ATTACHMENT 2_STATEMENT OF WORK_Redacted.pdf

Solicitation SPE8E4-21-R-0001 PAGE 37

STATEMENT OF WORK

1. Scope: The contractor shall provide items under the general grouping of metals for requirements under an Indefinite-Delivery, Indefinite-Quantity Contract (IDIQ) to ordering activities located in the continental United States (CONUS) specifically consisting of the following states: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Hampshire, New Jersey, New Mexico, New York, Nevada, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming; and ordering activities located worldwide through container consolidation points in the CONUS. The requirements covered under this solicitation include, but are not limited to: aluminum, stainless steel, carbon steel, copper, brass, titanium, nickel and nickel alloys; and other industrial metals in various forms, such as: wire, plate, sheet, strip, bar, angle, extrusions, pipe, tube, and any other shape required by the ordering activities. 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 & 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. The Government has also "reserved" up to one award for an eligible responsible small business concern. This means that the Government intends to make at least one award to a small business concern. The vendor that wins the "Reserved" contract, if any, will only be issued one contract. AFTER AWARD, ALL CONTRACT HOLDERS WILL COMPETE FOR EACH DELIVERY ORDER. The small business concern that wins the "reserved" contract, if any, will compete against all other contract holders for each requirement. Special preference will not be given to small business concerns at the delivery order competition level. The contracts will have a base ordering period of two (2) 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 eighteen (18) months each.

3. Items Covered: The various metals covered by the acquisition consists of commercial items and commercially modified items (commercial items requiring minor modification to fit military applications). All items shall conform to the manufacturer's commercial specifications. The requirements covered under this acquisition include, but are not limited to: aluminum, stainless steel, carbon steel, copper, brass, titanium, nickel and nickel alloys; and other industrial metals in various forms, such as: wire, plate, sheet, strip, bar, angle, extrusions, pipe, tube, and any other shape required by the ordering activities. Requirements may change and expand or contract due to the needs of our customers. Therefore, the Government reserves the right to add or delete items as deemed necessary by the Contracting Officer. In addition, the contractor shall maintain resources, expertise and alliances sufficient to ensure successful performance of the resultant contract and superior customer support.

The offeror/contractor must have business alliances and contractual relationships with its’ suppliers that will enable it to provide all of the categories of Metals products to customers and ordering activities in the CONUS and worldwide through container consolidation points. The offeror/contractor must have at least three suppliers for each category listed below.

a. The TLS Contractor shall be responsible for making available, to the ordering activities covered under

Solicitation SPE8E4-21-R-0001 PAGE 38 the resulting contract, the categories of items listed below:

FEDERAL SUPPLY ITEM(S) NAICS SIZE STANDARD

CLASS (FSC)

4710 Pipe and tube 331210 1000 9505 All 331222 1000 9510 Bars and rods, hot rolled 331111 1000 9510 Bars and rods, cold finished 331221 1000 9510 Bars and rods, casting 331513 500 9515 Sheet, strip, hot rolled 331111 1000 9515 Sheet strip, cold rolled 331221 1000 9515 Plate 331111 1000 9520 All 331111 1000 9525 Wire, aluminum 331319 750 9525 Wire, Copper, cu-nickel, brass 331421 750 9525 Wire, other metals 331491 750 9530 Bar, aluminum 331316 750 9530 Forgings, aluminum 332112 500 9530 Bar, copper or copper bearing 331421 750 9530 Bar, other metals 331491 750 9530 Bar, casting 331522 500 9535 Foil, sheet, strip, aluminum 331315 750 9535 Sheet, perforated, aluminum 332116 500 or brass 9535 Sheet, strip, plate, copper 331421 750 9535 Sheet, strip, plate, other 331491 750 9540 Shapes, angles, aluminum 331316 750 9540 Shapes, angles, brass 331421 750 Other miscellaneous metal products VARIOUS VARIOUS

NOTE: This list may not be all-inclusive and the TLS Contractor may be required to furnish other items under the classifications of metals, including nonstandard, non-NSN items. The total number of items required under the contract is indefinite. In order to evaluate offers and establish an initial catalogue of items, offerors must provide unit prices for a minimum of 90% (180) of the items on the Price Evaluation List (PEL), which consists of 200 items. These items are listed in a Microsoft Excel spreadsheet that is available as Attachment 1: Price Evaluation List (PEL) Spreadsheet to this solicitation.

b. 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.

c. 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

Solicitation SPE8E4-21-R-0001 PAGE 39 the contract. The list illustrates the types of supplies that have been provided under the previous Metals Prime Vendor 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 year and each applicable option year for items on the PEL. During the post-award competition of delivery 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. Contractors are encouraged, when competing for delivery orders, to provide a quote less than their ceiling price.

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. Acceptable alternate items will be permitted under the resultant contract(s) when an item is identified by a manufacturer's brand name or part number unless the Government expressly states that an alternate is not permitted. To be acceptable the alternate must be equal to the requested item and approved by DLA Troop Support in coordination with the customer. For more information regarding submission of alternate items for evaluation, please see the “Ordering/Request for Quote Process Overview” section of the Statement of Work.

6. 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.

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.

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.

Solicitation SPE8E4-21-R-0001 PAGE 40

e. Establish and maintain procedures to ensure documentation of vendor selected and performance of adequate price analysis on purchasing actions.

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 proper types of subcontracts are selected.

7. Discounts and Rebates: Each Tailored Logistics Support (TLS) Contractor shall be as aggressive as possible in pursuing all discounts and rebates on items ordered under the Metals TLS Program, and shall pass all discounts and rebates so obtained to the Government. TLS Contractors shall guarantee that DLA Troop Support and its’ customers will receive discounts and rebates equal to or better than the offerors’ most favored commercial and/or government customers, whichever is greater. Any rebates or discounts received by the TLS vendor from its’ suppliers shall result in a corresponding discount and reduction to the quoted and/or awarded price, and shall be fully disclosed and itemized to the Government at the time it is known by the TLS vendor.

This includes any discounts or rebates received after award of the delivery order such as discounts offered for prompt payment terms. When invoicing, the vendor shall adjust the price to account for the discount/rebate. If the discount/rebate is realized after time of invoice, the contractor is obligated to alert the Government when it becomes known.

8. 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.

9. Authorized Customers: During the term of this contract and for any subsequent option periods thereof, DLA Troop Support reserves the right to add or delete authorized customers. Ordering offices may include, but are not limited to: military activities, other Federal Agencies and Departments, and other authorized customers;

including, Naval Facilities Engineering Command (NAVFAC) contractor(s), Army Corps of Engineers (ACE) contractor(s), state Governments, Local Governments, and any other prime vendor/virtual prime vendor performing under a DoD contract. The top ordering activities in FY19 for the Northeast, Southeast, Central and West Regions were: Aberdeen Proving Ground, Letterkenny Army Depot, Portsmouth Naval Shipyard, Tobyhanna Army Depot, Anniston Army Depot, Jacksonville Naval Air Station, Norfolk Navy Shipyard, Trident Refit Facility, US Army Aviation & Missiles Command, Tinker Air Logistics Complex, Rock Island Arsenal, Naval Surface Warfare Center Crane, Puget Sound Naval Shipyard, Holloman Airforce Base and Fleet Readiness Center San Diego. Any such additions or deletions made by DLA Troop Support may result in a significant increase or decrease in the Government's estimated contract value. Any such change shall not be the

Solicitation SPE8E4-21-R-0001 PAGE 41 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.

11. Contract Implementation: The contractor may be given up to 60 days from the date of award, if needed, to ensure that the full range of Metals products within the scope of the contract is available to those customers already ordering through the previous Prime Vendor contracts. Implementation of the contract shall include the following:

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

b. Having successfully tested ANSI X12 transactions sets as identified in the paragraph below titled Information Technology (IT)/Order Receipt Processing. At a minimum, the 855 Purchase Order Acknowledgment and 810 Invoice transactions must be tested with successful results obtained in order to perform.

Note: Ramp-down: The contractor recognizes that the services under this contract are vital to the Government and must be continued without interruptions and that, upon contract expiration, a successor, either the Government or another contractor, may continue them. The contractor agrees to exercise its best efforts and cooperation to effect an orderly and efficient transition to a successor.

12. Customer Support: TLS Contractors must have dedicated personnel assigned to the day to day management of the Tailored Logistic 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, and problem resolution for any service or quality issues, quantity discrepancies, and warranty disputes. TLS Contractors must have customer support representatives available twenty-four (24) hours daily, seven (7) days per week 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. The “technical experts” must have, at a minimum, three (3) years of experience in an official technical support position. TLS Contractors must address the level of assistance that will be offered and demonstrate that all metals product categories are covered. (Include experience and qualifications of all the experts assigned.) 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 metal 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.

Solicitation SPE8E4-21-R-0001 PAGE 42

d. Marketing: The TLS Contractors shall partner with DLA Troop Support to market the Metals 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 Metals 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 metals products 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).

13. Information Technology/Order Receipt Processing: For purposes of this Program TLS Contractors must, at a minimum, be able to provide the following after award:

a. Email capabilities for the receipt of “requests for quotes” for Metals 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.

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.

At a minimum, the contractor must 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 vendor is not authorized to perform until receipt of the 824, Application Advice, transaction. The Government is not liable for any costs that the TLS vendor incurs before receipt of the 824.

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

Additional transactions may be required during contract performance.

c. Usage Data: A delimited ASCI II text file with line item usage data.

Following contract award, the TLS Contractor shall furnish the name of an Information Technology

Solicitation SPE8E4-21-R-0001 PAGE 43

(IT) specialist point of contact (POC) who 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. The small business concern that is awarded the reserved contract, if any, will compete with the other contract holders for all delivery orders.

Delivery orders will not be directed to the small business concern, if any. 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.

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 3.

iii. Vendors are expected to submit quotes on a minimum of of all lines under each RFQ.

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 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.

Solicitation SPE8E4-21-R-0001 PAGE 44

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 shall fill out the following information in identified spreadsheet fields:

TLS Contractor Part Number Unit Cost Extended Cost Lead Time Comments (Include, at minimum, manufacturer's part number) Buy American Compliant Berry Amendment Compliant Restricted Sourcing (Domestic, Qualifying, or Designated Country) Compliant Country of Origin Alternate NSN (applicable only when alternate item is offered) Alternate Manufacturer Name (applicable only when alternate item is offered) Alternate Manufacturer Part Number (applicable only when alternate item is offered) Alternate Item Description (applicable only when alternate item is offered) Alternate TLS Contractor Part Number (applicable only when alternate item is offered)

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

e. Performance Metric - Quote Rate: All awardees (TLS Contractors) will be evaluated on Contractor Competitiveness and Participation, which includes statistics on how often a contractor submits a winning quote as well as how often a contractor submits a no-bid/quote or does not respond to the Delivery Order RFQs at all.

TLS Contractors must submit priced quotes on of the Delivery Order RFQs.

TLS Contractors must submit priced quotes on all RFQs for items on the PEL where they have offered a Ceiling Price and the Ceiling Price was determined fair and reasonable and accepted by the Government.

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

The Government reserves all rights and remedies provided under the contract in the event the contractor/vendor fails to meet this material requirement.

All Contractor 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 three (3) business days; however, Contractor's may be required to provide quotes within hours to one (1) business day for urgent or high priority requirements.

The Contracting Officer reviews the returned quotes and selects the awardee based upon a best value determination as specified in the Request for Quote (RFQ). The Best Value determination could be based on Trade-off procedures or Lowest Price Technically Acceptable

Solicitation SPE8E4-21-R-0001 PAGE 45 procedures. The award decision factors may include price, delivery and past performance;

however, other factors may be included as well. An award may be made on a line by line basis or total order basis. As stated above, each RFQ will clearly state the basis for award and how the offers will be evaluated.

Should the TLS Contractor have questions regarding a particular item, they may contact the DLA TROOP SUPPORT point of contact for clarification.

For items on the PEL and items added with ceiling prices post-award, DLA Troop Support will verify that prices do not exceed the ceiling prices.

f. EDI Requirements: Delivery Orders issued under this contract normally will be communicated to the Contractor by Electronic Data Interchange (EDI), using the conventions and formats prescribed by the American National Standards Institute (ANSI) X12 standards and the Department of Defense (DoD) X12 Implementation Guideline. The Contractor is advised that the Defense Logistics Agency will be using an Electronic Commerce Collection Point with connections to several Value Added Networks (VAN) for interchanging data with contractors in ANSI-X12 format.

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

A computer compatible with the chosen network.

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

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.

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.

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.

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.

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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.

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

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.

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.

The following ANSI X12 EDI transactions will be required to be forwarded to DLA TROOP SUPPORT via DASSC.

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 in ELLIS. 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.

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.

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.

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 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.

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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.

14. Delivery Requirements:

a. Definitions:

Routine (Pre-Planned) Non-Emergency Orders: Equipment required for normal day-to-day operations shall be delivered to the F.O.B. destination point by no later than 21 days after the placement of the order unless the Contracting Officer/ordering activity has authorized a longer delivery time frame for a specific delivery order with customer approval.

Emergency Orders: Deliveries required for an activity’s emergency requirements must be delivered to the F.O.B. destination point no later than 7 days after order placement.

b. General Information for all Delivery Requirements: Specific Delivery Requirements shall be specified in each delivery order RFQ based on the customer requirements. 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. 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.

c. Specialty Item Requirement: Deliveries for items that are “manufactured to order” must meet deliveries specified in the order.

d. 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.

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

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15. Performance Metrics –On-Time Delivery and Fill Rate:

a. Contractual On-time Delivery Rate: The contractor is required to maintain a minimum on-time delivery rate based upon the contractually required delivery dates (CDD) of all orders. The CDD is defined as the Routine, or Emergency, or other specific delivery date stipulated at the time of each individual delivery order. The contractual on-time delivery rate shall be calculated as follows:

Number of lines delivered on or before the CDD Total number of lines due in based on CDD

b. Fill Rate: The contractor is required to maintain a minimum fill rate. Fill rate is defined as the number of lines delivered in full, regardless of the CDD, by the contractor. Customer-requested cancellations (unless the cancellation is requested due to order delinquency) shall not count against the contractor’s fill rate metric. However, lines that are cancelled due to fault on the contractor’s behalf (i.e., inability to honor the price/lead time approved by the customer, failure of a subcontractor to provide the requested item, order delinquency, etc.) will count against the contractor. The fill rate shall be calculated as follows:

Number of lines delivered in full Total lines ordered

c. For orders that cannot be filled in total, the contractor shall notify DLA Troop Support via email of any partial delivery, manufacturer backordered item, substitute material available, alternate delivery schedule, etc. DLA Troop Support will contact the authorized customer to obtain approval on all deviations to the order. The contractor may not substitute another item, different brand, or generic product for the specified product without DLA Troop Support permission. Material substitutions must be approved in writing prior to shipping. The written approval must be maintained by the offeror for at least one (1) year. If DLA Troop Support/authorized customer does not approve the deviation, the order shall be cancelled and recompeted.

d. The Contractor shall establish and maintain procedures to ensure that there are controls over subcontracting, including oversight and surveillance of subcontracted effort, to ensure the right quantities and on-time delivery. Failure to meet these requirements shall subject a contractor/vendor to corrective and/or remedial action under the contract. The Government also reserves all rights and remedies provided under the contract in the event the contractor/vendor fails to meet these material requirements.

i. The Contractor is required to have a distribution/delivery plan, which is submitted as part of its’ proposal. The plan shall meet the expected routine and emergency delivery requirements, indicate how the offeror will monitor and maintain a Contractual On-Time Delivery Rate metric and a Fill Rate metric, indicate how the offeror will submit quotes on a minimum of of all lines under each RFQ, and address Hazardous material transportation. The plan shall become a part of the contract and the contractor will be required to comply with the procedures contained in the plan. The plan shall meet all of the following characteristics:

The plan shall contain detailed information on how the offeror will transport supplies demonstrating geographical coverage of CONUS.

The plan shall contain information in reference to agreements established with or access to at least one carrier for one mode of transportation and multiple carriers for the other

Solicitation SPE8E4-21-R-0001 PAGE 49 mode (land or air) including information about which carriers will be utilized to transport hazardous materials;

The plan shall contain information in reference to agreements established with or access to at least one carrier for emergency shipments (7 days ADO).

The plan shall contain detailed information on how customer requirements will be handled.

The plan shall contain Hazardous Material handling/transportation certifications for the offeror and/or subcontractors.

The plan shall contain detailed information on how the offeror will monitor delivery and how it is integrated as part of its’ distribution system to include information about material tracking.

16. Readiness Plan: Subject contracts may be utilized to support contingencies within the United States (CONUS) and outside the United States (OCONUS). Contingencies encompass military operations, stability operations, natural disasters, humanitarian, and other calamitous events and are often short notice. Therefore, awardees under this program must maintain a readiness plan for customer support, product support, and distribution to respond to urgent requirements. Awardees must be prepared to provide support around the clock for increased quantities and/or rapid acquisition and accelerated deliveries for all items provided for under the scope of the Metals Tailored Logistics Support (TLS) Program.

Note: A Surge and Sustainment Plan/Capability Assessment Plan is not required for this acquisition. There are no surge requirements for any items included in the PEL at the time of this solicitation. Although Surge and Sustainment Plan clauses are contained in this solicitation, offerors are not required to submit a Surge and Sustainment Plan. In the event that items are added to the PEL during the pre-award stage or are required after an award is made, the offeror and/or awardees may be required to submit a Surge and Sustainment Plan/Capability Assessment Plan. In such circumstances, the Surge and Sustainment Plan/Capability Assessment Plan will be provided to the Government at no additional cost.

17. Preservation, Packaging and Marking:

a. Unless otherwise specified, preservation, packaging, and packing shall be to a degree of protection to preclude damage to containers and/or the contents thereof under normal shipping conditions and handling which conform to normal commercial practices, and applicable carrier regulations involving shipment from the contractor to the receiving location. Commercial markings that do not interfere with the positioning of required markings on containers do not need to be removed. All orders must be packaged and marked separately, per the individual order, and may not be commingled with any other order.

b. All material delivered, including pieces that have been cut, shall exhibit appropriate markings.

These markings include: DLA contract and delivery order number, NSN, name of the manufacturer, heat number, specification number, alloy and the temper of the material. Palletization of all items is required.

c. Material requiring specialized packaging and marking shall be appropriately packaged and marked in accordance with industry standards.

d. Effective July 1, 2014, Federal Standard No. 313-F, Material Safety Data, Transportation Data and

Solicitation SPE8E4-21-R-0001 PAGE 50

Disposal Data for Hazardous Materials Furnished to Government Activities, establishes the requirement for preparation and submission of Safety Data Sheets (SDS) in lieu of Material Safety Data Sheets (MSDS) by suppliers who provide hazardous materials to government activities. The Occupational Safety and Health Administration (OSHA) has modified its Hazard Communication Standard (HCS) to conform to the United Nations Globally Harmonized System of Classification and Labeling of Chemicals. As a result of this change, GSA revised Federal Standard No. 313-E requiring Safety Data Sheets for classifying chemicals and communicating the applicable information on labels. Upon receipt of applicable items, TLS Vendors will be required to obtain safety data sheets consistent with the requirements found at 29 C.F.R. 1910.1200 for hazardous materials delivered to the Government. TLS Vendors will also be required to obtain Hazardous Communication Standard (HCS) labels in accordance with 29 C.F.R. 1910.1200 requirements or current Consumer Product Safety Act (CPSA), Federal Hazardous Substance Act (FHSA) labels when subject to labeling requirements under those statutes.

This product labeling is required for hazardous materials delivered to the Government. The contractor will also be responsible for maintaining all SDS and HCS labels received from suppliers on file. The contractor will furnish copies of all applicable SDS for the authorized customers upon initial delivery of covered items. The TLS Contractor shall also assure that all hazardous material is correctly labeled. The contractor will furnish copies of all SDS and HCS labels obtained to the Contracting Officer upon request.

For more information on SDS, refer to OSHAs website, available at:

https://www.osha.gov/law-regs.html

For information on 29 C.F.R. 1910.1200, refer to the below link:

https://www.osha.gov/dsg/hazcom/index.html

e. A packing list/slip shall be enclosed with each shipped order, containing the following information, as a minimum: TLS Contractor's name, delivery order number, job order number (if necessary), document number (i.e. requisition number), delivery site, date of order, itemized list of supplies included in the shipment, quantity ordered, quantity shipped, burdened unit price and any special instruction shall be enclosed with each shipped order. ALL APPLICABLE FULLY TRACEABLE MILL TEST CERTIFICATIONS AND TEST REPORTS MUST ACCOMPANY EACH SHIPMENT. The line item number(s) used in the order and confirmation will be duplicated on the packing slip. The prices shown on the packing list/slip must be identical to the order price. To ensure that all receiving activities can properly identify items for other than routine orders, packing list/slip shall be annotated as follows:

“EMERGENCY DELIVERY” for requirements with emergency deliveries; and/or

“REQUIRES SPECIAL HANDLING AND/OR STORAGE” for requirements requiring special handling and/or storage.

f. For all shipments of packaged material to the government (DVD (customer-direct) shipments), both DOD linear and 2-D bar code markings are required on military shipping labels in accordance with MIL-STD-129, Revision R, dated February 18, 2014. MIL-STD-129R is available at:

https://www.dla.mil/Portals/104/Documents/LandAndMaritime/V/VS/Packaging/LM__MILSTD129R_ 151007.pdf

g. The TLS Contractor must be able to provide fully traceable certifications or proof of delivery documentation for each shipment.

Solicitation SPE8E4-21-R-0001 PAGE 51

18. Hazardous Material and Transportation:

a. The Contractor shall be responsible for all shipment of products in accordance with the DTR, 49 CFR 170-178, IMO-IMDG, ICAO-IATA, MFTRP No. 1C, and MilAir (AFMAN24-204). TLS contractor shall be responsible for all customs documentation with a ship from location outside the United States.

The contractor is responsible for shipment to the Customer's destination.

b. The TLS Contractor must submit a shipping request form containing shipment and hazardous information to obtain shipping instructions and carrier documentation. Shipping request forms are to be submitted to DDC via email delivery@dla.mil or fax 717-770-2701. The TLS contractor is responsible for certifying the Shippers Declaration of Dangerous Goods for hazardous materials to the ultimate consignee. When applicable, the TLS contractor is required to certify the materials for the various modes of transportation each shipment will be transported. (An example of this is a shipment moving from a contractor's location via ground transport to a military aerial port. Contractor will need to complete a Shippers Declaration of Dangerous Goods for ground movement and a Shippers Declaration of Dangerous Goods for military air movement).

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