Draft SOW for SSN - LCS Indy AECS DAUs (3).docx

Statement of Work (SOW) for LCS Independence Advanced Engineering Control Systems (AECS) Data Acquisition Unit (DAU) Production

1.0 INTRODUCTION

1.0.1 The Naval Surface Warfare Center Philadelphia Division (NSWCPD) is a Department of Defense entity responsible for research and development, test and evaluation, engineering and fleet support organization for the Navy’s ships, submarines, military watercraft and unmanned vehicles. This requirement is for NSWCPD Code 512, which is responsible for the Advanced Hull, Mechanical, and Electrical (AHM&E) Machinery/Engineering Control System (AMCS/AECS) for Littoral Combat Ship (LCS) Freedom and Independence Variants.

1.0.2 This contract is for non-personal services. It does not create employment rights with the U.S. Government whether actual, inherent, or implied

1.0.3 Government/Contractor Relationship

1.0.3.1 The services to be delivered under this Contract are non-personal services and the parties recognize and agree that no employer-employee relationship exists or will exist under the Contract between the Government and the Contractor's personnel. Therefore, it is in the best interest of the Government to provide both parties a full understanding of their respective obligations.

1.0.3.2 The Contractor employees shall identify themselves as Contractor personnel by introducing themselves or being introduced as Contractor personnel and displaying distinguishable badges or other visible identification for meetings with Government personnel. In addition, Contractor personnel shall appropriately identify themselves as Contractor employees in telephone conversations and in formal and informal written correspondence.

1.0.3.3 Contractor personnel under this Contract shall not engage in any of the inherently Governmental functions listed at FAR Subpart 7.5 or DFARS Subpart 207.5.

1.0.4 Employee Relationship:

1.0.4.1 The services to be performed under this Contract do not require the Contractor or its personnel to exercise personal judgment and discretion on behalf of the Government. Rather the Contractor's personnel will act and exercise personal judgment and discretion on behalf of the Contractor.

1.0.4.2 Rules, regulations, directives, and requirements that are issued by the U. S. Navy and NSWCPD under its responsibility for good order, administration, and security are applicable to all personnel who enter a Government installation or who travel on Government transportation. This is not to be construed or interpreted to establish any degree of Government control that is inconsistent with a non-personal services contract.

1.0.4.3 Inapplicability of Employee Benefits: This Contract does not create an employer-employee relationship. Accordingly, entitlements and benefits applicable to such relationships do not apply.

1.0.4.4 It is the Contractor's, as well as the Government's, responsibility to monitor Contract activities and notify the Contracting Officer if the Contractor believes that the intent of this Section has been or may be violated.

1.0.4.4.1 The Contractor shall notify the Contracting Officer in writing via letter or email within three (3) calendar days from the date of any incident that the Contractor considers to constitute a violation of this Section. The notice should include the date, nature, and circumstances of the conduct; the name, function, and activity of each Government employee or Contractor official or employee involved or knowledgeable about such conduct; identify any documents or substance of any oral communication involved in the conduct; and the Contractor's estimated date when, absent a response, cost, schedule or performance will be impacted.

1.0.4.4.2 The Contracting Officer will, within five (5) calendar days after receipt of notice, respond to the notice in writing. In responding, the Contracting Officer will either:

BACKGROUND The LCS Control System is a distributed data acquisition, processing, and control system that provides common redundant distributed monitoring and control of machinery plant operations. The AHM&E Technical Refresh, known as Advanced MCS (AMCS) on LCS Freedom and Advanced ECS (AECS) on LCS Independence hulls, will remove existing DAU enclosures and internal components and replace with a Government Furnished Equipment (GFE) Solution hardware from industry in a PLC-based design and add new network switches to support the unclassified machinery control network where applicable.

This redesign will create commonality with other ship classes and increase Navy technical support of shipboard equipment.

1.2 SCOPE OF WORK

The Contractor shall provide hardware to meet or exceed the specifications found below. Contractor shall utilize the design specifications and reference documentation to manufacturer LCS DAUs to support LCS control system technical refresh shipboard installations.

2.0 APPLICABLE DOCUMENTS

· Navy Issuances https://www.secnav.navy.mil/doni/default.aspx

· DOD Issuances https://www.defense.gov/Resources/Forms-Directives-Instructions/

· NAVSEAINST Library https://www.navsea.navy.mil/Resources/Instructions/

· Military Equipment Standards can be found at https://www.dla.mil/:

· MIL-S-901D: Requirements for Shock Tests, High Impact Shipboard Machinery, Equipment, and Systems

· MIL-S-167-1A: Mechanical Vibrations of Shipboard Equipment (Type I – Environmental and Type II – Internally Excited)

· MIL-STD-461G: Requirements for the Control of Electromagnetic Interference Characteristics of Subsystems and Equipment

· MIL-STD-810H: Environmental Engineering Considerations and Laboratory Tests

The Contractor shall reference and utilize the latest version available when performing tasks within this PWS.

3.0. REQUIREMENTS

Contractor shall provide the following hardware components and quantities that meet or exceed the specifications defined below. Government Furnished Information (GFI) to replicate these specifications is listed in Section 9. Independence Variant DAUs must begin manufacturing no later than January 2027 and be delivered minimally 3 months prior to each planned shipboard installation of AECS.

Government shall inspect the first build of each DAU Type at build facility prior to delivery. Upon satisfactory inspection, DAUs should be delivered to the Ship Yard once specified.

3.1 Specifications

Contractor must build DAUs identical to drawings in Section 9 Government Furnished Information (GFI) as these designs meet technical performance requirements and military specifications:

· MIL-S-901D: Requirements for Shock Tests, High Impact Shipboard Machinery, Equipment, and Systems

· MIL-S-167-1A: Mechanical Vibrations of Shipboard Equipment (Type I – Environmental and Type II – Internally Excited)

· MIL-STD-461G: Requirements for the Control of Electromagnetic Interference Characteristics of Subsystems and Equipment

· MIL-STD-810H: Environmental Engineering Considerations and Laboratory Tests

Deviations from drawings must be authorized by the contracting officer and require demonstration that above military specifications are met.

A total of thirteen (13) shipsets must be delivered over the period of performance. There are twenty (20) unique DAUs per shipset. The 20 DAUs are categorized by Configuration Type which correlate to specific drawings. The Assembly Drawings for that DAU Configuration Type specify configuration settings for each applicable DAU. Total quantities and drawing reference for all DAUs are captured below:

3.2 Reserved

3.3 Manufacturing Phase-Out or Discontinuation of Production, Diminishing Sources, and Obsolete Materials or Components

3.3.1 The contractor shall notify the contracting officer immediately upon determining the unavailability of obsolete materials or components. The contractor may recommend a solution to include the impact on the contract price and delivery. The contractor shall not initiate any item redesign or incur any additional costs without the express, written authorization of the contracting officer.

3.4 Diminishing Manufacturing Sources and Material Shortages Management (DMSMS) Contract Requirements N/A

3.5 Parts Obsolescence

3.5.1 The contractor shall establish and implement a parts obsolescence program. In the event that manufacturing phase-out or discontinuance of production of such items is contemplated, the contractor is required to notify the contracting officer and publish the discontinuance in the Government-Industry Data Exchange Program (GIDEP), where feasible; and to provide immediate advance notice of production phase-out to _January 2032_.

4.0 DATA REQUIREMENTS

N/A

5.0 SECURITY REQUIREMENTS

5.1 SECURITY TRAINING. The Contractor is responsible for completing all required Government mandated training to maintain security and network access to government sites and IT systems to include but not limited to: Antiterrorism Level 1 Awareness; Records Management in the DON: Everyone's Responsibility; Training and Readiness: The Active Shooter; NAVSEA Introduction to Controlled Unclassified Information; Operations Security (OPSEC); NAVSEA Counterintelligence Training; Privacy and Personally Identifiable Information (PII) Awareness Training; NAVSEA Physical Security training and Cybersecurity 101 Training. Certificates of successful completion shall be sent to the COR and as otherwise specified in the contract.

5.1.1 In accordance with the National Industrial Security Program Operating Manual (NISPOM) (37 CFR Part 117), Contractor personnel that require access to Department of Navy (DON) information systems and/or work on-site require an open investigation or favorable adjudicated Tier 3 by the Vetting Risk Operations Center (VROC). An interim clearance is granted by VROC and recorded in the Defense Information System for Security (DISS). An open or closed investigation with a favorable adjudication is required prior to issuance of a badge providing access to NSWCPD buildings. Furthermore, if the Navy Central Adjudication Facility, have made an unfavorable determination access will be denied. For Common Access Card (CAC) you must have an open investigation and/or a favorably adjudicated investigation. Interim security clearance are acceptable for a CAC. Access will be denied for anyone that has eligibility pending in DISS. Vetting through the National Crime Information Center, Sex Offender Registry, and the Terrorist screening database shall be process for a contractor that does not have a favorable adjudicated investigation.

5.1.2 Within 30 days after contract award, the contractor shall submit a list of all contractor personnel, including subcontractor employees, who will have access to DON information systems and/or work on-site at one of the NSWCPD sites to the appointed Contracting Officer Representative (COR) via email. The contractor shall provide each employee's first name, last name, contract number, the NSWCPD technical code, work location, whether or not the employee has a CAC and or Standard Access Control Badge (SACB), the systems the employee can access (i.e., NMCI, RDT&E), and the name of the Contractor's local point of contact, phone number and email address. Throughout the period of performance of the contract, the Contractor shall immediately provide any updated information to the COR when any Contractor personnel changes occur including substitutions or departures.

5.2 ON SITE WORK. N/A

5.3 DD254 REQUIREMENT

This effort may require access to classified information up to the SECRET level. No classified data will be generated or stored by the Contractor. The Contractor is required to have and maintain a SECRET clearance. The requirements of the attached DD Form 254 apply.

5.3.1 The contractor is required to maintain a Facility Security Clearance (FCL) in accordance with the DD254 to perform certain work under the contract. Although it is not required at time of award, it shall be obtained within 30 days after award. Otherwise the government will have no obligation to continue ordering work under the contract and may not exercise any of the available options.

5.3.2 The Contractor shall appoint a Facility Security Officer (FSO), who shall (1) be responsible for all security aspects of the work performed under this contract, (2) assure compliance with the National Industrial Security Program Operating Manual (NISPOM) (32 CFR Part 117), and (3) assure compliance with any written instructions from the NSWCPD, Security Office.

5.3.3 The contractor shall forward signed copies of DD254s provided to subcontractors to the Naval Surface Warfare Center Philadelphia Division (NSWCPD), ATTN: Security.

5.3.4 The contractor shall direct the subcontractor to obtain approval, through the prime Contractor, for the public release of information received or generated by the sub through the prime Contractor.

5.3.5 The contractor shall submit the subcontractor request for public release through the technical point of contact identified on the DD 254.

5.4 OPERATIONS SECURITY (OPSEC)

5.4.1 The Contractor shall protect critical information associated with this contract to prevent unauthorized disclosure. The NSWC Philadelphia Division's (NSWCPD) Critical Information List (CIL)/ CIIL (Critical Indicators and information list) will be provided on site, if warranted. Performance under this contract requires the contractor to adhere to OPSEC requirements, which may include the NSWCPD Contractor OPSEC Plan. When the NSWCPD Contractor OPSEC Plan is required, the contractor shall return acknowledgment of the plan within 15 days of receipt. During the period of this contract, the Contractor may be exposed to, use, or produce, NSWCPD Critical Information (CI) and/or observables and indicators which may lead to discovery of CI. NSWCPD’s CI will not be distributed to unauthorized third parties, including foreign governments, or companies under Foreign Ownership, Control, or Influence (FOCI) unless such FOCI has been appropriately mitigated through measures approved by the Defense Counterintelligence and Security Agency. Questions concerning these requirements shall be directed to the PCO.

5.4.2 CUI correspondence transmitted internally on the contractor's unclassified networks or information systems, and externally, shall be protected per NIST SP-800-171, Protecting Controlled Unclassified Information (CUI) in Non-federal Systems and Organizations.

Assembled large components/systems being transported to and from testing areas, other production or government facilities (whether or not on public roadways) shall be in an enclosed van trailer or covered flatbed trailer. Component/System outside storage, staging, and test areas shall be shielded/obscured from public view wherever physically possible.

5.4.3 NSWCPD’s CI shall not be publicized in corporate wide newsletters, trade magazines, displays, intranet pages or public facing websites. Media requests related to this project shall be directed to the PCO, and the COR who will forward the required to the NSWCPD Public Release Authority for review.

5.4.4 Any attempt by unauthorized third parties to solicit, obtain, photograph, or record, or; incidents of loss/compromise of government Classified or CI, Business Sensitive, Company Proprietary information related to this or other program must be immediately reported to the contractor's Facility Security Officer and Cognizant Security Office and/or the Naval Criminal Investigative Service, and the NSWC PD Security Division (Code 105).

5.4.5 This SOW has been reviewed against the requirements of SECNAVINST 4200.35. SAIRC controls are not required

5.5 RECEIPT, STORAGE, AND GENERATION OF CONTROLLED UNCLASSIFIED INFORMATION (CUI) All Controlled Unclassified Information (CUI) associated with this contract must follow the minimum marking requirements of DoDI 5200.48, Section 3, paragraph 3.4.a, and include the acronym "CUI" in the banner and footer of the document. In accordance with DoDI 5200.48, CUI must be safeguarded to prevent Unauthorized Disclosure (UD). CUI export controlled technical information or other scientific, technical, and engineering information must be marked with an export control warning as directed in DoDI 5230.24, DoDD 5230.25, and Part 250 of Title 32, CFR. Nonfederal information systems storing and processing CUI shall be protected per NIST SP-800-171, or subsequent revisions. All transmissions to personal email accounts (AOL, Yahoo, Hotmail, Comcast, etc.) and posting on social media websites (Facebook, Instagram, Twitter, LinkedIn, etc.) are prohibited. Destroy CUI associated with this contract by any of the following approved methods: A cross-cut shredder; a certified commercial destruction vendor; a central destruction facility; incineration; chemical decomposition; pulverizing, disintegration; or methods approved for classified destruction.

5.6 PLANNING, PROGRAMMING, BUDGETING AND EXECUTION (PPBE) DATA.

When contractor employees, in the performance of their duties, are exposed to Planning, Programming, Budgeting and Execution (PPBE) data, a Non-Disclosure Agreement (NDA) with all affected contactor personnel must be executed in coordination with the COR and PCO to ensure safeguarding disclosure of this data.

5.7 U-NNPI SECURITY REQUIREMENTS

N/A

5.8 U-NNPI

N/A

6.0 PLACE OF PERFORMANCE

The contractor’s primary place of performance shall be at the contractor’s facility.

7.0 TRAVEL

N/A

8.0 GOVERNMENT FURNISHED PROPERTY

N/A

9.0 GOVERNMENT FURNISHED INFORMATION

The below Government Furnished Information (GFI) produce 20 DAU parts defined in Section 3.1.

DAU Type 1-8

· DWG No. 6002341: Assembly, Mounting Panel, DAU

· DWG No. 6002344: Assembly, Enclosure, DAU DAU Type 1

· DWG No. 6001999-1: Assembly, Electrical Panel, DAU Type 1

· DWG No. 100-CA-2314-1_-: Assembly, DAU, Type 1

· DWG No. 100-CA-2314-1-INS: Installation Drawing, DAU Type 1

· DWG No. 870177: Wire List Table for 9100423 DAU Type 1

· DWG No. 9100423: Schematic Drawing 100-CA-2314-1-DAU1 DAU Type 2

· DWG No. 6001999-2: Assembly, Electrical Panel, DAU Type 2

· DWG No. 100-CA-2314-2_-: Assembly, DAU, Type 2

· DWG No. 100-CA-2314-2-INS: Installation Drawing, DAU Type 2

· DWG No. 870178: Wire List Table for 9100424 DAU Type 2

· DWG No. 9100424: Schematic Drawing 100-CA-2314-2-DAU2 DAU Type 3

· DWG No. 6001999-3: Assembly, Electrical Panel, DAU Type 3

· DWG No. 100-CA-2314-3_-: Assembly, DAU, Type 3

· DWG No. 100-CA-2314-3-INS: Installation Drawing, DAU Type 3

· DWG No. 870179: Wire List Table for 9100425 DAU Type 3

· DWG No. 9100425: Schematic Drawing 100-CA-2314-3-DAU3 DAU Type 4

· DWG No. 6001999-4: Assembly, Electrical Panel, DAU Type 4

· DWG No. 100-CA-2314-4_-: Assembly, DAU, Type 4

· DWG No. 100-CA-2314-4-INS: Installation Drawing, DAU Type 4

· DWG No. 870180: Wire List Table for 9100426 DAU Type 4

· DWG No. 9100426: Schematic Drawing 100-CA-2314-4-DAU4 DAU Type 5

· DWG No. 6001999-5: Assembly, Electrical Panel, DAU Type 5

· DWG No. 100-CA-2314-5_-: Assembly, DAU, Type 5

· DWG No. 100-CA-2314-5-INS: Installation Drawing, DAU Type 5

· DWG No. 870181: Wire List Table for 9100427 DAU Type 5

· DWG No. 9100427: Schematic Drawing 100-CA-2314-5-DAU5

DAU Type 6

· DWG No. 6001999-6: Assembly, Electrical Panel, DAU Type 6

· DWG No. 100-CA-2314-6_-: Assembly, DAU, Type 6

· DWG No. 100-CA-2314-6-INS: Installation Drawing, DAU Type 6

· DWG No. 870182: Wire List Table for 9100428 DAU Type 6

· DWG No. 9100428: Schematic Drawing 100-CA-2314-6-DAU6 DAU Type 7

· DWG No. 6001999-7: Assembly, Electrical Panel, DAU Type 7

· DWG No. 100-CA-2314-7_-: Assembly, DAU, Type 7

· DWG No. 100-CA-2314-7-INS: Installation Drawing, DAU Type 7

· DWG No. 870183: Wire List Table for 9100429 DAU Type 7

· DWG No. 9100429: Schematic Drawing 100-CA-2314-7-DAU7 DAU Type 8

· DWG No. 6001999-8: Assembly, Electrical Panel, DAU Type 8

· DWG No. 100-CA-2314-8_-: Assembly, DAU, Type 8

· DWG No. 100-CA-2314-8-INS: Installation Drawing, DAU Type 8

· DWG No. 870184: Wire List Table for 9100430 DAU Type 8

· DWG No. 9100430: Schematic Drawing 100-CA-2314-8-DAU8 DAU Type 9

· DWG No. HRD-CA-2608: Assembly, Type 9 DAU

· DWG No. HRD-CA-2608-INS: Installation Drawing, DAU Type 9

· DWG No. 870185: Wire List Table for 9100431 DAU Type 9

· DWG No. 9100431: Schematic Drawing HRD-CA-2608 DAU Type-9

10.0 PURCHASES

N/A

11.0 COUNTERFEIT MATERIAL PREVENTION

11.1 Electronic End-Items

11.1.1 Counterfeit Parts and Materials Planning

The contractor planning shall document procedures and processes to minimize the risk of procuring and/or using counterfeit parts and materials, and their process for detecting counterfeit materiel in the event it is procured. This requirement applies to both new/modified and existing mission and safety critical hardware. SAE AS5553 contains information regarding the detection, avoidance, and mitigation of counterfeit electronic components, and may be used as a reference document for the development of the plan.

11.1.2 Counterfeit Parts and Materials System

System criteria. A counterfeit electronic part detection and avoidance system shall include risk-based policies and procedures that address, at a minimum, the following areas:

· The training of personnel.

· The inspection and testing of electronic parts, including criteria for acceptance and rejection. Tests and inspections shall be performed in accordance with accepted Government- and industry-recognized techniques. Selection of tests and inspections shall be based on minimizing risk to the Government. Determination of risk shall be based on the assessed probability of receiving a counterfeit electronic part; the probability that the inspection or test selected will detect a counterfeit electronic part; and the potential negative consequences of a counterfeit electronic part being installed (e.g., human safety, mission success) where such consequences are made known to the Contractor.

· Processes to abolish counterfeit parts proliferation.

· Risk-based processes that enable tracking of electronic parts from the original manufacturer to product acceptance by the Government, whether the electronic parts are supplied as discrete electronic parts or are contained in assemblies, in accordance with paragraph (c) of the clause at 252.246-7008, Sources of Electronic Parts (also see paragraph (c)(2) of this clause).

· Use of suppliers in accordance with the clause at 252.246-7008.

· Reporting and quarantining of counterfeit electronic parts and suspect counterfeit electronic parts. Reporting is required to the Contracting Officer and to the Government-Industry Data Exchange Program (GIDEP) when the Contractor becomes aware of, or has reason to suspect that, any electronic part or end item, component, part, or assembly containing electronic parts purchased by the DoD, or purchased by a Contractor for delivery to, or on behalf of, the DoD, contains counterfeit electronic parts or suspect counterfeit electronic parts. Counterfeit electronic parts and suspect counterfeit electronic parts shall not be returned to the seller or otherwise returned to the supply chain until such time that the parts are determined to be authentic.

· Methodologies to identify suspect counterfeit parts and to rapidly determine if a suspect counterfeit part is, in fact, counterfeit.

· Design, operation, and maintenance of systems to detect and avoid counterfeit electronic parts and suspect counterfeit electronic parts. The Contractor may elect to use current Government- or industry-recognized standards to meet this requirement.

· Flow down of counterfeit detection and avoidance requirements, including applicable system criteria provided herein, to subcontractors at all levels in the supply chain that are responsible for buying or selling electronic parts or assemblies containing electronic parts, or for performing authentication testing.

· Process for keeping continually informed of current counterfeiting information and trends, including detection and avoidance techniques contained in appropriate industry standards, and using such information and techniques for continuously upgrading internal processes.

· Process for screening GIDEP reports and other credible sources of counterfeiting information to avoid the purchase or use of counterfeit electronic parts.

· Control of obsolete electronic parts in order to maximize the availability and use of authentic, originally designed, and qualified electronic parts throughout the product’s life cycle.

11.1.3 Preventing Counterfeit Parts and Materials

The Contractor shall take steps as defined in DFARS 252.246-7007 and herein to minimize the risk of receiving counterfeit parts and materials. The Contractor shall:

• Maximize availability of authentic, originally designed and/or qualified parts throughout the product’s life cycle, including management of parts obsolescence

• Assess potential suppliers to minimize the risk of receiving counterfeit parts or materials

• Maintain a listing of approved suppliers with documented criteria for approval and removal of suppliers from the list

• Have purchasing procedures which require the selection of parts and materials from OM or authorized suppliers whenever possible

• Require a certificate of compliance and supply chain traceability for all electronic part purchases, and provide to the Government upon request

• Use Government or industry services such as GIDEP and other commercially available services to identify part or supplier quality or authenticity problems

• Incorporate procurement clauses which plainly identify quality requirements and liability to all approved suppliers

• Flow the requirements above to affected Subcontractors

SAE AS6174 contains information regarding the detection, avoidance, and mitigation of counterfeit materiel, and may be used as a reference document for meeting the above steps.

Parts and materials shall not be purchased from unauthorized sources (e.g. independent distributor or broker).

11.1.4 Counterfeit Parts and Materials

The Contractor shall follow a Counterfeit Prevention Plan to minimize the risk of procuring and/or using counterfeit parts and materials. Solicitations and subcontracts for all suppliers shall contain a requirement for procedures to minimize the risk of procuring and/or using counterfeit parts and materials.

11.1.4.1 Preventing Counterfeit Parts and Materials

The Contractor shall implement steps as defined in DFARS 252.246-7007 to minimize the risk of receiving counterfeit parts and materials. Parts and materials shall not be purchased from unauthorized suppliers (e.g. independent distributor or broker).

11.1.5 Counterfeit Parts and Materials

The following minimum processes shall be implemented and flowed down by the Contractor to all subcontractors. In order to minimize the risk of use of counterfeit parts in LCS Independence Advanced Engineering Control Systems (AECS) Data Acquisition Unit (DAU) Production, spare parts and associated equipment.

The contractor shall establish processes to minimize the risk of procuring and using counterfeit parts and materials. The contractor shall document these processes and provide those documented processes to Government representatives upon request.

At a minimum, these processes shall ensure that:

• All components for LCS Independence Advanced Engineering Control Systems (AECS) Data Acquisition Unit (DAU) Production electronic assemblies and subassemblies are purchased from Original Manufacturer (OM), authorized suppliers, or franchised distributors; At a minimum, the contractor shall ensure that procurement practices and processes to purchase and install components from OM, authorized suppliers, or franchised distributors are flowed down to subcontractors and suppliers at all tiers

• A counterfeit Prevention Plan shall be generated in accordance with DI-MISC-81832 Counterfeit Prevention Plan, and that the requirements of this DID and AS5553 are flowed down to all subcontractors and suppliers in this effort;

• The Contractor shall maximize the use of authentic, originally designed and/or qualified parts

• The contractor shall assess potential suppliers to minimize the risk of receiving counterfeit parts or materials

• The contractor shall have purchasing procedures which confirm whether a selected supplier is authorized (as defined in SAE AS5553) for each purchase

• The contractor shall define minimum inspection and test requirements for parts being procured and shall ensure that in-house, third-party, and/or supplier inspection and test procedures and facilities comply with the requirements of this section. These minimum inspection and test requirements shall specify appropriate test methods to detect potential counterfeit parts and materials

• The contractor shall require a certificate of conformance (as defined in SAE AS5553) and supply chain traceability for all electronic part purchases

• The contractor shall use government or industry services such as GIDEP and other commercially available services to identify part or supplier quality or authenticity problems. The Contractor shall notify Small Combatant and Expeditionary Modernization and Sustainment (PMS 321) of the occurrence of a confirmed counterfeit part or material and the actions taken to identify, contain, and impound all product from the lot, within 7 working days of confirmation of the counterfeit status. The Contractor shall flow down a requirement for similar notification from Subcontractors or suppliers at any tier to the Contractor. The contractor shall initiate and submit an ALERT to the Government- Industry Data Exchange Program (GIDEP) within 60 days of knowledge of the counterfeit part or material. Counterfeit parts are defined in SAE Aerospace Standard 5553. Counterfeit parts may be electronic or mechanical in nature. Counterfeit electronic parts may typically be used parts which have been refurbished and represented as new. Commonly counterfeited electronic parts include parts such as microcontrollers or specially screened devices, or common parts, which have several pin-compatible versions from multiple manufacturers, such as memory devices and operational amplifiers. Counterfeit mechanical parts are typically improperly made, marked, or treated products. Examples are improper anodization or heat treatments (or falsified data), mismarked parts sold as higher grade steel, or used/fake parts such as valves or circuit breakers.

11.1.6 Data Item Description

Data Item Description (DID) DI-MISC-81832, Counterfeit Prevention Plan: This DID describes the format and content of a contractors “Counterfeit Prevention Plan,” and should be used by the procurement activity when requesting delivery of a counterfeit prevention plan.

11.1.7 Grey Market Statement (For CISCO Equipment)

Reseller and Equipment Qualification: Reseller shall certify that it is a CISCO Authorized Channel Partner as of the date of the submission of their offer, and that it has the certification/specialization level required by the Manufacturer to support both the product sale and product pricing, in accordance with the applicable Manufacturer certification/specialization requirements: Please provide proof of certification level with your quote submission. If proof of certification level is not provided with your quote submission, your quote may be considered non‐responsive. Vendor shall warrant that the products are NEW and in their original UNOPENED box. Only CISCO installed and configured components are acceptable. Installation and / or configuration of third party components, or installation and / or configuration of OM components by any other than CISCO are NOT acceptable. The Vendor confirms to have sourced all Manufacturer products submitted in this offer from Manufacturer or through Manufacturer Authorized Channels only. Vendor shall provide Buyer with a copy of the End User license agreement pre‐award, and shall certify that all Manufacturer software is licensed originally to Buyer as the original licensee authorized to use the Manufacturer Software. Only authentic OM equipment and support services sourced from authorized OM channels are acceptable. Equipment, materials, and services not meeting the above stated qualifications are not acceptable and will be returned to the reseller.

11.1.8 Containing Counterfeit Parts and Materials

Suspect counterfeit parts and materials shall be impounded with all other items from the same lot. The contractor shall identify and locate all potential users or hardware items with the suspect part or material, and contain product which has this suspect product, pending confirmation of the part or material’s authenticity. The OM may be involved at this point in order to verify authenticity. Confirmed counterfeit material shall be contained and provided to investigative agencies for ongoing investigation or prosecution. The counterfeit product shall not be scrapped or otherwise disposed of without approval from investigative authorities or the program office. Confirmed counterfeit product shall not be returned or handled in a way which would allow its resale or reuse. Suspect counterfeit parts or materials whose authenticity (or lack of) cannot be definitively determined, shall be dispositioned via Material Review Board (MRB).

11.1.9 Reporting Counterfeit Parts and Materials

The prime contractor and program office shall be notified of the occurrence of a suspect or confirmed counterfeit part or material, and the actions taken to identify, contain, and impound all product from the lot. The contractor shall also contact the OM, and supplier if applicable. The contractor shall initiate and submit an ALERT to the Government-Industry Data Exchange Program (GIDEP) within 60 days of knowledge of the counterfeit part or material. The contractor shall notify the appropriate parties to document the case for legal action if required (e.g., contracting officer, DOD Office of Inspector General).

11.1.10 Nonconforming Material and Parts

Electrical components which fail during production or acceptance testing shall be assessed to determine if the supplier of the part was an authorized supplier for the manufacturer. Analysis of these failures shall include assessment of part authenticity (potential of being counterfeit or fraudulent).

11.1.11 Warranty “Counterfeit”

11.1.11.1 Seller warrants the goods delivered pursuant to this Contract, unless specifically stated otherwise in this Contract, shall (i) be new (ii) be free from defects in workmanship, materials, and design and (iii) be in accordance with all the requirements of this Contract. Seller further warrants that the performance of work and services shall conform with the requirements of this Contract and to high professional standards. All warranties in this Contract shall survive inspection, test, final acceptance and payment of goods and services.

11.1.12.1 Unless Buyer expressly identifies the goods that are procured under this Contract as nontechnical and for Buyer’s internal use only, Seller warrants without limitation as to time that the goods delivered pursuant to this Contract shall (i) be and only contain materials obtained directly from the OM or an authorized OM reseller or distributor (collectively, an Authorized Distributor); (ii) not be or contain Counterfeit Items or Suspect Counterfeit Items, as defined below; and (iii) contain only authentic, unaltered OM labels and other markings. Seller shall obtain and retain all documentation required to fully trace the distribution and sale of the goods delivered hereunder back to the relevant OM, and, on request of Buyer, shall provide such authenticating documentation. Counterfeit Item means an unlawful or unauthorized reproduction, substitution, alteration, or the false identification of grade, serial number, lot number, date code, or performance characteristic, that has been knowingly mismarked, misidentified, or otherwise misrepresented to be an authentic, unmodified item from the OM, an Authorized Distributor, or an Aftermarket Manufacturer as defined in SAE AS5553 “Counterfeit Electronic Parts;

Avoidance, Detection, Mitigation, and Disposition” (Authorized Aftermarket Manufacturer). A Suspect Counterfeit Item means an item for which credible evidence (including, but not limited to, visual inspection or testing) provides reasonable doubt that the item is authentic. Seller warrants that it will not act as or engage an independent distributor, non-authorized distributor, non-franchised distributor, non-authorized supplier, or non-authorized reseller (collectively, Broker), to assist it in delivering goods pursuant to this Contract unless the Buyer provides prior written approval to do so. Any Seller request to procure from a Broker shall include complete and compelling support for such request and shall include all actions completed by Seller to ensure the goods thus procured are not Counterfeit Items. Seller’s supporting documentation shall include: (i) results of authentication test and analysis conducted (reference SAE AS5553 ), (ii) traceability with identification of all supply chain intermediaries wherever such traceability exists, and (iii) identification of and traceability to the source for any remarked or resurfaced material. Seller shall include the substance of this Section in any agreement between Seller and Seller’s lower tier subcontractors, including in any agreement between Seller and Seller’s Broker, and Seller shall cause Seller’s lower tier subcontractors and Seller’s Broker to include the substance of this Section in all agreements with any of their lower tier subcontractors.

11.1.12.2 Unless Buyer expressly identifies the goods that are procured under this Contract as nontechnical and for Buyer’s internal use only, Seller, as OM, Authorized Distributor, Authorized Aftermarket Manufacturer or Broker approved by Buyer, further warrants that it has and shall maintain a Counterfeit Item risk mitigation process, internally and with its suppliers, (reference SAE AS5553), for goods delivered hereunder, and in accordance with the standards or instructions set forth in any Buyer’s specifications and other required provisions and specifications incorporated into this Contract. Buyer shall have the right to audit, inspect, and / or approve the processes at any time before or after delivery of the goods ordered hereunder. Seller shall provide evidence of the Seller’s risk mitigation process to Buyer upon request. Buyer shall have the right to require changes to the processes to conform with Buyer’s defined standards, if any. Seller and Seller's lower-tier subcontractors that are allowed access to the US Government Industry Data Exchange Program (GIDEP) shall participate in monitoring GIDEP reports and Seller shall act on GIDEP reports that affect product delivered to Buyer. Seller shall immediately notify Buyer with the pertinent facts if Seller becomes aware of or suspects that items delivered for the Contract are, or contain, suspect or confirmed counterfeit items. Failure of the Seller or any of its lower-tier subcontractors to conform its processes with Buyer’s defined standards may result in the termination of this Contract in accordance with the termination provisions set forth herein. If, during Buyer’s inspection procedures, a good delivered hereunder is discovered to be a Counterfeit Item or Suspect Counterfeit Item, Buyer shall have the right to quarantine the good for further investigation of its authenticity. Buyer’s investigation may include the participation of third parties or governmental investigative agencies as required by law or regulations by Buyer’s customer, or by Buyer, in its sole discretion. The Seller and/or the Seller’s lower-tier subcontractors shall cooperate in good faith with any investigation conducted by Buyer, including, but not limited to, cooperation by Seller’s or Seller’s lower-tier subcontractor’s staffs responsible for the maintenance and disclosure of all design, development, manufacturing, and traceability records with respect to the good in possession of Seller or Seller’s lower-tier subcontractor. Upon Buyer’s request, Seller shall provide Buyer certificates of conformance with respect to the goods delivered. Buyer shall not be required to return the good to the Seller during the investigation process or thereafter. Buyer shall not be liable for payment to Seller of the price of any Suspect Counterfeit Items under investigation. When so authorized by Buyer, Seller shall be responsible for counterfeit risk mitigation testing and providing traceability identifiers (i.e. Date Code / Lot Code, Serial number) for Broker procured parts, and identifying items delivered to Buyer that contain such parts. If Buyer determines in its sole discretion that there is credible evidence after visual inspection, testing, or other information that a good delivered under this Contract may have been misrepresented by the Seller or Seller’s lower-tier subcontractor and constitutes a Counterfeit Item or Suspect Counterfeit Item, Seller, or its lower-tier subcontractor, shall, if directed by Buyer to do so, issue a GIDEP alert and shall ensure suspect or confirmed Counterfeit Items are not delivered to Buyer. Buyer reserves its right hereunder, to issue its own GIDEP alert if, after investigation, Buyer concludes, in its sole estimation, that a good is a Counterfeit Item or Suspect Counterfeit Item. Seller shall include the substance of this Section in any agreement between Seller and Seller’s lower tier subcontractors, including in any agreement between Seller and Seller’s Broker, and Seller shall cause Seller’s lower tier subcontractors and Seller’s Broker to include the substance of this Section in all agreements with any of their lower tier subcontractors.

11.1.12.3 Seller warrants without limitation as to time that any hardware, software and firmware goods delivered under this Contract: (i) shall not contain any viruses, malicious code, Trojan horse, worm, time bomb, self-help code, back door, or other software code or routine designed to: (a) damage, destroy or alter any software or hardware; (b) reveal, damage, destroy, or alter any data.

11.1.13 Counterfeit Mitigation

Seller warrants that the goods delivered pursuant to this Contract shall (i) be and only contain materiels obtained directly from the OM or an authorized OM reseller or distributor; (ii) not be or contain Counterfeit Items, as defined below; and (iii) contain only authentic, unaltered OM labels and other markings. Seller shall obtain and retain all documentation required to fully trace the distribution and sale of the goods delivered hereunder back to the relevant OM, and, on request of Buyer, shall provide such authenticating documentation. Counterfeit Items include, but are not limited to, goods or separately-identifiable items or components of goods that: (i) are an illegal or unauthorized copy or substitute of an OM item; (ii) are not traceable to an OM sufficient to ensure authenticity in OM design and manufacture; (iii) do not contain proper external or internal materials or components required by the OM or are not constructed in accordance with OM design; (iv) have been re-worked, re-marked, re-labeled, repaired, refurbished, or otherwise modified from OM design but not disclosed as such or are represented as OM authentic or new; (v) have not passed successfully all OM required testing, verification, screening, and quality control processes; or (vi) an item with altered or disguised documentation, package labeling, or item marking intended to mislead a person into believing a non-OM item is genuine, or that an item is of better or different performance when it is not. Seller further warrants that it has and shall have an internal Counterfeit Item control process for goods delivered hereunder in accordance with the standards or instructions set forth in any Buyer's specifications, including but not limited to specifications, or other provisions incorporated into this Contract. Buyer shall have the right to audit, inspect, and / or approve the processes at any time before or after delivery of the goods ordered hereunder. Buyer shall have the right to require changes to the processes to conform to Buyer's defined standards, if any. Failure of the Seller to conform its processes to Buyer's defined standards may result in the termination of this Contract in accordance with the termination provisions set forth herein. Seller shall include this clause in any agreement between Seller and its lower tier sellers.

11.1.14 Seller warrants that any hardware, software and firmware goods delivered under this Contract: (i) shall not contain any viruses, malicious code, Trojan horse, worm, time bomb, selfhelp code, back door, or other software code or routine designed to: (a) damage, destroy or alter any software or hardware; (b) reveal, damage, destroy, or alter any data; (c) disable any computer program automatically; or (d) permit unauthorized access to any software or hardware; (ii) shall not contain any third party software (including software that may be considered free software or open source software) that (a) may require any software to be published, accessed or otherwise made available without the consent of Buyer, or (b) may require distribution, copying or modification of any software free of charge; and (iii) shall not infringe any patent, copyright, trademark, or other proprietary right of any third party or misappropriate any trade secret of any third party.

11.1.15 New Materiels; Anti-Counterfeit Mitigation

11.1.15.1 For Subcontractors, Contract Manufacturers, and Authorized Distributors - Only new and authentic materiel are to be used in products delivered to Buyer. No counterfeit or suspect counterfeit materiel is to be contained within the delivered product. Materiel shall be purchased directly from the OMs, or through the OMs Authorized Distributor. Documentation must be available that authenticates traceability to the applicable OM. Independent Distributors (Brokers) shall not be used without written consent from Buyer.

11.1.15.2 For Independent Distributors - Independent Distributor's procedures shall meet the intent of the requirements of IDEA-STD-1010 & SAE AS6081 and have a Quality Management System certified to AS9100 and/or AS9120. When available, the OM’s Certificate of Conformance and all traceability documentation shall be included with each shipment of parts. It shall include the manufacturer's name, part number, date codes, lot codes, serializations, and / or any other batch identifications. Inspections and tests required are as noted in the Subcontract. Recorded evidence of all testing performed shall be included with each shipment. If suspect/counterfeit parts are furnished under this Subcontract and are found in any of the Goods delivered hereunder, such items will be impounded by Buyer. The Seller shall promptly replace such suspect/counterfeit parts with parts acceptable to the Buyer and the Seller shall be liable f or all costs relating to the removal and replacement of said parts as specified in the Subcontract requirements or Distributor's insurance policies. Buyer reserves all contractual rights and remedies to address grievances and detrimental impacts caused by suspect/counterfeit parts.

11.1.16 Goods Warranty; Anti-Counterfeit Mitigation

11.116.1 Seller warrants the Goods delivered pursuant to this Contract, unless specifically stated otherwise in this Contract, shall (i) be new; (ii) be and only contain materials obtained directly from the OM or an authorized OM reseller or distributor (Note - Independent Distributors (Brokers) shall not be used by Seller without written consent from Buyer); (iii) not be or contain Counterfeit Items; (iv) contain only authentic, unaltered OM labels and other markings; (v) have documentation made available upon request that authenticates traceability to the applicable OM; and (vi) be free from defects in workmanship, materials, and design and conform to all the specifications and requirements of this Subcontract. These warranties shall survive inspection, test, final acceptance and payment of Goods and Services.

11.1.16.2 For purposes of this section, a "Counterfeit Item" is defined to include, but is not limited to, (i) an item that is an illegal or unauthorized copy or substitute of an OM item; (ii) an item that does not contain the proper external or internal materials or components required by the OM or that is not constructed in accordance with OM specification; (iii) an item or component thereof that is used, refurbished or reclaimed but the Seller represents as being a new item; (iv) an item that has not successfully passed all OM required testing, verification, screening and quality control but that Seller represents as having met or passed such requirements; (v) an item with a label or other marking intended, or reasonably likely, to mislead a reasonable person into believing a non-OM item is a genuine OM item when it is not or (vi) material that has been confirmed to be a copy, imitation or substitute that has been represented, identified or marked as genuine, and/or altered by a source without legal right with intent to mislead, deceive or defraud.

11.1.16.3 Seller warrants that any hardware, software, and firmware Goods delivered under this Subcontract to the extent reasonably possible: (i) do not contain any viruses, malicious…