PRS_JSOMTC_Medical_Instruction_FY13.pdf

PERFORMANCE REQUIREMENTS SUMMARY

1. PERFORMANCE REQUIREMENTS SUMMARY (PRS). The PRS charts at the end of this exhibit:

1.1. List those PWS requirements (column 1) which are paid for on the basis of a payment computation system specified in paragraph 4 of this technical exhibit. The absence from this Performance Requirements Summary

(PRS) of any contract requirement, however, shall not detract from its enforceability or limit the rights or remedies of the Government under any other provision of the contract, including the clauses entitled "Inspection of Services" and "Default."

1.2. Define the standard of performance for each listed service (column 2).

1.3. Set forth the maximum allowable deviation from perfect performance for each listed service. Performance

Requirement (column 3), that may occur before the Government will invoke the payment computation formula resulting in a payment of less than 100% of the maximum payment for the listed service.

1.4. Define the lot used as the basis for surveillance or for payment computation purposes (last column ).

1.5. Set forth the primary surveillance methods the Government will use to evaluate the contractor's performance in meeting the contract requirements (column 6).

1.6. Set forth the percentage of the contract price that each listed contract requirement represents (column 7).

2. GOVERNMENT QUALITY ASSURANCE. Contractor performance will be compared to the contract standards and performance requirements using the Quality Assurance Surveillance Plan (QASP).

2.1. The Government may use a variety of surveillance methods to evaluate the contractor's performance. Only one method will be used at a time to evaluate the contractor's performance. Only one method will be used at a time to evaluate a listed service during an inspection period for payment computation purposes. This does not diminish the authority of the Government under the Inspection of Services Clause. The methods of surveillance that may be used are:

2.1.1. Random sampling of recurring service outputs using selective sampling.

2.1.2. Periodic surveillance of output items (daily, weekly, monthly, quarterly, semiannually, or annually) as determined necessary to assure a sufficient evaluation of contractor performance.

2.1.3. Customer complaints.

2.1.4. 100% Inspection.

3. CRITERIA FOR EVALUATING PERFORMANCE. Performance of a listed service will be accepted and paid for at the maximum payment percentage specified in the final column of the PRS when the number of defectives found by the COR during contract surveillance does not exceed the number of defectives allowed by the

Performance Requirement in column three. When the Performance Requirement is exceeded, the contractor shall complete Block 9 and 10 of a Contract Discrepancy Report (CDR). The contractor shall explain in writing why performance was unacceptable, how performance will be returned to acceptable levels, and how recurrence of the problem will be prevented in the future. The Contracting Officer will evaluate the contractor's explanation and determine if full payment, partial payment, or the contract termination process is applicable. The contractor's payment for services rendered will be calculated as stated in paragraph four. The Government specifically reserves the right to make a temporary partial payment for services performed, calculated as stated in paragraph 4, prior to receipt and evaluation of the contractor's response to a CDR.

3.1. DETERMINING THE NUMBER OF DEFECTIVES THAT WILL CAUSE LESS THAN

MAXIMUM PAYMENT.

3.1.1. When the method of surveillance of a service is random sampling, the performance requirement indicates the number of defectives that when exceeded will result in the contractor receiving less than maximum payment.

3.1.2. When the method of surveillance is not random sampling, the number of defectives that will cause less than a maximum payment will be determined as follows:

3.1.2.1. If the Performance Requirement is a constant number of defectives (for example, 2 defectives), the

Performance Requirement plus one or more additional defectives will cause less than maximum payment (for example, 3 defectives).

3.1.2.2. If the Performance Requirement is a percentage value, it is multiplied by the lot size to determine the number of defectives that will allow maximum payment. If the resulting value has a decimal it will be rounded to the next higher whole number if the decimal is .5 or greater and to the lower whole number if the decimal is less than .5. One or more additional defectives will cause less than the maximum payment.

3.2. ACCEPTANCE OF REPERFORMANCE OR LATE PERFORMANCE.

3.2.1 Except as otherwise provided by this Section 3.2., the services required by this contract are of such a nature that defective or incomplete performance disclosed by Government inspection is not subject to correction by reperformance or late performance, and the contractor shall not be required or entitled to reperform, perform late, or otherwise correct defective services for the purpose of improving an existing inspection rating or avoiding a reduction in the full contract price.

3.2.2. At the sole election of the Government and upon notification to the contractor, the contractor may be required to reperform or perform late any or all defective work disclosed by Government inspection including defective and incomplete performance. Where the Government so elects, the contractor shall be notified promptly after inspection that specified defective services will be reperformed or performed late, and completed within a reasonable time specified by the Government. In such cases, the Government shall re-inspect work designated for reperformance or late performance, and the contractor may be held liable for any damages sustained by the Government including, for example, the costs associated with re-inspection.

3.2.2.1. Where the Government requires reperformance or late performance solely of sample defective service disclosed by random sampling inspection, the contractor's original inspection results shall not be modified upon reinspection since the sample reflects only a portion of the service lot. Instead, if the Performance Requirement is exceeded for that performance period, any payment computation shall include a credit for reperformance or late performance of sample defective service during that period according to the payment computation method described in paragraph 4.2.1.1.

3.2.2.2. Where the Government requires reperformance or late performance of all defective service in a lot, the contractor shall resubmit the entire service lot for reinspection. If reinspection is conducted by random sample, a new random sample will be employed. Upon reinspection, the original inspection results shall be revised to reflect the resubmitted service lot.

4. CONTRACTOR PAYMENT.

4.1. For performance of a service that does not exceed the Performance

Requirement, the contractor shall be paid the percentage of the monthly contract line item price indicated in the final column of the attached PRS.

4.2. If performance of a service exceeds the PRS, the Government will not pay the full percentage in the final column for that service.

4.2.1. The payment for listed services, which exceed the Performance

Requirement will be calculated as follows:

4.2.1.1. For services surveilled by sampling, the maximum contract payment per month is multiplied by the maximum payment percentage for the service to determine the maximum payment for acceptable service. This payment is multiplied by the percentage of the sample found acceptable to determine the percentage of the contract price that the contractor will be paid for the listed service. The total number of defectives found, not just those in excess of the reject level, are used to determine the percentage of the sample found unacceptable. The percentage of the sample found unacceptable subtracted from 100 percent determines the percentage of the lot found acceptable.

Sample defectives that are corrected will effect a credit as specified in paragraph 5.1.1.

4.2.1.2. For services surveilled by periodic inspection, customer complaint, or management information system report, the maximum payment percentage for the service in the final column of the PRS is multiplied by the percentage of the lot found acceptable. The resulting percentage is the percentage of the monthly contract price that the contractor will be paid for the listed service. The total number of defectives found, not just the defectives in excess of the reject level, are used to determine the percentage of the lot found unacceptable. The percentage of the lot found unacceptable subtracted from 100 percent determines the percentage of the lot found acceptable.

4.2.1.3. For those services that are performed less frequently than monthly, surveillance and computation of the contractor's payment will be made during or immediately following the month when that service is performed. The payment computation will be determined for the entire period since the last surveillance and will be based upon the total maximum payment available for the entire period since the last surveillance. Should computation of the contractor's payment result in an amount less than has already been paid for the preceding month(s) of the period since the last surveillance, the Government will deduct the overpayment from the current month's invoice.

5. EXAMPLES OF PAYMENT COMPUTATIONS.

5.1. For services surveilled by random sampling:

5.1.1. Assume a Performance Requirement of 3, a corresponding sample size of 25, a lot size of 500 units and that

10 defectives were found by the COR. The payment computation would be as follows:

1. Maximum contract line item payment per month $10,000

2. Maximum payment percentage of the service (col. 5, PRS) _____5%

3. Maximum payment for acceptable services $ 500

4. 10 defectives exceeds PRS of 3 defectives.

5. Percentage of sample found unacceptable = 40%

(10/25, or defectives divided by sample size X 100)

6. Percentage of sample found acceptable 60%

(100% - line 5)

7. Credit for one defective corrected in sample = 2%

(Samples corrected divided by lot size X 100)

8. Acceptable percentage 60.2%

(Line 6 + Line 7)

9. Payment for percentage of acceptable services $ 301

(Line 3 times Line 8)

5.2. For services not surveilled by sampling:

5.2.1. Assume a performance requirement of 5%, a lot size of 50 units, and that five defectives were found by the

COR. The payment would be computed as follows:

1. Maximum contract line item payment per month $10,000

2. Maximum payment percentage for the service (col. 5, PRS) _____4%

3. Maximum payment for acceptable services $ 400

4. 5 defectives exceeds reject level of 3 defectives.

(5% of lot size of 50 = 2.5 defectives rounded up to 3)

5. Percentage of lot found unacceptable = 10%

(5 defectives divided by lot size of 50 X 100)

6. Percentage of lot found acceptable = 90%

(100% - line 5)

7. Payment for percentage of acceptable service $ 360

(Line 3 times Line 6)

5.3. For those areas surveilled less often than monthly. (NOTE: Use if applicable to this PWS.)

5.3.1. If the monthly contract cost if $10,000 and the surveillance is semiannual, then the contractor's payment is computed as follows. Assume a Performance Requirement of 5%, and a defective percentage of 10% is discovered during scheduled surveillance. Also assume the percent of the total contract line item price for the service is 4%.

1. Monthly contract line item payment $10,000

2. Number of months represented by the period since the last surveillance X 6

3. Total Maximum payment for the period $60,000

4. Percent of monthly contract line item price (4%) X .04

5. Total Maximum payment for the service $ 2,400

6. Percentage good (100% - 10%) X .90

7. Contractor's payment for the period $ 2,160

8. Amount previously paid during the period - $ 2,000

(5 months X $400)

9. Payment to the contractor this month $ 160

5.3.2. When the Contractor has already been paid in previous months more than the computed payment for the period, use the following computation. If the monthly contract cost is $10,000 and the surveillance is semiannual, then the contractor's payment is computed as follows. Assume a Performance Requirement of 10%, and a defective percentage of 25% is discovered during scheduled surveillance. Also assume the percent of the total contract line item price for the service is 4%.

1. Monthly contract line item payment $10,000

2. Number of months represented by the period since the last surveillance X 6

3. Total Maximum payment for the period $60,000

4. Percent of monthly contract line item price (4%) X .04

5. Total Maximum payment for the service $ 2,400

6. Percentage good (100% - 25%) X .75

7. Contractor's payment for the period $ 1,800

8. Amount previously paid during the period - $ 2,000

(5 months X $400)

9. Payment to the contractor this month $ 0

10. Reduction from current invoice due to overpayment (to be set off against amounts due for other services) $( 200)

NOTE: APPLY CREDIT IF APPROPRIATE AS SPECIFIED IN PARAGRAPH 3.2.2. AND

ILLUSTRATED IN PARAGRAPH 5.1.1.

JSOMTC PERFORMANCE REQUIREMENTS SUMMARY

Required

Service

Section C

Paragraph

Number Standard

Correction

Level

Required

Maximum

Allowable

Degree of

Deviation

From

Requirement

(AQL)

Method of

Surveillance

Proportion of Required

Service

Contract

Price

Adhere to government produced training schedule

C3.2.2. Classes in the correct sequence according to the POI, and on the proper day.

Schedule change with approval of

Course director

None Weekly training meeting

1%

Assemble and maintain all materials (to include POI products) pertaining to block of instruction

C.3.2.2. Materials available during block of instruction.

Materials available within one hour of request

Materials unavailable once per quarter for each instructor

Spot inspection

5%

Ensure that all live tissue training is within IACUC expectations

C.1.3.3.3 According to the published

IACUC

guidance.

According to the published

IACUC

guidance

None Quarterly and

Annual inspections

1%