Attachment B_PWS Titanium Buffer.docx

ATTACHMENT B

Performance Work Statement Strategic Buffer Performance Work Statement

A. Purpose:

The Government seeks the capability for defense contractors to access Titanium alloy on an expedited basis to support wartime mobilizations, military combat operations/readiness and contingency support. The accelerated release of material shall be achieved through strategic buffer(s) directly and exclusively developed, implemented and managed by mills/producers qualified by Original Equipment Manufacturers (OEM’s) of DoD/DLA repair parts and their sub-tier suppliers. The Government intends where feasible to make multiple awards.

B. Background:

Strategic materials are a known constraint in meeting Surge and Sustainment Planning Requirements (SSPR) for DoD. In 2012, the Warstopper Program Management Office (WPMO) awarded a contract to establish and test the effectiveness of a titanium buffer consisting of several forms/chemistry to reduce the manufacturing wait time. There were lessons learned in executing and managing the buffer that are incorporated into this Performance Work Statement.

C. Material Buffer Requirements:

The Government is soliciting commercial solution(s) that will guarantee the capability to deliver mill products to the DLA/DoD manufacturing base for weapon system sustainment parts. Delivery Cycle time must be a minimum of 25% below Standard Quoted Lead times. The monthly material wartime requirement (Grade and Pounds of mill product):

1. Titanium Grade 5

a. Titanium Grade 5 is commonly known as Ti-6-4, Ti-6AL-4V, or ASTM Grade 5. The table below lists the applicable specifications:

Specifications

Specifications

ASTM Grade 5

ASME SB 861

Ti-6AL-4V

ASME SB-265 Grade 5

Ti-6-4

ASTM B 265

AMS 4911

ASTM B 348

AMS 4920

ASTM B 381

AMS 4928

ASTM B 861

AMS 4934

ASTM F 1472

AMS 4935

EN 3.7164

AMS 4965

EN 3.7165

AMS 4967

MIL-T-9046

AMS 6930

MIL-T-9047

AMS 6931

UNS R56400

AMS T-9046

Werkstoff 3.7164

AMS T-9047

Werkstoff 3.7165

ASME SB 348

2. Titanium Grade 6

a. Titanium Grade 6 is commonly known as Ti-5-2.5, Ti-5AL-2.5SN, or ASTM Grade 6. The table below lists the applicable specifications:

Specifications

Specifications

ASTM Grade 6

ASTM B 265

Ti 5-2.5

ASTM B 348

Ti 5Al-2.5Sn

ASTM B 381

AMS 4910

MIL-F-83142

AMS 4926

MIL-T-81556

AMS 4953

MIL-T-81915

AMS 4966

MIL-T-9046

AMS 4967

MIL-T-9047

ASME SB 265

UNS R54520

ASME SB 348

Actual mill product form will be determined at the time of external or internal material order. The Contractor(s) must be qualified by OEM’s under government contract to supply repair/sustainment parts.

The Contractor(s) shall deliver, at a minimum, the stated monthly material wartime requirement (i.e., quantity) from the buffer and use its commercial sales to offer material with the smallest minimum buy quantity (through Material Service Center type of services). The contractor must identify the minimum quantity eligible for release in their monthly report.

Changes that negatively impact supplier capability to deliver the products at the monthly quantity or at the stated minimum quantity shall be reported in writing to the Contracting Officer within ten (10) working days after the supplier becomes aware of such an impact.

All material sales will be Business-to-Business transfers that include all of the material title, warranties and certifications including the validation of the Chain of Custody. Note: The solution will not be Government Furnished Material (GFM). All sales will be at the contracted pricing (for those with existing contracts with the seller) or at the best available pricing (for those without an existing contract). No premium fees shall apply for using the buffer.

The Contractor(s) shall have a material release execution plan that successfully self-executes the buffer for vendors with DoD contracts using the following guidelines:

1. Demonstrate a system for identifying purchase request that are associated with DOD contracts.

2. Demonstrate a system for collecting the following data elements for each buffer request:

a. Buyer’s/requestor’s name,

b. DoD contract number, and

c. the Defense Priorities and Allocations System (DPAS) rating

3. Establish system for Utilizing the buffer on a regular basis to meet DoD contract requirements.

4. The Contracting Officer Representative (COR) may establish by exception:

a. A monthly reserved quantity that would require COR approval for release per instruction provided by the COR; and/or

b. A limit on the total quantities released in a month to a single release or a span of multiple months; and/or

c. The prioritization of any DoD contract requirement.

The Contractor is encouraged to use monthly phased material releases to maximize support to other manufacturers or to meet full material requirement when appropriate.

The Contractor will use standard commercial best practices for packing, packaging, and transportation of the buffer stock to the customer.

Monthly Inventory and Transaction Report:

The Contractor(s) shall provide the COR a monthly status report NLT 10th day of the month that provides:

1. The beginning and ending quantity by material for the month;

2. The material releases made during the reporting period to include:

a. Buyer/requestor Name,

b. DoD Contract Number,

c. DPAS rating,

d. specification,

e. quantity,

f. form,

g. date of order,

h. date required and

i. date shipped.

3. Any unfilled release requests during the reporting period to include

a. Buyer/requestor Name,

b. DoD Contract Number,

c. DPAS rating,

d. specification,

e. quantity,

f. form of material requested

g. Reason why request could not be filled (e.g., exceeds monthly quantity). Note: this information will be used to assess the need to expand the buffer quantities or for adding additional specifications.

4. The COR will monitor inventory management. Inspections will include, but not limited to, visual verification and review/ observation of the materials’ storage conditions and quantities.

Quality Control:

The contractor shall provide and maintain a comprehensive Quality Control Process Surveillance and Testing Plan (QC Plan) to include a Stock Rotation Plan that shall be reviewed and accepted by the Government before award.

Quality Surveillance:

The Government shall provide the Contractor with a Quality Assurance Surveillance Plan (QASP) to include a schedule of planned on-site inspection visits in response to the Contractor supplied Quality Control Process Surveillance and Testing Plan at time of award. The Contracting Officers Representative (COR) shall act as the Government’s Quality Assurance Specialist (QA) and will be named at the time of award. The COR will inspect all aspects of the contractor’s performance under their Quality Control Process Surveillance and Testing Plan. The COR will observe and may ask the Contractor to repeat materials tests to verify product performance.

Payment:

The Contractor shall receive two fees for contract performance, an Inventory Holding Fee and an Inventory Management Fee. Both fees shall be paid on a Monthly basis beginning at the end of the first month period of contract performance/delivery of material.

Payment will be made monthly via Wide Area Workflow (WAWF). Invoices must be submitted by the 15th of each month and include a copy of the monthly report.

Contract Type: DELETE In accordance with FAR 52.216-1, the Government contemplates award of a Firm Fixed Price (FFP) contract resulting from this solicitation.

Period of Performance:

The Period of Performance shall be for one (1) base period one year after date of award, and three (3), one (1) year option periods Place of Performance:

Performance is expected to take place at the Contractor’s facility.