ATTACHMENT 2_STATEMENT OF WORK.pdf

P a g e | 1 Attachment 2: Statement of Work (SOW)

STATEMENT OF WORK

1. Scope and Ordering Activities: The scope of work under the Maintenance Repair and Operations (MRO) Indefinite-Delivery, Indefinite-Quantity Contract (IDIQ) contract includes the total logistics support of the MRO requirements of the military installations, federal activities, and other authorized customers in the Central Command (CENTCOM) Area of Responsibility (AOR). The CENTCOM AOR, for purposes of the solicitation and resulting contracts, consists of the following countries: Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, the United Arab Emirates, Yemen, Afghanistan, Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkmenistan, and Uzbekistan.

The initial implementation sites will be those customers already ordering through the MRO Program. The list of current CENTCOM customers can be found on Attachment B to this solicitation. During the term of this contract and for any subsequent option periods thereof, DLA Troop Support reserves the right to add ordering activities or delete ordering activities within the covered, CENTCOM Region, at no cost to the Government. Any such additions or deletions made by DLA Troop Support may result in a significant increase or decrease in the Government’s contract estimate. Any such change shall not be the basis for a request for equitable adjustment or claim, shall not result in Government liability to the contractor, and shall not affect the stated minimum guaranteed ordering amounts. MRO requirements are sometimes referred to as “facilities maintenance”, “facility sustainment”, “restoration”, and “modernization (SRM)”, or “public works” program projects. The items provided under the current contracts and the proposed contract are of the type that are used by commercial businesses, local and state organizations, military, and federal agencies. Pricing shall be FOB destination pricing, and shall account for all components of pricing to include material price, transportation, overhead, distribution, etc.

2. Contract Type and Term: The Government intends to award multiple award, indefinite-delivery indefinite-quantity (IDIQ) supply contracts with post-award competition of delivery orders. Although the Government intends to make more than one award, the Government reserves the right to make only one award depending upon the number and quality of offers received. AFTER AWARD, ALL CONTRACT HOLDERS WILL COMPETE FOR EACH DELIVERY ORDER. The contracts will have a base ordering period of three (3) years, which may include a 60-day ramp-up or implementation period, if needed, after award. The contracts will include a provision for unilateral options to extend the contract term by up to two (2) option periods of one (1) year each.

3. Items Covered:

i. MRO items (here, and throughout this document) include all items associated with the maintenance, repair and operations of a facility, installation, base, camp, post, station, yard, center, or other activity that is managed or authorized for procurement by DLA.

The scope includes, but is not limited to the following categories of materials and supplies:

i. Heating, ventilation, and air conditioning (HVAC) supplies;

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ii. Plumbing supplies (including bath and shower items and ablution units)

iii. Electrical products (including generators, wire/cable, connectors, sockets, outlets, lights, etc.)

iv. Tools of various kinds;

v. Chemical, lubricating, and rubber products and products including the same;

vi. Construction supplies (including, but not limited to, cement, lumber, plywood, bricks, blocks, steel, aluminum, metal products, and conduits);

vii. Prefabricated structures to include re-locatable buildings (RLBs);

viii. Perimeter security items, such as barriers, barbed wire, concertina wire, and sandbags;

ix. Communication devices, such as walkie-talkies and two-way radios, used by the maintenance personnel,

x. Appliances (excluding food service equipment);

xi. Janitorial and sanitation products;

xii. Various other commercial supplies required by the warfighters to accomplish their mission as it relates to facilities maintenance or sustainment.

ii. Note, the categories of materials and supplies in letter (a) may not be all inclusive.

Included within the range of items covered are items that might not routinely be used in the MRO arena, but, for reasons within the discretion of the Contracting Officer, have been determined acceptable to meet the ordering activity’s MRO requirements.

Example: While large shipping containers are normally used for transportation purposes, an ordering activity may need to use them as temporary storage facilities during a maintenance, repair, and operations project. The intended purpose would place such containers within the scope of this contract.

Example: While items like forklifts and cranes are typically supported through DLA Troop Support’s Heavy Equipment Purchasing Program (HEPP), if HEPP is unable to support the requirement, these items may be supported under the MRO contract.

The Contracting Officer retains full authority to determine whether or not a requirement is within the scope of the resultant contract(s). Scope determinations rendered by the Contracting Officer are requirement-specific and do not constitute future scope approvals for similar products/services.

iii. The Contractor must be able to supply all product categories listed above, as well as all exact items or Acceptable Alternates identified in Attachment A-Price Evaluation List (PEL). Note, the total number of items required under the contract is indefinite. The PEL constitutes a non-exhaustive, illustrative list of the types of supplies that will potentially be ordered under the resultant contracts.

iv. All items are commercial products or modified commercial products (commercial items requiring minor modification to fit military applications), as defined in FAR 2.101 that may be identified by manufacturers’ commercial item descriptions, part numbers, or by a technical specification or drawing. All items are to conform to the manufacturer’s

P a g e | 3 commercial specifications. Please reference the attached spreadsheet entitled “Attachment A: Price Evaluation List (PEL)” for a non-exhaustive, illustrative list of the types of supplies that will potentially be required of the Contractor.

v. In order to evaluate offers and establish an initial catalogue of items, offerors must provide unit prices for a minimum of 95% of the items (92 items) on the Price Evaluation List (PEL), which consists of 97 items. These items are listed in a Microsoft Excel spreadsheet that is available as Attachment A: Price Evaluation List (PEL) Spreadsheet to this solicitation.

vi. On any resultant delivery order, the Contractor may provide a substitute, different brand name, or generic product for the specified product only with prior permission from the ordering activity. If the ordering activity does not approve the deviation, the order shall be cancelled at no cost to the Government. The Contractor shall provide the Government with the ability to access this information in the Usage Data.

Additionally or alternatively, the Government may exercise any and all remedies available to it under the terms of this contract, including those identified under FAR 52.212-4(a).

vii. Requirements may change and expand due to the needs of our customers. Therefore, the Government reserves the right to procure new product lines considered to be MRO items that are managed and authorized for procurement by DLA during the period of performance of this contract, as determined necessary by the Contracting Officer. In addition, the Contractor shall maintain the resources, expertise, alliances, and superior customer support sufficient to ensure successful performance of the resultant contract.

viii. Requirements will be reviewed to ensure compliance with the scope of the contract(s).

If a requirement is determined to be outside the scope of the contract(s), it will be rejected by the Contracting Officer. Alternate/appropriate means of satisfying the customers' requirement will be reviewed and provided as appropriate.

ix. All requests for new items will be reviewed for scope compliance by a designated representative of the DLA Troop Support Construction & Equipment (C&E) Directorate. An item must be approved by DLA Troop Support prior to requesting a contractor's pricing and delivery terms for an order. The determination by DLA Troop Support as to whether an item is in scope shall be considered final and cannot be appealed by any TLS Contractor.

4. Price Evaluation List: A Price Evaluation List (PEL) was identified. The PEL is considered a representative sample of the types of items that may be required by DLA Troop Support customers throughout the duration of the contract. The list illustrates the types of supplies that have been provided under the previous MRO CENTCOM Contracts, which the TLS contractor(s) may be required to furnish under the resultant contracts for the current initiative.

The prices for the PEL and Acceptable Alternates will be Ceiling Prices after contract award. It is the maximum unit price that the Government will pay during the base period and each applicable option year for items on the PEL*. During the post-award competition of delivery

P a g e | 4 orders, the contractor may not submit a quote for a PEL item or Acceptable Alternate with a price that exceeds the applicable contractual Ceiling Price. It should be noted, if it is determined that one of the exceptions in FAR 16.505(b)(2)(i) applies to an order, DLA Troop Support may direct the award to one contractor. In the event that the Contractor receives pricing from its’ suppliers for a PEL item that is lower than the ceiling price proposed in its Price Proposal, the Contractor shall submit the lower, quoted price as the unit price. Contractors are encouraged, when competing for delivery orders, to provide a quote less than their ceiling price. There is no established ceiling price for non-PEL items.

*Note: Prices offered for the items on the Price Evaluation List and prices offered for alternate items accepted by the Government will be awarded as firm-fixed ceiling prices for the first six months of the base period and first six months of each one-year option period for each destination. However, those items designated as subject to more price volatility will have the pricing fixed as a ceiling price for the first three months of the base period and the first three months of each one-year option period for each destination.

a. Superseded Part Number Items: If an item on the PEL is superseded during the contract term, the Contractor shall advise the Contracting Officer. If there is no change to the parts form, fit, function, configuration, application, or physical nature and is therefore an exact item of replacement, PEL pricing will remain applicable. If there is a change such that it is not an exact item replacement, the Contractor shall include complete information from the manufacturer concerning the replacement item as it relates to the form, fit, and function, configuration, application, or physical nature of the superseded item. The Contracting Officer will make the determination whether the superseded item represents a “new” item. If the determination by the Contracting Officer is that the superseded item is NOT an exact item of replacement, PEL pricing will not be applicable.

b. End of Life (EOL): If an item on the PEL has been classified as EOL by the manufacturer, the Contractor shall provide supporting documentation to the Contracting Officer. PEL pricing will not be applicable after the last production date.

5. Pricing:

a. Acquisition Price: The acquisition price is defined as the actual invoice price of the product that the prime vendor pays its subcontractor or supplier for the material ordered under a contract line item, less the value of any rebates, discounts (including prompt payment discounts), payments, fees, and/or remittances of any kind received by the prime vendor from its sub-contractor(s) or supplier(s) in connection with its fulfillment of that contract line item (whether received prior to or after issuance of the delivery order).

i. The acquisition price shall not include the value of any markups, fees, charges, or other costs imposed upon the prime vendor by any affiliate(s) (see FAR 2.101) of the prime vendor above and beyond what the affiliate entity pays its supply source. In the case of an awardee that is a joint venture, the acquisition price shall be fixed at the lowest price available to the joint venture or any of its constituent entities and shall

P a g e | 5 not include a) the value of any markups, fees, charges, or other costs imposed upon the joint venture by its constituent entities or any affiliate(s) (see FAR 2.101) of its constituent entities, or b) the value of any markups, fees, charges, or other costs imposed upon the joint venture’s constituent entities by any affiliate(s) (see FAR 2.101) of its constituent entities. If material is Drop shipped, the acquisition price may include freight costs associated with the prime vendor’s supplier delivering the material directly to the customer’s location. If material is delivered via Prime-Vendor (Non-Drop Ship) Supported delivery, the acquisition price SHALL NOT include any freight charges, except for freight costs associated with a prime vendor’s supplier or third-party transportation vendor delivering material to a prime vendor location.

Acquisition prices offered to the Government shall not exceed the commercial selling prices and shipping rates at which the prime vendor’s commercial supplier(s) and/or subcontractor(s) routinely offer the same quantity of their products or services for sale to the general public in the ordinary course and conduct of their businesses. All acquisition prices are subject to verification.

ii. The values of any distribution, handling, or other fees, remittances, or payments of any kind received by the prime vendor (or, in the case of a prime vendor that is a joint venture, any of its constituent entities) during its performance of this contract, which are payable to the prime vendor (or any of its constituent entities) by reason of or incident to the prime vendor's (or its constituent entities') purchase of supplies to fulfill orders issued under this contract shall immediately be credited against the acquisition price of the line item(s) to which they relate and thereby passed through to the benefit of the Government. The benefit of all such fees, remittances, and/or payments shall be provided to the Government through corresponding reductions to the acquisition prices of the pertinent line items, whether the distribution, handling, or other fees and payments are received by the prime vendor or its constituent entities before or after issuance of the Government delivery order line item(s) to which they relate. Neither the prime vendor, nor in the case of a joint venture, its constituent entities, shall collect any sort of discount, rebate, fee, payment, remittance, or other thing of value from its suppliers and/or subcontractors related to products purchased to fulfill delivery order line items under this contract without immediately tendering the full value of those fees, payments, or other things of value to the Government, in the form of a reduction to the acquisition price of the line item.

b. Other Costs: Offered unit prices shall be submitted as one fixed price that includes all transportation costs and other costs. Other costs are defined as costs associated with supplier/TLS vendor costs for consolidating, shipping and handling; sea, air and/or ground transportation costs; all export and import customs documentation required to transport material to the customer location outside of the USA territory, including, but not limited to: Manifests, Inspection Certifications, and Transportation Documents; the TLS vendor fee; and any other applicable taxes and fees. On instances where the acquisition price includes freight/transportation and/or drop shipping costs to the customer’s location, the Other Costs price SHALL NOT include any associated freight/transportation costs. The prices offered shall not include the DLA Troop Support cost recovery rate.

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c. If the Government issues multiple awards, all orders shall be competed amongst all awardees. A fair and reasonable price determination will be made on all line items. Items where pricing cannot be determined to be fair and reasonable will not be approved by the Contracting Officer, and thus will not be ordered.

d. To the maximum extent possible, the Contractor (s) must obtain quotes directly from the manufacturer of an item, thereby minimizing the use of third-party vendors.

6. Limitations on Pass-Through Charges: The Contractor shall not be entitled to payment for excessive pass-through charges and shall exclude excessive pass-through charges in the contract price and in any invoices submitted. Excessive pass-through charges are charges resulting from or attributable to the Contractor's or its subcontractors' effort when that effort did not add substantive value to the work performed under the contract. The Contracting Officer shall determine if excessive pass-through charges exist. The Contractor has the burden of establishing, to the Contracting Officer's satisfaction, the value it or its subcontractors at any tier added to the work performed under the contract. In the event that the government discovers potential excessive pass-through charges, the government may require the Contractor to submit invoices and other documentation from all tiers to substantiate the value added at each tier; the Contractor's failure to provide acceptable documentation substantiating value added is sufficient, without more, to establish that excessive pass-through charges exist. If the Contracting Officer determines that excessive pass-through charges exist, the Government shall be entitled to a prospective price reduction and a retroactive refund for the amount of excessive passthrough charges included in the contract price. The Contracting Officer, or authorized representative, shall have the right to examine and audit all the Contractor's records (as defined at FAR 52.215-2(a)) relevant to the existence of excessive pass-through charges; failure to exercise this right shall not constitute a defense to a determination of excessive pass-through charges or the Government's assertion of remedies.

6. Implementation Plan:

a. The implementation period (or ramp-up period) for the contract resulting from this solicitation is a maximum of 60 calendar days beginning at the effective date of the contract. The contractor is expected to begin filling customer orders before the end of the implementation period.

b. The contractor is required to provide its implementation plan to DLA Troop Support no more than seven calendar days after award. Implementation of the contract shall include the following:

i. Ensuring all Performance Metrics can be accomplished and having a Purchasing System in place in accordance with the Statement of Work.

ii. Having successfully tested ANSI X12 transactions sets as identified in the paragraph below titled Information Technology (IT)/Order Receipt Processing. At

P a g e | 7 a minimum, the 855 Purchase Order Acknowledgment and 810 Invoice transactions must be tested with successful results obtained in order to perform.

c. Ramp Down. In the event that a follow-on contract is awarded to a firm other than the incumbent TLS Vendor(s), the Government intends to: (i) make award at least 60 days prior to the expiration date of the incumbent contract and (ii) establish a time phased transition schedule during the incumbent contractor’s final 30 days of operation. During the implementation period, the incumbent TLS vendor(s) will remain the principal source of supplies. Performance failure during this period may result in the termination of the contract for cause. The order of precedence for customer support is (1) the incumbent TLS Vendor(s) (2) the new TLS Vendor(s). The incumbent TLS PV must facilitate the transition to the maximum extent practicable.

7. Purchasing System: The Contractor is required to have a Purchasing System to support this requirement. “Purchasing System” means the Contractor's system or systems for purchasing and subcontracting, including the selection of vendors, analysis of quoted prices, negotiation of prices with vendors, and placing and administering of orders. As part of the Purchasing System, Procurement Note C08 Tailored Logistics Support Purchasing Reviews is applicable. The Contractor's Purchasing System shall include the following:

a. Provide for an organizational and administrative structure that ensures effective and efficient procurement of required quality materials/parts at the most economical cost from responsible/reliable sources.

b. Perform internal audits and management reviews, training, and maintain policies and procedures for the purchasing department to ensure the integrity of the purchasing system.

Establish and maintain a corrective action plan for employees that violate the policies and procedures of the purchasing system.

c. Have business alliances and contractual relationships that will ensure the ability to provide the scope of products listed in the Statement of Work. Establish and maintain selection processes to ensure the most responsive and responsible sources for furnishing required quality parts and materials.

d. Promote competitive sourcing among dependable suppliers so that purchases are reasonably priced and from sources that meet contractor quality requirements.

e. Establish and maintain procedures to ensure documentation of vendor selected and performance of adequate price analysis on purchasing actions. Internal systemic checks that identify price increases, domestic sourcing issues, or other potential violations BEFORE the order is transmitted to DLA Troop Support.

f. Have policies and procedures to assure purchase orders and subcontracts contain all flow down clauses, including terms and conditions required by the prime contract, as well as any clauses needed to carry out the requirements of the prime contract and ensures that

P a g e | 8 proper types of subcontracts are selected. Procedures that ensure the post-award oversight and surveillance of subcontracted effort to assure that all requirements are followed.

8. Customer Support: TLS Contractors must have dedicated personnel assigned to the day-to-day management of the MRO CENTCOM Tailored Logistics Support Program.

a. Customer Support: Customer support must be made available to DLA Troop Support and authorized customers under this Program. Adequate customer support includes procedures to address order tracking, emergency order tracking, problem resolution for any service or quality issues, quantity discrepancies, and warranty disputes. The Contractor shall provide a clear organizational hierarchy, including contact information, to customers for the escalation of unresolved issues. The Contractor shall respond to all customer support inquiries within 24 hours after receipt. The Contractor must maintain dedicated, 24/7 customer support for emergency requirements to provide support via telephone and/or email correspondence. TLS Contractors must provide DLA Troop Support and authorized customers with a toll-free phone number and an email address in order to contact the customer support representatives.

b. Technical Support: TLS Contractors must have technical experts available to promptly provide technical support and assistance for each item offered to DLA Troop Support and authorized customers under this Program. TLS Contractors must have technical support representatives available Monday through Friday between the hours of 7:00 AM and 5:00 PM local Philadelphia time to provide technical support by telephone or email correspondence. A toll-free phone number must be provided to DLA Troop Support and authorized customers in order to access technical experts for support. In addition, TLS Contractors must provide DLA Troop Support and authorized customers with an email address in order to contact the technical experts. Technical support may be required on a pre-order and/or post-order basis. Technical support may include but is not limited to providing advice and information regarding the proper use and ordering of MRO products. TLS Contractors shall respond to all technical support inquiries within 24 hours of receipt of inquiry.

c. Customer Visits: TLS Contractors must have representative(s) available for customer visits when required. All customer visits must be coordinated through DLA Troop Support in advance and shall be authorized only when the customer specifically requests a visit. Visits are at no cost to the Government.

d. Marketing/Expansion: The TLS Contractors shall partner with DLA Troop Support to market the MRO CENTCOM TLS Program to all eligible customers. The contractor may develop, publish, and, subject to the approval of the Contracting Officer, distribute appropriate publications and/or marketing materials to inform eligible installations about the operations of the MRO CENTCOM TLS Program. The materials may cover the types of products supplied under the program and the customer service offered by the contractor, and a toll-free telephone number and dedicated email that may be used by eligible customers for any questions regarding the program. The contractor may be required to attend DLA Troop Support sponsored industry/customer conferences. The contractor may provide email notification, to all customers, of any new MRO products

P a g e | 9 and/or discounted products that are currently available for purchase. All marketing related emails shall be forwarded to the designated DLA Troop Support Tailored Vendor Logistics Specialist(s) as well. All marketing, marketing visits and industry/customer conferences are at no cost to the Government. The expansion of the contract beyond that of the currently participating activities will depend greatly upon the successful management and marketing of the contract by the awardee(s). Any marketing efforts shall not, at any time, include the marketing of items that the Contracting Officer has previously determined to be out of scope. Any item that the Contracting Officer has not previously determined to be within scope shall not be guaranteed, or implied as guaranteed, to be supportable through the MRO contract.

9. Information Technology (IT)/Order Receipt Processing: For purposes of this program

TLS Contractors shall, at a minimum, provide the following after any resultant award:

a. Email capabilities for the receipt of “requests for quotes” for MRO items forwarded by

DLA Troop Support to each Contractor.

b. EDI capabilities to transmit customer order information to DLA Troop Support and for invoicing DFAS.

i. To facilitate EDI transaction exchange, the Contractor is responsible for obtaining and maintaining a Value Added Network (VAN) for the term of the contract. The cost of the VAN will be borne entirely by the Contractor.

ii. At a minimum, the Contractor shall be able to support the following American National Standards Institute (ANSI) X12 transaction sets:

810 Invoice 824 Application Advice 850 Purchase/Delivery Order 855 Purchase Order Acknowledgment 856 Advanced Shipping Notice 865 Purchase Order Change

The TLS Contractor is not authorized to perform until receipt of the 824, Application Advice, transaction. The Government is not liable for any costs that the TLS Contractor incurs before receipt of the 824.

iii. The Contractor shall be able to send an ANSI X12 Invoice (810) transaction set as of the date of award and shall establish an EDI Trading Partnership with the payment office prior to submitting electronic invoices.

Additional transactions may be required during contract performance and the TLSP Contractor shall accommodate such transactions at no additional cost to the Government.

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c. Usage Data: The Contractor shall be able to send a delimited ASCI II text file with line-item usage data.

i. Following contract award, the TLS Contractor shall furnish the name of an Information Technology (IT) specialist point of contact (POC) with its proposal, which is capable and authorized to resolve systems, software, and transmissions issues with DLA Troop Support assigned IT POCs.

d. Ordering/Request for Quote Process Overview

i. Competition process for all delivery orders: All orders will be competed among all awardees pursuant to the fair opportunity requirements of FAR 16.505(b), except the Government reserves the right to direct orders to a particular source under urgent circumstances or to provide economy and efficiency as a logical follow-on to an order already issued in accordance with FAR 16.505(b)(2) or to satisfy a guaranteed minimum. Each Request for Quote (RFQ) will clearly state the basis for award. Price and delivery are common factors that will be used; however other factors may be included as well. The BidWiser Program (a DLA Troop Support Bid Processing Program) will be utilized to issue the Request for Quotes (RFQs) for the individual delivery orders and to evaluate the offers received.*

*It should be noted that the DLA Construction & Equipment directorate is currently undergoing ongoing information technology (IT) modernization. The platform (i.e.

BidWiser) that supports the CENTCOM TLSP is subject to change at any time during the period of performance. The TLSP vendor will be expected to accommodate any IT change made by DLA to the bid processing platform at no additional cost to the Government. The Government reserves the right to direct the contractor to utilize other methods of quote submission at no additional cost to the

ii. Approved customer order requests are loaded into a standardized RFQ spreadsheet and forwarded (via email) to all TLS Contractors. A sample RFQ file layout has been provided in Attachment C. Should any missing data be identified, the DLA TVLS will follow-up with the customer for clarification. The requirement would be re-competed with the adequate data. TLS Contractors will not have contact or discussions with the customer during the RFQ process.

iii. Vendors are expected to submit quotes on a minimum of 90% of all lines under each RFQ. The TLS Contractor must submit priced quotes on all RFQs for items on the PEL on which it has offered a Ceiling Price and the Ceiling Price was determined fair and reasonable and accepted by the Government.

iv. When a RFQ describes the Government's requirements for an item peculiar to one manufacturer (e.g., a particular brand-name, product, or a feature of a product that is peculiar to one manufacturer), offers of alternate items will be considered by the Government unless the RFQ expressly states that only the item peculiar to one

P a g e | 11 manufacturer will be considered. A Contractor proposing an alternate item shall furnish, with its offer legible copies of all drawings, specifications, or other data necessary to clearly describe the characteristics and features of the alternate product being offered. Data submitted shall cover design, materials, performance, function, interchangeability, inspection and/or testing criteria, and other characteristics of the offered product. In addition, the offeror shall furnish drawings and other data covering the design, materials, etc. of the exact product cited in the RFQ along with a cross reference list comparing the features and capabilities of the alternate item offered to the exact item listed on the RFQ sufficient to enable the Government to determine whether the offeror's product is equal to the product cited in the RFQ.

Failure to provide a complete technical data package sufficient to establish that the alternate item is an acceptable substitute to the item requested shall be grounds to exclude the alternate item from consideration.

v. In the event that an offer for an alternate item is received in accordance with the terms of the contract, the Government will review the alternate item for acceptability. If the Government determines that the alternate item offered will meet its requirements, the Government may award based on the alternate item in lieu of the item originally requested, without further negotiations or amendments to the RFQ, if the alternate item offers the best value to the government based on the criteria stated in the relevant RFQ. If the Government determines that the alternate item will not meet its requirements, the Government will document why the alternate items fails to meet the Government's needs and award the original items requested, or an otherwise acceptable alternate item, in accordance with the terms of the source selection process stated in the individual RFQ.

vi. In the event that an RFQ describes the Government's requirements for an item peculiar to one manufacturer, and expressly states that only that item will be considered, the Government will follow the procedures contained in FAR 16.505 concerning the justification, documentation and approval for an item peculiar to one manufacturer.

vii. All TLS Contractors fill out the following information in identified spreadsheet fields:

TLS Vendor Part Number Acquisition Cost (include the cost of the item without any supplier/TLS vendor shipping, consolidation, handling and/or delivery fee to the customer destination.)

Other Cost (include supplier/TLS vendor costs for consolidating, shipping and handling, includes customs fees associated with delivery of the item to the customer location as well as the TLS vendor fee.

Purchase Unit Price (include the Acquisition Cost, the Other Cost and the DLA Cost Recovery Rate).

Purchase Extended Price Lead Time Comments – (Include, at a minimum, the manufacture’s part number.)

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Buy American\Trade Agreements Compliant Berry Amendment Compliant Country of Origin TLS Vendor quote is for a substitute item Substitute* Core List Number (applicable only when alternate item is offered) Substitute* NSN (applicable only when alternate item is offered) Substitute* Manufacturer Name (applicable only when alternate item is offered) Substitute* Manufacturer Part Number (applicable only when alternate item is offered) Substitute* Item Description (applicable only when alternate item is offered) Substitute* TLS Vendor Part Number (applicable only when alternate item is offered)

*The term Substitute is synonymous with an alternate item.

The TLS Contractors send (via email) the completed RFQ files to the designated DLA Troop Support contact.

The TLS Contractors shall have adequate personnel to respond to Delivery Order RFQs with the ability to expand in response to increased sales volume.

viii. All Vendor RFQs that are received by the required date/time are loaded into

BidWiser. The date and time for receipt of quotes will be specified on each RFQ and generally will be within 7 business days.

ix. The Contracting Officer reviews the returned quotes and selects the awardee based upon a Best Value determination. The Best Value determination will be based on Trade-Off procedures, Lowest Price Technically Acceptable procedures, or other procedures, as specified in the RFQ. The Best Value award decision factors normally will include price and delivery; however, other factors such as local material sourcing (e.g., products produced or manufactured in Afghanistan, Georgia, the Kyrgyz Republic, Pakistan, the Republic of Armenia, the Republic of Azerbaijan, the Republic of Kazakhstan, the Republic of Tajikistan, the Republic of Uzbekistan, or Turkmenistan) may be included, as specified in the RFQ. Awards may be made on a line-by-line basis or a total order basis. As stated above, Each Request for Quote (RFQ) will clearly state the basis for award and how the offers will be evaluated. For any RFQ for which the TLS vendor submits quotes from third-party logistics integrators, the TLS vendor must provide those integrators’ source of supply.

Should the required source information not be supplied, Contracting Officers will not approve the award of any delivery order on the basis of a quote submitted from a third-party logistics integrator.

x. Should the TLS Contractor have questions regarding a particular item, it may contact the DLA Troop Support point of contact for clarification.

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xi. DLA Troop Support will verify that PEL prices do not exceed the ceiling prices.

e. Equipment and EDI Requirements: Information regarding EDI, ANSI X12 transactions, and DLA transaction services approved VANs can be obtained from the DAAS web site by going to https://www.transactionservices.dla.mil/daashome/edi- vanlist-dla.asp.

Questions concerning electronic ordering should be directed to: dlaedigroup@dla.mil.

The Contractor shall acquire and maintain the following minimum requirements for receiving and transmitting EDI transactions:

i. A computer compatible with the chosen network.

ii. A mailbox with a commercial VAN which is connected to the Distribution Point.

iii. Translation and communication software which is commercially available and capable of receiving and transmitting X12 data in accordance with paragraph (a) above. The Government reserves the right to "upgrade" the X12 Guideline to allow for technological enhancements which render the then current minimum requirements inadequate to permit the required EDI transmissions.

iv. The Contractor shall be responsible for all errors or malfunctions regarding any EDI transmission: caused by the Contractor's personnel or the Contractor's equipment;

caused by the Contractor's agent or representative, or the agent's or representative's personnel or equipment; caused by an error or malfunction in a VAN chosen by the Contractor or its agent or representative, and such errors or malfunctions shall not be a basis for excusable delay within the meaning of the clause of the contract entitled, "Default," unless such error or malfunction be beyond the control, and without the fault or negligence of, the Contractor, the Contractor's agent or representative or the Contractor's selected VAN. When such events occur, the Contractor shall contact the Contracting Officer within twenty-four (24) hours or the next business day of first notice of the error or malfunction to arrange for retransmission. Repeated errors or malfunctions may necessitate the termination of EDI transmissions with the Contractor and may necessitate the termination of the contract.

v. In the event of an error or malfunction in EDI transmission caused by a Government representative or equipment, the Contracting Officer shall immediately notify the Contractor and arrange for retransmission of the data.

vi. Both the Government and the Contractor agree that use of an "interchange address" in each EDI transmission shall be the equivalent of a written signature and shall have the same force and effect as if it were a written signature.

vii. In the event of an interruption in EDI transmission, hard copy documents shall be used for conducting those transactions which were accomplished through EDI until such time as the interruption ceases.

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viii. The Contractor shall provide for adequate security of all EDI transmissions and protect any and all records and data from unauthorized or improper access and distribution.

Information regarding EDI is available at:

https://www.transactionservices.dla.mil/daashome/edi.asp

ix. During the ramp-up period, the TLS Contractor shall provide the VAN that shall be used for the EDI transactions provided for under this contract. Any change in the VAN must be approved by the Contracting Officer, in writing, prior to change-over.

x. Disputes: Any disagreement which arises in connection with the minimum requirements for EDI transmission or fault as to error or malfunction of EDI transmissions shall constitute a dispute under the "Disputes" clause of the contract.

xi. The following ANSI X12 EDI transactions will be required to be forwarded to DLA Troop Support via DASSC:

1) Upon email notification of the “Successful Offer”, contractor must create an 855 -

Purchase Order Acknowledgement and forward to DLA TROOP SUPPORT within 2 working days of funding approval. This transaction will include a separate line and line-item number for each item/service being ordered under the delivery order. In accordance with FAR Part 4, DLA is responsible for assigning unique Procurement Instrument Identifiers (PIIDs) for each resultant delivery order. Note, there is no award unless a vendor explicitly receives an Award Notification Spreadsheet via email.

2) Following approval of an order in KO Portal, the contractor will receive an order acknowledgement via an EDI 864 transaction while at the same time a final EDI 855 transaction will be sent from KO Portal through DAASC to EBS to record the obligation. The final EDI 855 transaction will constitute the delivery order date.

Once the final EDI 855 transaction is completed and the obligation is recorded in EBS, the purchase order will be established. Once the purchase order has been established, the contractor will receive approval notice to begin performance via an EDI 824 transaction. The shipment notice (EDI 856 transaction) will constitute the date of shipment.

3) Upon shipment to the customer, contractors must create and forward an 856 - Advanced Shipping Notice. The line-item number that is being shipped must be included. Multiple 856s per order are acceptable. Note, customer contact information will be provided for every delivery order.

4) After customer receipt, an 810 - Invoice is required to be forwarded. Invoicing for the Metals Tailored Logistics Support Program will be at the line-item level.

There should be a corresponding invoice line for each line on the 855 once the line has been shipped. Therefore, it is critical to maintain the same line-item number used from the 855 on the 810. For example, if the item was listed as line-

P a g e | 15 item number 1 on the 855 Purchase Order Transaction it must be listed as line-item number 1 on the 810 Invoice transaction. The government's processing system, known as DLA Enterprise Business System (EBS), will be matching price and quantity per line item, along with the customer's Material Receipt Acknowledgement (MRA) in order to make payment.

5) The following transaction is provided for reference only as it may be implemented at a later date and after a minimum 30 day notice: 865 - Purchase Order Change -a purchase order change can be initiated by the contractor; however, it will go through an approval process in EBS. The TLS vendor is not permitted to submit any 865 transaction without prior written approval from the Contracting Officer. Once an order is invoiced, no changes are permissible.

Note: Until implementation of above 865 Transaction, any change to a purchase order should be forwarded via email to the DLA Troop Support Contracting Officer. Include in the remarks the complete order number being changed.

a. Monthly Usage Data: Usage data reflects the TLS Vendor’s line-item detail for the financial (sales) data and is used to establish TLS Vendor program metrics. At a minimum, monthly usage data shall be made available to DLA Troop Support within 15 days from the end of each calendar month covering each ordering activity under the contract. Data shall be arrayed to provide Government access on a line-by-line or delivery order basis. The required format for submission of this information is contained on Attachment D to the Solicitation, titled “Data Specification Document.”

i. During the term of this contract, DLA Troop Support will use state-of the-art Information Technology Systems (ITS). As part of the administration of the Construction & Equipment (C&E) Directorate’s Tailored Logistics Support Programs (TLS), DLA Troop Support has defined a monthly requirement of Usage Data Reporting. All data provided by the TLS Vendors will be used and viewed by C&E Management and DLA Troop Support Program personnel only. Data will not be shared and cannot be viewed by other TLS Vendors.

ii. Offerors shall furnish the name of an Information Technology (IT) specialist point of contact (POC) with its proposal, who is capable and authorized to resolve systems, software and transmissions issues with DLA Troop Support assigned IT POCs. Offerors shall state the extent of how their current information technology (IT) is used for Electronic Commerce either in commercial or government business. To increase the utility of this collected information, streamline the data collection process, and minimize data manipulation efforts, DLA Troop Support has established specific data reporting requirements. These specifications include submission time frames, vehicle or medium of submission and the data elements structure that will make up the submitted data set. As the state of the art of IT evolves, modifications may be required to accommodate the needs of DLA Troop Support and/or its’ customers.

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Note: THE DATA SUBMITTED SHALL CONTAIN THE ACTUAL

MANUFACTURER’S NAME AND THE MANUFACTURER’S PART NUMBER. ANY

OTHER METHOD OF IDENTIFYING THE MANUFACTURER AND

MANUFACTURER’S PART NUMBER, SUCH AS A SYSTEM UNIQUE TO THE

VENDOR, IS UNACCEPTABLE.

10. Delivery Requirements:

a. The total logistics support required by this contract includes the Contractor’s ability to transport and deliver MRO items to any ordering activity within the CENTCOM AOR within the timeframe requested by the customer to meet their facilities maintenance mission requirements on each individual delivery order. This includes the ability to support routine delivery requirements, as well as emergency delivery requirements, and surge and sustainment delivery requirements (should any arise within the period of performance). Delivery using commercial airfreight may be required to meet the emergency delivery requirements of the customer. Weekend deliveries are acceptable if required and approved by the ordering activity. Delivery hours may vary for each installation and will be provided to the Contractor upon implementation of contract at that site. The ordering activity may indicate one or more locations on base for delivery of supplies. Additionally, ordering activities may require Contractor notifications before delivery. Contractors shall comply with ordering activities desired delivery notification timeframes. For emergency orders, the shipping containers shall be marked accordingly to indicate that it is an emergency delivery.

The TLS Contractor shall provide each customer with the telephone number and email of the Contractor's representative responsible for providing the marking on the shipping container. The Contractor may be required to provide numerous emergency orders per month. The item unit price for emergency orders will be the same as routine/non-emergency orders. Deliveries for items that are “manufactured to order” must meet deliveries specified in the order.

b. DLA CONUS Containerization and Consolidation Point (CCP) Requirements: The TLS Contractor shall be responsible for coordinating the transportation booking in conjunction with DLA Distribution. The TLS Contractor must submit a shipping request form containing shipment information to obtain shipping instructions and carrier documentation from DLA Distribution. Shipping request forms are to be submitted to DLA Distribution, Attention: Transportation Division, Email:

delivery@dla.mil, Phone: 1-800-456-5507, Facsimile: 1-717-770-2709.

c. The Contractor is contractually obligated to provide delivery via commercial transportation resources in the CONUS or OCONUS to the CENTCOM AOR point of need. Delivery may be to a CONUS based debarkation point and then transported via federal government assets to OCONUS locations.

d. Bill of Material (BOM) Orders: A bill of material is defined as a requirement that includes multiple lines or a requirement submitted on multiple delivery orders. For specific projects/BOMs, the Contractor will be required to consolidate and deliver all

P a g e | 17 supplies at the time required by the customer to the location designated by the customer. Failure to deliver the project/BOM in its entirety may result in refusal of the shipment.

e. Defense Transportation System (DTS): The Government reserves the right to use the system that provides the best service to the customer. The Contractor may be authorized to ship material via DTS as directed by the Contracting Officer for such reasons including, but not limited to, security requirements of the customer and/or contingency operations.

f. For each delivery order, the Contractor shall make only one delivery per order. All items contained in a delivery order must be delivered at the same time unless the ordering activity authorizes otherwise.

g. Certain items within the scope of this program are manufactured to order and are not available prior to determination of customer requirements.

h. For each delivery order, transportation shall be F.O.B. Destination, unless otherwise specified in writing and in advance by the Contracting Officer.

i. Contractors are advised that requirements for entry may vary by installation.

Contractors shall be aware of installation policy and procedure and effectively communicate it to their subcontractors.

j. The Contractor is responsible for any export and import customs documentation required to ship material through locations covered by this solicitation, including, but not limited to:

manifests, inspection certificates, and transportation documents. The Contractor must plan in advance, coordinate with the appropriate points of contact, and utilize strategies to ensure timely passage of material through any and all ports of entry and border crossings en route to the delivery destination.