A15_Sole_Source-_Geophex_Redacted_1.pdf

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GEM-2H Electromagnetic Sensor Complete System
Solicitation number
140G0124Q0239
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This document is a Sole Source Justification for the procurement of a GEM-2H Electromagnetic Sensor Complete System by the Department of the Interior, United States Geological Survey (USGS) Oklahoma Texas Water Science Center.

The USGS intends to award this requirement non-competitively to the sole manufacturer, Geophex Ltd., under FAR 13.106-1(b)(1) as the GEM-2H sensor is the only product that meets the agency's technical requirements and is compatible with their proprietary software. The estimated price for the GEM-2H sensor is . The USGS has previously purchased Geophex products on a sole source basis. Future requirements will be competed to the maximum extent practical. The North American Industry Classification (NAICS) Code is 334519 with a size standard of 600 employees. The agency has determined this non-competitive award will result in a fair and reasonable price.

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SOLE SOURCE JUSTIFICATION FOR ACQUISITION UNDER THE SIMPLIFIED

ACQUISITION THRESHOLD

1. Contracting Agency and Activity. The Department of the Interior, United States Geological Survey plans to contract on a on a sole source basis with Geophex Ltd. This document sets forth the justification and approval as required by FAR 13.106-1(b)(1) "Only One Source Reasonably Available.”

2. Nature of Action Being Approved. The Oklahoma Texas Water Science Center (Integrated Hydrology and Data Science Branch) requests a new firm fixed price award for the purchase of a GEM-2H Electromagnetic Sensor Complete System.

3. Description of Supplies or Services. GEM-2H Electromagnetic Sensor Complete System

4. Estimated Dollar Value. The estimated price is

5. Statutory Authority. The proposed action may be awarded on a sole source basis under the authority of FAR 13.106-1(b)(1) – “Only One Source Reasonably Available.”

6. Rationale Supporting Use of Citation in No. 5.

6.1 The Oklahoma Texas Water Science Center (Integrated Hydrology and Data Science Branch) requires highly dense and accurate, frequency domain electromagnetic data collected using non-contact and non-invasive methods. This type of data collection is used to image a three-dimensional distribution of objects in the subsurface. The GEM-2H, manufactured by Geophex Ltd, is a non-invasive frequency domain tool that can collect data 60% deeper than traditional methods and provides significant advantages for shallow geophysical surveys. The ability to use a non-invasive, multi-frequency tool, greatly increases our ability to create subsurface models that help define clay layers, identify paleochannels and help delineate preferential groundwater flow paths.

6.2 The center utilizes proprietary software provided by Geophex Ltd to support its missions.

Two annual software licenses have been purchased in the amount of each. The tool currently in use is the GEM-2.

6.3 One of the software packages was written in house and is specific to the data format of the current GEM-2 and will also work seamlessly with the GEM2H. It is highly unlikely that the software will work with a different fDEM sensor.

6.4 The current GEM-2 which has been in use many years and has recently received upgrades totaling just under which can also be used with the GEM-2H.

6.5 Data collected with a tool from a different vendor would have different frequency ranges and coil spacing. Data continuity would be affected as a new product would create new data sets which are not a 1:1 match with data collected with existing equipment. This would also double the center’s processing time as it would require interpretation and processing of two different data sets. Purchasing a new product would require recoding or development of a new inhouse software program. The current inhouse software is customized exclusively for the Geophex GEM-2 products and not compatible with other products. The center’s software engineers are not available until 2025 at the earliest.

For these reasons purchasing a different product will not be in the best interest of the government.

7. Other Information. N/A

8. The Efforts to Identify Additional Sources Including the Market Research Conducted.

Market research conducted by the USGS technical point of contact revealed that fDEM tools from other manufacturers do not meet the government’s minimum requirements and are not compatible with the center’s software. Geophex Ltd is the only manufacturer of the GEM-2H Electromagnetic Sensor. The vendor has confirmed that it is a small business and has no authorized resellers of its products. Previous purchases for Geophex products have been sole source awards or competed and awarded to Geophex as no other quotes were received. A search history shows PO W913E523P0030 awarded on 11/14/2023 as a sole source to Geophex for the purchase of a GEM-2 EM Sensor Complete System.

9. Actions to Overcome Barriers to Competition. Future requirements will undergo market research and be competed to the maximum extent practical as they develop.

10. Recommendation and Certification from Program Office

Based on the above, I recommend this acquisition be conducted on a limited source basis. I certify that technical data which form a basis for this justification, that are the responsibility of technical or requirements personnel are complete and accurate.

Program Officer Date

11. Certifications and Approval from the Contracting Officer:

a. The contracting officer will determine that the anticipated cost to the Government will be fair and reasonable based on previous procurement history, published price list, and/or vendor invoice history.

b. This justification is accurate and complete to the best of my knowledge and belief.

13. Approvals

Contracting Officer Date

Bureau Competition Advocate Date

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