Statement of Work Peanut Verification Services June 2024 Amendment P01.pdf

U.S. Department of Agriculture (USDA), Agricultural Marketing Service (AMS)

STATEMENT OF WORK (SOW)

SOLICITATION NUMBER: 12639524Q0205

SOLICITATION ISSUE DATE: June 14, 2024

PEANUT STANDARDS VERIFICATION SERVICES

UNITED STATES DEPARTMENT OF AGRICULTURE (USDA),

AGRICULTURAL MARKETING SERVICE (AMS), SPECIALTY

CROPS PROGRAM (SCP)

PERIOD OF PERFORMANCE: One Year Base Period, with Four One-Year Option Periods (5 Years Total)

Base Period: 09/01/2024 – 08/31/2025

Option Period I: 09/01/2025 – 08/31/2026

Option Period II: 09/01/2026 – 08/31/2027

Option Period III: 09/01/2027 – 08/31/2028

Option Period IV: 09/01/2028 – 08/31/2029

A.1 Standard Form 1449

THIS PAGE IS INTENTIONALLY LEFT BLANK

SECTION A: SOLICITATION

B.1 Description of Services The United States Department of Agriculture (USDA), Agricultural Marketing Service (AMS), Specialty Crops Program (SCP) has a need for contractor-provided peanut standards verification services.

Services may be required nationwide, but primarily in Alabama, Florida, Georgia, New Mexico, North Carolina, Oklahoma, Texas, and Virginia.

Under this contract, the Contractor shall provide all management, supervision, labor, and subcontracts necessary to provide the required services described in this solicitation.

B.2 Pricing of Services This is a Firm Fixed-Price contract and will not be changed unless there is a change in the scope of work. After exercising a renewal option, and upon the Contractor’s request within thirty (30) days of receiving a new wage determination, the contract price will be adjusted in accordance with FAR 52.222-43 Fair Labor Standards Act and Service Contract Labor Standards-Price Adjustment (Multiple Year and Option Contracts).

B.3 Wage Adjustment After exercising a renewal option, and upon the Contractor’s request within thirty (30) days of receiving a new wage determination, the contract price will be adjusted in accordance with FAR 52.222-43 Fair Labor Standards Act and Service Contract Labor Standards-Price Adjustment (Multiple Year and Option Contracts).

Wage adjustments will only be considered for disciplines as proposed, approved, and verified as currently working on the contract at the time of the wage adjustment. In accordance with FAR 52.222-43 the contractor must request the wage adjustment and shall provide all relevant supporting data, including payroll records to reflect the Contractor's actual increase or decrease in applicable wages and fringe benefits to the extent that the increase is made to comply with or the decrease is voluntarily made by the Contractor as a result of: (1) The Department of Labor wage determination applicable on the anniversary date of the multiple year contract, or at the beginning of the renewal option period.

SECTION B: SERVICES, ORDERING AND PRICES

C.1 Background:

The Farm Security and Rural Investment Act of 2002 (Farm Bill) requires all peanuts marketed in the United States to be inspected and graded by Federal or Federal-State inspectors. Imported peanuts are subject to the same quality and handling standards as domestically produced peanuts. As provided under the Farm Bill, the Peanut Standards Board (Board), which is comprised of peanut industry members, consults with USDA on the establishment and revision of peanut standards. Peanuts in the United States are produced and marketed with the support of Department of Agriculture (USDA) agencies including the Agricultural Marketing Service (AMS) and the Farm Service Agency (FSA), as well as the Food and Drug Administration (FDA). Several State and private agencies assist locally throughout various parts of the marketing chain.

C.1.1 Quality and Standards:

The Minimum Quality and Handling Standards for Domestic and Imported Peanuts Marketed in the United States (Standards), as amended (7 CFR part 996), were established in 2002 and further modified in 2003, 2005, 2016, and 2018. The Standards regulate both the incoming quality of farmers’ stock peanuts and the outgoing quality of peanuts prepared for human consumption. The Standards are applicable to all peanuts produced in or imported into the United States. Grading and inspections are performed by Federal or Federal-State inspectors authorized by AMS, Specialty Crops Program (SCP), and Specialty Crops Inspection Division. Aflatoxin testing and certification is performed by USDA or USDA approved laboratories authorized by AMS, Science and Technology Program. Working closely with the AMS, SCP Market Development Division (MDD), which oversees the Standards, the contractor verifies compliance with the Standards through visits to handler facilities and review of inspection and certification documentation. The contractor prepares and forwards case referrals regarding violations to MDD for enforcement action.

C.1.2 Incoming and Outgoing Inspection Processes:

After harvesting and field drying, “farmers stock” peanuts (harvested peanuts that have not been shelled, cleaned, or crushed) are delivered to a buying point. Buying points are facilities owned by handlers to acquire, inspect, and store peanuts delivered from producers. Buying points are usually located within a few miles of where the peanuts are harvested. Upon arrival, peanuts are inspected, graded, and segregated to establish the field-run quality and value of the product.

Authorized Federal or Federal-State inspectors draw samples by inserting a pneumatic sampler (a long tube with a vacuum attached) into the peanuts in the wagon and withdrawing a representative quantity of peanuts according to a specified methodology. From this sample, the inspector determines the milled content, size of pods, percentage of damaged kernels, amount of foreign material, and kernel moisture content. These values are used to determine the grade and segregation of the incoming peanuts.

SECTION C: DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

The Standards define three classifications of incoming peanuts: Segregation I, Segregation II, and Segregation III. The classifications refer to the amount of damage and defects found on the kernels. Peanuts move on to the shelling process, where they are stored at handlers’ large, bulk warehouses. Upon removal from the warehouse, the peanuts are cleaned of stones, soil, bits of vines, and other foreign material. The cleaned peanuts then move by conveyor belt through a pre-sizer and onto shelling machines, in which the peanuts are forced through perforated grates, which separate the kernels from the shells.

Numerous shakers separate the kernels from the pods. The kernels are then passed over various screens where they are sorted by size into market grades. The kernels also pass over moisture meters to determine the average moisture content of the peanut kernels. The kernels are further inspected with electronic eyes, which eliminate the discolored or defective kernels, as well as any remaining foreign material.

Following the cleaning and shelling process, inspectors take samples of the “milled” product for use in the outgoing quality inspection. Imported lots are sampled and inspected at the port-of-entry or at some other location upon arrival in the U.S. All lots are tracked using positive lot identification (PLI) or other established traceability systems which follow the peanuts through the remaining inspection, testing, and marketing chain. The samples are analyzed for moisture, damage, defect, and foreign material. Additional samples are drawn and sent to USDA or USDA-approved laboratories for aflatoxin analysis. A total of up to three tests, as specified in § 996.40 of the Standards, may be required to determine whether the lot is “negative” for aflatoxin, meaning that the aflatoxin content is 15 parts per billion (ppb) or less §

996.15. If so, the lot is certified and may be shipped for human consumption. Lots failing for grade or aflatoxin may be remilled or blanched, prior to retesting. Otherwise, failing lots are so identified and may be diverted for exempted uses, or may be exported.

C.1.3 Accountability:

All peanut handlers, importers, remillers, and blanchers are required to maintain traceability on all products (passing and failing) that have been milled and blanched.

Traceability must be maintained throughout production runs with specific lot codes, and there shall be complete linkage from raw material receipt through final disposition.

Handlers and importers are required to maintain all relevant documentation on the disposition of inedible peanuts as part of their food safety traceability requirements.

The documentation maintained must be sufficient to document and substantiate the proper disposition of all peanuts failing grade or aflatoxin quality standards.

The contractor monitors and tracks inspection results and outgoing grade and aflatoxin testing results (approximately 90,000 annually) electronically, or presents a plan for implementing practices to reduce the use of paper, as in accordance with the Paperwork Reduction Act of 1995. In addition, the contractor is responsible for monitoring and tracking the final disposition of imported lots and lots of exported U.S.

peanuts that are returned to the U.S.

C.1.4 Violations:

It is a violation of the Standards for handlers or importers to receive or acquire peanuts intended for subsequent human consumption unless those peanuts have been inspected and certified as meeting the incoming quality requirements specified under §

996.30 of the Standards.

It is a violation of the Standards for handlers or importers to ship for human consumption shelled or cleaned inshell peanuts that have not been positive lot identified by an authorized inspector as required under § 996.40(a) of the Standards.

It is a violation of the Standards for handlers or importers to ship for human consumption peanuts that have not been chemically analyzed by a USDA or USDA-approved laboratory and certified “negative” as to aflatoxin as specified under §§ 996.31 – 996.60 of the Standards.

It is a violation of the Standards for handlers or importers to ship for human consumption peanuts that have not been inspected and certified as meeting the outgoing minimum quality requirements as specified under §§ 996.31 – 996.60 of the Standards.

It is a violation of the Standards for handlers or importers to fail to submit or maintain records as specified under § 996.71 of the Standards.

C.2 Objective:

The contractor’s primary objective is to verify handler and importer compliance with the established Standards.

C.3 Scope:

AMS provides program oversight and requires the services of a private contractor (contractor) for verification of compliance with the Standards. The contractor will be responsible for performing the required duties as defined in the Standards and listed below under accountability, compliance, and violations.

C.3.1 Accountability:

The contractor must be able to obtain proof in the form of documentation from the peanut handler that supports the final disposition of failing and remilled lots as part of an audit or an investigation into an alleged violation. The contractor will maintain an electronic database capable of tracking all aflatoxin testing and grade results, from all handlers, detailing the meeting and failing outgoing quality requirements for all peanuts, or implement practices to reduce the use of paper, as in accordance with the Paperwork Reduction Act of 1995. The contractor will be responsible for generating and submitting quarterly reports from the database for all aflatoxin testing and grade results to MDD electronically.

C.3.2 Compliance:

The contractor’s compliance efforts focus on ensuring that failing and non-edible quality grades of peanuts do not enter the human consumption marketing chain.

Periodic audit verifications of shelling plants, blanchers, and crushers is a necessary component of the compliance program.

The frequency of visits to handler facilities depends upon the size of the operation, its activities, and recent history of compliance issues. Regular communications between the inspectors and the contractor is essential in monitoring the activities at different handler operations. This includes notifying AMS and assisting with the compliance activities as described in the Standards under section 996.74 Compliance.

C.3.3 Violations:

The contractor is responsible for investigating all complaints of alleged violations.

The contractor must maintain an electronic internal record keeping system of complaints received and electronically document follow-up actions taken, and final disposition.

The contractor must report all violation cases to AMS even if the handler or importer took corrective action. The contractor will send violation cases to AMS as case referrals, in electronic format, for review and potential action immediately after substantiating the violations. Referrals should include sufficient information to describe all of the facts of the case and provide all of the necessary documentation to substantiate the violation on its merits. The contractor must ensure that adequate evidence or exhibits have been collected that support the allegations, such as milled peanut inspections, photographs, statements from witness statements, and disposition of the product, etc. Determination of adequate evidence is made on a case-by-case basis as appropriate.

C.4 Contractor Duties, Responsibilities and Deliverables:

1. Compliance Oversight:

a. Conducts handler visits as needed to observe and confirm compliance with the Peanut Standards.

b. Ensures blanchers and remillers are in compliance with the Standards (includes providing AMS with reports).

c. Observes cold storage areas and loading docks, if applicable.

d. Conducts handler audits in accordance with the Contractor’s inspection/audit plan that must be submitted to and approved by the USDA Technical Point of Contact prior to use..

e. Receives, investigates, documents, and electronically reports to AMS complaints of violations.

f. Prepares correspondence relating to compliance and/or enforcement activities, such as reports of compliance activity for organizations, recommendations for corrective actions, or other correspondence as per AMS guidance.

g. Tracks and monitors compliance of all outgoing peanut inspection certificates.

h. Tracks and maintains electronic records of all aflatoxin lab certificates.

i. Monitors compliance of lots re-designated as non-edible (including incoming inspection certificates).

j. Monitors compliance of AMS policies and discusses compliance issues with handlers and AMS MDD personnel.

2. Reporting and Record Keeping Responsibilities:

a. Assembles, compiles, and analyzes all information necessary in connection with the performance of the official duties of the contractor.

b. Keeps any Personally Identifiable Information (PII) confidential.

c. Maintains all books and records in accordance with AMS policies and procedures.

d. Prepares and completes on a monthly-basis, a services report regarding the actions performed in the prior month. This report must include a summary of the current data for each crop year (typically up to four crop years at any given time), including positive lots, lots failing grade, non-edible lots, and lots going to wildlife feed.

e. Employs periodic updates in technology to ensure timely and efficient reporting of requested information, and for the tracking of compliance efforts.

f. Documents are handled electronically or practices to reduce the use of paper are implemented, as in accordance with the Paperwork Reduction Act of 1995.

g. Prepares and submits electronic reports regarding compliance activities, including, but not limited to, the number of handler visits, failed certificates reviewed, and corrective actions taken on a monthly basis (including submitting quarterly reports to the USDA Technical Point of Contact for USDA to submit to the FDA).

3. Program Consultation and Updates:

a. Consults with AMS regarding the potential impacts of adjustments to the

Standards in terms of compliance.

b. Visits with MDD to review and evaluate the work specified in the contract, including, but not limited to, two in person visits with MDD’s Winter Haven, Florida office, and one in person visit with MDD’s Washington, D.C-based staff each year.

c. Updates MDD on changes and improvements to document retention, communication, and database technologies.

d. Provides background information regarding the status of the industry and the contract as requested.

e. Notifies and seeks AMS approval regarding any request for information from outside sources.

4. Enforcement Activities:

a. Prepares and submits case referral reports in a timely manner (depending upon the scope and complexity of each case) for enforcement purposes by

AMS.

b. Provides AMS with additional information on compliance cases, upon request.

C.5 Contract Overview and Period of Performance

USDA anticipates awarding one (1) Firm-Fixed Price contract from this solicitation. It is anticipated that the period of performance for the Base Period will be September 1, 2024 through August 31, 2025, with four (4) one-year option periods thereafter.

C.6 Places of Performance:

The Contractor must provide peanut verification services throughout the continental United States, but mostly in the following states: Alabama (AL);

Florida (FL); Georgia (GA); New Mexico (NM); North Carolina (NC);

Oklahoma (OK); Texas (TX); Virginia (VA).

C.7 Points of Contact:

Contract Specialist:

Matthew Phillips

USDA, APHIS, MRP

Acquisition and Asset Management Divison Direct: 479-301-8811 Matthew.Phillips3@usda.gov

Contracting Officer:

Leah Schultz

USDA, APHIS, MRP

Acquisition and Asset Management Divison Direct: 612-336-3625 Leah.h.Schultz@usda.gov

Technical Point of Contact:

Richard Lower

USDA, AMS, SCP-MDD

Direct: 202-557-4777 Richard.Lower@usda.gov

Invoice (IPP) Approver:

Serita Daniel

USDA, AMS

Direct: 202-557-0325 Serita.Daniel@usda.gov

C.8 Qualifications of Key Personnel (Project Manager):

The Contractor must submit resumes for all new employees proposed as “key personnel” to the USDA Technical Point of Contact before they begin work during the entirety of the contract period of performance (base and all option periods). The USDA Technical Point of Contact may deny permission to allow new personnel to provide services under this contract if qualifications indicate a material degradation from the skill levels indicated in the mailto:Matthew.Phillips3@usda.gov mailto:Leah.h.Schultz@usda.gov mailto:Richard.Lower@usda.gov mailto:Richard.Lower@usda.gov mailto:Serita.Daniel@usda.gov

Contractor’s quotation that was accepted by USDA for contract award, or if skills or reliability concerns are such that the USDA Technical Point of Contact believes the protection of building equipment may be jeopardized.

Minimum Qualifications of Key Personnel: The intent of this paragraph is to be for informational purposes only and is not to be considered prescribed positions by the Government. However, the Contractor must adhere to the below minimum qualifications when the positions are utilized and proposed in the Performance Work Statement. Resumes for Key Personnel must be submitted with the contractor’s quotation.

Contract Project Manager: The Contractor must designate a Contract Project Manager in writing and provide the name and contact information to the USDA Contracting Officer and USDA Technical Points of Contact. The Contract Project Manager is considered essential to the work being performed under this Contract.

The Contract Project Manager must possess at least five (5) years of recent (within the past seven years) experience in the management and supervision of maintaining and troubleshooting complex conveyance & automation systems. A detailed resume must be submitted to the USDA Contracting Officer and USDA Technical Point of Contact for approval prior to the assignment of the Project Manager to the Contract. Both new and replacement Project Managers must meet these qualification standards. Minimally, the resume must contain:

a. The full name of the proposed project manager.

b. A detailed description of the proposed project manager’s employment history for the previous seven years. The names and addresses of the companies for whom the proposed project manager worked for the past seven years, along with the names and telephone numbers of the immediate supervisors. The resume must contain sufficient information for the USDA to be able to determine that the proposed Project Manager possesses the required relevant experience.

Any request for substitution of Key Personnel after contract award must include a detailed explanation of the circumstances necessitating the proposed substitution, a resume for the proposed substitute, and any other information requested by the Contracting Officer. Any proposed substitute must have qualifications equal to or superior to the qualifications of the incumbent. The USDA Technical Point of Contact will evaluate such requests and promptly notify the Contractor of their approval or disapproval thereof.

If any of the identified Key Personnel cease to perform under the contract and the substitute is disapproved, the contract may be immediately terminated in accordance with the termination clause of the contract.

C.9 Employee Training:

The Contractor must maintain a training program to ensure employees working under this Contract have the experience, knowledge, skills and abilities to perform the work required by this Contract.

C.10 Appearance:

Contractor personnel must present a neat appearance and be easily recognized. This must be accomplished by wearing uniforms bearing the name of the company and employee name. Uniforms must be regularly laundered, consistent among personnel classifications, and maintained presentable to tenant personnel during all working hours.

C.11 Personnel Security Requirements:

Contractors must comply with the personal identity verification (PIV) policies and procedures established by the AGAR Advisory No. 81, Revision 03 dated July 19, 2010

– Common Identification Standard for Contractors.

https://www.dm.usda.gov/procurement/policy/advisories.htm

In addition, procedures to be followed by Contractors and Contractor employees are specified in the Departmental Regulation and Departmental Manual (DM) 4620-002.

Copies can be downloaded from the website at http://hspd12.usda.gov

In accordance with the USDA policy and directives, a Background Investigation of the personnel working under this contract is required prior to commencing services as well as maintaining it throughout the duration of the contract. The Contractor must, through their own internal background investigation protocol and pre-employment investigation, ensure that each contractor employee submitted for a federal background investigation is reasonably expected to receive a favorable adjudication of their respective investigation.

The USDA will pay for the required federal background investigation. The government must have and exercise full and complete control over granting, denying, withholding, or termination the background investigation clearance for employees.

All Contractor personnel that will have access to the USDA facility will be required to have, a Tier 1, Low Risk – Non-Sensitive background investigation with no less than favorably adjudicated results. Once approved and working at the facility, the Contractor personnel must not be removed or diverted from the site without prior notification to the Contracting Officer.

The Contractor must not employ persons for work on this contract if such employee is considered by the USDA to be a potential threat to health, safety, general well-being or operational mission of USDA and its employees and property. If the USDA finds a prospective employee to be unsuitable for his or her assigned duties, the contractor will be advised immediately that such employee cannot continue to work or be assigned to work under the contract.

The USDA Technical Point of Contact or other agency designated point of contact will assist the contractor, where practical, with the background investigation process and the https://www.dm.usda.gov/procurement/policy/advisories.htm http://hspd12.usda.gov/ associated paperwork.

The Contractor must provide to the USDA Personal Identity Verification Sponsor and the Personnel Security Specialist the information required to initiate the background investigation, including information on previous Office of Personnel Management background investigations or clearances conducted by the contractor. The Contractor must ensure that prime and subcontractor employees requiring background investigations complete and submit the proper paperwork and forms. You can obtain further guidance from the Personnel Security Specialist who oversees the investigation process for contractors:

USDA, APHIS, MRP-BS, HRD, HRO

Personnel Security Section Attn: Tenzing Choekyi, Personnel Security Specialist (AMS Contractors), (612) 336- 3486, Tenzing.Choekyi@usda.gov Attn: Kelly Ashford, Personnel Security Assistant (AMS Contractors), (612) 336-3351, Kelly.Ashford@usda.gov 250 Marquette Ave STE 410 Minneapolis, MN 55401-2329

For further information and reference on the USDA personnel security requirements please see the document entitled AGAR Advisory 81 entitled “Common Identification Standard for Contractors” at https://www.dm.usda.gov/procurement/policy/docs/Proc%20Adv%20081%20C.pdf

C.12 Credentials and Identification:

Contractor personnel with credentials must be required to comply with all access security screening procedures applicable to Government or other personnel possessing similar credentials, or as determined by the building practices as defined by the Facility Security Committee. All Contractor personnel possessing credentials (PIV or otherwise) must visibly display their credentials at all times while in the building(s) where work is being performed.

The Contractor must be responsible for ensuring that all identification credentials are returned to the COR whenever its employees leave the Contract (i.e., when the Contract has been completed, employees leave the company, employees are dismissed or terminated, or the Government determines that the employee is to be removed from the contract). Whenever employee badges are lost the contractor must immediately file a “lost PIV” incident report with the Department of Homeland Security (DHS), Federal Protective Service (FPS) and provide a copy of the incident report (including incident number) to the COR. The Contractor must be responsible for paying the Government for replacement credentials at the current cost per badge.

The Government will withhold final payment until such time as all employee badges (PIV or otherwise) have been collected and returned to the COR. Any badges not returned as an employee departs, or at contract conclusion must be accompanied by a DHS FPS incident report for each badge and a fee of $100 per badge not returned must be deducted from the contract payment amount.

C.13 Escorting:

Temporary contract employees who do not have favorable preliminary or final suitability determinations and need to work in non-public federally controlled space must be escorted. In those cases, the Contractor must comply with the security clearance procedures for Escort Only Contractors. All uncleared contract employees must be escorted in non-public space by a Government employee or another responsible cleared contract employee who is approved by the USDA Technical Point of Contact.

Government employees or approved cleared contract employees who provide escorts for uncleared contract employees must always be within eyesight of the uncleared contract employees. The Contract Government escort must watch uncleared employees and remain with uncleared contract employees for the entire time they are in non-public federally controlled space. Any security violation of escort requirements by a cleared and approved contract employee must result in the immediate removal from the Contract of all contract employees involved, i.e., escorts and uncleared escorted contract employees. Also, violations of escort requirements by subcontract employees in accordance with security requirements must be grounds for loss of facility access for those individuals or grounds for termination of Contract, or both.

C.14 Submission of Invoices:

Payment for firm fixed-price monthly services will be made based on a monthly invoice, in arrears. All invoices must be submitted electronically, on a monthly-basis, via the Invoice Processing Platform (IPP) located at www.ipp.gov.

file://COFCMRFS11/AAPMNMIMR_Info/Administrative%20Services/Procurement/Contracting/Matthew%20Phillips/FY%202024/Req%201120555%20Peanut%20Verification/www.ipp.gov

D.1 The following Federal Acquisition Regulation (FAR) clauses are hereby incorporated by reference:

FAR 52.252-2 Clauses Incorporated by Reference. (Feb 1998) This contract incorporates one or more clauses by reference, with the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available. Also, the full text of a clause may be accessed electronically at this/these address(es): http://www.acquisition.gov/far.

Clause Title Date

FAR 52.202-1 Definitions Jun 2020

FAR 52.203-12 Limitation on Payments to Influence Certain Federal Transactions

Jun 2020

FAR 52.204-13 System for Award Management Maintenance Oct 2018

FAR 52.204-19 Incorporation by Reference of Representations and Certifications

Dec 2014

FAR 52.212-4 Contract Terms and Conditions-Commercial Products and Commercial Services

Nov 2023

FAR 52.227-1 Authorization and Consent Jun 2020

FAR 52.227-2 Notice and Assistance Regarding Patent and Copyright Infringement

Jun 2020

FAR 52.229-3 Federal, State, and Local Taxes Feb 2013

FAR 52.232-11 Extras Apr 1984

FAR 52.233-1 Disputes-Alternate I Dec 1991

FAR 52.233-2 Service of Protest Sep 2006

FAR 52.242-13 Bankruptcy Jul 1995

FAR 52.246-4 Inspection of Services—Fixed-Price Aug 1996

SECTION D: CLAUSES

http://www.acquisition.gov/far

FAR 52.253-1 Computer Generated Forms Jan 1991

D.2 The following FAR/ Agriculture Acquisition Regulation (AGAR) clauses are hereby incorporated by full text:

FAR 52.204-1 Approval of Contract. (Dec 1989) This contract is subject to the written approval of the USDA Contracting Officer and shall not be binding until so approved.

(End of clause) FAR 52.204-21 Basic Safeguarding of Covered Contractor Information Systems.

(Nov 2021)

(a) Definitions. As used in this clause— Covered contractor information system means an information system that is owned or operated by a contractor that processes, stores, or transmits Federal contract information.

Federal contract information means information, not intended for public release, that is provided by or generated for the Government under a contract to develop or deliver a product or service to the Government, but not including information provided by the Government to the public (such as on public websites) or simple transactional information, such as necessary to process payments.

Information means any communication or representation of knowledge such as facts, data, or opinions, in any medium or form, including textual, numerical, graphic, cartographic, narrative, or audiovisual (Committee on National Security Systems Instruction (CNSSI) 4009).

Information system means a discrete set of information resources organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of information ( 44 U.S.C. 3502).

Safeguarding means measures or controls that are prescribed to protect information systems.

(b) Safeguarding requirements and procedures.

(1) The Contractor shall apply the following basic safeguarding requirements and procedures to protect covered contractor information systems. Requirements and procedures for basic safeguarding of covered contractor information systems shall include, at a minimum, the following security controls:

(i) Limit information system access to authorized users, processes acting on behalf of authorized users, or devices (including other information systems).

(ii) Limit information system access to the types of transactions and functions that authorized users are permitted to execute.

(iii) Verify and control/limit connections to and use of external information systems.

(iv) Control information posted or processed on publicly accessible information systems.

http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3

(v) Identify information system users, processes acting on behalf of users, or devices.

(vi) Authenticate (or verify) the identities of those users, processes, or devices, as a prerequisite to allowing access to organizational information systems.

(vii) Sanitize or destroy information system media containing Federal Contract Information before disposal or release for reuse.

(viii) Limit physical access to organizational information systems, equipment, and the respective operating environments to authorized individuals.

(ix) Escort visitors and monitor visitor activity; maintain audit logs of physical access;

and control and manage physical access devices.

(x) Monitor, control, and protect organizational communications (i.e., information transmitted or received by organizational information systems) at the external boundaries and key internal boundaries of the information systems.

(xi) Implement subnetworks for publicly accessible system components that are physically or logically separated from internal networks.

(xii) Identify, report, and correct information and information system flaws in a timely manner.

(xiii) Provide protection from malicious code at appropriate locations within organizational information systems.

(xiv) Update malicious code protection mechanisms when new releases are available.

(xv) Perform periodic scans of the information system and real-time scans of files from external sources as files are downloaded, opened, or executed.

(2) Other requirements. This clause does not relieve the Contractor of any other specific safeguarding requirements specified by Federal agencies and departments relating to covered contractor information systems generally or other Federal safeguarding requirements for controlled unclassified information (CUI) as established by Executive Order 13556.

(c) Subcontracts. The Contractor shall include the substance of this clause, including this paragraph (c), in subcontracts under this contract (including subcontracts for the acquisition of commercial products or commercial services, other than commercially available off-the-shelf items), in which the subcontractor may have Federal contract information residing in or transiting through its information system.

(End of clause) FAR 52.212-5 Contract Terms and Conditions Required To Implement Statutes or Executive Orders—Commercial Products and Commercial Services. (Feb 2024)

(a) The Contractor shall comply with the following Federal Acquisition Regulation (FAR) clauses, which are incorporated in this contract by reference, to implement provisions of law or Executive orders applicable to acquisitions of commercial products and commercial services:

(1) 52.203-19, Prohibition on Requiring Certain Internal Confidentiality Agreements or Statements (JAN 2017) (section 743 of Division E, Title VII, of the Consolidated and Further Continuing Appropriations Act, 2015 (Pub. L. 113-235) and its successor provisions in subsequent appropriations acts (and as extended in continuing resolutions)).

(2) 52.204-23, Prohibition on Contracting for Hardware, Software, and Services Developed or Provided by Kaspersky Lab Covered Entities (DEC 2023) (Section 1634 of Pub. L. 115-91).

(3) 52.204-25, Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services or Equipment. (NOV 2021) (Section 889(a)(1)(A) of Pub. L. 115- 232).

(4) 52.209-10, Prohibition on Contracting with Inverted Domestic Corporations (NOV 2015).

(5) 52.232-40, Providing Accelerated Payments to Small Business Subcontractors (MAR 2023) ( 31 U.S.C. 3903 and 10 U.S.C. 3801).

(6) 52.233-3, Protest After Award (AUG 1996) ( 31 U.S.C. 3553).

(7) 52.233-4, Applicable Law for Breach of Contract Claim (OCT 2004) (Public Laws 108-77 and 108-78 ( 19 U.S.C. 3805 note)).

(b) The Contractor shall comply with the FAR clauses in this paragraph (b) that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial products and commercial services:

[Contracting Officer check as appropriate.]

X_ (1) 52.203-6, Restrictions on Subcontractor Sales to the Government (JUN 2020), with Alternate I (NOV 2021) ( 41 U.S.C. 4704 and 10 U.S.C. 4655).

__ (2) 52.203-13, Contractor Code of Business Ethics and Conduct (NOV 2021) ( 41 U.S.C. 3509)).

__ (3) 52.203-15, Whistleblower Protections under the American Recovery and Reinvestment Act of 2009 (JUN 2010) (Section 1553 of Pub. L. 111-5). (Applies to contracts funded by the American Recovery and Reinvestment Act of 2009.)

__ (4) 52.203-17, Contractor Employee Whistleblower Rights (NOV 2023) ( 41 U.S.C.

4712); this clause does not apply to contracts of DoD, NASA, the Coast Guard, or applicable elements of the intelligence community—see FAR 3.900(a).

https://www.acquisition.gov/far/part-52#FAR_52_203_19 https://www.acquisition.gov/far/part-52#FAR_52_204_23 https://www.acquisition.gov/far/part-52#FAR_52_204_25 https://www.acquisition.gov/far/part-52#FAR_52_209_10 https://www.acquisition.gov/far/part-52#FAR_52_232_40 https://www.govinfo.gov/link/uscode/31/3903 https://www.govinfo.gov/link/uscode/10/3801 https://www.acquisition.gov/far/part-52#FAR_52_233_3 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_233_4 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_203_6 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.govinfo.gov/link/uscode/10/4655 https://www.acquisition.gov/far/part-52#FAR_52_203_13 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_203_15 https://www.acquisition.gov/far/part-52#FAR_52_203_17 https://www.govinfo.gov/link/uscode/41/4712 https://www.govinfo.gov/link/uscode/41/4712 https://www.acquisition.gov/far/part-3#FAR_3_900

X_ (5) 52.204-10, Reporting Executive Compensation and First-Tier Subcontract Awards (JUN 2020) (Pub. L. 109-282) ( 31 U.S.C. 6101 note).

__ (6) [Reserved].

X_ (7) 52.204-14, Service Contract Reporting Requirements (OCT 2016) (Pub. L. 111- 117, section 743 of Div. C).

__ (8) 52.204-15, Service Contract Reporting Requirements for Indefinite-Delivery Contracts (OCT 2016) (Pub. L. 111-117, section 743 of Div. C).

X_ (9) 52.204-27, Prohibition on a ByteDance Covered Application (JUN 2023) (Section 102 of Division R of Pub. L. 117-328).

__ (10) 52.204-28, Federal Acquisition Supply Chain Security Act Orders—Federal Supply Schedules, Governmentwide Acquisition Contracts, and Multi-Agency Contracts. (DEC 2023) ( Pub. L. 115–390, title II).

X_ (11)

(i) 52.204-30, Federal Acquisition Supply Chain Security Act Orders—Prohibition. (DEC 2023) ( Pub. L. 115–390, title II).

__ (ii) Alternate I (DEC 2023) of 52.204-30.

X_ (12) 52.209-6, Protecting the Government’s Interest When Subcontracting with Contractors Debarred, Suspended, or Proposed for Debarment. (NOV 2021) ( 31 U.S.C. 6101 note).

X_ (13) 52.209-9, Updates of Publicly Available Information Regarding Responsibility Matters (OCT 2018) ( 41 U.S.C. 2313).

__ (14) [Reserved].

__ (15) 52.219-3, Notice of HUBZone Set-Aside or Sole-Source Award (OCT 2022) ( 15 U.S.C. 657a).

X_ (16) 52.219-4, Notice of Price Evaluation Preference for HUBZone Small Business Concerns (OCT 2022) (if the offeror elects to waive the preference, it shall so indicate in its offer) ( 15 U.S.C. 657a).

__ (17) [Reserved]

__ (18)

(i) 52.219-6, Notice of Total Small Business Set-Aside (NOV 2020) ( 15 U.S.C. 644).

https://www.acquisition.gov/far/part-52#FAR_52_204_10 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title31-section6101&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_204_14 https://www.acquisition.gov/far/part-52#FAR_52_204_15 https://www.acquisition.gov/far/part-52#FAR_52_204_27 https://www.acquisition.gov/far/part-52#FAR_52_204_28 https://www.govinfo.gov/link/plaw/115/public/390 https://www.acquisition.gov/far/part-52#FAR_52_204_30 https://www.govinfo.gov/link/plaw/115/public/390 https://www.acquisition.gov/far/part-52#FAR_52_204_30 https://www.acquisition.gov/far/part-52#FAR_52_209_6 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title31-section6101&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_209_9 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section2313&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_219_3 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title15-section637a&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_219_4 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_6

__ (ii) Alternate I (MAR 2020) of 52.219-6.

__ (19)

(i) 52.219-7, Notice of Partial Small Business Set-Aside (NOV 2020) ( 15 U.S.C. 644).

__ (ii) Alternate I (MAR 2020) of 52.219-7.

X_ (20) 52.219-8, Utilization of Small Business Concerns (FEB 2024) ( 15 U.S.C. 637(d)(2) and (3)).

X_ (21)

(i) 52.219-9, Small Business Subcontracting Plan (SEP 2023) ( 15 U.S.C. 637(d)(4)).

__ (ii) Alternate I (NOV 2016) of 52.219-9.

__ (iii) Alternate II (NOV 2016) of 52.219-9.

__ (iv) Alternate III (JUN 2020) of 52.219-9.

__ (v) Alternate IV (SEP 2023) of 52.219-9.

__ (22)

(i) 52.219-13, Notice of Set-Aside of Orders (MAR 2020) ( 15 U.S.C. 644(r)).

__ (ii) Alternate I (MAR 2020) of 52.219-13.

__ (23) 52.219-14, Limitations on Subcontracting (OCT 2022) ( 15 U.S.C. 637s).

X_ (24) 52.219-16, Liquidated Damages—Subcontracting Plan (SEP 2021) ( 15 U.S.C. 637(d)(4)(F)(i)).

__ (25) 52.219-27, Notice of Set-Aside for, or Sole-Source Award to, Service-Disabled Veteran-Owned Small Business (SDVOSB) Concerns Eligible Under the SDVOSB Program (FEB 2024) ( 15 U.S.C. 657f).

X_ (26)

(i) 52.219-28, Post Award Small Business Program Rerepresentation (FEB 2024) ( 15 U.S.C. 632(a)(2)).

__ (ii) Alternate I (MAR 2020) of 52.219-28.

__ (27) 52.219-29, Notice of Set-Aside for, or Sole-Source Award to, Economically https://www.acquisition.gov/far/part-52#FAR_52_219_6 https://www.acquisition.gov/far/part-52#FAR_52_219_7 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_7 https://www.acquisition.gov/far/part-52#FAR_52_219_8 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_9 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_9 https://www.acquisition.gov/far/part-52#FAR_52_219_9 https://www.acquisition.gov/far/part-52#FAR_52_219_9 https://www.acquisition.gov/far/part-52#FAR_52_219_9 https://www.acquisition.gov/far/part-52#FAR_52_219_13 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_13 https://www.acquisition.gov/far/part-52#FAR_52_219_14 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_16 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_27 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_28 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_28 https://www.acquisition.gov/far/part-52#FAR_52_219_29

Disadvantaged Women-Owned Small Business Concerns (OCT 2022) ( 15 U.S.C. 637(m)).

__ (28) 52.219-30, Notice of Set-Aside for, or Sole-Source Award to, Women-Owned Small Business Concerns Eligible Under the Women-Owned Small Business Program (OCT 2022) ( 15 U.S.C. 637(m)).

__ (29) 52.219-32, Orders Issued Directly Under Small Business Reserves (MAR 2020) ( 15 U.S.C. 644(r)).

__ (30) 52.219-33, Nonmanufacturer Rule (SEP 2021) ( 15U.S.C. 637(a)(17)).

X_ (31) 52.222-3, Convict Labor (JUN 2003) (E.O.11755).

__ (32) 52.222-19, Child Labor-Cooperation with Authorities and Remedies (FEB 2024).

X_ (33) 52.222-21, Prohibition of Segregated Facilities (APR 2015).

X_ (34)

(i) 52.222-26, Equal Opportunity (SEP 2016) (E.O.11246).

__ (ii) Alternate I (FEB 1999) of 52.222-26.

X_ (35)

(i) 52.222-35, Equal Opportunity for Veterans (JUN 2020) ( 38 U.S.C. 4212).

__ (ii) Alternate I (JUL 2014) of 52.222-35.

X_ (36)

(i) 52.222-36, Equal Opportunity for Workers with Disabilities (JUN 2020) ( 29 U.S.C. 793).

__ (ii) Alternate I (JUL 2014) of 52.222-36.

X_ (37) 52.222-37, Employment Reports on Veterans (JUN 2020) ( 38 U.S.C. 4212).

X_ (38) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (DEC 2010) (E.O. 13496).

X_ (39)

(i) 52.222-50, Combating Trafficking in Persons (NOV 2021) ( 22 U.S.C. chapter 78 and E.O. 13627).

http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_30 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_219_32 https://www.govinfo.gov/content/pkg/USCODE-2018-title15/html/USCODE-2018-title15-chap14A-sec644.htm https://www.acquisition.gov/far/part-52#FAR_52_219_33 https://www.govinfo.gov/content/pkg/USCODE-2018-title15/html/USCODE-2018-title15-chap14A-sec637.htm https://www.acquisition.gov/far/part-52#FAR_52_222_3 https://www.acquisition.gov/far/part-52#FAR_52_222_19 https://www.acquisition.gov/far/part-52#FAR_52_222_21 https://www.acquisition.gov/far/part-52#FAR_52_222_26 https://www.acquisition.gov/far/part-52#FAR_52_222_26 https://www.acquisition.gov/far/part-52#FAR_52_222_35 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section4212&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_222_35 https://www.acquisition.gov/far/part-52#FAR_52_222_36 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title29-section793&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_222_36 https://www.acquisition.gov/far/part-52#FAR_52_222_37 http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section4212&num=0&edition=prelim https://www.acquisition.gov/far/part-52#FAR_52_222_40 https://www.acquisition.gov/far/part-52#FAR_52_222_50

__ (ii) Alternate I (MAR 2015) of 52.222-50 ( 22 U.S.C. chapter 78 and E.O. 13627).

X_ (40) 52.222-54, Employment Eligibility Verification (MAY 2022) (Executive Order 12989). (Not applicable to the acquisition of commercially available off-the-shelf items or certain other types of commercial products or commercial services as prescribed in

FAR 22.1803.)

__ (41)

(i) 52.223-9, Estimate of Percentage of Recovered Material Content for EPA– Designated Items (May 2008) ( 42 U.S.C. 6962(c)(3)(A)(ii)). (Not applicable to the acquisition of commercially available off-the-shelf items.)

__ (ii) Alternate I (MAY 2008) of 52.223-9 ( 42 U.S.C. 6962(i)(2)(C)). (Not applicable to the acquisition of commercially available off-the-shelf items.)

__ (42) 52.223-11, Ozone-Depleting Substances and High Global Warming Potential Hydrofluorocarbons (MAY 2024) ( 42 U.S.C. 7671, et seq.).

__ (43) 52.223-12, Maintenance, Service, Repair, or Disposal of Refrigeration Equipment and Air Conditioners (MAY 2024) ( 42 U.S.C. 7671, et seq.).

__ (44) 52.223-20, Aerosols (MAY 2024) ( 42 U.S.C. 7671, et seq.).

__ (45) 52.223-21, Foams (MAY 2024) ( 42 U.S.C. 7671, et seq.).

X_ (46) 52.223-23, Sustainable Products and Services (MAY 2024) ( E.O. 14057, 7 U.S.C. 8102, 42 U.S.C. 6962, 42 U.S.C. 8259b, and 42 U.S.C. 7671l).

X_ (47)

(i) 52.224-3 Privacy Training (JAN 2017) (5 U.S.C. 552 a).

__ (ii) Alternate I (JAN 2017) of 52.224-3.

__ (48)

(i) 52.225-1, Buy American-Supplies (OCT 2022) ( 41 U.S.C. chapter 83).

__ (ii) Alternate I (OCT 2022) of 52.225-1.

__ (49)

(i) 52.225-3, Buy American-Free Trade Agreements-Israeli Trade Act (NOV 2023) ( 19 U.S.C. 3301 note, 19 U.S.C. 2112 note, 19 U.S.C. 3805 note, 19 U.S.C. 4001 note, 19 U.S.C. chapter 29 (sections 4501-4732), Public Law 103-182, 108-77, 108-78, 108-286, https://www.acquisition.gov/far/part-52#FAR_52_222_50 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_222_54 https://www.acquisition.gov/far/part-22#FAR_22_1803 https://www.acquisition.gov/far/part-52#FAR_52_223_9 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_223_9 http://uscode.house.gov/browse.xhtml;jsessionid=114A3287C7B3359E597506A31FC855B3 https://www.acquisition.gov/far/part-52#FAR_52_223_11 https://www.govinfo.gov/link/uscode/42/7671 https://www.acquisition.gov/far/part-52#FAR_52_223_12 https://www.govinfo.gov/link/uscode/42/7671 https://www.acquisition.gov/far/part-52#FAR_52_223_20 https://www.govinfo.gov/link/uscode/42/7671 https://www.acquisition.gov/far/part-52#FAR_52_223_21 https://www.govinfo.gov/link/uscode/42/7671 https://www.acquisition.gov/far/part-52#FAR_52_223_23 https://www.federalregister.gov/executive-order/14057 https://www.govinfo.gov/link/uscode/7/8102 https://www.govinfo.gov/link/uscode/7/8102 https://www.govinfo.gov/link/uscode/42/6962 https://www.govinfo.gov/link/uscode/42/8259b https://www.govinfo.gov/link/uscode/42/7671l https://www.acquisition.gov/far/part-52#FAR_52_224_3 https://www.acquisition.gov/far/part-52#FAR_52_224_3…