FMO ATTCH 2- Warehouse Inspection Proce.docx

ATTACHMENT 2

WAREHOUSE INSPECTION PROCEDURES

A. GENERAL

This appendix provides information and guidance regarding the on-site inspection of the commercial contractor warehouse approved for the storage of government furnished property.

This information will be used as a checklist when performing an initial inspection for purpose of contract award, and as well, annual inspections. The Warehouse Inspection Report is to be utilized when performing the inspections. The inspecting official will evaluate numerous areas to ensure that the facility complies with the requirements of the contract or tender and the stored property is afforded adequate levels of protection in a safe environment. Each facility inspection will be preplanned to achieve maximum results. For annual inspections, during the pre-trip planning, the inspection official will review previous inspection findings, reports on service failures, customer complaints, and other general information. These and related areas can be discussed with a management official of the company during or after the inspection process.

B. GENERAL INSPECTION PROCEDURES

A technique to be followed during initial and annual on-site inspections is outlined below.

1. On approach to the warehouse, note general activity, status of yard operations, and evidence of security measures.

2. At the warehouse, contact a management official, advise them of the purpose of visit, and set forth procedures of the inspection.

3. As a minimum, the inspection and evaluation process will include a review of the following areas:

a. Fire detection and reporting systems.

b. Security systems.

c. Structural and electrical systems.

d. Storage methods and practices.

e. Locator and lot identification systems.

f. Documents to include household goods descriptive inventories, weight tickets, and warehouse receipt.

C. SPECIFIC INSPECTION AREAS

During the inspection process, it is recommended that the inspection official:

1. Crosscheck Government inventories with contract inventory to ensure 100% accuracy

2. Ensure assets are protected against mold/mildew and damp

3. Ensure Government assets are not commingled

4. Ensure appliance cleaning area is separated from appliance/furniture repair area

5. Ensure good warehouse practices and housekeeping is taking place

6. Check to verify that maintenance inspections of fire safety systems are performed.

7. Check to verify that an insect and rodent control program, either self-administered or provided by an outside firm, is in effect.

D. INSPECTION REPORT

Upon completion of the inspection, a Warehouse Inspection Report will be executed pursuant to the instructions contained in Paragraph E below. The contractor will also be given an oral briefing on the deficiencies noted and a suggested course of action for correction that will meet standards.

E. INSTRUCTIONS FOR PREPARATION OF THE WAREHOUSE INSPECTION REPORT

For purpose of annual inspections, a written report of all inspections will be made and maintained as part of the contractor file. The Warehouse Inspection Report will be prepared as indicated below for both the initial and annual inspections:

1. The actual date on which the inspection is performed will be entered.

2. The name and address of the contractor will reflect the present name and address of the company operating the facility.

3. The address of the actual location of the warehouse.

4. The solicitation or contract reference number will be annotated.

5. Pre-Storage and Post Storage Services. All deficiencies and violations listed in this section will be based on inspections by the QAP inspecting official in connection with pre-storage and post-storage services. When violations are observed and recorded in this section, the QAP will forward a copy of the report to the contracting officer within 10 working days of inspection.

6. These sections separate the inspection areas by categories and subcategories, which are to be evaluated during the inspection process. All subcategories listed will be checked and assigned a quality control rating when deficiencies are observed. The inspecting official may assign a lower or higher point value (not to exceed three) depending on the severity of the deficiency.

7. Deficiencies Observed/Actions Taken. This section is for the assignment of a quality control rating and is designed for the inspecting official to apply a suitable numerical rating to the facility. Based on the findings noted, the inspecting official may indicate any necessary actions to be taken by the contractor.

8. Remarks Section. This section is used to provide a narrative description of the deficiencies observed and record other information relative to the inspection.

9. Signature Blocks. The Warehouse Inspection Report will be signed by the inspecting official and a representative of the contractor at the time of inspection and prior to distribution of the form.

F. RATINGS UPON INSPECTION PROCESS COMPLETION

Upon completion of the inspection process, the facility will be rated based on the type and severity of discrepancies observed. Ratings will be awarded as follows:

1. “A” rating. This rating is assigned when no deficiencies are observed. No further action is necessary.

2. “B” rating. This rating is assigned when the observed deficiencies are minor and are easily correctable. The contractor will be requested to perform immediate corrective action.

3. “C” rating. This rating is assigned when deficiencies are observed; however, they do not warrant declaring the contractor ineligible for further business. The contractor will be required to provide a written detailed report of corrective action taken, signed by a company official, within 10 days after the inspection. The facility will be closely monitored by both the QAP and contracting officer for any future signs of deterioration in the quality of service. During the next regular inspection, if the contractor has falsely reported a corrective action or repeated a violation previously called to their attention, grounds exist for immediately placing the facility in a state of ineligibility or nonuse.

4. “D” rating. This rating is assigned when the observed deficiencies merit a quality control rating score of “D” (10 points and over) or items marked by an asterisk are considered of sufficient importance to warrant declaring the contractor ineligible or in nonuse status for further business. The contracting officer will immediately place the contractor in a temporary state of ineligibility or disqualify the facility for business pending corrective action. The contractor will be required to explain action taken and provide a written report of corrective action prior to the facility being reinspected. The contracting officer may reinstate the facility when deficiencies have been corrected, evidence provided, and positive action taken to preclude recurrence.

5. “E” rating. A repeat violation of a serious deficiency or evidence of false reporting of corrective actions will merit a quality control rating score of “E” and will be grounds for continuation of the state of ineligibility or disqualification for a period set by the contracting officer. When the contracting officer determines an “E” rating is not sufficient, then a “Stop Notice” will be issued or action taken to terminate the contractor for default.

Note: For purpose of initial inspections related to technical evaluation, and subsequent award determination, a scoring grade of A or B will constitute an acceptable rating for prospective offeror’s warehouses accordingly. The assignment of a scoring grades of C or D will result in the assignment of an unacceptable rating; therefore constituting technical unacceptability.

G. DISTRIBUTION

The Warehouse Inspection Report will be completed in triplicate and distributed, as indicated below, after the inspecting official and contractor have signed the completed form:

1. The original is placed in the contract file or QAP file.

2. A copy is furnished to the contractor at the time of inspection.

3. When the inspection is performed by a contracting officer, a copy is provided to the QAP.

When the inspection is performed independently by a QAP, a copy will be provided to the contracting officer.

WAREHOUSE INSPECTION REPORT

DATE OF INSPECTION

CONTRACTOR :

CONTRACTOR ADDRESS (INCLUDE POSTAL CODE):

ADDRESS OF WAREHOUSE:

SOLICITATION/CONTRACT REFERENCE NUMBER:

Note: The “E”-grade listed in Section F - RATINGS UPON INSPECTION PROCESS COMPLETION, applies to post-award annual inspections with regard to repeat warehouse violations.

Signature of Department of Defense Inspector:_______________________________

REMARKS:

TOTAL

DEFICIENCIES OBSERVED/ACTIONS TAKEN BASED ON QUALITY CONTROL RAW SCORE; A or B: 0 - 5 C: 5-9 D: 10 & Over Overall Scoring Grade:

* When those items followed by an asterisk are observed, the inspecting official should consider placing the facility in an ineligible or disqualified status immediately.

RFP FA5587-11-R-0006 Source Selection Information – See FAR 2.101 and FAR 3.104 Attachment #2