Limited_Source_Justification_-_Cameras_Redacted.pdf

OA Policy Control Number: BEP-OA-14-00065

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JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. CONTRACTING AGENCY:

U.S. Department of the Treasury, Bureau of Engraving and Printing, Office of Acquisition

2. DESCRIPTION OF ACTION:

Request approval to award a new Firm Fixed-Price Contract for the delivery of camera equipment and accessory parts for the Office of Engraving. The resulting contract will be funded with fiscal year 2015 operation support funding.

3. DESCRIPTION OF SUPPLIES:

The supply contractor will provide the Bobcat 4.0MP, (2048 x 2048) @ 16 fps, 2 tap, Mono, KAI-4022, F- Mount, Mini CameraLink; the HD-SDI, Lynx GIG-E, Bobcat CL or GigE 12V DC Power Supply and Frame Grabber - Express Card /54 frame grabber card for laptops in order to Upgrade the Offline Currency Inspection System for both the BEP Western and Eastern Currency facilities. The total estimated cost is based on estimated determined by initial costs of camera and all corresponding parts and quantity needed for each facility including spares.

4. AUTHORITY CITED: 41 U.S.C. 3304(a)(1) as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

5. APPLICABILITY OF AUTHORITY CITED:

Pursuant to FAR 6.302-1(b)(1)(i), this requirement is available only from source due to its unique capabilities as it is the only one that based on image requirements, electrical requirements, and camera capabilities meets the need of the BEP to replace the obsolete cameras currently being used in production.

The machine vision inspection system includes a computer workstation, Image Guard1 software, frame grabbers, and cameras. The camera, lens, and frame grabber board work hand-in-hand. Current cameras are no longer produced and replacement parts are not available; the BEP does not have possession of spare cameras.

Therefore, the BEP requires new cameras, lens and frame grabber boards.

The camera, frame grabbers, and accessories were selected based on image requirements, electrical requirements, and camera features. The BEP Office of Engineering has extensively tested alternate camera options and has determined an acceptable replacement for the obsolete cameras. These cameras were selected based on image requirements, electrical requirements, and camera features needed to replace the obsolete cameras currently being used in production. After stringent testing through the Verification & Validation procedure, the Change Control Board (CCB) found Imperx Inc. to be the only source that meet the requirements and features needed as it produces the closest image, with regard to noise, sharpness and contrast, when compared to the cameras currently being used.

DEPARTMENT OF THE TREASURY

BUREAU OF ENGRAVING AND PRINTING

WASHINGTON, D.C. 20228

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6. EFFORTS TO OBTAIN COMPETITION:

The nature of this equipment requirement is critical to the overall as it works hand-in-hand with the Offline Currency Inspection System. A notice of intent, BEP-SSR-15-2030, was synopsized on 16 March 2015. At closing, there were no responses from industry.

7. FAIR AND REASONABLE COSTS:

Offeror’s proposal will be evaluated in accordance with FAR Part 15 to support the Government’s determination of fair and reasonableness of the Offeror’s proposed price.

8. MARKET RESEARCH:

The efforts regarding this proposed source and their unique technology capabilities is based upon extensive market research conducted by the BEP.

In the Fall of 2014, the BEP Office of Engraving surveyed the market and tested potential sources to provide the camera’s needed. Internet searches were conducted by the program office to look at commercially available cameras that could replace the obsolete cameras and equipment. Based on needed specifications, three (3) companies were determined to most closely meet the current requirements. All three companies were contacted and demos were provided for research purposes.

All machine vision equipment sources were considered and out of the three sources only one camera was found to most closely meet the electrical and image requirements in need, Imperx. After extensive testing, it was found that the Imperx camera is the only camera that meets or exceeds the existing cameras for image quality and image stability.

9. OTHER FACTS:

This requirement does not result from a lack of planning or the expiration of funds. BEP anticipated and planned for the award of the new contract. This contract is required to provide for continued and on-going supply of this critical item, which is used in the production of NXG $100 currency banknote.

10. INTERESTED SOURCES:

Other sources provided interest for this requirement; Basler and JAI; however, based on the result of the analysis, they were not considered as they do not meet the technical capability of the existing camera, Atmel.

The chart below illustrates the result of the analysis conducted:

All Pixel Data (15 x 15 area 66pixels above center)

970 Face Bench Bench Bench Camera Atmel(Existing) Basler/Zeiss JAI/ZeissE10 Imperx/Zeiss Ave Range 3.51 5.71 3.81 3.88 Range Max 7 13 8 9 Range Min 1 1 0 1 Max 198 190 195 201 Min 47 23 0 17 Ave 111.4 95.6 75.4 89.4 Range 151 167 195 184 Noise 2.3% 3.4% 2.0% 2.1%

Based on the analysis conducted above, Imperx Camera and accessories has been found to acceptable for use in production.

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11. STEPS TO FOSTER COMPETITION:

BEP will continue to promote competition for subsequent acquisitions for similar technologies. BEP will also continue to seek out sources that can meet its needs and continue to support competition on its acquisitions.

This includes holding vendor conferences, posting requests for information and requirements on the GPE, and conducting market research for similar technologies. These types of actions will continue to assist BEP in identifying any other sources that might be able to provide similar types of technologies.

12. TECHNICAL OR REQUIREMENTS PERSONNEL CERTIFICATION:

I certify that this requirement meets the Government’s minimum need and that the supporting data, which forms a basis for this justification, is complete and accurate.

PROGRAM MANAGER CONCURRENCE

Name (Printed) Signature Date

13. SMALL BUSINESS CERTIFICATION

I have conducted a search of vendor files in the System for Award Management and the Small Business Administration’s Dynamic Small Business Search to locate potential offerors for this procurement. If any were found, a list is attached.

14. CONTRACTING OFFICER’S CERTIFICATION

I certify that this justification is accurate and complete to the best of my knowledge and belief.