DASS_RFP_Attachment_5_EPM-Instructions_P0001.pdf

7-1

80SSC020R0007 DASS RFP Attachment 5 - EPM Instructions Amendment 00001

A. EXCEL PRICING MODEL (EPM) FILE:

Format: In order to achieve standardization, the Excel Pricing Model includes one workbook/file.

The following worksheets are located within the workbook.

1. Fully Burdened Rates (FBR)

2. Summary Price Template (SPT)

3. Total Compensation Template (a) (TC(a))

4. Total Compensation Template (b) (TC(b))

5. Phase-in Template (PIT)

The Fully Burdened Rates and Summary Price Templates in the workbook shall be automated. The two Total Compensation Templates need not be automated.

Formulas: All formulas used in the workbook must be clearly visible in the individual cells and verifiable. Whereas linking among the worksheets within the workbook may be necessary, the use of external links (source data not provided to NASA) of any kind is prohibited. The workbook must contain no macros or hidden cells.

Locks: The EPM shall not be locked/protected or secured by passwords.

Workbook Acronyms

All electronic file/worksheet names included in the proposal shall begin with the appropriate worksheet acronym, hyphen, followed by the first three letters of the company name. For example:

Assume the company name is ABC Company and you have completed the SPT worksheet; the worksheet name would be SPT-ABC.xls. The Offeror shall use the template acronyms below in naming individual worksheets/tabs within the Excel file/workbook:

D. IDIQ COST TEMPLATE INSTRUCTIONS

1. Fully Burdened Rates Development Template (FBR)

A separate FBR is required for each contract year of the effort from the Prime Offeror and all major subcontractors. Major subcontractor is defined in this solicitation as a company that the Offeror anticipates providing at least $500,000.00 of contract value in support of the Statement of Work effort. These templates are provided so that each Offeror may show how they arrived at its individually proposed fully burdened rates including profit.

Template Acronyms:

FBR – Fully Burdened Rates Development Template SPT – Summary Price Template TC(a) – Compensation Template (a) Salaries & Wages – Non-Exempt TC(b) – Compensation Template (b) ): Fringe Benefits Analysis of Compensation Package PIT – Phase in template

7-2

The templates consist of two sections. The section under the red row is to be completed by the Prime Offeror and all major subcontractors. The fully-burdened rates per Standard Labor Category (SLC) computed by the subcontractor may include an amount for profit if the subcontractor does not have a profit-sharing arrangement with the Prime Offeror. The subcontractor’s fully-burdened rates are to be provided to the Prime Offeror for inclusion into the development of the Prime Offeror’s composite fully-burdened rates.

The section under the green row in the template is to be completed by Prime Offerors only. Note that this section also includes the section under the red row. For a Prime Offeror, the red section will contain data used in developing its own fully-burdened rates per SLC. The green section is used by the Prime Offeror to apply any proposed burden rates to all major and minor subcontractors’ fully-burdened rates, which is then used to calculate the composite fully-burdened labor rates by SLC based on the percentage usage of the Prime Offeror and its subcontractors. The template provides columns to accommodate three subcontractors. Should the Prime Offeror propose more than three subcontractors, then the appropriate columns shall be added to accommodate the additional subcontractors. (Please refer to the asterisked notes in the template.)

The following provides some detailed guidance in preparing the FBR. The FBR template calculates a fully-burdened composite labor rate for each SLC while simultaneously mapping the Offeror’s labor categories into NASA’s SLCs.

The first column identifies the Offeror’s labor categories that map into the Government SLCs in the second column. The Offeror may have one or more of its labor categories mapped into each SLC.

The next column provides for the incumbent retention percentage that the Offeror proposes to retain at the current incumbent labor rate.

The column entitled “usage” provides the comparative weighting for each of the Offeror’s labor categories. The usage percentage must total 100% for each SLC. The following example is provided for clarification. Assume that the Offeror’s Labor Categories “Secretary - Junior” at $28.75/hour and “Secretary - Intern” at $25.25/hour map into the SLC “JSC - Secretary I. Also assume that the Offeror’s labor categories will be utilized at 75% and 25%, (total 100%) respectively. The weighted average for the SLC “JSC - Secretary I” is then calculated as follows: ($28.75/hr. * 75%) + ($25.25/hr. * 25%) = $27.88.

Next, to compute the fully burdened rate, indirect costs are added to the weighted average direct labor cost ($27.88 in the example above) by applying the appropriate indirect rates to the appropriate bases in accordance with the Offeror’s accounting system. The template includes columns to accommodate two indirect rates, the Overhead and the G&A Rates. If the Offeror’s accounting system includes other indirect rates, (for example Fringe Benefit Rate), columns shall be added to facilitate incorporating the other rates into the development of the fully-burdened labor rates. The Subcontractor Price Input Area (under the grey row) is used by the Prime Offeror to apply any proposed burden to the subcontractors’ fully-burdened rates. In the Subcontractor FBR columns, the Prime Offeror shall input the FBR for all major and minor subcontractors. These rates are burdened with the Prime Offeror’s burden rate and recorded in the next columns. The template is designed to accommodate three subcontractors. However, if more than three subcontractors are proposed, columns shall be added to accommodate the inclusion of the other subcontractors.

The Percentage Usage Prime/Sub columns are used by the Prime Offeror to input the percentage of effort to be performed by the Prime Offeror and subcontractors for each SLC. These percentages, together with the fully-burdened rates, are used to develop the composite fully-burdened rates for each SLC. (Please refer to the template for an example in developing the composite fully-burdened rate.)

7-3

The prime’s profit rate and composite columns on the FBR templates are used to input the proposed profit rate and to calculate the fully-burdened labor rates by Standard Labor Category. The fully-burdened rates calculated in the FBR template shall be included in Section 1 of the Model Contract in the format provided in Attachment 4.12 of the RFP.

The last column to the right on the FBR addresses the Composite Overtime Prime and Subcontractor FBR per Hour. The Offeror must clearly state in its narrative the basis and methodology used for calculating the overtime rates. For example, if the pricing narrative states that a Secretary is paid time and a half for overtime, the formula to calculate the overtime rate shall reflect this assertion.

2. Summary Price Template (SPT)

The purpose of this template is to determine the effect of the proposed rates for all years for Full-Time employees. It is used to price out the proposal for the entire period of performance. For the first year, the hours for the Administrative and Secretary labor categories (highlighted in green), shall be calculated by applying the Prime Offeror’s composite conversion factor to the WYEs provided in the template. (Please note that the WYE’s provided in the template shall not be changed in calculating the contract price.) Each Prime Offeror shall propose the WYEs for the management labor categories (highlighted in blue), based on its management approach. The WYEs are converted to hours using the composite conversion factor. The hours in the first year of the proposal shall be straight-lined to years 2 through 5 of the contract for all SLC’s.

The template is divided into three sections. The first section calculates the hours based on the composite conversion factor and the WYEs provided in the template for the Administrative and Secretary SLCs, and the proposed WYEs for the management SLCs. The next section contains the composite fully-burdened labor rates as developed in the FBR-FT. The third section calculates the fully burdened labor price by applying the FBR-FT labor rates to the appropriate labor hours in the first section of this template. In addition, an estimated travel cost is provided for inclusion in the Total Contract Price. The estimate is provided by the Government for analysis purposes and shall not be altered by the Offerors. It should not be construed as actual dollars to be exercised on the contract. If appropriate, and in accordance with the Offeror’s Accounting System and Accounting Policies, an indirect rate (E.g. G&A rate), and profit may be applied to the travel cost. Included in the template are three exempt labor categories, Program Manager, Supervisor, and Training Specialist.

Each Offeror shall propose the number of WYEs for these SLCs that are required to manage the contract, and to manage the secretarial and administrative staff.

3. Compensation Template (a): SALARIES AND WAGES NON-EXEMPT - CONTRACT YEAR 1:

TC(a)

The Offeror shall submit a completed Compensation Template (a) for non-exempt personnel for contract year 1. This template is required of the Prime Offeror as well as all major subcontractors. In the “LABOR CATEGORY - Offeror’s” column, list all labor classifications included in the cost proposal, by titles from the Offeror's estimating system. Each of the Offeror’s Labor Categories shall be mapped to the Government Standard Labor Category. The DOL WD category shall be mapped to the LABOR CATEGORY – Offeror’s. The “Incumbent Actual Labor Rate” column is only applicable to incumbent contractors or sub-contractors. Incumbent contractors or sub-contractors are to include the actual average current direct labor rate for each SLC. The “WYE” Column shall include all proposed or provided WYE’s per SLC. Depending on whether the category is DOL or CBA covered, include the wage rate in the appropriate column. The "Contract Year 1 Actual Proposed Labor Rate" is the Offeror’s actual proposed composite labor rate starting in Contract Year 1. The “Escalation Rates for Year 2-5” column shall include the Offeror’s annual escalation percentage. A source column has been

7-4 provided on the template for the Offeror to identify the supporting data for each labor category. An example is included on the template for illustration purposes only.

Note: When escalation is proposed, consider the clause at 52.222-43, Fair Labor Standards Act and Service Contract Act-Price Adjustment (Multiple Year and Option Contracts). Offerors shall provide adequate supporting rationale for any escalation proposed.

4. Compensation Template (b): FRINGE BENEFITS ANALYSIS OF COMPENSATION PACKAGE – Contract Year 1: TC(b)

A separate template (TC(b)) shall be completed for exempt, non-exempt nonunion, and non-exempt union direct labor. This template is required of the Prime Offeror as well as all major subcontractors. It should be noted that the minimum hourly fringe benefits rate cannot be less than the DOL specified minimum rate listed in the RFP under Section 4 for non-exempt employees. The column entitled, “Cost of Fringe Benefit” shall include the cost, not rate, associated with the fringes specified (i.e. life insurance, disability insurance, etc.) that are proposed on this contract for each of the related personnel type (exempt, non-exempt union/non-union). The next column entitled “Percent of Direct Labor Cost” shall include the percentage of each of the related specified fringe costs as a percent of direct labor cost. The third column shall include hourly rates based on the average cost per labor hour proposed per specified fringe.

5. Phase-In Template (PIT)

The phase-in template is required of the Prime Offeror only and is designed to show the total price for the accomplishment of the phase-in requirements. The price shall include all subcontractors’ price and the Prime Offeror’s profit. The proposed phase-in price shall be supported by a narrative basis of estimate (BOE). Include all skills and hours on this template and add rows if needed to account for all labor required. Offerors may use the SLCs provided to develop its Phase-In skill mix, if appropriate, or include the Offeror’s labor skill mix on the template with a brief job description in the narrative. The BOE should include a discussion of labor skill mix and significant non-labor resources (materials/supplies, equipment, other, etc.) necessary to accomplish the phase-in requirements. The phase-in template is to include ALL phase-in costs necessary for full contract implementation.

E. Profit

Provide a description of the proposed profit structure.