Section B 7-28-08.doc

RFP NUMBER DTFT60-08-R-00010

SECTION B - SUPPLIES OR SERVICES AND PRICES/COSTS

B.1 SCHEDULE

CLIN

AMOUNT

1 - CONTRACT AND PROGRAM SUPPORT

NSP

2 - PROJECT MANAGEMENT SERVICES

NSP

3 - TECHNICAL REVIEW SERVICES

NSP

4 - OTHER DIRECT COSTS

NSP

Total NSP Note: CLIN (Contract Line Item Number), NSP (Not Separately Priced) Any costs incurred prior to the effective date of this contract shall be considered unallowable and not reimbursable under this contract unless authorized in writing by the Contracting Officer.

B.2 CONTRACT MANAGEMENT / TYPE

This is an indefinite-delivery-indefinite-quantity (IDIQ) task order type contract. It is contemplated that some task orders, to the fullest extent practicable, will be performance based. Performance measures will be established for those task orders on an order-by-order basis. All assignments will be awarded based on negotiations of task order assignments to include the task order type. The government reserves the right to issue task order assignments as cost-plus-fixed-fee, fixed-price, cost-plus-award-fee, cost or fixed price incentive type contracts, time and materials, or labor-hour, as performance based where appropriate. Prices/costs contained in this section will be utilized to the fullest extent practicable in establishing cost / price and fee / profit for each task assignment.

B.3 LEVEL OF EFFORT

a.

In performance of this contract, the Contractor shall be expected to provide a minimum of 60,000 direct labor hours and a maximum of not more than 300,000 direct labor hours, during the 5-year contract period of performance.

b.

The Contractor agrees to devote direct labor effort to the performance of this contract approximately as follows:

Labor Classification Estimated Number of Hours by Percentage Officer-in-Charge 1% Program Manager 5-10%

Task Order Manager 15-25% Technical Support 55-70% Clerical Support 5-10% Sub-Contractors (included above) 20-49%

These percentages are based on historical data and will be used as a starting point for negotiations of task orders.

c.

Once the maximum labor-hours are reached, the Contractor's requirements under the contract are fulfilled. In the event direct labor hours in excess of 300,000 are required to accomplish the prescribed work during the period of performance, such additional effort shall be treated as a change and the Contractor shall not proceed beyond the maximum until a bilateral modification to the contract is executed. Modifications to the contract will be executed in accordance with FAR Subpart 43.103 and the Changes clause. Any estimated cost adjustment for any additional direct labor hours shall be based solely upon the quantity of additional hours being added to the maximum number of direct labor hours specified in this clause. Any not-to -exceed ceiling amounts or maximum ranges and other terms and conditions of the contract shall continue to apply.

e. Any adjustment in the contract in accordance with the provisions of this article shall be made by a contract modification.

B.4 MINIMUM AND MAXIMUM OBLIGATION OF THE GOVERNMENT

a. Minimum Obligation: In the event the Government does not issue a task order under this contract, an amount of $1,500 will be paid to the Contractor upon expiration of the contract.

b. Maximum Obligation: The Contractor may be obligated to provide services and support up to an amount of 300,000 hours over a 5-year period of performance, through the issuance of task order(s).

The Contractor is not authorized and is proceeding at its own risk to incur costs that would exceed the funds obligated on the contract at any given time during the contract period of performance.

B.5 CONSIDERATION

It is anticipated that this proposed contract will be awarded as an incrementally-funded, cost reimbursable, indefinite-delivery-indefinite-quantity (IDIQ) contract.

a. Cost Reimbursement The total cost of the contract will consist of the accumulated value of each assigned IDIQ task order, taking into consideration the cost/price and negotiated fee and/or profit. This contract provides for payment to the Contractor of allowable incurred costs to the extent provided in the contract.

b. Funds Available For provisions on incrementally funded cost reimbursement task orders, see clause Federal Acquisition Regulation (FAR) 52.232-22, "Limitation of Funds" (ARP 1984).

c. Incremental Funding Funding for the services of cost-type task orders, as outlined in the individual task order, may be incrementally funded as required on each individual task order and subsequent modifications in accordance with the ordering terms and conditions described in Section G - Contract Administration Data, the "Limitation of Funds" clause, FAR 52.232-22, or as specified elsewhere in the contract. In no event, however, shall the Contractor be authorized to incur costs under an individual task order in excess of the total amount of funds obligated against that task order.

B.6 PROVISIONS APPLICABLE TO DIRECT COSTS

Notwithstanding the Clauses FAR 52.216-7, "Allowable Cost and Payment" (DEC 2002), and FAR 52.244-2, "Subcontracts (Cost-Reimbursement and Letter Contracts)" (AUG 1998), unless authorized in writing by the Contracting Officer, the costs of the following items or activities shall be unallowable as direct costs:

a.

Acquisition, Alteration, and Lease

(1) Acquisition, purchase or lease, of any interest in real property;

(2) Special rearrangement or alteration of facilities;

(3) Purchase or lease of any item of general purpose office furniture or office equipment regardless of dollar value (General purpose office equipment regardless of dollar value items of personal property which are usable for purposes other than research, such as office equipment and furnishings, pocket calculators, etc.);

(4) Purchase or rental of any items of personal property having a unit value of $500 or more; and

(5) Foreign travel b.

Overtime All overtime must be approved in advance by the Contracting Officer. Such a request for overtime must be in writing, or by written communications, i.e., email, etc. The Contracting Officer may verbally grant overtime approval followed by written confirmation to follow within one working day. Any unauthorized overtime will not be reimbursed.

c.

Travel Costs Travel and Per Diem authorized under this contract shall be reimbursed in accordance with the Government Travel Regulations currently in effect at the time of performance of the contract. The Federal Travel Regulations may be accessed from the following website: www.gsa.gov/ftr . Current domestic per diem rates may be accessed from: http://www.gsa.gov/Portal/gsa/ep/home.do?tabId=0 Throughout the period of performance of this contract, the Government shall issue revisions to reflect any changes to these per diem amounts or to the travel regulations. Travel requirements under this contract will be met using the most economical form of transportation available. If economy class transportation is not available, the request for payment voucher may be submitted with justification of 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 Contracting Officer. Delays on the Contractor’s part to schedule travel sufficiently in advance will not be considered as a justifiable excuse for acceptance of higher class travel by the Government.

Travel expenses incurred by the Contractor exclusively in direct performance of this contract shall not exceed:

(1) Cost of air travel by most direct route, using "air coach" or "air tourist" (less than first class) unless it is clearly unreasonable or impracticable (e.g., not available for reasons other than avoidable delay in making reservations, would require circuitous routing or entail additional expenses offsetting the savings on fare, or would not make necessary connections);

(2) Cost of rail travel by most direct route, first class with lower berth or nearest equivalent;

(3) Cost of travel by privately owned automobile. However, reimbursement for transportation by this means shall not exceed the cost of (1) or (2) above, whichever is less; or

(4) The cost of travel by privately owned automobiles, and subsistence cost shall be reimbursed pursuant to the Government travel policy in effect at the time such costs are incurred. The Contractor shall cite in any claim for reimbursement of travel costs the source of the rates used.

Any costs incurred prior to the effective date of this contract shall be considered unallowable and not reimbursable under this contract.

B.7 PROVISIONS APPLICABLE TO INDIRECT COSTS

a.

The allowable indirect costs under this contract shall be established in accordance with the procedures set forth in Clause FAR 52.216-7, "Allowable Cost and Payment" (DEC 2002).

b.

Beginning with the effective date of this contract, indirect costs shall be reimbursed at the following provisional and/or ceiling rates:

Provisional Ceiling Base for Type Rate Rate Application In addition, the following rates have been established for reimbursement of indirect costs to the Sub-Contractor's identified below:

Provisional Sub-Contractor Type Rate Ceiling Rate Base

c. If it is determined that ceiling rates are needed, the final indirect cost rates applicable to this contract shall not exceed the ceiling rates listed above;

provided, however, that in the event the rates determined by the cognizant Federal audit activity on the basis of actual allowable costs are less than the ceiling rates agreed to herein, then the lower rates established by such cognizant audit activity shall apply.

d.

Notwithstanding the foregoing, the Contractor shall, in the case of an upward or downward adjustment of the provisional rates specified above, provide timely notification to the Contracting Officer, and shall comply with the requirements of Clause FAR 52.232-22, "Limitation of Funds" (APR 1984) of the contract, where such increase in costs causes operation of that clause.

B.8 AUTHORIZED DIRECT LABOR COST BY CONTRACT YEAR

The Contractor is hereby authorized to incur the following maximum direct labor rate, including maximum of 4 % escalation per year of performance, within the limits established in each negotiated Task Order, as follows:

Prime or Sub Contractor [insert name] (escalation factor, maximum 4% ), Maximum Labor Rate Rate

Program Manager (No Subcontractors)

Task Order Manager (No Subcontractors)

Systems Integration Manager

Civil Engineering (PE)

Risk Assessment Manager

QA/QC Manager (CMQ/OE)

Business Economics Manager

Professional Planner (PP)

Government and Regulatory Manager

Contracts and Terms Manager

Procurement / Supply Manager

Real Estate Manager

Architect/Architectural Engineer (RA)

Rail Vehicle, / Bus/Motor Vehicle Engineer

System Safety Expert

Construction Management Manager

Transit Operations Planning Manager

Mobility Expert

Project Scheduling Manger

Document Control Manager

Cost Estimation Manager

Industrial Engineer

Rail Signal Engineer

CBTC / Automatic Train Control Engineer

Communications Engineer

Rail / Bus Vehicle Maintenance Manager

Rail Right of Way Maintenance Manager

Rail Track Design Engineer (PE)

Roadway Design Engineer, BRT (PE)

Structural Engineer (PE)

Bridge Engineer (PE)

Environmental Engineer (PE)

Geotechnical Engineer (PE)

Tunnel Engineering/ Construction Manager

Value Engineer

Mechanical Engineer (PE)

Electrical / Traction Power Engineer(PE)

Fare Collection Manger

Data Acquisition Manager (DAS)

System Security Expert

Construction Safety Manager

Buy America Expert

Clerical Support Staff

PAGE

Amendment 1