MVN-23-0018 JA Drill Rig 20230713.pdf

FAR subpart 13.5 Simplified Procedures for Certain Commercial Items – Sole Source Justification and Approval

1. Contracting Activity:

U.S. Army Corps of Engineers – New Orleans District 7400 Leake Ave New Orleans, LA 70118

2. Description of Action:

U.S. Army Corps of Engineers – New Orleans District’s Subsurface Exploration Unit (CEMVN-EDG-S) requests a firm-fixed-price sole source contract (Brand Name Description) to acquire a new CME-850XR Rotary Drill Rig, a track-mounted drilling and boring machine capable of providing the full range of subsurface investigation and project support services. Funding for this acquisition come from the Plant Replacement Improvement Program (PRIP) allocation.

Funds are currently available under PRAC W42HEM23208073.

3. Description of Supplies/Services:

See attached “Specifications for CME-850XR Boring and Subsurface Exploration Track-Mounted Drill Machine.”

4. Estimated Cost and Period of Performance:

$606,000, delivery TBD.

5. Reason for Authority Cited:

As described in FAR 13.501, full and open competition need not be provided for when the requirement is for a brand name commercial item. The Subsurface Exploration Unit’s primary equipment currently is a CME-850. Purchased using PRIP funding more than 10 years ago, the rig is increasingly in need of maintenance and repair but remains functional. USACE performs a variety of subsurface investigations such as borrow borings, piezometer installations, and undisturbed Shelby tube sampling. For that type of sampling--which is the bulk of our work--the CME is the only equipment that can perform that kind of sampling.

Over the years USACE has purchased equipment from other manufacturers, but none can address our current requirements. Diedrich Drill, for instance, manufactures a line of similar but smaller equipment and their largest production rig has almost 30% less horsepower than the CME. Another manufacturer, GeoProbe, produces a large array of well drilling and geotechnical investigation equipment, but their products are not capable of performing 48” continuous push sampling, which is a major requirement for sampling to meet USACE standards. The GeoProbe is ideal for borrow borings (general sampling), but it is incapable of performing undisturbed Shelby tube sampling. We currently own equipment from both manufacturers that is suitable for some of our needs. According to market research and experience, only CME produces drill rigs of b2ctwtnh Text Box

MVN-23-0018

the size and power, and with the essential features required for regular sampling operations.

Purchasing a similar newer model from the same manufacturer will directly benefit the Government in several ways.

a. It removes the time and expense that would be incurred if Government employees who operate this equipment had to be trained in the use and maintenance of a different kind of drill rig. The current crew will immediately be familiar with and effective in the operation of a new CME drill rig, even though it is a newer model with more advanced features.

b. The Subsurface Exploration Unit intends to retain the old rig as a back-up and a possible source for replacement parts in an emergency. Many parts for large machines such as drill rigs can only be obtained from the Original Equipment Manufacturer. In an emergency, parts could be salvaged from the current rig to get the new rig up and running with minimal downtime and expense to the Government.

c. Other drilling teams in USACE also utilize CME equipment, which provides the further benefit to the Government if we find ourselves short-handed.

We could then be able to “borrow” drillers from other Districts knowing they are familiar with and can be immediately effective in the operation of our local equipment. Similarly, we could also “loan” our drillers to others when the need arises and reduce costs to the Government. In FY22, for instance, we sent a driller and a geologist to support the Baltimore District with an ongoing construction issue that was made possible because we both operated similar equipment.

6. Efforts to Obtain Competition:

In accordance with FAR 5.202(a)(10), this action will not be synopsized.

a. Effective Competition: Because Central Mine Equipment Co. is the only vendor of the CME-850XR, this is a sole source action, effective competition is not applicable.

b. Subcontracting Competition: Because this is a sole source action, efforts to maximize subcontracting competition will not be applicable.

7. Actions to Increase Competition:

Because Central Mine Equipment Co. is the sole manufacturer and vendor of the CME-850XR, this is a sole source action. Actions to increase competition are not applicable.

8. Market Research:

Additional market research is not warranted since it is the Government’s objective to maximize interoperability and redundancy of resources by purchasing similar equipment to what New Orleans and other Districts with subsurface investigation capabilities are currently using.

9. Technical Certification:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Name: Timothy M. Ruppert, P.E. Date: 13 July 2023

Title: Supervisory Civil Engineer Signature:

10. Fair and Reasonable Cost Determination:

I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable. Certified cost or price data will not be required.

Name: Hillary Morgan Date:01 AUG 2023

Title: Contracting Officer Signature: _______________________

11. Procuring Contracting Officer Certification and Approval:

Based on the above it is hereby determined to be in the best interest of the Government to award to Central Mine Equipment Co. on a sole source basis through the use of other than full and open competition pursuant to FAR 13.106- 1(b)(1)(i). I certify that this justification is accurate and complete to the best of my knowledge and belief.

Name: Hillary Morgan Date:01 AUG 2023

Title: Contracting Officer Signature: _______________________