Atch_10_Section M-Evaluation Factors for Award.pdf

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Attached to
Repair of Transmission Assemblies Applicable to the UH-1N Helicopters
Solicitation number
FA8524-26-R-0001
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This document is a Section M - Evaluation Factors for Award from a federal solicitation. The acquisition will be competed on a price-only basis using a Special Standard of Responsibility (SSR), with award made to the responsible offeror whose proposal meets RFP terms and offers the lowest price. The pricing evaluation focuses on two key aspects: (1) price reasonableness, which will be assessed through price competition and analysis techniques, and (2) price balance, with strict cautions against unbalanced pricing such as front-loading costs or illogical price progressions. Offerors must use Attachment 8: Pricing Matrix to submit unit prices, and the Total Evaluated Price (TEP) will be calculated by multiplying proposed unit prices by the Best Estimated Quantity (BEQ) for specific Contract Line Items (CLINs). The document provides detailed examples of TEP calculations, including a standard quantity price calculation and a quantity range calculation, to guide offerors in understanding the government's evaluation methodology.

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Source Selection Information-See FAR 2.101 and 3.104-FOR OFFICIAL USE

Section M - Evaluation Factors for Award

Evaluation Factors for Award Basis for Award

This acquisition will be competed on a price-only basis in accordance with DAFFARS MP

5315.3 paragraph 1.2.1.16, along with FAR 9.104-2 as a Special Standard of Responsibility (SSR) has been established. Award will be made to the responsible offeror whose proposal meets the terms and conditions of the RFP, the Special Standards of Responsibility (SSR) requirement and offers the lowest price.

Offerors are to propose pricing for the requirement utilizing the attachments referenced below:

Attachment 1: Performance Work Statement Attachment 2: Transportation Data Report Attachment 3: Packaging Requirement Report Attachment 4: Government Furnished Property Attachment 5: Pre-Qualification instructions Attachment 6: Form 260s – First Article Requirements Attachment 7: Clauses Attachment 8: Pricing Matrix Attachment 9: Section L-Instructions For Offerors Attachment 10:Section M-Evaluation Factors For Award Exhibit_A-E_06062025- Contract Data Requirement List

Section M- Pricing Language.

1. Price Factor. The offeror’s proposed prices will be evaluated for reasonableness and balance in accordance with paragraphs A and B below. A Total Evaluated Price (TEP) will be calculated in accordance with paragraph C.

A. Reasonableness: The existence of adequate price competition is expected to support a determination of reasonableness. Price analysis techniques may be used to further validate price reasonableness. If adequate price competition is not obtained or if price reasonableness cannot be determined using price analysis of Government obtained information, additional information in accordance with FAR 15.4 may be required to support the proposed price.

B. Balance: Offerors are cautioned against submitting an offer that contains unbalanced pricing. Unbalanced pricing exists when, despite an acceptable TEP, the price of one or more contract line items (including the Basic and Option periods) is significantly overstated or understated as indicated by the application of price analysis techniques. An overstated or understated CLIN price may be due to (a) illogical progression of rates, factors or unit prices between program years, (b) unit prices that do not take into account quantity variations, or (c) the “front-loading” of CLINs; either of these situations would reflect an inaccurate “true” cost for that CLIN. Front-loading occurs when a larger than normal amount of costs are concentrated in an early contract period. The Government will consider any “front-loaded” CLIN as unbalanced, since acceptance of the proposal would result in advance payment. The Government will analyze offers to determine whether there are unbalanced, separately priced line items or sub-line items. Prices submitted will be compared and evaluated to ensure that a logical progression exists as related to price and quantity changes within each offeror’s response to the pricing structure Attachment 8:Pricing Matrix. Offers that are determined to be unbalanced may be rejected if the lack of balance poses an unacceptable risk to the Government.

C. TEP: The sum of the evaluated prices for each Firm Fixed Price (FFP) CLIN

(X001,X002, and 0005)will represent the TEP. The evaluated CLIN prices will be calculated as follows:

i. For FFP CLINs X001,X002, and 0005: Offerors are to enter the proposed unit price for the Best Estimated Quantity (BEQ) noted for each CLIN in Attachment 8. The evaluated price will be calculated by multiplying the proposed unit price times the respective quantity.

ii. CLINs X003 (Data) is Not Separately Priced (NSP) and will not be part of the TEP calculation.

The TEP will be used for evaluation purposes only.

The pricing for all orders placed under the awarded contract will be calculated by multiplying the quantity ordered by the unit price awarded.

The TEP will be used for evaluation purposes only. Offerors are advised that evaluation of ordering periods shall not obligate the Government to exercise such ordering periods.

Pictured below is an example of the TEP Calculation. The example is provided for demonstration purposes only and is not inclusive of all contract periods. The Government estimated dollars, hours, rates, quantities, and/or prices contained within are arbitrary numbers.

The example is in no way reflective of the actual/total requirements as defined in the RFP. It is provided only as a means of identifying how the various types of calculations will be performed.

It is recommended that you include an example either of the Price Spreadsheet or how the TEP will be calculated to ensure the offeror understands. An example of i. above could be added as follows:

CLIN Qty Unit Price Total Price 0001 10 $100 $1,000 1001 10 $100 $1,000 2001 10 $100 $1,000 3001 10 $100 $1,000 4001 10 $100 $1,000

Total Evaluated Price $5,000

An example of a Quantity Range calculation is as follows:

Quantity Range Example CLIN FROM TO Qty Per

Range Unit Price Total Price

X00X 1 10 10 $100 $1,000 11 30 20 $90 $1,800 31 60 30 $85 $2,550

Total Evaluated Price for CLIN X00X $5,350

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