455-22 TRG Sole Source 2022 _abl.pdf

SOLE-SOURCE DETERMINATION & JUSTIFICATION

FOR SUPPLIES AND SERVICES

To: Contract Services

From: Dr. Thomas Swearingen Date: November 29, 2022

Sole Source Determination pursuant to Oregon Revised Statute (ORS) 279B.075 and Oregon Administrative Rule (OAR) 125-247-0275 for:

Description of Goods or Services:

ODFW’s Marine Reserves Program has a legislative mandate to monitor the socioeconomic impact of marine reserves in Oregon. The Marine Resources Program also monitors the economic impacts of marine commercial and recreational fisheries. In order to meet these responsibilities, all related fisheries economic data and economic impact models must be routinely updated. The requisite work for the 2020 – 2021 fisheries data has not been completed.

ODFW currently does not have personnel with the expertise necessary to update all of the related economic data and models, which creates a need for professional services contracting. ODFW would like to utilize the services of TRG, LLC, through sole-source selection, to provide the necessary professional services. This work will encompass a complex research effort including: (1) commercial and recreational fisheries data compilation for 2020 and 2021, (2) development of interim fisheries briefing reports for each year, (3) updating a fisheries spatial bioeconomic model using benthic mapping, habitat, and species data, (4) computation of fisheries economic impacts using input/output modeling customized to reflect both specific coastal communities' economic sectors, including accurate allocation of the fisheries processing sector, and multiple fisheries production functions, (5) computation of distant waters fisheries economic contributions in Oregon, (6) use of the spatial model outputs for analysis of potential fisheries economic impacts of marine reserve implementation, (7) coordination with ODFW in the production of instruction manuals for all economic tasks, and (8) professional report presentations.

Reason for Need:

ODFW currently does not have personnel with the expertise necessary to update all related economic data and models. This update will involve a complex research effort including data compilation, interim fisheries briefing reports, updating the fisheries spatial economic model, use of spatial model outputs for analysis of potential fisheries economic impacts, complex primary research to update methods to compute distant waters fisheries economic contributions in Oregon, production of manuals, project reporting, and report presentation.

Single or Multiple Purchases: Single contract of a specified duration

Estimated Cost: $79,500

Research Leading to Determination:

The model that is the basis for the scope of this project is unique and specific to Oregon nearshore territorial seas. It is based on using detailed benthic maps and habitat/species relationships to disaggregate fisheries data for fine resolution spatial attribution. It would be both quite expensive and very time consuming for another source to recreate this model.

Describe the Market Research that was conducted that supports the sole source purchase of the requested product or service.

The ODFW has investigated and assessed the availability and expertise of consultants and academic groups that might be interested and qualified to provide professional services. The field of fisheries economics is a very narrow specialization. The profession is represented by the North American Association of Fisheries Economists (NAAFE) and by the related international professional association. The Human Dimensions staff of the Marine Reserves Program reviewed all of the proceedings of recent national conferences to locate professionals with relevant expertise. Most of those individuals were not from the west coast, and none who had worked on bioeconomic models have any familiarity with the Oregon fisheries and coastal communities. In addition, the Program obtained a list of members in Oregon who might be familiar with bioeconomic modeling, local Oregon fisheries, and coastal communities’ economic sectors. All of the individual members were academics, NGO employees, or agency personnel, and do not work as consultants, except Shannon Davis, the principal of TRG, LLC. Several members are also now retired. None would have the relevant experience with the spatial model, the Oregon commercial fisheries processing sector, and necessary contacts among the distant waters fisheries. The Coastal Oregon Marine Experiment Station does not currently employ personnel with the required background. Faculty members in the Oregon State University Department of Applied Economics have not been available to provide the necessary professional services.1 While other economic consultants who are not members of the NAAFE might have some relevant technical capabilities, they will not be familiar with the spatial model, the local fishing communities, and the dynamics of the distant waters fisheries in relation to Oregon residents.

The expense and learning curve involved in getting any unfamiliar external consultants up to speed and competent in this context would be both cost prohibitive and far too time consuming. For these reasons, we concluded that the sole individual qualified to perform the required services accurately, in a timely manner, and for a reasonable cost, is the principal of TRG, LLC, Shannon Davis.

Pursuant to ORS 279B.075 (2)(b): Exchange of Software or Data.

Pursuant to ORS 279B.075 (2)(c): Pilot or Experimental Project.

Pursuant to ORS 279B.075 (2)(d): Other findings that support the conclusion that Supplies and Services are available from only one source may include but are not limited to considerations of:

unique design, availability, geographic location, exclusive authorized representative, cost of conversion, and warranty services.

Under contract with the Marine Reserves Program (original 2010 model - PSK #63506957; 2015 model update - PSK #63507507), Shannon Davis, the Key Person of TRG, LLC, developed a unique biological and economic model for spatial attribution of nearshore marine commercial and recreational fisheries landings by species, fishery, and location at a fine scale of spatial resolution.

That model was recently updated with 2017 – 2019 data.

This biological and economic model is at a finer spatial scale than any other available fisheries landings or logbook data, potentially facilitating more accurate marine spatial planning across several Oregon state agencies. The model covers the entire Oregon coast, not just the marine reserves.

Updates to the bioeconomic model and the coast region input/output model are needed to fulfill the legislative mandate to monitor the socioeconomic impact of marine reserve implementation. TRG, LLC is the only entity with knowledge of how to work with and update the spatial model. TRG is uniquely qualified to provide the necessary professional services. TRG has previously developed proprietary commercial fishing industry and coastal recreational regional economic impact and net economic value models for Oregon fisheries. This work then served as the basis for the related NOAA I/O PAC model. TRG has also produced marine commercial fisheries reports for Oregon, other west coast states, and the Alaska fisheries for decades. This cumulative expertise allows their efficient and timely production of the required reports and updating and calibration of the models.

No other private sector arrangement can be relied upon to develop a bioeconomic model at the level of detail and within the timelines required for the work effort.

1 The Marine Resource Program has considered creating a related fisheries economics coop position with the department

(i.e., a split appointment), but that initiative has not yet come to fruition.

In addition, for this project, TRG, LLC is charged with helping ODFW to develop operational manuals to allow agency personnel to hereafter contribute more effectively to develop outputs for related agency marine fisheries monitoring needs. Thus, TRG, LLC has specialized skills and knowledge that are necessary to achieve mandated monitoring responsibilities of the ODFW Marine Resources and Marine Reserves Programs.

APPROVED BY:

April D. Brenden-Locke, DPO, ODFW Contract Services Date

12/13/22