Section_H_-_Special_Contract_Requirements.docx

Solicitation No. GS-10F-12-LP-R-0002 SECTION H State of Alaska Local Service Agreement (SALSA)

SECTION H - SPECIAL CONTRACT REQUIREMENTS

H.1 Contract Type

This is a fixed price, indefinite delivery, indefinite quantity contract. The Contract shall consist of one five-year base period and three one-year option periods, for a total Contract term not-to-exceed eight (8) years, unless otherwise extended under the authorities at FAR Clause 52.217-8 Option to Extend Services, FAR Clause 52.217-9 Option to Extend the Term of the Contract, or as otherwise permitted in this Contract. See also Section I – Contract Clauses for additional information pertaining to the Contract term.

NOTE: The Government contemplates awarding one or more single-award Contracts from Solicitation GS-10F-13-LP-R-0001. No more than one single-award, indefinite delivery indefinite quantity (IDIQ) shall be awarded for each identified geographic area (i.e. borough). However, one Offeror may be awarded one IDIQ covering more than one geographic location if that Offeror’s proposal is found to be the best value for more than one geographic area (i.e. borough). See Section B and L.8 for more information.

H.2 Minimum Dollar Guarantee and Maximum Contract Ceiling

H.2.1 Minimum Dollar Guarantee. Pursuant to FAR 16.504(a), Indefinite-quantity contracts, the minimum order for the Contract(s) is stated as a dollar value and represents the total guaranteed minimum. The total guaranteed minimum for the Contract(s) shall be divided equally among Contract awardees (i.e. $500 per awarded geographic location (borough)) if the guaranteed minimum is not met by Government issued orders against the Contract(s) up to the end of the total duration of the Base Period (i.e. five (5) years).

The total minimum dollar guarantee is $3,000 and shall only apply to the initial Base Period.

H.2.2 Maximum Contract Ceiling. Pursuant to FAR 16.504(a), Indefinite-quantity contracts, the maximum order for the Contract(s) may be stated as either dollar values or number of units. The number of units (telephone lines, etc.) for each contract line item number (CLIN) identified on the associated Price Schedule (Section B) are provided as estimated quantities only and shall not be relied upon for purposes of establishing maximum Contract ceiling limitations.

The maximum contract ceiling for the life of the Contract (include Base and any exercised Option Periods), as stated in estimated maximum dollar value, is $40 million.

H.3 POINT OF CONTACT FOR TASK ORDER PRICE QUOTES

The Contractor shall provide a single point of contact for service price quotes, submission of service orders, track service orders, and for initiation of service order changes.

Contractor's Service Ordering Point of Contact:

NAME/TITLE:

ADDRESS:

EMAIL:

Phone:

H.4 Provision of Service

The total monthly prices set forth in the Section B price schedules entitle the Government to unlimited service twenty-four (24) hours per day, seven (7) days per week for the term of the Contract, including all option periods if so exercised.

H.5 Compliance with Standards and Codes

The Contractor’s personnel and any subcontractor personnel performing work under this Contract shall comply with all applicable standards and codes at all times. This includes all applicable Occupational Safety and Health Administration (OSHA) and any existing building standards as applicable for a given client agency building location (i.e. Public Buildings Service (PBS) standards).

H.6 Asbestos Containment

When a building is known to have asbestos or if a there is a potential for asbestos in a building, the Contractor shall contact the Building Manager for assistance in assessing the best installation that will avoid disturbing asbestos. If, for some reason, the Building Manager cannot assist with the assessment or if an installation cannot be completed without disturbing the asbestos, the Contractor will contact the GSA COTR for assistance. The GSA COTR will decide how to assist with the assessment to include a pre-alteration assessment should some level of abatement be required. The cost of any asbestos abatement shall be borne by GSA.

H.7 Equipment Removal

All Contractor-provided equipment, accessories, and devices located on Government property shall be dismantled and removed from Government premises by the Contractor at the Contractor’s expense, within ninety (90) calendar days after the expiration of this Contract. Exceptions to this requirement shall be pursuant to a bilateral agreement between both parties.

H.8 Taxes, Fees and Surcharges

H.8.1 Taxes

The Contractor shall not arbitrarily impose Federal, State and Local taxes in its monthly invoices during the Contract performance period. The fixed unit prices under this Contract shall be inclusive of any applicable taxes. With respect to any “after imposed taxes” identified by the Contractor in accordance with the FAR clause 52.229-3, the Government will pay any Federal, state and local taxes applicable to telecommunications services delivered under this Contract, once incorporated into the fixed unit prices (see H.8.3) with the following exceptions:

a. Taxes from which the Federal Government is expressly exempt under the authorizing state statute or local ordinance.

b. Any state or local tax whose legal incidence of taxation is on the Federal Government.

H.8.1.1 Federal Tax Exemption - Pursuant to 26 U.S.C. 4293, the Secretary of Treasury has exempted the United States from the communications excise tax imposed in 26 U.S.C. 4251, when supplies and services are for the exclusive use of the United States. For purposes of Sec. 4251(a), the term “communications services” refers to local telephone services, toll telephone services and teletypewriter exchange services. Consequently, offered prices and contract prices shall be on a federal tax-exclusive basis.

H.8.1.2 State and Local Taxes to the Federal Government – Generally, purchases made by the Federal Government are immune from State and Local taxation. If appropriate, the Contracting Officer shall provide a Standard Form 1094, U.S. Tax Exemption Form (See Attachment J.7), or other evidence to establish that the Federal Government is making the purchase. Whether any specific purchase is immune, however, may be a legal question. Consequently, Offerors are required to submit an itemized list of state and local taxes for agency review prior to Contract award (see Schedule D). Offerors shall provide the name of each tax, jurisdiction by name, a reference to the statutory source for the tax, and applicable tax rates for the term of the contract. The Government will not pay state and local taxes where immunity applies.

H.8.2 FEES AND SURCHARGES

The Contractor shall not arbitrarily impose fees and surcharges in its monthly invoices during the Contract performance period. The fixed unit prices under this Contract shall be inclusive of any applicable fees and surcharges imposed by the Federal Communications Commission, any State Public Utilities Commission, or other authorized jurisdiction. Fees and surcharges that are chargeable to the Federal Government will be eligible for pass-through treatment, but not treated as “taxes” for purposes of the FAR clause 52.229-3.

H.8.3 CONTRACT MODIFICATION OF FIRM FIXED PRICED CLINS AS A RESULT OF MANDATED CHANGES TO APPLICABLE TAXES, FEES OR SURCHARGES

Only those firm fixed prices for each CLIN on Price Schedule A - C shall be itemized in the Contractor’s monthly invoice summarized by client account. No new taxes, fees or surcharges or other changes (increase or decrease) to any CLIN identified in Schedules A – C shall be billed to the Government.

NOTE: Schedule D shall be retained for reference purposes only to identify which CLINs are inclusive of applicable taxes, fees and surcharges and to record percentages and/or dollar amounts for each tax, fee and surcharge. Schedule D shall be updated on a semi-annual basis (each January and July) to reflect any changes to these mandated amounts. Changes to CLIN prices (as described below) shall only be available to those CLINs identified in Schedule D as subject to taxes, fees and surcharges.

CLINs inclusive of applicable taxes, fees and surcharges (i.e. those identified on Schedule D only) shall be adjusted (either increased or decreased) on a semi-annual basis (each January, and July) only upon changes to the associated tax, fee or surcharged if so changed by the authorized jurisdiction mandating the tax, fee or surcharge. No other adjustments shall be made to any CLIN nor shall any additional taxes, fees or surcharges be authorized as chargeable to this Contract. Prior to any adjustment being made by issuance of a formal modification, the Contractor shall provide to the GSA Contracting Officer an updated, itemized list (i.e. Schedule D) of taxes, fees and surcharges applicable to the Federal Government which are to be itemized in its monthly invoices. The list shall include the name of each fee or surcharge, jurisdiction by name, reference to the statutory source, and details about the change being made to the applicable rate. The Contractor shall provide to the GSA Contracting Officer copies of all statutes or ordinances changing or imposing new fees or surcharges within thirty (30) calendar days of the Contractor’s identification of such statutes or ordinances.

H.8.4 CHANGES IN CONTRACT PRICES

The firm fixed unit prices awarded in the Schedules A – D shall not be adjusted during Contract performance. Only changes in taxes, fees and surcharges chargeable to the Federal Government, which are changed as a result of mandated regulation, and which have been identified in Schedule D may be modified in accordance with this Section and FAR Clause 52.229-3 and this paragraph H.8 and its subparagraphs through a formal modification issued by the Contracting Officer.

H.9 Permits

The Contractor shall, without additional expense to the Government, be responsible for obtaining any necessary licenses, certifications, and permits, and for complying with any applicable federal, state, county, and municipal laws, codes, and regulations, in connection with the performance of the Contract.

H.10 Electronic Access to the Contract

The Contractor shall maintain a current redacted version of this Contract on a publicly available Contractor maintained Internet website. The Contractor will be responsible to ensure that current year contract pricing, loaded with GSA pricing, is posted and publicly available. Contractor agrees that current year GSA prices are releasable under FOIA.

H.11 Disclosure of Contractor Pricing

Contractor is put on notice that GSA may disclose Contractor pricing information for all Contract years, including option years to: (1) personnel of Federal agencies who are purchasing or contemplating purchases under the Contract to satisfy their fair consideration obligations; (2) employees of support contractors that are involved in the administration of the Contract, but only after such employees have executed appropriate nondisclosure agreements against further disclosure of such information; and (3) other customers and consultants to the U.S. Government with a need to access the information, but only after such persons have executed appropriate nondisclosure agreements against further disclosure of such information.

H.11.1 Privacy Act

Under U.S. Code Title 5, Section 552, information accessed during the performance of this Contract is subject to the Privacy Act of 1974. All Contractor personnel assigned to this Contract shall take appropriate action to prevent disclosure of this information.

H.12 Scheduling of Work

At least fifteen (15) days prior to installation, the Contractor shall arrange the details for access to premises; delivery and storage of any materials and equipment; use of approaches, corridors, stairways, and elevators; and other similar matters through the GSA Contracting Officer’s Technical Representative (COTR) or the agency’s authorized representative for non-GSA orders.

Any requests received by the Contractor from anyone other than the ordering official to change the sequence or scope of work shall be referred to the GSA Contracting Officer. All changes or modifications to orders shall be in writing.

H.13 Service Transitions (Continuity of Services)

Service transitions under this Contract may result when new contract vehicle(s) to replace the existing services under this Contract in the event the incumbent Contractor does not receive the follow-on award. The incumbent Contractor(s) shall conduct cooperative performance during the transitioning process. Results of satisfactory or unsatisfactory performance will be addressed and recorded by the Government. The single area of greatest risk to the Government exists with voice services. Telephone numbers are located in a particular vendor’s Central Office database and as such close cooperation must be maintained to ensure existing numbers are transitioned orderly and promptly with all required features. Contractors shall comply with the provisions of the Telecommunications Act of 1996 in accomplishing any service transition. GSA will monitor performance to accomplish concurrence, acceptance, and cooperation of required actions/dates for performance monitoring of transitions.

Further, the Contractor shall recognize that the services under this Contract are vital to the mission of the Federal Government and must be continued without service interruption throughout the service transition periods. Upon Contract expiration and the award of a new contract vehicle(s), the service transition performance period shall commence to ensure continuity of existing services from the incumbent contractor under this contract to the successor contractor. In accordance with FAR Clause 52.217-8 Option to Extend Services, if so directed by the Contracting Officer’s, the Contractor shall perform phase-in, phase-out services for up to six (6) months after contract expiration leading to contract close-out. The prices of services provided during the phase-in, phase-out period shall not exceed the prices of the existing Contract period in effect under this Contract and are valid throughout the phase-in phase-out service transition period. The Contractor shall continue performance under the then existing terms and conditions (including price) of this Contract during the phase-in, phase-out service transition period.

H.14 BILLING PROCEDURES

GSA will establish 3-digit Telephone system identification numbers which will allow the effective management of billing and payment. Systems may be established for a particular location with a single Billing Number (BTN). GSA may establish systems for larger geographic areas where GSA may require the vendor to render consolidated bills (also known as summary bills or roll-up bills), with multiple BTN's under one account number. The Contractor shall provide GSA a single consolidated invoice for each system. GSA will validate and pay the invoices.

The Contractor shall bill in arrears on a monthly basis. The Contractor shall submit all centralized billed invoices to the designated billing office at the addresses indicated below, at the end of each month, with an original and one copy to the address listed below and one additional copy to the COTR.

H.14.1 ELECTRONIC INVOICING/USAGE

Monthly invoices and usages data must be electronically transmitted utilizing the Secure Standard File Transfer Protocol (SFTP) or in one of the specified formats below, no later than 10 working days following the bill date. The Contractor shall send the bill directly to the specified location communicated by the GSA, Billing Management Office.

If services are provided via a Contract Line Item Number (CLIN) structure, all invoices or billing statements are to indicate usage/costs by CLIN.

In regard to media, transport and format, the Government requires that data and report deliverables be provided in ways that are compatible with ways that the Government recipient receive and process them. The following paragraphs cite requirements for contractor reports and data that will be provided.

Media/Transport/Format Requirements for Reports from the Contractor The Contractor shall be capable of providing reports to the GSA as specified in the following table:

Media Transport File Format

• Postal Service

• ASCII Text

• csv

• Other formats as mutually greed upon

• Postal

• Postal Service

• Other secured transport methods as mutually agreed upon.

• ASCII Text

• csv

• Other formats as mutually agreed upon

NOTE: The file format shall be included on all delivery options.

RECORD LAYOUT FOR INVOICE FILES SUBMIITED TO TOPS

(FIXED LENGTH CHARACTER ASCII FILE)

RECORD LAYOUT FOR USAGE FILES SUBMIITED TO TOPS

FILE NAME SPECIFICATIONS

The file name will consist of the following fields separated by “_“ or “.”

Vendor ID Values:

GSA supplied – 3 character system id (To Be Determined upon Contract award)

GSA System/Contract Values:

GSA supplied – 3 character system id + 2 character contract id (alpha characters in upper case)

File Extension Values:

File Name Examples:

NOTE: The file name specifications will apply to either comma delimited (CSV) files or ASCII text files in fixed format. The file names must be in the same format each month with no changes in upper or lower case alpha characters.

H.15 BILLING DISPUTES

All billing disputes will be handled in accordance with Clause 52.233-1, Disputes, in Section I of the contract.

H.16 INVOICE REQUIREMENTS

The Contractor shall submit all invoices to the designated billing office(s) on the 10th of each month. The Contractor shall deliver invoices and billing support data to GSA and customer organizations via paper or electronic format on a media to be determined by the Government and the contractor after contract award. Where available to commercial customers and requested by the Government, the Contractor shall submit invoices in EDI format 811.

H.16.1 INVOICE CONTENT

Each invoice shall contain all pricing components in sufficient detail necessary to reconcile charges with monthly recurring charges, completed orders, and actual usage. The Contractor shall ensure that all charges, credits, and debits are shown on the invoice and that no additional data are required by GSA to verify the price of a call or feature and verify the amount of discounts, credits or debits. When service is ordered or disconnected, the invoice shall reflect the order number, action (add/remove or in/out), related phone number or circuit number, date the action was completed, the CLINs related to the order number and the cost associated with each CLIN.

As a part of the monthly invoice, the Contractor shall provide a summary of each CLIN. The summary shall include by CLIN: CLIN description, quantity of each CLIN billed, CLIN cost, and total amount billed for each CLIN.

The Contractor shall bill the entire SIC, indicating waived or discounted charges, on the invoice following acceptance by the Government for the installation of the service contained in the completed service order.

For other reimbursable charges such as other direct costs, invoices shall reflect the contractor's actual expenses for a specific task order. GSA will not pay any charges that are not agreed on between the contractor and GSA and that are not specifically stated in the task order.

H.16.2 INVOICE PREPARATION

The Contractor shall prepare all invoices in accordance with the GSA System Number, GSA Customer Number, GSA Worksite ID, and Service Delivery Point (SDP) identification (SDPID). These codes will permit GSA to bill each customer organization and sub-organization for SALSA services actually used by that organization/sub-organization.

A sample invoice template is provided as an appendix to this Section.

The Contractor shall provide sixty (60) calendar days notice to the GSA CO, in writing, before making changes to the invoice content or format. The frequency of such changes, including changes resulting from the introduction of new services or industry standards modifications, shall not exceed once every sixty (60) calendar days unless the change was mandated by a Federal, state, and/or local public utility regulatory authority or such other process that requires implementation in less than 60 calendar days. The contractor shall provide a detailed specification of the revised format to the CO, in paper or CD ROM. Invoice changes initiated by changes in the invoice standards by an authorized regulatory body or at the direction of the contractor shall be done at no cost to the Government. The Contractor shall obtain written approval from the CO to initiate an emergency change.

H.16.3 PAYMENT

No payments will be made by the Government to the Contractor for any services performed by the Contractor in support of this Contract until the services performed have been accepted, irrespective of the Government’s beneficial use of partially complete or partially operational equipment and/or service, irrespective of the length of time of said beneficial use pending acceptance, and irrespective of the substantiality of the contractor’s performance. The parties hereby agree that the beneficial use of equipment and/or services before the effective date of the Government’s acceptance is purely incidental to such testing and that no additional costs are due to the Contractor.

H.17 AVAILABILITY OF EQUIPMENT AND SOFTWARE

All equipment and software provided under this Contract shall meet the following requirements:

a. Be commercially available as an "off the shelf' item requiring no further development;

b. Be successfully tested or demonstrated in the commercial or Government marketplace meeting the intended usage as required in the solicitation document.

H.18 LICENSES AND PERMITS

The Contractor shall, without additional expense to the Government, be responsible for obtaining any and all necessary licenses and permits, and for complying with any and all applicable Federal, State and local laws, codes and regulations, in connection with the performance of the Contract.

H.19 LIABILITY INSURANCE

In accordance with FAR 28.307-2, provided below, and clause 52.228-5, located in Section I, entitled Insurance-Work on Government Installation, the Contractor shall comply with the following:

(a) Workers' compensation and employer's liability. Contractors are required to comply with applicable Federal and State workers' compensation and occupational disease statutes. If occupational diseases are not compensable under those statutes, they shall be covered under the employer's liability section of the insurance policy, except when contract operations are so commingled with a Contractor's commercial operations that it would not be practical to require this coverage. Employer's liability coverage of at least $100,000 shall be required, except in States with exclusive or monopolistic funds that do not permit workers' compensation to be written by private carriers. (See 28.305(c) for treatment of contracts subject to the Defense Base Act.)

(b) General liability.

1 The Contracting officer shall require bodily injury liability insurance coverage written on the comprehensive form of policy of at least $500,000 per occurrence.

2 Property damage liability insurance shall be required only in special circumstances as determined by the agency.

(c) Automobile liability. The Contracting Officer shall require automobile liability insurance written on the comprehensive form of policy. The policy shall provide for bodily injury and property damage liability covering the operation of all automobiles used in connection with performing the Contract. Policies covering automobiles operated in the United States shall provide coverage of at least $200,000 per person and $500,000 per occurrence for bodily injury and $20,000 per occurrence for property damage. The amount of liability coverage on other policies shall be commensurate with any legal requirements of the locality and sufficient to meet normal and customary claims.

(d) Aircraft public and passenger liability. When aircraft are used in connection with performing the Contract, the Contracting Officer shall require aircraft public and passenger liability insurance. Coverage shall be at least $200,000 per person and $500,000 per occurrence for bodily injury, other than passenger liability, and $200,000 per occurrence for property damage. Coverage for passenger liability bodily injury shall be at least $200,000 multiplied by the number of seats or passengers, whichever is greater.

(e) Vessel liability. When Contract performance involves use of vessels, the Contracting Officer shall require, as determined by the agency, vessel collision liability and protection and indemnity liability insurance.

Prior to the commencement of work hereunder, the Contractor shall furnish to the CO a certificate of the above required insurance. The policies evidencing required insurance shall contain an endorsement to the effect that cancellation or any material change in the policies adversely affecting the interests of the Government in such insurance shall not be effective for such periods as may be prescribed by the laws of the state in which this Contract is to be performed no event less than thirty (30) calendar days after written notice thereof to the CO.

The Contractor agrees to insert the substance of this clause in subcontracts under this Contract that require work on a Government installation. The subcontractor(s) shall be obligated by the prime Contractor to provide and maintain the insurance required by virtue of this Contract. At least five (5) calendar days before entry of each such subcontractor's personnel on a Government installation, the Contractor shall furnish (or ensure that there has been furnished) to the CO a current certificate of insurance, meeting the requirements of paragraphs (a) and (b) under this clause.

H.20 TRANSITION

A smooth and orderly transition between the Contractor and predecessor or successor contractor(s) is necessary to assure minimum disruption to vital Government business. The Contractor shall not recruit on Government premises or otherwise act to disrupt official Government business.

H.20.1 Transition Planning and Execution

It is anticipated that a critical transition period will be necessary should the incumbent Contractor not be selected. Regardless of selected Contractor, transition of all services from existing contract vehicle(s) to this Contract (i.e. SALSA) shall be completed not later than 180 days (i.e. six (6) months) following Contract Award. Transition shall include all services (for all accounts), inclusive of compliant billing, covered under this Contract. During this transition period, among other things, the new Contractor shall work with the incumbent to transfer responsibilities for scheduled installations, de-installations, maintenance, etc. It will also be necessary to stand up the Contractor with all necessary interfaces to required GSA systems and load the historical data provided. The Contractor shall also work with other GSA contractors as necessary to coordinate a smooth transition for all clients to ensure uninterrupted service is maintained.

Following award, the detailed Transition Plan and schedule submitted with initial proposal during the solicitation phase, (see also Section C – Scope of Work for additional details regarding the Transition Plan) shall be finalized not later than 15 business days following Award, with concurrence by all impacted parties. For the purposes of this plan, the Contractor should assume the current level of effort in supporting the Contract requirements. As additional systems/applications may be added over time during the period of performance, the Contractor will be afforded an opportunity to participate in transition planning for those new support needs. In the case of a substantial new effort sufficient lead time will be provided for the Contractor to ramp up as needed prior to transfer of responsibilities.

In addition, the Contractor shall address within the Transition Plan a detailed transition strategy from its own support/service to another vendor should the Contractor’s support end for any reason (i.e. in the event an option period is not exercised).

H.21 PHASE-OUT OF THIS CONTRACT

Orders for service may be issued up to the final date of this Contract. It is anticipated that work in progress under this Contract will be completed by the Contract expiration date; however, the outgoing Contractor shall continue performance on all orders properly issued under this Contract.

Any order for services expected to extend beyond the period of transition to the successor contractor may be terminated for convenience of the Government.

H.22 TARIFFS

Tariffs required to be filed in connection with any resultant Contract shall be provided to and certified by the GSA Contracting Officer, within forty-five (45) days prior to the filing by the Contractor, that there are no terms and conditions in the filing that are inconsistent with or supplemental to the Contract terms and conditions. See Section B for additional notes regarding tariff rates, if proposed.

H.23 SECURITY AND PRIVACY

H.23.1 Security

The Contractor shall follow security procedures established by the Government in conjunction with on-site building management procedures to prevent unauthorized access to the building telecommunications facilities (e.g., telephone closet). These security measures include, but are not limited to, signing in and out, escorts, and inspection routines. When multiple Contractors share the same telecommunications facility, the Contractor shall work with the Government in coordination with these other Contractors and building management to ensure the security of the facility, while allowing access to the facility by multiple parties.

Normally, telecommunications services under this Contract will carry non-sensitive programmatic and administrative traffic, Sensitive But Unclassified (SBU) traffic, and higher levels of sensitive and/or classified traffic that has been encrypted by users. Therefore, security services are required. The services provided by the Contractor shall be compatible with existing security devices and systems used by the Government. Contractor-provided security shall protect all facilities and services and portions of the Contractor’s network from threats, attacks, or failures of systems.

H.23.2 Clearances

The Contractor shall comply with the physical controls in place at each work site to ensure the Government’s security requirements are met, including those that may be unique to the site. The Contractor shall submit a written statement to the GSA CO that a background investigation was performed and Contractor personnel successfully completed the background investigation.

The Government may require Contractor staff to undergo limited criminal history background checks. These checks will be conducted by the Federal Protective Service/Department of Homeland Security (FPS/DHS) to determine the applicant’s eligibility to function in a position of trust, and to identify potential risk or threats to the safety and security of personnel and property. Each prospective Contractor employee shall complete a GSA Form 176, Statement of Personal History, and FD 258, Applicant Fingerprint card. These forms will be submitted to GSA for submission to the FPS/DHS for processing. Applicants may begin employment under the terms of this Contract while the background checks are underway. However they may require a Government escort.

If the applicant is found unfavorable, notification will be made to the Contractor’s point of contact that the applicant is ineligible to perform duties on a GSA-controlled property and the applicant will be removed immediately.

In addition to the aforementioned background check, a National Agency Check with Inquiries Credit (NACIC) investigation (or its successor) will be required for all Contractor employees who will repeatedly perform work at Government work sites. The Contractor must expect that all employees that have not passed a NACIC investigation will require an escort while working on a Government site. This may impair the Contractor’s employee(s) from completing the work in a timely manner because the Contractor shall coordinate the need for an escort with the GSA or Agency COTR. Contractor employees having access to part or all of a Government work site as the result of passing a NACIC investigation shall not act as an escort for those not granted access.

The Government will assist the Contractor with instructions for submittal of forms. This applies to initial staffing, additional staffing, or replacement staffing. The Agency requiring the cleared person(s) will initiate and coordinate the clearance request. Any Contractor person found to be unfavorable as a result of any security check/investigation will be removed from the task.

H.23.3 Homeland Security Presidential Directive-12 (HSPD-12)

Homeland Security Presidential Directive 12 (HSPD-12) was issued to implement the policy of the United States to enhance security, increase Government efficiency, reduce identity fraud, and protect personal privacy by establishing a mandatory, Government-wide standard for secure and reliable forms of identification issued by the Federal Government to its employees and Contractors (including Contractor personnel). Under this directive, the heads of executive departments and agencies are required to implement programs to ensure that identifications issued by their departments and agencies to Federal employees and Contractors meet the Standard. This policy can be found at the following website:

http://www.whitehouse.gov/omb/memoranda/fy2005/m05-24.pdf

The Contractor shall ensure personnel requiring physical access to federally-controlled facilities and access to federally-controlled information systems have identification that comply with HSPD-12 policy.

a Agencies must follow Federal Information Processing Standards Publication (FIPS PUB) Number 201, “Personal Identity Verification of Federal Employees and Contractors,” as amended, and the associated Office of Management and Budget (OMB) implementation guidance as amended, for personal identity verification for all affected Contractor and subcontractor personnel when Contract performance requires Contractors to have routine physical access to a Federally-controlled facility and/or routine access to a Federally-controlled information system.

Agencies must include their implementation of FIPS PUB 201 as amended, and OMB guidance M-05-24, dated August 5, 2005, as amended, in solicitations and contracts that require the Contractor to have routine physical access to a Federally-controlled facility and/or routine access to a Federally-controlled information system.

b Agencies will designate an official responsible for verifying Contractor employee personal identity.

H.23.3.1 CLEARANCE OF CONTRACT EMPLOYEE PERSONNEL

a Overview. Homeland Security Presidential Directive-12 “Policy for a Common Identification Standard for Federal Employees and Contractors” (the Directive) became effective August 27, 2004. The Contractor shall comply with guidance concerning implementation of the Directive provided by the Contracting Officer. Notice-to Proceed shall not be issued until the clearance process described in paragraph (3) General Description of the Clearance Process below is complete. See Exhibit 5(C), “Security Clearance Desk Guide – External Contractor” for additional information on the HSPD-12 Clearance process.

b Submission of Forms. Following award, the Contractor shall submit the following forms and information for each Contractor employee who will require access to Federally-controlled facilities and/or a Federal information system in performance of the Contract. NOTE: The electronic e-QIP process is the preferred method as it allows for more efficient and timely processing of paperwork.

Electronic Method (e-QIP):

· Completed Contractor Information Worksheet (CIW) for each employee

· Following receipt of the CIW, an initial check will be conducted and the Contractor will receive an e-mail invitation to complete the other required forms electronically in the e-QIP system Manual Method:

· SF 85P, Questionnaire for Public Trust Positions (1 original and 1 copy) (SF 86A, Continuation Sheet for SF86, SF85 and SF85P, shall be used if additional space is needed)

· FD 258, Fingerprint Card (2 originals)

· OF 306, Declaration for Federal Employment (1 original) [The employee may omit answers to items 17 and 18, and signs the form in the applicant block].

· GSA Form 3665, Credit Release Authorization (1 original)

The Contractor shall furnish these forms to the Contracting Officer either electronically (via eQIP) (PREFERRED) or manually (in a sealed envelope). If utilizing the manual submission process, the forms shall be submitted together with a cover letter for each applicant on the company’s letterhead. The letter shall be attached to the outside of the envelope and list the following:

· The applicant full name and last four digits of his/her social security number

· The contract number

· The name, address and phone number of the individual who took each set of fingerprints.

c General Description of the Clearance Process.

i FBI Name Check and FBI National Criminal History Fingerprint Check. Upon receipt of either the completed CIW or the sealed envelope containing the required forms, the Contracting Officer will forward each clearance package to the GSA Central Office for initial processing.

NOTE: If utilizing the e-QIP process, an email invitation will be sent to the Contractor for processing of required forms (i.e. SF85P, fingerprints, etc.) separately.

A preliminary review will be conducted which consists of an FBI Name Check and an FBI National Criminal History Fingerprint Check. If the checks are favorable and upon initiation of the NCAIC, the Contractor employee may be granted limited access to Federally-controlled facilities and Federal information systems. This process takes approximately two (2) weeks but could take longer.

ii National Agency Check with Written Inquiries and Credit (NACIC). For Contractor employees who receive a favorable FBI check as described above, a National Agency Check with Written Inquiries and Credit (NACIC) will be initiated. The NACIC check includes record searches with selected sources covering specific areas of the employee’s background including credit, and written inquiries covering specific areas of the employee’s background during the past 5 years. This process takes approximately six months but could take longer.

iii Issuance of Identification Credential. Upon receipt of a favorable FBI Background and NACIC checks, each Contract employee may be issued an identification credential in accordance with the federally-controlled facility procedures and be granted full access to those Federal information systems necessary to accomplish the Contract. The Contractor shall ensure that all contract employees display their credentials in accordance with facility procedures. The Contractor shall also ensure that such credentials are returned to the government as Contract employees are dismissed or terminated, and upon expiration of the Contract.

iv Unsuitable Employees. If the Contracting Officer receives an unsuitable report on any prospective Contractor employee, or if the Contracting Officer finds a prospective employee to be otherwise unsuitable or unfit for his assigned duties, the Contractor shall be advised immediately by the Contracting Officer that such employee will not be allowed to work under the contract. The Contractor must then take action to remove the employee from the contract.

H.23.3.2 SECURITY REQUIREMENTS

b Failure of a Regular Employee to receive a favorable suitability determination shall be cause for removal of the employee from the work site and from other work in connection with the Contract.

c Contract employees working less than 6 months (Temporary Employees) may, at the Government's option, be required to undergo a lesser form of suitability determination. Prior to the time that an identification card is issued, if at all, such Temporary Employees will be required to comply with normal facility access control procedures, including sign-in, temporary badging, and escorted entry, as applicable.

d Temporary Employees who have not received a favorable suitability determination shall be escorted at all times while in non-public space, as directed by the Government.

e The Government, at its sole discretion, may grant temporary suitability determinations to Regular or Temporary Employees. However, the granting of a temporary suitability determination to any such employee shall not be considered as assurance that a favorable suitability determination will follow.

f The Contracting Officer or his/her designated representative shall provide the Contractor with required forms for obtaining necessary clearances. The Contractor shall be required to cause such forms to be returned to the Government for processing not later than fourteen (14) days following being provided by the Government.

g The Contractor shall be responsible for planning and scheduling its work in such a manner as to account for facility access issues. Difficulties encountered by the Contractor in gaining access to facilities by its employees and subcontractors shall not be an excuse to any Contractor performance under the Contract.

H.23.3.2.2 Compliance with Security Requirements a The Contractor shall comply with all GSA and tenant agency security requirements in the building(s) where work is being performed.

b When a controlled personnel identification access system is used by a tenant agency at a site where work is performed, the tenant agency will be responsible for providing any required access credentials. Credentials shall be displayed at all times or as otherwise required by the tenant agency.

H.23.3.2.3 Identification Credential a Upon receipt of a favorable suitability determination, each Regular or Temporary Employee shall be issued an identification credential (Credential) permitting regular access to the building(s) were work is being performed.

b Regular or Temporary Employees with Credentials shall be required to comply with all applicable access security screening procedures applicable to Government or other personnel possessing similar Credentials.

c All Contractor or subcontractor employees possessing Credentials shall visibly display their Credentials at all times while in the building(s) where work is being performed.

d The Contractor shall be responsible for ensuring that all identification credentials are returned to the Government when a particular Contractor or subcontractor employee will no longer be providing service under the Contract at the building(s) covered by the Credential.

e The Contractor will notify the Government when Credentials are lost. In that event, the Contractor will be responsible for reimbursing the Government for its cost in issuing a replacement Credential.

H.23.3.2.4 Standards of Conduct

The Contractor shall be responsible for maintaining satisfactory standards of employee competency, conduct, appearance, and integrity and shall be responsible for taking such disciplinary action with respect to its employees as may be necessary.

H.23.3.2.5 Removal from Contract Work a As provided in the GSAM Clause 552.237-71, “Qualifications of Employees", the Contracting Officer or a designated representative may require the Contractor to remove any employee(s) from GSA controlled buildings or other real property should it be determined that the individual(s) is either unsuitable for security reasons or otherwise unfit to work on GSA controlled property. This shall include, but not be limited to, instances where an employee is determined, in the Government's sole discretion, to be incompetent, careless, insubordinate, unsuitable or otherwise objectionable.

b A Contractor employee may also be removed where the continued employment of the contractor employee in connection with the Government work is deemed, in the Government's sole discretion, contrary to the public interest, inconsistent with the best interests of security, or a potential threat to the health, safety, security, general well being or operational mission of the facility and its population.

c Where a Contractor employee is granted a temporary suitability determination, and an unfavorable final suitability determination is later rendered, the Government may insist on the employee's removal from the work site and from other work in connection with the Contract.

d The Contractor shall be responsible for providing replacement employees in cases where contract employees are removed at no additional cost to the Government.

H.23.3.6 Sensitive But Unclassified (SBU) Building Information

Dissemination of sensitive but unclassified paper and electronic building information shall be made on a "need to know" basis, a copy of which will be made available upon request.

APPENDIX

Sample Invoice Template Format

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