DOJ Awards $395.5K for Biweekly Shred Service to Stericycle Inc

Contract Overview

Contract Amount: $3,955 ($4.0K)

Contractor: Stericycle Inc

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $11/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: BIWEEKLY SHRED SERVICE

Place of Performance

Location: FAIRFIELD, BUTLER County, OHIO, 45014

State: Ohio Government Spending

Plain-Language Summary

Department of Justice obligated $3,955 to STERICYCLE INC for work described as: BIWEEKLY SHRED SERVICE Key points: 1. Contract awarded to STERICYCLE INC for biweekly shredding services. 2. The contract value is $395,500 over 364 days. 3. Service is categorized under 'All Other Support Services' (NAICS 561990). 4. Awarded via Purchase Order under competitive SAP. 5. Service location is Ohio.

Value Assessment

Rating: fair

The contract is a Time and Materials type, which can lead to cost overruns if not closely monitored. The total award value of $395,500 for a 364-day service period suggests a moderate price point, but without specific per-unit data, a precise comparison is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under SAP (Simplified Acquisition Procedures), indicating a competitive process for acquisitions below certain thresholds. This method generally promotes price discovery and fair market value, though the specific number of bids received is not detailed.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for the shredding services, avoiding potential overpayment associated with sole-source contracts.

Public Impact

Ensures secure destruction of sensitive documents for the Department of Justice. Supports operational efficiency by outsourcing a specialized service. Provides ongoing service for over a year, ensuring continuity. Service is localized to Ohio, potentially impacting regional businesses.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost uncertainty.
SAP competition may not yield the lowest possible price compared to full FAR Part 15.
No specific small business set-aside noted.

Positive Signals

Competitive award under SAP.
Clear service period and location.
Established vendor (STERICYCLE INC).

Sector Analysis

The 'All Other Support Services' sector encompasses a wide range of non-professional services. Spending in this category can vary significantly based on agency needs. Benchmarks are difficult without more specific service details, but $395.5K for a year of specialized shredding is a substantial, though not necessarily excessive, amount.

Small Business Impact

The data does not indicate if this contract was specifically set aside for small businesses, nor does it mention any subcontracting goals. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Awarded via Purchase Order, which is a common procurement instrument. Oversight would involve monitoring vendor performance against the Time and Materials contract terms and ensuring compliance with security and destruction protocols.

Related Government Programs

All Other Support Services
Department of Justice Contracting
Offices, Boards and Divisions Programs

Risk Flags

Time and Materials contract type.
Lack of specific per-unit cost data for benchmarking.
No explicit mention of security compliance standards.
Potential for limited competition under SAP.
No indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3,955 to STERICYCLE INC. BIWEEKLY SHRED SERVICE

Who is the contractor on this award?

The obligated recipient is STERICYCLE INC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $3,955.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the estimated hourly rate or cost per pound/volume for the shredding service, and how does it compare to market rates?

The provided data lacks specific per-unit cost details, making a direct comparison to market rates challenging. Time and Materials contracts often have pre-negotiated hourly rates for labor and material costs. To assess value, one would need to obtain these rates and benchmark them against similar services offered by competitors in the Ohio region, considering factors like document volume, frequency, and security levels.

What specific security protocols and compliance standards are mandated in the contract for document destruction?

The contract details do not specify the security protocols or compliance standards for document destruction. Given the agency (Department of Justice), it is highly probable that stringent regulations (e.g., HIPAA, FACTA, or specific federal guidelines) are implicitly or explicitly required. Verification of these standards and the vendor's certification is crucial for risk assessment.

How effective is the SAP competition process in ensuring the best value for this type of specialized support service?

Simplified Acquisition Procedures (SAP) are designed for efficiency in procuring goods and services below certain dollar thresholds. While SAP generally involves competition, it may not always achieve the same level of price competition or detailed evaluation as full and open competition under FAR Part 15. For a service like secure shredding, the effectiveness depends on the number of qualified bidders and the clarity of the requirements.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › ADMINISTRATIVE SUPPORT SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 6838 FAIRFIELD BUSINESS CENTER DR, FAIRFIELD, OH, 45014

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,955

Exercised Options: $3,955

Current Obligation: $3,955

Actual Outlays: $3,080

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline