Contract- HDEC02-26-D-E007 (Redacted).pdf

This is a Defense Federal Acquisition Regulation Supplement (DFARS) Resale Grocery for Destination Contract (HDEC02-26-D-E007) awarded to MDV SpartanNash, LLC for the Defense Commissary Agency (DeCA).

The contract is a five-year base period (November 1, 2026 through October 31, 2031) with up to five one-year earned award-term extensions and up to five one-year government option periods, for a maximum cumulative duration of fifteen years. The effective date is September 24, 2026. The contractor is responsible for sourcing, warehousing, and delivering commercial grocery products to DeCA-designated commissaries and military distribution centers worldwide, including CONUS and OCONUS locations, as specified in Attachment A. The contractor operates as the sole seller to DeCA for orders placed directly with it; DeCA retains the right to acquire goods directly from manufacturers or other sources if the contractor fails to meet performance standards or supply continuity. All logistics, warehousing, transportation, and supply-chain costs are embedded within the applicable DeCA Cost of Goods (COG) reflected in DeCA's pricing environment. The contractor must synchronize internal product catalogs with DeCA's Master Data, including Global Trade Item Numbers, Universal Product Codes, item descriptions, and units of measure to ensure accurate billing and payment reconciliation.

Key performance metrics include Adjusted Order Fill Rate, On-Time Delivery, and New Item Set Up Time, with performance accountability beginning thirty days after contract award. The contractor must maintain a Quality Control Plan, comply with food safety requirements including HACCP principles, manage inventory using FIFO/FEFO rotation, ensure shelf-life and freshness compliance per Exhibit A standards at delivery points, and execute proper receiving, warehousing, and stock rotation procedures. Payment is made for Accepted Goods at applicable DeCA COG upon submission of consolidated weekly electronic invoices via EDI, with payment within seven days ACH after invoice receipt. The Distributor Discrepancy Rate (DDR) process reconciles delivery variances, with initial rates established at contract inception and subject to quarterly review and adjustment. The contractor is responsible for all product recalls, hazardous item notifications, traceability records, and cold-chain management, with immediate notification to DeCA required upon awareness of recalls or safety issues. The contract incorporates FAR 52.212-4 (Commercial Products and Services terms), DFARS clauses addressing cybersecurity, domestic preference, subcontracting, and transportation, and requires compliance with federal, state, and local regulatory requirements, including food safety and export/health certificate needs for OCONUS shipments.