Attachment 0012 - PWS 12 RFAAP ARMS.docx

RADFORD ARMY AMMUNITION PLANT

PERFORMANCE WORK STATEMENT (PWS)

PWS-12: ARMAMENT RETOOLING & MANUFACTURING SUPPORT (ARMS)

1. GENERAL INFORMATION

1.1. INTRODUCTION

1.1.1. This PWS provides the requirements for test execution of the ARMS program, which is self-sustaining based on ARMS revenue generated at the GOCO.

1.1.2. The Contractor shall be authorized to use the facility for commercial, non-Government, Government, third party, or tenant use under the authorization and in compliance with FAR Part 45 and the ARMS Initiative. To participate in the ARMS Program, the Contractor shall:

1.1.2.1. Encourage and execute the commercial reuse of the facility.

1.1.2.2. Actively market the capabilities of the facilities and equipment at the facility.

1.1.2.3. Increase the opportunities for small businesses (including socially and economically disadvantaged small business concerns and new small businesses) to use eligible facilities for those purposes.

1.1.2.4. Encourage, promote, and execute the creation of commercial jobs, which retain critical skills needed for the readiness mission of the facility.

1.1.2.5. Track, maintain, and report, as required, the Facility Contractor Account (FCA) and records of costs, revenues (to include product cost reductions, cost offsets and overhead reductions), critical skills, jobs created, and benefits to the Army resulting from tenant use efforts and third-party commercial production use efforts at the facility.

1.1.2.6. Encourage private sector to leverage available federal, state, and local Government resources to achieve the goals and objectives of the ARMS Initiative.

1.1.2.7. Support, encourage, and execute the generation of new sustainable startup businesses and the creation of sustainable jobs.

1.1.2.8. Develop and execute land/property uses supporting the purposes of the ARMS Initiative and surrounding communities.

1.2. BACKGROUND

1.2.1. The Armament Retooling and Manufacturing Support (ARMS) Program is a Congressionally mandated defense conversion/commercial reuse program established in 1993 (10 USC 7551-7555, “ARMS Initiative”) to reduce Government-ownership costs at the Government-Owned, Contractor-Operated (GOCO) Army Ammunition Plants/Depot while maintaining a readiness capability and to reduce the impact of defense downsizing on local communities. The Army, by allowing the use of GOCO facilities for ARMS efforts, enables the Facility Contractor (herein also referred to as “Contractor’) to reduce facility operation and maintenance costs.

1.3. SCOPE

1.3.1. RFAAP consists of two separate facilities; the main plant is the RFAAP manufacturing facility and consists of 4,080 acres and is divided into two parts by the New River. The New River Storage Unit is located 12 miles from the main plant near the town of Dublin and consists of 2,821 acres.

1.3.2. Utilities shall be provided access to tenant locations: ex. Electricity, Water, Wastewater, Compressed Air, Natural Gas, and Steam

1.3.3. Tenants are required to follow all installation regulations. The Contractor shall ensure that tenants are in compliance with all applicable requirements and that all regulations are flowed down to the tenants.

1.4. DEFINITIONS

1.4.1. “ARMS” refers to the Armament Retooling and Manufacturing Support Initiative Act of 1992 that was established in FY 1993 (10 USC 7551-7555 “ARMS Initiative”).

1.4.2. “ARMS Agreements” refers to the relevant terms of the contractual agreement between the Government (Government Contracting Officer) (ex. Approval Memorandum, etc.) and the Contractor, the agreement between the Contractor and the tenant, Tenant Use Agreement (TUA), or the agreement between the Contractor and the Government with respect to third-party commercial/Government work.

1.4.3. “ARMS Property Manager” is the Facility Contractor representative who manages and oversees the ARMS program under the Facility Contract.

1.4.4. “Army Portion” refers to that portion of the ARMS consideration/revenue in the FCA that is used to fund the execution of approved ARMS projects for existing/potential tenants and any other approved use of funds for ARMS related projects.

1.4.5. “Blanket-Use Agreement” is an agreement requested by the Contractor that is approved in advance by the Government Contracting Officer to expedite the processing and approval of TUAs/ Request for Use of Facility (RUFs and/or third-party use proposals/RUFs submitted by the Contractor. Applicable categories (ex. office space) must be pre-approved categories by the ACO or PCO. Such use is based upon the Contractor’s compliance with the conditions listed in the applicable BUA. For ARMS tenants, this authorization applies to TUAs that do not have a significant impact on human health or the environment in accordance with the National Environmental Policy Act (NEPA) and Army Regulation AR 200-1, and do not involve treatment, storage, or disposal of non-DoD hazardous material as set forth in 10 USC 2692. For third party activities, this authorization provides general terms and conditions for use of specific Government assets, and/or production of specific DoD products, Non-DoD products and/or commercial products, and/or services.

1.4.6. "Commercial or non-government work" is any work being performed by the Contractor that is not for a US Government agency.

1.4.7. “Consideration” is the cause, motive, price or impelling influence inducing a party (Government, Contractor, tenant, etc.) into a contract/agreement. It can be either monetary or non-monetary.

1.4.8. Non-monetary consideration includes services-in-lieu of rent performed by the Contractor or tenants at the GOCO in exchange for the use of Government assets under the ARMS Program.

1.4.9. “Contractor Compensation/Incentive fee (CIF)” is that portion of the gross ARMS consideration/revenue (cash) and fair market value for services in lieu of rent which is generated at the GOCO and provided to the Facility Contractor as compensation/incentive for ARMS property management, marketing and all other property management related activities.

1.4.10. “Facility Contractor Account (FCA)” is the account which holds the gross ARMS consideration/revenue, is tracked, maintained, and reported by the Contractor/ARMS Property Manager and overseen by the Government Administrative Contracting Officer (ACO).

1.4.11. “Fair Market Value” is determined using FAR 45.301 and computed in accordance with FAR 52.245-9 Use and Charges. This is the price for property or services which would be agreed upon between a willing and informed buyer or renter and a willing and informed seller or landlord under usual and ordinary circumstances. Fair Market Value is applicable to both cash rent payments and any approved services in lieu of rent.

1.4.12. “Government Assets” consist of plant equipment (including equipment, machine tools, test equipment, furniture, vehicles and accessory and auxiliary items), buildings, land and infrastructure. It does not include special tooling or special test equipment.

1.4.13. “Government Property” means all property (real or personal) owned by or leased to the Government or acquired by the Government at the GOCO.

1.4.14. “Request for Use of Facility (RUF)” is a proposal provided to the Government by the Contractor for tenant use or third-party use of Government assets.

1.4.15. “Revenue” is total (cash) consideration generated at the GOCO because of the ARMS program. This revenue includes tenant rent and revenue from third-party activities.

1.4.16. “Tenant” refers to an ARMS commercial tenant, a Government entity or the Contractor.

1.4.17. “Tenant Use Agreement” (TUA) is an agreement/contract between the Facility Contractor and a tenant that authorizes the use of Government assets by the tenant and documents the resulting consideration (rent) from the tenant.

1.4.18. “Third-party” refers to the Facility Contractor’s direct sales of products or services to the Government (both DoD and Non-DoD), commercial industry, and/or tenants. The Government will not take ownership of technical data or intellectual property rights on third-party/commercial production.

1.4.19. “Usage period” is the time period during which Government assets are approved for use. It includes time to set up the assets for such purposes, perform required maintenance, and restore the assets to their condition code prior to use (less fair wear and tear), where applicable.

2. WORK REQUIREMENTS

2.1. TECHNICAL REQUIREMENTS

2.

2.1.

2.1.1. ARMS Tenant Use Agreement and Third-Party Use Agreement Authorization:

2.1.1.1. The Government may authorize the Contractor to use Government assets, consisting of plant equipment, buildings, land and infrastructure, in support of tenant use agreements (TUA) and third-party commercial production use agreements under this facility contract. The Contractor is required to administer, maintain and update Individual TUAs to remain in accordance with the terms and conditions stated in the ARMS PWS. This includes, but is not limited to, termination terms, the Exercise of Option terms and changes in applicable regulations (e.g. Federal Acquisition Regulations (FAR) and Department of Defense (DoD) requirements). The intent is to ensure compliance, continuity and uniformity in these areas (e.g. utilities, service costs, annual inflation adjustments, and ARMS Consideration collection and distribution) within the terms and conditions stated in the PWS. TUAs may be authorized for time periods not to exceed current ARMS legislation at the time of signing. Currently, the maximum total time for a TUA is twenty-five (25) years, which can be as one initial term or an initial time period plus options, notwithstanding the fact that the tenant use agreement period of performance may exceed the term of this facility contract. Third-party commercial production use agreements shall not extend past the length of this facility contract.

2.1.1.1.1. TUAs shall include all terms and conditions provided by the Government Contracting Officer.

2.1.1.2. The Contractor shall make a request to the Government for use of Government assets. Approval by the Government Contracting Officer for such use shall not be construed as an extension of the facility contract. The use of Government assets can only be authorized by the Government Contracting Officer and the approval for each use shall stand as a separate agreement entered under the authority of the facility contract, allowing use of those Government assets specifically identified in the agreement for the specified period

2.1.1.3. The Contractor shall keep the Government Contracting Officer and PL JS ARMS Team informed as to the expiration status of all TUAs and submit a request/proposal to exercise a TUA option, or any other TUA revision, at least sixty (60) calendar days prior to the expiration of the TUA. The Government will make all attempts to provide a written response within thirty (30) calendar days of the dated request. In the case where the current approved TUA period is a year or less in duration, then the Contractor shall submit a request/proposal to exercise a TUA option, or any other TUA revision, at least forty- five (45) calendar days prior to expiration of the TUA. If the Contractor fails to provide in time, the following applies:

2.1.1.3.1. The TUA shall expire in accordance with the Government approved usage period unless the Government Contracting Officer provides written authorization for its conversion to a month-to-month lease.

2.1.1.3.2. The Contractor request/proposal or portions therein (options, extensions, expansions, etc.) are subject to summary denial.

2.1.1.3.3. Should the Government decide not to approve renewal of a TUA, or decides not to approve a request for use of Government assets, the Contractor and associated tenant (if applicable) shall hold the Government harmless

2.1.2. ARMS Termination and Expiration:

2.1.2.1. The Government Contracting Officer may issue the Contractor a notice for termination of any TUA or third-party commercial production activity when determined to be in the best interest of the Government. When this occurs, the following applies:

2.1.2.1.1. A timetable will be negotiated with the Contractor (representing its own and/or any tenant interests) for the cessation of commercial production/operations and the return of the facility to the Army

2.1.2.1.2. FAR Part 49 shall be used to set forth the terms for establishing appropriate termination settlement costs

2.1.2.1.3. Settlement consideration cost shall be limited to those costs associated with the same usage period approved by the Government Contracting Officer for Contractor submitted ARMS tenant use or third-party use proposals

2.1.2.2. Upon execution of the TUA or prior to occupancy by the tenant the contractor shall, conduct a “walk through” of the property with the tenant to document current conditions of all Government assets. This written document shall be maintained by the facility contractor and a copy supplied to the tenant and Government upon execution of the TUA.

2.1.2.3. Upon expiration or termination of a TUA, the Contractor shall, prior to the tenant vacating the facility, ensure that all property is secure and in good operating condition, allowing for fair wear and tear. Each item of property used by the tenant shall be returned to the Government with all additions and modifications made to it during the term of the TUA. The contractor shall ensure that all available manuals, licenses, and operating processes for operation and maintenance used by the tenant shall be with the machine or equipment upon return. The Contractor shall provide the Government Contracting Officer and PL JS ARMS Team a copy of the inspection report within thirty (30) days after the end expiration of the TUA.

2.1.2.4. Upon expiration or termination of all or part of this facility contract, the Government may establish a successor ARMS-eligible facility or property management contract. If so, the successor shall be required to accept the terms and conditions of the TUAs in place so long as such terms and conditions do not violate applicable laws and regulations. This will be accomplished through the inclusion of the terms and conditions of established TUAs in the solicitations issued to obtain a successor. The incumbent Contractor shall transition all TUAs to the successor.

2.1.2.5. In the event the Contractor ceases to be the Facility Contractor for this site while authorized TUAs remain in effect, the Government shall release and hold harmless the Contractor, with respect to said TUAs, from all responsibilities and from those liabilities occurring after the date the Contractor ceases to be site’s Facility Contractor.

2.1.2.6. In the unforeseen event a decision is made to convey or sell the installation (BRAC, privatization, etc.), the Contractor and/or the tenant shall not hold the Government responsible or liable should the terms and conditions of a TUA not be transferred to the new property owner. Any further agreement is the responsibility of the tenant and the new owner, and not the Government

2.1.2.7. In the event the incumbent Contractor ceases to be the Facility contractor for the GOCO, the balance of the FCA shall be transferred from the incumbent Contractor to the successor. The Government Contracting Officer shall be provided with confirmation of the transfer of the FCA funds

2.1.3. ARMS Tenant Use and Third-Party Use Commercial Production Proposals and Agreements:

2.1.3.1. Each ARMS proposal for tenant facility use, Third-party commercial production use, and/or ARMS funding shall be submitted to the Government Contracting Officer for Government approval/disapproval and a copy to the, PL JS ARMS Team. Evaluation of the proposals shall be based on compliance with the ARMS program legislative objectives.

2.1.3.2. ARMS Investment Funding Request:

2.1.3.2.1. The contractor shall follow the latest versions of all PLJS FCA and PAA funding request guidance memos and process maps to request funding for any FCA, PAA, or services in lieu of rent projects, either for use by existing tenant support or potential tenant improvements.

2.1.3.2.1.1. The Contractor will not receive fee and G&A on any subcontractor cost that the Government Contracting Officer deems is excessive pass through under FAR 52.215-23.

2.1.3.2.2. Proposals shall at a minimum include:

2.1.3.2.2.1. Justification for the project and how it benefits the ARMS program

2.1.3.2.2.2. ARMS project scoring package

2.1.3.2.2.3. Period of Performance

2.1.3.2.2.4. Statement of Work (SOW)

2.1.3.2.2.5. ARMS Mandatory Checklist

2.1.3.2.2.6. ARMS Safety Checklist

2.1.3.2.2.7. Appropriate environmental documentation and permits

2.1.3.2.2.8. Breakdown of all costs required for the project (e.g., labor hours, labor categories, cost, material list, material cost, Other Direct Cost (ODC) list, ODC cost, travel list, travel cost, indirect cost in detail, etc.). If the Government Contracting Office requests additional cost data, it shall be provided to justify the proposal

2.1.3.2.2.9. If the request requires explosive site safety, an explosive site safety plan (ESSP) and any follow-up documentation requested.

2.1.3.2.2.10. If the proposal involves treatment, storage, or disposal of non-Department of Defense (DoD) hazardous material (i.e., waste), a request for waiver of the 10 USC 2692 legislation shall be required.

2.1.3.2.3. All project requests shall be submitted to the Government Contracting Officer and PL JS ARMS Team for review and consideration.

2.1.3.2.4. Once PL JS notifies the Government Contracting Officer of funding approval for the project, the Government Contracting Officer shall request the Contractor to submit a proposal through an RFP (request for proposal).

2.1.3.2.5. Types of Projects that fall under this category include:

2.1.3.2.5.1. New Tenant Proposal: The technical proposal for a new tenant to the installation (also referred to as a RUF)

2.1.3.2.5.2. Proposal for Existing Tenant: A proposal/RUF addressing expansion, extension or revisions to an existing TUA

2.1.3.3. Third-Party Commercial Production Use Proposals and Agreements.

2.1.3.4. Third-Party Commercial Production Use Request: The technical proposal or RUF for third-party commercial production use of Government assets or third-party provision of services shall contain all appropriate documentation for review and consideration by the Government Contracting Officer. A complete and correct RUF request is required for each third-party order. Each request shall include but not limited to a copy of the customers purchase order, authorized End Use certification (identifies End Use customer, associated DoD contract number, quantity, customer Taxpayer Identification Number, etc), list of government owned equipment/facilities/property to be used during execution of this order, and any additional information as requested by the government.

2.1.3.4.1. Each request will be evaluated by the government within 10 business days. If the RUF request contains errors or does not contain all of the required information to perform a proper evaluation, the request will be denied and returned. The 10-business day approval cycle will restart once a request is denied/returned.

2.1.3.4.2. The Contractor shall provide the Government Contracting Officer with a copy of any revised or updated order, even after RUF approval has been granted. Any alterations to the execution of an approved RUF request that results in a change in product, quantity, period of performance, End Use, or Government assets to be utilized during execution of the PO; will need to be reevaluated for Government approval through the RUF process.

2.1.3.9. Consideration:

2.1.3.9.1. Consideration to the Government for tenant facility use shall be in accordance with FAR Part 45 and FAR Part 52.245-9, Use and Charges. Tenants can be ARMS commercial tenants, Government entities, and/or the Contractor. Consideration can be in the form of rent or services in lieu of rent. Services in lieu of rent requires Government Contracting Officer preapproval in writing.

2.1.3.9.2. The consideration for third-party commercial production shall be in accordance with FAR Part 45 and FAR Part 52.245-9. The consideration for third party commercial production work shall be in accordance with FAR Part 45 and FAR Part 52.245-9 will be calculated based on 4% of the total value of the third-party commercial production work (total contract value). Contractor Incentive Fee (CIF) does not apply to any third-party non-DoD and commercial work.

2.1.3.9.3. When the Government Contracting Officer has reason to believe the proposed consideration for a tenant or third-party commercial production use is not reasonable, he or she shall notify the Contractor with rationale. If the consideration is deemed unreasonable or impractical, the Contractor may request the consideration to be based upon proposed alternate methods in accordance with FAR Parts 45 and 52.245-9. The Contractor’s supporting rationale shall be provided to the Government Contracting Officer. The parties may agree on an alternate means of determining reasonable consideration.

2.1.3.9.4. The Contractor shall be responsible for collecting all consideration from the tenants and third-party commercial production activities and maintaining it in the Facility Contractor Account (FCA). If there is a delinquency at any time, it is the responsibility of the Contractor to inform the Government Contracting Officer of the delinquency within thirty (30) calendar days. The Contractor shall submit a corrective action plan to the Government Contracting Officer within thirty (30) calendar days after notification of a delinquency. The Contractor may be held responsible for the defaulted consideration if they did not notify the Government Contracting Officer within thirty (30) days of the delinquency, or did, and not demonstrate appropriate actions were taken to remedy the delinquency.

2.1.3.10. The Contractor shall perform appropriate due diligence in verifying the creditworthiness of a prospective tenant in accordance with commercial best practices. Dunn and Bradstreet, commercial trade reference and bank reference are examples of credit sources that may be used by the Contractor to evaluate credit worthiness of a prospective tenant. Upon request, the Contractor shall provide the Government the results of the credit check along with the supporting documents.

2.1.4. ARMS Property Management Requirements:

2.1.4.1. Tenant Management Annual Execution Plan – The Contractor shall provide the Government Contracting Officer with an execution plan annually. The marketing execution plan will, at minimum, cover the following areas: (A12-01)

2.1.4.1.1. Expected language changes/additions/removals to any existing TUAs within in the FY

2.1.4.1.2. Audit dates to ensure tenants are complying with regulations, TUA, and PWS.

2.1.4.1.3. Cross-functional meetings with tenants

2.1.4.1.4. Expected rental rates and consideration

2.1.4.1.5. Potential projects for FCA and PAA funding for the FY and prioritize list for outyear projects

2.1.4.1.6. Any areas of concern

2.1.4.2. ARMS Monthly Activity Report and IPT Meeting – The Contractor shall provide the Government Contracting Officer with a Monthly Activity Report IAW CDRL A12-02, detailed current FCA balance and status of current projects. The Contractor shall meet with the Government ARMS team monthly for an IPT to discuss status of the program. The Monthly Activity Report and meeting shall cover marketing activities completed in the previous month, marketing activities planned for the next month, TUA changes, previous and planned contractor lead audits of tenants and results of those audits, any issues with rental collection, Tenant Corrective Actions (TCARs), status updates on projects in execution, estimated funds in FCA account, and any other items the contractor would like to discuss with the Government ARMS team.

2.1.4.3. Annual ARMS Program Review and Workshop – The Government will hold an annual program review/workshop off-site to the Contractor, which the Contractor shall be required to attend. Annual review/workshop may be up to three (3) days plus travel time. Any travel expenses for workshop attendance will be borne by the Contractor.

2.1.4.4. Annual ARMS Validation – The Contractor shall support the annual ARMS validation effort by tracking, maintaining and reporting records of cost, revenue, employee totals, all third-party commercial production sales, and benefits to the US Government / Army resulting from use of the GOCO under the ARMS program.

2.1.5. Contractor Compensation, Incentive and Consideration Distribution

2.1.5.1. The annual value of consideration available for use by the Government and/or retained by the Contractor shall be calculated in accordance with the ARMS Consideration Distribution Table 1 below. The Contractor Compensation/Incentive Fee (CIF) is that Portion of the total ARMS consideration/revenue (cash) plus the value of pre-approved and agreed to services in lieu of rent which is provided annually to the Contractor as compensation for ARMS property management, marketing and all related program management activities. The PL JS ARMS Program Portion of the consideration shall be used to fund ARMS projects. All consideration/revenue shall be maintained by the Contractor in the Facility Contractor Account (FCA) and reported in the ARMS Monthly Activity Report

2.1.5.2. Compensation to the Contractor (CIF) for completing the ARMS property management requirements shall be calculated based on the annual ARMS validation report using the current Government Fiscal year ARMS consideration/revenue and will be authorized for payment to the Contractor in the following Government Fiscal year by the Government Contracting Officer. The CIF is due to the Contractor within thirty (30) calendar days after completion of and PL JS approval of the annual ARMS Validation Report. The Contractor Compensation/Incentive funds are not available for use by the Government. Expenditure of the Contractor Compensation/Incentive funds is at the sole discretion of the Contractor.

Table 1. ARMS Consideration Distribution Table

Annual ARMS Consideration (Cash Revenue) Contractor Compensation/ Incentive Portion ARMS Portion

Current year cash is from 20% revenue loss to 4.99% revenue growth over the Baseline 20% of Total Consideration (Cash)

80%

Current year cash is from 5% to 15.99% revenue growth over the Baseline

Current year cash is 16% or more in revenue growth over the Baseline

2.1.5.3. Notes:

2.1.5.3.1. Contractor’s compensation/incentive is based on the amount of ARMS consideration/revenue (cash) generated at the GOCO during the current year as compared to the revenue generated during the previous/prior year. The previous/prior year revenue is referred to as the “Baseline.”

2.1.5.3.2. If the current year consideration/revenue decreases by more than 20% from the Baseline, the Contractor Compensation/Incentive Portion may decrease to 15% of the total current year consideration/revenue. The Government Contracting Officer may decide to allow the 20% compensation amount should there be mitigating circumstances.

2.1.5.3.3. Should the Contractor not perform in accordance with the PWS, the Contracting Officer shall have the authority to decrement the CIF payment.

2.1.5.4. The ARMS consideration/revenue maintained under the “ARMS Program Portion” of the FCA shall be for use by the Government for repair, upgrade, etc., of current and potential ARMS tenant needs (ARMS Projects). These projects will be recommended/proposed by the Contractor for review by the Government Contracting Officer and Government ARMS Team. The PL JS has final approval on the use of the ARMS revenue. Once PL JS notifies the Government Contracting Officer of funding approval for a project, the Government Contracting Officer authorizes the Contractor to execute the project.

2.1.5.5. The ARMS Consideration/revenue will be computed annually as of the last day of the Government fiscal year as part of the Annual ARMS Validation.

2.1.5.6. Contractor Incentive Fee (CIF) does not apply to any third-party non-DoD and commercial work.

2.1.6. Maintenance of Rented Facilities/Equipment (ARMS Use of Government Property).

2.1.6.1. Government assets that become available to the ARMS program will be maintained as active by the ARMS program to a degree to ensure continued utilization during the anticipated period of use by tenants and to permit inactive status after termination of operations without major rehabilitation. Maintenance costs caused by the Contractor’s or tenant’s negligence are the responsibility of the respective party. Government asets used by ARMS tenants that are no longer rented and are removed from the ARMS program will revert back to the operating contractor to maintain in accordance with the facility Maintenance PWS.

2.1.6.2. The Contractor has the option of using Government assets that are no longer rented by ARMS tenants. However, the Government shall be compensated for this use at a fair market rate in accordance with FAR Part 45 and/or the rates the Contractor charges the ARMS tenants. The consideration/rent shall be computed in accordance with FAR Part 52.245-9 Use and Charges.

2.1.7. Use Revocation and Unauthorized Use

2.1.7.1. Use Revocation: If the Contractor fails to comply with the PWS or the Government requires use of the Government assets, revocation of authorization to use Government assets will occur.

2.1.7.2. Unauthorized Use: The unauthorized use of Government assets can result in fines, imprisonment, or both under 18 USC 641.

2.1.8. KPI Tracking:

2.1.8.1. In addition to any KPIs specified in this PWS, the Contractor shall identify a minimum of three (3) KPIs that measure performance, effectiveness, timeliness, and/or efficiency of ARMS efforts at RFAAP. These additional KPIs shall be included in a PWS 12 KPI report (INSERT CDRL). The initial submission shall be submitted to the Government for approval 30 calendar days after transitioning as the Operating Contractor and monthly thereafter.

2.1.8.2. The Contractor shall define the calculation method for each KPI and any sub-KPIs in the first submission of the PWS 12 KPI report ACA for Government approval.

2.1.8.3. The PWS 12 KPI Report shall provide targets for improvement for each KPI, with justification as to why the target was determined. Targets may be based on industry standards or baseline data acquired in the first quarter of performance tracking. Targets may be adjusted on an annual basis or sooner, if necessary, with Government approval.

2.1.8.4. When KPIs are trending negative or consistently below target (for at least three consecutive months), the Contractor shall provide a plan or strategy adjustment to work back towards the target. The plan and/or strategy shall include details on actions to be performed, timeline for improvement and personnel responsible to achieve the target.

2.1.8.5. While the government reserves the right to assess contractor compliance with specific requirements of this PWS, the primary measure of the contractor’s success in performing the PWS will be determined by KPI goal attainment.

2.2. DELIVERABLES

2.2.1 CDRL A12-01 Tenant Management Annual Execution Plan

2.2.2. CDRL A12-02 Monthly Activity Report