36C24426Q0508 CSS Scrub Machine Wilmington VAMC.pdf

Combined Synopsis-Solicitation for Wilmington VAMC Scrub Machine Services

Section A: Description This is a combined synopsis/solicitation for commercial products and commercial services prepared in accordance with the format Revolutionary FAR Overhaul (RFO) in Federal Acquisition Regulation (FAR) subpart 12.202. This announcement constitutes the only solicitation; quotes are being requested, and a written solicitation document will not be issued.

This solicitation is issued as an RFQ. The solicitation document and incorporated provisions and clauses are those in effect through Federal Acquisition Circular 2025-06 effective 10/01/2025.

This solicitation is unrestricted, full and open competition.

The associated North American Industrial Classification System (NAICS) code for this procurement is 812331 Linen Supply, with a small business size standard of $40 Million.

The FSC/PSC is S209 Laundry and Dry-Cleaning Services.

The Wilmington VAMC is seeking to obtain Surgical Scrub dispensing and return machines along with the launder, restock, and maintenance services.

Section B: Performance Work Statement NCO4 intends to award a contract with 1 base year (4) 1-year options. The base year contract period of performance is 07/01/2026 through 06/30/2027.

STATEMENT OF WORK

WILMINGTON VA MEDICAL CENTER

SURGICAL SCRUB SERVICES

DESCRIPTION

The Wilmington Veterans Affairs Medical Center (WVAMC), located at 1601 Kirkwood Highway, Wilmington, DE 19805, has a requirement for a firm fixed price base plus four (4) one-year options contract for automated scrub dispensing machines.

The Contractor shall provide all resources necessary to install and maintain three automated scrub dispensing machines, three automated return units, and all scrub rentals to include a loss/replacement program, laundering, and restocking of the dispensers. The automated dispensing machines and automated return units shall be located throughout the WVAMC.

The Contractor shall provide all labor, equipment, tools, materials, supervision, and technical expertise necessary to maintain a properly managed automated dispensing and scrub rental program.

https://www.acquisition.gov/far-overhaul/far-part-deviation-guide/far-overhaul-part-12#FAR_12_202

PLACE OF PERFORMANCE

Department of Veterans Affairs Wilmington VA Medical Center 1601 Kirkwood Highway Wilmington, DE 19805

PERIOD OF PERFORMANCE

Estimated period of performance:

Base - 7/1/26 - 6/30/27 Option 1 - 7/1/27 - 6/30/28 Option 2 - 7/1/28 - 6/30/29 Option 3 - 7/1/29 - 6/30/30 Option 4 - 7/1/30 - 6/30/31

SERVICES

Contractor shall provide the Wilmington VA Medical Center with Surgical Scrub services. All personnel, equipment, tools, materials, supervision shall be provided by the Contractor.

Contractor shall provide, install, and maintain three automated scrub dispensing machines, two automated return units, along with all scrub rentals to include an auto-loss replacement program, laundering and restocking the dispensers. Each machine shall accommodate up to 280 pieces. The Contractor shall furnish everything needed to perform this contract according to all its terms.

All automated dispensing and return units shall adhere to the provided size restraints annotated herein, and all scrubs shall be laundered, folded and tracked in accordance with this Statement of Work.

PERFORMANCE REQUIREMENTS

The Contractor shall provide, install, and maintain to ensure proper operations of:

3 automated scrub dispensers:

Dispensers shall fit into the dimensions of 78” H x 52” W x 17” D.

2 automated scrub return units:

Return units shall fit into the dimensions of 78”H x 52” W x 17” D.

Or 3 all in one units that fit in the dimensions of 78”H x 52” W x 17” D with the same capacities.

The Contractor shall provide, stock, collect, transport, hygienically launder, fold, individually package in poly wrap, and maintain stock of Contractor-owned scrubs of various sizes with estimated:

Estimated 15,000 scrubs

The Contractor shall have the ability to track weekly use of garments via an electronic monitoring system and provide a report of items serviced upon request. The Contractor shall provide a rental program for scrub pants, shirts and jackets and provide the WVAMC with an auto-loss replacement policy to replace any scrubs that may become damaged or deemed no longer usable.

DETAILED PERFORMANCE REQUIREMENTS

Automated Scrub Dispensers

Contractor shall deliver all automated scrub dispensers to proper locations, install, program, stock and ensure proper operations of every system.

The dispensing machine units shall be provided by the Contractor on a rental basis for as long as the contract is in place. The machines shall be installed, serviced, and maintained by the Contractor as well as be fully functional. If a machine has any technical difficulties and/or malfunctions, the Contractor shall make every effort to properly resolve the issue by coming on site as needed, as well as maintaining open communication with the Program Point of Contact (POC) during this process. The Contractor may leave a key to the dispensing machines with the POC in case of a malfunction, requiring them to be opened for simple fixes.

Contractor shall gather usage data through input collected at each station. The data collected will not require any medical staff PHI/PII information. Contractor shall have no need to connect to the WVAMC network. At no time will patient or employee information be shared with the Contractor.

Contractor shall train all necessary staff on how to properly use the dispenser/return units.

Dispenser locations:

• Dispenser #1 & 2 or equivalent shall be housed within Building 1 Operating Room area.

Dispenser #3 shall be housed within Building 1 Sterile Processing Service. The hallway between the locker rooms.

Automated Scrub Returns

Contractor shall deliver all automated scrub returns to proper locations, install, program, stock and ensure proper operations of every system.

The return machine units shall be provided by the Contractor on a rental basis for as long as the contract is in place. The machines shall be installed, serviced, and maintained by the Contractor as well as be fully functional. If a machine has any technical difficulties and/or malfunctions, the Contractor shall make every effort to properly resolve the issue by coming on site as needed, as well as maintaining open communication with the POC during this process. The Contractor may leave a key to the return machines with the POC in case of a malfunction and the machine would need to be opened for simple fixes.

Contractor shall gather usage data through input collected at each station. The data collected will not require any medical staff PHI/PII information. Contractor shall have no need to connect to the WVAMC network. At no time will patient or employee information be shared with the Contractor.

Contractor shall train all necessary staff on how to properly use the return units.

Return locations:

• Return unit #1 shall be housed within Building 1 Operating Room Locker Rooms

• Return unit #2 shall be housed within Building 1 Sterile Processing Services, between the locker rooms Unless all in one units are provided.

Scrubs

The Contractor shall be capable of providing hygienically clean scrubs individually folded and in individually poly-wrapped packages. The Contractor shall have a management system that uses barcoded garments to determine lifecycle of the garments for replacement and be capable of delivering disinfected, sterilized, and cleaned scrubs within 24 hours to the facility.

Contractor shall barcode each item to maintain precise management of rental garments in accordance with Contractor’s regular business practices. Contractor shall sort and stock/restock clean scrubs into dispensing machines in designated areas of the medical center. Contractor shall empty out soiled items from the return units located in designated areas of the medical center. Contractor shall launder scrubs to infection control standards as well as the removal of foreign material (e.g., soil, and organic material) from scrub supply using high-level disinfection and sterilization process. Contractor shall also provide cleaned scrubs with no stained, marked, tinted, or any other foreign material that did not come with the original fabric of the surgical scrubs. All scrubs shall be cleaned within Hohenstein and CDC approved standards.

Each item shall be individually folded and individually poly-wrapped prior to delivery. Each item shall be loaded individually to allow for mix matching of sizes to be dispersed as needed.

Contractor shall track the weekly use of garments and provide a report of what items have been serviced to the POC upon request.

Contractor shall have the ability to custom tailor garments to fit staffing size needs and requirements. Each dispenser is to stock complete sizes of scrub sets, i.e. extra small, small, medium, large, extra-large, 2 extra-large, 3 extra-large, 4 extra-large etc. Request for more or less certain sizes due to employee needs and/or new sizes of scrubs, due to change of employees, shall be communicated on a written request through the POC. Contractor shall fill the dispensers to their full capacity on each visit. Sizes for each dispenser shall be adjusted based on the average weekly demand history after the contract is awarded. The contractor shall establish, track, and modify distribution based on demand history.

The contractor shall provide all personnel, rental equipment, tools, materials, supervision, other items and services necessary to manage the required garments for pick-up three times per week (Mondays, Wednesdays and Fridays), cleaning, drop-off three times per week (Mondays, Wednesdays and Fridays) and restocking of cotton/polyester blend scrub uniforms/scrub jackets for the Wilmington VA Medical Center as defined in this Statement of Work.

The following scrub colors and sizes shall be available for the Operating Room and shall include a jacket to match. These numbers are approximate:

Jade Green XS – 2 sets SM – 5 sets M – 7 sets L – 1 set XL – 3 sets 2XL – 2 sets 3XL – 1 set

The following scrub colors shall be available for Sterile Processing Services and shall include a jacket to match:

Grey M – 16 sets L – 10 sets XL – 10 sets 2XL – 10 sets 3XL – 10 sets

These numbers reflect 1 day’s usage.

Hours of Operation

The Contractor shall perform the tasks as required by the SOW under this contract during the following hours: Monday, Wednesday, and Friday between 5:00am, ET, and 7:00am, ET, unless other time is specified.

Holidays: Delivery of scrubs shall not occur on Federal holidays. Should a delivery be regularly scheduled on a holiday, the delivery shall occur on the workday prior to the holiday. The observed Federal Government holidays are: New Year’s Day, Martin Luther King Jr. Day, Presidents Day, Memorial Day, Juneteenth, Independence Day, Labor Day, Columbus Day, Veterans Day, Thanksgiving Day, and Christmas Day. When such holiday falls on first non-workday, the preceding workday shall be considered a holiday. When such holiday falls on the second non- workday, the next workday shall be considered a holiday.

A special event or adjusted work hours: If circumstances should arise wherein the Contractor desires a different work schedule as required, the Contractor shall request this in writing. Submit a written request to the Government POC a minimum of 72 hours before the requested adjusted work schedule, to include inclement weather.

GENERAL INFORMATION

Quality Control

The Contractor shall monitor its employees' performance and based upon the results of such monitoring, shall establish performance improvement activities to assure employee efficiency and knowledge meets standards. Contractor shall ensure employees are performing their duties in a manner consistent with all federal, state, and local rules and regulations as set forth by applicable regulatory agencies and this contractual agreement. One copy of the Contractor’s basic Quality Control Program shall be available for review by the POC. Subsequent changes to the approved Quality Control Program must also be reviewed and approved by the POC. The program shall include, but not be limited to the following:

a. A file of all quality control inspections, inspection results, and any corrective action required shall be maintained by the Contractor throughout the duration of this contract. This file shall be available to the POC during normal working hours upon request.

b. This program shall also track delivery times. No more than two late deliveries a month to be successful.

c. No more than two incomplete deliveries a month to be successful.

Quality Assurance

If the Government performs inspections or tests on the premises of the Contractor, the Contractor shall furnish, without additional charge, all reasonable facilities and assistance for the safe and convenient performance of these duties.

Infection Control

All laundering employees, including truck drivers, shall be educated as well as practice proper hand-washing techniques and shall also participate in educational programs to learn about blood borne-pathogen management and the use of personal protective equipment (PPE). Care shall be taken to contain pathogens during transport (separation of clean from soiled), efforts to avoid cross contamination between soiled and clean items and use of a consistent thorough wash process. A quality assurance program shall be used to ensure life of textile is not exceeded per manufacture recommendations. Transportation of any scrubs shall be covered with heavy plastic prior to leaving the plant to avoid any pathogen contamination and handled in accordance with industry best practice to ensure that they remain hygienically clean. This includes the use of a truck dedicated to healthcare transport and proper use of Personal Protective Equipment (PPE).

Inspections

The Government, at all reasonable times, shall have access and permission to inspect the delivery truck and carts.

Deliveries

Deliveries shall be made in a clearly marked contractor vehicle. Contractor employees shall wear a uniform marked with the contractor’s name. Contractor employees shall be required to check in at the Wilmington VA Police Department, located at the Emergency Room Entrance, and with the POC at each visit.

Contractor Staff Information

The Contractor shall provide a contract manager who shall be responsible for the performance of the work. The name of this person, and an alternate or alternates, who shall act for the Contractor when the manager is absent, shall be designated in writing to the Contracting Officer. The contract manager or alternate shall have full authority to act for the Contractor on all contract matters relating to daily operation of this contract. The contract manager and alternate or alternates shall be able to read, write, speak, and understand the English language.

Uniforms

All employees shall wear contractor provided uniforms (contractor code of dress), which include pants, shirts or blouses, and protective clothing which are clearly distinguishable from other WVAMC uniforms currently in use. The uniform shall be worn as designed by the manufacturer.

Open toe shoes or sandals shall not be worn. A basic leather shoe covering the entire foot is recommended. All personnel shall display identification badges on their uniforms, which will show the employee’s last name and the Contractor’s full name.

Personal Hygiene

Contractor’s personnel shall be clean, bathe daily (including hair), and wear a clean uniform daily. Fingernails shall be clean and free of dirt. Hair shall be neatly trimmed and combed.

Security Requirements

The Contractor’s employees shall wear visible identification at all times while on the premises. It is the responsibility of the Contractor to park in the appropriate designated parking areas. The Department of Veterans Affairs shall not invalidate or make reimbursement for parking violations of the Contractor under any conditions. Smoking is prohibited on VA grounds. Possession of weapons is prohibited. Violations of VA regulations may result in citation answerable in the United States (Federal) District Court, not a local district, state, or municipal court. All Contractor employees performing tasks related to this SOW, while on WVAMC property, shall have proper valid identification. All applicable background checks shall be completed before Contractor employees may begin work. Badges after security clearances shall be worn at all times while on VA grounds. The C&A requirements do not apply, and a Security Accreditation Package is not required.

Damage

Extreme caution shall be exercised to prevent damage to the building and its contents. Any damage shall be reported to the POC immediately for appropriate action. Any damage caused by the Contractor shall be repaired and or replaced to the satisfaction of the VA at the Contractor’s expense. Damage to the building, its contents or loss of Government property in excess of $100,000 shall require a Report of Survey or Investigation Report by the VACC.

Appropriate Government personnel shall conduct the investigation. The party responsible shall be required to replace and/or submit payment for damage or loss.

Access (Keys)

If the POC provides keys for access, it shall be the Contractors responsibility to safeguard and control keys provided.

Section C: Price Schedule

All interested companies shall provide quotations for the following:

Services

Line Item Description Quantity Unit of

Measure Unit Price

Total Price

0001 Scrub Dispense and Return Machine with launder, replenishment, and maintenance services. IAW SOW

Month

1001 Scrub Dispense and Return Machine with launder, 2001 Scrub Dispense and Return

3001 Scrub Dispense and Return

4001 Scrub Dispense and Return

Place of Performance/Place of Delivery

Address: 1601 Kirkwood Highway Wilmington, DE

Postal Code: 19104

Country: UNITED STATES

Section D: Evaluation of Quotations

(a) The Government will award a contract resulting from this solicitation to the responsible offeror whose offer conforming to the solicitation will be most advantageous to the Government, price and other factors considered.

(b) The following factors shall be used to evaluate offers:

1) Technical Capability

2) Past Performance

3) Price

(c)Evaluation Approach. The Government will evaluate quotations using the comparative evaluation process outlined in FAR 12.203(c)(2), where quotations will be compared to one another to determine which provides the best benefit to the Government. The Government reserves the right to consider a quotation other than the lowest price that provides additional benefit(s). Quotations may exceed minimum requirements of the solicitation. The Government reserves the right to select a quotation that provides benefit to the Government that exceeds the minimum requirements of the solicitation but is not required to do so. Each response must meet the minimum requirements of the solicitation. The Government is not requesting or accepting alternate quotations.

The evaluation will consider the following:

1) Technical Capability: The quotation will be evaluated to the extent to which it can meet and/or exceed the Government’s requirements as outlined in the solicitation and based on the information requested in the instructions to quoters section of the solicitation. The vendor shall clearly and completely address the technical elements listed in the statement of work. In addition, the quoter shall provide brief narratives of similarly scoped work completed in the last three years. Previous work examples shall be work reflected of the contractor submitting the quote.

Responses to these elements will form the basis of determining the technical acceptability of the quote. A quote may be considered not technically acceptable if inadequate or insufficient information is submitted, which may exclude the quote from further consideration. Responses of the quote’s technical content must be provided as a single document (not to exceed 20 pages). The written plan shall conform to the standards of 12-point font and keep branding and images to a cover page. Signed RFQ, corresponding acknowledgements and completed CLINs do not count against page limits/attachments.

2) Past Performance: The past performance evaluation will assess the relative risks associated with a quoter’s likelihood of success in fulfilling the solicitation’s requirements as indicated by the quoter’s record of past performance. The past performance evaluation may be based on the contracting officer’s knowledge of and previous experience with the supply or service being acquired; Customer surveys, and past performance questionnaire replies; Contractor Performance Assessment Reporting System (CPARS) at http://www.cpars.gov/; or any other reasonable basis.

3) Price: The Government will evaluate the price by adding the total of all line-item prices. The Total Evaluated Price will be that sum. Quotes shall be valid for 90 days. The government may choose to evaluate pricing for realism. Quotes that are unrealistically high or low in price, when compared to the Government estimate, and/or market conditions evidenced by other competitive quotes received, may be indicative of an inherent lack of understanding of the solicitation terms and conditions and/or increased risk of poor performance. This may result in quote rejection without discussion. Government may make award based on the initial quotes received; therefore, an offeror should submit its best pricing with its quote.

(d) Offerors are hereby advised that any offeror-imposed terms and conditions that deviate from the Government’s material terms and conditions established by the solicitation may render the quote unacceptable and, therefore, ineligible for award. Any additional clauses required by public law, executive order, or acquisition regulations in effect at the time of execution of the proposed contract will be included.

Additional information pertaining to Comparative Evaluation is below:

What Comparative Evaluation is:

• It is the direct comparison of one quotation/offer with another in a uniform and fair manner to determine which quote/offer provides the Government what it needs, where and when, as identified in the RFQ

• It is an assessment of which response is the “best” as a whole

• Once one quotation/offer is found acceptable, it is compared side by side to the remaining ones, and the “best” one is chosen

What Comparative Evaluation is not:

• It does not individually evaluate quote/offers against specified evaluation factors

• It does not assign a rating using a color, numerical, or other rating methodology

• Although the process is not prohibited, it does not require additional evaluation to determine if minimal advantage is worth a minimal or normal price difference

• It is not a low price technically acceptable (LPTA) or trade-off process

Contractors may submit more than one quote; however, contractors are strongly encouraged to submit their best technical solutions and prices in response to this request for quote. All quotes must be submitted by the deadline to be considered for evaluation.

The Government reserves the right to not select any quotes for award. Additionally, the Government reserves the right to cancel this solicitation at any time without making award.

The Contractor is responsible for all quote preparation costs, which, under no circumstances, will be paid or otherwise provided for by the Government.

Once the Government determines there is/are a contractor(s) that can provide a service that meet(s) the requirements of this request for quote, the Government reserves the right to communicate with only those contractors quoting the best-suited service to address any remaining issues.

Section E: Clauses and Provisions

The full text of FAR provisions or clauses may be accessed electronically at https://www.acquisition.gov/browse/index/far.

The following contract clauses apply to this acquisition:

FAR 52.212-4 CONTRACT TERMS AND CONDITIONS—COMMERCIAL ITEMS

ADDENDUM to FAR 52.212-4 CONTRACT TERMS AND CONDITIONS—

COMMERCIAL PRODUCTS AND COMMERCIAL SERVICES

Clauses that are incorporated by reference (by Citation Number, Title, and Date), have the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available.

The following clauses are incorporated into 52.212-4 as an addendum to this contract:

52.217-8 Option to Extend Services (Nov 1999)

The Government may require continued performance of any services within the limits and at the rates specified in the contract. These rates may be adjusted only as a result of revisions to prevailing labor rates provided by the Secretary of Labor.

The option provision may be exercised more than once, but the total extension of performance hereunder shall not exceed 6 months. The Contracting Officer may exercise the option by written notice to the Contractor within 14 days.

(End of clause)

52.217-9 OPTION TO EXTEND THE TERM OF THE CONTRACT (MAR 2000)

(a) The Government may extend the term of this contract by written notice to the Contractor within 10 days; provided that the Government gives the Contractor a preliminary written notice of its intent to extend at least 10 days before the contract expires. The preliminary notice does not commit the Government to an extension.

(b) If the Government exercises this option, the extended contract shall be considered to include this option clause.

(c) The total duration of this contract, including the exercise of any options under this clause, shall not exceed five (5) years.

(End of Clause)

SUPPLEMENTAL INSURANCE REQUIREMENTS

In accordance with FAR 28.307-2 and FAR 52.228-5, the following minimum coverage shall apply to this contract:

(a) Workers' compensation and employers liability: Contractors are required to comply with applicable Federal and State workers' compensation and occupational disease statutes. If occupational diseases are not compensable under those statutes, they shall be covered under the employer's liability section of the insurance policy, except when contract operations are so commingled with a Contractor's commercial operations that it would not be practical to require this coverage. Employer's liability coverage of at least $100,000 is required, except in States with exclusive or monopolistic funds that do not permit workers' compensation to be written by private carriers.

(b) General Liability: $500,000.00 per occurrences.

(c) Automobile liability: $200,000.00 per person; $500,000.00 per occurrence and $20,000.00 property damage.

(d) The successful bidder must present to the Contracting Officer, prior to award, evidence of general liability insurance without any exclusionary clauses for asbestos that would void the general liability coverage.

52.240-91 SECURITY PROHIBITIONS AND EXCLUSIONS (NOV 2025)

(DEVIATION)

(a) Definitions. As used in this clause— American Security Drone Act-covered foreign entity means an entity included on a list that the Federal Acquisition Security Council (FASC) develops and maintains and publishes in the System for Award Management (SAM) at https://www.sam.gov (section 1822 of Pub. L. 118-31, 41 U.S.C. 3901 note prec.).

Backhaul means intermediate links between the core network, or backbone network, and the small subnetworks at the edge of the network (e.g., connecting cell phones/towers to the core telephone network). Backhaul can be wireless (e.g., microwave) or wired (e.g., fiber optic, coaxial cable, Ethernet).

Covered application means the social networking service TikTok or any successor application or service developed or provided by ByteDance Limited or an entity owned by ByteDance Limited.

Covered article, as defined in 41 U.S.C. 4713(k), means:

https://www.sam.gov

(1) Information technology, as defined in 40 U.S.C. 11101, including cloud computing services of all types;

(2) Telecommunications equipment or telecommunications service, as those terms are defined in section 3 of the Communications Act of 1934 (47 U.S.C. 153);

(3) The processing of information on a Federal or non-Federal information system, subject to the requirements of the Controlled Unclassified Information program (see 32 CFR part 2002); or

(4) Hardware, systems, devices, software, or services that include embedded or incidental information technology.

Covered foreign country means The People’s Republic of China.

Covered telecommunications equipment or services means—

(1) Telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of such entities);

(2) For the purpose of public safety, security of Government facilities, physical security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities);

(3) Telecommunications or video surveillance services provided by such entities or using such equipment; or

(4) Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the government of a covered foreign country.

Critical technology means—

(1) Defense articles or defense services included on the United States Munitions List set forth in the International Traffic in Arms Regulations under subchapter M of chapter I of title 22, Code of Federal Regulations;

(2) Items included on the Commerce Control List set forth in Supplement No. 1 to part 774 of the Export Administration Regulations under subchapter C of chapter VII of title 15, Code of Federal Regulations, and controlled—

(i) Pursuant to multilateral regimes, including for reasons relating to national security, chemical and biological weapons proliferation, nuclear nonproliferation, or missile technology; or

(ii) For reasons relating to regional stability or surreptitious listening;

(3) Specially designed and prepared nuclear equipment, parts and components, materials, software, and technology covered by part 810 of title 10, Code of Federal Regulations (relating to assistance to foreign atomic energy activities);

(4) Nuclear facilities, equipment, and material covered by part 110 of title 10, Code of Federal Regulations (relating to export and import of nuclear equipment and material);

(5) Select agents and toxins covered by part 331 of title 7, Code of Federal Regulations, part 121 of title 9 of such Code, or part 73 of title 42 of such Code; or

(6) Emerging and foundational technologies controlled pursuant to section 1758 of the Export Control Reform Act of 2018 (50 U.S.C. 4817).

FASC-prohibited unmanned aircraft system means an unmanned aircraft system manufactured or assembled by an American Security Drone Act—covered foreign entity.

FASCSA order means any of the following orders issued under the Federal Acquisition Supply Chain Security Act (FASCSA) requiring removing covered articles from executive agency information systems or excluding one or more named sources or named covered articles from executive agency procurement actions, as described in 41 CFR 201-1.303(d) and (e):

(1) The Secretary of Homeland Security may issue FASCSA orders that apply to civilian agencies, to the extent not covered by paragraph (2) or (3) of this definition. This type of FASCSA order may be referred to as a Department of Homeland Security (DHS) FASCSA order.

(2) The Secretary of Defense may issue FASCSA orders that apply to the Department of Defense (DoD) and national security systems other than sensitive compartmented information systems. This type of FASCSA order may be referred to as a DoD FASCSA order.

(3) The Director of National Intelligence (DNI) may issue FASCSA orders that apply to the intelligence community and sensitive compartmented information systems, to the extent not covered by paragraph (2) of this definition. This type of FASCSA order may be referred to as a DNI FASCSA order.

Information technology, as defined in 40 U.S.C. 11101(6)—

(1) Means any equipment or interconnected system or subsystem of equipment, used in the automatic acquisition, storage, analysis, evaluation, manipulation, management, movement, control, display, switching, interchange, transmission, or reception of data or information by the executive agency, if the equipment is used by the executive agency directly or is used by a contractor under a contract with the executive agency that requires the use—

(i) Of that equipment; or

(ii) Of that equipment to a significant extent in the performance of a service or the furnishing of a product;

(2) Includes computers, ancillary equipment (including imaging peripherals, input, output, and storage devices necessary for security and surveillance), peripheral equipment designed to be controlled by the central processing unit of a computer, software, firmware and similar procedures, services (including support services), and related resources; but

(3) Does not include any equipment acquired by a Federal contractor incidental to a Federal contract.

Intelligence community, as defined by 50 U.S.C. 3003(4), means the following—

(1) The Office of the Director of National Intelligence;

(2) The Central Intelligence Agency;

(3) The National Security Agency;

(4) The Defense Intelligence Agency;

(5) The National Geospatial-Intelligence Agency;

(6) The National Reconnaissance Office;

(7) Other offices within the Department of Defense for the collection of specialized national intelligence through reconnaissance programs;

(8) The intelligence elements of the Army, the Navy, the Air Force, the Marine Corps, the Coast Guard, the Federal Bureau of Investigation, the Drug Enforcement Administration, and the Department of Energy;

(9) The Bureau of Intelligence and Research of the Department of State;

(10) The Office of Intelligence and Analysis of the Department of the Treasury;

(11) The Office of Intelligence and Analysis of the Department of Homeland Security;

or

(12) Such other elements of any department or agency as may be designated by the President, or designated jointly by the Director of National Intelligence and the head of the department or agency concerned, as an element of the intelligence community.

Interconnection arrangement means arrangements governing the physical connection of two or more networks to allow the use of another’s network to hand off traffic where it is ultimately delivered (e.g., connecting a customer of telephone provider A to a customer of telephone company B) or sharing data and other information resources.

Kaspersky Lab-covered article means any hardware, software, or service that—

(1) Is developed or provided by a Kaspersky Lab-covered entity;

(2) Includes any hardware, software, or service developed or provided in whole or in part by a Kaspersky Lab-covered entity; or

(3) Contains components using any hardware or software developed in whole or in part by a Kaspersky Lab-covered entity.

Kaspersky Lab-covered entity means—

(1) Kaspersky Lab;

(2) Any successor entity to Kaspersky Lab, including any change in name, e.g., “Kaspersky”;

(3) Any entity that controls, is controlled by, or is under common control with Kaspersky Lab; or

(4) Any entity of which Kaspersky Lab has a majority ownership.

National security system, as defined in 44 U.S.C. 3552, means any information system (including any telecommunications system) used or operated by an agency or by a contractor of an agency, or other organization on behalf of an agency—

(1) The function, operation, or use of which involves intelligence activities; involves cryptologic activities related to national security; involves command and control of military forces; involves equipment that is an integral part of a weapon or weapons system; or is critical to the direct fulfillment of military or intelligence missions, but does not include a system that is to be used for routine administrative and business applications (including payroll, finance, logistics, and personnel management applications); or

(2) Is protected at all times by procedures established for information that have been specifically authorized under criteria established by an Executive order or an Act of Congress to be kept classified in the interest of national defense or foreign policy.

Roaming means cellular communications services (e.g., voice, video, data) received from a visited network when unable to connect to the facilities of the home network either because signal coverage is too weak or because traffic is too high.

Sensitive compartmented information means classified information concerning or derived from intelligence sources, methods, or analytical processes, which is required to be handled within formal access control systems established by the Director of National Intelligence.

Sensitive compartmented information system means a national security system authorized to process or store sensitive compartmented information.

Source means a non-Federal supplier, or potential supplier, of products or services, at any tier.

Subsidiary means an entity in which more than 50 percent of the entity is owned directly by a parent corporation or through another subsidiary of a parent corporation.

Substantial or essential component means any component necessary for the proper function or performance of a piece of equipment, system, or service.

Unmanned aircraft means an aircraft that is operated without the possibility of direct human intervention from within or on the aircraft (49 U.S.C. 44801(11)).

Unmanned aircraft system means an unmanned aircraft and associated elements (including communication links and the components that control the unmanned aircraft) that are required for the operator to operate safely and efficiently in the national airspace system (49 U.S.C. 44801(12)).

(b) Prohibitions on providing or using specific products or services in performance of contract. Unless a waiver or exception applies, the Contractor is prohibited from providing any products or services to the Government or using in the performance of the contract any of the following:

(1) A covered application on any information technology owned or managed by the Government, or on any information technology used or provided by the Contractor under this contract, including equipment provided by the Contractor’s employees (section 102 of Division R of the Consolidated Appropriations Act, 2023 (Pub. L. 117- 328));

(2) A Kaspersky Lab-covered article (Section 1634 of Division A of the National Defense Authorization Act for Fiscal Year 2018 (Pub. L. 115-91));

(3) Covered telecommunications equipment or services used as a substantial or essential component of any system, or as critical technology as part of any system (paragraphs (a)(1)(A) of section 889 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Pub. L. 115-232)). This does not prohibit contractors from providing—

(i) A service that connects to the facilities of a third-party, such as backhaul, roaming, or interconnection arrangements; or

(ii) Telecommunications equipment that cannot route or redirect user data traffic or cannot permit visibility into any user data or packets that such equipment transmits or otherwise handles.

(c) Prohibition on unmanned aircraft systems manufactured or assembled by American Security Drone Act—covered foreign entities.

(1) Prohibition. The Contractor is prohibited from—

(i) Delivering any FASC-prohibited unmanned aircraft system, which includes unmanned aircraft (i.e., drones) and associated elements (sections 1823 and 1826 of American Security Drone Act of 2023, within the National Defense Authorization Act for Fiscal Year 2024, Pub. L. 118-31, Div. A, Title XVIII, Subtitle B, 41 U.S.C. 3901 note prec.);

(ii) On or after December 22, 2025, operating a FASC-prohibited unmanned aircraft system in the performance of the contract (section 1824 of Pub. L. 118-31); and

(iii) On or after December 22, 2025, using Federal funds to procure or operate a FASC-prohibited unmanned aircraft system (section 1825 of Pub. L. 118-31).

(2) Procedures. The Contractor shall search SAM for the FASC-maintained list of American Security Drone Act—covered foreign entities before proposing, or using in performance of the contract, any unmanned aircraft system. Also, the Contractor shall ensure any effort or expenditure associated with a FASC-prohibited unmanned aircraft system is consistent with a corresponding exemption, exception, or waiver determination expressly stated in the contract.

(3) Exemptions, exceptions, and waivers. The prohibitions in paragraph (c) of this clause do not apply where the agency has determined an exemption, exception, or waiver applies, and the contract indicates that such a determination has been made.

See sections 1823 through 1825 and 1832 of Public Law 118-31 for statutory requirements pertaining to exemptions, exceptions, and waivers.

(d) Prohibition on using or providing specific products or services or conducting certain transactions regardless of connection to contract.

(1) Certain telecommunications and video surveillance equipment, systems, or services.

(i) Unless an applicable waiver has been issued by the Government, the Contractor cannot use any equipment, systems, or services that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system (paragraph (a)(1)(B) of section 889 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Pub. L. 115-232)).

(ii) This prohibition applies to using covered telecommunications equipment or services, regardless of whether that use is in performance of work under a Federal contract. This does not prohibit the contractor from using—

(A) A service that connects to the facilities of a third party, such as backhaul, roaming, or interconnection arrangements; or

(B) Telecommunications equipment that cannot route or redirect user data traffic or cannot permit visibility into any user data or packets that such equipment transmits or otherwise handles.

(2) Office of Foreign Assets Control Restrictions.

(i) Except as authorized by the Office of Foreign Assets Control (OFAC) in the Department of the Treasury, the Contractor shall not acquire, for use in the performance of this contract, any supplies or services if any proclamation, Executive order, or statute administered by OFAC, or if OFAC’s implementing regulations at 31 CFR chapter V, would prohibit such a transaction by a person subject to the jurisdiction of the United States.

(ii) Except as authorized by OFAC, most transactions involving Cuba, Iran, and Sudan are prohibited, as are most imports from Burma or North Korea, into the United States or its outlying areas.

(A) For lists of entities and individuals subject to economic sanctions, see OFAC’s List of Specially Designated Nationals and Blocked Persons at https://home.treasury.gov/policy-issues/financial-sanctions/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists.

https://home.treasury.gov/policy-issues/financial-sanctions/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists https://home.treasury.gov/policy-issues/financial-sanctions/specially-designated-nationals-and-blocked-persons-list-sdn-human-readable-lists

(B) For more information about these restrictions, as well as updates, see OFAC’s regulations at 31 CFR chapter V and at https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-sanctions-programs-and-information.

(C) To conduct electronic screens of potential parties to regulated transactions, see the consolidated screening list at https://www.trade.gov/consolidated-screening-list, which consolidates multiple export screening lists of the Departments of Commerce, State, and the Treasury.

(3) Sudan prohibition. The Contractor is prohibited from conducting any restricted business operations in Sudan in accordance with Accountability and Divestment Act of 2007 (Pub. L. 110-174).

(4) Iran prohibitions.

(i) Unless an exception applies according to paragraph (d)(4)(iii) or the Government grants a waiver, the contractor shall not engage in certain activities or transactions relating to Iran (section 6(b)(1)(A) of Iran Sanctions Act (50 U.S.C. 1701 note).

(ii) Unless an exception applies according to paragraph (d)(4)(iii) or the Government grants a waiver, contractor shall not export certain sensitive technology to Iran, as determined by the President, and has an active exclusion in SAM (22 U.S.C. 8515).

(iii) The prohibition in paragraphs (d)(4)(i) and (d)(4)(ii) do not apply if the acquisition is subject to trade agreements and the offeror certifies that all the offered products are designated country end products or designated country construction material (see part 25).

(iv) Unless an exception applies or the Government grants a waiver, contractors are prohibited from knowingly engaging in any significant transaction (i.e., over $15,000) with Iran’s Revolutionary Guard Corps or any of its officials, agents, or affiliates, the property and interests in property of which are blocked according to the International Emergency Economic Powers Act (section 6(b)(1)(B) of Iran Sanctions Act (50 U.S.C.

1701 note)).

(e) Governmentwide exclusion and removal orders.

(1) Unless the Government has issued an applicable waiver, contractors shall not provide or use as part of the performance of the contract any covered article, or any products or services produced or provided by a source, if the covered article or the source is prohibited by an applicable FASCSA order as follows:

(i) For solicitations and contracts awarded by a Department of Defense contracting office, DoD FASCSA orders apply.

(ii) For all other solicitations and contracts, DHS FASCSA orders apply.

(2) The Contractor shall search for the phrase “FASCSA order” in the System for Award Management (SAM) at https://www.sam.gov to locate applicable FASCSA orders.

(3) The Government may identify in the solicitation other FASCSA orders that are not in SAM, which are effective and apply to the solicitation and resulting contract.

(4) A FASCSA order issued after the date of solicitation applies to this contract only if added by an amendment to the solicitation or modification to the contract (see FAR 40.204-1(c)).

(f)Reasonable inquiry. The contractor shall conduct a reasonable inquiry to determine if there are any prohibited products or services. The inquiry will look at any information in the entity’s possession but does not need to include an internal or third-party audit.

https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-sanctions-programs-and-information https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-sanctions-programs-and-information https://www.trade.gov/consolidated-screening-list https://www.sam.gov/

(g) Removal of prohibited products and services. For Federal Supply Schedules, Governmentwide acquisition contracts, multi-agency contracts or any other procurement instrument intended for use by multiple agencies, upon notification from the Contracting Officer, during the performance of the contract, the Contractor shall promptly make any necessary changes or modifications to remove any product or service produced or provided by a source that this clause prohibits.

(h) General report.

(1) If the Contractor identifies or is notified by any source, (including a subcontractor at any tier), that any product or service provided or used (or to be provided or used) during contract performance does not comply with any prohibition in this clause, then the Contractor shall report the following information, or as much information is known, in writing to the contracting office as identified in paragraph (h)(2) within 72 hours:

(i) Contract number and order number, if applicable;

(ii) The specific prohibition the product or service is not complying with;

(iii) A description of the products or services that the Contractor identifies or has reason to suspect is prohibited (include brand; model number, such as the original equipment manufacturer (OEM) number, manufacturer part number, or wholesaler number; and item description, as applicable);

(iv) The entity that produced the product or service (include entity name, unique entity identifier, Contractor and Government Entity (CAGE) code, facilities responsible for design, fabrication, assembly, packaging, and test of the product, and whether the entity was the OEM or a distributor (provide manufacturer codes and distributor codes used for the product));

(v) Description of the functionality of the product or service and how that functionality impacts the risk to the product or service;

(vi) An explanation of any factors relevant to determining if the product or service should be permitted by an applicable exception, exemption, or waiver (if the contractor would like the Government to consider a waiver, and asks for such a waiver);

(vii) Whether alternative products or services are available that would comply with the prohibition;

(viii) If the product or service is related to item maintenance, include the following information on the item being maintained:

(A) Brand;

(B) Model number, OEM number, manufacturer part number, or wholesaler number; and

(C) Item description, as applicable.

(ix) Any readily available information about mitigation actions implemented or recommended.

(2) If a report must be submitted to a contracting office, the Contractor shall submit the report as follows:

(i) If a Department of Defense contracting office, the Contractor shall report to the website at https://dibnet.dod.mil.

(ii) For all other contracting offices, the Contractor shall report to the Contracting Officer.

https://dibnet.dod.mil/

(ii…