Attachment 1 - Coin Destruction SOW.pdf

STATEMENT OF WORK (SOW)

Destruction of Counterfeit Coins

1. INTRODUCTION: The threat of counterfeit U.S. currency to the financial system of the United States continues to evolve. Advances in technology, the availability of scanning and printing devices and the adoption of U.S. currency by nations as their legal tender have exacerbated the global threat. As a part of its mission, the United States Secret Service (USSS) counters counterfeit operations with strategic international investigations and a forensic counterfeit detection training program for banks and law enforcement agencies. The USSS also collects, stores, and eventually disposes of counterfeit currency, including counterfeit coins. This is a nonpersonal services contract to dispose of large volumes of counterfeit coins that the USSS has stockpiled.

1.1 Objectives: The USSS is seeking the complete destruction of counterfeit coins that are held in locations throughout the continental US, outlined in section 1.3 below. The coins must be destroyed completely by shredding, waffling, flattening, or melting so they cannot be used as coins in commerce or trade. The scrap produced by coin destruction will remain with the contractor.

1.2 Scope: The contractor shall provide all personnel, equipment, supplies, facilities, transportation, tools, materials, supervision, and other items and non-personal services necessary to provide transportation and destruction of current and future counterfeit coins as defined in this Statement of Work.

1.3 Specific Tasks:

1.3.1 Transportation - Coins may be transported by the contractor to the contractor’s destruction location or the contractor can destroy them on-site near the government’s storage location.

The contractor will be responsible for all logistical costs, to include the cost of bringing the counterfeit coins to the destruction location or mobilizing a destruction truck to arrive near the governments storage location. Upon receipt, counterfeit coins will be weighed and inspected to ensure material is not contaminated with other materials.

1.3.2 Destruction - The counterfeit coins will be in sealed containers (closed lid, metal banded boxes or alternate acceptable containers). Each container shall be labeled with the following: the net weight in lbs., the coin denomination or the label “mixed’, and the container number (1 of 3, 2 of 3, etc). Per USSS policy, at least two (2) USSS Security Representative will supervise the un-sealing of the containers and the complete destruction process. The destruction process will not commence without the USSS Security Representative’s authorization. The destruction process will be continuous and will not stop until all counterfeit coins are destroyed. The USSS will be responsible for providing a security detail providing continuous security and supervision until all scrap counterfeit coins have been destroyed. The counterfeit coins must be destroyed by shredding, waffling, or melting or any other method that renders the coins unusable as currency. It must be verified that the coins will be suitably destroyed, ensuring that all the coins will be destroyed in the process. For each destruction event, the minimum and maximum quantity of counterfeit coins to be destroyed (by weight) will be predetermined and agreed upon by the USSS and the destruction company.

Volume and Locations of Counterfeit Coins:

The USSS is currently storing large volumes of counterfeit coins in the following locations. Weights are estimates based on the date of this document.

33,041 lbs in Los Angeles, CA 70,100 lbs in Riverside, CA 1,700 lbs in Houston, TX 14,610 lbs in Miami, FL 400 lbs in Chicago, IL

This is the estimated weight of coins that will require destruction for the first year of the contract.

Subsequent option years will have different amounts and may be in different locations.

1.4 General Information

1.4.1 Period of Performance: Services will be for one (1) base year beginning on date of contract award with four (4) one-year options.

1.4.2 Places of Performance: At this time, counterfeit coins are stored in the following locations.

Additional locations within the US are expected to arise during the course of this contract. Vendor will coordinate with below POCs for precise details about coin pickup and destruction.

Los Angeles, CA

Riverside, CA

Houston, TX

Miami, FL

Chicago, IL

1.4.3 Points of Contact:

Susan Fortunato

COR

US Secret Service, Criminal Investigative Division Sue.Fortunato@usss.dhs.gov 202-302-8996

Michael McCarthy Coordinator for specific destruction event locations, dates and local POC’s ATSAIC – Counterfeit Operations US Secret Service, Criminal Investigative Division Michael.McCarthy@usss.dhs.gov 202-527-2141

The contactor will be expected to email the COR all documentations and formal correspondence.

mailto:Sue.Fortunato@usss.dhs.gov mailto:Michael.McCarthy@usss.dhs.gov

1.4.4 Hours of Operation: The contractor is responsible for conducting business, between the hours of 8

AM and 4 PM (local time), Monday through Friday except Federal holidays or when the Government facility is closed due to local or national emergencies, administrative closings, or similar Government directed facility closings.

1.4.5 Type of Contract: The Government will award a Firm Fixed Price Contract.

1.4.6 Key Personnel:

Project Manager - The Contractor shall designate a Project Manager (Key Personnel) as the designated point of contact through which Task Requests can be communicated by the COR or designee.

Substitutions of key personnel shall be made only as directed by the Key Personnel Clause. The Project Manager (PM) shall be responsible for all work performed on this contract. The PM shall have full authority to act on matters pertaining to the performance of services under this contract. The Contractor shall not replace the PM without prior approval from the COR. The PM shall be the primary point of contact for the Contracting Officer and designated representatives of the Contracting Officer.

After award, if a Contractor assigns responsibility to someone other than the designated PM, the identity of that individual shall be provided in writing to the Contracting Officer and COR or designated representative within 5 working days prior to the start date of the task.

1.4.7 Privacy Act: Personnel who have access to Privacy Information shall adhere to the Privacy Act, Title 5 of the U.S. Code, Section 552a and applicable agency rules and regulations.

1.4.8 Physical Security: The contractor shall be responsible for safeguarding all Government equipment, information and property provided for contractor use. At the close of each work period, Government facilities, equipment, and materials shall be secured.

1.11.6. Contractor Travel: Contractor will be responsible for any travel costs.

PART 2

DEFINITIONS & ACRONYMS

2. DEFINITIONS AND ACRONYMS:

2.1. DEFINITIONS:

2.1.1. CONTRACTOR. A supplier or vendor awarded a contract to provide specific supplies or service to the

Government. The term used in this contract refers to the prime.

2.1.2. CONTRACTING OFFICER (C.O.). A person with authority to enter into, administer, and or terminate contracts, and make related determinations and findings on behalf of the Government. Note: The only individual who can legally bind the Government.

2.1.3 CONTRACTING OFFICER’S REPRESENTATIVE (COR) The COR will be responsible for:

• receiving all deliverables;

• inspecting and accepting the services provided;

• offering direction to the Contractor which clarifies the contract effort, fills in details or otherwise serving to accomplish the contractual Scope of Work;

• evaluating performance; and

• certifying all invoices/vouchers for acceptance of the supplies or services furnished for payment.

Neither the COR nor his/her designee has the authority to alter the Contractor's obligations under the contract and/or modify any of the expressed terms, conditions, specifications, or costs of the agreement. If, as a result of technical discussions, it is desirable to alter or change contractual obligations or the Scope of Work, the

Contracting Officer shall issue such changes in writing

• Act as liaison and to coordinate contractor/government activities;

• Provide technical guidance in the performance of an investigation; and

• Receive, review and approve progress reports, invoices and final reports or other functions of a technical nature.

2.1.4. DELIVERABLE. Anything that can be physically delivered but may include non-manufactured things such as meeting minutes or reports.

2.1.5. KEY PERSONNEL. Contractor personnel that are evaluated in a source selection process and that may be required to be used in the performance of a contract by the Key Personnel listed in the SOW. When key personnel are used as an evaluation factor in best value procurement, an offer can be rejected if it does not have a firm commitment from the persons that are listed in the proposal.

2.1.6. PHYSICAL SECURITY. Actions that prevent the loss or damage of Government property.

2.2. ACRONYMS:

CFR Code of Federal Regulations

CO Contracting Officer

CONUS Continental United States (excludes Alaska and Hawaii)

COR Contracting Officer Representative

COTS Commercial-Off-the-Shelf

CPFF Cost Plus Fixed Fee

FAR Federal Acquisition Regulation

FFP Firm Fixed Price

GFP Government Furnished Property

HSAR Homeland Security Acquisition Regulation

LH Labor Hour

NCR National Capital Region

OCI Organizational Conflict of Interest

OCONUS Outside Continental United States (includes Alaska and Hawaii)

ODC Other Direct Costs

PIPO Phase In/Phase Out

POC Point of Contact

PM Program Manager

SOW Statement of Work

TE Technical Exhibit

TM Time and Material

TPOC Technical Point of Contact