Amendment A001 to RFP 19LE2022R0003.pdf

Solicitation No. 19LE2022R0002 Page 2 of 2

SBU - CONTRACTING AND ACQUISITIONS

Continuation page of Block 14 of SF-30:

The purpose of this amendment to solicitation # 19LE2022R0003 is to change:

A- The Value Added Tax clause will now read:

VALUE ADDED TAX. Value Added Tax (VAT) is not included in the CLIN rates.

Instead, it will be priced as a separate Line Item in the contract and on Invoices. Local law dictates the portion of the contract price that is subject to VAT; this percentage is multiplied only against that portion. It is reflected for each performance period. The portions of the solicitation subject to VAT are:

95 Octane Gasoline Products

B- Price Adjustment clause will now read:

(b) To request an adjustment in price, the Contractor must provide written notification of the price change to the Contracting Officer on the business day the new price is to be effective. This notification must be accompanied by a copy of the official announcement of the price change, showing the new price and its effective date. The officer or general partner of the Contractor having overall responsibility for the

Contractor's affairs shall certify the submission by written signature.

C- Clause FAR 52.217-9 (c) Option to Extend the Term of the Contract (MAR 2000) will now read:

(c) The total duration of this contract, including the exercise of any options under this clause, shall not exceed five (5) years and six (6) months.

Attached documents:

1- Attachment A – Minutes from April 12, 2022 – Pre-proposal Conference

2- Attachment B – Questions and Answers

Attachment A

MINUTES OF MEETING

PRE-PROPOSAL CONFERENCE

DATE: 04-12-2022; 10:00-11:30 AM

SUBJECT: Pre-Proposal Conference for Gasoline and Diesel Oil Supplies Solicitation

(RFP # 19LE2022R0003)

PARTICIPANTS: Representatives from 4 Fuel Companies

Louise Ramsay / Contracting Officer

Garo Ohanian / Procurement Supervisor

Michel Al Kefrawi / Procurement Agent

Soha El Hoyek / Contracting Specialist

Inaam Attieh / Travel, Shipping and Customs Supervisor

Katia El Ghorayeb / Motor Pool Supervisor

Lina Ramia / Facilities Engineer

Richard El Achkar / COR

The above-listed attendees met to discuss the solicitation package. The following were discussed:

1- CO Louise Ramsay welcomed all attendees and introduced the Embassy staff. She explained that the purpose of the meeting was to provide an opportunity for all firms to understand U.S. Government solicitation procedures, rules that apply to the solicitation process, and an overview of the Statement of Work (SOW). CO informed the participants that anything said during the conference does not change the requirements of the solicitation. Participants should send their questions by April 14, 2022, at the latest. The embassy will be posting the answers to written questions received on Sam.gov on April 21, 2022. The proposals due date will be on

April 28, 2022. CO Louise Ramsay and Garo Ohanian told the participants that as per FAR 4.1102, if a company is to be awarded a contract, it should be registered in SAM, which takes 2 to 3 weeks. They need to abide by the Zadroga Act that entails 2% of the contract amount to be deducted and will not be paid to them. Garo

Ohanian explained the NDAA requirements as well.

2- CO Louise Ramsay and Procurement Supervisor Garo Ohanian provided a summary of the solicitation package. Specific sections discussed were Section I - The Schedule: 1- Scope of work, 2- Pricing, 4- Delivery, 5- Embassy security procedures and Insurance requirements, Section 2 – Contract Clauses: Covered

Telecommunications, Order limitations and IDIQ concept. As to the payment, it will be in fresh USD by EFT to a bank account in-country or off-shore. Payment will be made within thirty (30) days. Garo explained the

FAR clause about the termination for convenience and for default. Participant company representatives were reminded that failure to submit a complete proposal may be a cause for the proposal to be rejected and deemed as unacceptable. Bidders shall separate price and technical proposals.

3- Inaam Attieh explained to participants the customs clearance process.

4- Participants were asked to base their quotations on the first decree issued by the Lebanese Ministry of Energy and Water on the last week of the solicitation period, i.e. on or before April 28, 2022. Bidders are required to specify the decree number upon which they have based their offers. The contract is for one (1) base year and that the USG has the option for four (4) additional years with a possibility to extend for maximum six (6) months.

5- The criteria for the technical evaluation were explained. The award will be made to the lowest priced, acceptable, responsible offeror.

6- Katia El Ghorayeb informed the participants that there is a small gasoline tank in case there is a need to put the extra quantity delivered.

7- Richard El Ahckar explained the receiving process.

The Pre-Proposal Conference concluded and attendees were thanked for their presence and expression of interest in serving the U.S. Government. The meeting was adjourned at 12:30.

Attachment B

Questions and Answers

Here below the answers to the received questions:

Q1: II. A. Value added tax:

Regarding VAT. It is mentioned that VAT is not applicable to this contract.

A1: Refer to Amendment # A001 to RFP # 19LE2022R0003.

Q2: Regarding the period of the contract. The base period consists of 1 year, then it can be prolonged for 4 additional years, which makes the total of 5 years. How will the contract be prolonged? under the same conditions? Clarification?

A2: The exercise of any option period is a unilateral right of the U.S. Government. Before the end of each option year, the U.S. Embassy sends a modification document to the awardee whereby the option year is exercised.

Q3: DOSAR 652.232-70 Payment schedule and invoice submission

Regarding VAT. it is mentioned that the contractor shall show VAT on invoices.

Clarification? noting that the contractor must show VAT on invoices as per the

Lebanese tax law.

A3: Refer to Amendment # A001 to RFP # 19LE2022R0003.

Q4: 2-Price adjustment

Regarding price change. It is mentioned that the contractor must provide written notification of the price change to the contracting officer at least one week before the new price is to be effective. Clarification? Noting that we receive price changes on daily basis from the ministry.

A4: Refer to Amendment # A001 to RFP # 19LE2022R0003.

Q5: 5-Embassy security procedures

Regarding the loading terminal. It is mentioned that the contractor shall have a loading port within 10 km from the Embassy. Clarification? Noting that our main loading port (excluding Beirut) is in Amchit, around 20 km far from Aoukar area.

Regarding the Embassy's representative. It is mentioned that the Embassy shall send a representative to check the empty truck before loading, then to ride back to the

Embassy in the truck. Clarification? Possibility of executing this note.

A5: This clause remains the same and is unchanged.

Q6: 7-Insuarnce requirements:

Regarding the insurance. Clarification concerning the Defense Base Act. (DAB)

Our insurance covers 1 000 000$ fresh for both corporal and material damage

A6: Kindly refer to the following clauses of RFP # 19LE2022R0003:

1- The Offeror shall include Defense Base Act (DBA) insurance premium costs covering employees. The offeror may obtain DBA insurance directly from any

Department of Labor approved providers at the DOL website at http://www.dol.gov/owcp/dlhwc/lscarrier.htm

2- Section B Pricing – Clause 7-B - Insurance requirement per FAR 52.228-3

Q7: FAR 52.217-8-9 OPTION to extend services and term of the contract

Also, regarding the contract's period, it is mentioned that the U.S. Embassy has the option to extend services within the limits, and it shall not exceed 6 months.

Extension will be by written notice within the performance period of the contract or within 30 days.

Does our company have a say in this extension option? Clarification?

A7: Refer to A2 above.

Q8: Also, regarding the contract's period, it is mentioned that the total duration shall not exceed 5 years, including the extensions. But how is it calculated? Clarification?

A8: Refer to Amendment # A001 to RFP # 19LE2022R0003.

Q9: 52.232-19 Availability of funds for the next fiscal year

Regarding Funds. Funds may not be available after September 30th. Clarification?

A9: The US Government appropriates funds each fiscal year. The USG fiscal year ends on September 30 of each year. For orders made after the fiscal year ends on

September 30, new appropriated funds will be used by the USG for these purchases.

This is an internal USG funding mechanism. The supplier will receive only funded

Delivery Orders from the USG.

Q10: Scope of work

Regarding maximum quantities, oral orders/ and orders made during the period of the contract but not completed within it. How and when will oral orders be confirmed in writing? What if the maximum quantity is exceeded? Clarification?

A10: If the contract orders reach the Maximum Order Quantities as stipulated in Section

I – Scope of Work – the Contracting Officer may issue a contract modification to increase this quantity in mutual agreement with the contractor or re-issue a new solicitation for this purpose.

The Contracting Officer will confirm oral orders in writing as soon as practicable.

Please note that this may happen only in extreme emergency cases and only the

Contracting Officer of the Embassy has this privilege.

http://www.dol.gov/owcp/dlhwc/lscarrier.htm

Q11: And as discussed during the meeting, please advise about the 2% discount that must be mentioned on each invoice. If you please give us more details

A11: The James Zadroga 9/11 Health and Compensation Act of 2010 (hereafter referred to as the “Act”) was signed into law and became effective on January 2, 2011.

Pursuant to the Act, 26 U.S.C. 5000C of the Internal Revenue Code imposes a tax of two percent (2%) of the amount of a specified Federal procurement payment made by the U.S. Government to any foreign person. On August 18, 2016 the Department of Treasury issued final regulations in the Federal Register at 81 FR 55133, under section 5000C of the Internal Revenue Code relating to the (2%) tax on payments made by the U.S. Government to foreign persons pursuant to certain contracts. DoD, GSA, and NASA published a final rule in the Federal Register at 85 FR 27098 that amends the Federal Acquisition Regulation (FAR) to implement the Department of

Treasury’s final regulations. The final rule only addresses the collection of the section 5000Cs tax from contract payments on certain foreign contracts by withholding up to (2%) of the payment.

See FAR 52.229-12 Tax on Certain Foreign Procurements—Notice and

Representation (Feb 2021) online for further details https://www.gpo.gov/fdsys/pkg/PLAW-111publ347/pdf/PLAW-111publ347.pdf https://www.gpo.gov/fdsys/pkg/USCODE-2015-title26/html/USCODE-2015-title26-subtitleD-chap50.htm