FA2521-13-R-0008_Amendment_3.doc

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

The following have been added by full text:

AMENDMENT 3

Section L Changes

1. The second sentence of Section L paragraph 2.3.1. is revised from, “The Government requests submission of eight PEQs from the prime contractor and no more than three PEQs per major subcontractor.” to “The Government requests submission of not more than eight PEQs from the prime contractor and no more than three PEQs per major subcontractor.”

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO BIDDERS

The following have been modified:

INSTRUCTIONS TO OFFERORS

Section L: Instruction, Conditions, and Notices to Offerors or Respondents

L-1 GENERAL INSTRUCTIONS

The offeror's proposal must include all data and information requested and must be submitted in accordance with (IAW) these instructions. The offer shall be compliant with the requirements as stated in the Statement of Work (SOW), System Specification, Contract Data Requirements List, and additional attachments. Non-conformance with the instructions provided may result in an unfavorable proposal evaluation.

a. The proposal shall be clear, concise, and shall include sufficient detail for effective evaluation and for substantiating the validity of stated claims. The proposal should not simply rephrase or restate the Government's requirements but rather shall provide convincing rationale to address how the offeror intends to meet these requirements. Offerors shall assume that the Government has no prior knowledge of their facilities and experience and will base its evaluation on the information presented in the offeror's proposal.

b. Elaborate brochures or documentation, binding, detailed art work, or other embellishments are unnecessary and are not desired.

c. The offeror shall make a clear statement in Volume 4 – Administrative Documents and in block 12 of the SF 33 that the proposal is valid for no less than 210 days after receipt of proposals.

d. IAW Federal Acquisition Regulation (FAR) Subpart 4.8 (Government Contract Files), the Government will retain one copy of all unsuccessful proposals. Unless the offeror requests otherwise, the Government will destroy extra copies of such unsuccessful proposals.

e. The contract types specified in the solicitation are mandatory. Alternative proposals will not be accepted for this acquisition.

1.1. General Information

1.1.1. Point of Contact: The Contracting Officer (CO) is the sole point of contact for this acquisition. Address any questions or concerns you may have to the CO. Written requests for clarification may be sent to the CO (Michael Janosz) at 1201 Edward H. White Street, Patrick Air Force Base, Florida 32925 or to Michael.Janosz@us.af.mil.

1.1.2. Debriefings: The CO will promptly notify offerors of any decision to exclude them from the competitive range; whereupon, they may request and receive a debriefing IAW FAR 15.505. Offerors excluded from the competitive range may request a debriefing within three days after receipt of the notice of exclusion from the competition. The offeror may elect to receive the debriefing post-award, however, offerors excluded from the competitive range are entitled to no more than one debriefing. The CO will notify unsuccessful offerors in the competitive range of the source selection decision IAW FAR 15.506. Upon such notification, unsuccessful offerors may request and receive a debriefing. Offerors desiring a debriefing must make their request IAW the requirements of FAR 15.505 or 15.506, as applicable.

1.1.3. Discrepancies, Errors, Omissions and Questions: If an offeror believes that the requirements in these instructions contain an error, omission or are otherwise unsound, the offeror shall immediately notify the CO in writing with supporting rationale as well as the remedies the offeror is asking the CO to consider as related to the omission or error. Government responses will be placed on Federal Business Opportunities (FedBizOpps) website at http://www.fedbizopps.gov for access by all offerors.

Address all questions or concerns to the point of contact (POC) listed above in paragraph 1.1.1 using the format provided in the Question and Answer Template, Attachment L-02. Offerors are encouraged to submit all questions and requests for clarifications no less than ten (10) days prior to the Request for Proposal (RFP) closing date. The decision to respond to questions and requests for clarifications made less than ten (10) days prior to the RFP closing shall be at the sole discretion of the CO.

The offeror is reminded that the Government reserves the right to award this effort based on the initial proposal, as received, without discussion. This reservation includes matters of additional or substitute pages of the initial proposal.

1.1.4. Electronic Reference Documents: All referenced documents for this solicitation are available on FedBizOpps. Potential offerors are encouraged to subscribe for real-time email notifications when information has been posted to the website for this solicitation. Additionally, technical information that requires controlled access is available on FebBizOpps. Controlled access documents require the vendor's company be certified by the Defense Logistics Agency Logistics Information Service's Joint Certification Program to receive unclassified technical data disclosing military critical technology with military or space application. Those vendors that are certified to receive export controlled materials are termed authorized vendors. This system receives a daily feed of authorized vendors, which determines access based on a vendor’s CAGE code/Marketing Partner Identification Number.

1.1.5. Communications: With the exception of Receipt of Proposals, exchanges of source selection information between Government and offerors will be controlled by the CO. Email may be used to transmit such information to offerors only if the email can be sent and received encrypted and includes “Source Selection Information – See FAR 2.101 & 3.104” in the Subject line. In addition the contractor’s proposal shall state “Source Selection Information – See FAR 2.101 & 3.104” on each page.

1.1.6. Pre-Award Survey:

1.1.6.1. If the information on hand or readily available to the CO is not sufficient to make a determination of responsibility IAW FAR 9.1, the offeror may be required to participate in a pre-award survey to determine that the offeror meets the responsibility requirements in FAR 9.104. The pre-award survey is conducted with the assistance of the offeror to determine its eligibility and ability to perform. Refusal to participate in a pre-award survey and provide all required data could result in the offeror being determined ineligible for award. If the offeror is aware of some circumstances in its performance record or current ability to perform which may result in a negative report, offeror should provide any information on mitigating circumstances or corrective action planned or taken.

1.1.6.2. The pre-award survey may include performance of a formal financial capability risk assessment or audit by the Defense Contract Audit Agency (DCAA) or other personnel assigned by the CO to perform the delivery. This effort would be performed IAW Defense Federal Acquisition Regulation Supplement (DFARS) 232.072-1 and the information required for audit would include but not be limited to that identified in DFARS 232.072-2. The contractor agrees to provide the financial information for such financial capability effort in a timely manner. Failure to provide the requested data could cause the offeror to be determined financially irresponsible as discussed in FAR 9.103(b).

1.1.7. Amendment of Solicitation Prior to Proposal Closing:

The Government reserves the right to revise and amend the solicitation prior to the proposal closing time. Such revisions or amendments will be communicated by amendment(s) to this RFP. If such amendments require material changes in quantities or prices, the proposal closing date may be postponed by enough days to enable offerors to revise their proposals. In such cases, the amendment will include announcement of the new proposal closing date and time. Amendments will be posted at FedBizOpps with the solicitation documents without notice. Offerors are responsible for accessing all amendments prior to proposal submission.

1.2. Receipt of Proposals

1.2.1. Submission: All volumes, paper and electronic, shall be delivered to

45 CONS/LGCZR, Attn: Michael Janosz, Contracting Officer, 1201 Edward H. White St. Patrick AFB (PAFB), Building 423, Room N-204. They must be received no later than 1:00 PM local time on 7 May 2015.

1.2.2. Access to Base Facilities: PAFB is a restricted access area. Offerors must coordinate obtaining access to these areas for any hand deliveries by coordinating delivery time with the CO via email at least one business day in advance of required access. Failure to coordinate delivery in advance may result in the offeror not obtaining entrance to the base to meet required deadlines. Offerors attempting to hand carry proposals just prior to closing time do so at their own risk. Proposals sent via commercial carrier to arrive just prior to closing time also risk delay in accessing the facility that could result in late delivery. Late proposals will be processed IAW provision FAR 52.215-1 "Instructions to Offerors--Competitive Acquisitions."

1.3. Proposal Preparation and Organization

a. Offerors are required to meet all solicitation requirements, including terms and conditions, representations and certifications and technical requirements, in addition to those identified as evaluation factors or subfactors. The proposal should include all of the information requested in the subparagraphs. Failure to do so may adversely affect the evaluation. A proposal that is sufficiently documented to support performance and price/cost in a complete, orderly and specifically detailed manner will enable the Government to perform a thorough and fair evaluation. To facilitate review and evaluation for this source selection, the Government proposes to transmit data via commercial systems (i.e. encrypted email, UPS, FedEx, etc.). Distributed material will be identified as source selection sensitive and distribution strictly limited to appropriate personnel. Offerors’ responses shall consist of four (4) separate volumes identified in Table 1.3.

b. The offeror shall prepare the proposal as set forth in the Proposal Organization Table (Table 1.3 below). The titles and contents of the volumes shall be as defined in this table, all of which shall be within the required page limits and with the number of copies as specified in Table 1.3. The attachments identified in the table shall be separately bound in three-ring, loose-leaf binders, as necessary.

Table 1.3 Proposal Organization

c. Any proposal, which fails to conform to the requirements or specification in the solicitation, may be considered ineligible for award. Proposals should be complete and clear and not require additional explanation of information. The Government may make a final determination as to whether a proposal is acceptable or unacceptable based solely on the proposal as presented and submitted.

1.3.1. Page Size and Format: Page size shall be 8.5 x 11 inches, not including foldouts. Pages shall be single-spaced, and shall be no less than Arial normal 11 point font size. Use at least 1-inch margins on the top and bottom and 3/4 inch side margins. The background color of each page shall be white or ivory. Pages shall be numbered sequentially by volume. These page format restrictions shall apply to responses to evaluation notices (ENs).

1.3.1.1. Page limitations shall be treated as maximums. If exceeded, the excess pages will not be read or considered in the evaluation of the proposal. Page limitations may be placed on responses to ENs. The specified page limits for EN responses will be identified in the letters forwarding the ENs to the offerors. Each page shall be counted except the following: cover pages, table of contents, blank tab dividers, glossaries/acronym lists.

1.3.1.2. Cost or Pricing Related Data: All cost or pricing data shall be addressed ONLY in the Cost/Price Proposal and Administrative Documents Volumes. Cost trade‑off information, work hour estimates, and material kinds and quantities may be used in other volumes only as appropriate for presenting rationale for alternatives or design and trade‑off decisions.

1.3.1.3. Cross-Referencing: To the greatest extent possible, each volume shall be written on a stand‑alone basis so that its contents may be evaluated with a minimum of cross-referencing to other volumes of the proposal. Information required for proposal evaluation which is not found in its designated volume will be assumed to have been omitted from the proposal.

1.3.1.4. Indexing: Each volume shall contain a detailed table of contents to delineate the subparagraphs within that volume. Tab indexing shall be used to identify sections. Table of Contents will not count against the page count requirements.

1.3.1.5. Foldouts: Legible tables, charts, graphs and figures shall be used wherever practical to depict organizations, systems and layout, implementation schedules, plans, etc. These displays shall be uncomplicated, legible and shall not exceed

11 by 17 inches in size. Foldout pages shall fold entirely within the volume and each printed side shall count as a single page. Foldout pages may only be used for large tables, charts, graphs, diagrams and schematics, not for pages of text. For tables, charts, graphs and figures, the font shall be no less than Arial normal 11 point font.

1.3.1.6. Glossary of Abbreviations and Acronyms: Each volume shall contain a glossary of all abbreviations and acronyms used, with an explanation for each. Glossaries do not count against the page limitations for their respective volumes.

1.3.1.7. Binding and Labeling: Each volume of the proposal should be separately bound in a three-ring, loose-leaf binder permitting the volume to lie flat when open. Staples shall not be used. A cover sheet should be bound in each book, clearly marked as to volume number, title, copy number, solicitation identification, and the offeror's name. The same identifying data should be placed on the spine of each binder. Binders may be any color other than red. Each volume shall be appropriately marked as prescribed by FAR 52.215-1(e), Restriction on disclosure and use of data, and FAR 3.104-4, Disclosure, Protection, and Marking of Contractor Bid or Proposal Information and Source Selection Information.

1.3.2. Electronic Proposal Submission: To enable the government to successfully view the proposals electronically, the offeror’s electronic copy of the proposal shall be submitted in Adobe Portable Document File (PDF) format. PDF files are expected to be exact duplicates of the paper copies. For files prepared in MS Excel XLS format, the PDF file shall duplicate the paper copy while the XLS file shall have open cells allowing the Government to view/evaluate all formulas. The government will use the electronic copies in the evaluation process and may compare the electronic and paper copies. If a variation in content between the paper copy and the electronic one is noted and that variation is not resolved with the offeror, the paper copy marked “original” shall be considered the submitted proposal. Page count is determined by the paper copy. Each CD-ROM case and the CD-ROM itself must be labeled with offeror name, solicitation number and numbered sequentially in the required number of copies.

1.3.2.1. File Preparation: The offeror shall generate “bookmarks” within each PDF file for at least each section and subsection of the document. Bookmarks shall be generated based on indexed entities appearing in the document Table of Contents. The minimum requirement for hypertext links is a table of contents within each PDF file linked to each section of the file. Additional hypertext links within the proposal are at the offeror’s discretion. The use of thumbnails or additional hypertext links will not influence the evaluation. The PDF file has a built in security function. The offeror shall set all security options in each PDF file to “allowed.” All text, including tables and figure identifiers, shall be indexed and 100% searchable text.

1.3.2.2. Font and Page Setup: Text font and layout shall be as stated for paper copies. Hypertext links shall be the same minimum font size. The preferred method of implementing hyperlinks is to indicate the hyperlink by blue font color. However, the offeror may indicate hyperlinks by any color font or with a visible rectangle.

1.3.2.3. Other Requirements: The offeror shall not embed sound or video files into the proposal files. Minimize the use of scanned images and keep embedded graphics as simple as possible.

1.3.2.4. Proposal Format and Structure: Each volume of the electronic proposal shall be in its own subdirectory on the CD-ROM, sequentially labeled Volume 1 through Volume 4.

L-2 SPECIFIC INSTRUCTIONS

2.2. Volume 1 –Factor 1 – Technical Capability/Risk Proposal (120 page maximum)

The Technical Capability/Risk Proposal Volume should be specific and complete. Legibility, clarity and coherence are very important. Your responses to the Technical Capability/Risk Volume will be evaluated against the assessment criteria defined in Section M, Evaluation Factors for Award. Using the instructions provided below and in consideration of the assessment criteria, provide as specifically as possible the actual methodology you would use for accomplishing the Technical Capability/Risk factor. By your proposal submission you are representing that your firm will perform all the requirements specified in the RFP. It is not necessary or desirable for you to tell us so in the proposal. Do not merely reiterate the objectives or reformulate the requirements specified in the RFP. Using the instructions provided below and in consideration of the assessment criteria, provide as specifically as possible the actual methodology you would use for accomplishing each of the Technical Capability/Risk subfactors.

a. The Technical Capability/Risk volume shall be organized according to the following general outline:

(1) Table of Contents

(2) Glossary

(3) Cross Reference Matrix

(4) Subfactor One

(5) Subfactor Two (etc.)

2.2.2.1. Program Management (Subfactor 1):

2.2.2.1.1. Organization: Describe your proposed organization sufficiently to enable the evaluators to understand the proposed structure and staffing. Provide an organizational chart depicting the organization on a foldout. Identify the proposed managers by name along with a brief description of their qualifications and other key personnel and functions assigned to each organizational entity. Indicate staffing level and skills assigned to each unit. Identify on the charts the SOW functions to be performed by each unit. Include a narrative discussion of your proposed organization explaining its relationship to the rest of your company and how it will interface with team members and subcontractors, other range contractors, ranges supported, and the Instrumentation Radar Support Program (IRSP) Program Office.

2.2.2.1.2. Resource Management: Discuss workforce management in consideration of fluctuating and evolving workloads. Discuss your policies on delegation of authority and explain how your organization will provide flexibility to meet changing workloads and quick-response requirements. Include discussion on the plan to adjust the workforce, as required, over the life of the contract. Discuss how cross-utilization may be applied and management controls to ensure proper billing to the appropriate contract line item numbers (CLINs) and delivery orders. For price reductions proposed between ordering periods resulting from the offeror’s technical approach, the offeror must describe and justify how these efficiencies will be achieved. An efficiency is any method by which the offeror manages resources to meet the SOW requirements in the RFP.

Provide your plan to successfully perform all SOW requirements for the workload indicators provided in Attachment L-01, Historical Info/Workload Indicators for the 1 Oct 15 – 30 Sep 16 period. The plan must include how you will monitor, control, schedule, and perform field overhauls, system modifications, engineering and technical support, and logistics functions to include test and specialized equipment, material acquisition, component remanufacturing/fabrication, and transportation utilizing the appropriate skill mix and effective management practices across all systems in the program. Specifically address your ability to acquire expertise and methods to retain, maintain and train personnel required to accomplish all SOW requirements across the whole spectrum of IRSP tracking systems and subsystems; along with how you will handle the fluctuations in required skill mix and quantity of personnel required to accomplish all ramp up/down situations in the SOW requirements for the 1 Oct 15 – 30 Sep 16 workload indicator period. Additionally, provide a list of skill mix, staffing levels, and timeframes to complete a field overhaul for each type of system listed in Attachment 7, Supported Range’s System List.

2.2.2.1.3. Inventory Management: Describe the processes and tasks associated with depot support and inventory management and material acquisition as required by SOW Paragraph 3.2.1.

2.2.2.1.4. Phase-In: Attachment L-03 to the RFP is the Phase-out plan for the current contractor. The proposed Phase-in plan should interact and coincide with the attached Phase-out plan. Specify details for the Phase-in period. Show how you propose to use this time to assume full operational complete contract responsibility by the end of the Phase-in period. Include an approach for assuming accountability for all Government Furnished Property/Equipment (GFP/E) inventory. This plan will become a part of the contract schedule. Show the proposed initial manning, how it will be increased over the Phase-in period, when the “full” manning level will be attained within the three months, to include personnel Phase-in by time, and labor category. Describe approaches for dealing with contingencies that may arise during the Phase-in that may prevent implementation of your original plan.

2.2.2.1.5. Phase-Out: Provide a Phase-Out plan that details how the contractor will transfer responsibility to another contractor at the end of the ordering period. The plan must include interfacing with the new contractor, transfer of GFP/E, all while meeting all SOW requirements until the completion of the contract.

2.2.2.1.6. Customer Relations: Describe your approach to customer support. Identify how you will respond to customer needs and explain procedures or processes that will be in place to ensure that they are met.

2.2.2.2. Field Overhauls (Subfactor 2):

2.2.2.2.1. Work Specification: Describe your process for performing the field overhauls IAW Attachment L-04. This process should adequately address all sections of SOW Paragraph 4.4.

2.2.2.3. System Modifications (Subfactor 3):

2.2.2.3.1. System Modification Sample: Describe your proposed approach for accomplishing the sample system modification identified in Attachment L-05, to include manning and skill mix required to perform the system modification. This will include design concept, block drawings, flowcharts, fabrication, installation, test, documentation, and delivery schedule for completing the project.

2.2.2.4. Engineering and Technical Support (Subfactor 4):

2.2.2.4.1. Engineering Tasks and Samples: Describe your approach for accomplishing the Engineering/Technical Support sample tasks identified in Attachment L-06, to include manning and skill mix required to complete the tasks IAW the SOW Paragraph 4.3.

2.2.2.4.2. Obsolescence Engineering: Describe your approach for addressing the obsolescence issues for the obsolescence sample problem/solutions identified in Attachment L-06, to include manning and skill mix required to complete the tasks IAW SOW Paragraph 3.3.

2.2.2.5. Logistics Support (Subfactor 5):

2.2.2.5.1. Test and Specialized Equipment: Describe how you will purchase the sample equipment listed in Attachment L-07 to include your plan for utilizing personnel with appropriate skills and capability. Ensure you adequately address SOW Paragraph 3.4.

2.2.2.5.2. Material Acquisition: Describe how you will procure the sample parts listed in Attachment L-07 to include your plan for utilizing personnel with appropriate skills and capability. Ensure you adequately address SOW Paragraph 4.1.

2.2.2.5.3. Component Remanufacture and Fabrication: Describe how you will remanufacture and/or fabricate the items listed in Attachment L-07 to include your plan for utilizing personnel with appropriate skills and capability. Ensure you adequately address SOW Paragraph 4.2.

2.2.2.5.4. Transportation: Describe your plan to transport the items identified in Attachment L-07 from the contractor’s facility to the ranges identified in Attachment L-07 to include your plan for utilizing personnel with appropriate skills and capability. Transportation to the program’s foreign ranges will be to the freight forwarder identified in their current case. Note: the Foreign Military Sales Freight Forwarders change periodically.

2.2.2.6. Small Business Subcontracting Plan (Subfactor 6): If the offeror is a large business, submit a complete Small Business Subcontracting Plan as part of Volume 1. If the offeror has an approved master subcontracting plan (FAR 19.704(b)) and 52.219-9(f)), or an approved comprehensive subcontracting plan (DFARS 219.704), it shall submit an addendum with its proposal covering any additional information required by this solicitation. The addendum will be incorporated into any resulting contract along with incorporation by reference of the master or comprehensive plan. The percent of total small business subcontract dollars goal shall be no less than 25% of the total contract dollars, on an annual basis. The plan shall state the apportionment of the 25% among the small business types (small, small disadvantaged, veteran owned, service disabled veteran owned, women- owned, Alaskan Native Corporations, and Historically Underutilized Business zone (HUBZone) small businesses. In addition to these requirements, the offeror shall include in the plan a table that shows (1) a brief description of the subcontracted effort, (2) the North American Industry Classification System (NAICS) code assigned (3) the type of small business contractor anticipated to be used, and (4) goals expressed in dollars and percentage of annual contract value. Small Disadvantaged Business (SDB) subcontracting must meet the requirements of DFARS 219.705-4(d).

2.3. Volume 2 – Past Performance:

The purpose of the Past Performance Volume is to provide a summary of recent and relevant efforts essentially comparable to this acquisition. The Government will use this information to perform a past performance evaluation as described in Section M. Current contracts or subcontracts performed, in whole or part, within the past three (3) years immediately preceding the issuance of this solicitation will be considered RECENT. RELEVANCY is described in detail in Section M.

2.3.1. Recent and Relevant Contracts: Provide a comprehensive list of recent and relevant contracts to include the information listed below. The Government requests submission of not more than eight PEQs from the prime contractor and no more than three PEQs per major subcontractor. Regardless of the number of major subcontractors, the government will not accept any more than 12 major subcontractor PEQs. If you believe a classified project is significant for this proposal, then simply state "Classified" where appropriate and provide points of contract.

a. Contract Number

b. Total Dollar Value (original and final)

c. Annual Contract Value

d. Contracting Agency

e. Title of Contract

f. Government program manager (name, address, phone number, email address)

g. Description of program/project

h. Procuring Contracting Officer and Administrative Contracting Officer (name, address, phone number, email address)

i. Period of performance

j. Type of Contract (Firm Fixed Price, Fixed Price Incentive, Cost Plus Fixed Fee, Cost Plus Award Fee, etc.)

k. Using Section M Table 2.3.2.2 provide a relevancy assessment with supporting rationale, to include the relevancy areas that apply to the contract.

2.3.2. Performance Evaluation Questionnaire: The Government requests the offeror send out a Performance Evaluation Questionnaire (PEQ) (Attachment L-08) for each contract listed above. Offerors shall request the customer point of contact to complete the questionnaire and return the completed PEQ to the CO AT LEAST 10 DAYS prior to the proposal closing date/time, earlier if possible, but NO LATER THAN the proposal closing date. Once the PEQs are completed by the POCs, the information contained therein shall be considered source selection sensitive and shall not be released to the offeror. A cover letter for transmitting the questionnaire to each POC is included in Attachment L-09. Offerors may include their own cover letter requesting completion of the questionnaire in addition to the cover letter provided.

2.3.2.1. The Past Performance Volume shall include a list of questionnaire recipients to include two current POCs and phone numbers for each contract reference provided. The offeror is solely responsible for the accuracy of the contact information provided.

2.3.2.2. The completed PEQs shall be emailed by respondent directly to Michael.Janosz@us.af.mil.

2.3.2.3. For all the information required above, the same information should be provided for any major subcontractor proposed. Information from major subcontractors who have relevant experience that will perform major critical aspects of the requirements will be considered and evaluated the same way as past performance from the principle offeror. A major subcontractor is defined as those performing more than ten percent (10%) of the effort, on a total cost basis. Note: Past performance regarding predecessor companies, or key personnel (i.e. Onsite Program Manager) who have relevant experience, that will perform major critical aspects of the requirements WILL NOT be considered as highly as past performance information of the prime offeror or its major subcontractors.

2.3.2.3.1. The quality of subcontracting goals will be retrieved by the Government via CPARS or other sources.

2.3.2.4. Past performance information pertaining to a subcontractor cannot be disclosed to the prime offeror without the subcontractor’s consent.

Attachment L-10 is a sample consent letter to be provided with the proposal from all subcontractors that will perform major or critical aspects of the requirement, consenting to the release of their past performance information to the prime contractor.

2.4. Volume 3 –Factor 3 - Price/Cost: This section is to assist you in submitting data other than certified cost or pricing data that is required to evaluate the reasonableness/realism and balance of your proposed price/cost to include compliance with affordability and downward pricing requirements to be able to determine the price fair and reasonable. Compliance with these requirements is mandatory and failure to comply may result in rejection of your proposal. Additionally, unbalanced pricing poses an unacceptable risk to the Government and may be a reason to reject an offeror’s proposal. Offers should be sufficiently detailed to demonstrate their reasonableness and balance. The burden of proof for credibility of proposed prices/costs rests with the offeror. IAW FAR 15.403-1(b) and 15.403-3(a), data other than certified cost or pricing data may be required to support a determination of cost/price reasonableness and cost realism for cost CLINs. Data shall be provided IAW FAR 15.403-5. If, after receipt of proposals, the CO determines that there is insufficient data available to determine price reasonableness and none of the exceptions in FAR 15.403-1 apply, the offeror shall be required to submit additional cost or pricing data.

The price/cost proposal shall be based on the offeror’s technical approach to meeting the Government’s SOW requirements. Explain any inconsistency, whether real or apparent, between promised performance and price/cost. It is the offeror’s responsibility to demonstrate price/cost reasonableness.

The Price/Cost volume shall be organized according to the following outline:

(1) Introduction

(2) Standard Estimating System Description

(3) Accounting System Information

(4) Indirect Rate Descriptions

(5) Subcontractor Information

(6) Explanation of Proposed Cost

(7) Glossary/Acronyms list

Portions of the Price/Cost Volume containing spreadsheets and calculation data shall be submitted in MS Excel with all formulas active for verification purposes. Each MS Excel workbook shall be submitted as both a protected version and one that can be manipulated by Government. All cells containing numbers derived from a calculation must contain a working formula. Cells shall not link to data located outside the workbook. Offerors submitting workbooks which contain hard typed values in place of formulas or provide no basis for how numbers were derived may be rejected for failure to comply with proposal preparation instructions.

2.4.1. Detailed Instructions for the Price /Cost Volume:

2.4.1.1. Introduction: Provide a table of contents and overview of all data accompanying or identified in the Price/Cost Volume. The Price/Cost Volume shall include a cover sheet that contains the information listed in FAR 15.408, Table 15-2, General Instructions, and Section A only. Additionally, the cover sheet shall contain the name, address and telephone number of the DCAA office that is responsible for your audit review including whether your DCAA office has approved your accounting/estimating system. If you have reached an agreement with DCAA on use of forward pricing rates/factors, identify the agreement, include a copy, and describe its nature.

The introduction will describe the offeror’s proposal team structure, including information related to joint venture partners and major subcontractors. A major subcontractor is defined as those performing more than ten percent (10%) of the effort, on a total cost basis. Define each team member’s roll and clearly identify which contract line item numbers (CLINs) (or portions thereof) are anticipated to be subcontracted to each team member. Identify the planned contract type for each subcontractor.

2.4.1.2. Standard Estimating System:

2.4.1.2.1. Provide a summary description of your standard estimating system or methods, including whether your cognizant DCAA office has approved your estimating system.

2.4.1.2.2. Provide any known/cited current estimating system deficiencies and how those deficiencies are mitigated. Describe separately how you estimate each major cost element (e.g., labor, Overhead , Other Direct Costs , General and Administrative (G&A), etc.) and identify any deviations from your established estimating procedures in this proposal.

2.4.1.2.3. If estimated costs have been decreased due to a management decision, provide a summary of the reduction by major cost element and a complete rationale for the reduction.

2.4.1.2.4. For portions of the proposal related to Cost CLINs: Describe any Cost Estimating Relationships used. If you propose to absorb a portion of costs or to provide other benefits to the Government, explain the impact on cost and include the specific accounting treatment to be given to the absorbed costs.

2.4.1.2.5. Assumptions. List all assumptions made to estimate cost associated with this proposal. If estimated costs have been decreased due to a management decision, provide a summary of the reduction by major cost element and a complete rationale for the reduction.

2.4.1.3. Accounting System Information: The Government does not anticipate requesting accounting system reviews before contract award. IAW FAR 16.301-3, Limitations, offerors are not eligible to receive cost-type delivery orders until their accounting system has been approved by DCAA. Furthermore, the Government cannot approve a cost-type subcontract to a proposed subcontractor that does not have an approved accounting system. In Part 3 of your Cost/Price volume, indicate whether each subcontractor’s accounting system has been audited and determined acceptable, audited and determined not acceptable, or never audited unless the planned subcontract type is firm-fixed price. Identify the Government agency that audited the accounting system and provide evidence if determined acceptable. Evidence shall be in the form of the most recent applicable Government agency correspondence. If the offeror's accounting system has been audited and not accepted, provide details such as date of audit, deficiencies identified, corrective steps taken since disapproval, and reasons why approval of the accounting system is now assured. If the offeror's accounting system has never been audited, the offeror must explain its understanding of the characteristics of an acceptable accounting system for Government cost-type contracts, describe the accounting system employed, identify the software package used, and indicate any other steps the offeror has taken to ensure that Government approval will occur. An offeror who fails to provide this information may be eliminated from consideration.

2.4.1.4. Purchasing System: Provide a summary description of your purchasing system or methods (e.g., how material requirements are determined, how sources are selected, when firm quotes are obtained, what provision is made to ensure quantity and other discounts). Also, identify any deviations from your standard procedures in preparing this proposal. Indicate whether you have Government approval of your system and if so, provide evidence of such approval.

2.4.1.5 Indirect rates: Note: This paragraph applies only to portions of proposal related to COST CLINS. The offeror shall submit a narrative description of each indirect rate utilized for Cost CLINs in the proposal and the rates relationship to direct cost. Show the composition of each burden and indirect expense pool proposed. Submit a separate breakdown for each indirect overhead expense pool, such as local, division, and home office overheads, procurement and material handling burdens, and service center burdens. Identify the allocation base for each pool and demonstrate application of each rate by completing Table 2.4.1.5A. Add subtotal lines to the table as required to clearly identify the base where each rate is applied. For any indirect rate which cannot be applied to the example in Table 2.4.1.5A, develop a similar table to demonstrate rate application.

Table 2.4.1.5A Example Cost Summary by Cost Elements

Overhead (%)

Interdivisional

Subtotal

G&A (%)

Estimated Costs

Facility Capital Cost of Money

Complete the proposed indirect rate table 2.4.1.5B showing proposed rates for FY16 through FY21. Identify if the rates are defined in a Forward Price Rate Agreement (FPRA) or are established elsewhere. If the rate is established elsewhere, please explain the basis for which the rate was developed. For rates not based on an FPRA, include the latest annual final audit which identifies current company rates. Identify your fiscal year period and how any calendar difference from the Government’s fiscal year (GFY), 1 October through 30 September, impacts the proposed rate for each GFY. If rates are adjusted from the FPRA, or final rates in the latest completed fiscal year, provide a narrative description as to how the rates were developed. Provide an explanation of the basis of future year rate projections and the impact the IRSP award would have to the rates. Provide the same information for major subcontractors.

Table 2.4.1.5B Indirect Rates Listing

Fringe Benefits

Overhead

Material Handling

Subcontractor Handling

G&A etc.

2.4.1.6. Subcontractor Information: Proposals for all major first tier subcontractors shall be submitted within the prime contractor’s proposal. Major subcontractors are those whose cost equals 10% or more of the effort, on a total cost basis. Nonprime cost proposals should be submitted through the prime to the CO. If the subcontractor considers its information proprietary, it may be submitted directly to the CO by the same date and time the prime contractor’s proposal is due. The prime proposal shall uniquely identify major subcontractor costs within the supporting cost documentation. Subcontractor cost documentation shall be submitted at the same level of detail and in the same format as the prime’s cost proposal. Prime contractor cost detail must clearly identify portions of the proposal where supporting detail is provided by the subcontractor. The prime contractor is responsible for the consistency of the cost data between the prime contractor’s submission and any subcontractor data submitted directly to the CO.

For each proposed major subcontractor, provide your analysis to determine the price reasonableness of the subcontractor’s proposal. Include the subcontractor’s methodology to estimate costs and results of your reviews and evaluations of those proposals. Explain how the subcontractor effort relates to the overall effort. Any price adjustment to the subcontractor proposed prices that are included in the prime proposal submission, including discounting or expected decreases to be achieved in negotiations, shall be fully identified and explained. Offerors are required to provide the results of their price or cost analysis of subcontractor proposal as required in FAR 15.404-3(b).

2.4.1.7. Explanation of Proposed Cost:

In order to support evaluation of price reasonableness and cost realism, offerors shall submit narrative data explaining how proposed price/costs were derived as follows:

2.4.1.7.1. Cost Data Format: Offerors shall determine the format for submission of cost data and the level of data required to support the cost proposed to be reasonable in relationship to the proposed technical approach. Offerors shall associate labor categories included on the proposed organization structure with the CLIN(s) they will support.

2.4.1.7.2. Cost Mischarging Prevention Plan: Due to the similar nature of labor categories which may be used to perform work under both fixed price and cost type CLINs, the offeror must clearly identify positions which may be used for both. Any labor category which will be treated as an indirect labor cost must be identified in the proposal narrative. The offeror shall identify any proposed organizational chart position which will be utilized under both Firm Fixed Price (FFP) and Cost Plus Fixed Fee (CPFF) CLINs and describe controls which will be implemented to ensure labor is charged to the correct CLIN and identify internal audit processes which will validate cost allocation accuracy. Provide the same information for subcontractors performing under both FFP and CPFF CLINs. Supporting cost documentation must clearly identify the division among CLINs and total the number of positions identified in the organization chart in the Technical Volume.

2.4.1.7.3. Total Evaluated Price (TEP) Worksheet: Complete Attachment L-11, TEP Worksheet, and Section J, Attachment 5, Contract Funding Worksheet, for all CLINS. All dollar amounts shall be rounded to the nearest whole dollar and offerors are cautioned to check for rounding errors. An electronic copy of both attachments shall be submitted unprotected in Microsoft Excel showing all formulas. Attachment L-11 is provided as a template for proposing on all items on the contract to include the sample items in Volume 1 (Attachments L-04 through L-07). Note: the portion above subtotal cost on all tabs may be tailored. However, NO fee/profit shall be applied to Material, Travel, or Transportation on this contract. Section J, Attachment 5, Contract Funding Worksheet will become part of the contract and be used as an estimating tool to determine the appropriate amount of funding by delivery order by CLIN. Offerors shall ensure consistency between the TEP Worksheet and the Contract Funding Worksheet.

Clearly identify the total amount proposed for each CLIN and identify which cell on the worksheet is utilized to calculate the Inventory and Program Management. For example, under CLIN 0002, Inventory and Program Management, the number which becomes part of the TEP Worksheet is the cost for the first year of Inventory and Program Management. For CLIN 0007, Material Acquisition, the Price/Cost entered on the TEP Worksheet is the cost associated with Material Costs Sample in Attachment L-07.

2.4.1.7.4. Labor Rates Listing: The offeror shall propose all anticipated labor categories for the entire contract for years FY16-FY21.

Table 2.4.1.7.4 provides an example of how the fully burdened rate with fee/profit should be presented for all the out years. Complete the column for wage rate, labor burdens and other applicable indirect rates and fee/profit for each category. Labor categories, rates, and fee/profit identified in the table shall be consistent with the rates and fee/profit used to price the sample tasks listed in attachments L-04 through L-07. Additionally, the offerors shall provide a composite labor rate using the applicable labor categories from the Labor Rates Listing for use with CLIN 0009, Engineering Technical Support, on Section J, Attachment 5, Contract Funding Worksheet. These rates will be added as an attachment to the resulting contract as Section J, Attachment 6, Labor Rates Listing and be used for pricing purposes for any proposals after initial contract award. However, the Government reserves the right to utilize rates contained in current Forward Rate Pricing Proposals, Forward Rate Pricing Recommendations, or Forward Rate Pricing Agreements instead of the rates proposed and attached to this contract for pricing of proposals after competitive award of the contract.

Table 2.4.1.7.4 Labor Rates Listing

FYXX

Labor Cat 1

Labor Cat 2

Labor Cat 3

Labor Cat 4

Etc…

2.4.1.8. Affordability: The Government’s budget for the FFP CLIN 0002 Inventory and Program Management is $730,000 annually. The Offeror’s price for CLIN 0002, as proposed on Section J, Attachment 5 Contract Funding Worksheet, must be under the annual budget amount and be downward sloping to be awardable.

2.5. Volume 4 – Administrative Documents

2.5.1. Solicitation/Model Contract Representations and Certifications. Complete blocks 13, 14, 15, 16, 17 and 18 of the RFP Section A, SF 33; in doing so, the offeror accedes to the contract terms and conditions as written in the RFP Sections A through K. These sections constitute the model contract. An official having the authority to bind the offeror contractually must sign the SF 33. One copy of SF 33 must bear an original signature. The offeror shall make a clear statement on the SF 33 of the proposal contract documentation volume that the proposal is valid for a period of not less than 210 calendar days from receipt.

2.5.1.1. Section G - Contract Administrative Data. Complete any fill-ins required

2.5.1.2. Section I – Complete any fill-ins required

2.5.1.3. Section K - Representations, Certifications, and other Statements of Offerors. Complete representations, certifications, acknowledgments and statements.

2.5.1.4. Acknowledgment of all amendments issued (if applicable)

2.5.1.5. Statement of the period for which the proposal is valid (not less than 210 calendar days)

2.5.1.6. EXCEPTIONS OR ASSUMPTIONS TO TERMS AND CONDITIONS: Offerors are required to meet all solicitation requirements, including terms and conditions, representations and certifications, and technical requirements. Failure to meet a requirement may result in an offer being ineligible for award. Offerors must clearly identify any exception to the solicitation terms and conditions and provide complete accompanying rationale. Each exception shall be specifically related to each paragraph and/or specific part of the solicitation to which the exception is taken. Provide rationale in support of the exception and fully explain its impact, if any, on the performance, schedule, cost, and specific requirements of the solicitation. Failure to comply with the terms and conditions of the solicitation may result in the offeror being ineligible for award.

2.5.2. Offeror Information Required

2.5.2.1. Authorized Offeror Personnel: Provide the name, title and telephone number of the company/division point of contact regarding source selection decisions made with respect to your proposal and who can obligate your company contractually. Also, identify those individuals authorized to negotiate with the government.

2.5.2.2. Company/Division Street Address: Provide company/division's street address, county and facility code, and size of business (large or small). This same information must be provided if the work for this contract will be performed at any other location(s). List all locations where work is to be performed and indicate whether such facility is a division, affiliate, or subcontractor, and the percentage of work to be performed at each location.

2.5.2.3. Department of Labor Equal Employment Opportunity Clearance.