Upgrade Applanix Digital Aerial Imaging Systems

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION I. Contracting Organization: Agency: National Oceanic and Atmospheric Administration (NOAA) Contracting Activity: Acquisition and Grants Office (AGO), Eastern Acquisition Division Program Office: NOAA/NOS/NGS Remote Sensing Division (RSD) II. Description of Action: The Department of Commerce, Office of Acquisition and Grants (AGO), National Oceanic and Atmospheric Administration (NOAA), Eastern Region Acquisition Division (ERAD), Norfolk, VA proposes to enter into a contract with Applanix Corporation (a wholly owned subsidiary of Trimble), to upgrade Applanix airborne Digital Sensor Systems (DSS) currently owned by RSD and purchase a new DSS unit. Additionally, the acquisition would include extended DSS hardware/software licenses and warranties for all systems for the base period and two terms thereafter (via option items) on the basis of Other Than Full and Open Competition. This acquisition is authorized and entirely funded by The Disaster Relief Appropriations Act of 2013 (PL 113-2, aka the "Super Storm Sandy Supplemental"). This is a one time purchase, with an estimated delivery date of 90 days after receipt of a contract for the upgrades as well as the redundancy DSS unit and a period of 12 months for the hardware/software extended warranty, per term. This acquisition is considered a commercial item (supply) and is being conducted pursuant to FAR Part 13.5, "Test Program for Certain Commerical Items". III. Description of the Services Needed: The contractor, Applanix Corporation, will upgrade one (1) existing APPLANIX DSS 439 DualCam Red, Green, Blue/Near Infrared (RGB/NIR) to its DSS 500 DualCam RGB/NIR with 80 megapixel (MP) RGB and 60 MP NIR camera; upgrade one (1) existing DSS 439 SingleCam (RGB only) to its DSS 539 DualCam (RGB only); provide one (1) APPLANIX DSS 539 SingleCam (RGB only); renew POSPac software maintenance/licensing of the two upgraded APPLANIX systems; renew and/or provide extended hardware and software maintenance of the APPLANIX systems. The total estimated value of this action (including warranty options) is $1,488,147.26. NOAA is congressionally mandated to survey the Nation's shoreline. These Digital Sensor Systems are critical tools used by NOS to accomplish its Coastal Mapping Program, the Aeronautical Survey Program, research and development projects, emergency response activities related to natutural disasters, and other special projects. The NOAA NOS has historically used aerial mapping imaging/camera systems to perform these and other critical missions. Upgrading and expanding existing, in-place systems will provide increased mission capability via improved image resolution, the ability to capture both nadir and oblique imagery, and system redundancy for increased capacity, and reliability. Specifically, upgrading the DSS 439 to a DSS 500 which is operated on NOAA's King Air aircraft, will provide a higher resolution (80 megapixels versus 39 megapixels) allowing the aircraft to operate at higher and more efficient altitudes; upgrading the DSS 439 to a DSS 539 will allow for dual oblique, vertical assessment of features. The upgraded oblique camera will be operated in conjunction with the upgraded nadir camera (DSS 500) to provide a seamless nadir/oblique product. The dual, oblique field-of-view will produce images that will allow assessment of the sides of structures/buildings (not just roofs). This is extremely beneficial for post storm damage assessment. The purchase of a new SingleCam DSS will provide much needed redundancy for dual aircraft operations when there is a large scale event, such as Hurrricane Sandy or Katrina. This system will be operated onboard NOAA's fleet of Twin Otter aircraft. When not being used for post storm missions, it will be used to collect imagery alongside NOAA's topographic-bathymeteric lidar to capture visible imagery for comparison against collected lidar data. IV. Statutory Authority Permitting Other than Full and Open Competition: This acquisition is being conducted on a sole source basis pursuant to Federal Acquisition Regulation 13.5, Test Program for Certain Commercial Items, Subpart 501(a)(1)(ii), Special Documentation Requirements. V. Nature of Acquisition Requiring Use of Other than Full and Open Competition The proposed contractor (Applanix) is the original (and only) equipment manufacturer (OEM) of Digital Sensor Systems to be upgraded. These systems contains existing proprietary hardware and software, such that only Applanix possesses the knowledge necessary to engineer the upgrade(s) of the existing systems. Only Applanix can ensure a fully operational upgrade that is completely compatible with existing systems and ensure the system(s) performs within stringent operating tolerances. Lastly, only the OEM can preserve the warranty and service contract(s) inherent in the original system contract purchase. NOAA's fleet of Applanix Digital Sensor Systems, collectively, must be compatible and interchangeable. This is true from an operating standpoint, as well as a data collection and processing standpoint; as all of RSD's GIS workflows are standardized and based on Applanix hardware and software. As such, no other systems can be integrated into NOAA's DSS fleet that is not of the same proprietary hardware and software. For NOAA to attempt to purchase the upgrades and the new redundancy unit from another source, NOAA would need to develop a sufficient product design specification to send to potential manufacturers because the current design specs are proprietary to Applanix. The cost of required custom engineering, testing and air trials would add significantly to the ultimate price as would the cost for customizing/adapting a new camera system to NOAA aircraft, retraining staff, and reconfiguring existing workflows. In addition, it would be highly uncertain as to when the product would be ready for delivery and use. The RSD has an immediate need for these upgrades and the redundancy unit in order to support legally mandated mapping and charting requirements as part of the The Disaster Relief Appropriation Action of 2013. VI. Efforts to Solicit from Other Sources On February 6, 2014 a Sources Sought Notice was published in the Government-wide Point of Entry (GPE) located at http://www.fedbizopps.gov. The closing date for interested parties to submit a response was February 21, 2014. No responses were received. On March 5, 2014 a Notice of Intent was published on http://www.fedbizopps.gov. The closing date to submit a response was March 20, 2014. No responses were received. VII. Determination of Fair and Reasonable Cost The estimated price for the acquisition is $1,488,147.00 (including warranty options). The Contracting Officer will determine fair and reasonableness by comparing the offered price with the Independent Government estimate and historical prices paid for same or similar systems with Applanix, as well as other commercial companies that provide sensors. VIII. Market Research: Additional market research was not conducted for this acquisition as there is no expectation that it will yield capable sources for the reasons discussed in Section V above. IX. Other Facts: None. X. Interested Sources: None known. XI. Action to Remove or Overcome Barriers: Actions taken to remove or overcome barriers to competition in the future is limited at this time as it is predicated on a full replacement once the equipment has reached its full lifecycle and can no longer be upgraded. Any such future replacement will be conducted on a full and open basis.