AMENDMENT 0002 SMC - NEXT Pre-Proposal Conference Briefing 2Feb2023.pdf

Office of Ship Operations February 02, 2023

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SHIP MANAGEMENT CONTRACT –

NEXT

(SMC – Next)

Pre-Proposal Conference

1Controlled Unclassified Information (CUI)

• Registration/Sign-in

• Fire Exits

• Restrooms

• Comments/Questions – IN WRITING

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SHIP MANAGEMENT CONTRACT – NEXT

Administration

0900-0915 Mr. Harrington’s Welcome and Introductions 0915-0920 Overview of Acquisition 0920-0930 Highlights 0930-1045 Pricing Overview 1045-1050 Basis for Award 1050-1100 Milestones 1100-1135 Q&A Period 1135-1150 Closing Comments/Wrap Up

Agenda

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SHIP MANAGEMENT CONTRACT – NEXT

• Doug Harrington, Deputy Associate Administrator for Federal Sealift/Director, Ship Operations

• Melinda Simmons-Healy, Deputy Director, Fleet Program Management

• Joseph Harriss, Deputy Director, Ship Operations

• Richard Fontana, Program Manager

• Quintin Ellis, Sealift Programs Business Manager

• Dean Baldus, Project Manager

• Bruce Markman, Director, Office of Acquisitions

• Robert McDermott, Procuring Contracting Officer

Introductions

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• General Scope - The contractor shall maintain assigned ship(s) in Fully Mission Capable Readiness Status and efficiently activate and operate these vessels in support of national emergencies and defense objectives

• All contracts total will encompass fifty-eight (58) vessels. Most of the vessels are berthed at outports along the East, West, and Gulf coasts of the U.S. These vessels are maintained by MARAD in a state of 4-day, 5-day or 10-day readiness, as established by the DoD to meet common user sealift requirements of the armed services

• Services required include all labor and supervision to equip, provision, supply, replace, upgrade, maintain or repair structures, equipment, priorities, allocations, and allotments, machinery, outfitting, spare parts, or supplies in accordance with contract, ABS, and USCG regulatory requirements. The contractor shall provide administrative support to ensure that all requirements of the contract are accomplished in a timely and efficient manner

• Period of Performance – Contract is for a total of 10 years, including a 5-year base period and one 5-year option period

Overview of Acquisition

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Highlights

• New ships coming in to replace older ships

• Expanded capability/flexibility in the new contract

• Emphasis on Activation (Operations)

• More Out Year Planning

• Emphasis on Reliability

• Material Condition of the Ship

• Quality of information/data

• Improved pricing template

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Pricing Overview - J-12 Pricing Data

SHIP MANAGEMENT CONTRACT – NEXT

GENERAL

• Within MARAD Excel tables or arrays, filled cells of any color are locked with a password to protect formulas or specific text; conversely non-filled cells for pricing data entry are not locked.

TAB OfferorID

• Provide your company name reflective of your SAM Registration

• Also provide a 3-letter company name abbreviation and include your SAM-assigned Unique Entity Identifier (UEI)

TAB FOSCrewing

• For any ship groups not being proposed, delete all crewing for the ship group (FOS, ROS-4/5 & ROS-10); do not alter crewing in ship groups being proposed

TAB FOSCrewCosts

• Enter supported/proposed Payroll Tax Rate (PTR) in Cell G18

• Enter Weekly Base Wage rates, Hourly OT Wage Rates, recurring Daily OT hours (if any) and all benefit contributions (edit “Offeror Defined” header to describe each per diem contribution)

• This Tab provides an approximation of per diem crew costs in FOS which are cost reimbursable items not included in the Total Evaluated Price (TEP)

TAB DailySWA

• Computes composite daily security watch per diem rate inclusive of:

• Weekday watch costs (15 hours at ROS Security Watch Rate) (1700 to 0800 weekdays including holidays)

• Weekend watch costs (24 hours at ROS Security Watch Rate)

• Holiday overtime watch costs (8 hours OT Rate + 15 hours at ROS Security Watch Rate). Do not include recurring OT on a per diem basis for Holiday watch costs on Tab ROS5CrewCosts

TAB ROSCrewing

• For any ship groups not being proposed, delete all crewing for the ship group (FOS, ROS-4/5 & ROS-10); do not alter crewing in ship groups being proposed

TABS ROS5CrewCosts & ROS10CrewCosts

• Enter supported Payroll Tax Rate (PTR) in Cell G19

• Enter Weekly Base Wage rates, OT Wage Rates, recurring Daily OT hours (if any)

• Cells in Range A3:P17 are unlocked for Offeror use

Pricing Overview - J-12 Pricing Data (cont)

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TABS ROS5CrewCosts & ROS10CrewCosts (cont’d)

• Vacation Benefit Per Diem costs in Col. H are based on the following calculation logic. If union contributions are involved, show any administrative fee in a separate Offeror-Defined column.

• Enter additional contributions required by CBA in the “Offeror Defined” columns with the column headers edited to describe an appropriate purpose for each contribution

• Costs summed in Column R excludes ROS Daily SWA and becomes the gapped billet amount for which no reimbursement is due the Contractor since SWA was not included in Column R

• NOTE: ROS Daily SWA per diem cost is selected by formula from TAB DailySWA based on Contract Year and Number in Watch Rotation to be added to ROS Crew Costs by ship for each duty officer in Col. S - BR

Pricing Overview - J-12 Pricing Data (cont)

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SHIP MANAGEMENT CONTRACT – NEXT

Vacation Pay Benefit Per Diem Component Calculation Example

Billet

Weekly Base Wage

(Hypothetical) Per Diem Base

Wage 8-hr Workday

Wage Annual Vac Benefit Per Diem Vac

Benefit L.9.3.7.1

Credit/Day for Vacation

Used

Source: CBA =ROUND(3000/7,2) =ROUND(3000/5,2) 2 Days/mo = 2*12*600 =ROUND(14400/365,2)

Chief Mate 3,000.00$ 428.57$ 600.00$ 14,400.00$ 39.45$ 600.00$

Sheet1

Vacation Pay Benefit Per Diem Component Calculation Example

Billet Weekly Base Wage (Hypothetical) Per Diem Base Wage 8-hr Workday Wage Annual Vac Benefit Per Diem Vac Benefit L.9.3.7.1 Credit/Day for Vacation Used

Source: CBA =ROUND(3000/7,2) =ROUND(3000/5,2) 2 Days/mo = 2*12*600 =ROUND(14400/365,2)

Chief Mate $ 3,000.00 $ 428.57 $ 600.00 $ 14,400.00 $ 39.45 $ 600.00

4 TABS ending in OtherCosts (ROS 4/5, ROS 10, OPER, Phase M FOS)

• Enter Profit Percentage on ROS Crew & Other Costs in Cell K1

• Enter Year-to-Year Escalation % in Cell M1

• Entering of Other Costs data for Year 1 will populate subsequent years escalated by the % in Cell M1

• Other Costs provided for Year 1 are to be based on being awarded 10 ships or more in total from this RFP

• Leave Year 1 cells blank for ship groups for which you are not proposing

• Edit “Offeror Defined” rows with brief description of purpose of costs (if any) entered

Pricing Overview - J-12 Pricing Data (cont)

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TAB FPSched-EOS

• User entries on this tab are limited to Cells Q3:Y3

• Columns Q through Y will show adjusted fixed-price per diem rates if total ships (including additional ships, if any) drop to 9 total or less; if the offeror is awarded less than 10 ships initially, award pricing will reflect the amounts offered for the total number of ships awarded

• % entered into Cells Q3:Y3 increase “Other Costs” component of fixed-price per diem (FPPD) by that % which is added to ROS Crew Costs (where applicable) to establish FPPD for each FPPD service

Pricing Overview - J-12 Pricing Data (cont)

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Basis for Award

• M.7.1 Awards will be made on a "best value" basis and will reflect the best overall value to the

Government for the RRF program in its entirety. Contracts will be awarded by Ship Group.

Selection and award will be made to responsible offerors (within the meaning of FAR 9.103) on a best value basis considering all price and non-price evaluation factors set forth below, an offeror’s corporate limit (L.7.2.2) and/or working capital established (M.3.1.3), and the agency's intent to award contracts to multiple offerors (M.7.2) and small business considerations (M.7.3 & M.7.4)

• M.7.1.1 Those proposals from responsible offerors that meet the Mandatory Eligibility Requirements will be evaluated based on Technical/Management, Past Performance, and Price

• M.7.1.2 The three evaluation factors are listed in descending order of importance:

• Price

• Past Performance

• Technical/Management Technical/Management and Past Performance, when combined, are approximately equal to price

Milestone Planned Date

1. Pre-Proposal conference 2/2/2023

2. Solicitation questions due from potential offerors 2/10/2023

3. Solicitation closing date 3/31/2023

4. Enter Negotiations (If required) 8/28/2023 – 9/29/2023

5. Request final proposal revisions (FPR) 10/2/2023

6. Receive FPR’s 10/23/2023

7. Exercise FAR clause 52.217-8 to extend current contracts (If required) 1/8/2024

8. Formal contract award 2/13/2024

Questions?

(Please provide a Written Copy)

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Closing Comments/Wrap Up