H0115-R-0008_Vending_Machine_Operation_-_Garden_City_NY.pdf

MARINE CORPS COMMUNITY SERVICES

SOLICITATION, OFFER, AND AWARD (Nonappropriated Funds)

This is a negotiated Request for Procurement (RFP).

Award will be made on this form or by other official written notice.

1. Solicitation No.

H0115-R-0008

2. Date Issued.

9/9/15

3. Contract No

4. Type of Product/Service MCCS Vending Operations @ Garden City

5. ISSUED BY/ADDRESS OFFER TO

Headquarters, United States Marine Corps NAF Business and Support Services Division (MR) 3044 Catlin Avenue Quantico, VA 22134

6. ADMINISTRATION OFFICE ADDRESS (if other than Block 5)

SOLICITATION

7. Following the instructions in Section L, send sealed offers for receipt no later than _4:00 PM EST, 2 October 2015. . All offers are subject to the following:

a. The attached Solicitation instructions and Conditions.

b. The Contract Clauses, which are attached or incorporated herein by reference.

c. The attached Schedule.

d. Such other provisions, representations, certifications, and specifications as are attached or incorporated herein by reference. (Attachments are listed in the Schedule.)

FOR INFORMATION CALL Ms. Maria Caceres, CONTRACT SPECIALIST, AT _703-432-1158_ (No collect calls):

8. The Sections marked with an "X" are incorporated.

(x) SEC DESCRIPTION PAGE(S) (X) SEC DESCRIPTION PAGE(S)

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

x A SOLICITATION/CONTRACT FORM 1-3 x I CONTRACT CLAUSES 40-50 x B PRICE AND FEE SCHEDULE 4-5 PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

x C STATEMENT OF WORK/SPECIFICATIONS 6-9 J LIST OF ATTACHMENTS 51

N/A D PACKAGING AND MARKING 10-13 PART IV - REPRESENTATIONS AND INSTRUCTIONS

x E INSPECTION AND ACCEPTANCE 14-16 K REPRESENTATIONS, CERTIFICATIONS AND

OTHER STATEMENTS OF OFFERORS 52-53

x F DELIVERABLES OR PERFORMANCE 17-23 x G CONTRACT ADMINISTRATION DATA 24-29 L INSTR., CONDS., AND NOTICES TO

OFFERORS 54-62

x H SPECIAL CONTRACT REQUIREMENTS 30-39 M EVALUATION FACTORS FOR AWARD 63-64

OFFER

9. The offeror agrees, if awarded all or part of the items and/or services solicited, to furnish them according to the price(s)/fee(s), terms and conditions contained in the solicitation and proposal. This proposal will be valid until _________ calendar days (60 calendar days unless a different period is entered by offeror) after the date for receipt of proposals established above.

10. ACKNOWLEDGMENT OF AMENDMENTS. The offeror acknowledges receipt of amendments to the SOLICITATION for offerors and related documents numbered and dated.

Amendment No. Date Amendment No. Date

11. OFFEROR'S NAME & ADDRESS (Street, City, State, & ZIP Code) (Include Telephone and FAX Numbers)

PHONE:

FAX:

If remittance address is different than above, check the space __________ and enter such address in Section B of the Schedule.

12. PRINTED OR TYPED NAME AND TITLE OF PERSON AUTHORIZED

TO SIGN OFFER

13. SIGNATURE

14. DATE

AWARD (To be completed by Contracting Activity)

15. ACCEPTED AS TO ITEMS NUMBERED

16. AMOUNT $

17. ADMINISTERED BY (If other than Block 5).

18. SUBMIT INVOICES TO THE ADDRESS SHOWN IN BLOCK 20. 20. PAYMENT WILL BE MADE BY Headquarters, United States Marine Corps NAF Business and Support Services Division (MRF) 3044 Catlin Avenue Quantico, VA 22134

19. ACCOUNTING DATA

21. NAME AND SIGNATURE OF CONTRACTING OFFICER 22. AWARD DATE

George W. Herndon, III

MR FORM 319 (APR 00)

RFP H0115-R-0008

SECTION A- SOLICITATION/ CONTRACT FORM

A-1 OBJECTIVE. Marine Corps Community Services (MCCS) Headquarters, United States Marine Corps, NAF Business and Support Services Division, 3044 Catlin Avenue, Quantico, VA (hereinafter collectively referred to as MCCS) is hereby soliciting competitive proposals from responsible offerors with demonstrated experience to supply the labor, merchandise and vending equipment for the operation and management of vending operations on the premises of 1st Marine Corps District HQ, 605 Stewart Avenue, Garden City, NY 11530. This is a negotiated firm fixed commission fee contract. Required locations are outlined in Attachment J-1; however, additional locations, Installation/Bases and sister services may be added by modification to this contract at any time.

A-2 BACKGROUND. MCCS Headquarters, MR, Quantico, Virginia, under the staff cognizance of the Deputy Commandant for Manpower and Reserve Affairs, is the responsible for providing policy plans, resources and support to MCCS activities. MCCS’ management philosophy provides for a consolidated, yet decentralized system. The administration, management and operation of local MCCS activities are the responsibility of each Installation Commander. MCCS provides commanders with an integrated organization for the development and delivery of Quality of Life programs and services. MCCS operates Marine Corps Exchange (MCX) retail and services businesses, hospitality, and patron service businesses; fitness, recreation and leisure time activities; and individual and family information, education and prevention programs. MR and MCCS focus on assuring Marines, their families, and other authorized patrons access to high quality services and programs wherever they are assigned.

a. MCCS activities are operated on Marine Corps installations on the east and west coasts of the United States; Hawaii; Okinawa, and Japan with MCCS support in deployed locations.

b. MR and MCCS activities are Nonappropriated Fund (NAF) Instrumentalities of the Federal government and are therefore subject to directives issued by the Department of Defense, the Secretary of the Navy and the Commandant of the Marine Corps. The MCCS system generates over one billion in sales per year from a wide variety of business operations. Earnings from its major revenue generators supplement funding for non-revenue generating MCCS programs. For further information regarding MCCS activities, locations and other additional information, reference the MCCS website available at www.usmc-mccs.org.

c. MCCS is comprised of over 80 programs and is the primary community support provided aboard Marine Corps installations. MCCS employs approximately 11,000 employees worldwide. All MCCS Headquarters business and support staff are located at Quantico, VA.

d. Marine Corps Order (MCO) P1700.27B identifies those revenue-generating activities, which are authorized to be provided either through direct or indirect operations and include but not limited to concession operations.

e. MCCS procurement is governed by Department of Defense Instruction (DODI) 4105.67 available at http://www.dtic.mil/whs/directives/corres/pdf/410567p.pdf and Marine Corps Order 7010.20 available at http://www.marines.mil/News/Publications/ELECTRONICLIBRARY/ElectronicL ibraryDisplay/tabid/13082/Article/173017/mco-701020.aspx

A-3 SALES AND CONCESSION FEE DATA.

a. This service has no previous sales data.

b. MCCS makes no representation or warranty the successful offeror (Contractor) will experience and level of sales. The Contractor may experience significantly higher or lower sales due to influx, deployment, transfer and/or attrition of military personnel, market/industry anomalies, seasonal variations, demographic fluctuations, weather, consumer preferences, Contractor performance and other factors beyond the control of MCCS.

A-4 DEMOGRAPHICS. Demographics for this Marine Corps location includes only the one (1) building located at the address listed at section A-1 of the RFP. This location will require the management of eight (8) vending machines – three (3) beverage machines and five (5) snacks machines. At this time, the building houses one hundred fifty

(150) military personnel and one hundred (100) civilian personnel.

However, this number can rise up to approximately five hundred (500) reservists one weekend per month.

A-5 PERIOD OF PERFORMANCE. This Firm-Fixed Commission Fee contract shall become effective on the date the of the Contracting Officer’s signature (Page 1, Block 22) and remain in effect for a period of three (3) years unless sooner terminated by the parties in accordance with the contract provisions. In addition, to the initial three (3) year contract period; this contract may be extended for an additional two (2), one (1) year options (at the option of MCCS). The contract may not exceed a total of five (5) years and three (3) months.

A-6 DEFINITIONS. As used throughout this contract, terms shall have the meaning set out in section I.

A-7 OPERATION DATA. MR and the Government will not be liable for any costs that the Contractor will incur by entering into this contract or by fulfilling the obligations of this contract except for those specifically set forth in this contract.

http://www.dtic.mil/whs/directives/corres/pdf/410567p.pdf http://www.marines.mil/News/Publications/ELECTRONICLIBRARY/ElectronicLibraryDisplay/tabid/13082/Article/173017/mco-701020.aspx http://www.marines.mil/News/Publications/ELECTRONICLIBRARY/ElectronicLibraryDisplay/tabid/13082/Article/173017/mco-701020.aspx

SECTION B – SUPPLIES OR SERVICES AND PRICES/COSTS

B-1 PRODUCT LIST AND PRICE SCHEDULE.

a. The products to be provided, to be served, and prices to be charged are fixed in accordance with the Products List and Price Schedule as established by the Contractor and set forth in Attachment J-2, and as approved by the Contracting Officer; and are the prices to be charged to the patron during the contract period of performance.

(NOTE: Alcoholic beverages of any kind are not authorized.)

b. The prices charged the customer will be in plain view, clear writing and accurate at all times on the vending machines and any advertisements. Any discrepancies in price will require the entire purchase amount being refunded to the customer. MCCS commission will not be reduced by refunds as a result of Contractor’s pricing errors.

c. Should the Contractor be operating similar machines in the local area, Contractor’s on-base prices for identical items must not exceed those prices charged at local machine sites. Additionally, promotional pricing offered at Contractor’s local machine sites shall also be offered on base. (A copy of their local machine site locations and price lists shall be submitted to both the headquarters and local Contracting Officer’s Representative (COR) at a minimum of quarterly during contract period.)

d. Should the Contractor desire to make permanent additions, deletions, or portion and price adjustments to the items or services authorized under this contract, the Contractor must submit a written request, sufficient factual information and data to substantiate the proposed revision, including a clear and definite identification of existing cost factors, to the Contracting Officer for approval. Any price adjustment under this provision is subject to negotiation and mutual agreement of the parties and the accomplishment of a finalized written modification to the contract. (Contractor has no expressed or implied right to a price adjustment by reason of this clause.)

e. At MCCS’ sole discretion, Contractor’s Product and Price List can potentially be evaluated to determine continued price reasonableness and establish that profit margins maintain an acceptable level for profitability in line with the surrounding economy, consumer price index, (civilian and military) market surveys and any other relevant analysis MCCS deems useful.

f. Any additions, deletions or price changes done on a special promotion, daily special, or limited time offer will not require a formal modification to the contract as these offerings are considered temporary, and of a financial benefit to the patron. If any of these offerings are continued more than six (6) months, it will be considered a change to the authorized list of services offered and a written request must be submitted by the Contractor to add, delete or change the item(s) and the Contracting Officer must complete a formal contract modification. The Contractor shall discontinue the special promotion or daily specials upon written notification by the Contracting Officer.

B-2 FEE SCHEDULE. For the right to offer the services on USMC installations, the Contractor agrees to pay MCCS a commission fee.

Such commission fee will be a percentage of Contractor’s sales realized from the vending machines. Contractor shall pay MCCS a percentage of gross sales representing the fee charged the Contractor by MCCS for the operation aboard Marine Corps Installations. (Total adjusted gross sales are gross sales less any refunds, or other authorized adjustments). Contractor’s commission percentage is as follows:

a. CONTRACT COMMISSION FEE: Contractor agrees to pay MCCS a monthly commission fee of XXXXXX Percent (XX%) for the Garden City location. At the end of the third year, should MCCS choose to exercise the option years of the contract and add other MCCS Installations, commission fees will be reviewed and negotiated at that time.

B-3 COMMISSION PAYMENT. Contractor will make payment to MCCS monthly pursuant to the terms set forth in section F.

SECTION C – DESCRIPTION/SPECIFICATIONS/WORK STATEMENT

C-1 PERFORMANCE. Contractor shall, at his own expense, equip, furnish, man, supply, manage, operate and service a food vending operation in accordance with the terms of this contract and industry standards.

C-2 MACHINE AVAILABILITY. Contractor will provide a minimum of eight (8) initial vending machines for the performance of this contract; five (5) beverage and three (3) snack machines.

C-2.1 During the first thirty (30) days after the effective date of this contract, the Contracting Officer’s Representative (COR) will coordinate with the Contractor to identify the eligible sites and the order in which the vending machines will be installed.

C-2.2 Should the installation(s) realize an increase in population, an additional number of machines may be negotiated between the Contractor and the COR and made available to accommodate the increased customer demand by formal modification to the contract.

C-2.3 All changes in sites and inventory will be completed in a written memorandum, signed by both the Local Contracting Officer’s Representative (L-COR) and the Contractor and a copy provided to the Headquarters COR (HQ-COR) and Contracting Officer.

C-2.4 As new machines types become available, additional machines may be negotiated between the Contractor and Contracting Officer via the COR’s and made available to accommodate the increased customer demand by formal modification to the contract.

C-3 FACILITY/LOCATION. The sites for the vending machines shall be at various indoor and outdoor locations. If throughout the contract period, additions, deletions and relocations of the vending machines are necessary, Contractor shall accommodate the written request of the L-COR as it is approved by the HQ-COR. Finalized sites will be detailed in a written memorandum and signed by the local COR and Contractor with a copy provided to the Headquarters COR (HQ-COR) and Contracting Officer.

C-4 PATRONAGE: This service shall be open to all authorized patrons in accordance with Marine Corps Order (MCO) P 1700.27B, subsequent versions and local station orders to include, but not limited to, Active Duty, Retirees, DoD Employees, DoD Civilians, Local National Associates, Dependents, guests of authorized patrons and as authorized by the Installation Commander.

C-5 SPECIFICATIONS.

Contractor shall:

a. Provide the initial installation of the vending machines, placing the vending machines at the locations as authorized by the Contract and as mutually agreed upon between MCCS and the Contractor.

b. With the appropriate L-COR, conduct a physical inventory of all vending machines aboard any Installation at a minimum of one time per year. Provide a signed copy to the Headquarters COR (HQ-COR) and Contracting Officer. Include date and time of inventory and all machine identifiers such as machine locations and serial numbers.

c. Individually tailor the selection of product in each machine, which best meets the demands of the patrons frequenting the machine in the respective area(s). Contractor shall provide an assortment that should consist of name brand, highly recognized snacks, candies and beverages. Contractor shall provide to the COR a proposed assortment for each vending machine prior to installation.

d. Establish routes and schedules, which prevent product out-of-stock conditions and expired product. Such routes and schedules shall be in writing and provided to the local and HQ COR’s within ten days of a machine placement modification.

e. Provide all hardware and software support, machine cleanliness, servicing of, maintenance and repair of machines and in peak operating condition. Contractor shall also keep machines stocked and supplied.

Relocation and removal of vending machines shall be the responsibility of the Contractor. Cost of removal and relocation machines shall be at the expense of the Contractor.

f. Product Freshness: The Contractor, at his own expense shall monitor product date codes to ensure product freshness and to prevent expired product from reaching the patron. Expired product will be immediately removed from the machine and destroyed by the Contractor.

However, preference is that product is removed prior to expiration.

g. Equip each machine with, at a minimum, bill validators and a

Credit Card/Debit Card validator. As technology advances Contractor shall be able to accept other forms of payment as they become available (i.e. phone scan).

h. Maintain par levels for each machine for accurate sales accountability, reporting and security. The par levels established for each machine will be provided, in writing, to each local COR a minimum of quarterly. When a par level is changed intermittently, Contractor will promptly notify the appropriate local COR of such change.

i. Implement adequate security measures and install devises to safeguard vending machine products and monies at all times (this includes transportation in route/service vehicles and at machine location.

j. Ensure that all required safety features are attached and functioning properly.

k. Vending Safety: In accordance with MCO P1700.30, All cold drink vending machines (regardless of weight)and all multi-line vending machines having an empty weight in excess of 700 pounds shall be firmly anchored or secured floor or wall at the time of installation. An industry standard mounting bracket shall be used to prevent vending machine tipovers due to misuse or abuse. All vending machines shall have a safety label warning of the hazards of tipping or rocking. The safety decal shall be located on the front panel near the payment area, which warns the patrons of the dangers associated with the vending machine.

l. Prominently label on the front of each machine with a decal, which instructs patrons to notify Vendor at a 1-800 number to report deficiencies, problems, complaints, comments (trouble calls) in connection with the vending machine. Contractor shall handle all customer calls and related issues, providing not less than seventy (70) hours of live phone coverage across a 7 day week, excluding holidays. Contractor shall also provide a 24 hour/7 day week voice mail coverage.

m. Prominently label on the front of each machine, nomenclature

(i.e., machine number, asset number, etc.), which may be used, by MCCS patrons, and Contractor to identify and/or describe each machine when reporting trouble calls.

n. Make available to MCCS a means by which MCCS may report vending trouble calls to Contractor 24 hours a day.

o. Provide a monthly report on the status of all trouble calls, action taken, resolution for prevention of future incidents and the like.

p. Promptly replace machines, which are the subject of excessive trouble calls due to machine failure. For purposes of this contract, “excessive” is described as more than three (3) trouble calls in a one-month period.

q. Analyze the vending operations performance and meet with the HQ and Local COR (teleconference or video conference is acceptable) a minimum of quarterly and additionally as directed to discuss and recommend adding, relocating, or removing machines. Discuss locations, sales, trouble calls, patron comments (positive and negative), business analysis, etc. Any final recommendation(s) must be submitted in writing to the Contracting Officer for final approval. MCCS will not be liable for any income losses of Contractor attributed to failure to properly analyze and maintain profitable performance.

r. Provide cold drink vending machines that meet the Energy Star specifications for energy efficiency or are ensure that the provided machines are equipped with an energy conservation device such as USA Technologies VendingMizer.

s. Ensure that all vending machines are in compliance with FDA requirements and calorie counts no later than 1 December 2016.

t. Manage all aspects of vending machine marketing, to include:

advertising, public relations and point of purchase materials and signage. All marketing material must be approved by the COR.

SECTION D – FACILILTY, PROPERTY, AND MAINTENANCE REQUIREMENTS

D-1 ACTIVITY.

a. MCCS grants Contractor the right to operate a vending concession within the Marine Corps Exchange System aboard the Garden City facility.

MCCS reserves the right to add more machines to various other installations by way of modification to the contract. The assignment of space(s) for placement of vending machines is a revocable license.

Nothing in this agreement creates a tenancy, leasehold, or other interest on the part of the Contractor in any premises or real estate owned by or under the jurisdiction of the U.S. Government, the Department of Defense, the Department of the Navy, or any subdivision or instrumentality thereof.

b. Except as otherwise specifically stated throughout this contract, when contract ends, whether by termination, revocation, or upon expiration, title to buildings, improvements, property and materials shall automatically vest in the government; however, the Contractor shall remove any Contractor-owned equipment and materials. Where the Contracting Officer so directs, Contractor shall restore the premises to its original condition and shall be at no cost to the government.

c. MCCS makes no warranty or representation, express or implied, that products sold in the concession are free of competition on the military installation. MCCS will not be liable for any income losses of Contractor attributed to competition.

d. If premises furnished by or through MCCS are destroyed either in whole or in substantial part, so as to significantly hinder or prevent normal operations by Contractor, by acts of God (such as, but not limited to, fire, flood, hurricane, and unusually severe weather conditions or unusual occurrence, MCCS and the government will not be responsible to Contractor for lost income, sales, or lost profits, damage to Contractor property, employees’ salaries, or any consequential costs incurred. MCCS shall however make every reasonable effort to repair/restore the premises or relocate Contractor, if practical. Contractor should consider obtaining business insurance to cover risks to its property and concession service.

e. During the contract period, the Contracting Officer may require the Contractor to relocate vending operation at Contractor’s expense to better meet MCCS, Marine Corps Exchange needs or those of the installation, as determined by the Contracting Officer. Contractor will be given advance notice as available. MCCS will pay for moving and installing MCCS furnished equipment and installation of utility lines.

MCCS, MCX and the government will not be liable for Contractor’s lost income, profit and/or salaries associated with relocating.

D-2 FACILITIES AND MAINTENANCE.

a. Contractor Maintenance Responsibilities. The Contractor shall:

(1) Keep the premises clean, orderly, secure and sanitary during any performance of work.

(2) Be responsible, at its own cost, to repair any damages when disturbed by the Contractor.

(3) Comply with the Installation/Base fire, safety and security regulations and applicable health, sanitation and environmental protection regulations. Contractor’s property including equipment will be subject to inspection by the Installation/Base Safety Office and Installation/Base Fire Marshal for fire and safety hazards.

(4) Report failures or unsafe conditions to the local COR as it pertains to the facility in which the Contractor’s equipment is located, and as it may affect Contractor’s equipment.

b. Loss, destruction or damage to MCCS and government-owned or Contractor-owned property brought about by acts or omissions of Contractor, his employees or agents are the responsibility of the Contractor; therefore, Contractor shall assume all associated repair and replacement costs.

c. MCCS shall notify Contractor, to the extent possible, of any scheduled or unscheduled maintenance, repairs and improvements to be performed by MCCS or the Installation/Base, which may impact Contractor’s operation. MCCS and the government will not be responsible to Contractor for any interruption in Contractor’s operation, to include employee salaries or any other costs incurred.

c. Under no circumstances shall the Contractor, their employees, or agents dispose of florescent bulbs on the military installation.

d. MCCS may inspect the Contractor operation at any time.

e. Loss, damage or destruction to MCCS or government facilities brought about by acts or omissions of Contractor, their employees or agents are the responsibility of the Contractor who shall assume all costs associated with such.

D-3 PROPERTY AND MAINTENANCE. For the purpose of this contract, the term “property” unless otherwise stated, shall include equipment, vehicles, appliances, fixtures, furniture, machines, and other such items. All Contractor-furnished property is subject to approval of the

HQ and local COR’s. All electrical equipment will carry the Underwriter’s Laboratories (UL) Seal of Approval.

a. Contractor shall operate this concession utilizing its own property to fulfill the obligations of this contract.

b. Contractor will be responsible for all repair and replacement costs of Contractor-owned property resulting from theft, break-in and vandalism. When damage or theft of property is realized, Contractor should immediately notify the HQ COR and the Installation/Base’s Provost Marshall’s Office. Contractor may, when practical, file a claim for damages against the responsible party (ies). Submission of the claim should be made to the local COR. Payment of the claim by the responsible party (ies) is not guaranteed. Contractor should consider obtaining business insurance to cover associated risks.

c. Loss, destruction or damage to MCCS and government-owned or Contractor-owned property brought about by acts or omissions of Contractor, his employees or agents are the responsibility of the Contractor; therefore, Contractor shall assume all associated repair and replacement costs.

d. All repairs and/or replacement of MCCS and government-owned property shall be paid by the Contractor and deemed an operating expense of the Contractor and at the expiration of this contract shall remain the sole property of MCCS.

e. Vehicles

(1) Contractor’s vehicles shall meet and comply with applicable vehicle safety, licensing, insurance and health requirements as required by federal, state, local and Installation Regulations.

(2) Vehicles or conveyances used in the transportation of food items which may be called for in this contract will consist of clean, closed vehicles conforming to high standards of commercial transportation and equipped to protect against contamination of the items.

D-4 UTILITIES.

a. Prior to the scheduled delivery date of the vending machines, MCCS will provide at its sole cost and expense, electrical outlets suitable to operate each vending machine at the site. The MCCS Installation will be responsible for utility costs associated with the operation of the vending machines.

b. The Contractor shall be responsible for communication utility costs such as Internet/Wi-Fi or phone and any other like services required in the performance of this contract. Communication costs and services are not static and may fluctuate due to concession usage, increased/decreased demand and service, rate change, upkeep of equipment, or for any other cause.

c. Neither MCCS nor the government will assume any liability for losses caused by interruption of any utility service regardless of cause.

d. Contractor and Contractor’s employees will comply with Installation energy conservation programs to the extent possible under operating standards.

D-5 GOVERNMENT FURNISHED PROPERTY OR SUPPORT.

a. The Government has no obligation to provide any property or support for the vending service other than that specified in this contract. Any government equipment made available to the Contractor for optional use provided in local facilities will be identified in a local memorandum, inventoried and agreed upon between the local COR and the Contractor. No warranties are expressed or implied as to the suitability of either the Government facilities or any existing equipment.

b. Final accounting and return of Government property. Upon contract expiration or termination, or at such earlier dates as may be fixed by the local COR, the Contractor shall submit, in a form acceptable to the local COR, maintenance records covering all items of Government property. Inventory will occur a minimum of annually and signed by both the local COR and Contractor.

SECTION E – INSPECTION AND ACCEPTANCE

E-1 INSPECTION AND ACCEPTANCE.

a. The Contractor will be responsible for the professional quality, technical accuracy, and the coordination with the Contracting Officer or designee of all data and other services furnished by the Contractor under this contract. The Contractor will, without additional compensation, correct or revise any errors or deficiencies.

b. The Contracting Officer or designee may conduct inspections and accompany Contractor personnel as may be considered necessary to insure compliance by the Contractor with all provisions of this contract.

c. On-site audits and product verifications may be performed by authorized MCCS personnel at any time without prior notice. Such verifications will be conducted in the immediate presence of Contractor’s management or representative.

d. Contractor areas are subject to routine and special inspections without notice and shall meet all Preventative Medicine, Fire, Safety, Environmental and Zone inspection requirements. Should such inspections reveal discrepancies, Contractor shall, within five business days, unless instructed sooner, furnish the Contracting Officer with a written response detailing the actions taken, actions to be taken, and/or recommendations to remedy the discrepancies.

e. Neither MCCS’ review, approval or acceptance of any of the services required under this contract will be construed to operate as a waiver of any rights under this contract, and the Contractor will be and remain liable to MCCS according to applicable laws for all damages to MCCS caused by the Contractor’s negligent performance or non-performance of any of the services furnished under this contract.

E-2 SURVEILLANCE

a. MCCS may perform surveillance to verify Contractor and Contractor’s employees’ compliance with the contract terms and to detect theft funds or property. Such surveillance may include the use of electronic equipment. Contractor will inform employees that such surveillance may be conducted and that individuals implicated in criminal activity may be prosecuted in Federal courts.

b. Contractor is liable and will pay MCCS for losses under this contract detected by surveillance. In the event of losses detected by surveillance, the Contractor will be liable for liquidated damages and related administrative costs under this contract computed as may be determined by Contracting Officer.

E-3 FOOD PROCESSING AND SANITATION.

a. All food and beverage (to include ice) sold under this contract must be processed, packaged and purchased from approved regulatory sources in accordance with the United States Army Public Health Command.

See website:

http://phc.amedd.army.mil/topics/foodwater/ca/Pages/DoDApprovedFoodSource s.aspx

b. All food service equipment and utensils used in the concession facility must meet applicable standards of the National Sanitation Foundation (NSF) and Underwriters Laboratories Inc. (UL) or other laboratory or national consensus standards acceptable to the Surgeon General. Equipment and utensils for which no applicable standards exist will meet the requirements of NSF Basic Criteria.

c. The Contractor will allow installation medical representatives to draw random samples of manufactured items for the purpose of determining wholesomeness and quality.

d. Thermometers required for immersion into food or cooking media will be of metal stern-type construction, numerically scaled, and accurate to +/-3 degrees F.

e. Sanitation and Hygiene.

(1) Sanitation and hygienic practices for vending machine preparation workers will, at all times, meet the requirements established in NAVMED P-5010, a copy of which will be signed by all activity personnel attesting that they have read and understand its contents. The signed regulation will be maintained for information and guidance of employees. The binder will be inspected as required during MCCS personnel site visits. A copy of this regulation is available at http://www.med.navy.mil/directives/Pub/5010-1.pdf.

(2) All food workers must possess and keep current an approved food preparers safety card. Contractor will coordinate with each Local COR for the local Installation’s policy and point of contact.

Contractor will provide copies of all handlers’ cards to the local COR at initial contract award and prior to any card’s expiration, new employees and the like.

(3) Contractor or his designee will make daily visual inspection of all employees for obvious signs of illness, skin disease, infected cuts or boils prior to starting work. It is each employee’s responsibility to inform his or her supervisors include, but are not limited to: boils, sores and other skin infections; fever, unusual nasal discharge; sore throat; cough, unexplained weight loss, night sweats, jaundice, oral infections; diarrhea; or lesions. Also to be reported is the occurrence among members of the employee’s household of diphtheria, typhoid, dysentery, tuberculosis, infection hepaticas, streptococcal disease or other such medical conditions.

http://phc.amedd.army.mil/topics/foodwater/ca/Pages/DoDApprovedFoodSources.aspx http://phc.amedd.army.mil/topics/foodwater/ca/Pages/DoDApprovedFoodSources.aspx http://www.med.navy.mil/directives/Pub/5010-1.pdf

(4) Contractor will require food handlers to undergo a health examination when inspection reveals a potentially adverse medical condition or upon being informed by the employee of the existence or the suspected existence of a potential health problem. The employee will be immediately relieved of any food-handling duties and will remain in such status until certified by the responsible medical authority to resume food-handling duties.

SECTION F - DELIVERABLES AND PERFORMANCE

F-1 MINIMUM QUALITY. Services and products provided under this contract will be equal to those provided by first quality vending operations.

Contractor shall ensure the finished products are in accordance with the formulas, recipes, and specifications, which are customary and standard for the type of vending operation conducted.

F-2 PLACE OF PERFORMANCE AND DELIVERY ADDRESS. Services will be performed at the locations indicated at locations herein attached to the contract as Attachment J-1.

Reports shall be submitted to:

michael.r.mcgriff@usmc-mccs.org snyders@usmc-mccs.org nuzumk@usmc-mccs.org mccshqtreasury@usmc-mccs.org hqap@usmc-mccs.org

F-3 CONTRACTOR AND CONTRACTOR PERSONNEL.

a. Contractor, at his own expense, will provide a sufficient number of trained and qualified employees for the efficient performance of this contract. Contractor will provide continued training as trends and procedural changes in Contractor’s operation occur. Should Contractor’s performance, all or partially, be deemed unsatisfactory as a result of inadequate or unqualified employees, MCCS reserves the right to require the contractor to promptly increase the employee count, increase knowledge and expertise or both to ensure the satisfactory performance of this contract without additional cost to the Government or the patrons.

b. All Contractor employees used in the performance of this contract who have customer contact must be able to read, write and speak English at a fluency level sufficient for efficient performance of the contract.

c. Contractor personnel will give prompt and courteous service to all customers, MCCS and Installation/Base personnel.

d. If requested by MCCS, the Contractor will, at his own expense and on the dates and times determined by MCCS, make its employees available for any applicable training which may be required by MCCS or Installation regulations (not to exceed eight hours per employee per calendar year).

e. Contractor personnel will abide by applicable regulations, and directives, and conduct themselves, so as not to reflect discredit on MCCS, the Marine Corps, the Department of the Navy or The United States.

mailto:michael.r.mcgriff@usmc-mccs.org mailto:snyders@usmc-mccs.org mailto:nuzumk@usmc-mccs.org mailto:mccshqtreasury@usmc-mccs.org mailto:hqap@usmc-mccs.org

f. Contractor will discontinue the use of any employee for performance of this contract upon written notice from the HQ COR that the individual is not (or no longer) acceptable for performance under this contract. Contractor will not use any such employee in performance of other MCCS contracts without the prior written consent of the Contracting Officer.

g. Contractor will not employ any individual under this contract who has previously been determined unacceptable for performance under any other MCCS contract or has been separated for cause by MCCS.

h. The Contractor shall provide extensive supervision of his employees to insure complete and satisfactory performance of work in accordance with the terms of the contract.

i. Contractor employees will wear clean uniforms (if uniforms are the required dress), maintain a high degree of personal cleanliness while on duty aboard the Installation/Bases and conform to reasonable sanitary hygienic practices. When uniforms are not required, Contractor personnel will be authorized to wear attire typical of that worn by personnel employed in the same trade; minimum standard of business casual attire for management and engineering staff or anyone who has public interaction; no casual attire will permitted at any time. For the trade workers a minimum of clean, denim pants and solid t-shirts that meet the requirements below is allowed. Contractor shall provide nametags that identify the person and the company in which they are employed and all employees will wear them at all times during contract performance.

(1) Facial hair (including beards, mustaches, sideburns) shall be controlled (restrained) or trimmed so as to not interfere or inhibit safe work practices and hair (head or facial will not look unkempt or unclean.

(2) Contractor personnel will not wear clothing made of

“see through” material, “cutoffs”, tank tops or clothing that displays, any graphics, logos (other than that of Contractor), slogans or offensive pictures.

(3) In all cases, clothing shall be neat, i.e. free from visible dirt and stains or odor; it shall fit appropriately to provide a provide a professional appearance; it should have no holes or tears so that all clothing is in keeping with accepted standards of dress for the work performed.

(4) Appropriate closed toed shoes or boots will be worn.

When necessary steel toecap or equivalent protection is recommended based on the work to be performed.

j. Contractor and his employees must meet the health, and security standards prescribed by the contract, and applicable regulations.

F-4 INSTALLATION/BASE ACCESS.

a. Each Installation/Base has specific security requirements and restrictions. The contractor and contractor employees shall comply with these requirements. Failure to comply with security requirements does not relieve the contractor of performance requirements. Security requirements are subject to change. It is the contractor’s responsibility to contact the Local COR prior to attempting access to ensure compliance with current security regulations.

b. At a minimum, contractor access usually requires presenting to the Installation/Base Pass & ID office, a valid state driver’s license or valid state identification card, and a social security card or state identification card with the social security number on the card.

Vehicle access requires presenting to the Installation/Base Pass & ID a valid state driver’s license, current vehicle insurance card and valid vehicle registration.

c. The Contractor is responsible for providing information required for obtaining clearances, permits, passes, or security badges required for Contractor personnel or equipment access. This includes information required for police or background checks or investigations and all other requirements of the issuing activity. All employees to include but not limited to, local and corporate representatives must be able to successfully pass a background check as prescribed by Installation/Base regulation. Should any costs be involved in the process, the Contractor shall be responsible for these costs.

d. The Contractor is responsible for ensuring such clearances, permits, passes, or security badges are promptly returned to the issuing activity upon termination of an employee, completion of a project, or termination of a contract or subcontract.

F-5 CONTRACTOR AND EMPLOYEE COMPLIANCE WITH INSTALLATION/BASE RULES

AND REGULATIONS. The Contractor is responsible for ensuring that each of its employees fully complies with the following provisions, and shall flow down to any subcontracts a clause to satisfy this contractual obligation.

a. The Commanding Officer of the Installation/Base, or his designated representative, has broad authority to remove or exclude any person in fulfilling his responsibility to protect personnel and property, to maintain good order and discipline, and to ensure the successful and uninterrupted performance of the Marine Corps mission.

In the exercise of this authority, the Commanding Officer or his designated representative, may refuse to grant personal entry passes or may bar Contractor employees, including employees who have been granted a personal entry pass. Refusal to grant an employee a personal entry pass or barment of an employee does not relieve the Contractor of the responsibility to continue performance under this contract.

b. The Contractor’s employees shall observe and comply with all Installation/Base rules and regulations applicable to contract personnel, including those applicable to the safe operation of vehicles, and shall not be present in locations not required for the proper performance of this contract. The only exception to posted speed limits is passing troops in formation where the speed shall be reduced to 10 miles per hour. Troops in formation have the right-of way over all vehicular traffic.

c. Contractor personnel and equipment entering a military

Installation/Base are subject to security checks. Contractor personnel shall follow any direction given by Military Police or other security or safety personnel.

F-6 CONTRACTOR’S MANAGEMENT RESPONSIBILITIES.

a. The Contractor is responsible to MCCS for establishing effective management controls to achieve the standards of operation established in MCCS directives, or manuals, and elsewhere in this contract for exercising sound management practices. Failure of the Contractor to establish and maintain such effective controls shall constitute grounds for termination of this contract for default.

b. At no time shall this operation be without responsible management. Such person(s) will be completely knowledgeable of the terms and conditions of this contract, and will be delegated full authority by the Contractor to conduct the business as required under the contract. Authority will include, but will not be limited to, purchase of operating supplies, maintenance and repair of equipment, training of employees, maintaining prescribed hours of operation, supervision of Contractor employees, and settlement of customer complaints or claims. The Contractor will provide the COR, in writing, the name (s) and phone number (s) of those person (s) appointed as area manager(s) or representative.

c. Contractor shall provide the HQ COR and the appropriate local

COR, and keep current, a list of key personnel employed by the Contractor in the performance of this contract. A revised list will be promptly submitted to the CORs when personnel changes take effect.

d. Contractor will ensure employees obtain installation/Base passes, decals, permits, identification cards and security clearances through appropriate authority as applicable. Failure to obtain passes, licenses, decals, that prohibit or delay Contractor performance will result in fees being assessed for administrative costs as well estimated lost revenue. It is also the responsibility of the Contractor, which upon termination, resignation or transfer of any employee from the Contractor’s base establishment, any Installation/Base pass, decal, permit or identification card issued to an employee and turned in to appropriate authority within twenty-four

(24) hours of the employee’s termination, resignation or transfer. In the event these items cannot be retrieved, the Contractor will provide the local COR with written notification stating the reason and circumstances for not retrieving these items from the individual.

F-7 ADVERTISING AND PROMOTIONS. As advertising and promotions are an integral part of most company’s success, the Contractor will be allowed to include MR and MCCS in their advertising and promotional program. All promotional and advertising costs shall be borne by the Contractor. All advertisements will be submitted to the HQ and Local COR’s for coordinated approvals and includes the following disclaimer “This advertisement does not constitute an endorsement of any product or service by the Department of Defense or the United States Marine Corps.”

F-8 INTERNAL CONTROLS. Contractor is responsible to MCCS for establishing internal control procedures consistent with the provisions of this contract, and with MCCS directives for complete, and accurate accounting of all transactions. All transactions will be maintained in accordance with the company’s standard accounting procedures except as otherwise provided herein. The accounting system must provide for the accurate accounting and reporting of daily and monthly net sales, to include gross sales less refunded sales, to MCCS. The Contractor may be required to use serialized listing sheets or forms provided by MCCS for performing all or in part the accounting service hereunder. In the event of any inconsistency between the terms and provisions appearing on the forms and terms, conditions or provisions of this contract, the provisions of this contract shall apply.

a. Sales Transactions and Bookkeeping

(1) The Contractor will account for all product placed and removed from each machine.

(2) The Contractor will collect all monies and account for all units sold generated from vending operations resulting from this contract.

b. Monthly Reporting and Fee Payments By Contractor. To effect the timely processing of Contractor’s account, the Contractor will submit a monthly sales report and all fees/monies due MCCS in accordance with the provisions below.

(1) Monthly Sales Report. A sales reporting period is defined as a National Retail Federation (NRF) 4-5-4 calendar month. Contractor will be required to submit a Monthly Sales Report, which disclosed all sales, generated during the sales reporting period. Monthly sales reports are due into the MCCS Accounting Department on the 10th day of the 4-5-4 month following the sales reporting period. If the 10th day of the 4-5-4 month following the reporting period falls on a weekend or federal holiday, the monthly sales report is due no later than the following business day. Monthly reports are to be mailed to the list provided at Section F-2 of the contract. Monthly reports shall be broken down by installation. The sales report shall disclose, at a minimum:

(a) Total sales for the month, (at a minimum, by machine)

(b) Total items sold by machine

(c) Total fees due MCCS for the month,

(d) Refunds

(e) Miscellaneous monies due either party

(3) Payment to MCCS. All fees/monies owed MCCS for the sales reporting period shall be due and payable to MCCS Accounting Department no later than the 15th day of the 4-5-4 month following the sales reporting period. If the 15th day of the 4-5-4 month following the reporting period falls on a weekend or federal holiday, payment is due and payable on the following business day.

(4) Late Penalty Fee. If MCCS Accounting Department is not in receipt of all fees/monies due by MCCS by close of business (4:30 p.m.)

on the due date set forth in the preceding paragraph, a twenty-five percent (25%) late penalty fee will be assessed on the outstanding balance of Contractor’s account.

(5) Delinquent Accounts. When Contractor has been delinquent in making monthly payment to MCCS for all fees/monies due for a total of three (3) occurrences at anytime throughout the contract term, MCCS shall, for the remainder of the contract period, require Contractor to make total cash collection deposits to MCCS and MCCS shall make payment of Contractor’s share to Contractor not later than the 5th day of the 4-5- 4 month following the sales reporting period. If the 5th day of the month following the reporting period falls on a weekend or federal holiday, payment is due and payable on the following business day.

(6) Contractor’s Checks. Contractor may make fee payments any other monies owed MCCS by…