DTFH61-10-R-00041.pdf

DTFH61-10-R-00041

SOLICITATION, OFFER AND AWARD

4. TYPE OF SOLICITATION2. CONTRACT NUMBER 3. SOLICITATION NUMBER

7. ISSUED BY CODE 8. ADDRESS OFFER TO (If other than Item 7)

ORDER UNDER DPAS (15 CFR 700)

6. REQUISITION/PURCHASE NUMBER

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

NEGOTIATED (RFP)

SEALED BID (IFB)

5. DATE ISSUED

1. THIS CONTRACT IS A RATED RATING PAGE OF PAGES

1 55

C. E-MAIL ADDRESS

EXT.NUMBERAREA CODE

B. TELEPHONE (NO COLLECT CALLS)A. NAME

10. FOR

INFORMATION

CALL:

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.

(Date)(Hour) local timeuntildepository located in copies for furnishing the supplies or services in the Schedule will be received at the place specified in Item 8, or if hand carried, in the

SOLICITATION

9. Sealed offers in original and

PART IV - REPRESENTATIONS AND INSTRUCTIONS

OTHER STATEMENTS OF OFFERORS

EVALUATION FACTORS FOR AWARD

INSTRS., CONDS., AND NOTICES TO OFFERORS

REPRESENTATIONS, CERTIFICATIONS AND

LIST OF ATTACHMENTS

CONTRACT CLAUSES

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

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J

K

L

M SPECIAL CONTRACT REQUIREMENTS

CONTRACT ADMINISTRATION DATA

DELIVERIES OR PERFORMANCE

INSPECTION AND ACCEPTANCE

PACKAGING AND MARKING

DESCRIPTION/SPECS./WORK STATEMENT

SUPPLIES OR SERVICES AND PRICES/COSTS

SOLICITATION/CONTRACT FORM

PART II - CONTRACT CLAUSESPART I - THE SCHEDULE

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G

F

E

D

C

B

A

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

11. TABLE OF CONTENTS

18. OFFER DATE17. SIGNATURE

SUCH ADDRESS IN SCHEDULE.

IS DIFFERENT FROM ABOVE - ENTER

15C. CHECK IF REMITTANCE ADDRESS

EXT.NUMBERAREA CODE

15B. TELEPHONE NUMBER

(Type or print)AND

ADDRESS

OF

OFFEROR

CODE FACILITY

16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER15A. NAME

DATEAMENDMENT NO.DATEAMENDMENT NO.

and related documents numbered and dated):

amendments to the SOLICITATION for offerors

(The offeror acknowledges receipt of

14. ACKNOWLEDGEMENT OF AMENDMENTS

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

(See Section I, Clause No. 52.232.8)

13. DISCOUNT FOR PROMPT PAYMENT

designated point(s), within the time specified in the schedule.

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 price set opposite each item, delivered at the

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

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)

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

28. AWARD DATE

(Signature of Contracting Officer)

27. UNITED STATES OF AMERICA

25. PAYMENT WILL BE MADE BY

26. NAME OF CONTRACTING OFFICER (Type or print)

CODE 24. ADMINISTERED BY (If other than Item 7)

ITEM

(4 copies unless otherwise specified)

23. SUBMIT INVOICES TO ADDRESS SHOWN IN

41 U.S.C. 253 (c) ( 10 U.S.C. 2304 (c) (

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION:

21. ACCOUNTING AND APPROPRIATION20. AMOUNT19. ACCEPTED AS TO ITEMS NUMBERED

AWARD (To be completed by government)

CODE

41-12-1002208/17/2010 X

HAAM-30

FEDERAL HIGHWAY ADMINISTRATION

OFFICE OF ACQUISITION MANAGEMENT

1200 NEW JERSEY AVE, SE

WASHINGTON DC 20590

HAAM - DEPOSITORY 1500 ES 09/17/2010

Robin D. Gates 202 robin.gates@dot.gov

366-4251

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X

X

X

X

X

X

X

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PAGE(S)

Robin K. Hobbs

AUTHORIZED FOR LOCAL REPRODUCTION

Previous edition is unusable

STANDARD FORM 33 (Rev. 9-97)

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

3-9 9-10 10-11 11-18 18-25

26-33

35-40

40-52

52-55 robin.gates Typewritten Text 1200 New Jersey Avenue, S.E., Room E 65-101 Mailstop HAAM 30C

Request for Proposal (RFP)

PART I- The Schedule

SECTION B – SUPPLIES OR SERVICES AND PRICES/COSTS

The Contractor shall provide and furnish the necessary and qualified personnel, facilities, equipment, materials, and supplies not otherwise provided by the Government, as needed to perform the requirements set forth in the Statement of Work (SOW), entitled, “Performance-Based Contractor Prequalification as an Alternative to Performance Bonds”

The total estimated amount of this contract is __________. The total fixed fee is ________________. The total estimated cost plus fixed fee is ______________.

Period of Performance

Estimated Cost

Fixed Fee

Total Cost Plus Fixed Fee Funded

Pending availability of funds

All travel shall be reimbursed at cost in accordance with the travel and per diem clause found in Section G. Unless otherwise approved in writing by the Contracting Officer, the un-loaded cost of travel and per diem shall not exceed $______ per year. These costs are included in the total estimated costs above.

(End of Section B)

SECTION C – DESCRIPTION/SPECIFICATIONS/WORK STATEMENT

INTRODUCTION

The National Cooperative Highway Research Program (NCHRP) Synthesis 390, Performance-Based Construction Contractor Prequalification, reported that under the current system of performance bonding, “a contractor with a marginal track record but the same level of financial assets will receive the same bonding capacity, and hence the same opportunity to bid, as another contractor with a record of exemplary performance.

This creates a situation in which the agency is subsidizing marginal performance which, in turn, reduces the incentive for top performers to continue superior performance.

Therefore, a contractor prequalification system that directly rewards good past performance and encourages poor performers to improve is needed to rectify this unintended consequence.”

Most State Highway Agencies, in addition to having the financial protection provided by performance bonds, establish their own “Contractor Capacity Factors,” which also represent the financial capabilities of contractors to perform on a project. Some agencies also prequalify contractors based on their track record related to factors such as safety, timeliness, and quality. Each area may be given a different weight in the determination of a contractor’s performance. The performance normally covers the past several years and is weighted to give the most recent projects more influence. Contractors are allowed to appeal in an attempt to improve their rating. The performance ratings are used to either increase or decrease the amount of work a contractor can be given on the basis of the prequalification limit. For these agencies, the systems are already in place and work together to provide confidence that contractors will satisfactorily complete the projects they are awarded.

There is evidence, however, to show that these interrelated systems are neither cost-effective nor practical for some projects. Some of the questions being raised include:

1. Are performance bonds worth the extra expense to require them on every project?

2. Do current contractor prequalification systems add value to the completed construction project?

3. Are there redundancies among the components of the systems in current use?

4. How can the systems best work together?

5. Can/should a rigorous performance-based prequalification system be implemented for use in place of performance bonds?

In addition, the bonding of major projects presents some unique challenges to the surety industry, contracting agencies and construction contractors. For some projects exceeding one billion dollars, it has been difficult or impossible for bidders to obtain a performance bond for the full value of the contract as is typically required. Some owners have accepted alternate financial assurances in-lieu-of bonding; however, it is unknown if these assurances will provide adequate protection of the public interest when needed.

The results of the research under this contract may make a case for replacing performance bonds with contractor prequalification, or in some other way recommend changes to derive greater benefits from using performance bonds or alternate methods of financial assurance. In addition, State Transportation Agencies may use the results to assist them in exploring alternative means of awarding projects with confidence concerning the performance of the contractor. As a consequence, the research must be well documented as it has the potential for subsequent far reaching effects on contractors, sureties, and agencies as well as on the public.

OBJECTIVES

The objectives of this contract are to:

1. Document the benefits and cost of the current system of performance bonding in highway construction.

2. Quantify the benefits of replacing currently required performance bonds on some highway construction projects with a rigorous performance-based contractor prequalification system.

3. Provide State Highway Agencies with guidance on the development and implementation of the prequalification system.

SCOPE

This study will investigate the cost and benefit of performance bonding versus replacing performance bonding, to various degrees, with performance-based contractor prequalification. The scope of the study will cover all types of contracts for all types of work that is awarded by state highway agencies. The research involves the collection, organization, and analysis of data and other information received from State Highway Agencies, contractors, and sureties. The research product will provide recommendations on the cost effectiveness of performance bonds, and if applicable, guidance for State Highway Agencies who wish to develop and transition to a performance-based contractor prequalification system and recommendations for how such systems can best be implemented.

DELINEATION OF CONTRACTOR TASKS

In order to meet the contract objectives, the Contractor shall perform the following tasks:

Task A: Gather information

1. Conduct a literature review to gain an understanding of the following:

(a) The performance bonding policies and procedures as applied in highway construction by each of the three involved parties (i.e., contractor, surety, and agency);

(b) The costs of using performance bonds for both the agency and the contractor; and

(c) The agencies’ contractor prequalification and (lowest-bidder) post qualification procedures.

2. Interview contractor, surety, and state highway agency representatives to gain a more detailed and thorough understanding necessary to perform Tasks B through F. A maximum of nine representatives from each of the three parties shall be interviewed (i.e., maximum total of 27). The objective(s) of the interviews will vary for each party. Surveys must comply with the requirements of the Paperwork Reduction Act found at 5 C.F.R. 1320.

Task B: Document the Cost-Benefit of Performance Bonds

1. Document what it is costing agencies and contractors to use performance bonds relative to the benefits derived from their use. If a data collection survey or interview is undertaken, it shall be limited to a maximum of nine respondents; and

2. Address the impacts of having the requirement for performance bonds on non-traditional construction contracting methods.

Note:

An initial cost-benefit analysis shall be included with the plan to be submitted in Task D, however it is expected that the analysis will be enhanced with the data to be collected in Task E.

Task C: Develop Contractor Prequalification Model Program

1. Develop a recommended performance-based contractor prequalification model program. The model program shall be described in such detail as to provide sufficient guidance to any State Highway Agency that is interested in transitioning to a more performance-based prequalification system that provides an alternative to performance bonds while rewarding good past performance. The model program shall clearly define all criteria used to determine a contractor’s financial capability and technical/managerial ability, as well as a contractor’s past performance with respect to materials and workmanship quality, timeliness, safety, illegal behavior, etc.

2. As part of the model program, provide and describe two options for a State

Highway Agency: (a) the option to reduce a marginal contractor’s bidding capacity, and/or (b) the option to reduce a good contractor’s performance bonding requirements.

Note: At this point in model program development, only the basis for the reductions and the factors to be considered in (a) and (b) shall be furnished. The exact methods and specific criteria to be employed in making the reductions shall be developed in Subtask F.4.

Task D: Develop Interim Report

1. Identify four to six (4-6) State Highway Agencies for data collection in Task E and data analysis in Task F. These agencies should be representative of the United States to ensure sound national analyses are conducted for Subtask F.2.

2. Prepare a draft interim report summarizing the results of Task A through D.1 The interim report shall discuss and compare, for the purpose of quantifying, the cost of performance bonding and potential benefit of replacing performance bonding with a model contractor prequalification program developed in Task C. The draft interim report shall contain a detailed work plan for conducting all future research activities, Task E through Task H of the contract. The work plan shall detail any portion of the plans that are not fully developed due to the lack of adequate and available information. Where information is lacking, the report shall include a work plan for developing the necessary information to complete the final deliverables.

Note: To retrieve data, there must be compatibility between applications or utility to extract data from one application to be fed to another.

3. Submit draft interim report along with the work plan to the COTR within 120 days after the effective date of the contract. The plan shall be submitted as part of an interim report that includes Task A findings. The COTR will provide comments within 45 days of the interim report submission. The Contractor shall revise the plan and the remainder of the interim report as necessary to reflect the COTR’s comments.

Task E: Collect Data

1. Collect performance bond default data, and organize the data into categories that will allow identification of those categories of projects that are at the most and least risk of default.

Categories to be analyzed shall include: project size, cost, duration, and complexity; type of work (e.g., bridge replacement, roadway surfacing); type of funding (e.g., federal, state); type of delivery (e.g., design-build, indefinite delivery); type of bid (e.g., low-bid cost, multi-parameter); type of specifications (e.g., method, warranty); type of contractor (e.g., local versus out out-of-state);

agency policy with respect to performance bonding, including differences among agencies as to what constitutes a default; and any other such categories that may potentially serve to distinguish among projects that would benefit from performance bonding on full contract amount, performance bonding on a percentage of contract amount, and no performance bonding.

2. Collect data, from each of the agencies identified in Subtask D.1, on the cost of their performance bonding programs. As a minimum, include agency administrative costs and total cost of bond premiums paid by agency’s contractors and passed on to agency; and the benefits (negative costs) to the agency of the service provided by the sureties.

3. Collect data, from each of the agencies identified in Subtask D.1, to estimate the benefits of replacing the agencies’ performance bonding programs with the contractor prequalification model program. Both positive benefits, such as savings on bond premiums and benefits associated with the potential for improved contractor performance, and negative benefits, such as prequalification program administrative costs and possible increased premium costs as a reaction by surety to the implementation of the new program, shall be included.

4. Collect data, from each of the agencies identified in Subtask D.1 to determine the extent that performance bonds have been used to restore the State Transportation Agency once substandard work was performed.

Task F: Analyze Data

1. Upon receipt of the written authorization to proceed from the COTR, the contract shall proceed with Task F of the contract. For each of the agencies identified in Subtask D.1, perform analyses to quantify the cost of performance bonding and to compare it with the potential benefit of replacing performance bonding with the model contractor prequalification program developed in Task C. Multiple comparisons shall be made for each agency to account for the degree to which performance bonding might be replaced (e.g., complete replacement or just on selected project categories found to have least risk of default) and the degree to which marginal contractors’ bonding capacity might be reduced.

2. Perform analyses to quantify the national cost of performance bonding and to compare it with the potential national benefit of replacing State Highway Agency performance bonding programs with contractor prequalification programs patterned after the model program developed in Task C. Multiple comparisons shall be made for each agency to account for the degree to which performance bonding might be replaced (e.g., complete replacement or just on selected project categories found to have least risk of default) and the degree to which marginal contractors’ bonding capacity might be reduced.

3. Analyze the default data collected in Subtask E.1 to identify categories of projects that are at most and least risk of default.

4. Based on the results of analyses in Subtasks F.1 through F.3 and any additional needed analyses, develop an algorithm that will allow interested State Highway Agencies to establish their own criteria relative to the two Subtask C.2 options that appear in the model program.

Task G: Develop Implementation Guidance

1. Present results of Task F to the agencies identified in Subtask D.1, and to select contractors and sureties. Obtain their input relative to the implementation, including barriers to implementation, of the recommended performance-based contractor prequalification model program and associated algorithm.

Note: This subtask should not be construed as one of obtaining agency, contractor, or surety implementation input for the first time. Opportunities for agency implementation input, for example, exist in all previous tasks. The Contractor shall seize such opportunities as needed. This subtask was meant for final implementation input regarding a program that is close to the final product.

2. Make any necessary adjustments to the recommended performance-based contractor prequalification model program and associated algorithm. Develop implementation guidance and recommendations.

Task H: Prepare Documentation

1. Prepare a draft final report documenting the entire research effort and make a strong case, if applicable, for replacing performance bonding with performance-based contractor prequalification.

Along with the draft report prepare a 2 to 3 pages draft Technical Brief and a PowerPoint presentation with notes (technology transfer package). The draft Technical Brief shall include the recommended performance-based contractor prequalification model program and provide guidance for its implementation. The PowerPoint presentation should be prepared to show the results of this study to the State Highway Agencies.

2. Submit an electronic version of draft final report, Technical Brief and technology transfer package to the COTR, at least in 240 days prior to the end of the contract.

The COTR will provide written review comments to the contractor within 30 days after receipt.

3. Submit the final report, Technical Brief and technology transfer package in accordance with comments received from the COTR in 180 days prior to end of the contract.

4. The COTR shall submit the final report, Technical Brief and technology transfer package to the FHWA Office of Corporate Research, Technology, and Innovation Management for editing. The edited version of the final report, Technical Brief and technology transfer package shall be submitted to the contractor 120 days prior to the end of the contract. The contractor shall submit a revised the final report, Technical Brief and technology transfer package to the COTR, based on editorial comments received in 60 days prior to the end of the contract.

(End of Section C)

SECTION D – PACKAGING AND MARKING

D.1 PACKAGING AND MARKING

Deliverables under this contract shall be prepared and packaged for shipment using best commercial practices so as to ensure safe and timely delivery.

(End of Section D)

SECTION E – INSPECTION AND ACCEPTANCE

All work performed and equipment purchased hereunder shall be subject to review and acceptance by the Government.

52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)

This 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 address: https://www.acquisition.gov/far/ https://www.acquisition.gov/far/�

Federal Acquisition Regulation (FAR) Clauses:

52.246-5 INSPECTION OF SERVICES - COST-REIMBURSEMENT

(APR 1984)

52.246-9 INSPECTION OF RESEARCH AND DEVELOPMENT (SHORT

FORM) (APR 1984)

(End of Section E)

SECTION F – DELIVERIES OR PERFORMANCE

F.1 PERIOD OF PERFORMANCE

The Government anticipates a period of performance not to exceed 30 months from the effective of the contract.

F.2 52.252-2 CONTRACT 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 address: https://www.acquisition.gov/far/

52.242-15 STOP-WORK ORDER (AUG 1989) Alt I (APR 1984)

52.242-17 GOVERNMENT DELAY OF WORK (APR 1984) Alternate I

52.247-34 F.O.B. DESTINATION (NOV 1991)

F.3 PLACE OF DELIVERY

All deliverables shall be delivered F.O.B. Destination, under transmittal letter, to the assigned COTR at the following address:

Federal Highway Administration Attention: To be determined Turner-Fairbank Highway Research Center Office of Infrastructure 6300 Georgetown Pike McLean, VA 22101-2296 https://www.acquisition.gov/far/�

A copy of the transmittal letters for all deliverables shall be delivered to the Contract Specialist/Administrator at the following address:

Federal Highway Administration 1200 New Jersey Avenue, Southeast Mail Stop: E65-101 Washington, DC 20590 Attention: Robin Denise Gates

F.4 DELIVERABLES

• Interim report (within 120 days after the effective date of the contract).

• Draft final report, draft Technical Brief and PowerPoint presentation with notes (technology transfer package) (240 days prior to the end of the contract).

• Final report, Technical Brief, and technology transfer package (150 days prior to the end of the contract).

• Final edited version of the final report (60 days prior to the end of the contract).

(End of Section F)

SECTION G – CONTRACT ADMINISTRATION DATA

G.1 FUNDS AVAILABILTY

a. Currently, funding in the amount of ______ is available for payment under this contract.

b. The balance of funding under this contract (_______) will be obligated subject to availability of funds and formal modification to this contract by the Contracting Officer.

c. FAR Part 52.232-22, entitled, "LIMITATION OF FUNDS" applies to this contract. Any notification required on the part of the Contract shall be made in writing to the Contracting Officer. In the event that the contract is not funded beyond the estimated cost set forth in the schedule, the Contractor shall deliver to the Contracting Officer the data collected and the material produced or in process or acquired in connection with the performance of the project provided herein together with a summary report in five copies of its progress and accomplishments to date.

G.2 PAYMENT/COST REIMBURSEMENT

The Contractor may request interim payments for costs incurred during the performance of the contract. A statement of costs incurred by the Contractor in the performance of tasks under this contract and claimed to constitute allowable costs shall support each interim payment request. Each interim payment request shall be submitted in accordance with the attached, “FHWA Billing Instructions for Cost Reimbursement Contracts” to be considered proper for payment. Prior approval of the Contracting Officer (CO) is required if the Contractor wishes to use a different payment request format.

In accordance with clause 52.232-25, “Prompt Payment”, interim payments will be made by the 30th day following receipt of proper request for payment by the designated billing office, unless audit or other review is considered necessary to ensure compliance with the terms and conditions of the contract. All interim payments hereunder will be made upon further determination by the CO that the Contractor is making adequate progress toward successful contract completion.

Final invoice payment shall be made upon the CO’s determination that all contract requirements have been completed. The payment due date for final invoice shall be established in accordance with the clause 52.232-25.

In accordance with FAR 52.232-33, the Federal Highway Administration (FHWA) shall only make an electronic reimbursement/payment.

In accordance with FAR 52.204-7, the contractor shall register in the Central Contractor Registration (CCR) database. Failure to register in CCR will prohibit FHWA from making awards to your organization.

G.3 FIXED FEE PAYMENT SCHEDULE (COST REIMBURSEMENT

CONTRACTS)

The Contractor shall voucher for payment in accordance with the instructions provided in Section G.2 of this contract. The Contractor shall bill fee on a monthly basis and the Government shall make monthly payments of Fixed Fee, in accordance with FAR 52.216-8(a), entitled, “FIXED FEE”, and the following schedule established at the time of award:

CONTRACT PAYMENT PAYMENT

PERIOD MONTH(s) TERMS AMOUNT TOTAL Award-Month 29 1 – 29 TBD $ TBD $ TBD

FINAL* $ TBD $ TBD

TOTAL $ TBD

*The final payment of $_______ (15% Withholding of Fixed Fee, not-to-exceed $100,000), less any adjustments found as a result of the final audit, will be paid upon completion of the contract closeout audit.

G.4 WITHHOLDING OF FEE/PAYMENT (MAR 1997)

A. In accordance with FAR 52.216-8, entitled "FIXED FEE:"

a. The Government shall pay the Contractor, for performing this contract, the fixed fee amount specified in Section B.

b. Payment of the fixed fee shall be made as specified in the schedule, provided that after payment of 85% of the fixed fee, the Contracting Officer may withhold further payment of fee until a reserve is set aside in an amount that the Contracting Officer considers necessary to protect the Government's interest. This reserve shall not exceed 15% of the total fixed fee or $100,000, whichever is less.

B. Notwithstanding any other payment provisions of this contract, failure of the

Contractor to submit required reports when due or failure to perform or deliver required work, supplies, or services, will result in the withholding of payments under this contract unless such failure arises out of causes beyond the control, and without the fault or negligence of the Contractor as defined by the clause entitled "Excusable Delays" or "Default", as applicable. The Government shall promptly notify the Contractor of its intention to withhold payment of any invoice or voucher submitted.

G.5 INDIRECT COST RATES

Pending establishment of final rates for any period, provisional reimbursement will be made on the basis of the provisional rates shown below (as applicable).

To prevent substantial over or under payment, and to apply wither retroactively or prospectively, provisional rates may, at the request of either party, be revised by mutual agreement on an annual basis.

Type Cost Center Rate Period Rate Base Provisional Fringe % (a) Provisional G&A % (b)

NOTE:

a. applied to:

b. applied to:

G.6 INDIRECT COSTS

Pending the establishment of final indirect cost rates which shall be negotiated based on audit of actual costs as provided in Subpart 42.7 of the Federal Acquisition Regulation, the Contractor shall be reimbursed for allowable indirect costs set forth in this contract. This Indirect Cost provision does not operate to waive the Limitation of Funds Clause. The Contractor's audited final indirect costs are allowable only insofar as they do not cause the Contractor to exceed the total estimated costs for performance of the contract listed in Section B.

G.7 TRAVEL AND PER DIEM RATES

The Contractor shall obtain COTR/CO approval before scheduling any travel unless specifically stated otherwise in the contract.

Travel and Per Diem authorized under this contract shall be reimbursed in accordance with the Government Travel Regulations currently in effect.

Travel requirements under this contract shall be met using the most economical form of transportation available. If economy class transportation is not available, the request for payment voucher must be submitted with justification for use of higher class travel indicating dates, times, and flight numbers. All travel shall be scheduled sufficiently in advance to take advantage of offered discount rates, unless authorized by the COTR.

G.8 CONTRACTING OFFICER'S TECHNICAL REPRESENTATIVE (COTR)

The Contracting Officer has designated ___________ as COTR to assist in monitoring the work under this contract. The COTR is responsible for the technical administration of the contract and serves as technical liaison with the Contractor. The COTR is not authorized to change the scope of work or specifications as stated in the contract, to make any commitments or otherwise obligate the Government or authorize any changes which affect the contract price, delivery schedule, period of performance, or other terms or conditions.

The CO is the only individual who can legally commit or obligate the Government for the expenditure of public funds. The technical administration of this contract shall not be construed to authorize the revision of the terms and conditions of this contract. The CO shall authorize any such revision in writing.

G.9 INVOICES

Submit all invoices to one of the following invoice addresses, as appropriate:

All invoices and required supporting documents shall be sent via e-mail to the following e-mail address: 9-AMC-AMZ-FHWA-Invoices@faa.gov.

(a) Include the invoice as an attached PDF document

(b) Include in the e-mail subject line the following:

(i) Invoice Number

(ii) Contract/Agreement Number

(iii) Name of your Company/Organization

(iv) Attention: Robin Denise Gates

Example: Invoice No. 1 – DTFH61-10-C-00001 – ABC Company – Attention: Robin D. Gates

If the invoice and supporting documents exceed 8 MB as an e-mail attachment, the Contractor must select one of the other submission options presented below:

Invoices submitted via an overnight service must use the following physical address:

MMAC

FHWA/AMZ-150

6500 S. MacArthur Blvd Oklahoma City, OK 73169 Attention: Robin Denise Gates Express Delivery Point of Contact: Ryan Wisniewski, 405-954-8252

Invoices may be submitted via regular U.S. Postal Service to the following address:

mailto:9-AMC-AMZ-FHWA-Invoices@faa.gov�

Federal Highway Administration Markview Processing

P.O. Box 268865 Oklahoma City OK 73126-8865

Attention: Robin Denise Gates

All invoices, regardless of submission method, must identify Robin Denise Gates as the invoicing point of contact.

An invoice submitted to an address other than those identified above after February 1, 2008, will be returned to the vendor as non-conforming.

G.10 QUARTERLY PROGRESS REPORTS

The Contractor shall submit progress reports to the COTR and the Contract Administrator. These reports shall be prepared on a quarterly basis and submitted by the 15th of the month following the reporting period. Each progress report shall contain concise statements covering the activities relevant to the contract, including:

(a) A clear account of the work performed under each task during the report period.

(b) An outline of the work to be accomplished during the next report period.

(c) A description of any problem encountered or anticipated that will affect the completion of any work within the time and fiscal constraints set, together with recommended solutions to such problems; or, a statement that no problems were encountered.

(d) A tabulation of the planned, actual and cumulative percent of effort expended by the personnel.

(e) A chart showing current and cumulative expenditures versus planned expenditures

The quarterly progress reports shall be delivered via email to the Contract Administrator (CA) and the Contracting Officer’s Technical Representative (COTR) at the following email addresses:

COTR: TBD

CA: Robin.Gates@dot.gov mailto:Robin.Gates@dot.gov�

G.11 PRINCIPAL INVESTIGATOR (PI)

(Name) will serve as the (Company Name) Project Principal Investigator. The PI will serve as the point of technical and administrative contact between the Government and the Contractor personnel. In addition, the PI is responsible for formulating, developing, conducting and monitoring the work performed under this contract with minimal input from the FHWA. The Government reserves the right to approve any necessary successor to be designated as Principal Investigator.

G.12 KEY PERSONNEL

The key personnel specified below are considered essential to the work being performed under this contract and may, with the consent of the contracting parties, be changed from time to time during the course of the contract by adding or deleting personnel, as appropriate. This change does not require a formal modification to the contract.

Before removing, replacing, or diverting any of the specified individuals, the

Contractor shall notify the COTR, in writing, before the change becomes effective. The Contractor shall submit information to support the proposed action to the COTR, including any prospective impact on this contract. The Contractor shall not remove or replace personnel under this contract until the COTR has had a chance to review and comment on the proposed change.

The following individuals are considered “key” under this contract:

Name Position

TBD Principal Investigator TBD Senior Engineer TBD Engineer TBD Economist

G.13 CORRESPONDENCE PROCEDURES

To promote timely and effective administration, correspondence (except for invoices), submitted under this contact shall be subject to the following procedures:

a. Technical Correspondence - Technical correspondence (as used herein, this term excludes technical correspondence which proposes or otherwise involves waivers, deviations or modifications to the requirements, terms or conditions of this contract) shall be addressed to the COTR with an informational copy of the basic correspondence to the Contract Specialist and Contracting Officer.

b. Other Correspondence - All other correspondence shall be addressed to the

Contracting Officer, in duplicate, with an informational copy of the basic correspondence to the COTR.

c. Subject Lines - All correspondence shall contain a subject line, commencing with the contract number as illustrated below:

EXAMPLE: Contract No. DTHFH61-10-R-000XX

Request for Subcontract Consent

G.14 CONSENT TO SUBCONTRACTS

(a) To facilitate the review of a proposed subcontract by the Project Officer and the Contracting Officer, the Contractor shall submit the information required by the FAR Clause 52.244-2 (JUN 2007) entitled, "Subcontracts" to the Contracting Officer. The Contracting Officer shall review the request for subcontract approval and the Project Officer's recommendation and advice the Contractor of his/her decision to consent to or dissent from the proposed subcontract, in writing.

(b) Consent is hereby given to issue the following subcontract(s): TBD

(End of Section G)

SECTION H – SPECIAL CONTRACT REQUIREMENTS

H.1 POST AWARD EVALUATION OF CONTRACTOR PERFORMANCE

Contractor Performance Evaluations

Annual and final evaluations of contractor performance will be prepared on this contract in accordance with FAR 42.15 (or FAR 36.201 for construction, or FAR 36.604 for Architect-Engineering). The final performance evaluations will be prepared at the time of completion of work. Annual and final evaluations will be provided to the contractor as soon as practicable after completion of the evaluation. The contractor can elect to review the evaluation and submit additional information or a rebuttal statement. The contractor will be permitted thirty days to respond. Contractor response is voluntary and is not mandatory. Any disagreement between the parties regarding an evaluation will be referred to an individual (Reviewing Official), at a level above the Contracting Officer, whose decision is final.

Copies of the evaluations, contractor responses, and review comments, if any, will be retained as part of the contract file, and may be used to support future award decisions.

b. Electronic Access to Contractor Performance Evaluations

The U. S. Department of Transportation currently utilizes the National Institutes of Health (NIH) Contractor Performance System (CPS) to record and maintain past performance information. NIH reached a decision to not revamp the CPS and to officially end service to all customers on September 30, 2010. The agency is in the process of transitioning to the Contractor Performance Assessment Reporting System (CPARS) on October 1, 2010. Architect-Engineer Contract Administration (ACAS) and Construction Contractor Appraisal Support System (CCAS) will also be available via the CPARS log-in on October 1, 2010.

The contractor will need to identify an individual who will serve as a primary contact and who will be authorized access to the evaluation for review and comment. In addition, the contractor will be required to identify a secondary contact who will be responsible for notifying the cognizant contracting official in the event the primary contact is unavailable to process the evaluation within the required 30-day time period.

The Contract Specialist will register the contract in CPARS and assign roles for the contractor and assessing official (Contracting Officer Technical Representative) in CPARS. A system generated e-mail from CPARS will be sent to both individuals notifying them of their role and the contract number registered in CPARS.

Complete registration and user procedures will be provided once CPARS is available to the agency.

H.2 TAR 1252.239-70 SECURITY REQUIREMENTS FOR UNCLASSIFIED

INFORMATION TECHNOLOGY RESOURCES (APR 2005)

(a) The Contractor shall be responsible for Information Technology security for all systems connected to a Department of Transportation (DOT) network or operated by the Contractor for DOT, regardless of location. This clause is applicable to all or any part of the contract that includes information technology resources or services in which the Contractor has physical or electronic access to DOT’s sensitive information that directly supports the mission of DOT. The term “information technology”, as used in this clause, means any equipment or interconnected system or subsystem of equipment, including telecommunications equipment, that is used in the automatic acquisition, storage, manipulation, management, movement, control, display, switching, interchange, transmission, or reception of data or information. This includes both major applications and general support systems as defined by OMB Circular A-130. Examples of tasks that require security provisions include:

(1) Hosting of DOT e-Government sites or other IT operations;

(2) Acquisition, transmission or analysis of data owned by DOT with significant replacement cost should the Contractor’s copy be corrupted; and

(3) Access to DOT general support systems/major applications at a level beyond that granted the general public, e.g. bypassing a firewall.

(b) The Contractor shall develop, provide, implement, and maintain an IT Security Plan. This plan shall describe the processes and procedures that will be followed to ensure appropriate security of IT resources that are developed, processed, or used under this contract. The plan shall describe those parts of the contract to which this clause applies. The Contractor’s IT Security Plan shall comply with applicable Federal Laws that include, but are not limited to, 40 U.S.C. 11331, the Federal Information Security Management Act (FISMA) of 2002 and the E-Government Act of 2002. The plan shall meet IT security requirements in accordance with Federal and DOT policies and procedures, as they may be amended from time to time during the term of this contract that include, but are not limited to:

(1) OMB Circular A-130, Management of Federal Information Resources, Appendix III, Security of Federal Automated Information Resources;

(2) National Institute of Standards and Technology (NIST) Guidelines;

(3) Departmental Information Resource Management Manual (DIRMM) and associated guidelines; and

(4) DOT Order 1630.2B, Personnel Security Management.

(c) Within 30 days after contract award, the Contractor shall submit the IT Security Plan to the DOT Contracting Officer for acceptance. This plan shall be consistent with and further detail the approach contained in the offeror’s proposal or sealed bid that resulted in the award of this contract and in compliance with the requirements stated in this clause. The plan, as accepted by the Contracting Officer, shall be incorporated into the contract as a compliance document. The Contractor shall comply with the accepted plan.

(d) Within 6 months after contract award, the Contractor shall submit written proof of IT Security accreditation to the DOT for acceptance by the DOT Contracting Officer. Such written proof may be furnished either by the Contractor or by a third party. Accreditation must be in accordance with DOT Order 1350.2, which is available from the Contracting Officer upon request. This accreditation will include a final security plan, risk assessment, security test and evaluation, and disaster recovery plan/continuity of operations plan. This accreditation, when accepted by the Contracting Officer, shall be incorporated into the contract as a compliance document, and shall include a final security plan, a risk assessment, security test and evaluation, and disaster recovery/continuity of operations plan. The Contractor shall comply with the accepted accreditation documentation.

(e) On an annual basis, the Contractor shall submit verification to the Contracting Officer that the IT Security Plan remains valid.

(f) The Contractor will ensure that the following banners are displayed on all DOT systems (both public and private) operated by the Contractor prior to allowing anyone access to the system:

Government Warning

**WARNING**WARNING**WARNING**

Unauthorized access is a violation of U.S. Law and Department of Transportation policy, and may result in criminal or administrative penalties. Users shall not access other user’s or system files without proper authority. Absence of access controls IS NOT authorization for access! DOT information systems and related equipment are intended for communication, transmission, processing and storage of U.S. Government information. These systems and equipment are subject to monitoring by law enforcement and authorized Department officials. Monitoring may result in the acquisition, recording, and analysis of all data being communicated, transmitted, processed or stored in this system by law enforcement and authorized Department officials. Use of this system constitutes consent to such monitoring.

**WARNING**WARNING**WARNING**

(g) The Contractor will ensure that the following banner is displayed on all DOT systems that contain Privacy Act information operated by the Contractor prior to allowing anyone access to the system:

This system contains information protected under the provisions of the Privacy Act of 1974 (Public Law 93-579). Any privacy information displayed on the screen or printed shall be protected from unauthorized disclosure. Employees who violate privacy safeguards may be subject to disciplinary actions, a fine of up to $5,000, or both.

(h) Contractor personnel requiring privileged access or limited privileged access to systems operated by the Contractor for DOT or interconnected to a DOT network shall be screened at an appropriate level in accordance with DOT Order 1630.2B, Personnel Security Management, as it may be amended from time to time during the term of this contract.

(i) The Contractor shall ensure that its employees performing under this contract receive annual IT security training in accordance with OMB Circular A-130, FISMA, and NIST requirements, as they may be amended from time to time during the term of this contract, with a specific emphasis on rules of behavior.

(j) The Contractor shall afford the Government access to the Contractor’s and Subcontractors’ facilities, installations, operations, documentation, databases and personnel used in performance of the contract. Access shall be provided to the extent required to carry out a program of IT inspection (to include vulnerability testing), investigation and audit to safeguard against threats and hazards to the integrity, availability and confidentiality of DOT data or to the function of information technology systems operated on behalf of DOT, and to preserve evidence of computer crime.

(k) The Contractor shall incorporate the substance of this clause in all subcontracts that meet the conditions in paragraph (a) of this clause.

(l) The Contractor shall immediately notify the Contracting Officer when an employee terminates employment that has access to DOT information systems or data.

(End of clause)

H.3 TAR 1252.239-71 INFORMATION TECHNOLOGY SECURITY PLAN

AND ACCREDITATION (APR 2005)

All offers submitted in response to this solicitation must address the approach for completing the security plan and accreditation requirements in TAR Clause 1252.239-70.

H.4 GOVERNMENT FURNISHED OR ACQUIRED PROPERTY

Any Government furnished or contractor acquired property provided or obtained under the performance of this contract shall be accounted for as provided in Transportation Acquisition Regulation (TAR) Subpart 1245.5, and by complying with the following provision:

TAR 15252.245-70 GOVERNMENT PROPERTY REPORTS (OCT 1994)

(a) The contractor shall prepare an annual report of Government property in its possession and the possession of its subcontractors.

(b) The report shall be submitted to the Contracting Officer no later than September 15 of each calendar year on Form DOT F 4220.43, Contractor Report of Government Property.

H.5 QUALITY ASSURANCE STATEMENT

The Federal Highway Administration provides high-quality information to serve Government, industry, and the public in a manner that promotes public understanding. Standards and policies are used to ensure and maximize the http://www.dot.gov/ost/m60/tamtar/part1252.htm#1252.239-70� quality, objectivity, utility, and integrity of its information. FHWA periodically reviews quality issues and adjusts its programs and processes to ensure continuous quality improvement.

H.6 SITE VISITS

The FHWA, through its authorized representative, has the right at all reasonable times, to make site visits for the purpose of reviewing the project accomplishments and management control systems, and to provide technical assistance and guidance as may be required. If any site visit is made by the FHWA on the premises of the Contractor, a team member, or a subcontractor performing work under the contract, same will provide and will require their subcontractor(s) to provide all reasonable facilities and assistance for the safety and convenience of the FHWA and other Government representatives, in the performance of their duties. Such visits may be either announced or unannounced.

H.7 NON-PERSONAL SERVICES CONTRACT

This contract is a non-personal services contract as defined in the FAR at subpart

37.101. It is understood and agreed that the Contractor and/or Contractor’s employees and subcontractors:

(1) Shall perform the services specified herein as independent contractors, not as employees of the government;

(2) Shall be responsible for their own management and administration of the work required and bear sole responsibility for complying with any and all technical, schedule, or financial requirements or constraints attendant to the performance of this contract;

(3) Shall be free from supervision or control by any government employee with respect to the manner or method of performance of the services specified;

but

(4) Shall, pursuant to the government’s right and obligation to inspect, accept or reject the work, comply with such general direction of the Contracting Officer, or the duly authorized representative of the Contracting Officer, as is necessary to ensure accomplishment of the contract objectives.

H.8 PROPRIETARY RIGHTS IN REPORTS

The Government shall retain unlimited rights to the data first produced under this contract. All property rights, including publication rights, in progress reports and final reports produced by the Contractor in connection with this contract provided for hereunder shall rest in the Government.

H.9 LIABILITY

The Government cannot indemnify the Contractor or its subcontractor(s) from liability as a result of the performance of work under this contract. Therefore, the Contractor is required to obtain adequate property, vehicle and liability insurance during the entire period of performance, as appropriate, in accordance with the provisions of the clause at FAR 52.228-7, which is incorporated into this contract in Section I. Evidence of such insurance must be submitted to the Contracting Officer as a condition of award.

H.10 REQUIREMENTS FOR IMPLEMENTING SECTION 508 STANDARDS

The following applies to all…