the

DEPARTM EN T OF THE NAVY

H E AD Q U A R TE R S

N A VA L C R I M I NA L I NV E S TI G A T I V E S E R V IC E

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closest partners are located in Fayetteville NC or Hackettstown NJ. These two entities, and any other entities for that matter, do not do jobs in the Washington, DC region (which includes Quantico).

Only SEM service technicians are able to actively do service on SEM equipment in the RKB.

6. Specific characteristics of the supplies or services that limit the availability to this/these source(s), i.e., unique features, form-fit-function, etc.). State why the requested material or service represents the minimum requirement(s) of the Government. Describe in detail why only this/these suggested source(s) can furnish the requirement(s) to the exclusion of other sources.

NCIS has purchased its shredders from SEM since 2011. These shredders are critical for secure document destruction, and SEM's continuous maintenance ensures compliance with stringent data security regulations. Only SEM possesses the specialized knowledge, proprietary parts, and documented history of service on these specific shredders to guarantee the continued integrity of the shredding process, making them the only acceptable source to maintain these assets.

SEM equipment meets the NCIS requirement for a secure shredder solution and meets the National Security Agency/Central Security Service (NSA/CCS) standards. As NCIS works toward streamlining all of its shredder needs, this will allow for NCIS to have one service provider.

All of the optical and paper shredders at NCIS headquarters were manufactured by and purchased from SEM. Replacement parts are also manufactured by SEM. Use of SEM to provide needed maintenance and inspection services is paramount to ensuring quality of repairs and continuity of warranty provision. As these renewal services are providing maintenance for SEM products, using a different vendor would require significant re-training of personnel and potential incompatibility with existing shredder components.

SEM is the only company that services their shredders in the RKB. No other company is permitted to maintain, service, or repair the shredders without voiding the warranty.

7. Determination of fair and reasonable pricing.

Pricing will be reviewed prior to award based on price analysis techniques available per FAR 13.106-(a).

8. Brief description of Market Research conducted and results or why market research was not conducted.

Additional market research was performed by the Contracting office through searching required and preferred sources of supplies/services for SEM preventative maintenance services. The sources AbilityOne, UNICOR, DoD ESI, GSA, and NASA SEWP did not support any applicable preventative shredder maintenance. While SEM does have a GSA schedule, Acquisitions had a conversation with the SEM Director of Sales, Bob Glicker, who clarified that some of the shredder maintenance cost is on SEM�s GSA schedule, but not all. Therefore, this will be solicited as Open Market.

Data was analyzed by reviewing the customer�s procurement package, which included the Independent Government Estimate (IGE) based on a market research price estimate from SEM, and reviewing historical contract information. Only one source, SEM, can provide the required maintenance support for previously purchased shredders that are proprietary products to the vendor.

The maintenance is not available under any other sources such as AbilityOne, UNICOR, GSA, DoD ESI, or NASA SEWP.