Atch 1 - Questions and Answers for FA910126PB076.pdf

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Attached to
2027 Timber Harvest Arnold AFB, TN
Solicitation number
FA910126QB076_2027_Timber_Sale_ArnoldAFB
Issued by

About this file

This document is a Questions and Answers file for federal contract solicitation FA910126PB076, a timber tract operations contract at Arnold Air Force Base.

The acquisition is designated as a 100% Total Small Business Set-Aside under NAICS code 113110 (Timber Tract Operations), requiring all offerors to be verified small business concerns under the 500-employee size standard. The Government clarified comprehensive insurance requirements for prime contractors and subcontractors: prime contractors must independently maintain and provide Certificates of Insurance for Commercial General Liability ($1,000,000 minimum per occurrence) and Commercial Automobile Liability ($500,000 combined single limit minimum), with reliance solely on subcontractor policies deemed unacceptable. For logging and hauling operations, the prime contractor must verify that subcontractors maintain full commercial auto coverage for all log trucks and heavy transport vehicles operated on the installation. Regarding Tennessee Workers' Compensation, sole proprietors with no direct employees who qualify for statutory exemption under Tennessee law must submit official documentation of current, active exemption registration from the State of Tennessee along with a Certificate of Insurance proving the designated logging/hauling subcontractor maintains full Tennessee Statutory Workers' Compensation Insurance ($100,000 minimum bodily injury by accident) covering all crew members, chainsaw operators, equipment operators, and drivers. Prime contractors must submit three items with quote submissions: an active CGL and Auto/Hired Non-Owned Auto Certificate of Insurance, a State of Tennessee Workers' Compensation Exemption Certificate (if applicable), and a formal Letter of Commitment with preliminary Certificate of Insurance from the proposed logging subcontractor demonstrating capability to provide required coverage prior to award.

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Questions Received from FA910126PB076 Answer

Will you be considering large business?

In accordance with FAR Part 19, this acquisition is currently designated as a 100% Total Small Business Set-Aside under NAICS code 113110 (Timber Tract Operations). As such, only verified small business concerns eligible under the 500-employee size standard may submit an offer.

Should market conditions change and the Government determine that the set-aside must be dissolved and resolicited under Full and Open Competition, a formal notice and amendment will be posted publicly to SAM.gov.

We encourage all interested parties to follow the solicitation notice directly on SAM.gov for any future updates or amendments.

If a prime contractor intends to subcontract all harvesting, logging, and hauling operations to a qualified subcontractor, and the prime holds a Tennessee Workers' Compensation exemption, can subcontractor insurance policies satisfy the solicitation insurance requirements?

No. Under FAR 52.228-5, the prime contractor maintains privity of contract with the Government and must maintain its own active Commercial General Liability ($1,000,000 minimum) and Auto Liability (or Hired/Non-Owned Auto endorsement). If the prime is a legally registered exempt entity under Tennessee Workers' Compensation statutes with no employees, the prime must provide proof of its active State of Tennessee WC Exemption Registration and provide a Certificate of Insurance confirming that the operating subcontractor maintains full Tennessee Statutory Workers' Compensation coverage for all on-site personnel prior to ground operations.

In response to specific questions regarding prime contractors vs subcontractor coverage and the Tennessee Workers’ Compensation exemption.

Upon further research, please note the following official Government determinations to your previous questions:

1.Commercial General Liability (CGL):
•Requirement: In accordance with FAR 52.228-5-Insurance-Work on a

Government Installation) and Solicitation Evaluation Factor, the prime contractor must maintain and provide a Certification of Insurance (COI) for its own Commercial General Liability policy with a minimum limits of $1,000,000 per occurrence.

• Reliance solely on a subcontractor’s General Liability policy is not acceptable to satisfy the prime offerors’ responsibility.

2.Commercial Automobile Liability:
•Requirement: Commercial Automobile Liability coverage ($500,000

combined single limit minimum) is required for all vehicles entering Arnold AFB in support of this contract.

• The prime contractor with the Government and its personnel or representatives will access the installation for administrative or supervisor purposes, the prime contractor must demonstrate Automobile Liability coverage. This may be met through:

oA standard Business Auto Policy OR
oA Commercial General Liability policy endorsed to cover “hired and

Non-Owned Autos”.

• In addition, prior to commencing harvesting and hauling operations, the prime contractor must provide certificates verifying that the designated logging/hauling subcontractor maintains full commercial auto coverage for all log trucks and heavy transport vehicles operated on Arnold AFB.

If the subcontractor performing all logging and hauling operations maintains the required Commercial General Liability, Commercial Automobile Liability, and Workers’ Compensation coverage, would those policies satisfy the applicable insurance requirements for those operations?

3.Tennessee Worker’s Compensation & Sole Proprietorship Exemption:
•Requirement: Under Tennessee State law and federal installation safety

guidelines, every individual performing industrial logging operations on Arnold AFB must be covered by active Workers’ Compensation.

• If the prime contractor is a sole proprietorship with no direct employees and qualified for statutory exemption under Tennessee Workers’ Compensation Act (TCA 50-6-901 et seq):

o The prime contractor must submit official documentation of its current, active Tennessee Workers’ Compensation Exemption Registration issued by the State of Tennessee AND o The prime contractor must submit a valid Certificate of Insurance proving that the designated logging/hauling subcontractor maintains full Tennessee Statutory Workers’ Compensation Insurance ($100,000 minimum bodily injury by accident) covering all crew members, chainsaw operators, equipment operators, and drivers who will perform work on Arnold AFB.

Therefore, the priime contractor must include the following wit h your quote submission:

1) Certificate of Insurance showing active CGL (and Auto/Hired non- Owned Auto);

2)State of Tennessee Workers’ Compensation Exemption Certificate; and
3)A formal Letter of Commitment and preliminary COI from the priime

contractor's proposed logging subcontractor demonstrating their ability to provide the required CGL, Commercial Auto, and Workers’ Compensation policies prior to award/Notice to Proceed.

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