BEP-RFP-16-0463.pdf

SOLICITATION, OFFER AND AWARD 1. THIS CONTRACT IS A RATED ORDER

UNDER DPAS (15 CFR 7900)

RATING PAGE OF PAGES

2. CONTRACT NUMBER 3. SOLICITATION NUMBER 4. TYPE OF SOLICITATION 5. DATE ISSUED 6. REQUISITION/PURCHASE NUMBER

CODE7. ISSUED BY 8. ADDRESS OFFER TO (If other than item 7)

NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid" and "bidder".

SOLICITATION

9. Sealed offers in original and copies for furnishings the supplies or services in the Schedule will be received at the place specified in item 8, or if hand carried, in the depository located in until local time

CAUTION - LATE Submissions, Modifications, and Withdrawals: See Section L, Provision No. 52.214-7 or 52.215-1. All offers are subject to all terms and conditions contained in this solicitation.

10. FOR

INFORMATION

CALL:

A. NAME B. TELEPHONE (NO COLLECT CALLS)

AREA CODE NUMBER EXTENSION

C. E-MAIL ADDRESS

11. TABLE OF CONTENTS

(X) SEC. DESCRIPTION PAGE(S) (X) SEC. PAGE(S)DESCRIPTION

A B C D E F G H

I

J

K

L

M EVALUATION FACTORS FOR AWARD

INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS

REPRESENTATIONS, CERTIFICATIONS AND OTHER

STATEMENTS OF OFFERORS

PART IV - REPRESENTATIONS AND INSTRUCTIONS

LIST OF ATTACHMENTS

PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

CONTRACT CLAUSESSOLICITATION/CONTRACT FORM

SUPPLIES OR SERVICES AND PRICES/COSTS

DESCRIPTION/SPECS./WORK STATEMENT

PACKAGING AND MARKING

INSPECTION AND ACCEPTANCE

DELIVERIES OR PERFORMANCE

CONTRACT ADMINISTRATION DATA

SPECIAL CONTRACT REQUIREMENTS

NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period.

OFFER (Must be fully completed by offeror)

12. In compliance with the above, the undersigned agrees, if this offer is accepted within calendar days (60 calendar days unless a different period is inserted by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the set opposite each item, delivered at the designated point(s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT

(See Section I, Clause No. 52.232-8)

14. ACKNOWLEDGMENT OF AMENDMENTS

(The offeror acknowledges receipt of amendments to the SOLICITATION for offerors and related documents numbered and dated):

10 CALENDAR DAYS (%) 20 CALENDAR DAYS (%) 30 CALENDAR DAYS (%) CALENDAR DAYS(%)

DATEAMENDMENT NO.AMENDMENT NO. DATE

15A. NAME AND

ADDRESS

OF OFFER-

OR

CODE FACILITY 16. NAME AND THE TITLE OF PERSON AUTHORIZED TO SIGN OFFER

(Type or print)

15B. TELEPHONE NUMBER

AREA CODE NUMBER EXTENSION

15C. CHECK IF REMITTANCE ADDRESS IS

DIFFERENT FROM ABOVE - ENTER SUCH

ADDRESS IN SCHEDULE.

17. SIGNATURE 18. OFFER DATE

AWARD (To be completed by Government)

19. ACCEPTED AS TO ITEMS NUMBERED 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL OPEN COMPETITION:

10 U.S.C. 2304 (c) ( )41 U.S.C. 3304(a)

24. ADMINISTERED BY (If other than Item 7)

26. NAME OF CONTRACTING OFFICER (Type or print)

IMPORTANT - Award will be made on this Form, or on Standard Form 26, or by other authorized official written notice.

AUTHORIZED FOR LOCAL REPRODUCTION

Previous edition is unusable

23. SUBMIT INVOICES TO ADDRESS SHOWN IN

(4 copies unless otherwise specified)

25. PAYMENT WILL BE MADE BY

27. UNITED STATES OF AMERICA

(Signature of Contracting Officer)

28. AWARD DATE

CODE

ITEM

STANDARD FORM 33 (REV. 6/2014)

Prescribed by GSA - FAR (48 CFR) 53.214 (c)

SEALED BID (IFB)

NEGOTIATED (RFP)

(Hour) (Date)

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

1 46

BEP-RFP-16-0432

EP001

BEP-ACQUISITION

Bureau of Engraving and Printing Washington, DC, 20228-0001, US

See Section L Proposal Instructions 14:00 09/14/2016

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P ag e

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BEP-RFP-16-04

TABLE OF CONTENTS:

Listing of Incorporated Purchase Requisitions Section B - Supplies or Services and Prices/Costs Section C - Description/Specifications/Work Statement Section D - Packaging and Marking Section E - Inspection and Acceptance Terms Section F - Delivery or Performance Section G - Contract Administration Data Section H - Special Contract Requirements Section I - Contract Clauses Section J - List of Documents, Exhibits, and other Attachments Section K - Representations, Certifications, and Other Statements of Offerors Section L - Instructions, Conditions and Notices to Offerors Section M - Evaluation Factors for Award

Listing of Incorporated Purchase Requisitions

Incorporated Purchase Requisition Numbers:

Section B - Supplies or Services and Prices/Costs

Item Number

Base Item Number

Supplies/Services Quantity Unit

0001 Technology Development (FFP) Each Contract Type:Firm Fixed Price

Unit Price Extended Price

Description:

Purchase Requisitions

Item Number Base Item Number

Supplies/Services Quantity Unit

0002 Technology Development (CPFF) Contract Type:Cost Contract

Total Estimated Cost

Description:

Purchase Requisitions

BEP-RFP-16-0

Item Number

Base Item Number

Supplies/Services Quantity Unit

1001 Technology Development (FFP) Each Contract Type:Firm Fixed Price

Unit Price Extended Price

Description:

Purchase Requisitions

Item Number Base Item Number

Supplies/Services Quantity Unit

1002 Technology Development (CPFF) Contract Type:Cost Contract

Total Estimated Cost

Description:

Purchase Requisitions

Item Number

Base Item Number

Supplies/Services Quantity Unit

2001 Technology Development (FFP) Each Contract Type:Firm Fixed Price

Unit Price Extended Price

Description:

Purchase Requisitions

Item Number Base Item Number

Supplies/Services Quantity Unit

2002 Technology Development (CPFF) Contract Type:Cost Contract

Total Estimated Cost

Description:

Purchase Requisitions

Item Number

Base Item Number

Supplies/Services Quantity Unit

3001 Technology Development (FFP) Each Contract Type:Firm Fixed Price

Unit Price Extended Price

Description:

Purchase Requisitions

Item Number Base Item Number

Supplies/Services Quantity Unit

3002 Technology Development (CPFF) Contract Type:Cost Contract

Total Estimated Cost

Description:

Purchase Requisitions

Item Number

Base Item Number

Supplies/Services Quantity Unit

4001 Technology Development (FFP) Each

Contract Type:Firm Fixed Price Unit Price

Extended Price

Description:

Purchase Requisitions

Item Number Base Item Number

Supplies/Services Quantity Unit

4002 Technology Development (CPFF) Contract Type:Cost Contract

Total Estimated Cost

Description:

Purchase Requisitions

B.1 INDEFINITE QUANTITY (DEC 2005) (TAILORED)

This is an Indefinite Quantity contract as contemplated by FAR 16.504. The maximum dollar amount the Bureau of Engraving and Printing (BEP) may order under this contract is $650,000.00; the minimum amount is the final negotiated value of Task Order 0001.

B.2 ORDERING PROCEDURES (DEC 2005) (TAILORED)

(a) Orders will be issued by a Procuring Contracting Officer in accordance with the Ordering clause of this contract.

However, the following procedures shall be used for negotiation of orders.

(1) The Contracting Officer will provide the Contractor with a copy of the notification of each proposed Order which will include a description of work to be performed, description of expertise required, and desired completion date.

(2) The Contractor shall then: (i) submit to the Contracting Officer a brief technical discussion describing how the work will be performed; (ii) submit a cost proposal identifying labor categories and number of hours within each category required for the performance of the proposed work; (iii) identify and provide rationale for all non-labor cost elements required for performance; and (iv) identify any U.S. Government property required for performance.

(3) Upon receipt of the proposal, the Contracting Officer will analyze the proposal and, if acceptable, issue an Order directing the Contractor to commence performance, or if the proposal is not fully acceptable as offered, negotiations shall be conducted prior to issuance of any Order. In the event issues pertaining to a proposed work cannot be resolved to the satisfaction of the Contracting Officer, the Contracting Officer reserves the right to withdraw and cancel the proposed work. In such event, the Contractor shall be notified, via letter, of the Contracting Officer's decision. This decision shall be final and conclusive and shall not be subject to the Disputes clause or the Contract Disputes Act.

(b) The Contractor is not authorized to commence performance prior to issuance of the Order by the Contracting Officer.

Section C - Description/Specifications/Work Statement

C.1 GENERAL REQUIREMENTS

(a) Background: The Bureau of Engraving and Printing (BEP) is a component of the Department of the Treasury that designs, engraves, and prints U.S. Federal Reserve notes and other U.S. security products. Manufacturing processes occur at BEP's District of Columbia Facility (DCF) located in Washington, D.C. and in the Western Currency Facility (WCF) located in Fort Worth, TX. BEP's primary customer is the Federal Reserve Board (FRB).

(b) Objective: The objective of this requirement is to develop ink for testing to provide security features and characteristics for use by the Banknote Equipment Manufacturers (BEMs), who are vital and important customers of the BEP in providing a consistent, reliable and highly secure banknote for use by the public.

(c) Scope: The Contractor shall furnish all facilities, labor, and materials to provide Research & Development (R&D) services in accordance with the terms and conditions herein (see Attachment H for overarching Statement of Objectives).

Performance under individual task orders will be as negotiated in each task order.

Section D - Packaging and Marking

D.1 PACKAGING AND MARKING

Preservation, packaging, and marking for all items delivered hereunder shall be in accordance with standard commercial shipping practices and FAR 47.208-2.

To be determined on each Individual Task Order

BEP-RFP-16-0

a. Contract Number/Purchase Order Number

b. Package number, description and quantity of items contained therein

c. COR's name and telephone number

d. Room number

e. Contractor's name

D.2 SAFETY

State "Right to Know" laws and 29 CFR 1910.1200, Employee Hazard Communication Program, require manufacturers, importers and suppliers to label containers of toxic substances or hazardous chemicals with the chemical name and appropriate hazard warning and to provide Safety Data Sheets (SDS) for these substances. Hazard Material Information System (HMIS) data shall be provided, as required, on all packaging. Materials not meeting this requirement will not be accepted (off-loaded) by BEP.

Section E - Inspection and Acceptance Terms

Clauses incorporated by reference

Article Number Reference Text 52.246-7 52.246-7 Inspection of Research and Development-Fixed-Price (AUG 1996) 52.246-8 52.246-8 Inspection of Research and Development-Cost-Reimbursement (MAY 2001) 52.246-16 52.246-16 Responsibility for Supplies (APR 1984)

Clauses incorporated by full text

52.252-2 52.252-2 Clauses Incorporated by Reference (FEB 1998) This contract incorporates one or more clauses by reference, with the same force and effect as if they were given in full text.

Upon request, the Contracting Officer will make their full text available. Also, the full text of a clause may be accessed electronically at this/these address(es):

www.acquisition.gov/far

(End of clause)

E.1 INSPECTION AND ACCEPTANCE

Inspection and acceptance of the supplies to be provided hereunder, shall be made by BEP appointed Contracting Officer's Representative (COR) in accordance with the FAR clause 52.246-8 and FAR clause 52.232-25, Attachments A-K of this contract, each individual task order, and will be performed unless otherwise necessary at the place of delivery.

E.2 QUALITY ASSURANCE

(a) General: Unless otherwise specified in the contract, the Contractor is responsible for the performance of all inspection and testing requirements as stated in the specification. Except as otherwise specified, the Contractor may utilize its own facilities or any commercial laboratory acceptable to the Government.

(b) Quality Assurance Plan Requirements: If any of the work required under the contract is subcontracted, the Contractor shall require that the Subcontractor submit and adhere to a Quality Assurance Plan.

Section F - Delivery or Performance

Clauses incorporated by reference

Article Number Reference Text 52.247-34 52.247-34 F.o.b. Destination (NOV 1991)

Clauses incorporated by full text

52.252-2 52.252-2 Clauses Incorporated by Reference (FEB 1998) This contract incorporates one or more clauses by reference, with the same force and effect as if they were given in full text.

Upon request, the Contracting Officer will make their full text available. Also, the full text of a clause may be accessed electronically at this/these address(es):

www.acquisition.gov/far

(End of clause)

F.1 PERIOD OF PERFORMANCE (FEB 1997) (TAILORED)

Period of performance under this contract shall be five (5) years from effective date of this contract.

F.2 PLACE OF DELIVERY

Deliverables as required during the performance of the CLINS specified in Section B of this contract shall be delivered f.o.b.

destination within consignee's premises in accordance with Attachment H of this contract. The consignee for receipt of the deliverables is specified in Section G.2 below.

F.3 BEP YEAR END SHUTDOWN (YES) PERIOD AND FEDERAL HOLIDAYS

(a) BEP observes the federal holidays that are listed on the Office of Personnel website at: https://www.opm.gov/fedhol/. The Presidential Inauguration Day is applicable only to the ECF and deliveries to the WCF will not be affected.

(b) BEP's YES Period typically occurs December 25th through January 1st of each calendar year.

F.4 SMALL BUSINESS SUBCONTRACTING PLAN REPORTING

The Contractor (and applicable subcontractor(s)) is required to submit a Small Business Subcontracting Plan Report pursuant to FAR 19.704 (a)(10). See Attachment J for specific details on the dates required for submission of the required reports.

Section G - Contract Administration Data

COTR Office Address

BEP-SEC_PRINT

Bureau of Engraving and Printing Office of Security Printing 301 14th Street SW Washington DC 20228-0001 Phone: Fax:

Contact Details:

Issuing Office Address

BEP-ACQUISITION

Bureau of Engraving and Printing Office of Acquisition 301 14th Street SW Washington DC 20228-0001 Phone: Fax:

Contact Details:

Clauses incorporated by reference

Article Number Reference Text 52.232-4 52.232-4 Payments under Transportation Contracts and Transportation-Related Services Contracts

(APR 1984)

Clauses incorporated by full text

1052.201-70 DTAR 1052.201-70 Contracting Officer's Representative (COR) Appointment and Authority (APR 2015)

(a) The COR is as defined in the FAR clause 52.212-4(c);.

(b) Performance of work under this contract is subject to the technical direction of the COR identified above, or a representative designated in writing. The term "technical direction" includes, without limitation, direction to the contractor that directs or redirects the labor effort, shifts the work between work areas or locations, and/or fills in details and otherwise serves to ensure that tasks outlined in the work statement are accomplished satisfactorily.

(c) Technical direction must be within the scope of the contract specification(s)/work statement. The COR does not have authority to issue technical direction that:

(1) Constitutes a change of assignment or additional work outside the contract specification(s)/work statement;

(2) Constitutes a change as defined in FAR clause 52.212-4(c);

(3) In any manner causes an increase or decrease in the contract price, or the time required for contract performance;

(4) Changes any of the terms, conditions, or specification(s)/work statement of the contract;

(5) Interferes with the contractor's right to perform under the terms and conditions of the contract; or

(6) Directs, supervises or otherwise controls the actions of the Contractor's employees.

(d) Technical direction may be oral or in writing. The COR must confirm oral direction in writing within five workdays, with a copy to the Contracting Officer.

(e) The Contractor shall proceed promptly with performance resulting from the technical direction issued by the COR. If, in the opinion of the Contractor, any direction of the COR or the designated representative falls within the limitations of (c) above, the Contractor shall immediately notify the Contracting Officer no later than the beginning of the next Government work day.

(End of clause)

1052.232-7003 DTAR 1052.232-7003 Electronic Submission of Payment Requests (APR 2015)

(a) Definitions. As used in this clause

(1) "Payment request" means a bill, voucher, invoice, or request for contract financing payment with associated supporting documentation. The payment request must comply with the requirements identified in FAR 32.905(b), "Content of Invoices" and the applicable Payment clause included in this contract.

(b) Except as provided in paragraph (c) of this clause, the Contractor shall submit payment requests electronically using the Invoice Processing Platform (IPP). Information regarding IPP, including IPP Customer Support contact information, is available at www.ipp.gov or any successor site.

(c) The Contractor may submit payment requests using other than IPP only when the Contracting Officer authorizes alternate procedures in writing in accordance with Treasury procedures.

(d) If alternate payment procedures are authorized, the Contractor shall include a copy of the Contracting Officer's written authorization with each payment request.

(End of clause)

G.1 CONTRACT ADMINISTRATION OFFICE

This contract and task orders will be administered by:

Bureau of Engraving and Printing Office of Acquisition 14th and C Streets, S.W.

Washington, D.C. 20228-0001

Written communication to the CO shall make reference to this contract number.

Section H - Special Contract Requirements

H.1 IMPLEMENTATION OF LIMITATION OF FUNDS

Pursuant to the FAR Clause 52.232-22 in Section I, entitled, "Limitation of Funds".

(a) The sum allotted to this contract and available for payment of costs under CLIN * in accordance with the clause in Section I entitled, "Limitation of Funds" is *.

(b) In addition to the amount allotted under the "Limitation of Funds" clause, the additional amount of * is obligated for the payment of fee for work completed under CLIN *.

(c) It is estimated that this amount is sufficient to cover performance through *.

*To be determined on each Task Order

H.2 INTERPRETATION OF CONTRACT REQUIREMENTS

No interpretation of any provision of this contract, including applicable specification(s)/work statement, shall be binding on the Government unless furnished or agreed to in writing by the CO.

H.3 NON-DISCLOSURE OF INFORMATION & DATA

(a) The Contractor agrees that all information provided by representatives of BEP, either before or after contract award, concerning the design, manufacture, processing or transporting of United States banknote currency is nonpublic. Such information will be shared only with employees or agents of the company that are required to have knowledge of this requirement, and shall not be disclosed to other persons without the written consent of the CO.

(b) During the period of performance of the contract, the Contractor may be granted access to sensitive information and data, which is the sole property of BEP, as well as proprietary information and data, which is the sole property of entities other than the contracting parties. The Contractor agrees to maintain the confidentiality of all such information and data and shall not disclose any information and data, interpretations of, and/or derivatives of, such information and data to any unauthorized party without the express written approval of the CO, or of the party in which title is wholly vested. The Contractor hereby agrees to include this clause in all subcontracts or consulting agreements relating to work under this contract.

(c) The Contractor will be required to execute a Non-Disclosure Agreement (NDA) with the BEP and it shall be incorporated as Attachment A.

H.4 INTELLECTUAL PROPERTY AND DATA RIGHTS

It is the U.S. Government's intent that the Contractor develops several ink technologies for security features based on the Contractor's existing invention for use in U.S. Federal Reserve notes that is patentable or otherwise protectable under title 35 of the U.S. Code. The new and useful ink technologies would be the "subject invention" made in the performance of work under this contract. In addition, the "subject invention" shall be non-obvious to a person having ordinary skill in the pertinent art. The desired "subject invention" is a security feature that involves novel materials or novel material usages, novel equipment innovations, novel substrate or ink characteristics, or any combination thereof, that is clearly distinguishable from any invention and/or technology available in the global market. The "subject invention" shall conform to the requirement provided in 31 C.F.R. Part 601. The design of the feature on the document per se is not an "invention" and does not constitute a novel optical effect.

A "subject invention" shall cease to be a "subject invention" when it is not subject to a contract and/or agreement between the BEP and the Contractor and has not been adopted for use in U.S. Federal Reserve notes. Hence, an optical security feature that is subject to a contract and/or agreement between the BEP and the Contractor but that has not been adopted for use in U.S. Federal Reserve notes can be a "subject invention" made in the performance of work under this contract. The U.S.

Government will not acquire rights in the Contractor's other existing or non-subject inventions not covered under this contract.

This section addresses the allocation and protection of rights in the following areas: 1) patents and inventions, copyrights and trade secrets, and other data generated or used in the performance of the contract; 2) the U.S. Government authorization and consent to use the Contractor's intellectual property generated or used in the performance of the contract under the condition that Contractor ensures an exclusive use of these rights to the U.S. Government related to the "subject invention"; and 3) Contractor's liability for licensing any of its intellectual property or disclosing any data related to the "subject invention" and generated under the performance of the contract to third parties without the consent of the U.S. Government. The Contractor will incorporate the substance of this clause, its terms, and requirements in all subcontracts under this contract.

(a) License:

(1) Patents and Inventions: With respect to any patent related to the "subject invention" which is adopted for use in the U.S. Federal Reserve notes and approved by the Secretary of the Treasury, the U.S. Government shall obtain an exclusive, nontransferable, irrevocable, free license to use the "subject invention" as defined in FAR Part 52.227-11(a).

"Subject inventions" include inventions first conceived or actually reduced to practice during the performance of the contract. In those cases where the U.S. Government receives title to the "subject invention" the Contractor will not obtain a license to practice the "subject invention". In addition, the Contractor will need to provide the U.S.

Government with any data and/or information generated during the performance of the contract that is needed to file a patent.

(2) Copyrights and Trade Secrets: Copyright and Trade Secrets license rights related to the "subject invention" jointly referred to as data rights as defined in FAR Part 52.227-14. The U.S. Government shall obtain an exclusive, nontransferable, irrevocable, free license to reproduce, publish, or use any data related to the "subject invention". With respect to any copyright and trade secret related to the "subject invention" created during the performance of work under this contract, the Contractor shall not use, release, reproduce, distribute, or publish any data produced during and after the performance of this contract. The Contractor acknowledges that any information concerning the "subject invention" created during the performance of this contract and before a patent application is filed is a trade secret as defined in title 18 of the U.S. Code. If the Contractor elects not to file a patent all data, discoveries, concepts, ideas, inventions, innovations, improvements, developments, methods, designs, analyses, drawings, reports related thereto, and all other proprietary information and all similar or related information in any format (whether or not patentable) that relates to the performance of this contract shall be deemed to constitute a trade secret.

(3) Other Data: In the performance of this contract, the U.S. Government may provide the Contractor with Sensitive but Unclassified (SBU) information. SBU information provided to the Contractor shall be marked with a restrictive notice and protected by the Contractor in accordance with this clause. In addition, the Contractor may not assert intellectual property rights in any information provided by the U.S. Government.

(b) Exclusivity of Use: For the U.S. Government to consider an optical security feature as a "subject invention" the Contractor must adhere to this exclusivity clause for the duration of the contract covering the "subject invention". The Contractor gives the U.S. Government exclusive authorization and consent (without prejudice to any rights of indemnification) for all use and manufacture of the "subject invention" covered by any intellectual property under this contract. The Contractor may not enter into similar contracts and/or agreements for the same and similar purpose with other third parties. If the Contractor fails to adhere to this exclusivity prerequisite, the U.S. Government may decide to cease all work and not use the "subject invention" being developed herein in U.S. Federal Reserve notes. Therefore, the U.S.

Government expects the Contractor to adhere to the exclusivity requirement regarding the "subject invention" in perpetuity. If the Contractor seeks to disclose or use the "subject invention" or any intellectual property related to the "subject invention" developed under this contract in any other business opportunity, the Contractor shall submit, in writing, a letter notifying the CO and COR, as soon as reasonably possible, of its plan for use of the "subject invention" developed by the Contractor under this contract.

(c) Contractor's Liability: The U.S. Code requires the use of distinctive materials on U.S. Federal Reserve notes, including distinctive paper and distinctive counterfeit deterrents. Any distinctive counterfeit deterrent technology (whether or not patentable) developed under this contract and adopted for use in U.S. Federal Reserve notes and approved by the Secretary of the Treasury will be governed by 31 C.F.R. Part 601 and 18 U.S.C. § 474A. The Contractor shall be liable throughout the development of the "subject invention" for the disclosure of any information or data related to the invention, copyrights, and/or trade secrets since it may significantly destroy the value of the distinctive counterfeit deterrents use in the U.S. Federal Reserve notes. In addition, the Contractor acknowledges that it will be liable to the U.S. U.S. Government for licensing the use of any intellectual property rights pertaining to the "subject invention" to third parties. In particular, the Contractor shall be liable to the U.S. Government for the costs affiliated with such a violation, including but not limited to recovery of the costs of this and other related contracts and other costs the U.S. Government determines appropriate.

H.5 NOTICE TO THE GOVERNMENT OF DELAYS

In the event the Contractor encounters difficulty in meeting performance requirements, or when it anticipates difficulty in complying with the contract or any Delivery order delivery schedule or date, or whenever the Contractor has knowledge that any actual or potential situation is delaying or threatens to delay the timely performance of this contract or of a Delivery order, the Contractor shall immediately notify the CO and the COR, in writing. The notice shall give pertinent details, provided; however, that this data shall be informational only in character and that receipt thereof shall, in no event, be construed as a waiver by BEP of any delivery schedule or date or of any rights or remedies provided by law or under this contract. The notice must be provided in no less than 30 days before the performance/delivery/completion date specified in the order.

H.6 SECURITY

The Contractor shall meet and comply with all requirements and instructions from the BEP's Office of Security.

(a) BEP's facilities are considered to be secure government facilities; therefore visitors to BEP may be given a visitor's security badge by security personnel and escorted by Government authorized personnel. Visitor security badges shall be worn above the waist, clearly visible, with picture or front side front forward at all times. Visitor security badges are to be returned upon leaving the site.

(b) Contractor and subcontractor employees requiring access to BEP shall be subject to a background investigation and favorable adjudication. They must also be "identity proofed" in accordance with Homeland Security Presidential Directive 12 (HSPD 12). Personal identity verification will be performed before assignment to perform work under the contract. All positions under the contract will be assigned a "position sensitivity level." Position sensitivity levels range from HIGH RISK to LOW RISK. Position sensitivity levels are determined based on access to currency manufacturing areas and processes required by the position.

(1) The Project Manager and all personnel performing within a supervisory or lead role shall be capable of passing a HIGH RISK Full background check.

(2)All other personnel shall be capable of passing a MEDIUM Risk background check.

The COR will notify the Contractor of any changes to the position sensitivity level for personnel performing under the contract. The COR will also coordinate with BEP Security Division to concerning any adjustments to the position sensitivity levels. If any adjustments are made the COR will notify the Contractor.

(c) Upon contract award the Contractor shall furnish BEP COR a list of persons under employment consideration, to include the full legal name, social security numbers, date, city, state and country of birth. BEP's Personnel Security Branch will establish an electronic profile of the individual within the Electronic Questionnaires for Investigative Processing system (hereinafter "e-QIP") and provide a packet with instructions and additional forms that must be returned to BEP Personnel Security Branch. The COR is notified when the individual Contractor has completed an initial review of the information provided in e-QIP. The COR will then notify the Contractor to come in to BEP for fingerprinting. At this time the Contractor will bring in the additionally completed paperwork and the printed forms from e-QIP. At the time of fingerprinting, the Contractor will begin the process of PIV by providing certified copy of a birth certificate, passport or Certificate of Citizenship (to prove citizenship status) and two (2) forms of identification as outlined in Form I 9 "List of acceptable documents." (NOTE: One ID must be a Federal, State or Local government picture ID). Once completed, the contract employee will be allowed to perform limited assignments pending completion of the background investigation and adjudication; however, the contract employee must be escorted in all facility areas and will not be granted access to sensitive systems. Interim access may be granted after receipt of fingerprint results. Once favorably adjudicated, the COR will be notified and the contract employee will be brought back in to complete the PIV process and receive a BEP picture badge with level of access to the area of contract work. If the contract employee does not meet the requirements for a favorable determination for level of access required, the Contractor shall replace him/her at no additional cost to the Government.

(d) The Bureau reserves the right to deny access to its facilities and security systems, in accordance with adjudicative guidelines set forth in Executive Order 10450, its amendments, and any applicable supplemental directives (in particular, Title 5, Code of Federal Regulations, Section 731), to any individual about whom an adverse suitability determination is made. Failure to submit the required security package or to truthfully answer all questions shall constitute grounds for denial of access clearance. The Contractor shall not provide access to employees, until BEP Security Division, provides written access clearance through the COR.

(e) The Contractor is responsible for reporting adverse information (i.e., arrests, bankruptcy, etc.) that may affect the employment suitability of their employees who provide services on behalf of the Contractor to BEP. This information shall be reported to the COR within five (5) days of the Contractor becoming aware of the situation.

(f) Upon approval of the security access, the Contractor shall be given written confirmation from either the COR or the CO that the individual(s) have been cleared to work at BEP.

(g) Contractor employees or subcontractor employees who have been cleared and are working on-site at BEP's facility will be subject to an annual criminal history check. The results of the annual criminal history check will be reviewed according to the same standards as the initial investigation conducted by BEP Security Division. The annual criminal history checks will be utilized to identify potentially disqualifying suitability issues. Access to the Bureau's product or premises will be withdrawn if annual criminal history checks identify disqualifying suitability issues. Access to the Bureau's product or premises will be withdrawn if annual criminal history checks cannot be performed by BEP due to non-submission of the required information by Contractor employees.

(h) The Contractor must provide the COR with names of potential qualified new hires to replace an employee previously cleared to work at BEP with the full legal name, SSN, date, city, state and country of birth of each replacement hire. The COR or CO will notify the contractor in writing that an interim access clearance has been approved and the potential employee can be employed on this contract. The employee will be allowed to perform limited assignments; however, the employee must be escorted in all facility areas and will not be granted access to sensitive systems. If the employee does not meet the requirements for a favorable access determination for the risk level requested, the Contractor shall replace him/her at no additional cost to the Government. The COR or CO will notify the Contractor in writing that a final access has been approved and the potential employee will be issued an identification badge and allowed access to previously restricted areas.

(i) Some of the work to be performed will require access to restricted data and classified National Security information, compartmentalized information, restricted physical areas, and classified systems. All individuals proposed by the Contractor to perform requirements involving such access on a need-to-know-basis must have the appropriate security clearances (i.e.

national security clearance at the Secret level), as designated by BEP, at the time that the specific tasking is initiated. These requirements will be identified on a case by case basis and discussed between the COR, CO and BEP Personnel Security Manager prior to the start of the assignment. The Contractor must show how these requirements will be met and the depth of corporate resources available to respond to ongoing requirements.

(j) The Contractor shall exercise due diligence in pre-screening all employees for employment suitability prior to submission to BEP for agency access clearance. The Government will provide, after contract award, an example of the types of questions the Contractor may ask in screening potential employees. The questions are derived from the questionnaire Contractor employees will be required to complete online for initiating their agency access clearance. BEP will initiate the agency access procedure upon contract award for all direct labor employees where BEP facility access is necessary for performance under the contract. If a proposed Contractor employee or subcontractor employee is denied an agency access clearance or if for any reason a proposed application is withdrawn during the agency access clearance process, the contract price shall be reduced by $1,500.00 for each additional Critical Sensitive or High Risk background investigation BEP must conduct, $1,000.00 for each additional Moderate Risk background investigation and $500.00 for each additional Low Risk background investigation BEP must conduct. This subparagraph does not apply to JWOD contractors or non-profit entities.

(k) If during the performance of the contract, a Contractor or subcontractor employee is replaced, the Contractor shall coordinate with BEP to initiate the agency access clearance investigation. If BEP denies an agency access clearance to a Contractor or subcontractor employee proposed as a replacement, the contract price shall be reduced as described in section

(d) above.

H.7 ORGANIZATIONAL CONFLICTS OF INTEREST

(a) The Contractor warrants that, to the best of the Contractor's knowledge and belief, there are no relevant facts or circumstances which could give rise to an organizational conflict of interest (OCI), as defined in FAR 9.5, Organizational and Consultants Conflicts of Interest, or that the Contractor has disclosed all such relevant information.

(b) The Contractor agrees that if an actual or potential OCI is discovered after award, the Contractor shall make a full disclosure in writing to the Contracting Officer. This disclosure must include a description of actions, which the Contractor has taken or proposes to take, after consultation with the Contracting Officer, to avoid, mitigate, or neutralize the actual or potential conflict.

(c) The Contracting Officer may terminate this contract for convenience, in whole or in part, if it deems such termination necessary to avoid an OCI. If the Contractor was aware of a potential OCI prior to award or discovered an actual or potential conflict after award and did not disclose or misrepresented relevant information to the Contacting Office, the U.S.

Government may terminate the contract for default, debar the Contractor from U.S. Government contracting, or pursue such other remedies as may be permitted by law or this contract.

(d) The Contractor must include this clause in all subcontracts and in lower tier subcontracts unless a waiver is requested from, and granted by, the Contracting Officer.

(e) In the event that a requirement changes in such a way as to create a potential conflict of interest for the Contractor, the Contractor must:

(1) Notify the Contracting Officer of a potential conflict, and;

(2) Recommend to the U.S. Government an alternate approach which would avoid the potential conflict, or

(3) Present for approval a conflict of interest mitigation plan that will:

(i) Describe in detail the changed requirement that creates the potential conflict of interest; and

(ii) Outline in detail the actions to be taken by the Contractor or the U.S. Government in the performance of the task to mitigate the conflict, division of subcontractor effort, and limited access to information, or other acceptable means.

(4) The Contractor must not commence work on a changed requirement related to a potential conflict of interest until specifically notified by the Contracting Officer to proceed.

(5) If the Contracting Officer determines that it is in the best interest of the U.S. Government to proceed with work, notwithstanding a conflict of interest, a request for waiver must be submitted in accordance with FAR 9.503.

H.8 DISCLOSURE OF CONFLICTS OF INTEREST

It is the BEP policy to award contracts to only those Offerors whose objectivity is not impaired because of any related past, present, or planned interest, financial or otherwise, in organizations regulated by BEP or in organizations whose interests may be substantially affected by Departmental activities. Based on this policy, if at any time during the performance of this contract the Contractor knows of any Conflict of Interest situation affecting the organization, any of its officers or Key Persons working under this contract, has reason to believe that a conflict of interest situation might arise, or is made aware of an actual or potential conflict of interest situation:

(a) The Contractor shall immediately provide to the Contracting Officer a written statement which describes in a concise manner all past, present or planned organizational, financial, contractual or other interest(s) with that organization regulated by BEP, or with that organization or individual whose interests may be substantially affected by Departmental activities, and which is related to the work under this contract. The interest(s) described shall include those of the Contractor, its affiliates, consultants, Subcontractors and key personnel of any of the above. Past interest shall be limited to within one year of the date of the Offeror's technical proposal. Key personnel shall include any person owning more than 20% interest in the organization, and the organization's corporate officers, its senior managers and any employee who is responsible for making a decision or taking an action on this contract where the decision or action can have an economic or other impact on the interests of a regulated or affected organization.

(b) The Contractor shall describe in detail when it became aware of the actual or potential conflict of interest, what action the organization has taken or proposes to take to mitigate and / or rectify the situation, and why it believes, in light of the interest(s) identified in (a) above, that performance of the contract can still be accomplished in an impartial and objective manner.

(c) In the absence of any relevant interest identified in (a) above, the Contractor shall certify in its statement that to its best knowledge and belief no affiliation exists relevant to possible conflicts of interest. The Contractor must obtain the same information from any potential Subcontractors prior to award of a subcontract.

(d) The Contracting Officer will review the statement submitted and may require additional relevant information from the Contractor. All such information, and any other relevant information known to BEP, will be used to determine whether a conflict of interest exists or a situation exists that may create a conflict of interest. If any such conflict of interest is found to exist, the Contracting Officer may (1) terminate the contract, or (2) determine that it is otherwise in the best interest of the United States to continue the contract with the Contractor and (3) modify the contract to include appropriate provisions to mitigate or avoid such conflicts in the contract.

(e) If the Contractor refuses to provide the written statement called for in paragraph (a), or any additional information that the Contracting Officer may require, the Contracting Officer may terminate the Contract for convenience if he or she deems that termination is in the best interest of the U.S. Government.

H.9 CONTROL AND DISPOSAL OF HAZARDOUS CHEMICALS

The Contractor shall comply with the Occupational Safety and Health Administration (OSHA) regulations 29 CFR Parts 1910 and 1926. Attention is directed to the control of hazardous material, Section 1910.1200 of the OSHA regulations and the Environmental Protection Agency regulations concerning the disposal of hazardous waste [Solid Waste Disposal Act, as amended by the Resources Conservation Act of 1976, as amended (42 U.S.C. 6901 et seq.)].

H.10 INDEMNIFICATION

(a) Responsibility for Government Property: The Contractor assumes full responsibility for and shall indemnify the Government against any and all losses or damage of whatsoever kind and nature to any and all Government property, including any equipment, supplies, accessories, or parts furnished, while in his custody and care for storage, repairs, or service to be performed under the terms of this contract, resulting in whole or in part from the negligent acts or omissions of the Contractor, any subcontractor, or any employee, agent or representative of the Contractor or subcontractor.

If due to the fault, negligent acts (whether of commission or omission) and/or dishonesty of the Contractor or its employees, any Government-owned or controlled property is lost or damaged as a result of the Contractor's performance of this contract, the Contractor shall be responsible to the Government for such loss or damage, and the Government, at its option, may in lieu of payment thereof, require the Contractor to replace at his own expense, all property lost or damaged.

(b) Hold Harmless and Indemnification Agreement: The Contractor shall save and hold harmless and indemnify the Government against any and all liability claims, and cost of whatsoever kind and nature for injury to or death of any person or persons and for loss or damage to any Contractor property or property owned by a third party occurring in connection with or in any way incident to or arising out of the occupancy, use, service, operation, or performance of work under the terms of this contract, resulting in whole or in part from the acts or omissions of the Contractor, any subcontractor, or any employee, agent, or representative of the Contractor or subcontractor.

(c) Government's Right of Recovery: Nothing in the above paragraphs shall be considered to preclude the Government from receiving the benefits of any insurance the Contractor may carry which provides for the indemnification of any loss or destruction of, or damages to property in the custody and care of the Contractor where such loss, destruction or damage is to Government property. The Contractor shall do nothing to prejudice the Government's right to recover against third parties for any loss, destruction of, or damage to Government property, and upon the request of the Contracting Officer shall, at the Government's expense, furnish to the Government all reasonable assistance and cooperation (including assistance in the prosecution of suit and the execution of instruments of assignment in favor of the Government) in obtaining recovery.

(d) Government Liability: The Government shall not be liable for any injury to the Contractor's personnel or damage to the Contractor's property unless such injury or damage is due to negligence on the part of the Government and is recoverable under the Federal Torts Claims Act, or pursuant to other Federal statutory authority.

H.11 POST AWARD MEETING

At its discretion, the BEP may schedule and conduct a post award meeting with the Contractor after contract award. The objectives of this meeting would be to; introduce key participants and explain their roles, review Deliverables, review the performance work statement and tasks to ensure a common understanding of the requirements and objectives, as well as other matters of importance and relevance. The day(s) and time(s) of any such meeting will be determined after contract award.

H.12 KEY PERSONNEL

(a) Contractor personnel authorized and approved to perform services under this contract are considered to be Key personnel and the contractor shall provide immediate notification prior to the removal or replacement of any employees working on this project.

(b) Should the Contractor need to remove or replace any individual from the contract (e.g., promotion, attrition, firing, long-term illness, death, etc.) they shall notify the COR and CO in writing immediately upon realizing that a change is imminent. The Contractor shall include in the written notification an explanation as to why the removal or replacement is necessary, including the name of the individual(s) being removed or replaced, the expected date the change is to occur, a plan for maintaining current support and/or a plan for transitioning support as well as any other important information.

(c) The resume(s) of the proposed replacement(s) and/or substitute(s) shall be submitted for BEP review and assessed. The proposed replacement's qualifications and experience shall be at least equal to those of the individual(s) being replaced.

(1) The CO will notify the Contractor upon completion of BEP's review. The Contractor then can proceed with submitting the individuals' information in accord with the Security requirements and process described in Section H.6 above of this contract

(2) The Government may accept individuals with lesser qualifications and experience, but will request the Contractor to adjust its pricing.

H.13 SMALL BUSINESS SUBCONTRACTING PLAN

The subcontracting plan submitted by the Contractor and accepted by the CO for this contract is incorporated and made a part of this contract as Attachment I [to be completed with the offeror's proposal and incorporated at time of award].

Section I - Contract Clauses

Clauses incorporated by reference

Article Number Reference Text 52.202-1 52.202-1 Definitions (NOV 2013) 52.203-3 52.203-3 Gratuities (APR 1984) 52.203-5 52.203-5 Covenant Against Contingent Fees (MAY 2014) 52.203-6 52.203-6 Restrictions on Subcontractor Sales to the Government (SEPT 2006) 52.203-7 52.203-7 Anti-Kickback Procedures (MAY 2014) 52.203-8 52.203-8 Cancellation, Rescission, and Recovery of Funds for Illegal or Improper Activity (MAY 2014) 52.203-10 52.203-10 Price or Fee Adjustment for Illegal or Improper Activity (MAY 2014) 52.203-12 52.203-12 Limitation on Payments to Influence Certain Federal Transactions (OCT 2010) 52.203-17 52.203-17 Contractor Employee Whistleblower Rights and Requirement to Inform Employees of

Whistleblower Rights…