Priority Access Language RFI - Industry questions.docx

Following questions below:

1. How much utilization will be required with the Priority Access? Priority Access would be required up to the max capacity entered into the fill in portion of the clause.

1. Can you elaborate on the Priority Access language as it relates to current product volume of manufacturing when not knowing what the future of the product volume is going to be? Reference the answer to # 1 above –If the firm is no longer producing to that capacity, Priority Access could still be required to the level entered into the fill in portion of the clause level you are currently producing (assuming it is less). Comment by JACQUELINE M. GALL: This language could be interpreted to permit the contractor to ramp down capacity capability. Additionally “currently producing” could be more than the capacity that we are requiring, as currently they many have commercial capacity too, right?

1. Can you further expand on Domestic Capacity development and cost sharing? In our ability to respond to the Priority Access language appropriately, in this industry there has to be limits on the product(s). There has to be priority on (X) type products, with (X) quantities. Can you please state what those limits are in order to provide that Priority Access? Priority Access would be required for whatever “product” you received a Government contract on up to the capacities as discussed above.

1. Can you provide any expectation(s) for the future with regards to Priority Access?? Several initiatives are underway to encourage domestic production and to procure domestic products – nothing is certain with regard to the future on the demand signal or need for the Govt. to invoke the Priority Access.

1. If companies rely on other manufacturers for products will it be required that they fall under the Priority Access? Your company will be responsible for the product(s) listed in the fill in portion of the clause. You would also be responsible for managing your supply chain (including manufacturing) accordingly.

1. Can you clarify what is the expectations are in the future for Priority Access. If we divest a particular product part for our catalog then the company that we are divesting to has to assume responsibility. Can you please add additional clarification? Yes, the new company or company purchasing your product line/capacity would inherit the Priority Access Requirement for the 10 year period.

1. Raw Materials/ Material shortages – Will the government factor in potential delay/logistic issues when having to extrapolate these materials out ten (10) years? Reference answers to # 1, #2 and # 5 above – Otherwise, it is impossible to address these concerns nowReference answers to # 1 and # 1 above – It is impossible to address these concerns now.

1. Discontinued products. How will that be handle relative to Priority Access? Discontinued products (unless sold/novated to another company) would negate the Priority Access Requirement. However, if the product is a newer version or continuation of the original product listed in the clause, priority access would still be applicable during the 10 year period.

1. How can the government support large businesses, flexibility in updating products to support the Priority Access agreement? The Govt. is supporting all businesses (large & small) by awarding contracts for industrial base expansion in these product areas.

1. Have the government factored in financial and logistical manufacturing flexibility when considering future technologies as it relates to Priority Access? These items should be addressed in your long term plan presented in your White Paper and subsequent proposal submission under the Commercial Solutions Opening.

1. If the contractor novates or otherwise transfers responsibility for performance under this contract and commitments herein to any other entity, the Priority Access requirement shall follow the transfer and be the transferee will be legally bound to provide the priority access for the full 10-year period. Please clarify? Yes, see response above.

1. Since these orders will be classified as “priority access” and not DPAS rated, what happens when an order under this priority access effort and a Government DPAS rated order is received at the same time? Which one takes precedence? The Government would make the final determination on priority in this case.