Att (2) Quality Assurance Surveillance Plan--Maintenance Contract.pdf

U.S. Department of Homeland Security U.S. Customs and Border Protection

Office of CBP Air and Marine

Quality Assurance Surveillance Plan

(QASP)

for National Marine Maintenance Program

May 28, 2020

QUALITY ASSURANCE SURVEILLANCE PLAN

CONTRACT NO. ___________________

The QASP is published separately and is not part of the contract. It is issued with the RFP for informational purposes only. The QASP procedures can be changed unilaterally by the Government at any time. What cannot be changed without formal contract modification by the contracting officer is the Performance-based Matrix that contains the outcomes and associated standards to be surveilled. This matrix is identical to the matrix in the contract. Any modifications made to the matrix in the contract must be reflected in this QASP.

Team Members Coordination & Review:

Date:

Program Office

________________________________________ Date:

Program Office COTR

Contracting Officer

Contractor (After Award)

Quality Assurance Surveillance Plan (QASP)

CAUTION!

The notion of “Authority” is key to the successful surveillance of this contract.

Contract authority is restricted to the contracting officer (CO). However, the CO normally has minor day to day involvement in the contract. The contractor deals with the COTR. A significant problem can occur if the Contractor alleges it acted by direction of the COTR and the contract was constructively changed, that is informally changed.

The legal rule is that the Government is not bound by unauthorized acts of employees and the risk of dealing with unauthorized person falls on the contractor.

However, the Government may be bound if the contractor can establish “implied authority,” i.e., the courts will decided if a reasonable person could assume that the Government employee had the authority to take action because it appears to be an integral part of duties assigned. To avoid implied authority problems, remember that the COTR only has that actual authority contained in their letters of appointment.

The other area of concern is “imputed knowledge.” The CO is charged with knowledge that the COR has a duty to deliver to the CO. There is a legal principle that the nature of the relationship establishes a presumption that the authorized person will be informed. Examples: non-disclosure of information to the contractor vital to performance but not normally available to contractor, knowledge of additional work, potential claims, and differing interpretations of the contract.

Remember: Keep the CO informed of all significant contract activities.

Quality Assurance Surveillance Plan (QASP)

1.0 Introduction

1.1 Since this is a performance-based contract, the Government will validate in a timely manner the performance of the Contractor in meeting the services required.

This QASP provides a systematic surveillance method for the services, and describes the methodology by which the Contractor’s performance will be monitored.

1.2 This is a complex contract to surveil in that several dramatically different contract types will be used: firm-fixed-price will be utilized for facilities, pre-planned material purchases, key personnel, phase in/transition, and the contractor management effort. Cost plus multiple incentives for the operational performance, specifically labor and Other Direct Costs (Other Direct Costs are directly associated to the maintenance of assets). The third type is Cost Reimbursement which includes applicable G&A for Materials, Travel, Training, and Outside Services..

1.3 The principal focus of the surveillance system is the Contractor’s performance of the indicators identified in the Performance-based Matrix of the Performance Work Statement (PWS) (Tab 1). Some of these indicators will be covered by objective award fees. Others will be surveilled under a subjective evaluation system.

1.4 This plan contains a Customs Border Protection (CBP) Contractor Performance Report (Tab 3) to be utilized in documenting contractor interim, annual, and total contract performance. The Contractor Performance Report will be an additional device for motivating the contractor on the current contract. The information contained in these reports will also be used for past performance evaluations. The COR shall use this form as a motivational tool to encourage high quality contractor performance. The report will be generated quarterly or more frequently if necessary to document outstanding or unsatisfactory performance. The contractor should understand that the past performance reports generated from this data will remain in a data base for three years and will be available to all government agencies for source selection purposes.

1.5 The contractor should understand that the top two scores (4 and 5) are only available if the contractor exceeds the Government requirements at no additional cost to the Government.

1.6 The non-conformance matrix for linking performance quality to consideration is at Tab 3 and 4.

1.7 The QASP:

1.7.1 Identifies the services and products that will be measured. (Tab 1)

1.7.2 Establishes the specific standards of performance for each required output.

(Tab 1)

1.7.3 Establishes the responsibilities for performing the measurement.

1.7.4 Defines the Government’s role in overseeing the performance.

1.7.5 Provides for feedback to the Contractor regarding quality, quantity, and timeliness of the service outputs.

1.7.6 Establishes timeframes for communicating performance improvements needed.

1.7.7 Provides the decision matrix for actions in case of non-conforming performance. (Tabs 3 and 4)

1.7.8 Provides key FAR clauses that impact surveillance. (Tab 5)

2.0 Method of Surveillance

2.1 The Performance-based Matrix at Tab 1 lists the services to be monitored and the standards to be applied.

2.2 This QASP is based on the premise that the Government desires to maintain a quality standard for required services.

2.3 The Contractor is responsible for management and quality control actions to meet the terms of the contract. The role of the Government is quality assurance to ensure contract standards are achieved.

2.4 In this contract, the Contractor’s quality control program is the basis for service quality. The Contractor is required to deliver only services that conform to or exceed the requirements of this contract.

3.0 Roles and Responsibilities

3.1 It is the Contractor’s primary responsibility to ensure all contract requirements meet required quality levels. The Government shall ensure this responsibility has been met before any incentive is granted to the Contractor. The primary Government team members are the Contracting Officer’s Representative (COR) and the Contracting Officer (CO).

3.1.1 The Contracting Officer has the overall responsibility for overseeing the Contractor’s performance. The CO will be responsible for monitoring the contractor’s performance in the areas of contract compliance, contract management, cost control, and the resolution of all issues relative to the language of the contract.

3.1.2 The COR is responsible for direct monitoring, assessing, recording, and reporting on the technical performance of the Contractor. The COR will have primary responsibility for signing off on all invoices and documenting the inspection and evaluation of the Contractor’s performance.

3.1.3 The COR will work closely with the customer and the Contractor to ensure good communication and resolve any problems not requiring the CO’s authority.

4.0 Surveillance: The COR will evaluate the performance objectives through periodic reviews during each evaluation period. The COR will also solicit customer input to evaluate the Contractor’s performance. The COR should record both outstanding and unacceptable performance. See Tab 2 for a sample of a Contractor Performance Report.

4.1 The following information will be included:

4.1.1 Evaluation Period

4.1.2 Contract paragraph number referencing the requirement.

4.1.3 Short description of the requirement being surveilled.

4.1.4 Date, time, and location of surveillance.

4.1.5 Results of surveillance.

4.1.6 Name and contact information of evaluator

4.2 All performance will be documented, whether acceptable or unacceptable.

When unacceptable performance is documented, the Program Office will take the following actions:

4.2.1 If Government actions or non-actions caused the unacceptable performance, take steps to prevent it in the future.

4.2.2 If the unacceptable performance was not caused by the Government, inform the Contractor’s Program Manager of the unacceptable performance and the reasons why it is unacceptable. This will normally be in writing unless circumstances necessitate verbal communication. The COR shall document the discussion and place it in the COR file.

4.2.3 When the COR determines formal written communication is required, the

COR shall prepare a Contract Discrepancy Report (CDR), attached as Addendum A, and present it to the Contractor's Program Manager or on-site representative. The contractor shall acknowledge receipt of the CDR in writing. The CDR will specify if the contractor is required to prepare a corrective action plan to document how the contractor will correct the unacceptable performance and avoid a recurrence. The CDR will also state how long after receipt the contractor has to present this corrective action plan to the COR. Upon receipt, the COR will review the contractor's corrective action plan to determine acceptability. All CDRs may become a part of the supporting documentation for past performance reporting and corrective actions deemed necessary by the Contracting Officer

4.2.4 If the Contractor wants to dispute the results of the surveillance, refer the

Contractor to the CO for resolution.

4.3 Performance will be determined unacceptable only after all contributing factors have been considered.

4.4 The Government reserves the right to periodically inspect all services and deliverables prior to acceptance regardless if it is shown on the Performance-based Matrix.

5.0 Standards: The contractor shall meet all standards in the Performance-based Matrix as well as all other deliverable dates and other contractual requirements. The standards are especially useful to establish a basis for rejecting the contractor’s deliverables. Once rejected, all corrective or replacement costs are without additional fee. For fixed price line item, the Government pays for results only. In this case, failure to meet a standard constitutes breach of contract. The Government is entitled to consideration from the Contractor for breach of contract for failure to meet contract requirements. See paragraph 5.1 below for criteria for excusing failures to meet the standards for both fixed price and cost reimbursement.

5.1 Non- or late performance of service is un-excusable unless the contractor can establish all of the following:

5.1.1 The non-performance or lateness was not the contractor’s fault;

5.1.2 The non-performance or lateness was not foreseeable;

5.1.3 It was beyond the contractor’s control to avoid the non-performance or lateness.

5.2 All work shall be performed in accordance with the Performance Work Statement. The COR will not consider the services complete until all unacceptable performance has been corrected.

5.3 The COR will determine whether the failure was a minor non-conformance or a substantive non-conformance. (See Tabs 3 and 4)

6.0 Procedures: The Government will inspect performance to ensure Contractor compliance and record results of inspection, noting the date and time of inspection on the Contractor Performance Report.

6.1 Unacceptable performance and customer complaints shall be referred to the COR for investigation/validation. The COR will investigate/validate the unacceptable performance or customer complaint and notify the Contractor’s Program Manager.

The Contractor will be given a reasonable amount of time to correct the unacceptable performance and notify the COR that the deficiency has been corrected. If deficiencies are not corrected, the COR will notify the CO and recommend a course of action.

6.2 The primary focus of the Government inspection system for Fixed Price Contracts and cost reimbursement is the contractor’s inspection system required by the respective inspection clauses. It is the contractor’s responsibility to ensure all requirements and associated standards are met. The COR should continually monitor this system (also called the contractor’s “quality control” system). This system is the primary window into the contractor’s performance. The system should be acceptable to the COR. All inspection reports generated by the contractor should be reviewed and evaluated to ensure they are accurate and adequately assess current performance against the standards. The key aspects of this quality control plan the COR will monitor are: inspection system (who, when, where, and to what standard), the reporting system, the trend analysis system, the corrective action system, and the company audit system that ensures the integrity of the reporting. If the contracting reporting system does not provide the COR with adequate visibility into the contractor’s operations, then require the contractor to revise the system to provide such visibility. In addition, for these “best effort” contract types, the contractor should also surveil cost control and work efficiency since these are required Government surveillance issues.

7.0 Contract Performance Evaluation

7.1 FAR 42.15 – Contractor Performance Information establishes the Government responsibility for recording and maintaining contractor performance information. This requirement does not apply to procedures used in determining incentive awards or other incentive systems, although the two systems should be mutually supporting.

7.2 FAR 42.1501 states: Past performance information is relevant information, for future source selection purposes, regarding a contractor's actions under previously awarded contracts. It includes, for example, the contractor's record of conforming to contract requirements and to standards of good workmanship; the contractor's record of forecasting and controlling costs; the contractor's adherence to contract schedules, including the administrative aspects of performance; the contractor's history of reasonable and cooperative behavior and commitment to customer satisfaction; and generally, the contractor's business-like concern for the interest of the customer.

7.3 The general procedures to be used are addressed in the following FAR section.

42.1503 Procedures.

(a) Agency procedures for the past performance evaluation system shall generally provide for input to the evaluations from the technical office, contracting office and, where appropriate, end users of the product or service.

(b) Agency evaluations of contractor performance prepared under this subpart shall be provided to the contractor as soon as practicable after completion of the evaluation. Contractors shall be given a minimum of 30 days to submit comments, rebutting statements, or additional information. Agencies shall provide for review at a level above the contracting officer to consider disagreements between the parties regarding the evaluation. The ultimate conclusion on the performance evaluation is a decision of the contracting agency. Copies of the evaluation, contractor response, and review comments, if any, shall be retained as part of the evaluation. These evaluations may be used to support future award decisions, and should therefore be marked “Source Selection Information.”

7.4 The CBP form at Tab 2 will be completed at least annually and more frequently if necessary to motivate or reward the contractor.

Tab 1: Performance-based Matrix Required

End Result Metric Metric Standard QA Incentives

Contractor shall provide NMC with numbers, types, and properly configured vessels to meet operational commitments.

Technical Performance

1. Staffing is existent to meet current work load/ capacity.

2. 100% of the time repairs timely, cost effective and conform to applicable regulations.

3. Used efficient and effective methods to keep vessels and support equipment repaired, modified, or operational

4. 100 % control and accountability maintained for all Government property and facilities to include:

a. A complete audit trail for all property items from receipt to final disposition, including but not limited to assigning property numbers and tags to all eligible GFE..

b. Accurate and valid inventory.

See

QASP

See Award Fee Plan and

Past Performance

Cost control 1. Aggressively sought cost reductions based on cost avoidance, savings realized by working efficiently and effectively, and innovative cost saving approaches.

2. Management continually reviewed existing staffing and practices in order to identify cost savings.

3. Warranty claims are submitted for 100% of the repairs that are eligible for warranty reimbursement. Contractor tracks and follows-up on all of these claims until reimbursement to the Government.

See

QASP

Timeliness 1. 90% of vessels are fully operational and available for any mission.

2. When required, vessels relocated and contractor staff and equipment deployed to meet operational requirements in a timely manner.

3. Vessels in any maintenance location for Maintenance, Repair, or

Overhaul (MRO) adhere to a maintenance schedule agreed upon by the government at time of induction. Any foreseen or unforeseen growth work or other external factors that cause a delay in the delivery of a vessel must be agreed upon by the government.

See QASP

Business Relations

100% of the time the contractor operated with the Government's best interest in mind, demonstrated reasonable and cooperative behavior, a commitment to NMC satisfaction; and a concern for the interest of the NMC.

See QASP

Tab 2: CBP Report Customs Border Protection

Contractor Performance Report Standard Evaluation

Contract Data

Evaluation Type: Interim _ Final _ (check one) Date of Evaluation: Time of Evaluation:

Location of Surveillance:

Evaluating Organization: Reporting Period: From to Contracting Office: Contract Number: Order Number:

Contractor Name: Contractor Address:

DUNS: City: State:

Additional or Alternate Contractor Name:

Zip/Postal Code: Country:

TIN: Industrial Code (NAICS): Commodity Code: Contract Type:

Contract Award Date: Contract Expiration Date: Contract Value:

Requirement Description:

Ratings

Summarize contractor performance and check the number which corresponds to the rating for each rating category (See attached Rating Guidelines).

Technical Performance

_0=Unsatisfactory _1=Poor _2=Fair _3=Good _4=Excellent _5=Outstanding

Government Comments for Quality of Product or Service (2000 characters maximum):

Cost Control (Rating and Comments for Cost Control are not required if contract type is Fixed-Price)

_0=Unsatisfactory _1=Poor _2=Fair _3=Good _4=Excellent

Government Comments for Cost Control (2000 characters maximum):

Timeliness of Performance

Government Comments for Timeliness of Performance (2000 characters maximum):

Business Relations

Government Comments for Business Relations (2000 characters maximum):

Additional Info

Subcontracts

Are subcontracts involved? __Yes __No (Check one) Government Comment on subcontracts (2000 characters maximum):

Contractor Key Personnel

Contractor Manager/Principal Investigator (name):

Government Comment on Contractor Manager/Principal Investigator (2000 characters maximum):

Contractor Key Person (name):

Government Comment on Contractor Key Person (2000 characters maximum):

Contractor Key Person (name):

Government Comment on Contractor Key Person (2000 characters maximum):

Customer Satisfaction

Is/was the contractor committed to customer satisfaction? _Yes _No (Check one)

Would you recommend the selection of this firm again? _Yes _No (Check one) – FINAL

REPORT ONLY

Government Comments on Customer Satisfaction (2000 characters maximum):

Admin Info

Project Officer/COR Name:

Phone:

Fax:

E-mail Address:

Contractor Representative Name:

Phone:

Alternate Contractor Representative (Required to insure that at least one person is notified of evaluation) Name:

Phone:

Contracting Officer:

Name:

Phone:

Contractor Comments

Technical Performance

___Contractor has elected not to comment

Contractor Comments for Quality of Product of Service (2000 characters maximum):

Cost Control

Contractor Comments for Timeliness of Performance (2000 characters maximum):

Contractor Comments for Business Relations (2000 characters maximum):

Overall Comment

Rating Guidelines

Quality of Product or Service

0 = Unsatisfactory 1 = Poor 2 = Fair 3 = Good 4 = Excellent 5 = Outstanding

Unsatisfactory Non-conformances are jeopardizing the achievement of contract requirements, despite use of Agency resources. Recovery is not likely. If performance cannot be substantially corrected, it constitutes a significant impediment in consideration for future awards containing similar requirements.

Poor Overall compliance requires significant Agency resources to ensure achievement of contract

Fair Overall compliance requires minor Agency resources to ensure achievement of contract

Good There are no, or very minimal, quality problems, and the Contractor has met the contract

Excellent There are no quality issues, and the Contractor has substantially exceeded the contract performance requirements without commensurate additional costs to the Government.

Outstanding The contractor has demonstrated an outstanding performance level that was significantly in excess of anticipated achievements and is commendable as an example for others, so that it justifies adding a point to the score. It is expected that this rating will be used in those rare circumstances where contractor performance clearly exceeds the performance levels described as "Excellent".

Cost Control

0 = Unsatisfactory 1 = Poor 2 = Fair 3 = Good 4 = Excellent 5 = Outstanding

Unsatisfactory Ability to manage cost issues is jeopardizing performance of contract requirements, despite use of Agency resources. Recovery is not likely. If performance cannot be substantially corrected, this level of ability to manage cost issues constitutes a significant impediment in consideration for future awards.

Poor Ability to manage cost issues requires significant Agency resources to ensure achievement of contract requirements.

Fair Ability to control cost issues requires minor Agency resources to ensure achievement of contract requirements.

Good There are no, or very minimal, cost management issues and the Contractor has met the contract

Excellent There are no cost management issues and the Contractor has exceeded the contract requirements, achieving cost savings to the Government.

Outstanding The contractor has demonstrated an outstanding performance level that justifies adding a point to the score. It is expected that this rating will be used in those rare circumstances where the contractor achieved cost savings and performance clearly exceeds the performance levels described as "Excellent".

Unsatisfactory Delays are jeopardizing the achievement of contract requirements, despite use of Agency resources. Recovery is not likely. If performance cannot be substantially corrected, it constitutes a significant impediment in consideration for future awards.

Poor Delays require significant Agency resources to ensure achievement of contract

Fair Delays require minor Agency resources to ensure achievement of contract

Good There are no, or minimal, delays that impact achievement of contract requirements.

Excellent There are no delays and the contractor has exceeded the agreed upon time schedule.

Outstanding The contractor has demonstrated an outstanding performance level that justifies adding a point to the score. It is expected that this rating will be used in those rare circumstances where contractor performance clearly exceeds the performance levels

Unsatisfactory Response to inquiries and/or technical, service, administrative issues is not effective. If not substantially mitigated or corrected it should constitute a significant impediment in considerations for future awards.

Poor Response to inquiries and/or technical, service, administrative issues is marginally effective.

Fair Response to inquiries and/or technical, service, administrative issues is somewhat

Good Response to inquiries and/or technical, service, administrative issues is consistently

Excellent Response to inquiries and/or technical, service, administrative issues exceeds Government expectation.

Outstanding The contractor has demonstrated an outstanding performance level that justifies adding a point to the score. It is expected that this rating will be used in those rare circumstances where contractor performance clearly exceeds the performance levels

Tab 3: Nonconforming Deliverables (Fixed-Price)

NONCONFORMING PERFORMANCE

MINOR NONCONFORMANCE

If Then Consideration Consideration would be less than the cost of modifying the contract

Accept as is (once)

None

Consideration would be greater than the cost of modifying the contract

Consideration comparable to the value of the loss sustained by the Government

SUBSTANTIVE NONCONFORMANCE

The contractor agrees to correct the re-perform the service within the delivery schedule

Withhold acceptance until receipt of the corrected service

Cost to re-inspect or retest

The contractor agrees to correct the deliverable (or re-perform the service) but needs an extension of the delivery date

Appropriate consideration for the delay

Acceptance:

• Would not affect safety or performance, and

• Is justified on the basis of economy or urgency

Accept as is

The contractor refuses to perform or reperform service or provide appropriate consideration.

Either:

• Correct the service through other means (contract or in-house), or

• Terminate for default and re-procure.

Contractor to pay all costs for the correction or re-procurement.

Tab 4: Nonconforming Deliverables Cost Reimbursement

NONCONFORMING PERFORMANCE

MINOR NONCONFORMANCE

Consideration would be less than the cost of modifying the contract

None

Consideration would be greater than the cost of modifying the contract

SUBSTANTIVE NONCONFORMANCE

The contractor agrees to correct the re-perform the

No additional fee.

The contractor managerial personal are aware an employee is habitually careless or unqualified (fails to meet contractual requirements)

Withhold acceptance until

Corrected work is done at no cost.

The contractor refuses to perform or re-perform service or provide appropriate consideration.

Either:

• Correct the service through other means (contract or in-house), or

• Terminate for default and re-procure.

Contractor to pay all costs for the correction or re-procurement.

Tab 5: Key FAR Clauses

52.246-1 Contractor Inspection Requirements.

As prescribed in 46.301, insert the following clause:

CONTRACTOR INSPECTION REQUIREMENTS (APR 1984)

The Contractor is responsible for performing or having performed all inspections and tests necessary to substantiate that the supplies or services furnished under this contract conform to contract requirements, including any applicable technical requirements for specified manufacturers’ parts. This clause takes precedence over any Government inspection and testing required in the contract’s specifications, except for specialized inspections or tests specified to be performed solely by the Government.

(End of clause)

52.246-5 Inspection of Services—Cost-Reimbursement.

As prescribed in 46.305, insert the following clause in solicitations and contracts for services, or supplies that involve the furnishing of services, when a cost-reimbursement contract is contemplated:

(a) Definition. “Services,” as used in this clause, includes services performed, workmanship, and material furnished or used in performing services.

(b) The Contractor shall provide and maintain an inspection system acceptable to the Government covering the services under this contract. Complete records of all inspection work performed by the Contractor shall be maintained and made available to the Government during contract performance and for as long afterwards as the contract requires.

(c) The Government has the right to inspect and test all services called for by the contract, to the extent practicable at all places and times during the term of the contract. The Government shall perform inspections and tests in a manner that will not unduly delay the work.

(d) If any of the services performed do not conform with contract requirements, the Government may require the Contractor to perform the services again in conformity with contract requirements, for no additional fee. When the defects in services cannot be corrected by reperformance, the Government may—

(1) Require the Contractor to take necessary action to ensure that future performance conforms to contract requirements; and

(2) Reduce any fee payable under the contract to reflect the reduced value of the services performed.

(e) If the Contractor fails to promptly perform the services again or take the action necessary to ensure future performance in conformity with contract requirements, the Government may—

(1) By contract or otherwise, perform the services and reduce any fee payable by an amount that is equitable under the circumstances; or

(2) Terminate the contract for default.

(End of clause)

52.246-4 Inspection of Services—Fixed-Price.

As prescribed in 46.304, insert the following clause:

INSPECTION OF SERVICES—FIXED-PRICE (AUG 1996)

(a) Definition. “Services,” as used in this clause, includes services performed, workmanship, and material furnished or utilized in the performance of services.

(b) The Contractor shall provide and maintain an inspection system acceptable to the Government covering the services under this contract. Complete records of all inspection work performed by the

Contractor shall be maintained and made available to the Government during contract performance and for as long afterwards as the contract requires.

(c) The Government has the right to inspect and test all services called for by the contract, to the extent practicable at all times and places during the term of the contract. The Government shall perform inspections and tests in a manner that will not unduly delay the work.

(d) If the Government performs inspections or tests on the premises of the Contractor or a subcontractor, the Contractor shall furnish, and shall require subcontractors to furnish, at no increase in contract price, all reasonable facilities and assistance for the safe and convenient performance of these duties.

(e) If any of the services do not conform with contract requirements, the Government may require the Contractor to perform the services again in conformity with contract requirements, at no increase in contract amount. When the defects in services cannot be corrected by reperformance, the Government may—

(1) Require the Contractor to take necessary action to ensure that future performance conforms to contract requirements; and

(2) Reduce the contract price to reflect the reduced value of the services performed.

(f) If the Contractor fails to promptly perform the services again or to take the necessary action to ensure future performance in conformity with contract requirements, the Government may—

(1) By contract or otherwise, perform the services and charge to the Contractor any cost incurred by the Government that is directly related to the performance of such service; or (2) Terminate the contract for default.

(End of clause)