Attachment_10A_Cumulative_Mission_Success_Incentive_Plan_3_May_19.pdf

Attachment 10A

Cumulative Mission Success Incentive Plan

Contract No. FA8811-19-R-0002

APPROVAL:

PHILIP A GARRANT, Brigadier General, USAF Program Executive Officer for Space Enterprise Space and Missile System Center

Revision Date Affected Pages Comments

1. INTRODUCTION

This Cumulative Mission Success Incentive (CMSI) Plan defines the performance incentive for the National Security Space Launch (NSSL) program and governs all National Security Space (NSS) Launch Services that are ordered, launched, and accepted under Contract FA8811-19-R- 0002. The CMSI Plan describes performance incentives for those activities occurring after intentional ignition followed by release of the hold-down restraints. The structure of when the payouts are made is based upon when failures may occur. A failure of design, if one exists, is expected to be seen within the first three missions. A failure of process, if one exists, is expected to be seen within the first eight missions. Therefore, the first payouts are after three and eight successful missions and to encourage continued success a payout will be paid every five missions thereafter.

2.0 ORGANIZATIONAL RESPONSIBILITIES

2.1 CMSI Organization

The CMSI Plan Approving Official, Incentive Certifying Official (ICO), and the Procuring Contracting Officer (PCO).

2.2 CMSI Plan Approving Official

The Program Executive Officer for Space Systems approves the CMSI Plan and substantial changes upon recommendation from the Incentive Certifying Official.

2.3 Incentive Certifying Official (ICO)

The Director, Launch Enterprise Systems Directorate (SMC/LE) will serve as the Incentive Certifying Official. The ICO reviews the CMSI Plan and recommends approval by CMSI Plan Approving Official, considers the Contractor’s reports and other pertinent data, and certifies whether the Contractor has met the criteria for Mission Success as outlined in the CMSI plan.

2.4 Procuring Contracting Officer (PCO)

The PCO is the liaison between Contractor and Government personnel and executes the CMSI Plan. The PCO implements the ICO’s incentive decision with respect to Mission Success, approves and implements minor changes to the CMSI Plan, prepares and distributes contract funding modifications obligating the appropriate incentive amount earned by the Contractor, and maintains appropriate documentation as part of the official Government contract file.

3.0 INCENTIVE STRUCTURE

3.1 Cumulative Mission Success Incentive (CMSI)

Table 1 identifies the CMSI amounts available to be earned for each launch during the contract period of performance. Table 1 contains the total CMSI amount that is available to be earned for the referenced missions (Table 1, Column 2). The CMSI amounts will be paid under the terms of this plan per Table 1, Column 4. The CMSI payments will be paid on the applicable annual Launch Service Support task order.

3.2 Earning CMSI

3.2.1 Mission Success

The Contractor shall earn the amount listed in Table 1, Column 4 “CMSI Flight Incentive

Credit,” if a mission is deemed a success in accordance with Section 4. This value will accrue as listed in Table 1, Column 3 “CMSI Accrued Incentive.” The incentive is paid after a designated amount of cumulative successful missions and paid per Column 4, “CMSI Payout.”

The final mission of this contract will payout the accrued incentive, even if this mission is not identified as a payout mission in Table 1, Column 4. The payout occurs if the mission is deemed a “Mission Success.”

3.2.2 Mission Failure

The Contractor shall forfeit the CMSI listed in Table 1, Column 3 “CMSI Accrued Incentive” in its entirety if a mission is deemed a Mission Failure as defined in Section 4.4 of this plan.

Furthermore, if the Contractor has never achieved the initial three consecutive mission success threshold, the Table 1, Column 1 Cumulative Successful Flights Achieved will reset to zero;

otherwise, the Table 1, Column 1 Cumulative Successful Flights Achieved will reset to the last payout achieved. No payment shall be made in the event a mission is deemed a failure regardless if the satellite is determined to have operational utility.

4. EVALUATION

4.1 Mission Success Determination

In accordance with Attachment 4, Acceptance Criteria, within 30 days of the Government Post Flight Review, the ICO will use the data specified in Section 4.2 and the criteria in Section 4.3 to provide the PCO with a Launch Service mission success determination. The PCO will notify the contractor in writing whether a mission launched has been deemed a Mission Success or a Mission Failure as it is defined in this incentive plan. In the event the Contractor does not concur with the PCO’s written decision, it shall be considered a dispute within the meaning of the clause FAR 52.233-1, “Disputes-Alternate 1” as included by reference in clause FAR 52.212-4(d).

4.2 Data Reliance

Mission Success will be determined in part by using the data items outlined in Attachment 4, Acceptance Criteria.

4.3. Mission Success Criteria

A Launch Service shall be scored a “Mission Success” if the mission is accepted per Attachment 4, Acceptance Criteria.

4.4 Mission Failure

A Launch Service shall be scored a “Mission Failure” as defined per Attachment 4, Acceptance Criteria.

4.5 Requirement for Data

In the event a mission is not scored a Mission Success, all data including but not limited to telemetry, tracking, and ephemeris data (including supporting accuracy analysis) used by the Government to determine performance will be furnished to the Contractor upon request.

5.0 CMSI PLAN ADDITIONS/DELETIONS

5.1 CMSI PLAN SUBSTANTIAL CHANGES

If during the contract period of performance, the intent of this CMSI Plan substantially changes, either party may request in writing, a re-negotiation of the plan. Changes to this plan can only be made by mutual agreement.

5.2 CMSI PLAN MINOR CHANGES

Changes to the CMSI Plan that are clerical or administrative in nature shall be approved and implemented by the PCO.

6.0 TERMINATION FOR CONVENIENCE OR CAUSE

CMSI payments apply only if a mission is launched. Accordingly, in the event the subject contract is terminated for cause or for the convenience of the Government, no CMSI payments will apply to any performance under the contract associated with missions or items not launched as of the date the contractor receives the Notice of Termination required by FAR 49.102.

7.0 PAYMENT

Within 60 days of the PCO’s written decision that a mission has been deemed a Mission Success and the contractor has accumulated the required consecutive missions per Table 1, the PCO shall execute a unilateral task order modification obligating the CMSI payout amount. This modification will allow the contractor to invoice for 100% of the payout amount.

Table 1: Cumulative Mission Success Incentive

Cumulative Successful Flights Achieved

Flight Incentive Credit Accrued Incentive Payouts

1st $10 Mil $10 Mil 2nd $10 Mil $20 Mil 3rd $10 Mil $30 Mil $30 Mil 4th $10 Mil $10 Mil 5th $10 Mil $20 Mil 6th $10 Mil $30 Mil 7th $10 Mil $40 Mil 8th $10 Mil $50 Mil $50 Mil 9th $10 Mil $10 Mil 10th $10 Mil $20 Mil 11th $10 Mil $30 Mil 12th $10 Mil $40 Mil 13th $10 Mil $50 Mil $50 Mil 14th $10 Mil $10 Mil 15th $10 Mil $20 Mil 16th $10 Mil $30 Mil 17th $10 Mil $40 Mil 18th $10 Mil $50 Mil $50 Mil 19th $10 Mil $10 Mil 20th $10 Mil $20 Mil 21st $10 Mil $30 Mil 22nd $10 Mil $40 Mil 23rd $10 Mil $50 Mil $50 Mil 24th $10 Mil $10 Mil 25th $10 Mil $20 Mil

26th $10 Mil $30 Mil 27th $10 Mil $40 Mil 28th $10 Mil $50 Mil $50 Mil 29th $10 Mil $10 Mil 30th $10 Mil $20 Mil 31st $10 Mil $30 Mil 32nd $10 Mil $40 Mil 33rd $10 Mil $50 Mil $50 Mil