ATTACHMENT JL12 AWARD FEE PLAN.doc

JL 12

AWARD-FEE PLAN

FOR

GLOBAL CONTINGENCY CONSTRUCTION

MULTIPLE AWARD CONTRACT (GCC-MAC)

N62470-20-R-5003 (Remember, this plan should be tailored to your particular acquisition.

This template only provides an outline of what must be contained in an award-fee plan.)

APPROVED:

Fee Determining Official Acquisition Director

NAVFAC Atlantic Table of Contents Section Title

Page 1.0

Introduction

2.0

Organization

3.0

Responsibilities

4.0

Award-Fee Processes

5.0

Award-Fee Plan Change Procedure

6.0

Contract Termination

Annexes

Annex

Title

Page

Evaluation Criteria

Award Fee Conversion Chart

AWARD-FEE PLAN

1.0

INTRODUCTION

The Global Contingency Construction Multiple Award Contract (GCC-MAC) is an Indefinite Delivery/Indefinite Quantity (IDIQ) contract with the provision for either cost plus award fee or firm fixed price task orders. This plan covers the administration of the award fee provisions for N62470-20-R-5003 GCC-MAC for cost plus award fee orders only. The value of the contract is estimated at a ceiling of $5,000,000,000. The contract period of performance is twelve months from the date of contract award with seven twelve-month option periods, not to exceed 96 months. The minimum guarantee for the contract will be satisfied by issuance of the initial contract task order. The maximum award fee shall not exceed 10% of estimated cost of performance.

This award-fee plan is the basis for the Global Contingency Construction Contract evaluation of the contractor's performance and for presenting an assessment of that performance to the Fee Determining Official (FDO). It describes specific criteria and procedures used to assess the contractor’s performance under Cost-Plus Award Fee (CPAF) Contract Task Orders (CTO) and to determine the amount of award fee earned. Award fee determinations will be made unilaterally by the FDO, in accordance with the Award Fee Plan and the recommendations of the Award-Fee Board. Award fee determinations and the methodology for determining award fee are unilateral decisions made solely at the discretion of the Government. Award-fee determinations are not subject to the Disputes clause of the contract.

Earned award fee will be provided to the contractor through contract modifications and is in addition to the cost reimbursement provisions of the contract. The award fee earned and payable will be determined by the FDO based upon review of the contractor’s performance against the criteria set forth in this plan. The FDO may unilaterally change this plan prior to the beginning of an evaluation period. The contractor will be notified of changes to the plan by the Contracting Officer, in writing, before the start of the affected evaluation period. Changes to the plan that are applicable to a current evaluation period will be incorporated by mutual consent of both parties.

2.0

ORGANIZATION

The award-fee organization consists of: the Fee Determining Official (FDO); an Award Fee Evaluation Board (AFEB). The AFEB consists of a chairperson, the Contracting Officer, other functional area participants, and the Contracting Officer Representative (COR) for the Contract.

(Remember, performance monitors are prohibited from being AFRB mem 3.0

RESPONSIBILITIES

a.

Fee Determining Official. The FDO approves the award-fee plan and any significant changes. The FDO reviews the recommendation(s) of the AFEB, considers all pertinent data, and determines the earned award-fee amount for each evaluation period, notifies the Contractor in writing of the decision, or returns the AFEB report for reconsideration.

b.

Award-Fee Evaluation Board. The AFEB will be composed of key officials from NAVFAC Atlantic. They will review: the evaluations submitted by the Contract COR; Contract Task Order (CTO) CORs; the Contractor’s self-evaluation if applicable; other sources of information deemed pertinent; and proposed changes to the Award Fee Determination Plan. The Contracting Officer will set up the evaluation meeting in conjunction with the AFEB Chairperson. The AFEB will prepare and forward a report summarizing its findings with a recommendation award fee amount and proposed changes to the Award Fee Plan, if applicable to the Fee Determining Official.

The AFEB will evaluate the Contractor’s overall CTO performance and determine the percentage of award fee earned by taking into consideration the following: (1) CTO ratings; (2) narratives presented by the CORs in support of CTOs ratings; and (3) any other relevant factors not taken into consideration.

c.

Contracting Officer. The Contracting Officer is the liaison between contractor and Government personnel. The Contracting Officer is responsible for coordinating the administrative actions required by the COR, the AFEB and the FDO, including: l) receipt, processing and distribution of evaluation reports from all required sources; 2) scheduling and assisting with internal evaluation milestones, such as briefings; and 3) accomplishing other actions required to ensure the smooth operation of the award fee.

d.

CORs. The Contract COR is appointed by the Administrative Contracting Officer (ACO). The COR is selected on the basis of his/her technical expertise relative to the prescribed CTO requirements. CORs maintain written records of the contractor's performance in their assigned evaluation area(s). The Contract COR obtains ratings from the CTO CORs so that fair and accurate evaluations are obtained. Using the CTO COR’s input along with the Contract COR’s written records; the Contract COR prepares and submits to the Contracting Officer end-of-period evaluation reports as directed by the AFEB.

4.0 AWARD-FEE PROCESSES (Detail the process used for your acquisition; e.g., interim evaluation periods may or may not be in your acquisition; you have some flexibility in establishing the timetable for certain events; contractor’s self-assessments may or may not be used, etc.)

a. Award Fee Administration will be retained by NAVFAC Atlantic.

b. Estimated Award- Fee Pool. In order to ensure the appropriate award fee is distributed over all evaluation periods, at least 40% of the potential award fee must be available for the final evaluation. Once the final evaluation has been completed, no less than 10% of the available award fee will be retained. Upon receipt of all required interim close-out paperwork the retained fee will be released to the Contractor. Each task order will contain a maximum award fee, which will be established by multiplying the total contract cost (less travel, Contractor –Acquired Property, FCCOM, award fee on cost reimbursable subcontractor’s cost at any tier, direct charged taxes, and JV fees/mark-ups) by the award fee percentage proposed for that task order, not to exceed the award fee ceiling rate proposed on Attachment JL.5. (See Section G11-Award Fee Calculation and Payment of the contract.) The actual award fee percentage will be determined by the terms of the contract award.

The amount of the award fee pool measured for each task order may be adjusted due to scope changes and is subject to the Contracting Officer’s approval.

c. Available Award-Fee Amount. The available award fee is established by setting aside a pool relating to the amount of the negotiated estimated cost for each cost reimbursement CTO. The award fee earned will be paid based on each of the contractor’s performance during each evaluation period. The amount of the award fee pool measured for each task order may be adjusted due to scope changes and is subject to the Contracting Officer’s approval. (If you don’t want to use an annex, insert table/graph/etc. for guidance in determining the relationship between evaluation points and various grades her The award fee pool will not be adjusted for cost overruns. The maximum award fee that will be made available is 90% prior to the physical/technical completion of the CTO. Upon receipt of all required interim close-out information, the remaining award fee will be included in the next rating period. Unearned award fee is not carried over to the next evaluation period and is permanently lost.

d. Evaluation Periods. The first award fee evaluation period will occur six months after the effective date of the contract and every six months thereafter. Award fee evaluations will be performed on six month intervals. When TOs are not complete within an evaluation period, the Government shall develop a percentage of work complete to establish corresponding percentage of available fee. In order for a CTO to be evaluated at 100%, the contractor must have submitted interim closeout paperwork. However, the Contractor may also submit a CTO for 100% evaluation if it is essentially technically complete with only a few minor items and/or closeout to finalize. In such cases, 10% of the award fee will be retained until the Contractor submits closeout paperwork. Upon receipt of the closeout paperwork, the Contracting Officer will release the retained fee for invoicing.

e. Evaluation Criteria. If the Contracting Officer does not give specific notice in writing to the Contractor of any change to the evaluation criteria prior to the start of a new evaluation period, then the same criteria listed for the preceding period will be used in the subsequent award-fee evaluation period. Any changes to evaluation criteria or the conversion table will be made by revising the Award Fee Plan and notifying each of the contractors.

f. End-of-Period Evaluations. COR or Task order COR’s submit their evaluation reports to the AFEB two weeks after the end of the evaluation period. The AFEB prepares its evaluation report and recommendation of earned award fee. The AFEB briefs the evaluation report and recommendation to the FDO. At this time, the AFEB may also recommend any significant changes to the award-fee plan for the next period for FDO approval. The FDO determines the overall grade and earned award-fee amount for the evaluation period within 60 , but no more than calendar days after each evaluation period. The FDO letter informs the contractor of the earned award-fee amount. The Contracting Officer issues a contract modification within 5 calendar days after the FDO’s decision is made authorizing payment of the earned-award-fee amount.

g. Contractor’s Self-Assessment. When the contractor chooses to submit a self-evaluation report, it must be submitted to the Contracting Officer no later than two weeks from the end of the evaluation period. This written assessment of the Contractor’s performance throughout the evaluation period may also contain any information that may be reasonably expected to assist the AFEB in evaluating the Contractor’s performance. It is highly recommended that the Contractor follow the Award Fee Plan criteria in conducting and presenting their self-assessment, and include how they rate themselves on their performance for the period. Costs associated with self-assessment effort will not be reimbursed under this contract.

h. Unearned Award Fee. All unearned award fee will be de-obligated from each task order by task order modification once the CTO is 100% complete.

5.0

AWARD-FEE PLAN CHANGE PROCEDURE

All significant changes are approved by the FDO; the AFEB Chairperson approves other changes. Examples of significant changes include changing evaluation criteria, adjusting weights to redirect contractor’s emphasis to areas needing improvement, and revising the distribution of the award-fee dollars. After approval, the Contracting Officer shall notify the contractor in writing of any change(s). Unilateral changes may be made to the award-fee plan if the contractor is provided written notification by the Contracting Officer before the start of the upcoming evaluation period. Changes effecting the current evaluation period must be by mutual agreement of both parties (contractor and Government).

6.0

CONTRACT TERMINATION

If the contract is terminated for the convenience of the Government after the start of an award-fee evaluation period, the award fee deemed earned for that period shall be determined by the FDO using the normal award-fee evaluation process. After termination for convenience, the remaining award-fee amounts allocated to all subsequent award-fee evaluation periods cannot be earned by the contractor and, therefore, shall not be paid.

Annexes

1. Evaluation Criteria

2. Award Fee Conversion Chart

ANNEX 1

EVALUATION CRITERIA

1. (See Annex E, Samples Award-Fee Plan Criteria, for examples.)In order to evaluate the contractor’s performance, four evaluation factors were developed. This section highlights these components of the plan by defining each of the performance evaluation factors and weights.

Factor No Description

Weight

1.

Contract Management 20%

2.

Cost Control 30%

3.

Schedule 25%

4.

Technical Performance 25%

100%

2. Ratings and Score:

a. Rating guidelines for each of the performance factors are provided in this Annex 1 to establish a uniform system of evaluating performance for each of the criteria.

b. The rating for each performance factor will be multiplied by its above area weight (%) and then totaled with all other factors to determine the overall performance points. The score resulting from the aggregate total of all four factors will be applied to the Award Fee Conversion Chart in Annex 2 to determine the percentage of available award fee earned.

3. Award Fee Evaluation Factors:

CONTRACT MANAGEMENT

UNSATISFACTORY

Contractor has failed to meet overall contract management requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 0%

1. No clear lines of authority or effective communication with Government, other agencies, and associate contractors.

2. Contractor fails to adhere to cost accounting principles including interim closeout procedures

3. Contractor fails to comply with contract requirements (frequency and severity of incidents of noncompliance or need for Government directed corrections of the Contractor’s financial and management systems)

4. Contractor’s purchasing system is ineffective.

5. Contactor fails to adequately comply with FAR Subpart 30.2 “CAS Program Requirements”

6. Contractor fails to maintain adequate cost accounting system

7. Contractor fails to be responsive to NAVFAC requirements (phone calls returned within one working day and written responses within the time period specified).

8. Contractor fails to manage surges in workload

9. Contractor fails to manage many ongoing TOs simultaneously

10. Contractor does not provide regularity and effective support/communications with NAVFAC personnel

11. Contractor does not employ effective use of resources

12. Contractor home and field offices ineffective in providing quality control and manage an effective Health and Safety Program

13. Contractor lacks overall effectiveness of personnel performing work

SATISFACTORY

Contractor has met overall contract management requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned No Greater than 50%

1. Contractor establishes clear lines of authority and provides effective communication with Government, other agencies, and associate contractors. Minimal programmatic or technical impacts experienced because of communication problems.

2. Contractor implements management control systems that provide for identification of problems to the appropriate management level. Contractor clearly defines problems with factual supporting information and rationale.

3. Responsive to Government in supporting contract and technical issues. Contractor provides timely, logical response to Government concerns.

4. Contractor adheres to cost accounting principles including interim closeout procedures

5. Contractor complies with contract requirements (frequency and severity of incidents of noncompliance or need for Government directed corrections of the Contractor’s financial and management systems)

6. Contractor’s purchasing system is satisfactorily effective.

7. Contactor adequately complies with FAR Subpart 30.2 “CAS Program Requirements”

8. Contractor maintains adequate cost accounting system

9. Contractor is satisfactorily responsive to NAVFAC requirements (phone calls returned within one working day and written responses within the time period specified).

10. Contractor satisfactorily manages surges in workload

11. Contractor satisfactorily manages many ongoing TOs simultaneously

12. Regularity and effectiveness of support/communications with NAVFAC personnel is satisfactory

13. Effective use of resources is satisfactory

14. Effectiveness of home and field offices to provide quality control and manage an effective Health and Safety Program is satisfactory

15. Overall effectiveness of personnel performing work is satisfactory

GOOD

Contractor has exceeded some of the significant award-fee criteria and has met overall contract management requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 51% - 75%

1. Contractor makes decisions and recommendations that demonstrate sensitivity to the cost-effectiveness and efficiency of the contract.

2. Contractor provides pertinent planning data to Government management.

3. Contractor provides efficient management and control over contact/task order resources.

4. Management initiates and promotes strong two-way communication with Government counterparts and associate contractors. Contractor seeks continual interaction with Government representatives on contract status, goals, and objectives. Contractor coordinates with the Government to ensure contractor interpretation of contract tasking is correct. Takes the initiative to see that all relevant personnel are kept informed.

5. Management identifies problems, causes and solutions that have a potential for impact on contact task order cost, schedule or performance. Solutions minimize impacts and life cycle costs. Contractor implements an effective program to identify and resolve internal problems that adversely affect contractor's performance in meeting Government needs. Contractor takes corrective action to minimize impacts.

6. Contractor provides adequate staffing levels and selection of personnel for contract task orders to proceed smoothly.

7. Responsive to Government technical and business management requests, such as Requests for Proposals, cost/schedule reporting, and forecast information. Contractor responds effectively to directed changes accomplishing procurement actions on a timely basis within the constraints of the contractor's system and in a cost effective manner.

8. Contractor identifies open items and risk resolution alternatives and defines preferred solutions. Contractor provides comprehensive status of open items and risk items at management level and provides results to the Government. Takes the initiative in coordinating scheduled meetings and reviews and responds quickly to action items and questions.

9. Contractor adheres to cost accounting principles including interim closeout procedures

10. Contractor complies with contract requirements (frequency and severity of incidents of noncompliance or need for Government directed corrections of the Contractor’s financial and management systems)

11. Contractor’s purchasing system is effective.

12. Contactor adequately complies with FAR Subpart 30.2 “CAS Program Requirements”

13. Contractor maintains adequate cost accounting system

14. Contractor’s responsiveness to NAVFAC requirements (phone calls returned within one working day and written responses within the time period specified) is good.

15. Contractor Management of surges in workload

16. Management of many ongoing TOs simultaneously

17. Regularity and effectiveness of support/communications with NAVFAC personnel

18. Effective use of resources

19. Effectiveness of home and field offices to provide quality control and manage an effective Health and Safety Program

20. Overall effectiveness of personnel performing work

VERY GOOD

Contractor has exceeded many of the significant award-fee criteria and has met management requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 76% - 90%

1. Contractor plays a key role in identifying issues and recommendations for contract improvements. Contractor anticipates new requirements and incorporates them well before critical need dates, thereby avoiding unnecessary work. Contractor accommodates changing schedules, program activities, and associate contractors with minimal impact to the overall program. Contractor makes decisions and recommendations that demonstrate a high level of sensitivity to identifying cost-avoidance opportunities that could reduce overall program costs. Contractor demonstrates positive management control over program resources; minimizes conflicts with allocation of corporate resources to other programs. Design, development, and production activities provide for increased performance, reliability, maintainability, and supportability without additional cost or risk.

2. Contractor demonstrates strong leadership through effective internal communications. Inter-organization coordination and planning are exploited to the maximum. Contractor ensures the Government is informed of all upcoming decisions that will potentially impact schedule, technical performance, and/or cost. Early coordination with Government management to keep the Government informed of problem developments, schedule changes, and required decision points.

3. Contractor demonstrates initiative and foresight in planning for potential problems, analyzing program impact, resolving program problems and instituting prompt corrective actions. Contractor's positive management control over problem areas results in early problem resolution and minimal program impacts. Proposed solutions require little revision or Government intervention and consider life cycle costs. Contractor anticipates most associate contractor's potential problem areas and provides alternative resolutions that clearly consider and identify impact to schedule and cost to all parties.

4. Contractor continuously reviews labor resource allocations in order to minimize labor usage, while maintaining adequate staffing levels to maintain schedule, an acceptable quality of work, and maximum productivity. Contractor provides visibility to Government of resource concerns and solutions.

5. Contractor maintains a complete and comprehensive discrepancy tracking system and provides easy access to the Government. Contractor maintains vigorous, formal control over tests, discrepancies, reporting, technical evaluation, and closure disposition.

6. Contractor adheres to cost accounting principles including interim closeout procedures

7. Contractor complies with contract requirements (frequency and severity of incidents of noncompliance or need for Government directed corrections of the Contractor’s financial and management systems)

8. Contractor’s purchasing system is very effective.

9. Contactor adequately complies with FAR Subpart 30.2 “CAS Program Requirements”

10. Contractor maintains adequate cost accounting system

11. Contractors’ responsiveness to NAVFAC requirements (phone calls returned within one working day and written responses within the time period specified) is good.

12. Management of surges in workload

13. Management of many ongoing TOs simultaneously

14. Regularity and effectiveness of day-to-day support/communications with NAVFAC personnel

15. Effective use of resources

16. Suitability of staffing, recruiting, and training of personnel

17. Effectiveness of home and field offices to provide quality control and manage an effective Health and Safety Program

18. Overall effectiveness of personnel performing work

EXCELLENT

Contractor has exceeded almost all of the significant award-fee criteria and has met contract management of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 91% - 100%

1. Management demonstrates the highest degree of foresight into program planning, depth of analysis, accomplishment of tasks, advance identification of problems and problem resolution, integrating total program concept and a comprehensive management approach. Critical milestones are planned as early as possible to provide for maximum program contingency time. Many milestones are met early, to the benefit of the program, with no adverse effect on performance, schedule, cost, or risk. Contractor demonstrates a concern for the correct understanding of contract tasking and cost growth avoidance, and is responsive to the changing nature and levels of work.

2. Contractor develops an effective, efficient contractor team that reflects strong, open lines of communication. Improvements to the planned program result from high quality communication with Government and other external focal points with no program impacts attributed to poor communication. Contractor maintains complete and effective coordination and liaison with Government counterparts and other contractors. Contractor independently supports program activities in a consistent and cooperative mode.

3. Contractor demonstrates initiative in planning, analyzing, and assessing the total impact of potential problems. Contractor identifies high-risk/problem areas early, plans alternative/parallel courses of action, and keeps the Government well informed of developments. Life cycle costs are minimized by problem solutions.

4. Contractor demonstrates to the Government how net reduction in labor loading and overtime will be effected and how these reductions will produce cost and schedule savings to the program without degrading performance. Contractor's team consists of highly qualified and motivated personnel, with an emphasis on productivity. Contractor minimizes changes of key individuals.

5. Contractor demonstrates initiative in support of the Government by taking a leadership role in identifying issues and providing significant, timely recommendations and actions for program improvements.

6. Contractor adheres to cost accounting principles including interim closeout procedures

7. Contractor complies with contract requirements (frequency and severity of incidents of noncompliance or need for Government directed corrections of the Contractor’s financial and management systems.

8. Contractor’s purchasing system is highly effective.

9. Contactor adequately complies with FAR Subpart 30.2 “CAS Program Requirements”

10. Contractor maintains adequate cost accounting system

11. Contractor is responsive to NAVFAC requirements (phone calls returned within one working day and written responses within the time period specified).

12. Management of surges in workload

13. Management of many ongoing TOs simultaneously

14. Regularity and effectiveness of support/communications with NAVFAC personnel

15. Effective use of resources

16. Suitability of staffing, recruiting, and training of personnel

17. Effectiveness of home and field offices to provide quality control and manage an effective Health and Safety Program

18. Overall effectiveness of personnel performing work

COST CONTROL

UNSATISFACTORY

Contractor has failed to meet overall cost requirements of the contract in the aggregate as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 0%

1. Cost reports are unclear and not easily reconcilable to a common data base.

2. Funds requirements data are not received timely.

3. Cost variances (including subcontractor) are not identified early.

4. Contractor does not ensure all proposal data, including subcontractor data, is adequate for technical review and cost analysis.

5. Contractor fails to notify the Government prior to reaching 75% of the negotiated target cost.

6. Contractor fails to provide accurate and timely cost proposals/change proposals

SATISFACTORY

Contractor has met overall cost requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned No Greater than 50%

1. All cost reports are clear and reconcile to a common data base.

2. Funds requirements data are projected accurately and clearly and are received timely.

3. Cost variances (including subcontractor) are identified early and plans for recovery revised, reported, and implemented.

4. Contractor ensures all proposal data, including subcontractor data, is adequate for technical review and cost analysis.

5. Changes are suggested timely to achieve maximum cost savings when implemented.

6. Contractor notifies the Government prior to reaching 75% of the negotiated target cost.

7. Contractor provides timely and accurate cost proposals/change proposals

GOOD

Contractor has exceeded some of the significant award-fee criteria and has met overall cost requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 51% - 75%

1. Cost reports are submitted with full traceability within and between reports. Adjustments are fully and clearly explained.

2. All requirements for additional funding are thoroughly documented and justified.

3. Contractor takes measures to avoid cost growth. Corrective actions are briefed to the Government and are generally accepted without changes.

4. Cost data is consistent and logical and based on program requirements. Contractor recognizes where cost growth may be occurring and provides timely and well-documented justification of actual problems that would require application of additional resources.

5. Cost proposals are well organized and provide visibility to the Government.

6. Contractor notifies the Government prior to reaching 75% of the negotiated target cost.

VERY GOOD

Contractor has exceeded many of the significant award-fee criteria and has met overall cost requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 76% - 90%

1. Funds requirements reflect constant scrutiny to ensure accuracy.

2. Cost savings are considered and reported in change proposals.

3. Contractor prepares and develops graphic program cost data that provides clear Government visibility into current and forecast program costs. Variances recovered without serious impact to technical or schedule goals when recovery plans are implemented.

4. Contractor performs necessary contingency planning and keeps close and timely communication with the Government on cost and issues.

5. Baseline integrity is consistently maintained, and all changes are fully documented. Narratives explaining data variances (cost at completion) are current, explicit, and relevant to the variances observed. They are fully accurate and a consistent indication of the program development. Narratives address anticipated future program impacts and fully describe both current and future programmatic and cost impacts of the current cost performance.

6. Cost expenditure/milestone tracking and projections are very accurate and reflect true program status.

7. Contractor notifies the Government prior to reaching 75% of the negotiated target cost.

8. Cost proposals are well organized and provide visibility to the Government.

EXCELLENT

Contractor has exceeded almost all of the significant award-fee criteria and has met overall cost requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 91% - 100%

1. Contractor consistently submits high quality cost and schedule forecasts. Contractor prepares and develops comprehensive, clear schedule data that provides excellent correlation with cost performance reports and permits early identification of problem areas.

2. Funds requirements data and projections reported are extremely accurate and received ahead of schedule.

3. Change proposals stand alone and require no iteration for Government understanding.

4. Cost variances are fully explained and recovered without impact to overall program goals.

5. Contractor consistently anticipates possible sources of cost growth and seeks ways to avoid potential cost problems. Contractor proposes innovative and thoroughly cost-effective approaches to problems with which the Government agrees.

6. Cost management system automatically identifies problem areas and implements solutions to maintain cost and staff growth levels below the negotiated levels. No support or redirection required by the Government to control cost growth.

7. Contractor notifies the Government prior to reaching 75% of the negotiated target cost.

8. Cost proposals are well organized and provide visibility to the Government.

SCHEDULE

UNSATISFACTORY

Contractor has failed to meet overall schedule requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 0%

1. Schedule reports are unclear and not easily reconcilable to a common data base.

2. Schedule variances (including subcontractor) are not identified early.

3. Contractor does not ensure all proposal data, including subcontractor data, is adequate for technical review and cost analysis.

4. Contractor does not meet schedule identified in the contract.

SATISFACTORY

Contractor has met overall schedule requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned No Greater than 50%

1. Schedule reports are clear and reconcile to a common data base.

2. Cost and schedule variances (including subcontractor) are identified early and plans for recovery revised, reported, and implemented.

3. Contractor ensures all proposal data, including subcontractor data, is adequate for technical review.

4. Changes are suggested timely to achieve maximum schedule improvements when implemented.

5. Schedule milestone tracking and projections are accurate with only minor impacts occurring.

6. Contractor meets schedule identified in the contract.

GOOD

Contractor has exceeded some of the significant award-fee criteria and has met overall schedule requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 51% - 75%

1. Schedule adjustments are fully and clearly explained.

2. Contractor takes measures to avoid schedule growth. Corrective actions are briefed to the Government and are generally accepted without changes.

3. Schedule data is consistent and logical and based on program requirements. Contractor recognizes where schedule growth may be occurring and provides timely and well-documented justification of actual problems that would require application of additional resources.

4. Risk analyses of all proposed or required schedule changes, including the impact on all levels of the program, performed accurately and timely. Contractor employs early corrective action and planning to preclude potential delays in the schedule. Contractor communicates schedule risk areas and proposed action to the Government well in advance of required action.

5. Contractor plans, develops and executes procedures that meet the existing timetable.

VERY GOOD

Contractor has exceeded many of the significant award-fee criteria and has met overall schedule, requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 76% - 90%

1. Schedule requirements reflect constant scrutiny to ensure timeliness.

2. Contractor prepares and develops graphic program schedule data that provides clear Government visibility into current and forecast program schedules. Schedule variances are well explained and recovered with minor impact to overall program goals.

3. Contractor performs necessary contingency planning and keeps close and timely communication with the Government on schedule issues.

4. Baseline integrity is consistently maintained, and all changes are fully documented. Narratives explaining data variances (schedule at completion) are current, explicit, and relevant to the variances observed. They are fully accurate and a consistent indication of the program development. Narratives address anticipated future program impacts and fully describe both current and future programmatic impacts of the current schedule performance.

5. Schedule milestone tracking and projections are very accurate and reflect true program status.

6. Plans, develops and executes viable procedures that incorporate the flexibility necessary to be responsive to changing priorities and schedules without adversely effecting overall project cost and completion schedule. Contractor executes innovative resource management and planning to minimize the adverse impact on the program of any scheduled slip.

7. Contractor is ahead of schedule with no adverse effect on cost or performance.

EXCELLENT

Contractor has exceeded almost all of the significant award-fee criteria and has met overall schedule requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 91% - 100%

1. Contractor consistently submits high quality schedule forecasts. Contractor prepares and develops comprehensive, clear schedule data that provides excellent correlation with cost performance reports and permits early identification of problem areas.

2. Schedule requirements data and projections reported are extremely accurate and received ahead of schedule.

3. Schedule variances are fully explained and recovered without impact to overall program goals.

4. Contractor consistently anticipates possible sources of schedule growth and seeks ways to avoid potential schedule problems. Contractor proposes innovative and thoroughly cost-effective approaches to problems with which the Government agrees.

5. Schedule management system automatically identifies problem areas and implements solutions to maintain schedule within the negotiated time line. No support or redirection required by the Government to control schedule growth.

6. Contractor plans, develops and executes procedures that allow completion of major milestones ahead of schedule with no adverse impact on coordination, performance or cost and which cause the accrual of benefits to the program.

7. Schedule milestone tracking and projections are extremely accurate and prevent program impact.

TECHNICAL PERFORMANCE

UNSATISFACTORY

Contractor has failed to meet overall technical performance requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 0%

1. Site-specific Quality Control Program Plans are incomplete, contain inaccuracies and/or fail to comply with the contract level Quality Control Program Plans. Deficiencies adversely impact on the contractor's ability to complete tasks resulting in project delays and increased costs to the Government.

2. Technical/periodic reports and other deliverable data are not submitted in accordance with the Contract Requirements and are in formats not easily understood.

3. Discrepancies are major and require extensive time and effort to correct.

4. Shop submittals and drawings do not meet specifications. Deficiencies impact schedule and cost.

5. Proposals are submitted late, are sometimes unacceptable and the change process does not proceed without adverse impacts to estimated cost and schedule.

6. Contractor leaves questionable situations for Government to resolve.

7. Contractor tends to follow past practices with no variation to meet requirements of the current contract.

8. Contractor maintains indifferent liaison with subcontractor, vendors, and Government.

9. Constant surveillance required to keep job from slipping.

SATISFACTORY

Contractor has met overall technical performance requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned No Greater than 50%

1. Site specific Quality Control Program Plans are generally complete, accurate and comply with the contract level approved Quality Control Program Plans. Deficiencies are minor with limited adverse impact to construction schedule and estimated cost.

2. Meets all project major milestones as established in the Critical Path Method (CPM) schedule subject to those actions considered to be within the control of the contractor. Schedule updates are coordinated with all participants. CPM schedule is submitted on time. Critical tasks are easily identified.

3. All technical/periodic reports and other deliverable data are submitted in accordance with the Contract Requirements and are in a format that is easily understood. Discrepancies are minor with limited adverse impact to the construction schedule/estimated cost and easily corrected.

4. Shop submittals and drawings are accurate, complete and meet Quality Program Plans requirements and specifications. Deficiencies are minor with minimal impact to schedule and estimated cost. Corrections are made as required.

5. Acceptable proposals are submitted timely, and the change process proceeds with no adverse impacts to estimated cost and schedule.

6. Contractor identifies questionable situations and relies on Government assistance to resolve.

7. Contractor varies practices to meet requirements of the current contract.

8. Contractor maintains liaison with subcontractor, vendors, and Government to meet contract requirements.

GOOD

Contractor has exceeded some of the significant award-fee criteria and has met overall technical performance requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 51% - 75% 1.

Site specific Quality Control Program Plans are complete, accurate and exceed some elements of the contract level approved Quality Control Program Plans. Deficiencies are minor with limited adverse impact to construction schedule and estimated cost.

2.

Meets all and exceeds some project major milestones as established in the Critical Path Method (CPM) schedule subject to those actions considered to be within the control of the contractor. Schedule updates are coordinated with all participants. CPM schedule is submitted on time. Critical tasks are easily identified.

3.

All technical/periodic reports and other deliverable data are submitted in accordance with, and exceed some of the Contract Data Requirements and are in a format that is easily understood. Discrepancies are minor and easily corrected.

4.

Shop submittals and drawings are accurate, complete and meet or exceed some Quality Program Plans requirements and specifications. Deficiencies are minor with minimal impact to schedule and estimated cost. Corrections are made as required.

5.

Acceptable proposals are submitted timely, and the change process proceeds with no adverse impacts to estimated cost and schedule. Deficiencies noted in proposals are easily corrected.

6.

Contractor identifies and proposes workable solutions for questionable situations with limited Government assistance.

7.

Contractor strives to vary practices to exceed some requirements of the current contract.

8.

Contractor routinely engages with subcontractor, vendors, and Government resulting in exceeding some of the contract requirements.

VERY GOOD

Contractor has exceeded many of the significant award-fee criteria and has met overall cost, schedule, and technical performance requirements of the contract in the aggregate as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 76% - 90% 1.

Site specific Quality Control Program Plans are complete, accurate and exceed many of the elements in the contract level approved Quality Control Program Plans. Deficiencies are minor with no adverse impact to construction schedule and estimated cost.

2.

Meets all and exceeds many project major milestones as established in the Critical Path Method (CPM) schedule subject to those actions considered to be within the control of the contractor. Schedule updates are coordinated with all participants. CPM schedule is submitted on time or in advance. Critical tasks are easily identified.

3.

All technical/periodic reports and other deliverable data are submitted and exceed many of the Contract Data Requirements and are in a format that is easily understood. Contractor provides work complete with notes and thorough explanations for anticipated questionable areas. Discrepancies are minor, proactively addressed and corrected in a timely manner.

4.

Shop submittals and drawings are accurate, complete and exceed many Quality Program Plan requirements and specifications. Deficiencies are minor with no impact to schedule and estimated cost. Corrections are made in a timely manner.

5.

Proposals are submitted timely and are of high quality, and the change process proceeds with no adverse impacts to estimated cost and schedule. Proposals have minimal deficiencies that are easily correctable and do not impact cost or schedule.

6. Contractor identifies and provides quality, feasible solutions to questionable situations requiring limited, if any, Government assistance.

7.

Contractor proactively varies practices to exceed many requirements of the current contract.

8.

Contractor continuously engages with subcontractor, vendors, and Government resulting in exceeding many of the contract requirements.

EXCELLENT

Contractor has exceeded almost all of the significant award-fee criteria and has met overall technical performance requirements of the contract as defined and measured against the criteria in the award-fee plan for the award-fee evaluation period. Award-Fee Pool Available To Be Earned 91% - 100%

1. Site specific Quality Control Program Plans are complete, accurate and exceed compliance requirements of the contract-level-approved Quality Control Program Plans. Site-specific Quality Control Program Plan is approved when initially submitted.

2. Contractor exceeds all projects major and minor milestones as established in the CPM schedule subject to those actions considered to be within the control of the contractor. Schedule updates are coordinated with all participants. CPM schedule is submitted on time and no deficiencies noted. Critical tasks are easily identified.

3. All technical reports and other deliverable data are submitted well ahead of schedule. They far exceed the Contract Data Requirements and are submitted in a format that is complete, clear, concise, technically accurate and easily understood.

4. All shop submittals and drawings are accurate, complete and exceed specifications. No deficiencies are evidenced that impact schedule or estimated cost. Any corrections are very minor in nature and are expeditiously corrected.

5. High quality proposals are submitted timely, and the change process proceeds with no adverse impacts to estimated cost and schedule. No deficiencies, for completeness and accuracy, are noted in contractor proposal submittals.

6. Contractor identifies and proactively resolves questionable situations without Government assistance.

7.

Contractor seamlessly and effortlessly varies practices to exceed most requirements of the current contract.

8.

Contractor proactively engages with subcontractor, vendors, and Government resulting in exceeding most of the contract requirements.

ANNEX 4

AWARD FEE CONVERSION CHART

Earned Numerical Points

Adjective Rating Percentage of Avail. AF Pool

100 100

EXCELLENT

VERY GOOD

GOOD

SATISFACTORY

ETC

0 0

UNSATISFACTORY

i