RFP.pdf

1447-101 STANDARD FORM 1447 (5-88)

Prescribed by GSA FAR (48 CFR 53.215-1(g))

SOLICITATION/CONTRACT

BIDDER/OFFEROR TO COMPLETE BLOCKS 11, 13, 15, 21, 22, & 27.

JK

1. THIS CONTRACT IS A RATED ORDER

UNDER DPAS (15 CFR 350)

RATING

DO: C9

2. CONTRACT NO.

3. AWARD/EFFECTIVE DATE

4. SOLICITATION NUMBER

FA8533-08-R-22907

5. SOLICITATION TYPE

SEALED BIDS NEGOTIATED

(IFB) (RFP)

6.SOLICITATION ISSUE DATE

21 Apr 2008

X

7. ISSUED BY CODE

642 CBSG GBKBB, CML PHN 478 222 1902

460 RICHARD RAY BLVD, SUITE 200

ROBINS AFB GA 31098-1813

BUYER: Michele M. Milush/GBKBB Michele.Milush@robins.af.mil Phone: (478) 222- 1954 Fax: (478) 222-1854 No Collect Calls

FA8533 8. THIS ACQUISITION IS

UNRESTRICTED LABOR SURPLUS AREA CONCERNS

SET ASIDE: % FOR COMBINED SMALL BUSINESS &

LABOR SURPLUS AREA CONCERNS

SMALL BUSINESS

NAICS CODE: 335312 SIZE STANDARD: 1,000

X

9.

Offers will be received at the issuing office until the date and time specified below. All official United States Postal Service mail and classified material will be delivered to the address shown in block 7. Deliver all parcels to: 542 CBSG, ATTN: Buyer named above, 295 BYRON ST, BLDG 300

WW SOUTH END, BAY D DOOR 27A, ROBINS AFB GA 31098-1670.

5 Jun-2008 4:00PM

10. ITEMS TO BE PURCHASED (BRIEF DESCRIPTION)

SUPPLIES SERVICES Motor and Generator Manufacturing X

11. IF OFFER IS ACCEPTED BY THE GOVERNMENT WITHIN * ___ CALENDAR DAYS (60 CALENDAR

DAYS UNLESS OFFEROR INSERTS A DIFFERENT PERIOD) FROM THE DATE SET FORTH IN BLK 9

ABOVE, THE CONTRACTOR AGREES TO HOLD ITS OFFERED PRICES FIRM FOR THE ITEMS

SOLICITED HEREIN AND TO ACCEPT ANY RESULTING CONTRACT SUBJECT TO THE TERMS AND

CONDITIONS STATED HEREIN. *120

12. ADMINISTERED BY CODE

13. CONTRACTOR OFFEROR CODE FACILITY CODE

14. PAYMENT WILL BE MADE BY CODE

(SEE ESP CLAUSE 252.232-7003.)

15. PROMPT PAY DISCOUNT

16. AUTHORITY FOR USING OTHER THAN 10 USC 2304 41 USC 253

FULL AND OPEN COMPETITION (c) ( ) (c) ( )

17.

ITEM NO. 18.

SCHEDULE OF SUPPLIES/SERVICES 19.

QUANTITY 20.

UNIT 21.

UNIT PRICE 22.

AMOUNT

23. ACCOUNTING AND APPROPRIATION DATA

SEE SCHEDULE

24. AWARD AMOUNT (FOR GOVT USE ONLY)

25. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN 2 COPIES TO ISSUING OFFICE.

CONTRACTOR AGREES TO FURNISH AND DELIVER ALL ITEMS SET

FORTH OR OTHERWISE IDENTIFIED ABOVE AND ON ANY CONTINUATION SHEETS SUBJECT

THE TERMS AND CONDITIONS SPECIFIED HEREIN. X

26. AWARD OF CONTRACT: YOUR OFFER ON SOLICITATION NUMBER

SHOWN IN BLOCK 4 INCLUDING ANY ADDITIONS OR CHANGES WHICH

ARE SET FORTH HEREIN, IS ACCEPTED AS TO ITEMS:

27. SIGNATURE OF OFFEROR/CONTRACTOR

NAME AND TITLE OF SIGNER (TYPE OR PRINT)

28. UNITED STATES OF AMERICA (SIGNATURE OF CONTRACTING OFFICER)

NAME OF CONTRACTING OFFICER

DATE SIGNED DATE SIGNED

ROUTINE

Subject to the terms and conditions stated herein, the Contractor agrees to hold its offered prices firm for 120 days.

This requirement will utilize Technically Acceptable-Risk/Performance-Price Trade-off best value procedures. See RFP Provisions, "Proposal Requirements" and “Evaluation Basis for Award" for information relative to proposal preparation and the Government's evaluation methodology.

See specified closing date and time for proposals in Block 9.

In addition to USAF, may contain FMS and other services requirements.

SEE LINE ITEM SCHEDULE

SCD:B

CHECK IF REMITTANCE IS DIFFERENT

AND PUT SUCH ADDRESS IN OFFER SUBMIT INVOICES TO ADDRESS SHOWN IN BLOCK: 14

Total

SF 1447 (5-88) BACK

CANNOT MEET DELIVERY REQUIREMENT

OTHER (Specify)

NO RESPONSE FOR THE REASONS CHECKED

WE DO

WE DO NOT DESIRE TO BE RETAINED ON THE MAILING LIST FOR FUTURE PROCUREMENT OF THE TYPE OF

ITEMS INVOLVED

NAME AND ADDRESS OF FIRM (Include Zip Code) SIGNATURE

TYPE OR PRINT NAME AND TITLE OF SIGNER

FOLD FOLD

FOLD FOLD

SOLICITATION NO. FA8533-08-R-22907

DUE: 5 Jun 2008 4:00 PM

FROM: AFFIX

STAMP

HERE

TO:

ATTN: Michele M Milush/GBKBB

642 CBSG/GBKBB, CML PHN 478 222 1902

460 RICHARD RAY BLVD, SUITE 200

ROBINS AFB GA 31098-1813

CANNOT COMPLY WITH SPECIFICATIONS

CANNOT COMPLY WITH SPECIFICATIONS

Request for Proposal FA8533-08-R-22907

PART I - THE SCHEDULE

SECTION B

SUPPLIES OR SERVICES AND PRICES/COSTS

(a) The contractor shall provide the 72 KW/90KVA Generator, herein referred to as Ground Power Unit (GPU) in accordance with the Product Description PD08WRGBGBEA04 dated 26 February 2008 and Statement of Work dated 7 February 2008 referenced in this document. This RFP will result in a requirements-type contract as defined in FAR 16.5.

(b) The Government will not accept Not Separately Priced (NSP), No Charge (N/C), $0.00, etc., on any line items other than those already designated as “NSP” in the schedule. Offerors are advised to review all data items and ensure that they are proposing to the specific data requirements and level of effort involved.

(c) The quantities reflected in the Schedule below and in the attached Excel spreadsheet to be used for proposed pricing, the combination of which is hereinafter referred to as the “Schedule”, represent the Government’s Best Estimated Quantities (BEQs) and do not represent a minimum or a maximum quantity. Failure of the Government to order the BEQ quantity shall not entitle the contractor to an equitable adjustment in price under the contract.

(d) The NSN shown in the Schedule is assigned for authorization and procurement purposes only. The GPU will not be shipped under this NSN. Each offeror shall identify the part number that it intends to assign to the end item produced under the resulting contract. Offeror’s proposed part number for the GPU is:_______________________.

BASIC CONTRACT PERIOD. (The prices in the Basic Contract Period shall be in effect from the effective date of the contract for a period of 36 months). Specific dates will be established upon award of the contract.

All Contractors Must Submit FA Item No.

Firm Fixed Price Quantity 2 Each First Article Units are required

NSN: 6115-NCC639975 ID

72kw First Article Diesel Generator Sets IAW Product Description PD08WRGBGBEA04 dated 26 February 2008 and

Statement of Work dated 7 February 2008 Manufacturer Part Number

98752 PD08WRGBGBEA04

Purchase Request(s) PR Line Item(s) Priority: * Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423, Product Description PD08WRGBGBEA04 dated 26 February 2008, and Statement of Work dated 7 February 2008

Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ IN PLACE ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

Mark For Req No / Pri

Required Delivery

IN PLACE 2 EA + TBC + TBC + TBC

Proposed

IN PLACE 2 EA + TBC + TBC

NON-RECURRING COSTS ASSOCIATED WITH 2 EACH FIRST ARTICLE UNITS ONLY

0001AA

Quantity U/I

1 LO

First Article Units - Same as Basic Item 0001 Above Purchase Request(s) PR Line Item(s) Priority: * Note: SubCLIN 0001AA shall equate to the total non-recurring costs associated with 2 each first article units only

RECURRING COSTS ASSOCIATED WITH 2 EACH FIRST ARTICLE UNITS ONLY

0001AB

2 EA

First Article - Same as Basic Item 0001 Above Purchase Request(s) PR Line Item(s) Priority: * Note: SubCLIN 0001AB shall equate to the total recurring costs associated with 2 each first article units only

The following must be accomplished before acceptance of first article units.

Requirement Reference

Approved Test Plan CLIN 0002AA

Approved Test Procedure CLIN 0002AB

Approved Contractor Test Report CLIN 0002AC

*75% Complete and Approved TMCR CLIN 0004*

Compatibility Inspection/Operational Testing PD08WRGBGBEA04 para 4.3 and 4.4 and SOW para 3.4.1

Refurbishing after completion of in-plant testing and compatibility/operational testing

SOW para 3.6.5

*The contractor shall provide a 75% complete technical manual to each of the two testing locations

DATA ELEMENTS:

ELINS A001 – A013

IAW DD Form 1423s attached hereto Exhibit: A Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ IAW DD1423 DESTINATION

FIRST ARTICLE TEST PLAN

0002AA

1 LO

ELIN A001

Data Acquisition Document No: DI-NDTI-80566A Government’s Required Delivery Schedule: IAW DD1423 and First Article Testing Clause Note: Government Approval/Disapproval within 30 days subsequent to receipt.

FIRST ARTICLE TEST PROCEDURE

0002AB

1 LO

ELIN A002

Data Acquisition Document No: DI-NDTI-80603A Government’s Required Delivery Schedule: IAW DD1423 and First Article Testing Clause Note: Government Approval/Disapproval within 30 days subsequent to receipt.

FIRST ARTICLE TEST REPORT

0002AC

1 LO

ELIN A003

Data Acquisition Document No: DI-NDTI-80809B Government’s Required Delivery Schedule: IAW DD1423 and First Article Testing Clause Notes:

1) 20 days prior to First Article in-plant testing, the contractor shall notify the Government of the date, time, and location of the testing.

2) Government Approval/Disapproval within 30 days subsequent to receipt.

CONTRACTOR’S PROGRESS, STATUS AND MANAGEMENT REPORT

0002AD

Quantity U/I Unit Price Amount 1 LO Not Separately Priced Not Separately Priced

ELIN A004

Data Acquisition Document No: DI-MGMT-80227 Government’s Required Delivery Schedule: IAW DD1243 Note: Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

DESIGN REVIEW DATA PACKAGE

0002AE

1 LO Not Separately Priced Not Separately Priced

ELIN A005

Data Acquisition Document No: DI-ILSS-81335 Government’s Required Delivery Schedule: IAW DD1423 Note: Government Approval/Disapproval within 30 days after each design review

CONFERENCE AGENDA

0002AF

1 LO Not Separately Priced Not Separately Priced

ELIN A006

Data Acquisition Document No: DI-ADMN-81249A

Notes: Government Approval/Disapproval within 5 days of submission

CONFERENCE MINUTES

0002AG

1 LO Not Separately Priced Not Separately Priced

ELIN A007

Data Acquisition Document No: DI-ADMN-81250A

Note: Government Approval/Disapproval within 5 days of submission

TECHNICAL REPORT/STUDY SERVICES (DRAFT DESIGN REVIEW)

0002AH

1 LO

ELIN A008

Data Acquisition Document No: DI-MISC-80508B

Note: Government Approval/Disapproval within 30 days of submission

SYSTEM SAFETY PROGRAM PLAN

0002AJ

1 LO

ELIN A009

Data Acquisition Document No: DI-SAFT-81626 Government’s Required Delivery Schedule: IAW DD1423 Notes:

1) Government Approval/Disapproval within 30 days of submission

2) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

SYSTEM SAFETY HAZARD ANALYSIS

0002AK

1 LO

ELIN A010

Data Acquisition Document No: DI-SAFT-80101B Government’s Required Delivery Schedule: IAW DD1423 Notes:

1) Government Approval/Disapproval within 45 days of submission

2) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

CORROSION PREVENTION AND CONTROL PLAN

0002AL

1 LO Not Separately Priced Not Separately Priced

ELIN A011

Data Acquisition Document No: DI-MFFP-81403 Government’s Required Delivery Schedule: IAW DD1423 Notes:

2) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

ENGINEERING CHANGE PROPOSAL

0002AM

1 LO Not Separately Priced Not Separately Priced

ELIN A012

Data Acquisition Document No: DI-CMAN-80639C Government’s Required Delivery Schedule: IAW DD1423 Notes:

2) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

NOTICE OF REVISION

0002AN

1 LO Not Separately Priced Not Separately Priced

ELIN A013

Data Acquisition Document No: DI-CMAN-80642C Government’s Required Delivery Schedule: IAW DD1423 Notes:

2) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

REQUEST FOR DEVIATION

0002AP

1 LO Not Separately Priced Not Separately Priced

ELIN A014

Data Acquisition Document No: DI-CMAN-80640C Government’s Required Delivery Schedule: IAW DD1423 Notes:

2) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

TECHNICAL MANUAL CONTRACT REQUIREMENTS

1 LO

Exhibit: B

ELIN B001

Data Acquisition Document No: TM-86-01M Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ IAW DD1423 DESTINATION

Government’s Required Delivery Schedule: IAW DD1423 Notes:

1) Excluding the First Article/First Production GPU's, no generator set delivery acceptance will occur without completed and Government accepted technical manuals.

2) All required in-process reviews will be coordinated through the PCO. Final delivery and acceptance of the technical data must be accomplished 60 days prior to shipment of the production units hereunder.

OPERATION AND MAINTENANCE FAMILIARIZATION/ORIENTATION MATERIAL

Exhibit: B

ELIN B002

Data Acquisition Document No: DI-ILSS-80872/T Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423

NON-RECURRING COST ASSOCIATED WITH

OPERATION AND MAINTENANCE FAMILIARIZATION/ORIENTATION MATERIAL

0004AA

1 LO

Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ IAW DD1423 DESTINATION

Note: SubCLIN 0004AA shall equate to the total non-recurring costs associated with:

1) A one-time classroom and “hands-on” operation and maintenance orientation for the using activities to familiarize the users with the GPU IAW SOW para 3.4.1

2) The development of an interactive multimedia system (program media) on CD ROM or DVD to be used during the

Operation and Maintenance Orientation and for use in the field for familiarization of operational and maintenance personnel at the organizational level IAW SOW para 3.4.2

3) One copy of initial draft due NLT 10 days prior to training.

PRODUCTION QUANTITIES - INSTRUCTIONAL MEDIA

0004AB

Best

Estimated Qty

U/I

120 EA

Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ IAW DD1423 ORIGIN

Notes:

1) SubCLIN 0004AB shall equate to the recurring costs associated with each instructional media CD ROM or DVD

2) One final draft copy shall be submitted NLT 90 days before production hardware delivery.

3) 1 each approved/final instructional media shipped as pack up data with each GPU.

4) Excluding the First Article/First Production GPU's, no generator set delivery acceptance will occur without completed and Government accepted Orientation Material.

5) Government Approval/Disapproval within 30 days of submission

ELINS C001 – C003

Exhibit: C Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

LOGISTICS MANAGEMENT INFORMATION (LMI) DATA PRODUCT(S)

0005AA

1 LO

ELIN C001

Data Acquisition Document No: DI-ALSS-81529

SUPPLEMENTAL DATA FOR PROVISIONING (SDFP)

0005AB

1 LO

ELIN C002

Data Acquisition Document No: DI-ALSS-81557

Note: Acceptance/Rejection will be furnished within 90 days after receipt by 584 CBSS/GBHBC.

LOGISTICS MANAGEMENT INFORMATION (LMI) SUMMARIES

0005AC

1 LO

ELIN C003

Data Acquisition Document No: DI-ALSS-81530/T

Note: Standard Modified Hand Tools List NLT 120 days prior to first article delivery.

For Contract Line Item Number (CLIN) 0006, the offeror shall either (1) propose only to the BEQ, or, (2) if more advantageous to the Government and/or Offeror, establish quantity/price ranges within the BEQ. Proposed ranges shall cover all quantities from 1 ea through the BEQ; however, proposed quantities shall not exceed the BEQ. Any single order for a quantity in excess of the BEQ shall be priced at the unit price proposed for the BEQ.

Production Units

Estimated Qty

U/I

120 EA

NSN: 6115-NCC639975 ID

72kw Diesel Generator Set Purchase Request(s) PR Line Item(s) Priority: * Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: Standard Inspection Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ TBC ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

Mark For Req No / Pri

+ TBC + TBC + TBC + TBC + TBC

+ TBC + TBC + TBC + TBC

Note: Each unit will have the following pack up data for each GPU:

1) 1 each production unit acceptance test report IAW ELIN D002

2) 1 each Instructional Media CD ROM or DVD IAW ELIN B002

3) 1 each Warranty IAW SOW para 3.8.2

ELINS D001 – D002

Exhibit: D Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

PRODUCTION UNIT ACCEPTANCE TEST PROCEDURE

0007AA

1 LO Not Separately Priced Not Separately Priced

ELIN D001

Data Acquisition Document No: DI-NDTI-80603A Governments Required Delivery Schedule: IAW DD1423 Note: Government Approval/Disapproval within 15 days subsequent to receipt.

PRODUCTION UNIT ACCEPTANCE TEST REPORT

0007AB

1 LO Not Separately Priced Not Separately Priced

ELIN D002

Data Acquisition Document No: DI-NDTI-80809B Governments Required Delivery Schedule: IAW DD1423 Notes:

1) The contractor shall enclose a production unit acceptance test report for each GPU with the unit pack up data.

2) Government Approval/Disapproval within 15 days subsequent to receipt.

3) Requirement shall remain in effect until the acceptance of the last deliverable item on the contract.

The Economic Price Adjustment (EPA) clause applies to the following Contract Line Item Numbers 1001, 2001, 3001, 4001, and 5001.

Option I. (The prices in Option I shall be applicable for the 12 month period immediately following the effective dates set forth for the Basic contract period.) Option I may be exercised on or before the last day of the basic contract period. Specific dates shall be established upon award of the contract.

Please note that the BEQ for this item is 240 each; however, orders may be issued for quantities in excess of or less than the BEQ. Offerors are not permitted to propose a breakdown of quantity ranges and unit prices. The Price Subject to Adjustment is for material costs of the basic steel only. The offeror shall propose the quantity (in pounds) and price of material costs for one (1) unit. The "Price Subject to Adjustment" plus the "Price Not Subject to Adjustment" equals the "Total Unit Price.” The total price for CLIN 1001 shall be determined by multiplying the BEQ by the price for one unit as proposed below.

Refer to page 30 for additional information on EPA adjustments.

Example:

QTY U/I Price Subject to Adjustment

(PSA)

Price Not Subject to

Adjustment Total Unit

Price

Raw Material (Identified Below)

QTY

(in lbs)

Price Total

Steel 1000 $10 $10,000

Price for One (1) Unit Only EA $10,000 $20,000 $30,000

Production Units

Best Estimated Qty

QTY U/I Price Subject to Adjustment

(PSA)

Price Not Subject to

Adjustment Total Unit Price

Raw Material (Steel) QTY (lbs) Price Total

Price for One (1) Unit Only EA

NSN: 6115-NCC639975 ID

72kw Diesel Generator Set Purchase Request(s) PR Line Item(s) Priority: * Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: Standard Inspection Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ TBC ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

Mark For Req No / Pri

Instructional Media

Estimated Qty

U/I

240 EA

Exhibit: B

ELIN B002

Data Acquisition Document No: DI-ILSS-80872/T Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ IAW DD1423 ORIGIN

Option II. (The prices in Option II shall be applicable for the 12 month period immediately following the effective dates set forth for Option I. Option II may be exercised on or before the last day of Option I.) Specific dates will be established upon award of contract.

Please note that the BEQ for this item is 240 each; however, orders may be issued for quantities in excess of or less than the BEQ. Offerors are not permitted to propose a breakdown of quantity ranges and unit prices. The Price Subject to Adjustment is for material costs of Basic Steel only. Offeror shall propose the quantity (in pounds) and price of material costs for one (1) unit. The "Price Subject to Adjustment" plus the "Price Not Subject to Adjustment" equals the "Total Unit Price.’' The total price for CLIN 2001 shall be determined by multiplying the BEQ by the price for one unit as proposed below.

Refer to page 30 for additional information on EPA adjustments.

QTY U/I Price Subject to Adjustment Price Not Subject to

Adjustment Total Unit Price

Raw Material (Steel) QTY (lbs) Price Total

Price for One (1) Unit Only EA

NSN: 6115-NCC639975 ID

72kw Diesel Generator Set Purchase Request(s) PR Line Item(s) Priority: * Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: Standard Inspection Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ TBC ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

Mark For Req No / Pri

Estimated Qty

U/I

240 EA

Exhibit: B

ELIN B002

Data Acquisition Document No: DI-ILSS-80872/T Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

Option III. (The prices in Option III shall be applicable for the 12 month period immediately following the effective dates set forth for Option II. Option III may be exercised on or before the last day of Option II.) Specific dates will be established upon award of contract.

Please note that the BEQ for this item is 240 each; however, orders may be issued for quantities in excess of or less than the BEQ. Offerors are not permitted to propose a breakdown of quantity ranges and unit prices. The Price Subject to Adjustment is for material costs of Basic Steel only. Offeror shall propose the quantity (in pounds) and price of material costs for one (1) unit. The "Price Subject to Adjustment" plus the "Price Not Subject to Adjustment" equals the "Total Unit Price.” The total price for CLIN 3001 shall be determined by multiplying the BEQ by the price

QTY U/I Price Subject to Adjustment Price Not Subject to Adjustment Total Unit Price

Raw Material (Steel) QTY (lbs) Price Total

Price for One (1) Unit Only EA

NSN: 6115-NCC639975 ID

72kw Diesel Generator Set Purchase Request(s) PR Line Item(s) Priority: * Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: Standard Inspection Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ TBC ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

Mark For Req No / Pri

Estimated Qty

U/I

240 EA

Exhibit: B

ELIN B002

Data Acquisition Document No: DI-ILSS-80872/T Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

Option IV. (The prices in Option IV shall be applicable for the 12 month period immediately following the effective dates set forth for Option III. Option IV may be exercised on or before the last day of Option III.) Specific dates will be established upon award of contract.

Please note that the BEQ for this item is 240 each; however, orders may be issued for quantities in excess of or less than the BEQ. Offerors are not permitted to propose a breakdown of quantity ranges and unit prices. The Price Subject to Adjustment is for material costs of Basic Steel only. Offeror shall propose the quantity (in pounds) and price of material costs for one (1) unit. The "Price Subject to Adjustment" plus the "Price Not Subject to Adjustment" equals the "Total Unit Price.” The total price for CLIN 4001 shall be determined by multiplying the BEQ by the price

QTY U/I Price Subject to Adjustment Price Not Subject to

Adjustment Total Unit Price

Raw Material (Steel) QTY (lbs) Price Total

Price for One (1) Unit Only EA

NSN: 6115-NCC639975 ID

72kw Diesel Generator Set Purchase Request(s) PR Line Item(s) Priority: *

Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: Standard Inspection Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ TBC ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

_ Req No / Pri

Estimated Qty

U/I

240 EA

Exhibit: B

ELIN B002

Data Acquisition Document No: DI-ILSS-80872/T Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

Option V. (The prices in Option V shall be applicable for the 12 month period immediately following the effective dates set forth for Option IV. Option IV may be exercised on or before the last day of Option IV.) Specific dates will be established upon award of contract.

Please note that the BEQ for this item is 240 each; however, orders may be issued for quantities in excess of or less than the BEQ. Offerors are not permitted to propose a breakdown of quantity ranges and unit prices. The Price Subject to Adjustment is for material costs of Basic Steel only. Offeror shall propose the quantity (in pounds) and price of material costs for one (1) unit. The "Price Subject to Adjustment" plus the "Price Not Subject to Adjustment" equals the "Total Unit Price.” The total price for CLIN 5001 shall be determined by multiplying the BEQ by the price

QTY U/I Price Subject to Adjustment

(PSA)

Price Not Subject to

Adjustment Total Unit Price

Raw Material (Steel) QTY (lbs) Price Total

Price for One (1) Unit Only EA

NSN: 6115-NCC639975 ID

72kw Diesel Generator Set Purchase Request(s) PR Line Item(s) Priority: * Limitations of Liability: Other Than High Value Item Inspection: Origin

Acceptance: Origin Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: Standard Inspection Trade Agreement Act Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

+ TBC ORIGIN

Type / Ship To Quantity (U/I) *ARO IAW Delivery

Schedule Requirements Clause

_ Req No / Pri

Estimated Qty

U/I

240 EA

Exhibit: B

ELIN B002

Data Acquisition Document No: DI-ILSS-80872/T Purchase Request(s) PR Line Item(s) Priority: * Inspection: IAW DD1423

Acceptance: IAW DD1423 Inspection/Acceptance Report: Wide Area Work Flow

Quality Assurance: IAW DD1423 Transportation From Continental United States CONUS (CONUS) Sources

TYPE / SHIP TO CODE F.O.B.

NOTES APPLICABLE TO SCHEDULE:

1. Except for Contract Line Item Numbers (CLINs) 1001, 2001, 3001, 4001 and 5001 all CLINs are firm-fixed price.

2. * Denotes “To Be Cited” in each individual delivery order issued hereafter.

3. ARO (After Receipt of Order) and DAC (Days after Contract) deliveries will be converted to firm delivery dates in each individual delivery order issued hereafter.

4. Applicable Ship To, Mark For, and Requisition Number will be identified on each individual delivery order issued hereafter.

5. See the provision, “Delivery Schedule Requirements” for pertinent information relative to Government’s required delivery for the GPU first article and production units.

SECTION C

DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

FIRST ARTICLE (FA) TESTING: CLIN 0001

(a) A Post Award Conference (PAC) shall be held within 60 days after contract award either via a telecom or at a facility mutually agreeable to both parties.

(b) FA unit testing is a requirement of this contract. Performance or other characteristics, which the FA units must meet, and detailed technical data requirements for testing of the FA Unit (including necessary data to be submitted) are as set forth in this solicitation and attachments. The term “days” denotes calendar days.

(c) Aircraft compatibility inspection. After successful completion and Government approval of all Contractor Conformance Inspection/Verification the two FA units shall be subjected to Aircraft Compatibility Inspection. This testing shall be comprised of two phases. Phase one will consist of shipping one FA GPU to perform F-22 aircraft simulator testing at the VSS facility at Lockheed Martin, Ft. Worth, Texas. Air Force/Lockheed Martin will conduct all tests but On-site Contractor support shall be required for a minimum of 2 business days and a maximum of 10 business days. After successful completion and approval of the aircraft simulator testing the FA GPU unit shall be shipped to Edwards AFB. Phase two will consist of shipping the remaining FA GPU to Edwards AFB. After arrival of both FA GPUs commencement of Aircraft Compatibility testing will occur. The Air Force will conduct all tests but On-site Contractor support shall be required for a minimum of 5 business days and a maximum of 10 business days. All Aircraft Compatibility Inspection shall be completed within sixty (60) days of leaving the contractor facility (includes shipping time). All compatibility tests shall be satisfactorily completed prior toFA acceptance or commencement of Operational Inspection.

(d) Operational inspection. An Operational Test and Evaluation (OT&E) shall be performed following the successful completion and approval of the Aircraft Compatibility Inspection. The two FA units shall be shipped from Edwards AFB to the locations specified in the Statement of Work (SOW) for the completion of the Operational Tests. Air Force users will conduct all tests but on-site contractor support shall be available (if needed) within 5 business days of notification for the duration of the testing period. On site support shall only be used after exhaustion of electronic support via telephone, fax, email, etc. All Operational Testing shall be completed within ninety (90) days (excluding shipping time to and from the Operational Test locations). Down time due to breakage or parts failure will not count towards the 90 day total test time. All tests shall be satisfactorily completed and approved prior to FA acceptance.

(e) Transportation/Shipping. The contractor's shipping responsibility shall be as specified in the contract and will include at a minimum: all liability and costs incurred to move all equipment to/from and between locations for testing and/or demonstration purposes.

(f) The contractor shall submit a preliminary FA Test Report within 30 days of completion of the in plant testing. No further testing (such as aircraft compatibility and operational test) will occur until the preliminary in-plant test results are submitted and approved. The contractor shall submit a final FA Test Report upon completion of the operational testing.

The final copy shall include all data submitted in the preliminary version plus identify any issues and corrections that occurred during the aircraft compatibility and the operational testing. The notice of conditional approval or approval shall not relieve the Contractor from complying with all requirements of the specifications and all other terms and conditions of this contract. A notice of conditional approval shall state any further testing required of the Contractor. A notice of disapproval shall cite reasons for the disapproval.

(g) If the FA unit is disapproved, the Contractor, upon Government request, shall repeat any or all tests. After each request for additional tests, the Contractor shall make any necessary changes, modifications, or repairs to the FA unit or select another production unit for testing. All costs related to these tests are to be borne by the Contractor, including any and all costs for additional tests/shipping following a notice of disapproval. The Contractor shall then conduct the tests and deliver another test report to the Government under the terms and conditions of the contract and within the time specified by the Government. The Government will take action on this report within the time specified in the appropriate DD 1423.

The Government reserves the right to require an equitable adjustment of the contract price for any extension of the delivery schedule, or for any additional costs to the Government related to these tests. When the Government determines that a complete retest is not required, the Contracting Officer may adjust the total retesting cost accordingly.

(h) Refurbishing. After completion of in-plant testing and compatibility/operational testing the FA units shall be shipped back to the contractor facility for refurbishment. The contractor shall be responsible for any repairs that may be necessary to restore the unit to a serviceable condition while retaining configuration integrity. The contractor shall be responsible for all costs associated with delivery of FA sets to the contractor's facility for refurbishment.

(i) In the event production units are ordered or options periods are exercised prior to FA unit approval, the acquisition of materials or components for, or the commencement of production of, the balance of the contract quantity is at the sole risk of the Contractor.

(j) The Contractor shall produce both the FA unit and the production quantity at the same facility.

DELIVERY SCHEDULE REQUIREMENTS

1. First Article Units: 72Kw GPU First Article Units (CLIN 0001) The FA units shall be retained at the contractor facility until the last shipment on the last delivery order and shall serve as the manufacturing standard(s) after the approval of the test report.

2. Production Units: 72Kw GPU Production Units (CLINs 0006, 1001, 2001, 3001, 4001, and 5001) shall be delivered no later than 210 calendar days* after the effective date of a delivery order. NOTE: The maximum output required per 30-day period for the GPU is 20 units** ; unless otherwise specified in the delivery order.

*The offeror may propose a shorter duration for delivery as follows:

Production Units: _____________________________________

**The offeror may propose a higher output per month as follows: _______________________________

SECTION D

PACKAGING AND MARKING

THE CURRENT VERSION OF MIL-STD-130 IS M (DEC 2005)

IAW 252.211-7003, THE CURRENT VERSION OF MIL-STD-130 IS "M".

WOODEN LUMBER, WOODEN PALLET AND PACKAGING/CONTAINER STATEMENT (FEB 2007)

(IAW AFMC FORM 158)

All wooden lumber, wooden pallets, and wooden containers produced entirely or in part of solid wood packing material (SWPM) shall be constructed from heat-treated (HT) material (HT 56 degrees centigrade or 133 degrees Fahrenheit for 30 minutes). Certification/marking is required by an accredited agency recognized by the American Lumber Standards Committee (ALSC). For reference documentation, see “International Standards for Phytosanitary Measures (ISPM) No. 15.” This document can be found at www.ippc.int .

(Applicable to solicitations and contracts with line items for deliverables)

PRESERVATION, PACKAGING, PACKING REQUIREMENTS (DEC 2003)

If AFMC Form 158 is attached hereto all items shall be preserved, packaged and packed in accordance with said AFMC Form 158.

The current version of MIL-STD-129 is P.

Special Packaging Instructions (SPI) shall also apply when attached.

If questions arise concerning these packaging requirements contact the packaging specialist identified on the AFMC Form 158. You will need to provide the purchase request number found directly above block number 1 of the AFMC Form 158.

NOTE TO CONTRACTOR: FOREIGN MILITARY SALES: (APR 2003)

10-15 DAYS PRIOR TO SHIPMENT, CONTACT THE DCMA/ACO TRANSPORTATION OFFICE FOR SHIPPING

ADDRESS / INSTRUCTIONS.

SECTION E

INSPECTION AND ACCEPTANCE

FIRST ARTICLE TEST, CERTIFICATION AND DISPOSITION REQUIREMENTS (FEB 1998)

(IAW FAR 9.308-2)

Test criteria are as follows:

Lot/Item Government Test Criteria/Technical Requirements 0001 IAW Product Description PD08WRGBGBEA04 dated 26 February 2008 and

Statement of Work dated 7 February 2008

Lot/Item Contractor Test Criteria/Technical Requirements 0001 IAW Product Description PD08WRGBGBEA04 dated 26 February 2008 and

Statement of Work dated 7 February 2008

Disposition of the First Article shall be as follows:

Lot/Item Approved 0001 Shall be retained at the contractor facility until the last shipment on the last delivery order and shall serve as the manufacturing standard(s)

Lot/Item Disapproved 0001 If the FA unit is disapproved, the Contractor, upon Government request, shall repeat any or all tests.

(Applicable when a fixed-price contract is contemplated and it is intended that the contract require first article approval and that the Government will be responsible for conducting the first article test)

CONTRACTOR AND GOVERNMENT TESTING FINAL APPROVAL (JUL 1992)

(IAW )

In accordance with FAR 52.209-3 and 52.209-4, both Contractor and Government First Article Testing are required.

The restrictions set forth in paragraph (g) of the "Contractor Testing" clause shall apply until such time as the First Article(s) is/are finally approved under the "Government Testing" clause.

52.246-2 INSPECTION OF SUPPLIES--FIXED-PRICE (AUG 1996)

(IAW FAR 46.302)

(Applicable for supplies, services furnishing of supplies, fixed-price and exceeds the simplified acquisition threshold)

52.246-16 RESPONSIBILITY FOR SUPPLIES (APR 1984)

(IAW FAR 46.316)

(Applicable to the furnishing of supplies, services involving the furnishing of supplies, or research and development, when a fixed-price contract is contemplated and the contract amount is expected to exceed the simplified acquisition threshold)

INSPECTION AND ACCEPTANCE (SEP 1999)

(IAW FAR 46.401(b), FAR 46.503) (Applicable to all orders issued hereunder)

Government Contract Quality Assurance Inspection and Acceptance will be at (Final):

[CONTRACTOR FILL-IN]

Item No(s): See schedule for items with the following code(s) listed below :

Inspection Code and Address:

Government Contract Quality Assurance Inspection and Acceptance will be at destination(s) specified herein (Final).

Item No(s): See Schedule

SECTION F

DELIVERIES OR PERFORMANCE

FIRST ARTICLE DELIVERY NOTICE (JAN 2007)

Twenty days prior to FA in-plant testing, the contractor shall notify the Government of the date, time, and location of the testing.

52.211-8 TIME OF DELIVERY (JUN 1997)

(IAW FAR 11.404(a)(2)) DELIVERY FOR EACH ITEM IS ANNOTATED IN THE SCHEDULE (PART I SECTION B) UNDER EACH LINE

ITEM.

(Applicable when the Government desires delivery by a certain time but requires delivery by a specified later time, and the delivery schedule is to be based on the date of the contract)

52.211-17 DELIVERY OF EXCESS QUANTITIES (SEP 1989)

(IAW FAR 11.703(b)) (Applicable when fixed-price supplies are furnished)

52.242-15 STOP-WORK ORDER (AUG 1989)

(IAW FAR 42.1305(b)(1)) (Applicable for supplies, services, or research and development)

52.242-17 GOVERNMENT DELAY OF WORK (APR 1984)

(IAW FAR 42.1305(c)) (Applicable to fixed-price for supplies other than commercial or modified-commercial items)

52.247-29 F.O.B. ORIGIN (FEB 2006)

(IAW FAR 47.303-1(c)) (Applicable when specifying f.o.b. origin)

52.247-34 F.O.B. DESTINATION (NOV 1991)

(IAW FAR 47.303-6(c)) (Applicable when delivery term is f.o.b. destination)

52.247-48 F.O.B. DESTINATION--EVIDENCE OF SHIPMENT (FEB 1999)

(IAW FAR 47.305-4(c)) Applicable Item No(s) See Schedule

(Applicable when f.o.b. destination but inspection and acceptance will be at origin)

52.247-52 CLEARANCE AND DOCUMENTATION REQUIREMENTS--SHIPMENTS TO DOD AIR

OR WATER TERMINAL TRANSSHIPMENT POINTS (FEB 2006)

(IAW FAR 47.305-6(f)(2))

F.O.B. ORIGIN (OCT 1993)

(IAW FAR 47.305(b)) Any supply item applicable to this document shall be delivered F.O.B. at:

F.O.B. Address

[CONTRACTOR FILL-IN]

(Applicable when delivery term is f.o.b. origin)

SECTION G

CONTRACT ADMINISTRATION DATA

ACCOUNTING AND APPROPRIATION DATA (AUG 1998)

Accounting and Appropriation Chargeable ACRN Funds Citation Amount Chargeable

AA *TO BE CITED IN EACH INDIVIDUAL ORDER ISSUED HEREUNDER $

ACRN TOTAL $

BILLING INSTRUCTIONS:

Offeror’s Remittance Address: ___________________________________

(Offeror To Complete)

TRANSPORTATION APPROPRIATION CHARGEABLE (JALC) (MAR 2003)

(IAW JALC 9932.705(90))

The Transportation Allotment Identification (TAI) relates directly to the above ACRN(s). For example the TAI “TAA” is for the same line item(s) as ACRN “AA”.

FMS TRANSPORTATION ALLOTMENT SHALL BE USED ONLY WHEN SHIPMENT ON GOVERNMENT BILL OF

LADING IS AUTHORIZED

Insert 3 if movement via surface mode or 2 if movement via airlift in place of any “#” shown.

Insert last digit of current fiscal year in place of any asterisk “*” shown when material is shipped.

TAI ATAC NOTE

*To Be Cited in Each Delivery Order Issued Hereunder (if Applicable) (The above Clause/Provision has been modified.)

FIRST DESTINATION TRANSPORTATION APPROPRIATION CHARGEABLE — FOB ORIGIN

(FEB 2006)

The Accounting Classification that funds the acquisition of a Contract Line Item (CLIN) must be used to pay for its transportation on the CLINs listed in the table below.

Once the ACRN is determined, the Long Line of Accounting (LOA) and the MORD (SDN) Number associated with that ACRN shall be entered into PowerTrack to fund the transportation charges needed to transport the item.

CLIN Long Line of Accounting (LOA) MORD Number(SDN)/

MORD ACRN

*To Be Cited in Each Delivery Order Issued Hereunder (The above Clause/Provision has been modified.)

Wide Area Work Flow (WAWF) Instructions to Vendors with Contracts that contain MILITARY STANDARD REQUISITIONING AND ISSUE PROCEDURES (MILSTRIP) Data. FEB 08.

MILSTRIP data contains information that is vital to the expeditious delivery of material. When a MILSTRIP is used in a requisition it is entered into the schedule for each item purchased. Typically the MILSTRIP data is at the end of the schedule and is listed as REQ NO.

In the example below the MILSTRIP number is FE480060730146. The quantity is 1 each.

Required Delivery

Type / Ship To Quantity (U/I) On or Before _ Req No / Pri

A FE4800 1 EA

28 FEB 2007 FE480060730146 / PRI:

In WAWF, when creating the Line Item you must also complete the MILSTRIP information in its own sub-tab. In the MILSTRIP sub-tab use the actions button to open the fill-in. In the fill-in enter the MILSTRIP number from the schedule and the quantity shipped. Save the Milstrip and continue with the Line Item information applicable to the shipment.

Inclusion of this MILSTRIP data is vital to the expeditious delivery of this material.

SECTION H

SPECIAL CONTRACT REQUIREMENTS

Economic Price Adjustment (EPA) Determination (Effective after contract award)

1. Price Subject to Adjustment (PSA) is for raw material (Basic Steel) only. Please see FAR 16.203-4(c)(4) and

DFARS 216.203-4(c) for additional guidance.

2. Pursuant to the terms of this clause, the PSA for basic steel for Firm Fixed Price CLINs (production quantities only) in the Schedule, for Option Years I – V (CLINs 1001, 2001, 3001, 4001 and 5001) shall be subject to an upward or downward adjustment to account for economic fluctuations that differ from those initially proposed by the contractor.

However, no adjustment shall be made if an increase or decrease of .0299 (2.99%) or less occurs in the adjusted costs identified in the Schedule of the contract. The PSA for the Option Year production CLINs (1001, 2001, 3001, 4001 and 5001) will establish the baseline costs for the basic steel for that period and are based on the contractor’s proposal to the solicitation.

3. All computations of the EPA shall be rounded to two decimal places for unit prices. For example, if the adjusted material costs results are $75.513, then material costs of $75.51 will be used in the computations and incorporated into the contract.

4. Within 60 days of issuance of each Delivery Order under Option Years I – V (CLINs 1001, 2001, 3001, 4001 and 5001), the OFFEROR shall calculate the amount of any EPA and submit an adjustment proposal representing the requested adjustment. The contractor must disclose all computations to the Procuring Contracting Officer (PCO) as well as the actual invoices that disclose the quantity and price of the Proposal Adjustment (PA) for the delivery order.

The Government reserves the right to use other available data to validate the PA. In the event the Contractor purchases steel in excess of the quantity stated in the Schedule, only the quantity stated in the Schedule will be used in computations. The PA shall clearly represent the increase or decrease to the Schedule PSA for the Option Years I – V (CLINs 1001, 2001, 3001, 4001 and 5001) and include the actual invoices to include quantity of steel for one unit and the price per pound of the steel. Any EPA resulting from these calculations shall be incorporated into the delivery order by supplemental agreement by adjusting the “Price Subject to Adjustment”, which in turn shall result in a new total unit price for that delivery order. The PSA identified in the Schedule for the Option Years I – V (CLINs 1001, 2001, 3001, 4001 and 5001) is the baseline proposal for all delivery orders in that period and shall not be updated to reflect a new unit price.

5. If the change in the PSA is equal to or greater than .0300 (3.00%), the new PA shall go into effect and the Delivery Order shall be modified to reflect the new unit price for that delivery order. Calculations will be made to four decimal places. For example, .0299 (2.99%) will not result in an increase or decrease to the PSA while a change of .0300 (3.00%) or greater will result in an increase or decrease to the PSA. If the increase or decrease is .0299 (2.99%) or less, the price identified in the Schedule for the Option Years CLINs (1001, 2001, 3001, 4001 and 5001) will remain in effect and no change shall occur to the schedule. The contractor shall clearly demonstrate the increase or decrease using the following methodology:

in percentage of “Price Subject to Adjustment” = (A - U) / U

Where:

A = PA as verified by data submitted by Contractor

U = PSA Identified in Schedule for Specific Period of Performance

= Change

NOTE: COMPUTATIONS WILL BE MADE TO FOUR DECIMAL PLACES.

6. The contracting officer shall use the increase or decrease based on the actual invoices submitted by the contractor.

DFARs 216.203-4-70(a)(2) limits the PCO authority to a 10% increase for an upward economic price adjustment;

however, the Government will apply the full amount of the decrease to material costs equal to or greater than .0300 (3.00%) (ref FAR 16.203-4(c)(4)). In the event the parties fail to agree on the amount of adjustment, the PCO shall make a final determination that may be appealed in accordance with the “Disputes” clause. If no adjustment is required, the contractor shall state this fact in writing to the PCO at the time the computations are submitted. The contractor shall submit computations even though the results do not indicate an increase or decrease in cost.

EXAMPLES (For Illustration Purposes Only)

Example of EPA Increase:

Step 1: Contracting officer identifies the baseline costs in the basic contract and new costs in contractor’s proposal.

U = PSA Identified in Schedule for Specific Period of Performance

Contract Schedule :

QTY U/I Price Subject to Adjustment

(PSA)

Price Not Subject to

Adjustment

Total Unit Price

Raw Material (Identified Below) QTY (lbs)

Price Total

Steel 1000 $10 $10,000

Price for One (1) Unit Only EA $10,000 $20,000 $30,000

A = PA as verified by data submitted by Contractor

Proposed Economic Price Adjustment Proposal submitted by Contractor:

QTY U/I Contractor's Proposed Adjustment (PA)

Price Not Subject to

Adjustment Adjusted

Unit Price

Raw Material (Identified Below) QTY (lbs)

Price Total

Steel 1000 $10.50 $10,500

Unit Only EA $10,500 $20,000 $30,500

Step 2: Contracting officer reviews the contractor’s computations submitted within 60 days of issuance of a delivery order.

Adjustment calculation:

A = $10,500 U = $10,000 ($10,500 - $10,000) / $10,000 5%

5% is >3.00% therefore EPA is applicable.

Step 3: Contractor’s proposal meets the conditions for a price increase. A modification to the delivery order is issued for the adjusted unit price identified in Step 1.

Example of EPA Capped at 10%

Step 1: Contracting officer identifies the baseline costs in the basic contract and new costs in contractor’s proposal.

U = PSA Identified in Schedule for Specific Period of Performance

Contract Schedule :

QTY U/I Price Subject to Adjustment

(PSA)

Price Not Subject to

Adjustment

Total Unit Price

Raw Material (Identified Below) QTY (lbs)

Price Total

Steel 1000 $10 $10,000

Price for One (1) Unit Only EA $10,000 $20,000 $30,000

A = PA as verified by data submitted by Contractor

Proposed Economic Price Adjustment Proposal submitted by Contractor:

QTY U/I Contractor's Proposed Adjustment (PA)

Price Not Subject to

Adjustment Submitted Unit Price

Raw Material (Identified Below) QTY (lbs)

Price Total

Steel 1000 $11.05 $11,050

Unit Only EA $11,050 $20,000 $31,050

Step 2: Contracting officer reviews the contractor’s computations submitted within 60 days of issuance of a delivery order.

= Change

Adjustment calculation:

A = $11,050 U = $10,000 ($11,050 - $10,000) / $10,000 10.5%

= 10.5% is >3.00% therefore EPA is applicable.

However the maximum OVERALL % allowable is 10% therefore EPA will be 10%

Actual Adjustment made by PCO:

QT…