Attachment I - PWS SPE60321R0500.pdf

PERFORMANCE WORK STATEMENT FOR

DEFENSE FUEL SUPPORT SERVICES

Kabul, Afghanistan PWS Dated 09 Sep 2020

1 Description and Purpose of Required Service Requirement

1.1 Requirement

1.2 Area of Consideration

1.3 Storage Capacity/Tank Requirement

1.4 Grade of Service

1.5 Physical System Requirements

1.6 Allowed Through-put

1.7 Inventory Control Records and System Records

1.8 Additive Injection

1.9 Product Receiving Requirements

1.10 Product Shipping requirements

2 General Information

2.1 Custody and Risk of Loss

2.2 Billing

2.3 Product Quality Surveillance

2.4 Ancillary Facilities

2.5 Best Commercial Practices

3 Training Requirements

4. Deliverables

4.1 Contractor Detailed Plans

5. Contract Line Items (CLINs)

Appendix

Appendix A - Common Access Card (CAC) Procedures

1 Description and Purpose of Required Service Requirement

1.1 Requirement: Defense Logistics Agency (DLA) Energy requires Defense Fuel Support Point (DFSP) services within a 50-mile radius of Kabul Afghanistan, for a three-year period, with one, three-year option.

All vendors and subcontractors, U.S. and non-U. S. based, must be registered in the Joint Contingency Contracting System (JCCS) to be considered for contract awards in the U.S.

Central Command (CENTCOM) Area of Operation (AOR). Instructions for account registration and training can be found at www.jccs.gov. Registration must be completed and profiles certified complete in JCCS by the deadline for submission of offers and the assigned JCCS number shall be submitted with the proposal package.

1.2 Area of Consideration: The purpose of this requirement is to locate and obtain the necessary facilities and services to receive, store, and ship U. S. Government-owned petroleum products via tank truck within a 50-mile radius of Kabul Afghanistan.

1.3 Storage Capacity/Tank Requirements: 43,000 barrels storage (fill) capacity is required.

A minimum of two tanks interconnected and isolated from other products in the storage facility.

All storage must be available at a single facility upon award.

1.4 Grade of Service: Turbine Fuel Aviation, Grade F34

1.5 Physical System Requirements: Storage and handling facilities capable of receiving, storing, filtering, protecting, and shipping U.S. Government-owned petroleum product.

The contractor must have the capability to transfer product between storage tanks on a 24-hours per day, seven-days per week basis. Directed by either the Contractor or by the Government, the Contractor shall transfer product between tanks to consolidate types or grades in preparation for receipts or issues at no additional cost to the government. The responsibility for preventing commingling or contamination during transfers rests completely with the Contractor.

1.6. Allowed Through-put: The U.S. Government will be entitled to 100,000 barrels of total throughput for each year (hereafter referred to as “allowed throughput”).

Allowed throughput is determined and calculated by adding the total number of barrels for each product type received and shipped in a twelve consecutive month period, and dividing such total number by two, starting upon the date of inspection and acceptance of Contractor’s storage tanks after receipt of initial fill, and resetting on the anniversary date each following year. Allowed throughput does not include initial fill or final shipment.

1.6.1 Initial Fill and Final Shipment: The U.S. Government will be entitled to initial fill beginning at the twelve-month period immediately following inspection and acceptance, and final shipment during the last twelve months of the performance http://www.jccs.gov/ period, at no additional cost. Initial fill is defined as all receipts required to fill the storage tanks to 100% of the awarded fill capacity for each product. Final shipment is defined as all shipments required to withdraw 100% of the awarded fill capacity.

1.7 Inventory Control Records and System Records (Inventory Data Input): The Contractor shall follow the physical inventory management procedures specified in applicable directives and contract texts in accordance with the most current version of Department of Defense Manual 4140.25 and DLA ENERGY Class IIIB Supply Chain Management Interim Policy and Procedural Guidance. The management of fuel inventories involves a full range of actions associated with order, requisition, receipt, transfer, issue, physical inventory and storage of fuel, and additives if required. The Contractor shall process inventory data of Government-owned product utilizing DLA Energy’s web-based application Fuels Manager Defense (FMD). Refer to contract text I119.04, INVENTORY CONTROL RECORDS AND SYSTEM OF RECORDS (DLA ENERGY JAN 2012) for additional information regarding the Governments inventory data requirements. The Contractor shall:

• Ensure that all orders, receipts, transfers, issues sales/credits, losses, gains and adjustments are properly documented.

• Maintain control over the physical environment to ensure proper product storage can take place with minimal losses.

• Ensure inventory variations are within allowable limits. Document, investigate, report, and take corrective action if necessary on excessive variations.

Refer to PWS Section 3, Training Requirements for FMD and other training requirements.

To process FMD inventory data, the Contractor is required to obtain a Common Access Card (CAC) (see Appendix A, CAC Procedures) or, as an alternative, obtain an External Certificate Authority (ECA) no later than sixty days prior to inspection and acceptance. Authorized users who are not eligible for the CAC should refer to https://public.cyber.mil/eca/ for current information on obtaining ECA provided certificates.

1.7.1 Inventory Access: The Contractor shall ensure DLA Energy has full access to its complete inventory. DLA Energy Quality Assurance Representative/Contracting Officer’s Representative (QAR/COR), and other DLA Energy representatives will be provided access to FMD onsite inventory storage as needed.

1.7.2 FMD Automated Data Processing (ADP) Equipment: The Contractor-furnished ADP computer system shall meet the current commercial standards for a computer system capable of accomplishing the data reporting and records keeping required by FMD, email, maintaining the data collection and records keeping associated with product quality surveillance (product analysis and testing reports), and the document collection and records keeping associated with the Contractor’s preventive maintenance program. Reference contract Text I119.04 for the Government’s inventory data requirements https://public.cyber.mil/eca/

1.8 Additive Injection: The product currently supplied to this location does not require additive;

however, changes to the supply chain or product degradation may require the Contractor’s facility to be capable of injecting additives within 5 days. If required to inject additives, the contractor will be directed by DLA Energy-Middle East, Bahrain regional office (See contract texts G- G22 DESIGNATION OF THE DEFENSE FUEL REGION (DLA ENERGY JUL 1997)). All required additive injection will be accomplished in accordance with (IAW) the most current version of

MIL-STD-3004, DEPARTMENT OF DEFENSE STANDARD PRACTICE: QUALITY

ASSURANCE/SURVEILLANCE FOR FUELS, LUBRICANTS AND RELATED

PRODUCTS, and the appropriate contract text(s).

1.8.1Additive Required: All additives will be provided by the government. As a contingency, the contractor must establish a source of supply for each additive. The Contracting Officer may request the Contractor to provide a cost proposal for providing the additives. If needed, the acquisition of additives will be handled through contract modification. Notwithstanding the source of supply of additives, all associated costs for the storage, maintenance and injection of additives shall be included in CLIN 0001 (base) CLIN 0002 (option).

1.8.1.1 Fuel System Icing Inhibitor (FSII): The Contractor shall provide an injection system for FSII. FSII will be injected based on product specification requirements. Additive will be injected downstream of the storage tank, but prior to the loading pump and issue vessel. The injection requirements that apply to F34 stocks will be IAW F45.03 OPERATION OF FUEL

SYSTEM ICING INHIBITOR ADDITIVE SYSTEM CONTRACTOR-OWNED

CONTRACTOR-OPERATED (COCO) (DLA ENERGY JAN 2014).

1.8.1.2 Static Dissipater Additive (SDA): The Contractor shall provide an injection system for SDA. SDA will be injected based on product specification requirements. Additive will be injected downstream of the storage tank, but prior to the loading pump and issue vessel. The injection requirements that apply to F34 stocks will be IAW F45.01 OPERATION OF STATIC

DISSIPATER ADDITIVE SYSTEM CONTRACTOR-OWNED CONTRACTOR-OPERATED

(COCO) (DLA ENERGY JAN 2014).

1.8.1.3 Corrosion Inhibitor/Lubricity Improver Additive (CI/LI): The Contractor shall provide an injection system for CI/LI. CI/LI will be injected based on product specification requirements. Additive will be injected downstream of the storage tank, but prior to the loading pump and issue vessel. The injection requirements that apply to F34 stocks will be IAW F45.04

OPERATION OF CORROSION INHIBITOR/LUBRICITY IMPROVER ADDITIVE

SYSTEM, CONTRACTOR- OWNED CONTRACTOR-OPERATED (COCO) (DLA ENERGY

JAN 2014).

1.8.2 Additive Storage/Injection Plan: The Contractor shall provide a detailed additive plan that clearly demonstrates how they will receive, store, maintain, and inject the required additives to support the allowed throughput. See Section 4, Deliverables.

1.9 Product Receiving Requirements: The Contractor’s facilities shall be capable of receiving U.S. Government-owned petroleum product via tank trucks 24 hours per day, 7 days per week, at pumping rates between 500-600 USG per minute. The Contractor shall be responsible for obtaining all required or applicable country, national, federal, regional, state or local government or authority permits, licenses, notifications, clearances and filings for the purposes of receiving US Government-owned products at Contractor’s facilities. Any costs/fees required to obtain or related to such notifications, clearances and filings shall be included in CLIN 0001 (base) CLIN 0002 (option).

1.9.1 Tank Truck: The Contractor’s facility shall be capable of receiving approximately 50 tank trucks per day. The facility will be capable of off-loading 10 tank trucks (6,000 to 10,000 gallons capacity) simultaneously. The unloading process will include the use of an individual meter (Temperature Compensated Meter) per unloading point. This meter will be capable of recalibration, reset, and register in U.S. gallons (USG). There will also be receipt and issue filtration that meet API 1581. The Contractor will ensure that there are sampling points on the receiving manifolds.

• Notification: The Government shall give notice to the Contractor of scheduled product receipts. Receipt notification shall include the estimated quantity, mode of delivery, projected delivery date, shipment source, grade or type of product, and any special instructions.

1.10 Product Shipping Requirements: The Contractor's facilities shall be capable of shipping U.S. Government-owned product via tank trucks 24 hours per day, 7 days per week, at pumping rates between 500-600 USG per minute. The Contractor shall be responsible for obtaining all required or applicable country, national, federal, regional, state or local government or authority permits, licenses, notifications, clearances and filings for the purposes of issuing US Government-owned products at Contractor’s facilities. Any costs/fees required to obtain or related to such notifications, clearances and filings shall be included in CLIN 0001 (base) CLIN 0002 (option).

1.10.1 Tank Truck: The Contractor’s facility shall be capable of uploading approximately 50 plus tank trucks per day. The facility will be capable of uploading 10 tank trucks (6,000 to 10,000 gallons capacity) simultaneously. The uploading process will include the use of an individual meter (Temperature Compensated Meter) per uploading point. This meter will be capable of recalibration, reset, and register in U.S.

gallons (USG). There will also be receipt and issue filtration that meet API 1581. The Contractor will ensure that there are sampling points on the receiving manifolds.

2. General Information:

2.1 Custody and Risk of Loss: Custody and risk of loss is as stated below unless otherwise agreed upon.

a. Tank Truck Receipts. Custody of product delivered by tank truck and risk of loss shall pass from the Carrier to the Contractor when the fuel passes the tank truck’s first permanent hose connection.

b. Tank Truck Issues. Custody of product delivered by tank truck and risk of loss shall pass from the Contractor to the Carrier when the fuel passes the tank truck’s first permanent hose connection.

2.2 Billing: Unless otherwise directed, the Contractor shall prepare and distribute Government bills of lading and all other necessary paperwork to include customs documentation if necessary used during product receipt. Bills of lading, routing instructions, and transportation assistance shall be furnished by the DLA Energy Middle East Regional office or Service activity placing orders.

2.3 Product Quality Surveillance: The Contractor shall be responsible for maintaining the quality of the Government-owned aviation turbine fuel stored at the Contractor’s facility in accordance with the most current version of MIL-STD-3004, DEPARTMENT

OF DEFENSE STANDARD PRACTICE: QUALITY ASSURANCE/SURVEILLANCE

FOR FUELS, LUBRICANTS AND RELATED PRODUCTS. No petroleum products will be received or shipped without first determining and confirming conformance with product quality requirements. No conveyance/container will be loaded until it is inspected by qualified Contractor personnel and deemed suitable to carry the intended product.

Products will be shipped on a first-in, first-out basis unless otherwise approved or directed by the QAR/COR or DLA Energy Middle East Regional office.

• Non-conforming product will be reported to the QAR/COR or DLA Energy Middle East Regional office immediately, but no later than 15 minutes after discovery.

Anytime product is received into a tank, the tank’s contents will be suspended from issue pending quality conformance sampling and testing. The Contractor will ensure that certificates of quality conformance (test reports) are maintained on file for all on-hand fuel stocks.

2.3.1 Contaminated Product Liability: The Contractor is liable to the U.S. Government for the cost of the product and the cost of disposal or remediation for all products that become contaminated while at the Contractor’s facility due to Contractor negligence.

2.3.2 Off-Specification Product Reporting: The Contractor shall report immediately, but no later than 15 minutes after discovery, to DLA Energy Middle East regional office, the QAR, COR, and the Contracting Officer, all receipts or on hand stocks that fail to meet product quality for receipt, storage or shipment in accordance with latest revisions of MIL-STD- 3004. Suspected off-specification product will be isolated and shall not be released for shipment until authorized by DLA Energy QAR/COR or DLA Energy Middle East regional office region office.

2.3.3 Laboratory Testing Requirements: The Contractor is required to perform laboratory testing in accordance with the latest revisions of MIL-STD-3004, Table IX Minimum Sampling and Testing Requirements for Petroleum Products, and sampling in accordance with STANDARD PRACTICE FOR MANUAL SAMPLING OF

PETROLEUM AND PETROLEUM PRODUCTS (API MANUAL OF PETROLEUM

MEASUREMENT STANDARDS (MPMS), Chapter 8.1) and/or ASTM D4057. At a minimum, the Contractor shall either have Type C level testing capability at its facility or subcontract to perform tests. If the Contractor plans to acquire the services of a subcontractor to perform certain tests and/or functions, the Contractor is required to provide information in the offeror submission package that at a minimum includes the following information: sub-contracted laboratory name, point of contact, location and address, mode of transportation to sub-contracted laboratory, how to protect chain of custody and avoid sample contamination and turn-around time when the sample results will be received.

The Contractor shall be capable of petroleum product sampling IAW API MPMS and/or ASTM D4057 of vessels, barges, tank trucks, storage tanks, pipelines as applicable to the location. The Contractor shall maintain a supply of 10 unused epoxy lined fuel sample shipping containers for DLA Energy use or emergency need. Sample containers shall be stored to ensure they are clean and free from all substances that might contaminate the product being sampled. Containers must meet the following specifications: Complies with ASTM D-4306, height not to exceed 9 inches, diameter not to exceed 7 inches, capacity 1 USG, bung plug ¾” with lock-wire hole, carrying handle able to be shipped as hazardous material.

The Contractor shall be responsible for transporting all petroleum samples from job site to its laboratory or its subcontracted laboratory in accordance with local, state or federal laws.

2.3.4 Additional Samples: The Contractor shall provide to the Government representative samples of any product being stored, shipped, or received under the contract, at the request of, and in the manner designated by the QAR. These samples will be provided in addition to samples required elsewhere in the contract. The total number of these samples to be provided during any 12-month period will not exceed eight times the number of tanks specified in the contract. The packing, marking, shipping, and the associated costs, will be the responsibility of the Contractor. The Contractor will provide the Government representative samples of any product being stored, shipped, or received under the contract IAW ENERGY EQAP E28

CONTRACTOR INSPECTION RESPONSIBILITIES (STORAGE) (DLA ENERGY

DEC 2011).

2.4 Ancillary Facilities: The Contractor’s facilities to be furnished under this requirement will include, at a minimum, the following:

2.4.1 Tanks: All tanks and facilities offered must meet the minimum requirements of the current American Petroleum Institute (API) standards, National Fire Protection Association (NFPA) codes, and/or all federal, state, and local laws and/or regulations applicable to tanks and facilities of the type to be provided. The tanks will be interconnected to provide the capability of transfer of product between tanks. Each storage tank will be equipped with a fuel/water separation system for collection of all product or water dispensed from its bottom water drain(s).

2.4.2 Truck Loading Facility: Contractor shall provide 24 hours per day, 7 days per week truck loading/offloading facility to include stand-alone filtration and additive injection system capable of issuing a minimum of 210,000 USG per 8-hour workday.

2.4.3 Filtration: Contractor-furnished fuel filtration/separation system is required.

This system must be capable of filtering F34 during tank-to-tank transfers, replacing dormant fuel in pipelines, issuing via tank truck fill stand or when repacking pipelines. The fuel filtration/separation system must be of the kind that meets the specifications outlined in the current American Petroleum Institute (API) Publication 1581, “Specifications and Qualification Procedures – Aviation Jet Fuel Filter/Separator.” Normal filter replacement is at Contractors’ expense and should be included in the contractor’s monthly firm-fixed-price.

2.4.4 Lighting: The facility must be equipped with illumination to allow receipt/issue operations during hours of darkness.

2.5 Best Commercial Practices: In the absence of any contract provisions or references to a method, specifications or other instruction, the Contractor shall perform all services hereunder in accordance with best commercial practices.

3. Training Requirements:

3.1. The DLA Energy Account Transaction Processor/Recorder (inventory accountant) shall complete the Fuels Management Defense (FMD-9) course and shall obtain a Common Access Card (CAC) in accordance with Appendix A and 1.7 of the PWS or, at a minimum, obtain an External Certificate Authority (ECA) as required in DLA Energy P-7, P-26 and P-

32. Authorized users who are not eligible for the CAC should refer to

3.2. Terminal Manager (TM) – TM shall complete the training as required in DLA Energy P-7, P-26 and P-32, and shall obtain a CAC in accordance with Appendix A and 1.7 of the PWS, or, at a minimum, obtain an ECA. The TM shall first complete the DLA Energy Responsible Officer, Terminal Manager, and Property Administrator (RO/TM/PA) computer-based training course and then, within 90 days of appointment, attend the Joint Terminal Managers & Responsible Officers Course. The TM must also complete the RO/TM/PA computer-based training course every two years for refresher training.

Additionally, the TM may attend the formal training course after three years in order to remain current on DLA Energy and DoD policy and application changes. Prospective eligible applicants shall apply through the online registration tool located at:

https://www.fuelstraining.com. CBT training requirements for DFSP personnel are located at https://www.fuelstraining.com.

Note: DLA provides a course of instruction at a Training Facility in Alexandria, VA or at www.fuelstraining.com. The duration of the training is as follow: three weeks for FMD-9 for accountants and one week for TM. The Contractor shall factor in all travel and any other expenses for their personnel to attend the course in the COCO Monthly Service Price.

4.0 Deliverables

4.1 Contractor Detailed Plans: Following contract award, the Contractor shall have 60 days, unless otherwise indicated, to submit the COR/PA reviewed plans to the Contracting Officer for review and acceptance. The detailed plans listed below shall be reviewed by the COR/PA prior to submitting to the Contracting Officer. The plans are considered dynamic documents and shall be updated, as required, throughout the contract period.

4.1.1 Contract Compliance Plan (CCP). The Contractor is responsible for ensuring compliance with all contract performance requirements. As such, the Contractor shall develop an inspection system acceptable to the Government for monitoring overall contract performance. The inspection system is to include a written CCP developed and used by the Contractor to measure performance on a continuous basis. The CCP shall include performance based plans.

o General performance criteria shall include the Contractor’s ability to provide continuous support capabilities as specified in this PWS o Record keeping and reporting procedures pertaining to administrative requirements o Bulk storage operations o Facility/equipment maintenance

The CCP will include time specific checklists for evaluation of all operational and preventive maintenance requirements. The CCP will address procedures for corrective actions including the resolution of Corrective Action Report (CAR) and Quality Deficiency Reports (QDR) generated by the QAR/COR within 30 days after award the contractor will submit the CCP to the COR for review prior to forwarding to the Contracting Officer for final approval. The CCP will at a minimum shall include the following performance based plans. The CCP will be made available https://www.fuelstraining.com./ https://www.fuelstraining.com./ https://www.fuelstraining.com/ http://www.fuelstraining.com/ for Government review, upon request, at any time during the contract performance period. The CCP may be used by the QAR/COR for monitoring and assessing contract performance.

4.1.2 Product Quality Control Plan. In accordance with E-0002-E1.11 QUALTIY CONTROL PLAN (DLA ENERGY MAR 2000), the Contractor shall provide a comprehensive and detailed plan that will ensure that products handled by the Contractor remain on-specification. The plan shall include sampling, testing methods, equipment, documentation of tests, records keeping, and actions to be taken in the event of unacceptable test results. The plan shall describe how product quality surveillance data will be documented and reported. The plan shall identify responsible parties for the functions. This plan shall be submitted to the COR/QAR, located in the DLA Energy Middle East Regional Office, prior to the first receipt of Government-owned product or within 30 days of contract award, whichever occurs first, for review and forwarding to the QAR for final approval and shall be effective at the start of the contract performance period.

4.1.3 Additive Storage/Injection Plan: The Contractor shall provide a detailed additive plan that clearly demonstrates how they will store, maintain, and inject additives.

5.0 Contract Line Items (CLINs): Prices for all storage and ancillary services included in this PWS should be included in the monthly price for CLIN 0001 and Option CLIN 0002.

Appendix A

Contractor Instructions

Common Access Card (CAC) Procedures

Performance under this contract may require the Contractor to obtain a Common Access Card (CAC). If CACs are issued under this contract, the Contractor shall complete and comply with the following steps to obtain, control, and turn-in Government-issued CACs, as well as establish procedures to control and account for Contractor CACs at all times. This process is only for the issuance and accountability of CACs. Contractors may be required to provide additional forms and follow additional procedures for other forms of access and/or background/security checks depending on local site/installation requirements.

1. The Contractor has each Contractor employee requiring a CAC complete and sign Sections I and II of the DD Form 1172-2. The instructions for completing the DD Form 1172-2 are located at http://www.cac.mil/docs/1172-2- Instructions.pdf.

o For Section II, Block 22 - If the Contractor employee signs and the

DD Form 1172-2 it is then forwarded by the Contractor. This provides verification for the employee information. If the Contractor is submitting a DD Form 1172-2 for him/herself (e.g., the owner), with no higher authority above them for verification, then the signature in Block 22 must be notarized to verify identity.

2. The Contractor forwards the DD Form(s) 1172-2 via hand-carry, secure mail, or encrypted email to (NOTE: The Contractor may forward these forms individually or as a group):

o The Contracting Officer’s Representative (COR) for the contract, if a

COR was designated.

o The Contracting Officer (CO) for the contract, if no COR was designated.

3. Each Contractor employee must verify his/her account information upon receipt of an email from the Government containing a username and password for the Trusted Associate Sponsorship System (TASS). The web link for TASS is included in the email.

4. Each Contractor employee will receive an email via TASS when his/her account has been approved. The email will notify the employee to obtain a Government-issued CAC from the nearest Real-Time Automated Personnel Identification System (RAPIDS) office. The email will also provide a link that identifies the http://www.cac.mil/docs/1172-2-Instructions.pdf http://www.cac.mil/docs/1172-2-Instructions.pdf locations of RAPIDS offices.

5. Each Contractor employee shall obtain his/her issued CAC from the RAPIDS office.

6. The Contractor, within one (1) business day of issuance, provides written notice via email to the COR (or the CO, if no COR was designated) for each Contractor CA issued, identifying the Contractor employee’s name, the date of issuance, and the date of expiration of the CAC. This notification may be made individually for each Contractor employee or together for a group of Contractor employees.

7. The Contractor establishes procedures to control and account for

Government-issued Contractor CACs at all times, to include the following:

o Ensure Contractor CACs issued for this contract are only used for the purpose of performing under this contract.

o Ensure Contractor CACs are secured in a manner that precludes unauthorized use and that recognizes the CAC is the property of the U.S. Government.

o Ensure Contractor employees do not abuse or place holes in their CACs.

o Ensure Contractor employees do not display their CACs in public.

8. If a Contractor CAC is lost or stolen:

o The Contractor employee shall immediately notify the Contractor that the Contractor CAC has been lost or stolen.

o The Contractor shall immediately notify the COR (or the CO, if no COR was designated), detailing the circumstances regarding the lost or stolen Contractor CAC, as follows:

• In person, followed within one (1) business day by a written notice via email, or

• In writing, via email, or

• By telephone, followed within one (1) business day by a written notice via email.

o The Contractor shall report the lost or stolen CAC card to the local DLA Police/host installation police, who will provide the Contractor a police report. If there is no local DLA Police/host installation police, or no police report is provided, the Contractor shall provide information to the COR/CO, as applicable, detailing the circumstances of how the CAC was lost or stolen. The COR/CO will provide a memorandum for the Contractor employee to support issuance of new CAC.

o The Contractor has the Contractor employee bring the report/memorandum to the nearest RAPIDS office. If the CAC can be reissued within 24 hours, bring the report/memorandum to the nearest CAC office for reissue. If the CAC cannot be reissued in 24 hours, follow the steps for a new CAC, beginning at Step 1.

9. If the expiration date for a Contractor CAC is prior to completion of the contract and the Contractor employee is to continue working under the contract and still requires a CAC, the Contractor:

o Notifies the COR as follows:

• In person, followed within one (1) business day by a written notice via email, or

• In writing, via email, or

• By telephone, followed within one (1) business day by a written notice via email.

o No less than two (2) weeks prior to the current CAC’s expiration date, completes and complies with the steps above beginning with Step 2 for issuance of a new Contractor CAC for the employee.

o Brings the expiring CAC to the RAPIDS office for turn-in and receives new CAC.

o Notifies the COR once a new CAC has been issued.

10. The Contractor/Contractor employee turns in any found CACs immediately, via hand- carry, to the nearest Federal law enforcement office.

11. The Contractor immediately collects all Contractor CAC(s) from the Contractor employee(s) at:

o Contract completion or termination o Termination/Reassignment of an employee (this includes any reason the employee is no longer working for the Contractor under the contract or otherwise no longer requires a CAC)

12. The Contractor:

o For contract completion or termination – within one (1) business day after collecting the Contractor CAC(s), arranges for turn-in via one of the below methods:

ii. If the COR/CO is co-located or near enough that in-person transfer of CACs can be arranged, the Contractor:

• Arranges to meet the COR (or the CO, if no COR was designated) to turn-in the collected Contractor CAC(s).

• Hand-carries all collected Contractor CACs for turn-in to meet the COR (or the CO, if no COR was designated).

• Completes and signs the Government-Issued Contractor CAC Turn-In Receipt with the COR (or the CO, if no COR was designated).

The Contractor is provided a copy of the receipt.

iii. If in-person transfer of CAC cannot be arranged, the Contractor:

• Sends, via certified mail, the CACs to the COR/CO. The Contractor includes in the package the Government-Issued Contractor CAC Turn-In Receipt, with signed acknowledgement of Contractor turn-in.

• Notifies COR/CO that CACs have been sent via certified mail.

• Receives a completed copy of the receipt from the COR/CO once the COR/CO has received the CACs.

o For termination/reassignment of an employee:

i. Immediately notifies the COR (or the CO, if no COR was designated) that the employee is no longer working for the Contractor under the contract or otherwise no longer requires a CAC, as follows:

• In person, followed within one (1) business day by a written notice via email, or

• In writing, via email, or

• By telephone, followed within one (1) business day by a written notice via email.

ii. Follows the turn-in procedures above for contract completion or termination, as applicable.

Contractor Reporting Requirements: The Contractor is required to submit, on a monthly basis, to the COR (or the CO, if no COR was designated) a report of all employees working on the contract who have been issued CAC cards and a verification of whether each listed employee still requires a CAC. The report must note where changes have occurred (additions or deletions) since the previous month. Contractor employees who already have a CAC related to another DLA or DoD contract must be included in the monthly report.

Contractor shall note the issuing organization and the CAC expiration date.

Contractor is still responsible for notifying the COR/CO when the individual is no longer working under the subject contract.

The above procedures have been established as a DLA security measure.

Contractors are advised that failure to comply with any of the above requirements will be considered a violation of the terms and conditions of the contract and the Contracting Officer may take action to remedy such violations. Specifically, failure to safeguard, follow these procedures, including reporting requirements, or turn-in CACs within the established timeframes may result in the following actions, which are in addition to other actions the Contracting Officer may take under governing law and regulation and the terms and conditions of the contract:

• Immediate work stoppage (issuance of a stop work order), not to be lifted until resolution of CAC issue

• Disapproval of invoices and delay of payment

• Withholding of final payment (in accordance with FAR 52.204-9)

• Documentation of CAC Non-Compliance in the

Contractor Performance Assessment Reporting System (CPARS)