SF 1013.pdf

DEPARTMENT OF THE TREASURY

SF 1013 - JUSTIFICATION & APPROVAL FOR FAR SUBPART 13.5 SOLE SOURCE

(INCLUDING BRAND NAME) ACQUISITIONS

Treasury Standard Form – 1013 (Rev 5/18)

Prescribed by Treasury: DTAP 1013.501

Tracking No.

1. Identification of the requiring activity and the contracting activity:

The requiring activity is the Treasury Inspector General for Tax Administration, and the contracting activity is Bureau of the Fiscal Service.

2.a Nature and/or description of the action being approved:

The purpose of this Justification for an Exception to Fair Opportunity is to obtain approval to award a contract with Axon Enterprise, Inc. for the purchase of the brand name items described in section 3.a below. The period of performance will be for one 12-month base period and four 12-month option periods, with a total contract value (TCV) of $2,626,535.75.

See section 3c below for further details.

2.b Name of the vendor. Axon Enterprise, Inc.

2.c Requisition No.: TBD 2.d Bridge contract: ☐ Yes ☒ No 2.e Brand name: ☒ Yes ☐ No 3.a A description of the supplies or services required to meet the agency’s needs:

The proposed acquisition is to acquire the following Axon Enterprise, Inc. brand name products:

Axon Enterprise, Inc. Cloud based Digital Evidence Management System (DEMS) with paired Body Worn Cameras (BWC) for Treasury Inspector General for Tax Administration (TIGTA).

Axon Enterprise, Inc will be responsible for providing cloud-based DEMS storage for a minimum of 10 GB of data for up to 245 individual users for a total of 2.45 TB and provide for a minimum upload of 2.45 TB of data that is currently housed on servers and hard drives in TIGTA inventory. Product and contractor shall be compliant with Federal Information Security Modernization Act of 2014, have required certifications through CJIS and FedRAMP to provide cloud-based DEMS paired with BWCs and be compliant with existing federal laws, regulations and policies concerning cloud-based systems.

Body worn cameras are used by law enforcement personnel to record audio and video of daily operations. TIGTA is seeking a body worn camera device that is a combined solution with a cloud-based DEMS. The body worn camera device must be fully compliant and certified with the Criminal Justice Information Services (CJIS) security policy. Data stored on the body worn camera device must not be accessible, viewable, or downloadable by unauthorized parties, in compliance with CJIS. The body worn camera device must be of a size and weight that it is easily worn attached to plain clothes for long periods of time. The body worn camera device must be weather resistant, waterproof, drop proof, and impact proof. The body worn camera device must be rechargeable without removing the batteries. The on-board battery life of the body worn camera device must be no shorter than 12 hours. The onboard battery of the body worn camera device must be certified for a minimum of two years. The body worn camera device must be capable of uploading data through landline, WiFi, or cellular connections, as determined by the user and provide for additional support for other mobile device integration through dedicated mobile web site. The body worn camera device must be able to be accessed by authorized parties through a wide array of computer devices, to include, but not limited to, devices running Microsoft, Apple, and Android based operating systems.

Provide end users with a local client application allowing authorized users to access, and catalogue data recorded by the body worn camera device. The application shall only be accessible by authorized users as designated by TIGTA policy.

Treasury Standard Form – 1013 (Rev 10/17)

3.b Includes IT: ☒ Yes ☐ No NAICS 334310 PSC 6710 3.c IGCE/Estimated dollar value:

The IGCE for this requirement is $2,626,535.75 and is inclusive of one 12-month base period and four 12-month option periods. Refer to IGCE for additional details.

Base Year: $499,468.35 Option Year 1: $473,093.55 Option Year 2: $707,786.75 Option Year 3: $473,093.55 Option Year 4: $473,093.55

4. Identification of the authority being used (Check the box that applies):

☒ 41 U.S.C. 1901 – Simplified acquisition procedures.

☐ 41 U.S.C. 1903 – Special emergency procurement authority.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited:

Axon Enterprise, Inc. unique qualifications and the nature of the acquisition requires use of the authority cited as follows:

Axon Enterprise, Inc. (Axon), is the sole manufacturer for TASER brand conducted electrical weapons (CEWs) and Axon brand camera products. Axon is also the sole developer and provider of Evidence.com Software as a Service product.

IAW Federal Information Security Modernization Act of 2014 (Specifically the FedRAMP policy memo dated December 8, 2011) Axon Enterprise, Inc. is the only vendor that has obtained certifications through CJIS and FedRAMP to provide cloud-based DEMS paired with BWCs.

FISMA is the current law governing the use of cloud computing for federal agencies and mandates FedRAMP certification on all cloud-based systems. Axon Enterprise, Inc is the only known vendor who is currently compliant with existing federal laws, regulations and policies concerning cloud based Digital Evidence Management systems.

Axon is the only brand that can meet all of TIGTA’s specifications while complying with FedRAMP and CJIS certifications in a single turn-key solution. While a search of FPDS-NG for purchases of body cameras did reveal federal agencies purchasing other brands of body cameras, none of the other brands were listed as currently certified on the FedRAMP marketplace. A search of SAM.gov revealed dozens of intent to sole source notices from other federal agencies for Axon body cameras. A review of these notices found similar justification and rationale for sole source awards to Axon.

6. A description of efforts to ensure that offers were solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by FAR subpart 5.2 and, if not, which exception under FAR 5.202 applies:

In accordance with FAR subpart 5.2, a notice of intent to award a sole source contract under the authority of FAR subpart 13.5 was posted on SAM.gov, with no responses received. This notice will afford an opportunity for all responsible sources to submit a capability statement which shall be considered by the Government.

7. A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable:

All pricing will be evaluated for acceptance and a fair and reasonable determination on pricing will be made by the Contracting Officer by comparing pricing from previous orders, obtaining list pricing, and redacted invoices.

8. A description of the market research conducted (see FAR part 10) and the results or a statement of the reason market research was not conducted:

Treasury Mandatory Sources must be considered in accordance with DTAP part 1008 as well as small businesses in accordance with DTAP part 1010 and 1019. See SF 1010 Market Research Summary Report.

Due to the nature of acquisition and the unique qualifications of the proposed contractor as described in section 5 above TIGTA’s market research was limited. As stated in paragraph 5, Axon Enterprise, Inc is the only vendor that is in compliance with FISMA through the CJIS and FedRAMP certification process.

The Contract Specialist conducted market research in January and February 2024. Refer to the approved SF1010 in the official contract file for further market research information.

This market research supported the government’s determination to acquire these products and services on a sole-source basis. A Justification for Other Than Full and Open Competition exists, per FAR 6.302-1(b)(1), as only one responsible source and no other supplies or services will satisfy agency requirements.

TIGTA will continue to seek competition for these services in subsequent acquisitions as more contractors move to a cloud-based DEMS, have certified through the FedRAMP process and get on the FedRAMP approved cloud computing list.

9.a Any other facts supporting this justification:

N/A 9.b Attachments: ☒ Yes ☐ No Attachment A- Sole Manufacturer Letter and Certification

10. A listing of sources, if any, that expressed, in writing, an interest in the acquisition:

N/A

11. A statement of the actions, if any, the Requiring Activity or Contracting Activity may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required:

Barriers that preclude an open competition are regulatory in nature. TIGTA does not have the authority, or the means to seek appeals to these regulations, or to develop a system that will meet current mandated requirements.

TIGTA has been at the forefront of the federal body worn camera program. TIGTA will continue to conduct market research for future procurements.

Future competition will likely depend on vendors’ ability to integrate with existing systems while meeting future FISMA requirements.

12. Certifications and Approvals:

12.a Program Office certification (Requiring Activity). I hereby certify that any supporting information and data provided, which form the basis for this justification, are accurate and complete to the best of my knowledge and belief.

Name: Sarah Hunter Date:

Signature:

12.b Contracting Officer certification and approval. I hereby determine the circumstances of this acquisition support the justification to acquire the item(s) on a sole source (including brand name) basis under the authority of FAR subpart 13.5. I also certify this justification is accurate and complete to the best of my knowledge and belief. Therefore, unless additional approvals are required as prescribed below, as the authorized contracting officer for this acquisition, I hereby approve this justification.

Name: Brain D. Cooper Date:

Signature:

Axon Enterprise, Inc. Axon Federal Agencies Sole Source Letter Version 9.0 Page 1

To: United States Federal Law Enforcement Agencies

Re: Sole Source Letter for Axon Enterprise, Inc.’s TASER Conducted Energy Weapons, Axon brand products, and Axon Evidence (Evidence.com), US Federal Region, Data Management Solutions1

A sole source justification exists because Axon Enterprise is the sole distributor and retailer of all TASER and Axon brand product packages. No Small Business Reseller or Distributor is authorized for resale or distribution of the following products and solutions with federal law enforcement.

TASER Product Packages

1. Officer Safety Plan: Includes an X2 or X26P energy weapon, Axon camera and Dock upgrade, and Evidence.com license and storage. See your Sales Representative for further details and Model numbers.

2. Officer Safety Plan 7: Includes a TASER 7 energy weapon, Axon Body 3 camera, Axon Dock, Axon Camera and Dock upgrade, Axon Evidence (Evidence.com) licenses and storage, Axon Respond, and Axon Records Core.

3. Officer Safety Plan 7 Plus: Includes a TASER 7 energy weapon, Axon Body 3 camera, Axon Evidence (Evidence.com) licenses and storage, Axon Records Core, Axon Respond +, Axon Auto-Tagging Services, Axon Performance, Axon Citizen for Communities, Axon Redaction Assistant, and Axon Signal Sidearm.

4. Officer Safety Plan 7 Plus Premium: Includes a TASER 7 energy weapon, Axon Body 3 camera, Axon Evidence (Evidence.com) licenses and storage, Axon Records Core, Axon Respond +, Axon Auto-Tagging Services, Axon Performance, Axon Citizen for Communities, Axon Redaction Assistant, Axon Signal Sidearm, Axon Auto-Transcribe, Axon VR Training, and unlimited first-party and unlimited third-party storage.

5. TASER 7 Basic: Pays for TASER 7 program in installments over 5 years including access to Axon Evidence services for energy weapon program management.

6. TASER 7 Certification: Pays for TASER 7 program in installments over 5 years including access to Evidence.com for energy weapon program management, annual training cartridges, unlimited duty cartridges and online training content.

7. TASER Certification Add-On: Allows the agency to pay an annual fee to receive an annual allotment of training cartridges, unlimited duty cartridges and online training content.

8. TASER 7 Certification with Virtual Reality (VR): Pays for the TASER 7 program in installments over 5 years including access to Evidence.com for energy weapon program management, annual training cartridges, unlimited duty cartridges, online training content, and VR training.

1 Axon is also the sole developer and offeror of the Evidence.com data management services.

Evidence.com is both a division of Axon and a data management product solution offered by Axon.

Evidence.com is not a separate corporate entity.

Axon Enterprise, Inc. Axon Federal Agencies Sole Source Letter Version 9.0 Page 2

9. TASER 60: Pays for X2 and X26P energy weapons and Spare Products in installments over 5 years.

10. Unlimited Cartridge Plan: Allows the agency to pay an annual fee to receive annual training cartridges, unlimited duty cartridges and unlimited batteries for the X2 and X26P.

11. TASER 60 Unlimited: Pays for X2 and X26P energy weapons and Spare Products in installments over 5 years and receive unlimited cartridges and batteries.

12. TASER 7 Close Quarters Dock Plan: Pays for TASER 7 Close Quarters Plan over a 5-year period in installments including access to Evidence.com for energy weapon program management, rechargeable batteries, annual cartridge shipments, unlimited duty cartridges, and access to online training.

13. Officer Safety Plan 10: Includes a TASER 10 energy weapon, the TASER 10 certification bundle, Axon body camera with Technology Assurance Plan (TAP),2 Axon Evidence (Evidence.com), unlimited body camera and Axon Capture storage, Command Staff Pro license (1 per 100), Axon Signal Sidearm, Axon Standards, and Axon Respond.

14. Officer Safety Plan 10 Plus: Includes a TASER 10 energy weapon, the TASER 10 certification bundle, Axon body camera with Technology Assurance Plan (TAP),2 Axon Evidence (Evidence.com), unlimited body camera and Axon Capture storage, Command Staff Pro license (1 per 100), Axon Signal Sidearm, Axon Standards, Axon Respond, Axon Respond+, Axon Performance, Axon Community Request, Axon Investigate, Redaction Assistant, auto-tagging with implementation, channel services (3), third-party video storage (100 GB), third-party video playback, and Axon Records.

15. Officer Safety Plan 10 Premium: Includes a TASER 10 energy weapon, the TASER 10 certification bundle, Axon body camera with Technology Assurance Plan (TAP),2 Axon Evidence (Evidence.com), unlimited body camera and Axon Capture storage, Command Staff Pro license (1 per 100), Axon Signal Sidearm, Axon Standards, Axon Respond, Axon Respond+, Axon Performance, Axon Community Request, Axon Investigate, Redaction Assistant, auto-tagging with implementation, channel services (unlimited), third-party video storage (100 GB), third-party video playback, Axon Records, Axon VR training, Axon Auto-Transcribe, and My90 by Axon.

16. TASER 10 Basic: Pays for the TASER 10 program in installments over 5 years including access to Axon Evidence services for energy weapon program management.

17. TASER 10 Certification: Pays for TASER 10 program in installments over 5 years including access to Evidence.com for energy weapon program management, annual training cartridges, unlimited duty cartridges and online training content.

18. TASER 10 Certification with Virtual Reality (VR): Pays for the TASER 10 program in installments over 5 years including access to Evidence.com for energy weapon program management, annual training cartridges, unlimited duty cartridges, online training content, and VR training.

19. Axon Core: Pays for the TASER 7 CQ, TASER Dock, weapon Axon Evidence license, training and duty cartridges, Axon Body 3 camera, Professional Axon Evidence license, unlimited storage, camera hardware upgrade every 2.5 years, Axon Respond, Axon

2 Axon Body 3 or Axon Body 4 & Axon Dock (for cameras) hardware purchased separately. Includes two Axon camera upgrades and one camera dock upgrade, which apply to 5-year contracts only.

Axon Enterprise, Inc. Axon Federal Agencies Sole Source Letter Version 9.0 Page 3

Signal Sidearm, and auto tagging.

20. Axon Core+: Pays for the TASER 7 energy weapon, TASER Dock, weapon Axon Evidence license, training and duty cartridges, Axon Body 3 camera, Professional Axon Evidence license, unlimited storage, camera hardware upgrade every 2.5 years, Axon Respond, Axon Signal Sidearm, and auto tagging.

21. Corrections Officer Safety Plan: Includes a TASER 7 energy weapon, Axon Body 3 Camera, Axon Dock, Axon Camera and Dock Upgrade, Axon Evidence Licenses and unlimited Axon storage.

22. Corrections Post OSP: Includes one TASER 7 energy weapon for every two licenses, one Axon Body 3 Camera for every two licenses, Axon Dock, Axon Camera and Dock Upgrade, Axon Evidence Licenses and unlimited Axon storage for each license.

Axon Digital Evidence Solution Description

Axon Records

• Continuously improving automated report writing by leveraging AI and ML on officer recorded video, photo, and audio from BWC, In-Car, Mobile App (Axon Capture), or other digital media

• Collaborative report writing through instantly synced workspaces allowing officers to delegate information gathering on scene

• Instant access to records allowing detectives to begin their investigation and records clerks to update information exchanges on things like missing people or stolen property as soon as possible

• Complete leveraging of Axon Evidence sharing to allow fast, efficient, digital, and secure sharing of records and cases to DAs and Prosecutors

• Robust API and SDK allows data to be easily ingested and pushed out to other systems—preventing data silos

• Deep integration with Axon Evidence putting video at the heart of the record and automating the process of tagging and categorizing digital evidence stored in Axon Evidence

• Automatic association of digital evidence to the record and incident through Axon Evidence integration

• In context search of master indexes (people, vehicles, locations, charges)— promoting efficient report writing through prefilling of existing data which promotes clean and deduped data in the system

• Quick views for users to track calls for service and reports in draft, ready for review, kicked back for further information, or submitted to Records for archiving.

• Federal and State IBRS fields are captured and validated—ensuring the officer knows what fields to fill and what information needs to be captured

• Intuitive validation ensures officers know what information to submit without being burdened by understanding the mapping of NIBRS to state or local crime codes

• Ability to create custom forms and add custom fields to incident reports—allowing your agency to gather the information you find valuable

• Software as a Service (SaaS) delivery model that allows agencies to write, manage, and share digital incident reports without local storage infrastructure or software needed

• SaaS model reduces security and administration by local IT staff: no local installation

Axon Enterprise, Inc. Axon Federal Agencies Sole Source Letter Version 9.0 Page 4 required

• Automatic, timely security upgrades and enhancements deployed to application without the need for any local IT staff involvement

• Securely share records and cases with other agencies or prosecutors without creating copies or requiring the data to leave your agency’s domain of control

• Controlled access based on pre-defined users, groups, and permissions

• Password authentication includes customizable security parameters: customizable password complexity, IP-based access restrictions, and multi-factor authentication support

• Security Testing: Independent security firms perform in-depth security and penetration testing

• Reliability: Fault- and disaster-tolerant infrastructure in at least 4 redundant data centers in both the East and West regions of the United States

• Chain-of-Custody: Audit logs automatically track all system and user activity. These logs cannot be edited or deleted, even by account administrators and IT staff

• FedRAMP Authorization

Axon Professional Services

• Dedicated implementation team

• Project management and deployment best practices aid

• Training and train-the-trainer sessions

• Integration services with other systems

Digital Evidence Management System (DEMS) Bundle Program

• DEMS only Professional Evidence.com Enterprise

• DEMS only Axon Citizen for Communities

• DEMS only Redaction Assistant, Advanced User Management

• DEMS only Digital Evidence Management Add-on

• DEMS only Auto Tagging

• DEMS only unlimited Axon device storage

• DEMS only unlimited 3rd party storage

• DEMS only Axon Performance

• DEMS only 3rd party video support (Axon Investigate)

Axon Support Engineer:

• Dedicated Axon Regional/Resident Support Engineer Services

• Quarterly onsite visits

• Solution and Process Guidance custom to your agency

• White-Glove RMA and TAP (if applicable) Service for devices

• Monthly Product Usage Analysis

• Resident Support Engineer also includes onsite product maintenance, troubleshooting, and beta testing assistance

Axon Customer Support

• Online and email-based support available 24/7

• Human phone-based support available Monday–Friday 7:00 AM–5:00 PM MST;

support is located in Scottsdale, AZ, USA

• Library of webinars available 24/7

Axon Enterprise, Inc. Axon Federal Agencies Sole Source Letter Version 9.0 Page 5

• Remote-location troubleshooting

SOLE AUTHORIZED DISTRIBUTOR FOR

ABOVE AXON BRAND PRODUCTS

SOLE AUTHORIZED REPAIR FACILITY

FOR AXON BRAND PRODUCTS

Axon Enterprise, Inc.

17800 N. 85th Street, Scottsdale, AZ 85255

Phone: 480-905-2000 or 800-978-2737 Fax: 480-991-0791

Axon Enterprise, Inc.

17800 N. 85th Street, Scottsdale, AZ 85255

Phone: 480-905-2000 or 800-978-2737 Fax: 480-991-0791

Please contact your local Axon sales representative or call us at 1-800-978-2737 with any questions.

Sincerely, Richard Coleman Vice President and General Manager, Axon Federal Axon Enterprise, Inc.

Non-Axon trademarks are property of their respective owners.

a, c AXON, Axon, Axon Evidence, Fleet, Axon Flex, Axon Interview, X2, X26P, TASER, TASER 7, and TASER 10 are trademarks of Axon Enterprise, Inc., some of which are registered in the US and other countries. For more information, visit www.axon.com/legal. All rights reserved. © 2023 Axon Enterprise, Inc.