Attachment J.7 Section L - Phase II Instructions, Conditions, and Notices To Offerors.pdf

ATTACHMENT J.7 – SECTION L – PHASE II INSTRUCTIONS, CONDITIONS,

AND NOTICES TO OFFERORS

L.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY

REFERENCE

The following contract clauses pertinent to this section are hereby incorporated by reference (by Citation Number, Title, and Date) in accordance with the clause at FAR 52.252-2 CLAUSES INCORPORATED BY REFERENCE” in Section I of this contract. Upon request, the Contracting Officer will make the full text available. The Offeror is cautioned that the listed provisions may include blocks that must be completed by the Offeror and submitted with its offer. In lieu of submitting the full text of those provisions, the Offeror may identify the provision by paragraph identifier and provide the appropriate information with its offer. Full text of the FAR clauses is available at https://www.acquisition.gov/far/ and full text of the AIDAR clauses is available at http://www.usaid.gov/ads/policy/300/aidar and http://www.usaid.gov/ads/policy/300/300.

FEDERAL ACQUISITION REGULATION (48 CFR Chapter 1)

NUMBER TITLE DATE

52.204-6 UNIQUE ENTITY IDENTIFIER OCT-2016

52.204-16 COMMERCIAL AND GOVERNMENT ENTITY CODE

REPORTING JUL-2016

52.204-18 COMMERCIAL AND GOVERNMENT ENTITY CODE

MAINTENANCE JUL-2016

52.215-22 LIMITATIONS ON PASS-THROUGH CHARGES—

IDENTIFICATION OF SUBCONTRACTOR EFFORT OCT-2009

52.219-24 SMALL DISADVANTAGED BUSINESS PARTICIPATION

PROGRAM—TARGETS OCT-2000

52.222-24 PREAWARD ON-SITE EQUAL OPPORTUNITY

COMPLIANCE EVALUATION FEB-1999

52.222-46 EVALUATION OF COMPENSATION FOR PROFESSIONAL

EMPLOYEES FEB-1993

52.237-1 SITE VISIT APR-1984

52.215-1 INSTRUCTIONS TO OFFERORS - COMPETITIVE

ACQUISITION- ALTERNATE I JAN-2017

52.204-22 ALTERNATIVE LINE ITEM PROPOSAL JAN-2017

52.204-7 SYSTEM FOR AWARD MANAGEMENT- ALTERNATE 1 OCT-2018

L.2 PHASE II GENERAL INSTRUCTIONS

(a) Single Award: The U. S. Government anticipates awarding one Cost-Plus-Fixed-Fee, Completion-Type Contract under the unrestricted competition as a result of this Solicitation.

http://www.usaid.gov/ads/policy/300/300 https://www.acquisition.gov/content/52204-7-system-award-management

The Agency reserves the right to award more awards than the anticipated number of contracts stated above.

(b) RFP Instructions: If an Offeror does not follow the instructions set forth herein including Section L & M for Phase II, the Offeror's proposal may be eliminated from further consideration for the award. Proposals must respond directly to the terms, conditions, specifications and provisions of this RFP. Proposals not conforming to this RFP will be determined as non-responsive, thereby eliminating them from further consideration.

(c) Accurate and Complete Information: An Offeror must set forth full, accurate and complete information as required by this RFP. The penalty for making false statements to the Government is prescribed in 18 U.S.C. 1001.

(d) Pre-award Survey: USAID reserves the right to perform a pre-award survey which may include, but is not limited to: (1) Offeror’s ability to perform the Contract duties under the program conditions; (2) a review of the Offeror’s’ financial condition, business and personnel procedures, etc.; and (3) site visits to the Offeror’s facilities.

(e) Offer Acceptability: The Government may determine an offer to be unacceptable if the offer does not comply with all of the terms and conditions of the RFP and prospective Contract:

(1) Completion of Standard Form 33, Blocks 12 through 18;

(2) Submission of proposed costs/prices and indirect cost information as required by Section B and L.6 (Phase II) of this RFP;

(3) Completion of electronic annual representations and certifications at SAM accessed via https://www.acquisition.gov as well as any other "Representations, Certifications, and Other Statements of Offerors" in Section K; and

(4) Submission of information required by Section L.5 and L.6 (Phase II) or any other section of this RFP. The submission of these items in accordance with these instructions will, if the Government accepts the offer, contractually bind the Government and the successful Offeror to the terms and conditions of the prospective Contract. Offerors will follow the instructions contained in this RFP and supply all information and signature/certifications, as required.

(f) Proposal Preparation Costs: The U.S. Government will not pay for any proposal preparation costs.

(g) Questions: All questions and requests for clarification must be addressed to the Contracting Officer, sent to the e-mail address provided on the cover letter, by the date and time as indicated on the same. Phone calls will not be accepted.

https://www.acquisition.gov/

(h) Technically Unacceptable: All offers which are technically unacceptable will not receive a review of their proposed costs.

(i) Offer Validity: Offerors are required to indicate the duration of the validity of their offer in box 12 of the submitted SF 33 Form. USAID recommends at least 8 months of validity from the date the offer is submitted to allow sufficient time to evaluate proposals and complete negotiations.

(j) Phase II Solicitation Conditions: Results of Phase1 will be carried over to Phase II for the overall evaluation of proposals. At Phase II, offerors must submit the remaining Technical and Cost Volumes as described in herein by the date/time in the cover letter of the

RFP.

L.3 FAR 52.233-2 SERVICE OF PROTEST

(a) Protests, as defined in section 33.101 of the Federal Acquisition Regulation, that are filed directly with an agency, and copies of any protests that are filed with the Government Accountability Office (GAO), must be served on the Contracting Officer (addressed as follows) by obtaining written and dated acknowledgment of receipt from:

Mr. Mohib Ahmed Contracting Officer Email: mohahmed@usaid.gov Subdivision 694/Stand 100 Ibex Hill Road PO Box 320373 Lusaka, Zambia – 10101

(b) The copy of any protest must be received in the office designated above within one day of filing a protest with the GAO. Protests must also be submitted to USAID’s Assistant General Counsel, at the following address:

Mr. William Buckhold Assistant General Counsel US Agency for International Development Office of General Counsel Email: wbuckhold@usaid.gov

L.4 PHASE II SUBMISSION INSTRUCTIONS

(a) Closing Date and Time: All submissions in response to this RFP are due as stated in the

RFP cover letter and as communicated via the Notification letter.

(b) The Offeror will submit electronically only.

(c) The information requested below must be clearly marked on the subject line with the following information:

mailto:mohahmed@usaid.gov mailto:wbuckhold@usaid.gov

(email # of #) RFP No.:72061120R00006, USAID BEP (Phase II)

(d) Electronic Submission:

• All submissions must be sent to the email address identified on the cover page.

Electronic submission must be:

o In Adobe Acrobat PDF for Volume I - Technical Proposal

Electronic proposal will be submitted addressing evaluation Factors 3 and 4 only.

o In Adobe Acrobat PDF, Microsoft Excel and Word (2003 version or newer) for Volume II – Cost/Business Proposal Cost/Business Proposal will only be submitted during Phase II. Microsoft

Excel only applies to the budget and USAID requires a word version of the budget narrative. All calculations and formulas must be visible and unlocked. Furthermore, there will be no password protected cells or spreadsheets.

While there is no page limit, the Offerors are encouraged to be as concise as possible, but still provide the necessary detail to address the solicitation requirement.

o Submissions per e-mail should not exceed 10MB in total file/data size.

o All electronic files must be unzipped.

o All attachments/electronic contents must be formatted to print on 8.5 by 11 inch or A4 size paper, single spaced, with 12-point font, Times New Roman with one-inch margins on all sides. Number each page consecutively. Those pages that exceed the page limitation will not be evaluated. If proposals contain graphics, tables and charts or text boxes must be in no less than 10-point font, as to not unduly interfere with readability.

o The Contracting Officer reserves the right to request any submission material in

MS Word/Excel (software versions 2003 or newer), if applicable.

L.5 INSTRUCTIONS FOR THE PREPARATION OF PHASE II – TECHNICAL

PROPOSAL

Phase II – Submission Format (not to exceed 25 pages)

(1) Cover Letter

(2) Phase II Technical Proposal

a) Local Partner Self Certification

b) Inception Phase Approach

c) Key Personnel and Management Approach

d) Contractor Past Performance Information

(3) Annexes; (do not count against page limit)

a) Branding, Implementation and Marking Plan;

b) Organizational Chart(s)/Organograms; and

c) Contractor’s Past Performance Information

NOTE: The annexes list above is absolute; offerors may not include any further information.

L.5.1 Cover Letter

Include the offeror’s name submitting the proposal and the organization’s DUNS number.

Include a contact person for the proposal, including his/her name (both typed and signed), title or position with the organization, address, telephone, and email address. Also state whether the contact person is the person with authority to Contract for the Offeror, and if not, that person should also be clearly identified.

NOTE: If the offeror does not have a DUNS number, USAID recommends that they begin the registration process via www.sam.gov. No award can be made without proper registration within this system.

L.5.2 Phase II Technical Proposal

In Phase II, the offeror must submit a technical proposal in response to the remaining evaluation Factors 2, 3, 4, and 5.

L.5.2(a) Factor 2: Local Partner Self Certification

[See Section M.2.3(a)]

The offeror must self-certify that it meets the definition of a local partner as described below1.

To be considered a local partner, the Offeror must submit supporting documentation demonstrating that their organization meets at least one of the three criteria listed below.

Supporting documentation could include, but is not limited to, individual proof of citizenship or residence, registration documents as required by the relevant jurisdiction where the entity is incorporated, or other relevant documentation as dictated by jurisdictional context. USAID has the right to request additional documentation, if required. If an offeror develops a consortium, the ‘prime’ or ‘lead’ must be a local partner as defined above.

Definition of a Local Partner: An individual or organization that: (1) Is legally organized under the laws of a country that is receiving assistance from USAID; (2) Has as its principal place of business or operations in a country that is receiving assistance from USAID; (3) Is majority-owned by individuals who are citizens or lawful permanent residents of a country that is

1 Note: The definition of Local Partner set forth below is the current proposed definition set forth in the Section 7077 FY 2012 Department of State, Foreign Operations, and Related Programs Appropriations Act (S/FOAA) as modified by Section 7028 (c), FY 2014 S/FOAA and codified in ADS 303.3.6.5(b)(2). Such definition may change, in which case offerors will be required to show that they meet any such changed definition.

https://www.congress.gov/112/plaws/publ74/PLAW-112publ74.pdf https://www.congress.gov/112/plaws/publ74/PLAW-112publ74.pdf https://www.gpo.gov/fdsys/pkg/PLAW-113publ76/pdf/PLAW-113publ76.pdf https://www.gpo.gov/fdsys/pkg/PLAW-113publ76/pdf/PLAW-113publ76.pdf https://www.gpo.gov/fdsys/pkg/PLAW-113publ76/pdf/PLAW-113publ76.pdf https://www.usaid.gov/sites/default/files/documents/1868/303.pdf receiving assistance from USAID; and, (4) is managed by a governing body, the majority of whom are citizens or lawful permanent residents of the country that is receiving assistance from USAID.

Self-Certification for qualification as a local partner.

The offerors must submit the following:

As an entity, I [INSERT NAME AND TITLE] certify that as of [DATE] [INSERT ORGANIZATION NAME] meets all of the following requirements:

_____ Is legally organized under the laws of Zambia

_____ Its principal place of business or operations is in Zambia

_____ Is majority-owned by individuals who are citizens or lawful permanent residents of Zambia

_____ Is managed by a governing body, the majority of whom are citizens or lawful permanent residents of Zambia.

[List all documents that will be provided in the Annex to support the certification]

I [Name and Title] of [Name of Organization], further certify that the information provided is accurate, current and complete as of the date hereof. I also understand that any falsification of information could lead to suspension and/or debarment from future business with USAID and I am aware of the penalty prescribed in 18 U.S.C. 1001 for making false statements in this solicitation.

Solicitation No. __________________________________________________

Offer/Proposal No. ______________________

Date of Offer ____________________________________________________

Name of Offeror__________________________________________________

Typed Name and Title______________________________________________

Signature____________________________ Date_______________________

L.5.2(b) Factor 3: Inception Phase Approach

[See Section M.2.3 (b)]

The Offeror will describe in a narrative a collaborating, learning and adapting approach to the inception phase that includes joint assessments with USAID, the Government of Zambia, civil society organizations, the private sector and other stakeholders cited in Section C.12 of the Statement of objectives, to understand the political economy, social networks and system dynamics, organizational capacity and skill constraints, risks, the nature of the problem and where and how the activity will intervene to achieve its objectives. The inception phase approach must describe how it will identify opportunities to achieve early successes and build momentum, including identifying and enabling investments in women-owned businesses and implementing early regulatory reforms. The approach should demonstrate the offeror’s knowledge of the target sector policy environment in Zambia, including national and sub-national policy and administrative constraints and their differential impact on men and women.

The offeror must describe how it will engage stakeholders through a consultative process to determine key indicators of success. The offeror must also describe the approach it will take to address the five questions identified in Section C, particularly how the inception phase will use that information to shape subsequent implementation of the activity. Include a timeline in table form showing proposed inception phase activities and the stakeholders involved. Include a narrative of Year 1 Work Plan that identifies critical activities, milestones, deliverables and timelines and describes a logical and feasible path for project launch and delivery of results.

L.5.2(c) Factor 4: Key Personnel and Management Approach [See Section M.2.3 (c)]

The offeror’s Key Personnel Positions must be presented in accordance with Section F.9. The offeror may decide the number and desired positions that are to be designated as “Key.”

There is a maximum of five (5) allowable Key Personnel positions. One of the key inputs to the successful operation and sustainability of this contract is the recruitment and retention of Zambian professionals into leadership and technical positions. The offeror is to list positions only, (no names or other identifying information is to be provided). All individual(s) approvals (i.e. bio data, TCN approval, etc) will be completed post award.

The offeror must demonstrate an organizational structure and staffing plan responsive to implement Section C of the RFP which also reflects the offeror’s performance base work statement that includes:

• The offeror’s Key Personnel Positions must be presented in accordance with Section F.9. The offeror may decide the number and desired positions that are to be designated as “Key.” There is a maximum of five (5) allowable Key Personnel positions. One of the key inputs to the successful operation and sustainability of this contract is the recruitment and retention of Zambian professionals into leadership and technical positions. The offeror is to list positions only, (no names or other identifying information is to be provided). All individual(s) approvals (i.e. bio data, TCN approval, etc) will be completed post award.

• An organogram and accompanying brief description with projected positions (key and non-key), level of effort, mix of international and local staff, and reporting relationships that reflects the offeror’s performance-based work statement. The offeror is to list positions only. Clearly articulate areas where overlap in positions occurs (within the prime and prime/sub structure) and state why it may be necessary, while ensuring that there are no duplications of efforts/positions within the overall staffing plan.

• Articulate the division of responsibilities and lines of reporting and communication between home office (if applicable), country head office and field-based personnel, sub-contractors, sub-grantees, and that will lead to the achievement of the objectives outlined in Section C.

• How the offeror will be engaging with the sub-contractors, government entities, donors, other stakeholders and USAID, delineating roles and responsibilities of each.

• A proposed plan for facilitating partnerships and alliances and describing participation of key stakeholders in programmatic decision-making.

L.5.2(d) Factor 5: Contractor Past Performance Information [See Section M.2.3 (d)]

(a) The Offeror (including all partners of a consortium) must provide performance information for itself and each major subcontractor (“major subcontractors” are those subcontractors whose proposed costs exceed 20% of the Offeror’s proposed total cost or perform a key element of contract) in accordance with the following:

(1) Utilizing the Past Performance Matrix in Attachment J.9, the offeror is to list the most recent and relevant contracts or assistance awards for efforts, which are similar to the work in the subject proposal. The offeror must list up to five (5) for itself and up to an additional five

(5) for each major subcontractor. The most relevant indicators of performance are contracts of similar scope, size (dollar value) and/or complexity. Offerors need to demonstrate a successful track record in providing services and achieving results under activities similar in size, scope, and complexity. The Offeror must describe successful experiences using subcontractors to implement major technical components. Once an Offeror’s proposal is received, reference checks may be undertaken at any time, at the discretion of USAID/Zambia. USAID may also obtain and consider past performance information from sources other than the Offeror.

(i) For all contracts listed above that are in CPARS, the offeror will attach the official CPARS report(s). Attachment J.10 is not to be utilized for Past Performance information that is already accessible in CPARS.

(ii) For all contracts that are not in CPARS and relevant assistance awards listed above, the Contractor Performance Reference Sheet Attachment J.10 must be utilized in collecting the performance information.

(iii) For all contracts where the offeror is unable to obtain a reference utilizing Attachment J.9, please ensure the Past Performance Matrix, Column “N” is fully completed.

USAID recommends that the Offeror alerts these references that their names have been submitted and that they are authorized to provide performance information concerning the listed contracts if USAID requests this information.

(b) In accordance with FAR 15.305(a)(2), if extraordinary problems impacted any of the referenced contracts, provide a short explanation and the corrective action taken.

(c) Describe any quality awards or certifications that indicate exceptional capacity to provide the service or product described in the Section C.

(d) Performance in Using Small Business (SB) Concerns (as defined in FAR 19.001).

(1) This section (d) is not applicable to offers from small business concerns.

(2) As part of the evaluation of performance in Section M. of the solicitation, USAID will evaluate the extent the offeror used and promoted the use of small business concerns under current and prior contracts. The evaluation will assess the extent small business concerns participated in these contracts relative to the size/value of the contracts, the complexity and variety of the work small business concerns performed, and compliance with your SB subcontracting plan or other similar small business incentive programs set out in your contract(s).

(3) In order for USAID to fully and fairly evaluate performance in this area, all offerors who are not small business concerns must do the following:

(A) Provide a narrative summary of your organization's use of small business concerns over the past three years. Describe how you actually use small businesses--as subcontractors, as joint venture partners, through other teaming arrangements, etc. Explain the nature of the work small businesses performed--substantive technical professional services, administrative support, logistics support, etc. Describe the extent of your compliance with your SB subcontracting plan(s) or other similar SB incentive programs set out in your contract(s) and explain any mitigating circumstances if goals were not achieved.

(B) To supplement the narrative summary in (A), provide a list of the recent contracts no more than 10, within the past five years for which you submitted subcontract reports to eSRS (FAR 52.219-9(d)(10) and a copy of any similarly recent subcontracting reports if they were not submitted to eSRS.

(C) Provide the names and addresses of three SB concerns for us to contact for their assessment of your performance in using SB concerns. Provide a brief summary of the type of work each SB concern provided to your organization, and the name of a contact person, his/her title, phone number, and email address for each.

(D) The Offeror (including all partners of a consortium/joint venture) must provide performance information for itself, the contractors teaming arrangements, if any, and each major subcontractor (“major subcontractors” are those subcontractors whose proposed costs exceed 20% of the Offeror’s proposed total cost or perform a key element of the RFP).

L.5.3 Annexes

L.5.3(a) Branding Strategy, Branding Implementation Plan, and Marking Plan

The Branding Strategy, Branding Implementation Plan, and Marking Plan must be submitted as an annex and as part of the Technical Proposal during Phase II of evaluation. Offerors must note that the plan is a separate item and will not be evaluated. However, the plan from the apparently successful Offeror will be reviewed and subject to approval prior to contract award.

Please see Section D for additional information.

The plan must specifically address the following:

a) How to incorporate the message, “This assistance is from the American People,” in communications and materials directed to beneficiaries, or provide an explanation if this message is not appropriate or possible.

b) How to publicize the program, project, or activity in the host-country and a description of the communications tools to be used. Such tools may include the following:

• Activity Fact Sheets

• Beneficiary testimonials

• Field site visits

• Info graphics

• Media interviews

• Press conferences

• Press releases

• Print and online Public Service Announcements

• Professional photographs

• Social media posts and online content

• “Transforming Lives” Success stories

• Videos, webcasts, e-invitations, or other emails sent to group lists, such as participants for a training session, blast emails, or other Internet activities.

c) The key milestones or opportunities anticipated to generate awareness that the program, project, or activity is from the American People, or an explanation if this is not appropriate or possible. Such milestones may be linked to specific points in time, such as the beginning or end of an activity, or an opportunity to showcase publications or other materials, research findings, or activity success. These include, but are not limited to, the following:

• Announcing findings from the situational analysis

• Communicating activity impact/overall results

• Launching the activity

• Highlighting success stories,

• Promoting final or interim reports

• Publishing reports or studies, including the transformation and sustainability plans

• Securing endorsements from ministry and/or local organizations

• Spotlighting trends

L.5.3 (b) Organizational Chart(s)/Organograms

The offeror must include a full staffing plan and organizational chart for the project, with a description of the primary responsibilities of each staff person that will play a major role in the project. The organizational chart and staffing plan must relate directly to the strategies, activities and approaches described in the technical proposal, and will include long-term personnel, short-term advisors, and administrative and support staff for Lusaka, Zambia office, any field offices envisioned (if any), district-level embedded staff (if any), and US headquarters office (if any).

L.5.3 (c) Contractor’s Past Performance Information

The Contractor Performance Reference Sheet and the Past Performance Matrix must be utilized to document past performance information.

L.6 INSTRUCTIONS FOR THE PREPARATION OF VOLUME II –

COST/BUSINESS PROPOSAL [See Section M.3]

Volume II – Format and Presentation

Volume II – Cost/Business Proposal

(1) Standard Form (SF) 33

(2) Proposed Costs/Prices

(i) Assumptions

(ii) Excel Workbook

(iii) Budget Narrative

(3) Representations, Certifications and Other Statement of Offerors

(4) Offeror’s Policies and Procedures

(5) Joint Venture Information (if applicable)

(6) Evidence of Responsibility

(7) Letters of Commitment (Subcontractors)

(8) Information to Support Consent to Subcontractor(s)

NOTE: While there is no page limit, offerors are encouraged to be as concise as possible, but still provide the necessary detail to address the solicitation requirement. The guidance/format below is provided for the use of Offerors in developing these documents; however, Offerors should keep in mind that it is their responsibility to ensure that the information provided is sufficient to provide a basis for USAID to determine that the costs proposed are reasonable and realistic.

L.6.1 Standard Form (SF) 33

The Offeror must submit Section A (cover page) of this Solicitation [Standard Form (SF) 33, "Solicitation, Offer, and Award"], with blocks 12 through 18 completed, with an original signature of a person authorized on behalf of the Offeror to sign the offer. In addition, all amendments if any, to the solicitation must be acknowledged.

L.6.2 Proposed Costs/Prices

(a) Assumptions: The following cost related assumptions will be used by all offerors, any estimations outside these assumptions must be justified:

• Anticipated Start Date: All offerors are to utilize an anticipated award date of December 30, 2021 for budget purposes.

• Zambia Currency Exchange Rate: The current Zambia exchange rate against the US Dollar as of April 2021 is K22 equals $1. Offerors will use this rate of conversion within their proposals.

• Annual Escalation Rates: Annual salary increases (e.g. cost of living, merit, promotion increase, or any other type) must be in accordance with Section H.3 Annual salary increases of any kind exceeding these limitations or exceeding USAID maximum SES established rate (AWCPAS), or the USAID CST, require the advance written approval of the Contracting Officer.

• Information Concerning Work-Day, Work-Week, and Paid Absences: The Offeror and each proposed major subcontractor will indicate the number of hours and days in its normal work-day and its normal work-week, both domestically and overseas, for employees and consultants. In addition, the Offeror and each proposed major subcontractor will indicate how paid absences (US holidays, local holidays, vacation and sick) will be covered. A normal, work-year, including paid absences (holidays, vacations, and sick leave) is 2,080 hours (260 days x 8 hours per day). However, some organizations do not have an 8-hour workday, and some accounting systems normally provide for direct recovery of paid absences by using a work year of less than 2,080 hours to compute individuals' unburdened daily rates. The Offeror and major subcontractors will describe their work day and work week policies in the assumptions section if they differ from the above.

(b) Offerors must provide one Excel workbook for their proposed Cost/Price submission. Offerors must incorporate and link sub-contractor budgets within their own.

There must not be multiple workbooks between the prime and sub-contractor(s), if applicable.

• Excel Workbook TAB 1: Offerors must include budget summary as shown in B.3(b)b.1.

• Excel Workbook TAB 2: Offerors are to update Section B.4. Offerors will propose their own activity level deliverables that are tied to fee. The pre-existing percentages are not to be removed or changed, only activity level deliverables are to be added ensuring the value equals 100% of fee. Offerors are encouraged to create schedules which will motivate performance and ensure risk is adequately managed through the contract. The government reserves the right to reject the proposed fee schedule and/or amend it.

• Excel Workbook TAB 3: Offerors must complete Section B.5.

• Excel Workbook TAB 4 and onward: Offerors must provide a detailed budget for the contract period. This is to include a complete breakdown of the cost elements associated with each component and those costs associated with each proposed subcontract. Supporting information is to be provided in sufficient detail to allow a complete analysis of each line item cost. Detailed budgets are only required for the offeror and major subcontractors.

(c) Budget Narrative: Provide a budget narrative that supports item for item the cost estimates proposed in its detailed budget must be provided. The budget narrative must describe the nature of individual cost items proposed, calculations, and include a description of the source of that particular cost estimate (current market value, current catalogue price, current vendor price quotes, etc.). The budget narrative must clearly list out all of the offeror’s assumptions and details to support the assumption. Narratives for the individual cost items must provide a discussion of any estimated escalation rates where applicable. Estimated costs proposed to exceed ceilings imposed by USAID or Federal procurement policy must be fully explained and justified.

Budget Line Item Definitions and Illustrations: The regulatory references provided below for each Budget Line Item are not intended to be a complete list of applicable regulations or policies. Also, the regulatory references assume cost reimbursement contract types, and may vary or differ in their applicability given other types of contracts:

Salaries and Wages: FAR 31.205-6, AIDAR 732.205-46 and AIDAR 752.7007 provides for compensation for personal services. Direct salary and wages should be proposed in accordance with the Offeror’s personnel policies and meet the regulatory requirements. Costs of long-term and short-term personnel should be broken down by person, years, months, days, or hours.

• No key or non-key personnel are to be named at the solicitation Phase. All positions must be represented by a Position Title; Unburdened Daily Rate or daily rate for Locally Hired Personnel and Non-U.S. Expatriates; Number of workdays; and Total Cost.

• Biographical Data Sheets Attachment J.11 is only a reference document and not required at the solicitation stage. Bio‐data forms, when submitted post-award, must be properly completed, certified and signed by both employee and Contractor with all blocks completed, as appropriate.

• Direct salaries and wages for locally hired personnel and non-U.S. expatriates will be proposed in accordance with the Offeror’s proposed personnel policies. Unit costs for each proposed position, key or not, will be expressed in an amount per work day with the corresponding level of effort required for the position (number of work days) and then calculated to a total cost for each cost period where the salary would be applicable.

• Labor cost for TCNs and CCNs must not exceed the thresholds in the US Embassy’s local employee compensation plan (LCP) [Attachment J.12]. Salaries proposed in excess of maximum annual salary rate described in ADS 302.3.6.10, USAID Contractor Salary Threshold (USAID CST) and the Local Compensation Plan will require prior approval from the contracting officer soon after the award. In addition, the proposed salaries must be reflective of “market value” for each position and may not exceed the Contractor's established policy and practice, including the Contractor's established pay scale for equivalent classification of employees. In an instance, when compensation proposed to TCNs and CCNs, exceeds the USAID CST and LCP, including contractor’s established pay scale for equivalent positions, post award approval must be obtained from contracting officer.

• Offeror’s Compensation Plan: The Offeror must submit a compensation plan which includes all technical and administrative staff positions that correspond to the Management and Staffing Plan. This plan must include a general position description, level of responsibilities, and must include the salary range for the position based on market research. Offerors may consider Attachment J.12, Local Compensation Plan and USAID CST as a component for market research. Illustrative example is provided below:

Position Illustrative

Title Responsibilities Compensation ($)

Key Personnel Staff

Home Office Staff

Project Staff $-$ Administrative Staff

Fringe Benefits: FAR 31.205-6 provides for allowances and services provided by the Offeror to its employees as compensation in addition to regular wages and salaries. If the offeror has a fringe benefit rate that has been approved by an agency of the Government, such rate should be used and evidence of its approval should be provided. If a fringe benefit rate has not been approved, the offeror must propose a rate and explain how the rate was determined. If the latter is used, the narrative must include a detailed breakdown comprised of all items of fringe benefits (e.g., unemployment insurance, workers compensation, health and life insurance, retirement, FICA, etc.) and the costs of each, expressed in dollars and as a percentage of salaries. A detailed cost breakdown must indicate benefits types for both international and CCN staff as applicable. Fringe will only be applied to direct labor, unless otherwise stated on the offeror’s NICRA.

Note: AIDAR 752.7028 provides for differentials and allowances with further references to Standardized Regulations. Allowances must be broken down by specific type and by person. Allowances must be in accordance with the offeror’s policies and the applicable federal regulations and policies. Allowances may be listed under Fringe or ODC’s but must be captured within the budget.

Consultants (STTA/LTTA/Other): FAR 31.205-33 provides for services rendered by persons who are members of a particular profession or possess a special skill and who are not officers or employees of the Offeror. Costs of consultants must be broken down by person years, months, days or hours. The offeror must propose a blended daily consultant rate for each type of consultant and experience level. The blended rate must be proposed for each of the years of the period of performance. The offeror must provide a description of the methodology used to determine the blended rate for each consultant with sufficient information to determine the reasonableness of the cost.

Travel, Transportation and Per Diem: FAR 31.205‐46, AIDAR 731.205‐46 and AIDAR 752‐ 7032 provide for costs for transportation, lodging, meals and incidental expenses. The cost proposal must indicate number of trips, domestic and international, and the estimated cost per trip, including airfare, per diem, and other related travel costs. The origin and destination, purpose for each proposed trip, duration of travel, and number of individuals traveling must be specified. Per diem must be based on the offeror's normal travel policies (offerors may choose to refer to the Federal Standardized Travel Regulations for cost estimates).

Equipment and Supplies: FAR 2.101 provides for supplies as all property except land or interest in land. Specify all other equipment, materials and supplies expected to be purchased, including type, geographic source, unit cost, and units. This information must support the equipment and supplies budget line in the cost proposal.

Subcontracts (other than commodities): FAR 44.101 provides for any contract entered into by a Sub-Contractor to furnish supplies or services for performance of a prime contract or a subcontract. Information sufficient to determine the reasonableness of the cost of each proposed major Subcontractor must be included.

Participant Training (if any): AIDAR 752.7019 and ADS 253 provides for participant training and training in development. For example, costs should be broken down by types and participants.

Other Direct Costs: FAR 31.202 and FAR 31.205 provides for the allowability of direct costs and many cost elements. Costs must be broken down by types and units. These costs are eligible for financing if reasonable, allocable, and allowable in accordance with the applicable cost principles. The narrative must provide a breakdown and support for all other direct costs.

The narrative must provide a breakdown and support for all other direct costs. An illustrative list of other direct costs may include:

• Communications: Specific information regarding the type of communication cost at issue (i.e. mail, telephone, cellular phones, internet etc.) must be included in order to allow an assessment of the realism and reasonableness of these costs.

• Office Rent and Utilities: Specific information regarding the cost of any facilities needed to perform program activities. The information provided must identify the location, the unit cost (rent), the time period the facilities are needed and the number of facilities.

Only facilities that directly benefit the program activities must be included in this category; all other facility costs must be included in the indirect cost category.

• Seminars, workshops and conferences: the Offeror must indicate the subject, venue and duration of proposed conferences and seminars, their relationship to the program objectives, along with estimates of costs.

• Other Direct Costs: This includes: report preparation costs, passports and visas fees, medical exams and inoculations, insurance (other than insurance included in the Offeror's fringe benefits), costs for environmental compliance implementation and monitoring; branding and marking, as well as any other miscellaneous costs, which directly benefit the program proposed by the Offeror.

• Branding and Marking Costs: ADS 320.3.6.3 states the costs of branding and marking are eligible for financing in contracts, if the costs are reasonable, allocable, and allowable in accordance with applicable cost principles. Such costs should be included in the total estimated cost or bid/offer price of the implementing partner.

• Monitoring and Evaluation Costs: Per ADS 203.3.5, include costs of data collection, analysis, and reporting as a separate line item to ensure that adequate resources are available.

• Environmental Compliance Costs: In accordance with 2 CFR 216 and ADS 201, the Offeror must include costs for environmental compliance of 2% to 5% of the total budget.

Indirect Costs and Indirect Cost Information: The Offeror and each major subcontractor must include a complete copy of its most current NICRA or other documentation from its cognizant Government Audit Agency, if any, stating the most recent provisional indirect cost rates. The proposal must also include the name and address of the Government Audit Agency, and the name and telephone number of the auditor.

If the Offeror or major subcontractor does not have a cognizant Government Audit Agency, the proposal must include:

(1) Audited balance sheets and profit and loss statements for the last two complete years, and the current year-to-date statements (or such lesser period of time if the Offeror is a newly-formed organization). The profit and loss statements should include detail of the total cost of goods and services sold, including a listing of the various indirect administrative costs, and be supplemented by information on the prime contractor’s customary indirect cost allocation method, together with supporting computations of the basis for the indirect cost rate(s) proposed; and

(2) The most recent two fiscal year pool and base cost compositions along with derived rates, the bases of allocation of these rates and an independent certified audit by a certified accounting firm of these rates.

EXEMPTIONS FOR SMALL BUSINESS OFFERORS ONLY

All the above instructions apply to small business offerors. However, if the small business offeror does not have a NICRA, the proposal must include either Audited Financial Statements or Reviewed Financial Statements as defined below:

(1) Audited Financial Statements provide the auditor’s opinion that the financial statements are presented fairly, in all material respects, in conformity with the applicable financial reporting framework. In an audit, the auditor is required by auditing standards generally accepted in the United States of America (GAAS) to obtain an understanding of the entity’s internal control and assess fraud risk. The auditor also corroborates the amounts and disclosures included in the financial statements by obtaining audit evidence through inquiry, physical inspection, observation, third-party confirmations, examination, analytical procedures and other procedures. The auditor issues a report that states that the audit was conducted in accordance with GAAS, the financial statements are the responsibility of management, provides an opinion that the financial statements present fairly in all material respects the financial position of the company and the results of operations are in conformity with the applicable financial reporting framework (or issues a qualified opinion if the financial statements are not in conformity with the applicable financial reporting framework. The auditor may also issue a disclaimer of opinion or an adverse opinion if appropriate).

(2) Reviewed Financial Statements provide a certified CPA accountant’s (referred to as “Accountant” or “CPA” herein) review; the accountant is not aware of any material modifications that should be made to the financial statements for the statements to be in conformity with the applicable federal financial reporting framework. During a review engagement, the Accountant obtains limited assurance that there are no material modifications that should be made to the financial statements. Therefore, the objective of a review of the financial statements is to obtain limited assurance that there are no material modifications that should be made to the financial statements. A review does not include obtaining an understanding of the entity’s internal control; assessing fraud risk; testing accounting records; or other procedures ordinarily performed in an audit.

The CPA issues a report stating the review was performed in accordance with Statements on Standards for Accounting and Review Services; that management is responsible for the preparation and fair presentation of the financial statements in accordance with the applicable financial reporting framework and for designing, implementing and maintaining internal control relevant to the preparation.

The proposal must not include compiled financial statements. Compiled financial statements will not be accepted because the Accountant does not obtain or provide any assurance that there are no material modifications that should be made to the financial statements. That is, there is no assurance that the organization is misrepresenting costs on compiled financial statements which puts the agency at risk. The objective of compiled financial statements is to assist management in presenting financial information in the form of financial statements without undertaking to provide any assurance that there are no material modifications that should be made to the financial statements.

If the small business offeror receives an award based on the submission of Reviewed Financial Statements, within six months after the end of the small business offeror’s fiscal year, they must submit an adequate final incurred cost proposal to the to the Contracting Officer (or cognizant Federal agency official) and auditor within the 6-month period following the expiration of each of its fiscal years in accordance with the Allowable Cost and Payment Clause FAR 52.216-7.

The receipt of an adequate proposal by the audit office starts the audit process. This audit will establish the final indirect cost rate(s) for the audited year. Provisional rates will be updated as needed based on current information. USAID auditors will work with the small business to issue a NICRA establishing the proposed provisional indirect cost rates after award based upon acceptable information submitted above.

Fixed Fee (if any): FAR 15.404‐4 provides for establishing the profit or fee and offerors may not exceed the statutory limitations, imposed by 10 U.S.C. 2306(d) and 41 U.S.C. 3905. The offeror may provide additional information, at its own discretion, on its establishment of the fee.

L.6.3 Representations, Certifications, and Other Statements of Offerors

(a) Offerors and all (major and minor) proposed subcontractors must ensure they are registered with the System for Award Management (SAM) (www.sam.gov) per FAR part

4. A successful registration in SAM means the Offeror has obtained a DUNS number, has registered in CCR (Central Contractor Registration) and has secured an NCAGE number to successfully complete the Online Representation & Certifications Application (ORCA). The Offeror and each proposed subcontractor must complete Section K, "Representations, Certifications, and Other Statements of Offerors.”

(b) The submission of these items in accordance with these instructions will, if the

Government accepts the offer, contractually bind the Government and the successful Offeror to the terms and conditions of the prospective Contract (i.e., sections A through K). The Government advises prospective Offerors to read the terms and conditions of the prospective Contract carefully and to refer any questions of interpretation to the Contracting Officer in writing.

(c) The Offeror must submit as part of its proposal a statement that the Offeror has registered in SAM – System for Award Management (https://www.sam.gov/). A successful registration in SAM means the Offeror has obtained a DUNS number, has registered in CCR (Central Contractor Registration) and has secured an NCAGE number to successfully complete the Online Representation & Certifications Application

(ORCA).

(d) The Offeror and all (major and minor) its subcontractors must provide SF LLL

Disclosure of Lobbying Activities Attachment J.5 and complete the Certification Regarding Trafficking in Persons Compliance Plan Attachment J.6.This must be submitted as part of the cost proposal.

L.6.4 Organizational Policies and Procedures

Each Offeror must submit a copy of its most current personnel policies, especially regarding current salary and wage scales, fringe benefits, merit increases, promotions, leave, differentials, travel and per diem regulations, etc. The Contracting Officer may determine that a Pre-Award Survey is necessary. (See FAR 9.106).

L.6.5 Joint Venture Information

If two or more parties have formed a partnership or joint venture (see FAR Subpart 9.6), for the purposes of submitting a proposal under this solicitation and, if selected, would perform the Contract as a single entity, they must submit, as an attachment to the Cost/Business Proposal, the Corporate Charter, By-Laws, or Joint Venture or Partnership Agreement. In addition, the teaming arrangements must be identified, company relationships must be fully disclosed and respective responsibilities and method of work must be expressly stipulated. The joint venture or partnership agreement must include a full discussion of the relationship between the organizations, including identification of the organization, which will have responsibility for negotiation of Sub-awards under the resultant Contract, which organization will have accounting responsibility, how work will be allocated, and profit or fee, if any, shared. In addition, the principles to the joint venture or partnership agreement must agree to be jointly and severally liable for the acts or omissions of the other.

L.6.6 Evidence of Responsibility

The Offeror must submit sufficient evidence of responsibility for the Contracting Officer to make an affirmative determination of responsibility pursuant to the requirements of FAR Subsection 9.104-1. However, in the case of a small business Offeror, the Contracting Officer will comply with FAR 19.6. Accordingly, Offerors should thoroughly address each element of responsibility. To be determined responsible, a prospective Offeror must:

(a) Have adequate financial resources to perform the Contract, or the ability to obtain them (see FAR 9.104-3(a));

(b) Be able to comply with the required or proposed delivery or performance schedule, taking into consideration all existing commercial and governmental commitments;

(c) Have a satisfactory performance record (See FAR 9.104-3(b) and Subpart 42.15). A prospective Contractor shall not be determined responsible or non-responsible solely on the basis of a lack of relevant performance history,…