DRAFT Section B - Supplies or Service and Price.pdf

DRAFT

SECTION B – SUPPLIES OR SERVICE AND PRICE

B.1 CONTRACT TYPE

This is a single award Indefinite Delivery Indefinite Quantity (IDIQ) contract for the Department of Homeland Security’s Data Center and Cloud Optimization (DCCO) Support Services. The subject IDIQ contract will provide DHS and its components (collectively “DHS”) with management of its enterprise data center and to implement and manage its future state enterprise information technology (IT) hosting environment as described in Section C. The Contractor shall provide all management, supervision, labor, facilities, and materials necessary to fulfill the DCCO requirements in accordance with the scope herein as requested by Task Order Requests for Proposals (RFPs). All Department of Homeland Security Components are authorized ordering activities. No organization outside of DHS is authorized to order off this IDIQ contract.

B.2 ORDERING PERIODS

(a) The ordering periods for this IDIQ contract consist of a base period and a series of option periods as follows:

Base Period: 5 years Option Period 1: 3 years Option Period 2: 2 years

(b) The DCCO IDIQ contract is not a multi-year contract as defined in in Federal Acquisition Regulation (FAR) 17.103, Multiyear Contracting. Task Orders may be issued at any time during the base and/or option periods if exercised. The performance periods will be specified in the Task Orders and may include option periods. The Government shall not issue Task Orders or Task Order Optional periods of performance under this IDIQ Contract if the IDIQ Contract has either expired or been terminated.

B.3 MINIMUM DOLLAR GUARENTEE AND MAXIMUM CONTRACT PRICNG

PRICING

(a) Minimum. The minimum guaranteed award amount for this IDIQ contract is TBD for only the base period of performance of this contract (inclusive of any fee).

(b) Maximum. The cumulative dollar ceiling value of the resulting single award IDIQ contract is TBD.

(c) The Government has no obligation to issue Orders to the Contractor beyond the amount specified in paragraph (a) of this section. Once the conditions of paragraph (a) have been met, the Contractor will continue to have the opportunity to be issued Orders.

B.4 PRICING

(a) The types of Task Orders issued against this IDIQ may be Firm-Fixed-Price (FFP), Labor Hour (LH), or Time and Materials (T&M), in accordance with Federal Acquisition Regulation (FAR) Part 16.5 “Indefinite-Delivery Contracts” and as set forth in Section G “Contract Administration Data” and Section I “Contract Clauses.”

Indefinite-Delivery, Indefinite-Quantity (IDIQ), Blanket Purchase Agreements (BPAs), and Letter Contracts are not permissible Task Order types. The Government shall not issue, and the Contractor shall not accept Task Orders under this IDIQ Contract for the procurement of hardware or software that is not either for the performance of the services ordered under this Contract or Task Orders issued thereunder or the acquisition of assets formerly used in the performance of those services.

(b) All Task Orders shall be priced in accordance with the pricing set forth in the Government provided Pricing Spreadsheet. These CLINs specify pricing for each of the services, deliverables, and data items within the scope described in the Performance Work Statement.

All CLIN prices described in the Pricing Spreadsheet reflect the fully-burdened rates for each CLIN. The fully-burdened prices include all direct, indirect, general and administrative costs and profit associated with providing the required performance at Government and Contractor sites.

(c) The Contractor is not precluded from offering discounts from the prices found in the Pricing Spreadsheet when preparing its proposals in response to Task Order Requests for Proposal. Proposed rates for Task Orders shall not exceed the rates established in the IDIQ contract.

(f) For FFP type Task Orders, the quantity of each item or labor category ordered will be multiplied against the rate listed in the Pricing Spreadsheet, or as negotiated if lower rates are proposed for the Task Order; and the cumulative extended total of all items ordered will define the firm- fixed price for the Task Order.

(g) For LH type Task Orders, the quantity of hours ordered from each labor category will be specified as deliverable hours billable at the ceiling rates specified in the Pricing Spreadsheet or as negotiated, if lower rates are proposed for the Task Order. The cumulative extended total of all labor categories ordered will define the Task Order ceiling price. Task Orders may authorize adjustments between labor category quantities of up to TBD% within the established task labor ceiling price, without a formal modification so long as the labor ceiling price is not exceeded.

Reimbursement under LH type Task Orders shall be governed by the clause at FAR 52.232-7, Payments under Time and Materials and Labor-Hour Contracts.

(i) For T&M type Task Orders, the quantity of hours ordered from each labor category will be specified as deliverable hours billable at the ceiling rates specified in the Pricing Spreadsheet or as negotiated, if lower rates are proposed for the Task Order. The quantity of materials ordered from CLINs will be specified as at the ceiling rates contained in the Pricing Spreadsheet or as negotiated, if lower rates are proposed for the Task Order. Other materials not ordered from CLINs contained in the Pricing Spreadsheet will be estimated as Other Direct Costs for each Task Order. For T&M type Task Orders, fee on materials is not allowable. The cumulative extended total of all labor categories ordered, plus materials from CLINs contained in the Pricing Spreadsheet, plus the estimate for Other Direct Costs will define the Task Order ceiling price.

Task Orders may authorize adjustments between labor category quantities of up to TBD% within the established task labor ceiling price, without a formal modification so long as the labor ceiling price is not exceeded. Reimbursement under T&M type Task Orders shall be governed by the clause at FAR 52.232-7, Payments under Time and Materials and Labor-Hour Contracts.

(k) At any time and throughout the life of the contract, at the request of either the Contractor or the Government, the Contractor may propose additional labor categories, rates and descriptions in addition to the labor categories found in this IDIQ. Additional labor categories added at the IDIQ level shall not be available for ordering until the Contracting Officer issues a modification incorporating them into the IDIQ.

(l) Task Order Unique CLINs, labor categories, rates, and descriptions may be negotiated on a case-by-case basis. These additional labor categories and rates shall be approved by the IDIQ CO prior to the award of the Task Order or Task Order modification. A recommendation by the Task Order CO shall be made to the IDIQ CO after proposal evaluations have been concluded.

The Task Order CO will forward to the IDIQ CO the following: (1) a justification for the unique labor category or CLIN and how it is within scope of the services described in the PWS; (2) a complete CLIN or labor category description; and (3) a rate price reasonableness analysis. The additional CLINs or labor categories and rates, once approved, shall apply to that specific Task Order only.

B.5 LABOR SUBJECT TO THE SERVICES CONTRACT ACT (SCA)

(a) The IDIQ labor categories are considered bona fide executive, administrative, professional labor, and generally exempt from the SCA if used to perform professional IT services, and not the work of general service employees.

(b) If the principal purpose of a Task Order is to furnish services in the United States through the use of service employees and to the extent that any labor is subject to the SCA and within scope of this IDIQ, the Task Order Contracting Officer must identify such work under a separate CLIN on the order, and apply wages in accordance with FAR 22.10, Service Contract Labor Standards. The Contractor shall comply with FAR 52.222-41 (incorporated into the IDIQ in Section I).

(c) This contract does not include all applicable flow-down clauses for labor categories subject to the SCA. Each Task Order must be tailored to include the appropriate clauses.

B.6 TRAVEL COSTS

All travel will be reimbursed at cost in accordance with the Federal Travel Regulations (FTR).

The Contractor shall seek written Government approval (Contracting Officer (CO) or Contracting Officer Representative (COR)) at least two weeks in advance, prior to incurring any costs associated with non-local travel.

Travel reimbursement request must be submitted (in writing) in sufficient time for the CO or COR to give prior approval and must identify (i) the name of the traveler, (ii) destination (s) including itinerary, (iii) purpose of the travel, and (iv) cost breakdown.

Local travel will not be reimbursed within a 50-mile radius of the individual’s designated worksite.

The Contractor shall use the federal lodging and per diem allowances in accordance with FAR subpart 31.205-46 and the applicable FTR governing the travel performed directly referable to this contract. The Government will not reimburse transportation costs in excess of coach class commercially scheduled air or ground transportation by the most expeditious route.

To be reimbursed, invoices, including travel expenses must include a detailed breakdown of the actual expenditures invoiced.

(End of Section B)