Redlined_PART_I_QUALIFICATION_OF_FACILITIES_30Aug2013.pdf

Ship Disposal Solicitation PART I – Qualification of Facilities (Amendment 0002) 30 July Aug 2013 Page I-1

PART I

QUALIFICATION OF FACILITIES

A. INTRODUCTION

The U.S. Maritime Administration (MARAD) intends to establish a pool of offerors with qualified ship disposal facilities, among which it will compete and award contracts for disposal of obsolete vessels in the National Defense Reserve Fleets (NDRF) and excess vessels of other Federal Agencies. This solicitation describes the process for the submittal of General Technical Proposals (such proposal, inclusive of the technical compliance plan (TCP) and all supporting documents, is referred to herein as the GTP), the evaluation criteria of the GTPs, the establishment of a pool of qualified facilities, the process for solicitation, among the offerors in the qualified pool, of sales offers and revised price quotations and the criteria for award of ship disposal sales contracts and/or ship disposal services contracts.

A.1. QUALIFICATION OF SCRAPPING FACILITIES - Section 6(c)(1) of the National Maritime Heritage Act of 1994, as amended (16 U.S.C. §5405),1 and section 3502, Scrapping of National Defense Reserve Fleet Vessels, of the National Defense Authorization Act, Fiscal Year 2001, as amended,2 limits “scrapping” to qualified ship recycling facilities.

A.2. DOMESTIC FACILITIES – In Section 3502 of the Defense Authorization Act of 2009, Public Law No. 110-417, and except under certain circumstances, Congress has mandated utilization of domestic sources for the purposes of dismantling, recycling or scrapping of vessels owned by the United States. Therefore, GTPs from offerors proposing to dispose of ships at foreign facilities are not being accepted at this time. If circumstances change, this request for GTPs will be amended to allow the submittal of proposals from foreign facilities.

A.3. The pool will be comprised of offerors whose GTPs have been evaluated as technically acceptable. Offerors in the pool will be eligible to compete for (i) sales contracts under which the agency will sell the vessels for disposal; and (ii) service contracts under which the agency will consider acquiring ship disposal services if no sales offers are received. MARAD will

1 Section 6(c)(1) of the National Maritime Heritage Act of 1994 was originally enacted in Section 6(c)(1) of Pub. L. 103-451, November 2, 1994, 108 Stat. 4777. It has been amended by Section 1026(c) of the National Defense Authorization Act for FY 1998, Pub. L. 105-85, November 18, 1997, 111 Stat. 1878;

Section 3502(a) of the National Defense Authorization Act for FY 2001, Pub. L. 106-398, October 30, 2000, 114 Stat. 1654A-490; and Section 3514 of the National Defense Authorization Act for FY 2008, Pub. L. 110-181, January 28, 2008, 122 Stat. 594.

2 Section 3502 is set forth in 16 U.S.C.A. §5405, note. The original statute was section 3502(b) to (f) of Pub. L. 106-398, October. 30, 2000, 114 Stat. 1654. It has been amended by Section 3505(a) of the National Defense Authorization Act of FY 2006, Pub. L. 109-163, January 6, 2006, 119 Stat. 3551;

Section 3504 of the National Defense Authorization Act of FY 2012, Pub. L. 112-81, December 31, 2011, 125 Stat. 1717; and Section 3502 of the National Defense Authorization Act of FY 2013, Pub. L. 112- 239, January 2, 2013, 126 Stat. 2222.

(Amendment 0002) 30 July Aug 2013 Page I-2 periodically solicit ship-specific pricing and schedules from offerors in the pool of qualified facilities and award disposal contracts in accordance with the evaluation criteria in the applicable solicitation.

A.4. REQUIREMENTS FOR AQUATIC INVASIVE SPECIES – The National Invasive Species Act, as amended (16 U.S.C. § 4701, et seq.), requires entities to mitigate the transmission of non-indigenous aquatic species. MARAD requires the State in which the obsolete vessels will be disposed of to consent, in writing, under terms acceptable to MARAD, to allow vessels with their hulls cleaned in accordance with the USCG Interim Criteria for Cleaning Hulls of MARAD Vessels Prior to Relocation, dated 27 June 2006 or in the case of the SBRF vessels dry-docked to enter that State’s waters for disposal. The current State Consent Status is set forth in Part VI. Supporting Documents, Section H. Invasive Species State Consent Status, to this solicitation and is posted in FedBizOps and located in the VOA Ship Disposal technical library.

A.4.a. Consent for New Facilities Not Covered By Existing Consent Agreements. MARAD will initiate and manage discussions with the cognizable State authorities to obtain State consent for any new ship disposal facilities that are to be qualified by MARAD and are not covered under existing State consent agreements. Consent from the State where the ship disposal facility is located, on terms acceptable to MARAD, is required before a GTP will be found to be Technically Acceptable.

A.4.b. Revised Consent For Existing Facilities. If a State changes the terms of its consent, then a revised consent from cognizable State authorities on terms acceptable to MARAD must be submitted in writing to MARAD’s Office of Environment not later than the determination of the best value award for each request for sales offer or price quotation for a vessel disposal which is not covered by the current State Consent Status. Consent from the State where the ship disposal facility is located, on terms acceptable to MARAD, is required before an offer will be considered.

B. REQUEST FOR GENERAL TECHNICAL PROPOSALS

B.1. Companies interested in having a facility become part of the pool of qualified facilities are requested to submit GTPs for each facility proposed. GTPs must include all facilities used to perform the work required by this Ship Disposal Solicitation. Preparation and dismantlement locations are parts of the single facility covered by the submitted GTP and will be evaluated per the stated evaluation criteria. The Request for General Technical Proposals remains open until closed by an amendment to this Ship Disposal Solicitation.

B.2. The General Technical Proposal shall include the following:

B.2.a. The GTP shall address all of the elements to performing the work required by PART V Contract Clauses and Requirements, of this solicitation, and Part VI, Supporting Documents, inclusive of the below elements:

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1) Management, resources and facilities

2) Production throughput/capacity

3) Environmental considerations

4) Worker safety and health considerations

5) Hazardous material abatement considerations

6) Requisite and relevant experience

B.2.b. The GTP shall be prepared in accordance with Part VI. Supporting Documents, Section A. Technical Compliance Plan Requirements.

B.2.c. Additional GTP and Contract Requirements. Proposed facilities and/or dismantling methodologies that are determined by MARAD to present an increased risk to vessel stability, watertight integrity or hazardous material discharge risk may require additional assessments, plans and/or procedures to be developed and submitted as part of the GTP in order to be considered technically acceptable. Depending on the nature of the facility, methodology proposed and degree of risk, the assessments, plans and procedures may be required by MARAD to be produced by independent, third party naval architects and/or professional engineers. If a facility, whose GTP required additional assessments, plans and/or procedures in order to be found technically acceptable, is subsequently determined to be the best-value awardee of a disposal contract, a deliverable may also be required in the contract for an additional assessment, plan or procedure that is specific and directly applicable to the awarded ship(s). If such a ship specific deliverable is to be required, the potential for such a requirement will be made known to the facility at the time their GTP is determined to be technically acceptable and also identified as a deliverable in any subsequently awarded ship disposal contract.

B.3. ADDITIONAL REQUIREMENTS FOR CONTRACTS AWARDED UNDER PART IV,

RFQ DTMA-91-Q-2013-0013 (RFQ)

B.3.a. In addition to a complete General Technical Proposal, companies seeking to compete for ship disposal services contracts under the RFQ, PART IV, SHIP DISPOSAL SERVICES SOLICITATION, are also required to:

1) Submit a standing quotation for a generic dollar per ton price quotation based on an average sized MARAD vessel of approximately 7500 tons for CLIN 1. MARAD will only accept quotations submitted through MARAD's VOA website. The price quotation must be identified in a cover letter submitted with a GTP. The generic dollar per ton price quotation shall be a notional value during the evaluation of the technical proposals and establishment of the pool of standing quotations. The notional price per ton will not be used when awarding specific vessels under the RFQ. The standing quotation will be superseded when MARAD issues an Announcement requesting revised price quotations for specific vessels

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2) Complete and maintain electronic annual representations and certifications in the “System for Award Management (SAM)” via http://www.acquisition.gov before they will be eligible to compete for award of contract under the RFQ. (See Part IV, C.5.)

B.3.c. Service Contract Act. Offerors are notified that the Service Contract Act applies to ship disposal services contracts awarded under the RFQ. MARAD will request applicable wage determination after a vendor's generic offer has been determined to be technically acceptable.

Offerors shall be advised that updated Wage Determinations will be incorporated by reference at the time of the vessel specific price revision request.

C. PROPOSAL SUBMISSION

C.1. GTP SUBMISSION

GTPs described above shall be single sided, single spaced, Times New Roman, 12 point. The GTP shall be submitted in hard copy and on three CD-ROMs to the Acquisitions Contracting Officer. GTPs shall be submitted in MS Word 2010 format. Do not submit via the United States Postal Service as mail is being irradiated.

C.2. DUE DATES FOR GTPs

C.2.a. Companies whose GTPs were found to be Technically Acceptable under the prior MARAD ship disposal solicitation (Request for Quotation (RFQ) DTMA1Q09001 and Vessel Sales Solicitation SDPEXC-08001) are required to submit a complete new GTP consolidating and updating the information previously submitted under the prior solicitation. The new GTP shall have a cover page identifying any significant changes related to the facility, capacity, productivity, resources, and key personnel, as compared to the previously accepted GTP, or stating that there are no such significant changes related to the facility, capacity, productivity, resources, and key personnel, as compared to the previously accepted GTP. Provided that a complete new GTP is submitted to the Contracting Officer within 60 days from the date of the issuance of this solicitation, a previously approved facility shall be allowed to temporarily retain its technically acceptable qualification and remain in the pool of qualified facilities able to compete under this solicitation until MARAD has completed the re-evaluation of such new GTP.

The new GTP shall be submitted in hard copy and on three CD-ROM’s to the Contracting Officer. However, if after evaluation of the new GTP the offeror’s GTP is no longer technically acceptable, the offeror will be removed from the pool of qualified facilities until its new GTP is found technically acceptable. If a previously approved facility fails to submit a new, complete GTP within such 60 day period, that offeror will be removed from the pool of qualified facilities until a new, complete GTP is submitted, evaluated and found technically acceptable.

C.2.b. An offeror who submitted a GTP under the prior ship disposal solicitation that is currently undergoing evaluation by MARAD shall submit a new GTP that incorporates the latest proposed changes, amendments and updates for each qualified facility. The new GTP shall have a cover page identifying any significant changes related to the facility, capacity, productivity, resources, (Amendment 0002) 30 July Aug 2013 Page I-5 and key personnel, as compared to the previously submitted GTP, or stating that there are no such significant changes related to the facility, capacity, productivity, resources, and key personnel, as compared to the previously submitted GTP. Offerors shall submit three copies of the consolidated GTPs via CD-ROM to the contracting officer. If such an offeror fails to submit a complete new GTP within 60 days from the date of the issuance of this solicitation, the offeror must begin the qualification process anew under this solicitation.

C.2.c. An offeror who submitted a GTP under the prior ship disposal solicitation that was found technically unacceptable but susceptible to being made acceptable must submit a new, complete GTP for evaluation. The new GTP shall have a cover page identifying any significant changes related to the facility, capacity, productivity, resources, and key personnel, as compared to the previously submitted GTP, or stating that there are no such significant changes related to the facility, capacity, productivity, resources, and key personnel, as compared to the previously submitted GTP.

C.2.d. All other offerors must submit new, complete GTPs, in accordance with this solicitation.

This solicitation remains open for submission of new GTPs at any time until the solicitation is closed.

D. EVALUATION OF GTPS

D.1. Initially, MARAD will assess the GTP for the comprehensiveness of the material relative to the TCP guidelines and the six (6) elements listed in B.2.a. The iterative evaluation process will include notification by MARAD early on of any major threshold deficiencies in the proposal that inhibit the feasibility of the successful implementation of the GTP. MARAD may also request and review additional necessary information in order to fully evaluate the GTP to ensure the offeror has sufficient knowledge, resources and capabilities to successfully dispose of obsolete MARAD, Navy, or other Federal Agency vessels while protecting the environment and worker health and safety. Once the GTP is materially complete, reviewed and determined to be feasible MARAD may elect to conduct an on-site visit to evaluate facility infrastructure, meet key personnel and verify proposal information. The culmination of the iterative evaluation process will be the notification by MARAD that the GTP has been assigned one of the following ratings:

technically acceptable, technically unacceptable but susceptible to being made technically acceptable, or technically unacceptable.

Technically Acceptable – A technically acceptable proposal demonstrates the offeror has adequately addressed the six (6) elements identified in paragraph B.2.a., above, successfully remediate and dismantle obsolete vessels in a timely manner that is environmentally sound and satisfactorily takes into account worker health and safety.

Technically Unacceptable but Susceptible to Being Made Acceptable – A proposal that is deficient in some aspects of one or more of the six (6) elements necessary to be technically acceptable; however, the deficiencies are considered to be correctable within a reasonable timeframe.

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Technically Unacceptable – A proposal that fails to demonstrate the offeror has adequately addressed one of more of the six elements necessary to be technically acceptable and is able to successfully remediate and dismantle obsolete vessels and the deficiencies are significant and not considered to be correctable, within a short timeframe. A technically unacceptable proposal will not be afforded the opportunity for corrections and the offer will have to re-submit a new proposal to merit further consideration.

D.2. Offerors’ with GTPs rated Technically Acceptable will become qualified facilities and eligible to compete for specific vessels offered under PART III, Ship Disposal Sales Solicitation or PART IV, Ship Disposal Services Solicitation.

E. EVALUATION CRITERIA

MARAD will use the following criteria to evaluate the technically acceptability of the GTPs submitted based on the offerors response to the six (6) elements in paragraph B.2.a.:

1) Feasibility and likelihood of success of engineering/technical/management approach for the disposal of obsolete vessels and the risks associated with the proposed approach.

2) Productivity of the proposed approach(s) including schedule assessments.

3) Type and sufficiency of proposed methods, processes and procedures for environmental abatement of hazardous materials, worker safety and health considerations proposed and compliance with applicable laws.

4) Depth, relevance and currency of requisite experience with the complete disposal of obsolete vessels.

F. TIME FOR EVALUATION

F.1. MARAD will continuously evaluate proposals as they are received. The time needed to complete the initial evaluation of newly submitted proposals will be dependent upon the completeness of the initial proposal submission and agency workload. When a new proposal is submitted, MARAD's goal is to complete the initial evaluation within eight weeks from the date a complete GTP is submitted.

F.2. GTPs submitted under this Ship Disposal Solicitation will be evaluated in the following order: new GTPs from companies whose prior GTP was technically acceptable under the previous solicitation provided the GTP was submitted by the due date required to obtain temporary technical acceptability status; new GTPs from companies whose prior GTP was technically acceptable under the previous solicitation but their complete GTP was not submitted by the due date required to obtain temporary technical acceptability status; new GTPs from companies whose GTPs were found to be technically unacceptable but susceptible to being made acceptable under the previous solicitation; and lastly, offerors submitting new GTPs.

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G. CONTINUING OBLIGATION

G.1. Once an Offeror’s GTP is found Technically Acceptable, the offeror shall operate its qualified facility and perform ship disposal contracts in accordance with its approved GTP and the awarded contract.

G.2. Updates to the GTP shall be submitted to the Acquisitions Contracting Officer whenever there is a substantive change in the qualified facility, remediation/dismantling methodology, resources (including financial, equipment, direct labor and subcontractors), ownership, key personnel or other circumstances that affect the ship remediation/dismantling production, capacity, efficiency, worker safety, environmental protection or responsibility. One hard copy and three CD-ROMs shall be submitted for each update.

G.3. The Government reserves the right to suspend or revoke a Technically Acceptable rating for a GTP upon evidence that the qualified facility is not being operated in accordance with the approved GTP and any awarded contract. If the government asserts that circumstances warrant revocation of a technically acceptable rating, then the facility will be provided an opportunity to respond to specific deficiencies. If the facility’s response does not cure those deficiencies, the technically acceptable rating for the GTP will be suspended or revoked until such time as the deficiencies are satisfactorily addressed and the facility is again found technically acceptable.