2016-08-10_Vendors'_QA.docx

(1) In a “firm-fixed-price level-of-effort contract” with the BEP, how is the level of effort typically specified? Is it based on a unit of work or another measure?

Please refer to the Federal Acquisition Regulation, FAR 16.207 for a description, application, and limitations of a firm-fixed-price, level-of-effort term contract. Briefly, the contractor shall provide a specified level of effort, over a base period of 6 months for the investigation or study of mechanochromic materials as specified in the Statement of Objectives.

(2) If the contractor wishes to propose multiple unique approaches, is this better done through multiple SOWs—one for each unique approach—or one SOW, which outlines each of those unique approaches?

Multiple unique approaches can be outlined in just one SOW. The contractor shall describe whether these activities will run in parallel. The Contractor and the BEP will agree upon the desired level-of-effort regarding a selection of approaches to be pursued at the time of the award. However, the contractor may also choose to submit multiple, separate proposals describing different approaches.

(3) On a related topic, can multiple contracts be awarded based on one SOW? For example, if a SOW contains multiple unique approaches can a separate contract be awarded for each unique approach in the SOW?

Multiple contracts will only be required if we are making an award to multiple vendors. If there are multiple unique approaches, they may be enveloped in a single contract vehicle.

(4) Should the contractor outline both Phase 1 and Phase 2 for every unique approach? Different unique approaches may be at different levels of maturity. For example, for early phase unique approaches it might be very difficult to provide Phase 2 guidelines. Can Phase 2 guidelines be developed after the award of a contract and once Phase 1 has begun for a particular unique approach?

Contractor(s) should outline the work of the Phase that is best suited to the level of maturity of the proposed approach. It is understood that for early stage concepts of the technology, work can only be stated in general terms and outlining a Phase 2 might prove to be difficult. Nonetheless, contractor(s) should exercise their best efforts to address all the aspects of the SOO. For example, an early stage concept should be outlined within the scope of a Concept (Phase I). However, it is desirable that the contractor(s) will also provide a high level description of the project plan for later phases of the technology development.

(5) What is the “BEP’s Technology Development Process” referenced in the Statement of Objectives? More specifically, what is required to “demonstrate continuous improvement through the BEP’s Technology Development Process”?

The BEP’s Technology Development Process is a stage-gate review process. When a technology meets the milestones and exit criteria specified in Section 5.0, the technology may be recommended by an internal review panel to proceed to the next phase. Each phase of the requirement shall be treated as a separate entity, as such; it is not to be assumed that the follow-on phase will automatically be funded, as all actions are based on the availability of funds and the Government’s intent to exercise the options available.

(6) Section 3.2.3 of the draft Statement of Objectives refers to “predicted optical responses”. On what basis are these predictions to be made? Empirical, theoretical or another basis?

Predicted optical responses may refer to computational approaches to materials design and predictions supported by empirical data from scientific literature or prior work. However, to move forward, the material(s) in question would eventually need to exhibit predicted optical responses in the form of physical exemplars. More generally, a prediction would be in the form of a hypothesis to be tested, i.e., given empirical and/or theoretical results from the scientific literature and/or the respondent’s laboratory, the optical response will be “X”. The basis (and quantitative vs. qualitative nature) for a hypothesized optical response “X” is likely to vary depending on technological maturity. That is, a predicted optical response for Phase 1 work would likely be general, mostly qualitative, and rely primarily on scientific/patent literature; a predicted optical response for Phase 2 work would likely be more specific, mostly quantitative, and rely primarily on project data, and so on.

(7) Section 3.3 states “Feature exemplars shall be unique and not currently available for commercial use or being marketed to parties other than those of the USCP.” Who is the USCP?

The USCP is the United States Currency Program. For more information about the Federal Reserve Board and its partners visit: http://www.federalreserve.gov

(8) Section 3.3 references “the following characteristics.” Are these the characteristics referred to in 3.3.1 and 3.3.2? Are the characteristics in 3.3.2 mandatory? Are there any other characteristics? Are unique approaches that are only able to satisfy one set of optical characteristics (i.e., 3.3.1.2) of interest?

Yes, “the following characteristics” refer to those characteristics described in sections 3.3.1 and 3.3.2. The characteristics in 3.3.1 and 3.3.2 are NOT mandatory. Feature design may include but are not limited to the characteristics included in these sections.

(9) In section 5.0 it states “Due to the complexity of the materials in development and their potential for success, it may be necessary to perform this development from Phase 1 & 2 into latter phases of the Technology Development Process as determined by the BEP.” At what point would the BEP make this determination?

This requirement involves a Firm-Fixed-Price, Level-of-Effort Term Contract (FAR 16.207) for the investigation and study of pressure-activated materials that exhibit a reversible, color change response upon mechanical activation. A separate follow-on contract may be awarded for remaining phases of the technology development process if technical merit and early stage feasibility are established in the initial work.

(10) Section 5.0 mentions “individual material, effect response, and feature characteristic”. What are these and how do they relate to the unique approaches proposed by the contractor? Are two materials different “individual material[s]” if they have a different effect response or feature characteristic?

Those would two different materials would be unique, assuming they are both unique on their own. We view unique items as items that are not commercial available and are unique to that provider.

(11) In section 5.0 what is the “next phase of the Technology Development Process”?

This refers to the phases described in 5.0 through 5.6. Phase 1 (Concept) is described in 5.0, Phase 2 (Feasibility) is described in 5.1 to 5.5, and Phase 3 (Test & Optimization) is described in 5.6. Milestones are associated with moving from Phase 1 to Phase 2, etc.

(12) For section 5.3.1, what characteristics should the “experimental test apparatus” have? Would mechanical activation of the feature by a person suffice?

By the time a technology has advanced to Feasibility (Phase 2), it is expected that a non-subjective input/response measurement will have been devised or under development. It may vary depending on a specific technology; but for example, an experimental test apparatus might measure pressure applied to the feature vs. amount of color change (e.g. using some chromaticity or contrast scale).

(13) For section 5.3.2, what characteristics should the “support/application media” have?

Suitable characteristics will depend largely on the method of application. This feature might be applied to a paper banknote substrate using a polymer support, for example using hot stamping or cold foil transfer methods; or instead if the feature is compatible with printing inks it would be applied to paper substrate directly via intaglio or offset printing inks and presses. Another possibility is for a windowed thread material (likely polymer supported) incorporated during the paper finishing process.

(14) For section 5.4.1, what characteristics should the simulated banknote have? Is a simulation using standard paper (as opposed to banknote paper) acceptable? If the unique approach proposes a windowed thread, what characteristics should the simulated banknote have? If the unique approach proposes a surface applied feature, what characteristics should the simulated banknote have?

Although standard paper should be acceptable for feasibility studies, a preferred paper would be cotton based with a similar weight to banknote paper. Another element of a simulated banknote is size, e.g., banknote size test coupons suitable for testing in standard cash processing equipment.

(15) Should the SOW include a project plan for Phase 3?

Not required at this time.

(16) If a contractor believes that it will require external resources to complete aspects of the SOW (particularly for Phase 3) at which point should the contractor approach those external resources? Can the BEP assist with the identification of the appropriate external resources? If the contractor provides the optical feature can the BEP assist with the testing required for Phase 3?

The decisions about when and whether to approach external resources must be evaluated by the contractor alone. If external resources are only required for contract performance for Phase 3 (Test & Optimization) work, that would be far enough in the future that there is no general reason (known to the BEP) to approach such resources until such time, as the prospective primary contractor would be preparing a proposal for Phase 3 work following successful Phase 1 and Phase 2 contract performance. The BEP cannot assist in any way with identification of external resources. While the BEP may conduct its own testing and independent verification of the optical feature, it cannot participate in the research & development process by assisting with contractor testing of the optical feature. In certain situations, Government Furnished Equipment may be provided temporarily to the contractor, or suitable equipment may be included within the budget of the proposal.

(17) Which Contractor Tasks/Requirements correspond to which phase? For example does Phase 1 correspond to Contractor Tasks/Requirements 3.1 and 3.2? Does Phase 2 correspond to Contractor Tasks/Requirements 3.3-3.4?

The Contractor Tasks/Requirements are grouped based on subject matter topics, unlike Milestones, which are in approximate chronological order. In general terms, the tasks/requirements in 3.1 and 3.2 correspond to work within the scope of Concept (Phase I). Sections 3.3 and 3.4 correspond to work within the scope of a Feasibility Phase. However, section 3.1 contains subsections about durability and scalability, which are mostly important for Phase 3. Section 3.2 describes characteristics that are always relevant for Phases 1, 2, and 3, and so on.

(18) Page 6 of the draft SOO refers to “the Government’s needs”. Are these the requirements outlined in the SOO? Are there additional needs not outlined in the SOO? If so, could you please provide these?

The statement of objectives (SOO) provides the government’s overall objectives and performance requirements for this solicitation. Given the lack of precedence of a mechanochromic feature on a banknote, work can only be described in general terms. During the R&D work under the anticipated contract, it is expected that the SOW as well as the requirements for this specific feature will evolve.

(19) The contractor’s milestone schedule and staffing plan may vary depending on the number of unique approaches proposed by the contractor that the BEP elects to pursue. If this is the case, is it sufficient for the contractor to indicate the incremental time and staffing required for each unique approach, as opposed to setting specific overall milestones and staffing?

The contractor, being the subject matter expert, will need to propose the most viable, cost-saving option, to the Government. If the contractor sees fit to propose an incremental time and staffing proposal to the Government, this proposed approach will be evaluated, according to the evaluation criteria, and determined to be suitable. A contractor is also not limited to providing multiple approaches or methodologies, as long as it meets the proposal guidelines provided within the solicitation.

(20) Regarding Attachment E: Laundry rating scale: consisting of notes with the varying degrees of laundry degradation of assigned numerical values from 0 to 6 for $1, exhibiting various degrees of ink loss. Will that be provided by the BEP or is this part of M&S? If M&S, is there a particular vendor you would recommend?rec.?

The laundry test is conducted in-house and the BEP does not provide the laundry rating scale. The standard test methods, such as Attachment E, have been provided as future references. Technologies proposed within the scope of a Concept Phase are not expected to meet all the standards provided, given the expected level of readiness of materials during the Concept Phase. However, further development of technologies shall meet the desired performance to be successfully integrated into a banknote.

(21) Are companies from foreign countries excluded from providing a proposal for this solicitation?

Companies from foreign nations are encouraged to participate in solicitations involving the U.S. Government. These companies however, shall abide by the same requirements as American companies as it relates to registering to do business with the U.S. Government. These interested companies must register in the System for Award Management (SAM), and must not be on the list of Prohibited Sources, as outlined in Federal Acquisition Regulations (FAR) Part 25.7.

(22) Foreign companies whose employees are not U.S. citizens, will they be prevented from having a background check accomplished, and will being a non-citizen prevent them from passing the background check?

Foreign nationals are allowed to work on contracts for the U.S. Government. They will also have background checks accomplished, based on the level of access required for the contract performance. The ability to pass a background check will be based on the information presented in aforementioned check. If there are questionable bits of information disclosed, then that employee may be ineligible to perform under the terms of the contract. It would be encouraged to have suitable candidates for each required position, as well as suitable replacements, in the event of an unfavorable background check.

(23) Provision 52.204-7 is included in the solicitation, so I believe that paragraph 52.204-8(d) applies. Does this mean that for the purposes of this solicitation, it is sufficient for offerors to complete the annual representations and certifications via the SAM website? Do the Small Business Program Representations (52.219-1) have to be completed, in addition to the annual representations and certifications via the SAM website?

The Small Business Program Representations, as well as the SAM registration, will need to be completed in order to be properly registered to do business with the U.S. Government.

(24) Are companies with fewer than 1,000 employees exempt from preparing a Small Business Subcontracting Plan, as outlined in L8?

As stated in section L.8, this requirement is not applicable to small businesses. The determination on whether your business is small, or not, is not made solely based upon the number of employees in all instances. This determination is actually made by the U.S. Government’s Small Business Administration. Once you have registered in SAM, and have an established NAICS code, there is then a size standard associated with that code. Based on that size standard, you can then estimate whether your company is considered a Small Business.