2024.10.09 Performance Work Statement.pdf

Attachment 1 DRAFT Performance Work Statement

HTC711-XX-X-XXXX

PERFORMANCE WORK STATEMENT

FOR

SCHEDULED FUEL BARGE

TRANSPORTATION SERVICE IN ATLANTIC

REGION

9 October 2024

Prepared by

UNITED STATES TRANSPORTATION COMMAND

DIRECTORATE OF ACQUISITION

AND

DEFENSE LOGISTICS AGENCY ENERGY (DLA ENERGY)

DLA ENERGY AMERICAS EAST (DLA ENERGY AME)

Table of Contents Section 1: Scope

1.1. Overview

1.1.1. New and Historical Location Information

1.1.2. Scheduling

1.1.3. Hours of Operation

Section 2: General Requirements

2.1 Contractor Furnished Equipment and Crew

2.2. Barge and Tug Requirements

2.2.1. Barge

2.2.1.1. On-Call Tow

2.2.2. Self-Certifying Letter

2.2.2.1. Cargo Pumping System

2.2.2.2. Cargo Tank Stripping System

2.2.2.3. Water Stripping System

2.2.2.4. Gauge Point Marks and Calibration

2.2.2.4.1. Calibration Charts

2.2.2.5. Barge Tanks

2.2.2.6. Steel Valves

2.2.2.7. Spill Rails

2.2.2.8. Sectional Fuel Delivery Hose

2.2.2.9. Barge Lightering Operation

2.2.3. Tug

2.3. Contractor Owned or Leased Equipment

2.4. Barge Inspection and Acceptance

2.4.1. Performance Objective - Pre-Service Inspection

2.4.2. Suitability to load/discharge

2.5. Maintain, Position, and Operate Equipment

2.6. Performance Objective - Provide a USCG Endorsed Tankerman

2.7. TWIC Card

Section 3: Contractor Tasks and Duties

3.1. Cargo Delivery Services

3.1.1. Performance Objective - Loading or Discharging Cargo

3.2. Responsibility for Cargo

3.2.1. Loss or Contamination Liability

3.2.2. Gauging

3.2.3. Carry Away Liability

3.2.4. Contamination or Degradation Liability

3.2.4.1. Performance Objective – Cleaning To Prevent Contamination or Degradation of Cargo

3.2.4.2. Minimum Requirements for the Preparation of Barge Cargo Tanks

3.3. Reporting and Communication

3.3.1. Performance Objective – Daily Equipment Position and Status Reports

3.3.2. Performance Objective - Readiness Notice

3.3.3. Performance Objective - Cargo Documentation

3.4. Responsibility for Damage to Government Property

3.4.1. Damage Due to Contractor Negligence

3.4.2. Prevent Damage to Facilities

3.4.3. Damage and Loss Reports

3.5. Quality and Performance

3.5.1. Contractor Quality Control, Reporting and Records

3.5.1.1. Performance Objective - Quality Control Plan

3.5.1.2. Problem/Failure

3.6. OSHA Compliance

3.7. Additional Regulations Compliance

3.7.1 Defense Biometric Identification System (DBIDS) card

3.8. Accidents, Death or Injury to Personnel

3.9. Insurance Requirements

3.9.1. Cargo Insurance

3.9.2. Liability, Pollution and Environmental Insurance

3.10. Maintenance

3.10.1. Temporary Patching/Repairs

3.10.2. Scheduled/Required Maintenance

3.10.3. Out-of-Service Notification

3.10.4. Long-Term Out-of-Service Notification

Table 1. Performance Objective - Uninterrupted Service

3.10.5. Substitute Equipment

3.10.6. Failure to Perform

Table 2. Sample Calculation - Excess Re-Procurement Costs Section 4: Deliverables

4.1. Deliverables

4.2. Deliverable Submissions

4.3. Final Acceptance

Section 5: Cyber Security

5.1. Operationally Critical Support

5.2. Cybersecurity Incident Reporting

5.3. Cybersecurity Incident Reporting Timelines

5.4. Mandatory Reporting Data

5.5. Incident Reporting Coordination

5.6. Confidentiality and Non-Attribution Statement

APPENDIX A: LOADING/DISCHARGING POINTS

APPENDIX B. GOVERNMENT RESPONSIBILITIES

APPENDIX C. REIMBURSABLE EXPENSES

APPENDIX D: DEFINITIONS

APPENDIX E: SERVICE DELIVERY SUMMARY (SDS)

APPENDIX F: APPLICABLE FORMS

APPENDIX G: GUANTANAMO BAY, CUBA TRANSPORTATION REQUIREMENT

SCHEDULED BARGE TRANSPORTATION SERVICES - ATLANTIC

DEFENSE LOGISTICS AGENCY ENERGY (DLA ENERGY)

DLA ENERGY AMERICAS EAST (DLA ENERGY AME)

PERFORMANCE WORK STATEMENT (PWS)

Section 1: Scope

1.1. Overview.

This contract covers the transportation of Department of Defense-owned bulk jet fuel (JP5), marine diesel (F76), and commercial (Jet-A) by tug and barge between all ordered United States ports and points on the Atlantic and Gulf Coast and their connecting waterways, inland waterways, coastal waterways, rivers, and tributaries, including those specified in Appendix A. However, Appendix A does not represent all Loading/Discharging points and may change as fuel procurement award patterns change.

1.1.1. New and Historical Location Information.

The Defense Logistics Agency Energy Americas East Office, Houston (DLA Energy AME) Loading/Discharging (Receiving) locations are provided in Appendix A as existing and historical information. Appendix A does not represent all Loading/Discharging points and may change as fuel procurement award patterns change.

1.1.2. Scheduling.

The Government and contractor will work together to schedule the pickup and delivery of the identified fuels/marine diesel from, to, and between the operational areas referenced in Appendix A without restriction. The Government reserves the right to change the schedule at any time to include standing by at an origin, destination or immediate point as specified by the Government.

1.1.3. Hours of Operation.

Contractor supplied equipment and crews in support of this service must be available to the Government at all times, 24 hours per day, 7 days per week, for transporting cargo to and between the points stipulated.

Section 2: General Requirements

2.1 Contractor Furnished Equipment and Crew.

The Contractor shall furnish all supplies, materials, equipment, and personnel necessary to perform the services incidental to the operation of the equipment listed below:

2.2. Barge and Tug Requirements.

The contractor shall provide the following:

2.2.1. Barge.

Six (6) tank barges with the following capacities:

two (2) tank barge having a total capacity of not less than 10,000 barrels (and not more than 20,000 barrels) with inland waterway capability, three (3) tank barges, each having a total calibrated capacity of not less than 20,000 barrels (and not more than 30,000 barrels) with inland waterway capability and one (1) tank barge having a total calibrated capacity of 50,000 barrels (and not more than 60,000 barrels) with ocean going capability.

The contractor is responsible for all costs associated with positioning the equipment at the initial loading point. Fuel cost for services performed will be reimbursed in accordance with Appendix C, Paragraph C.3, Bunker Fuel Reimbursement.

2.2.1.1. On-Call Tow.

These services will be ordered separately as a modification to the contract and priced within the Schedule of Supplies and Services. The Government will have the option to add additional tows or terminate existing on-call tows as traffic patterns change or as loading/discharging ports are added.

On-call tows must be of the same capacity as those listed in paragraph 2.2.1. and 2.2.3. The contractor shall provide for up to three (3) (one per each capacity) additional tows when requested by the Government with a minimum of 15 business days’ notice. The additional on-call tows will be in ordered in monthly increments. The Government may terminate any on-call tow with a minimum of 15 business days’ notice if that tow is no longer required. Barge and tug requirements shall be consistent within the parameters as provided in paragraph 2.2.1. and 2.2.3. The equipment shall meet all Government inspection requirements addressed in paragraph 2.4 and related sub-paragraphs (2.4.1 and 2.4.2) and shall remain in scheduled service until the end date of the requested service or until a suitable equivalent replacement is positioned by the contractor and inspected and accepted by the Government. Scheduled service is defined as the start and end date of the requested service and includes all supplies, materials, equipment, and personnel necessary to perform the services addressed in this PWS as authorized by the Contracting Officer (CO).

Payment will not commence until the tow is made available at the initial loading point, as specified in the contract modification, and will end on the last day of requested service upon cargo discharge at the destination point. Any subsequent changes to schedule details (e.g., date, loading port) required for expedience of the Government shall occur only upon modification of the contract by the CO. Otherwise, the contractor is responsible for all costs associated with positioning the equipment at the initial loading point. Payment for the on-call services will be in accordance with the prices listed in the Schedule of Rates.

2.2.2. Self-Certifying Letter

The Contractor shall provide a letter self-certifying its equipment possesses the required United States Coast Guard (USCG) certificates to operate in US ocean, coastal and inland waterways and that it will also comply with all USCG regulations and applicable licenses and insurances during the life of the contract performance.

2.2.2.1. Cargo Pumping System.

A cargo pumping system with necessary hoses and connections capable of completely discharging and stripping the cargo tanks without outside power or assistance from the shore. With the exception of DFSP Anacostia and DFSP Port Mahon, the contractor shall load/discharge at a minimum average rate of 2,000 barrels per hour (BPH) at a pressure of 100 pounds per square inch (PSI) from the barge manifold including quantities stripped from cargo tanks. DFSP Anacostia can only receive at a pumping rate of 1200-1500 BPH.

2.2.2.2. Cargo Tank Stripping System.

An independent cargo tank stripping system capable of stripping all but a maximum of two barrels of product per cargo tank, not to exceed 10 barrels for the entire barge. The discharge rate during tank stripping operations may be less than the minimum rates stipulated above.

2.2.2.3. Water Stripping System.

An independent water stripping system (free from use of barge pumps, lines, or hoses) capable of removing all water from each cargo compartment, separate from the cargo tank stripping system for removal of large amounts and/or residual water discovered on vessel(s), prior to load/discharge of cargo. All water and cargo tank stripping and discharge lines shall be fully visible from the deck. The water stripping system and associated holding tank(s) shall be locked out/tagged out and entries maintained in a log whenever loading, transporting or discharging cargo to ensure isolation.

Anytime the water stripping system is unlocked, the log should annotate who unlocked it and why with dates and times.

In the event that a large amount of water is discovered on the barge, the contractor and Quality Assurance Representative (QAR) will investigate to determine the source and cause of the water.

If the water source is determined to be from the shore tank, the Government will be responsible for the cost of removal. If the source is determined not to be the cause of the Government, such as intake of seawater, then the contractor shall assume removal costs.

2.2.2.4. Gauge Point Marks and Calibration.

Permanent gauge point marks with reference height immediately visible from the tank gauging point (detailed requirements in API Manual of Petroleum Measurement Standards (MPMS)).

Calibration Charts for gauging, certified by a third party, will be used and maintained throughout the performance period. Compartments shall be recalibrated as needed (detailed requirements in the API MPMS) at the Contractor’s expense.

2.2.2.4.1. Calibration Charts.

The Contractor shall provide copies of the calibration charts and trim correction tables to the Government representative at loading and discharge points and to the Contracting Officer Representative (COR). The Contractor shall provide the COR a list showing the maximum load capacity of each barge at safe draft, updated whenever equipment or regulation or traffic area depths change. The Contractor shall develop and maintain, for Government use or inspection upon request and make available on board hired equipment, a Vessel Experience Factor (VEF) comparing the history of shore quantity measurement figures against loading and discharging vessel quantity measurement figures. The VEF shall be used to investigate excessive Vessel/Shore quantity variance. Anytime the physical structure of a barge is changed, due to damage or equipment modification, the barge shall be strapped again, and a new set of gauging charts and trim correction tables provided at no cost to the Government.

Deliverable: Calibration Charts, Trim Correction Tables, and VEF Records

2.2.2.5. Barge Tanks.

Barges offered for consideration that are constructed of stainless steel or carbon steel that has been epoxy coated with a non-coal tar based grade of epoxy, or uncoated mild steel tanks, are acceptable for performance consideration under the provisions of this contract.

2.2.2.6. Steel Valves.

Steel valves shall be an integral part of all barges used in the performance of this contract.

2.2.2.7. Spill Rails.

Spill rails are required on all barges.

2.2.2.8. Sectional Fuel Delivery Hose.

When required, the contractor shall provide up to 200 feet of sectional fuel delivery hose (ship or dock hose) and compatible coupling attachments (flanges, valves) necessary for over-the-water fuel loading to ships or other marine vessels. The contractor is liable for any damage or loss resulting from faulty equipment or caused by contractor negligence.

2.2.2.9. Barge Lightering Operation

The contractor’s equipment must be capable of transferring between barges at a suitable and secure berth. It is the contractor’s responsibility to perform all sampling, retain sampling, inspecting, and gauging during lightering operations. All sampling and retain sampling requirements will be at the direction of the DLA Energy QAR in attendance.

2.2.3. Tug.

Six (6) tugs with the following capabilities:

two (2) for the 10-20 Mbbl barge three (3) for the 20-30 Mbbl barges one (1) for the 50-60 Mbbl barge

The tugs offered under this contract shall be suitable in design and power to properly and safely navigate all traffic areas designated herein.

2.3. Contractor Owned or Leased Equipment.

The contractor shall own the equipment performing the transportation service or the contractor shall have the equipment under long-term lease for the duration of the contract period to include the base year and all option years.

2.4. Barge Inspection and Acceptance.

At the start of this contract, the contractor shall provide tug and barge equipment that conforms to the specifications of this contract and that passes the Government’s loading inspection.

Government inspection and acceptance of the contractor’s equipment is a condition precedent to the Government’s obligation to pay the monthly rates set forth in the Schedule of Rates. The monthly rates do not go into effect, and the Government incurs no obligation to make monthly payments, until the QAR has approved the Contractor’s equipment for loading in accordance with paragraphs 2.4.1. Pre-Service Inspection, 2.4.2. Suitability to Load/Discharge, and 3.10.1.

Temporary Patching/Repairs and the COR has notified the CO the vessels are ready for service.

2.4.1. Performance Objective - Pre-Service Inspection.

Not later than 15 business days prior to the initiation of transportation services, the Contractor shall make its tugs and barges available for inspection and acceptance by the Government at the loading point, or other coordinated location, as specified by the COR. If the Contractor fails to provide conforming equipment by this deadline, the COR will notify the CO for action. Tows must be presented cleaned, gas free, and free of temporary patches. The Contractor shall provide a valid marine chemist certificate to the QAR at the time of or prior to inspection. Contractor shall ensure that all cargo and vent lines have been drained of previous cargo and prepared in accordance with MIL-STD-3004-1 (latest version) Minimum Requirements for the Preparation of Barge Cargo

Tanks. All cargo tanks and bulkheads shall be free of water, loose rust, sludge, mud, silt, and foreign objects. The Contractor shall take a sample of rust scale from inside of the cargo tank(s) and have it tested to determine the potential effects of the corrosion and gum characteristics on the cargo to be loaded and sampled for rust in accordance with paragraph 5.1.1.4.3 of MIL-STD-3004- 1 (latest revision). Contractor shall provide copies of the test results to both the COR and QAR prior to Government inspection. NOTE: Rust scale sample is Not required if the entire cargo tank(s) is epoxy coated and coating is free of blistering, bubbling, peeling, cracking, etc. The contractor shall prepare the barge for inspection at its own expense. Acceptance of the equipment by the Government shall in no way be construed to attest to the seaworthiness of the barge or to other requirements of the U.S. Coast Guard. The QAR shall issue written confirmation of acceptance of equipment through the COR by close of business (COB) the day the equipment is accepted. Once inspected, the tug and barge equipment will be considered to have entered into scheduled service on this contract. The contractor may, however, substitute tugs and/or barge equipment in accordance with PWS paragraph 3.10.5.

Deliverable: Valid Marine Chemist Certificate, Sample of Rust Scale Test Results

2.4.2. Suitability to load/discharge.

Vessel owners/operators are responsible for providing vessels suitable to load and deliver the intended cargo and for determining the need-to-clean vessel cargo tanks. Vessels shall arrive at the required port ready to load/discharge the intended cargo. At each load or discharge port, contractor shall certify that vessel cargo tanks are suitable for loading or discharging the intended cargo by including the following statement in the Notice of Readiness (NOR): “All compartments, lines and pumps to be used are suitable for loading and delivering the intended cargo.” Contractor shall also provide an inventory form, acceptable to the Government, to the QAR with cargo tank(s) soundings of product/water onboard and calculated onboard quantities/remaining onboard (OBQ/ROB) prior to loading/discharge.

Deliverable: Inventory form with OBQ/ROB.

2.5. Maintain, Position, and Operate Equipment

The contractor shall maintain, clean (including slop tanks), repair, position and operate its equipment to ensure its performance under the contract, including providing fuel to operate the tug and barge pump engines. All crew living provisions if incurred, will be the contractor’s responsibility.

2.6. Performance Objective - Provide a USCG Endorsed Tankerman

The contractor is responsible for following all governing regulations and statutes in providing a USCG endorsed tankerman at all loading and discharge points. As directed by the COR, the contractor shall furnish an additional shore tankerman when needed.

2.7. TWIC Card

The contractor is responsible for obtaining a Transportation Worker Identification Credential (TWIC) card for access to all ports under this contract, where required

Section 3: Contractor Tasks and Duties.

3.1. Cargo Delivery Services.

3.1.1. Performance Objective - Loading or Discharging Cargo.

Upon arrival at a loading or discharge port, the contractor shall load or discharge any quantity of cargo, entire or partial, as specified by the COR/Supply Planner.

3.2. Responsibility for Cargo.

3.2.1. Loss or Contamination Liability.

The contractor shall sign the DD Form 250-1, Tanker/Barge Material Inspection and Receiving Report, or WAWF Report (ERR), as its receipt for the Government property it received for transportation. The contractor assumes full liability for and agrees to reimburse the Government for the actual loss or contamination to the cargo it receives for transportation, except when loss and/or damage arises out of causes beyond the control of and without the fault or negligence of the contractor such as acts of God or force majeure.

The contractor may also be held liable for loss of Government product in its possession during transportation and prior to discharge into Government facilities if there is an amount of loss in excess of one-half (1/2) of one (1) percent (0.05%) in volume after a comparison of shore tank volumes loaded to shore tank volumes discharged. If investigation by the Government determines that the cause is due to negligence by the Contractor or their representatives, then the loss amounts will be used for claim purposes by the Government.

3.2.2. Gauging.

Contractor representative personnel are responsible to perform gauging of the vessel in accordance with API MPMS Chapter 3.1, Standard Practice for the Manual Gauging of Petroleum and Petroleum Products. Vessel temperatures will be obtained in accordance with API MPMS Chapter 7, Temperature Determination. Quantity determinations will be obtained in accordance with API MPMS Chapter 12.1, section 1, Part 1, Calculation of Static Petroleum upright cylindrical tanks and marine vessel. Gauges and temperatures will be obtained with equipment which meets API calibration requirements and are traceable to the National Institute of Standards and Technology.

The contractor shall ensure that responsible contractor representative personnel are readily available for gauging operations so as to not unduly delay release and departure of the equipment.

The contractor shall ensure that a vessel ullage report (DD Form 2479) or contractor provided document acceptable to the Government is annotated/completed at both the loading and discharge locations. In cases where the Government representative annotates/completes the report, the contractor will verify and agree with gauge figures and readings annotated by signing the report.

3.2.3. Carry Away Liability.

The contractor shall be liable for all measurable product carried away due to failure of the contractor’s equipment to discharge the cargo completely, excluding product remaining in equipment lines, manifolds, and sumps (10 barrels before line drop). Liability is based on the procurement and transportation cost of the cargo carried away and is to be deducted from the contractor’s monthly invoice. However, the contractor is not liable for carry-away cargo if the Tanker/Barge Material Inspection and Receiving Report (DD Form 250-1)/WAWF ERR and the Vessel Ullage Report establish that the cargo carried away remains on board when the same equipment is utilized for subsequent loading. Measurable cargo carried away at the end of the contract period shall be deducted from the contractor’s final invoice.

3.2.4. Contamination or Degradation Liability.

If contamination or degradation of Government cargo occurs due to the contractor's failure to properly maintain its equipment and/or Contractor’s negligence, the contractor shall be liable to the Government for replacement costs and/or associated costs with returning the cargo to specification.

3.2.4.1. Performance Objective – Cleaning to Prevent Contamination or Degradation of Cargo.

The contractor shall ensure that all equipment is clean and free from any condition that would contaminate or degrade cargo. The Government will reimburse the contractor for cleaning expenses only when the contractor can demonstrate that the equipment was contaminated due to the fault of the Government, the cleaning is directed by the Government to change grades of cargo transported, or when directed by the Government to complete cleaning for routine maintenance.

The Contractor should submit a third-party invoice for the cleaning. Cleaning reimbursement shall be paid as an out-of-pocket expense.

3.2.4.2. Minimum Requirements for the Preparation of Barge Cargo Tanks.

Comply with MIL-STD-3004-1B table (latest version), Minimum Requirements for the Preparation of Barge Cargo Tanks. Any product change procedure not specifically addressed by the table must be approved in advance by DLA Energy-AQ and/or DLA Energy AME Quality Manager.

3.3. Reporting and Communication.

3.3.1. Performance Objective – Daily Equipment Position and Status Reports.

The contractor shall transmit daily facsimile or electronic mail equipment position and status reports to the COR and applicable inventory managers reflecting the position and status of the barge by 0900, Central Time, plus or minus one hour. Additionally, the contractor shall provide pre-arrival reports (to include NOR documentation) to the next port of call (Government representatives) immediately upon departure of the present port, and at a minimum of 24, 12, and 3 hours prior to arrival and NOR notice to load or discharge prior to arrival at any port complex.

Deliverable: Daily Equipment Position and Status Reports

3.3.2. Performance Objective - Readiness Notice.

The contractor shall provide a written NOR documentation to load/discharge to designated loading and discharging officials immediately upon the tow’s arrival at the loading/discharging terminal of the port complex. The following statement shall be included on all NOR documents as a minimum: “All compartments, lines and pumps to be used are suitable for loading and delivering the intended cargo.” In the event the tow is not allowed to immediately proceed to the loading/discharging berth, the contractor shall communicate the NOR to the terminal by fax, email, or telephone to document its arrival. The NOR is the official method of determining when laytime for the tow begins. Faxing, emailing or telephone communications does NOT alleviate contractor’s responsibility/compliance to provide written NOR to officials upon arrival at any port complex.

Deliverable: Notice of Readiness with suitability statement

3.3.3. Performance Objective - Cargo Documentation.

The contractor shall maintain a copy of all loading documents, DD Form 250-1/WAWF ERR, including Vessel Ullage Report (DD Form 2479), or acceptable commercial equivalent form, and NOR documentation for Government use at each discharge port.

3.4. Responsibility for Damage to Government Property.

3.4.1. Damage Due to Contractor Negligence.

The contractor shall be responsible for lost cargo in route, such as a spill. Lost cargo shall be measured and documented on DD Form 250-1/WAWF ERR and barge ullage sheets.

3.4.2. Prevent Damage to Facilities.

The contractor shall be responsible for removing equipment, including unattended barges, during weather conditions that may result in damage to Government or contractor-owned facilities. The contractor shall be responsible for removing equipment when directed by the loading/discharging terminal or paying for damages caused as a direct result of contractor’s decision to remain at pier side during extreme weather conditions or natural disasters.

3.4.3. Damage and Loss Reports.

During operation under this contract, in all instances where cargo, contractor’s equipment, or private/ Government property is damaged, lost, or pilfered while in the care, custody, or possession of the contractor or through handling by the contractor’s employees, agents, or subcontractors, the contractor shall submit a full written report of the facts and the extent of such damage or loss to the COR within 24 hours following the occurrence or discovery. Details should include how the damage occurred, investigation detail, and an estimate of how and when reimbursement for damages will occur.

3.5. Quality and Performance.

The Government and the contractor will operate as a team to assure a high standard of quality is established and maintained in the performance of the contract. This will include Government measurement and surveillance of the contractor’s performance to document and recognize instances of superior contractor performance, and to identify areas falling short of required performance standards early so that the contractor and the Government may work together to identify causes and eliminate problems before they become serious. The Government’s performance measures and the contractor’s Quality Control (QC) program requirements are described below.

3.5.1. Contractor Quality Control, Reporting and Records

3.5.1.1. Performance Objective - Quality Control Plan.

The contractor shall establish and maintain a Quality Control Plan (QCP) to ensure quality service is provided throughout the terms of the contract. The contractor shall submit an acceptable QCP prior to the first shipment. The QCP shall be approved by the QAR prior to the first shipment and updated when deemed necessary by the contractor or the Government to include changes necessary to prevent the recurrence of quality problems. The contractor must sign and date the original QCP, as well as each subsequent revision. Revisions shall also be presented to the QAR for review and acceptance prior to implementation. The QCP should include as a minimum how the contractor intends to meet the performance objectives, provide cargo free of contamination or degradation, identify those areas the contractor sees as critical to the customers for this contract, how it will monitor quality performance in those areas, and how it will maintain or exceed customer expectations, including identification and correction of problems.

Deliverable: QCP

3.5.1.2. Problem/Failure.

The contractor shall self-identify any problem or failure that may impact contract performance.

In accordance with its QCP, the contractor shall notify the COR/ DLA Energy AME immediately of the problem, and within two (2) business days provide to the COR/ DLA Energy AME a succinct written plan of action of contractor self-identification or awareness of a potential or real problem, failure or deficiency. The contractor shall detail the methodology for correcting the problem or deficiency in the plan of action and provide an assurance of the specific time required to bring performance back to acceptable quality levels, as applicable.

3.6. OSHA Compliance.

The contractor shall establish and maintain an effective and comprehensive safety program that complies with the provisions of the Occupational Safety and Health Act and the National Institute of Occupational Safety and Health. The contractor shall acquire, maintain, and require the use of safety equipment, personal protective equipment, and devices necessary to protect employees. The contractor shall be responsible for compliance with the Occupational Safety and Health Act of 1970 and for penalties resulting from violations.

3.7. Additional Regulations Compliance.

The contractor shall maintain and operate all equipment in accordance with applicable USCG, federal and state laws, and military regulations, including applicable regulations of the Commander, Defense Logistics Agency Energy (DLA-Energy), and shall also be in compliance with all of DLA’s fuel supply terminal requirements for barge tows. Contractor is responsible for the costs of vetting all equipment at every location prior to loading or discharge. With the exception of shipments to/from Guantanamo, Cuba, all contractors shall comply with the provisions of the Jones Act. When transiting Guantanamo, Cuba adherence to Cargo Preference Acts of 1904 and 1954 and utilization of US Flag vessels is required. Compliance with the following regulation is mandatory:

DOD 4500.9-R, Defense Traffic Transportation Regulation (DTR) Part II, 29 February 2024

Note: DOD 4500.9-R can be accessed through the following web site, www.ustranscom.mil.

Follow the link to Defense Transportation Regulations. If you have any questions or need assistance in obtaining access to the link, contact DLA-Energy/FENBA at (571)767-9289.

3.7.1 Defense Biometric Identification System (DBIDS) card

The contractor is responsible for obtaining a Defense Biometric Identification System (DBIDS) card for access to DFSP Craney Island and all other ports where required. Contractor will be responsible for completing the required application, working with DLA Energy Sponsor to obtain credential, and retrieving ID card from NAVSTA Norfolk's Visitor Control Center (VCC).

Contractor is required to return DBIDS credentials to NAVSTA Norfolk's Visitor Control Center (VCC) upon termination of employment.

Guidance and SECNAV 5512/1 application can be accessed through the following web site, https://www.cnic.navy.mil/om/dbids.html

3.8. Accidents, Death or Injury to Personnel.

In all instances where there is an accident and/or where contractor’s employees are absent due to injury or death or for purposes of receiving medical attention due to an injury during or arising from performance under this contract, the contractor shall submit a full written report of the facts and the extent of such injury to the COR within 24 hours. If an investigation of the accident is conducted, the contractor shall assist the investigator in securing statements from its employees and must make pertinent records available to the investigator and to the COR.

3.9. Insurance Requirements.

3.9.1. Cargo Insurance.

The contractor shall purchase and maintain cargo insurance at its own expense, as required by law, and in an amount at least equal to the value of the cargo transported.

3.9.2. Liability, Pollution and Environmental Insurance.

Contractor shall provide at its own expense, the appropriate amount of insurance as required by law in all its jurisdictions that it will be operating. Contactor is responsible for all damage costs not covered by insurance.

3.10. Maintenance.

3.10.1. Temporary Patching/Repairs.

Barges shall not be accepted for loading if there is evidence of concrete patches or other temporary repairs. However, the contractor may use temporary repairs only until the barge can return to a point where permanent repairs can be made if the need for repair occurs after loading. Any repairs that are part of or immediately adjacent to the cargo system will require notification to and inspection by QAR. Furthermore, contractor shall notify the COR, by electronic mail of all repairs when load/discharge schedule, or transit times are affected.

3.10.2. Scheduled/Required Maintenance.

Maintenance or repair periods shall not exceed 24 hours in duration, except when required for USCG inspections or when mutually agreed between the Government and the contractor (e.g.

periodic maintenance). The contractor shall provide notice of scheduled maintenance at least 24 hours prior to the date the maintenance is scheduled.

Deliverable: Scheduled Maintenance Notification

3.10.3. Out-of-Service Notification.

The contractor shall notify the COR immediately in the event that the contractor is unable to provide service due to unscheduled non-availability of equipment or crew, and must include the location of the equipment, cargo status (loaded or empty), reason for being out-of-service, and the expected duration of disability (Temporary Out-of-Service or Long-Term Out-of-Service) in the notification.

Deliverable: Out of Service Notification

3.10.4. Long-Term Out-of-Service Notification.

In the event that the notification is for Long-Term Out-Of-Service, the contractor shall provide a substitute for any or all of the equipment or crew designated for use under this contract within 24 hours and shall specify details of the substitution in writing. The specification shall include reason for the request for the substitute equipment and if repair/maintenance action is required, provide in-depth description of repairs to be made, facility and location of repair action, and estimated date equipment shall be returned to use. If carry-away cargo is present in the barge, the contractor must make cash settlement or other means of disposition satisfactory to the Government in coordination with the CO for this cargo before the barge is permitted departure from being used in the performance of this contract.

Deliverables: Long Term Out-of-Service Notification, Request for Substitute Approval, and Substitute Specification

Table 1. Performance Objective - Uninterrupted Service.

Measure Standard Cumulative Days Out-Of Service (Temporary)

Not more than 10 days annually

Response For Out-Of-Service (Long Term) Provision of Substitute within 24 hours.

No more than two Failures to Perform annually.

No more than an additional 24 hours late with substitute, without COR approval.

3.10.5. Substitute Equipment.

When contractor owned equipment is Out-of-Service Long-Term, the contractor shall substitute owned or leased equipment. The COR must approve, in advance, the substitution of equipment, provided the substitute equipment is equivalent to the contractor's original (permanent) equipment (i.e., meets the specifications and requirements in Section 2, Contractor Furnished Equipment and Crew). The Government reserves the right to inspect the substitute equipment prior to placement into service. The contractor must prepare the substitute equipment for inspection as stipulated in paragraph 2.4.1, Pre-Service Inspection, when so required. The substitute equipment provided by the Contractor shall be at no additional cost to the Government. Barge equipment substituted for the convenience of the contractor is not entitled to cleaning expenses as a result of the substitution.

The contractor shall include in the request for substitute approval the estimated fuel burn and transit times of the substitute equipment.

3.10.6. Failure to Perform.

Should the contractor be unable to perform or choose not to provide substitute equipment or crews for all days beyond the first 24-hour period the contractor’s equipment is out-of-service, in addition to any other remedies available to the Government under this contract, the Government may take a pro rata deduction from the contractor’s monthly invoice for each hour beyond the first 24-hour period.

The sample excess re-procurement calculation, shown below in Table 2 uses the following information:

Contract rate: $10,000/day; $416.66/hour

Table 2. Sample Calculation - Excess Re-Procurement Costs.

Date and Time Event Formula Calculation Cost 05 January 10:00 a.m.

Contractor equipment goes Out-Of-Service

(OOS)

None. Within 24-hour period.

None.

06 January 10:00

Contractor equipment remains OOS, unable

Calculation begins, 24-hour window has expired.

Date and Time Event Formula Calculation Cost to provide substitute equipment.

06 January 11:00

Decision made to procure substitute equipment for period 08 to 13 January.

$20,000/day x 6 days ($833.33/hour)

$120,000 Cost

08 January 08:00

Substitute equipment begins loading.

08 January 15:00

Contractor equipment submitted for inspection prior to return to service.

08 January 20:00

Contractor equipment returned to service.

Deduction from invoice.

58 hours x $416.66/hr (10:00 on 06 January through 20:00 on 08 January)

$24,166.28

Re-procurement costs. 7 hours x $416.67/hr* (*rate is calculated by subtracting the contract equipment rate from the substitute equipment rate, e.g. $833.33- $416.66)

$2,916.69

TOTAL PRO-RATA DEDUCTION FOR FAILURE TO PERFORM $27,082.97

Section 4: Deliverables

4.1. Deliverables.

A deliverable is a specific measurable, tangible, and verifiable activity, outcome, result, item, or product that the contractor shall provide and that will require formal Government acceptance and approval. The Government will review, assess and provide comment, as required.

4.2. Deliverable Submissions.

The contractor shall deliver reports and data as set forth in the below table. All deliverables shall be submitted electronically via e-mail to the COR, QAR, and any others as identified within the PWS.

The contractor shall prepare and submit all deliverables electronically in Microsoft Office (i.e., Word, Excel, PowerPoint, Project, etc.) formats pursuant to the following schedule. Deliverables will be identified by task order number, PWS subtask, and deliverable title.

Table 3. Deliverable Schedule

Task Deliverable Title Deliverable Schedule Recipient

2.2.2.4.1 Calibration Charts, Trim Correction

To be provided at loading and discharge ports every delivery

COR

Tables, and VEF Records

2.4.1 Valid Marine Chemist

Certification; Sample of Scale Test Results

Prior to inspection and acceptance QAR &

COR

2.4.2 Inventory Form with

OBQ/ROB

Prior to loading/discharge QAR

3.3.1 Daily Position Reports 0900 CT, plus or minus one hour. COR

3.3.2 Notice of Readiness

with suitability statement

NOR Immediate Upon Arrival QAR

3.5.1.1 QCP Final copy prior to the first shipment and

after each revision.

QAR

3.10.2 Scheduled Maintenance

Notification

Provide notice of scheduled maintenance with expected duration of maintenance not less than 24 hours before date of schedule

COR

3.10.3 Out of Service

Notification

Immediately notify the Government the event that service equipment is unavailable.

COR

3.10.4 Long Term Out-of-

Service Notification, Request for Substitute Approval, and Substitute Specification

Provide substitution equipment and or crew within 24 hours.

COR

Appendix C;

Paragraph C.2

Out-of-Pocket Expenses Documentation

Contractor shall initially pay the charges and submit the third party invoice to the Government for reimbursement with its next regular monthly invoice

COR

4.3. Final Acceptance.

Final inspection and acceptance of all work performed, reports, or other deliverables shall be performed at the place of delivery. The COR will notify the contractor of deliverable acceptance or provide comments, in writing, and the contractor, if necessary, shall revise and resubmit the final deliverable to the COR within three business days (unless otherwise specified) after receipt of COR comments.

Section 5: Cyber Security

5.1. Operationally Critical Support

The services designated under this contract are “operationally critical support” as defined in

DFARS 252.204-7012.

5.2. Cybersecurity Incident Reporting

5.2.1. In addition to the DFARS 252.204-7012 reporting requirements for unclassified systems and DoD Manual (DoDM) 5220.22, National Industrial Security Program Operating Manual (NISPOM) for classified systems, reportable cyber-incidents include, but are not limited to, the following:

5.2.1.1. Cyber-incidents as defined in Table 1.

5.2.1.2. Notifications by a federal, state, or local law enforcement agency or cyber-center (i.e., National Cyber Investigative Joint Task Force (NCIJTF), National Cybersecurity & Communications Integration Center (NCCIC)) of being a victim of a successful or unsuccessful cyber-event, anomaly, incident, insider threat, breach, intrusion, or exfiltration.

Table 1.

Incident Category Description Root Level Intrusion Unauthorized privileged access to an IS. Privileged access, often referred to as administrative or root access, provides unrestricted access to the IS. This category includes unauthorized access to information or unauthorized access to account credentials that could be used to perform administrative functions (e.g., domain administrator). If the IS is compromised with malicious code that provides remote interactive control, it will be reported in this category.

User Level Intrusion Unauthorized non-privileged access to an IS. Non-privileged access, often referred to as user level access, provides restricted access to the IS based on the privileges granted to the user. This includes unauthorized access to information or unauthorized access to account credentials that could be used to perform user functions such as accessing Web applications, Web portals, or other similar information resources. If the IS is compromised with malicious code that provides remote interactive control, it will be reported in this category.

Denial of Service Denial of Service (Incident)—Activity that denies, degrades, or disrupts normal functionality of an IS or DoD information network.

Malicious Logic Installation of software designed and/or deployed by adversaries with malicious intentions for the purpose of gaining access to resources or information without the consent or knowledge of the user. This only includes malicious code that does not provide remote interactive control of the compromised IS. Malicious code that has allowed interactive access should be categorized as Root or User Level Intrusion incidents. Interactive active access may include automated tools that establish an open channel of communications to and/or from an IS.

Ransomware Malware designed to encrypt files on a device, rendering any files and the systems that rely on them unusable. Malicious actors then demand ransom in exchange for decryption. Ransomware actors often target and threaten to sell or leak exfiltrated data or authentication information if the ransom is not paid. Ransomware is a reportable incident that may be associated with multiple incident categories depending on the attack vector and execution.

5.2.2. If the cyber-incident affects a classified system, vulnerabilities associated with the incident will be classified per the current version of USTRANSCOM Instruction 31-02, Security Classification Guide.

5.3. Cybersecurity Incident Reporting Timelines

In addition to providing the notification required by DFARS 252.204-7012, the contractor is required to notify USTRANSCOM as soon as practicable, but no later than 72 hours after discovering a reportable cyber-incident. The reporting timeline begins when the incident is discovered or reported to the company, its employees, contractors, or cybersecurity firm responsible for providing cybersecurity and response for the company. The contractor shall contact the USTRANSCOM Cyber Operations Center (CyOC) via phone at 618-817-4222. If the contractor does not immediately reach the CyOC via phone, the contractor shall send an email notification to transcom.scott.tcj6.mbx.cyoc-dodin-operations@mail.mil.

5.4. Mandatory Reporting Data

5.4.1. The contractor shall work with the USTRANSCOM CyOC through resolution of the incident. Within 72 hours of becoming aware of a reportable cyber-incident, the contractor shall provide an initial notification of the incident, even if some details are not yet available, which includes, but is not limited to, the following information:

(a) Company Name

(b) Who will be the POC with contact information

(c) Contracting Officer POC (name, telephone, email)

(d) Overall Assessment –Description of incident, data at risk, mitigations applied

(e) Indicators of compromise

(f) Vector of attack (if known)

(g) Estimated time of attack (if known)

5.4.2. The contractor shall provide a follow-on cyber-incident report to the USTRANSCOM CyOC within 5 business days of becoming aware of a reportable cyber-incident, which includes, but is not limited to, the following information:

(a) Contractor unique Commercial and Government Entity (CAGE) code

(b) Contract numbers affected

(c) Facility CAGE code where the incident occurred if different than the prime Contractor location

(d) POC if different than the POC recorded in the System for Award Management (name, address, position, telephone, email)

(e) Contracting Officer POC (name, telephone, email)

(f) Contract clearance level

(g) DoD programs, platforms, systems, or information involved

(h) Location(s) of compromise

(i) Date incident discovered

(j) Type of compromise (e.g., unauthorized access, inadvertent release, other)

(k) Description of technical information compromised

(l) Any additional information relevant to the information compromise

5.5. Incident Reporting Coordination

5.5.1. In the event of a cyber-incident, USTRANSCOM may conduct an on-site review of network or information systems where DoD information is resident on or transiting to assist the contractor in evaluating the extent of the incident and to share information in an effort to minimize the impact to both parties. Date and time of on-site visits will be mutually agreed upon by USTRANSCOM and the contractor in advance.

5.5.2. The contractor agrees to allow follow-on actions by the Government (e.g., USTRANSCOM, Federal Bureau of Investigation, Department of Homeland Security, DC3, etc.) to further characterize and evaluate the suspect activity. The contractor acknowledges that damage assessments might be necessary to ascertain an incident methodology and identify systems compromised as a result of the incident. Once an incident is identified, the contractor agrees to take all reasonable and appropriate steps to preserve any and all evidence, information, data, logs, electronic files and similar type information (reference NIST Special Publication 800-61:

Computer Security Incident Handling Guide, (current version)) related to the incident for subsequent forensic analysis so that an accurate and complete damage assessment can be accomplished by the Government.

5.5.3. The contractor is not required to maintain an organic forensic capability, but must ensure data is preserved (e.g., remove an affected system, while still powered on, from the network) and all actions documented until forensic analysis can be performed by the Government or, if the Government is unable to conduct the forensic analysis, a mutually agreed upon third party (e.g., Federally Funded Research and Development Center (FFRDC), commercial security contractor, etc.). Any follow-on actions shall be coordinated with the contractor via the Contracting Officer.

5.5.4. The contractor agrees to indemnify and hold the government harmless for following any recommendations to remedy or mitigate the cyber-incident following the actions under 5.5.1. and 5.5.2.

5.6. Confidentiality and Non-Attribution Statement

The Government may use and disclose reported information as authorized by law and will only provide attribution information on a need-to-know basis to authorized persons for cybersecurity and related purposes (e.g., in support of forensic analysis, incident response, compromise or damage assessments, law enforcement, counterintelligence, threat reporting, and trend analysis).

The Government may share threat information with other USTRANSCOM industry partners without attributing or identifying the affected contractor.

APPENDIX A: LOADING/DISCHARGING POINTS

Below list represents current and historic information. Loading/Discharging points may be added or deleted as fuel procurement award patterns change.

Fuel Loading/Discharge Ports

Jet-A Loading Ports Baltimore, Maryland

Defense Fuels Support Point (DFSP) Craney Island, Portsmouth, Virginia DFSP Portland, Maine

DFSP Charleston, South Carolina DFSP Jacksonville, Florida

DFSP Mayport, Florida Placid Refinery, Louisiana

DFSP Houston, Texas Baton Rouge, Louisiana

Linden, New Jersey

Jet-A Discharge Ports

Delaware Storage and Pipeline Company, Port Mahon, Delaware Sunoco, Anacostia, District of Columbia

Interstate Storage and Pipeline Corporation,…