EAGLE II RFP-Amendment 000005Trackchgs.pdf

U.S. Department of Homeland Security

EAGLE II

Information Technology Support Services

Request for Proposal

RFP Number: HSHQDC-11-R-10001

Department of Homeland Security Office of Procurement Operations

Information Technology Acquisition Center Washington D.C.

(This page is intentionally left blank.)

EAGLE II Request for Proposal Table of Contents RFP No. HSHQDC-11-R-10001: Amendment 000005

Department of Homeland Security i November 2010

Table of Contents

SECTION A – STANDARD FORM 33

SECTION B - SUPPLIES OR SERVICES AND PRICES/COSTS

B.1 General B.2 Base and Option Periods B.3 Indefinite-Delivery/Indefinite-Quantity (IDIQ) B.4 Contract Pricing

B.4.1 Time-and-Materials, Labor-Hour/Firm-Fixed-Price Pricing B.4.2 Work Outside the Contiguous United States (OCONUS) B.4.3 Cost Reimbursement Pricing B.4.4 Total Cost of Ownership Pricing B.4.5 Labor Subject to the Service Contract Act (SCA)

SECTION C – STATEMENT OF WORK

C.1 General C.1.1 Objective C.1.2 Scope C.1.3 Contract and Task Order Management

C.2 Functional Categories (FC) C.2.1 Functional Category 1 – Service Delivery C.2.2 Functional Category 2 – Information Technology Program Support Services C.2.3 Functional Category 3 – Independent Test, Validation, Verification, and Evaluation (IV&V)

SECTION D - PACKAGING AND MARKING

D.1 Packing, Packaging, Marking and Storage of Equipment D.2 Markings D.3 Equipment Removal

SECTION E - INSPECTION AND ACCEPTANCE

E.1 Clauses Incorporated by Reference E.2 Inspection and Acceptance E.3 Scope of Inspection E.4 Basis of Acceptance E.5 Review of Deliverables E.6 Written Acceptance/Rejection by the Government

SECTION F - DELIVERIES OR PERFORMANCE

F.1 Clauses Incorporated by Reference F.2 Term of the Contract F.3 Task Orders Performance Period and Pricing F.4 Option to Extend the Term of the Contract F.5 Delivery F.6 Place of Performance F.7 Notice to the Government of Delays F.8 Deliverables

F.8.1 Contract Status Report (Monthly Task Order Activity Report) F.8.2 Task Order Status Reports

Department of Homeland Security ii November 2010

F.8.3 Subcontracting Plan Reports F.8.3.1 Individual Subcontracting Report (ISR) F.8.3.2 Summary Subcontract Report (SSR) F.8.4 Annual Small Business 50% Report F.8.5 Re-representation of Small Business Size Status Report

SECTION G - CONTRACT ADMINISTRATION DATA

G.1 Accounting and Appropriation Data G.2 Primary Government Roles and Responsibilities

G.2.1 Government Personnel G.2.2 Contractor Personnel

G.3 Ordering–By Designated Ordering Official G.3.1 Direct Ordering

G.4 Task Order (TO) Placement Procedures G.4.1 Fair Opportunity Process G.4.2 Fair Opportunity Exceptions G.4.3 Task Order Solicitation – Use of Small Business and Unrestricted Tracks G.4.4 Task Order Solicitation – Use of Small Business Track G.4.5 Task Order Solicitation Process

G.5 Special Contract Administration Responsibilities G.6 Unauthorized Work G.7 Unilateral Orders G.8 Modification of Orders G.9 Preparation of Vouchers G.10 Quick-Closeout Procedure G.11 Task/Delivery Order Contract Ombudsman

SECTION H – SPECIAL CONTRACTING REQUIREMENTS

H.1 Authorized Users H.2 Minimum Dollar Guarantee and Maximum Contract Limitation H.3 Hardware and Software Acquisition H.4 Purchasing System H.5 Contractor Justification for Other Direct Costs (ODCs)

H.5.1 Materials H.6 Selected Items of Costs

H.6.1 Travel Costs (Including Foreign Travel) H.6.2 Training H.6.3 General Purpose Office Equipment (GPOE) and IT

H.7 Leasing H.8 Government Property, Information, Workspace

H.8.1 Contractor Acquired Property H.8.2 Disposition of Government Property

H.9 Performance-Based Services Contracting (PBSC) H.10 Conversion to a Performance Based Task Order H.11 Past Performance Evaluation H.12 Disclosure of “Official Use Only” Information Safeguards H.13 Disclosure of Information--Official Use Only H.14 Standard of Conduct at Government Installations H.15 Advertisements, Publicizing Awards and News Releases H.16 Contractor Web Page H.17 Contractor Employees’ Identification H.18 Teaming Arrangements

Department of Homeland Security iii November 2010

H.19 Subcontracting H.20 Incorporation of Subcontracting Plan H.21 Notification Requirements Under T&M and Cost Reimbursement Contracts H.22 Key Personnel H.23 Substitution of Key Personnel H.24 Substitution of Core Team Members H.25 Interrelationships of Contractors H.26 Observance of Legal Holidays and Excused Absence H.27 Insurance H.28 Information Technology Accessibility for Persons with Disabilities H.29 Notice of Internet Posting of Awards H.30 On-Line Proposal and Ordering Capability H.31 Post Award Conference H.32 Meetings/Conferences H.33 Earned Value Management H.34 Architectural Compliance H.35 Security Review H.36 Interconnection Security Agreements H.37 Access to Unclassified Facilities, Information Technology Resources, and Sensitive Information H.38 On Ramp H.39 Open Season Procedures H.40 Acquisitions and Mergers

SECTION I - CONTRACT CLAUSES

I.1 Clauses Incorporated By Reference I.2 Security Requirements for Unclassified Information Technology Resources I.3 Contractor Employee Access I.4 Organizational Conflict of Interest I.5 Limitation of Future Contracting I.6 Notification of Ownership Changes I.7 Determination of Award Fee I.8 Performance Evaluation Plan I.9 Distribution of Award Fee I.10 Post-Award Small Business Program Re-representation I.11 Small Business Subcontracting Plan Reporting I.12 DHS Mentor-Protégé Program I.13 Performance-Based Payments I.14 Time-and-Materials/Labor-Hour Proposal Requirements—Non-Commercial Item Acquisition with Adequate Price Competition I.15 Time-and-Materials/Labor-Hour Proposal Requirements—Non-Commercial Item Acquisition without Adequate Price Competition

SECTION J – LIST OF ATTACHMENTS

SECTION K - REPRESENTATIONS AND CERTIFICATIONS

K.1 Annual Representations and Certifications K.2 Trade Agreements Certificate K.3 Proposal Disclosure - Cost Accounting Practice Changes

SECTION L – INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS

Department of Homeland Security iv November 2010

L.1 Solicitation Provisions Incorporated by Reference L.1.1 FAR Provisions and Clauses Incorporated by Reference

L.2 Requirements for Certified Cost or Pricing Data and Data Other Than Certified Cost or Pricing Data 88 L.3 Type of Contract L.4 Service of Protest L.5 Proposal Schedule

L.5.1 Communications and Questions L.5.2 Delivery of Proposal

L.6 Solicitation Copies and Enclosures L.7 Proposal Preparation Costs L.8 Small Business Classification Code L.9 General Instructions

L.9.1 Proposal Integrity L.9.2 General Format Instructions

L.10 Format and Instructions for Proposal Submission L.10.1 Volume I – Technical/Management Proposal L.10.2 Volume II – Contract, Small Business Participation, Cost/Price Proposal

L.11 Content of Resulting Contract L.12 Oral Presentations L.13 Alternate Proposals

SECTION M – EVALUATION FACTORS FOR AWARD

M.1 General M.2 Basis for Award M.3 Evaluation Factors

M.3.1 Factor 1: Corporate Experience M.3.2 Factor 2: Past Performance M.3.3 Factor 3: Program Management M.3.4 Factor 4: Staffing M.3.5 Factor 5: Small Business Participation Approach (For Unrestricted Track Only) M.3.6 Price M.3.6.1 Price Evaluation of Options

M.4 Contractor Support

EAGLE II Request for Proposal Part I – The Schedule RFP No. HSHQDC-11-R-10001: Amendment 000005 Section A – Standard Form 33

Department of Homeland Security 1 November 2010

SECTION A – STANDARD FORM 33

SOLICITATION, OFFER AND AWARD 1. THIS CONTRACT IS A RATED ORDER UNDER DPAS

(15 CFR 700)

RATING

PAGE OF PAGES

1 | 109

2. CONTRACT NUMBER

3. SOLICITATION NUMBER

HSHQDC-11-R-10001

4. TYPE OF SOLICITATION

SEALED BID (IFB)

NEGOTIATED (RFP)

5. DATE

ISSUED

11/01/2010

6. REQUISITION/PURCHASE NO.

7. ISSUED BY C 8. ADDRESS OFFER TO (If other than Item 7) CODE

DEPARTMENT OF HOMELAND SECURITY

OFFICE OF PROCUREMENT OPERATIONS

INFORMATION TECHNOLOGY ACQUISITION CENTER

245 MURRAY DRIVE, SW, BLDG 410

WASHINGTON, DC 20528

NOTE: In sealed bid solicitations “offer” and “offeror” mean “bid” and “bidder”

SOLICITATION

9. Sealed offers in original and number of copies requested in Section L.10 for furnishing the supplies or services in the Schedule will be received at the place specified in Item 8 or if handcarried, in the depository located in Section L.5.2 until 2:00 PM Washington, DC local time January 11 , 2011 (Unrestricted) or January 18, 2011 (Small Business).

CAUTION LATE Submissions, Modifications, and Withdrawals: See Section L, Provision No. 52.214-7 or 52.215-1. All offers are subject to all terms and conditions contained in this solicitation.

10. FOR

INFORMATION CALL:

A. NAME B. TELEPHONE (NO COLLECT CALLS) C. E-MAIL ADDRESS

Holly Donawa

AREA CODE

NUMBER

447-5566

EXT

EAGLEIIOutreach@dhs.gov

11. TABLE OF CONTENTS

() SEC DESCRIPTION PAGE(S) () SEC. DESCRIPTION PAGE(S)

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

X A SOLICITATION/CONTRACT FORM 1 X I CONTRACT CLAUSES 61

X B SUPPLIES OR SERVICES AND PRICE/COST 2 PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

X C DESCRIPTION/SPECS./WORK STATEMENT 10 X J LIST OF ATTACHMENTS 83

X D PACKAGING AND MARKING 13 PART IV - REPRESENTATIONS AND INSTRUCTIONS

X E INSPECTION AND ACCEPTANCE 14

X K

REPRESENTATIONS, CERTIFICATIONS

X F DELIVERIES OR PERFORMANCE 17 AND OTHER STATEMENTS OF OFFERORS 84

X G CONTRACT ADMINISTRATION DATA 24 X L INSTRS., CONDS., AND NOTICES TO OFFERORS 89

X H SPECIAL CONTRACT REQUIREMENTS 39 X M EVALUATION FACTORS FOR AWARD 105

OFFER (Must be fully completed by offeror) NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period.

12. In compliance with the above, the undersigned agrees, if this offer is accepted within 288calendar days (60 calendar days unless a different period is inserted by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the designated point(s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT

(See Section I, Clause No. 52.232-8)

10 CALENDAR DAYS

20 CALENDAR DAYS

30 CALENDAR DAYS

CALENDAR DAYS

14. ACKNOWLEDGMENT OF AMENDMENTS AMENDMENT NO. DATE AMENDMENT NO. DATE

(The offeror acknowledges receipt of amendments t th

SOLICITATION for offerors and related documents numbered and dated):

15A. NAME

AND

ADDRESS OF

OFFEROR

CODE FACILITY 16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN

OFFER (Type or print)

15B. TELEPHONE NUMBER 15C. CHECK IF REMITTANCE

ADDRESS IS DIFFERENT FROM ABOVE -

ENTER SUCH ADDRESS IN SCHEDULE.

17. SIGNATURE 18. OFFER DATE

AREA CODE

NUMBER

EXT.

AWARD (To be completed by Government)

19. ACCEPTED AS TO ITEMS NUMBERED

20. AMOUNT

21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION:

10 U.S.C. 2304(c) ( ) 41 U.S.C. 253(c) ( )

23. SUBMIT INVOICES TO ADDRESS SHOWN IN

(4 copies unless otherwise specified)

ITEM

24. ADMINISTERED BY (If other than Item 7) 25. PAYMENT WILL BE MADE BY

26. NAME OF CONTRACTING OFFICER (Type or print)

27. UNITED STATES OF AMERICA

(Signature of Contracting Officer)

28. AWARD DATE

IMPORTANT -- Award will be made on this Form, or on Standard Form 26, or by other authorized official written notice.

AUTHORIZED FOR LOCAL REPRODUCTION STANDARD FORM 33 (Rev. 9-97) Previous edition is unusable Prescribed by GSA – FAR (48 CFR) 53.214(c)

X

RFP No. HSHQDC-11-R-10001: Amendment 000005 Section B - Supplies or Services and Prices/Costs

Department of Homeland Security 2 November 2010

SECTION B - SUPPLIES OR SERVICES AND PRICES/COSTS

B.1 General

The Enterprise Acquisition Gateway for Leading Edge Solutions II (EAGLE II) is a Multiple Award, Indefinite-Delivery, Indefinite-Quantity (IDIQ) contract to provide information technology (IT) solutions through performance of a wide range of support services as broadly described in Section C, Statement of Work. The Contractor shall provide, in accordance with issued Task Orders (TOs), all management, supervision, labor, facilities, and materials necessary to perform IT support services on an IDIQ basis.

B.2 Base and Option Periods

The term of the EAGLE II contract is a five (5) year base period and one (1) two-year option period. This is not a multi-year contract as defined in FAR Part 17.1, Multiyear Contracting. TOs may be issued at any time during the base and/or option period. The performance periods will be specified in the TOs and may include option periods which extend the TO up to twelve (12) months beyond the expiration date of this contract.

B.3 Indefinite-Delivery/Indefinite-Quantity (IDIQ)

(a) The EAGLE II contract is structured and managed in accordance with the rules for TO contracts. In particular, TO awards issued against this contract will be placed using the “fair opportunity” procedures described in Section G, Contract Administration Data.

(b) The types of TOs issued against EAGLE II may be Cost Reimbursement, Time and Materials (T&M), Labor-Hour (L-H), and Firm-Fixed-Price (FFP) in accordance with Federal Acquisition Regulation (FAR) Part 16.5, Indefinite-Delivery Contracts, and as set forth in Section G, Contract Administration Data, and Section I, Contract Clauses.

(c) Indefinite-Delivery, Indefinite-Quantity (IDIQ), Blanket Purchase Agreements (BPAs), and Letter Contracts are not permissible TO types under the EAGLE II contract. Orders for which IT services outcomes are not the principal purpose, and orders for which supplies or software/hardware are the principal purpose are also not permissible TO types under the EAGLE II contract.

(d) Task Orders may include options as defined in FAR Part 17, Special Contracting Methods.

B.4 Contract Pricing

B.4.1 Time-and-Materials, Labor-Hour/Firm-Fixed-Price Pricing

(a) All TOs issued on a T&M, L-H, or FFP basis will be subject to the pricing set forth in Section J – List of Attachments, Attachment B-1, Labor Rate Tables. The labor rates in this attachment reflect fully-burdened hourly rates for each labor category and will apply to all direct labor hours. The fully-burdened labor rates include all direct labor and indirect costs applicable to that direct labor (such as fringe benefits, overhead, G&A), and profit. These fixed hourly rates are ceiling rates and will apply to the prime contractor and core team members. The contractors

Department of Homeland Security 3 November 2010 may elect to propose lower hourly rates on a task-by-task basis. For non-competitive task order awards in excess of $700,000, the Task Order Contracting Officer (TO CO) will require certified cost or pricing data in accordance with FAR 52.215-20, Requirements for Certified Cost or Pricing Data or Data Other Than Cost or Pricing Data. In any case, proposed rates for TOs shall not exceed the ceiling rates established in the contract.

The labor rate table shall include the prime contractor and each core team member’s established accounting practices for recording uncompensated overtime. The accounting practices for each member shall be clearly identified (e.g., prime contractor records all hours;

“Core Team Member A” records 40 hours per week; “Core Team Member B” records all hours, etc.). The descriptions of the methods will be incorporated into the contract and will be effective for T&M and labor-hour task orders.

The indirect rates applicable to direct materials, subcontracts for supplies, and other direct costs established in Attachment B-1, Labor Rate Tables, are ceiling rates and shall apply to the prime contractor only. There are no indirect ceiling rates for core team members. However, the contractor may elect to propose lower indirect rates on a task-by-task basis.

Core Teams: The fixed hourly labor rates, in Attachment B-1, Labor Rate Tables, represent the blended hourly rates of the prime contractor and core team members in accordance with FAR 52.216-29 (modified). Subcontractors other than the core team members are to be proposed at the task order level and, therefore, not included in the EAGLE II contract. The blended rates apply for all core team members (including the Prime contractor). However, the individual core team members are not required to participate in all labor categories for the purposes of contract pricing and task order performance. The blended rates will not change after the contract award when a core team member is removed or added to the contract. If a new member is added, the new member will be termed as “subcontractor” and treated as such for the purposes of pricing and billing at the task order level (i.e., the new member cannot use the blended rates).

(b) The labor rates set forth in the table reflect fully-burdened rates for performance at a Government site and for performance at a Contractor site.

(1) Government Site Rates. When performing at Government sites, the Contractor shall furnish fully-burdened labor rates. The Government will provide office space, furniture and office equipment and supplies, as described in Section H.8, Government Property, Information, and Workspace, and as specified in the individual task orders.

(2) Contractor Site Rates. When performing at a Contractor site, the fully-burdened labor rates shall include applicable indirect costs for office space and all normal supplies and services required to support the work. This includes, but is not limited to, telephones, faxes, copiers, personal computers, postage, including courier services such as Federal Express, ordinary business software, such as word processing, spreadsheets, graphics, etc., normal copying and reproduction costs.

Department of Homeland Security 4 November 2010

(c) Only Government-required labor categories are included in Attachment B-1, Labor Rate Tables. Additional labor categories may be proposed and added to meet specific TO requirements, in accordance with Section B.4.1.3(b), Rate Refreshment, and Section G.4.5(j), Task Order Unique Labor Categories.

(d) EAGLE II Program Management Support Costs. Contract-level program management support costs, to include the Program Manager and the Teaming Coordinator, encompass support for contract-level management, reporting requirements (See Section F, Deliveries or Performance) and related travel and meeting attendance costs associated with the Contractor’s program management staff. This relates to overall management of the EAGLE II Program. As a result, these program management support costs shall be included within each fully burdened labor category rate, and shall not be proposed as separate labor categories.

The contract-level “program management” support costs are differentiated from individual task order “Task Order Manager” or “Project Manager” support costs, which are to specifically support project management for individual task orders. The “Task Order Manager” or “Project Manager” support labor hours are billed at hourly labor rates against individual task orders for direct support to the effort performed under those task orders. This will result in direct billings at the task order level.

B.4.1.1 Firm- Fixed-Price (FFP) Task Orders

For FFP type task orders, the quantity of each item or labor category ordered will be multiplied against the rate listed in this schedule, or as negotiated if lower rates are proposed for the TO; and the cumulative extended total of all items ordered will define the fixed price for the TO. Travel and materials, if applicable, may be estimated for each TO, including applicable indirect costs, subject to the indirect ceiling rates established in the contract. Any amounts negotiated for travel and materials will be added to the extended price of all ordered items to arrive at the total fixed price for the TO. Partial payment of FFP type TOs may be negotiated based on the completion of milestones/deliverables.

B.4.1.2 Time and Material (T&M) Task Orders

For T&M or L-H type task orders, the quantity of hours ordered from each labor category will be specified as deliverable hours billable at the ceiling rates specified in Attachment B-1, Labor Rate Tables, or as negotiated, if lower rates are proposed for the TO. Materials will be estimated for each TO and may include applicable indirect costs computed in accordance with the contractor’s established accounting practices, subject to the indirect ceiling rates established in the contract. For T&M type task orders, profit on materials is not allowable. The cumulative extended total of all labor categories ordered plus materials/applicable indirect costs will define the TO ceiling price. TOs may authorize adjustments between labor category quantities of up to 10% within the established task labor ceiling price, without a formal modification.

Reimbursement under the contract shall be governed by the clause at FAR 52.232-7, Payments under Time and Materials and Labor-Hour Contracts.

(a) Labor. Attachment B-1, Labor Rate Tables, shall include descriptions of the Prime contractor and each core team member’s established accounting practices for recording and

Department of Homeland Security 5 November 2010 billing for labor hours under task orders. The table lists the Prime contractor and each core team member separately to assure that the accounting practices for each are clearly identified (e.g., Prime contractor records all hours; “Core Team Member A” records forty (40) hours per week;

“Core Team member B” records all hours, etc.). The descriptions are incorporated into the contract and orders and are effective for T&M and labor-hour task orders.

In the performance of T&M and labor-hour task orders, the hours billed shall show the labor hours performed by the prime contractor and each core team member separately. If the established accounting practices described in the contract are to record and bill a standard number of hours per week (e.g., forty (40) hours), the labor hours will be billed only on the basis of a standard number of hours. If the established accounting practices described in the contract are to record and bill all hours worked by employees, including uncompensated overtime, the labor hours billed will be based on all hours worked. If the contractor provides that its established accounting practices are to record and bill all hours worked but it is found after award that the established accounting practices at the time of award were not based on recording all hours worked by employees, the Government shall be entitled to a price adjustment on all payments for labor hours under the T&M and labor hour order. The amount of the price adjustment shall be the difference between the number of hours billed based on recording all hours worked and the hours that would have been recorded using a standard number of hours (e.g., forty (40) hours).

(b) Subcontractor Rates.

(1) Competitive Task Orders. The TO CO will use competition to determine reasonableness of the subcontract rates. The numbered items below provide further guidance for competing TOs:

The term “EAGLE II Prime” is defined as an EAGLE II Prime contractor submitting the proposal in response to a Task Order Request Package (TORP); and the term “EAGLE II Contract Holder” is defined as an EAGLE II Prime contractor that is functioning in the role as a subcontractor under another EAGLE II Prime.

(i) EAGLE II Prime subcontracts with the EAGLE II Contract Holder on competed orders and proposes rates that are “at or below” the EAGLE II Prime’s contract ceiling rates:

If an EAGLE II Prime subcontracts with an EAGLE II Contract Holder, the EAGLE II Prime and the EAGLE II Contract Holder may propose up to the ceiling rate in their respective Attachment B-1, Labor Rate Tables, of their EAGLE II contract. If the rates proposed to DHS, inclusive of the EAGLE II Prime’s allocable indirect costs and a reasonable profit are at or below the EAGLE II Prime contract ceiling rates, the EAGLE II Prime would not have to disclose anything further in their proposal.

(ii) EAGLE II Prime subcontracts with the EAGLE II Contract Holder on competed orders and proposes rates that are “above” the EAGLE II Prime’s contract ceiling rates:

Department of Homeland Security 6 November 2010

If an EAGLE Prime subcontracts with an EAGLE II Contract Holder, the EAGLE II Prime and the EAGLE II Contract Holder may propose up to its ceiling rate in their respective Attachment B-1, Labor Rate Tables, of their EAGLE II contract. If the rates proposed to DHS, inclusive of the EAGLE II Prime’s allocable indirect costs and a reasonable profit are above the EAGLE II Prime’s ceiling rates, the EAGLE II Prime will have to disclose the amount of the indirect costs and the amount of the profit that were added to the EAGLE II Contract Holder’s proposed rate. A reasonable profit will be determined by the TO CO for the specific requirement.

(iii) EAGLE II Prime subcontracts with non-EAGLE II contractors on competed orders and proposes rates that are “at or below” the EAGLE II Prime’s contract ceiling rates:

If an EAGLE II Prime contractor subcontracts with a non-EAGLE II contractor and the rates proposed to DHS, inclusive of the EAGLE II Prime’s allocable indirect costs and a reasonable profit are at or below the EAGLE II Prime contract ceiling rates in Attachment B-1, Labor Rate Tables, of their EAGLE II contract, the EAGLE II Prime would not have to disclose anything further in their proposal.

(iv) EAGLE II Prime subcontracts with non-EAGLE II contractors on competed orders and proposes rates that are “above” the EAGLE II Prime’s contract ceiling rates:

If an EAGLE II Prime contractor subcontracts with a non-EAGLE II contractor, the EAGLE II Prime may then include in its proposal, (i) the fully burdened rate proposed to the EAGLE II Prime by the Subcontractor,

(ii) allocation of the EAGLE II Prime’s indirect costs in accordance with established accounting practices, and (iii) a reasonable profit. If the rates proposed to DHS, inclusive of the EAGLE II Prime’s allocable indirect costs and a reasonable profit are above the EAGLE II Prime’s ceiling rates, the EAGLE II Prime must disclose the amount of the indirect costs, and the amount of the profit that were added to the Subcontractor’s proposed rates. A reasonable profit will be determined by the TO CO for the specific requirement.

(2) Non-Competitive Task Orders. For task orders in excess of $700,000, the TO CO will require certified cost or pricing data in accordance with FAR 52.215-20, Requirements for Certified Cost or Pricing Data or Data other than Certified Cost or Pricing Data. Documentation will include but not be limited to the agreement that the prime has obtained with the Subcontractor showing the rate being paid to the subcontractor for that labor category. The EAGLE II Prime shall include in their proposal (i) the allocation of the EAGLE II Prime’s indirect costs in accordance with established accounting practices and (ii) a reasonable profit. A reasonable profit will be determined by the TO CO for the specific requirement.

Department of Homeland Security 7 November 2010

(3) Affiliate Rates. The TO CO will require (a) certified cost or pricing data or (b) data other than certified cost or pricing data, whichever is appropriate, in accordance with the requirement for cost or pricing data described in FAR 15.404-3. The affiliate of the EAGLE II Prime shall not include profit (unless exempt under paragraph (d) of FAR 52.216-30) in the affiliate rates. However, the EAGLE II Prime may include an allocation of indirect costs and profit in accordance with their established accounting practices.

(4) Addition of New Subcontractor After Task Order Award. If an EAGLE II Prime adds a new subcontractor after task order award, the subcontractor must have a separate set of fixed hourly rates. The task order will be modified, and the EAGLE II Prime will have to provide (1) agreement between Prime and subcontractor on the subcontractor rates; and (2) documentation showing whether the subcontract rate was determined competitively or single/sole source. If subcontract rates were determined competitively, no further cost information will be required. If subcontract rates were based on sole source, the TO CO will require certified cost or pricing data if the result will be a task order modification exceeding $700,000, in accordance with FAR 52.215-20, Requirements for Certified Cost or Pricing Data or Data Other Than Certified Cost or Pricing data. The subcontract rates must not exceed applicable ceilings if the subcontractor is an EAGLE II contract holder. The EAGLE II Prime may include an allocation of indirect costs in accordance with their established accounting practices plus a reasonable profit.

(c) Materials. Materials are defined in the clause at FAR 52.232-7, Payments Under Time and Materials and Labor Hour Contracts (FEB 2007).

Materials means—

Direct materials, including supplies transferred between divisions, subsidiaries, or affiliates of the Contractor under a common control;

Subcontracts for supplies and incidental services for which there is no labor category specified in the contract;

Other direct costs (e.g., incidental services for which there is no labor category specified in the contract, travel, computer usage charges, etc.);

and, Applicable indirect costs.

Indirect costs allocated to any direct materials and other direct costs shall be proposed consistent with the payment requirements of FAR Clause 52.232-7, Payments Under Time and Materials and Labor–Hour Contracts, paragraph (b)(5), as follows:

“The Contractor may include allocable indirect costs and other direct costs to the extent they are—

(i) Comprised only of costs that are clearly excluded from the hourly rate;

Department of Homeland Security 8 November 2010

(ii) Allocated in accordance with the Contractor's written or established accounting practices; and

(iii) Indirect costs are not applied to subcontracts that are paid at the hourly rates.”

Indirect costs allocated to any direct materials and other direct costs shall be proposed consistent with FAR 52.216-7, Allowable Cost and Payment clause.

The cost of general purpose items required for the conduct of the Contractor’s normal business operations are not allowable materials in the performance of task orders under this contract. See also Section G and Section H for additional limitations on materials and mandatory support documentation.

Profit is not allowed on materials under a T&M type task order.

(d) Travel (all order types). If authorized in the task order, travel will be reimbursed at actual direct costs in accordance with the limitations set forth in FAR 31.205-46, Travel Costs.

No profit is allowed for travel. Subject to the ceiling rates in the table, indirect costs may be applied to travel in accordance with the Contractor’s established accounting practices consistent with FAR 31.2, Contracts with Commercial Organizations. Travel will be a separate Not-To- Exceed CLIN on orders.

B.4.1.3 Rate Refreshment

(a) The labor rates are fixed ceiling rates for all contract year periods; however, the Contractor may submit a proposal reducing the fixed hourly rates and/or indirect rates applicable to materials at any time during the life of this contract. The Government will review these proposals and determine if the revised rates are realistic and in the best interests of the Government. If the rates are accepted, the Government will modify the contract by incorporating the new rates into Attachment B-1, Labor Rate Tables.

(b) At any time and throughout the life of the contract, at the request of either the Contractor or the Government, the Contractor may propose additional labor categories, rates and descriptions in addition to the Government labor categories. These additional Task Order Unique labor categories, rates, and descriptions will be negotiated on a case-by-case basis (See Section G.4.5(e), Cost/Price Proposals, for process).

B.4.2 Work Outside the Contiguous United States (OCONUS)

It is anticipated that there may be minimal work under this contract outside the Contiguous United States. It is anticipated that any OCONUS work will not have a materially significant impact on the contract. Rates for OCONUS work will be negotiated on a TO by TO basis and may exceed the established ceiling rates. The Government reserves the right to make determinations of fair and reasonable pricing at the TO level.

Department of Homeland Security 9 November 2010

B.4.3 Cost Reimbursement Pricing

All TOs issued on a Cost Reimbursement basis will be priced in accordance with approved DCAA/DCMA (or FAR Part 31, Contract Cost Principles and Procedures) rates.

Direct and indirect cost rates will be established on a TO basis. For Cost Reimbursement Task Orders, the Contractor will provide complete supporting schedules identifying all applicable direct and indirect rate estimates building up to the TO cost. Contractors should submit their most recent DCAA approved provisional indirect billing rates, if available, and actual rates for both direct and indirect rates. Contractors without audited rates shall propose indirect rates in accordance with FAR Part 31, Contract Cost Principles and Procedures. The fee will be negotiated for each TO consistent with statutory limitations.

If the TO type is to be Cost-Plus Award Fee (CPAF), the fixed portion of fee and the award portion will be clearly differentiated. Payment from the award fee pool will be based on the standards and procedures outlined in Section I.7, Determination of Award Fee, Section I.8, Performance Evaluation Plan and I.9, Distribution of Award Fee. Unawarded fees shall not be rolled over into another performance period.

B.4.4 Total Cost of Ownership Pricing

Individual TOs may require the Contractor to structure its price proposal to provide for the total cost of ownership. For example, instead of, or in addition to, providing a cost proposal based on fixed hourly rates, specific task orders may require pricing on a per seat/workstation, usage rates, or other similar basis to determine the total life cycle cost.

B.4.5 Labor Subject to the Service Contract Act (SCA)

(a) The contract labor categories are considered bona fide executive, administrative, professional labor, and generally exempt from the SCA if used to perform professional IT services, and not the work of general service employees.

(b) If the principal purpose of a task order is to furnish services in the United States through the use of service employees and to the extent that any labor is subject to the SCA and within scope of an EAGLE II task order and the EAGLE II contract, the Contracting Officer must identify such work under a separate CLIN on the order, and apply wages in accordance with FAR 22.10, Service Contract Act of 1965, as Amended.

(c) The EAGLE II contract does not include all applicable flow-down clauses for labor categories subject to the SCA. Each task order must be tailored to include the appropriate clauses.

(End of Section B)

RFP No. HSHQDC-11-R-10001: Amendment 000005 Section C – Descriptions / Specifications / Work Statement

Department of Homeland Security 10 November 2010

SECTION C – STATEMENT OF WORK

C.1 General

C.1.1 Objective

Information Technology (IT) support services represent a significant portion of the DHS’ IT budget. The primary goal of this acquisition is to establish the next generation of the EAGLE suite of IDIQ contracts for IT support services that will enable DHS business and program offices to accomplish their mission objectives. The acquisition, and resulting multiple award contracts will collectively be referred to as EAGLE II, and are designed to offer a broad range of services, solutions, and contract types to fulfill the majority of component and departmental IT services needs. This Statement of Work (SOW) defines the comprehensive functional service categories for EAGLE II. Specific requirements will be further identified and defined at the TO level.

C.1.2 Scope

The Contractor shall provide the full range of IT services, technical and management expertise, and solution-related enabling products in one of the functional categories (FCs) to meet the mission needs of the DHS. As identified in individual task orders, information technology solutions/capabilities will support DHS on a world-wide basis. The Contractors shall furnish the necessary personnel, materials, equipment, facilities, travel, and other services required to satisfy the ordered IT capabilities and solutions. While the SOW identifies the functional categories, the suite of resulting contracts is intended to satisfy the full range of IT related requirements. With the pace of change it is impossible to anticipate how IT requirements and individual programs will evolve over the life of the contracts. It is intended that the EAGLE II contract remains current and continues to provide the full range of IT capabilities/solutions and emerging technologies throughout its life. The scope of each individual IDIQ contract will be based upon the functional category for which the Contractor proposed and is selected with specific tasks to be set forth in the TOs.

Unrestricted Track and Small Business Track:

FC1 – Service Delivery (including Integration, Software Design/Development, and Operations and Maintenance)

FC2 – Information Technology Program Support Services FC3 – Independent Test, Validation, Verification, and Evaluation (IV&V)

C.1.3 Contract and Task Order Management

Contract and TO management is a mandatory element for all task orders placed under the EAGLE II contract. The objective of contract and TO management is to provide the program management, project control and contract administration necessary to manage a high volume, multiple contract type TO process for a large, diversified team so that the cost, schedule and quality requirements of each order are tracked, communicated to the Government, and ultimately attained. The use of commercially available automated tools and the application of expertise on processes and metrics that support task order management is encouraged to achieve the above

RFP No. HSHQDC-11-R-10001: Amendment 000005 Section C – Descriptions / Specifications / Work Statement

Department of Homeland Security 11 November 2010 objectives. The objective of the tools is to provide quicker access, improved accuracy, and enhanced accessibility for Contractors/clients, real-time monitoring of status/deliverables, tracking the quality of work products and gauging overall customer satisfaction.

C.2 Functional Categories (FC)

The Contractor shall furnish the full range of solutions and services necessary to meet requirements of this contract and individual TOs as related to the functional categories described below. All solutions and services must meet DHS policies, standards, and procedures as identified by individual TOs (e.g. enterprise architecture, information assurance, and personnel, physical and system security).

C.2.1 Functional Category 1 – Service Delivery

The purpose of FC1 is to provide a full range of services and products in support of developing, implementing, and maintaining technology to support the DHS mission and business functions across the entire lifecycle of a program. Services include:

C.2.1.1 System Design, Development, Implementation, and Integration

The Contractor shall provide any and all phases of system design and development through deployment to ensure DHS IT solutions will enable users to meet mission goals and objectives. These efforts include the full range of infrastructure engineering design, development, implementation and integration, including, but not limited to, concept development, planning, requirements definition and analysis, systems design and development, integration, implementation, deployment, connectivity, wiring and cabling.

C.2.1.2 Software Design and Development

The Contractor shall provide any and all phases of software design and development including deployment to ensure DHS applications and databases will enable users to meet mission goals and objectives. These efforts include the full range of software design, development, implementation and integration, including, but not limited to, concept development, planning, requirements definition and analysis, software design and development, coding and testing, production, deployment, implementation, integration, and software application maintenance.

C.2.1.3 Operations and Maintenance

The Contractor shall provide any and all operations and maintenance (O&M) solutions, processes, and procedures necessary to sustain systems within the DHS Enterprise at the highest levels of service and availability consistent with cost, schedule, and performance objectives.

These solutions may be required across the DHS Infrastructure, to include, but not limited to, the following operational areas: Help Desk and Field Support Services (e.g., Desk-side support and LAN Administration), Network and Security Operations, and Collaboration Services (e.g., E-mail, Voice, Video Services, Wiring and Cable). This requirement includes the full range of O&M solutions, from maintaining and upgrading individual pieces of hardware and software to full managed service solutions.

RFP No. HSHQDC-11-R-10001: Amendment 000005 Section C – Descriptions / Specifications / Work Statement

Department of Homeland Security 12 November 2010

C.2.2 Functional Category 2 – Information Technology Program Support Services

The Contractor shall provide the full range of business and technical management services in support of DHS offices or programs. These services encompass all areas of IT policy and planning including, but not limited to, capital planning, strategic planning, workforce planning, budget execution, performance management, enterprise architecture, data management, information sharing, information security, training, enterprise resource management, business process re-engineering, IT transformation and strategy, organizational change management, and program management office support.

C.2.3 Functional Category 3 – Independent Test, Validation, Verification, and Evaluation (IV&V)

The Contractor shall provide independent test, validation, verification, and evaluation solutions to ensure that all IT products and services meet DHS standards, and are performing to defined design, cost, schedule and performance specifications/capabilities. The Contractor shall provide best practices, technologies, tools, and support to quality and operational assessments, integration testing and system test and evaluation, including security certification and accreditation, for IT systems. The Contractor shall also provide independent verification and validation through the monitoring and evaluation of projects through activities such as, but not limited to, assessments, process and procedure audits, project and performance management, and systems analysis and design.

The Contractor shall provide independent test, validation, verification, and evaluation solutions to ensure that all IT products and services meet DHS security standards, and are tested and evaluated in accordance with all Federal security requirements, e.g., Defense Information Technology Security Certification & Accreditation Process (DITSCAP), National Information Assurance Certification and Accreditation (NIACAP), National Industrial Security Program Operating Manual (NISPOM), Department of Justice (DOJ) Directives, National Institute of Standards and Technology (NIST), etc. The Contractor shall also provide independent verification and validation for all aspects of systems security as it relates to Government practices, policies, and procedures, such as risk analysis and the development of recommendations and implementations, as well as plans for new procedures and changes to existing systems. Areas may include development and implementation, transition and verifications, testing plans for installing new security-related products within the existing client organization technology infrastructure, and mitigation strategies and mitigation activities for residual risks identified for specific organizations or systems.

(End of Section C)

RFP No. HSHQDC-11-R-10001: Amendment 000005 Section D – Packaging and Marking

Department of Homeland Security 13 November 2010

SECTION D - PACKAGING AND MARKING

D.1 Packing, Packaging, Marking and Storage of Equipment

Unless otherwise specified, all items to be delivered under this contract shall be preserved, packaged, and packed in accordance with normal commercial practices to meet the packing requirements of the carrier and ensure safe delivery at destination.

All initial packing, marking and storage incidental to shipping of equipment to be provided under this contract shall be at the Contractor’s expense. The Contractor shall supervise the packing of all acquired equipment furnished by the Contractor and shall supervise the unpacking of equipment to be installed.

D.2 Markings

All deliverables submitted to the EAGLE II CO, EAGLE II Program Manager (PM), TO CO and TO Contracting Officer Technical Representative (COTR) shall be accompanied by a packing list or other suitable shipping document that shall clearly indicate the following:

(a) Contract number;

(b) Task order number;

(c) Name and address of the consignor;

(d) Name and address of the consignee;

(e) Government bill of lading number covering the shipment (if any); and

(f) Description of the item/material shipped, including item number, quantity, number of containers, and package number (if any).

Specific marking requirements may be addressed in individual TOs.

D.3 Equipment Removal

All Contractor-owned 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 contract expiration, or as mutually agreed by the Government and the Contractor. Exceptions to this requirement shall be mutually agreed upon and written notice issued by the TO CO. Specific requirements will be addressed in individual TOs.

(End of Section D)

RFP No. HSHQDC-11-R-10001: Amendment 000005 Section E – Inspection and Acceptance

Department of Homeland Security 14 November 2010

SECTION E - INSPECTION AND ACCEPTANCE

E.1 Clauses Incorporated by Reference

(FAR 52.252-2) (FEB 1998)

This contract incorporates the following clauses by reference with the same force and effect as if they were given in full text. Upon request, the CO will make their full text available.

Also, the full text can be accessed electronically at the following internet address:

http://www.acquisition.gov/far.

FAR Clause No. Title and Date

52.246-2 Inspection of Supplies – Fixed Price (AUG 1996)

52.246-3 Inspection of Supplies – Cost Reimbursement (MAY 2001)

52-246-4 Inspection of Services—Fixed Price (AUG 1996)

52.246-5 Inspection of Services – Cost Reimbursement (APR 1984)

52.246-6 Inspection of Services – Time and Material or Labor-Hour (MAY 2001)

52.246-16 Responsibility for Supplies (APR 1984)

E.2 Inspection and Acceptance

(a) Inspection and acceptance of all work and services performed under each TO will be in accordance with the FAR clauses incorporated at Section E, Clauses Incorporated by Reference, as applicable.

(b) Final acceptance of all deliverables and or services performed as specified under each task order will be made in writing, at destination by the TO COTR, or as detailed in individual TOs.

E.3 Scope of Inspection

(a) All deliverables will be inspected for content, completeness, accuracy, and conformance to task order requirements by the TO COTR, or as detailed in individual task orders. Inspection may include validation of information or software through the use of automated tools and/or testing of the deliverables, as specified in the task order. The scope and nature of this testing must be negotiated prior to TO award and will be sufficiently comprehensive to ensure the completeness, quality and adequacy of all deliverables.

(b) The Government requires a period not to exceed thirty (30) calendar days after receipt of final deliverable items for inspection and acceptance or rejection unless otherwise specified in the TO. For periods exceeding thirty (30) days, it is the responsibility of the contractor to confirm receipt and acceptance of the deliverable(s).

Department of Homeland Security 15 November 2010

E.4 Basis of Acceptance

(a) The basis for acceptance shall be compliance with the requirements set forth in the statement of work, the TO, the Contractor's proposal and other terms and conditions of this contract. Deliverable items rejected under any resulting task order shall be corrected in accordance with the applicable clauses.

(b) Commercial and non-developmental hardware items, software items, pre-packaged solutions, and maintenance and support solutions will be accepted within thirty (30) calendar days of delivery when performance is in accordance with delivery requirements. For periods exceeding thirty (30) days, it is the responsibility of the contractor to confirm receipt and acceptance of the deliverable(s).

(c) Custom services and cost reimbursable items such as travel and Other Direct Costs (ODCs) will be accepted upon receipt of proper documentation as specified in the order. If custom services are provided as part of a FFP TO, acceptance will be as specified for the milestone with which they are associated. If custom services are for software development, the final acceptance of the software program will occur when all discrepancies, errors or other deficiencies identified in writing by the Government have been resolved, either through documentation updates, program correction, or other mutually agreeable methods.

(d) Reports, documents and narrative type deliverables will be accepted when all discrepancies, errors or other deficiencies identified in writing by the Government have been corrected.

(e) Non-conforming products or services will be rejected. Unless otherwise agreed by the parties, deficiencies will be corrected within thirty (30) calendar days of the rejection notice. If the deficiencies cannot be corrected within thirty (30) days, the Contractor will immediately notify the TO CO of the reason for the delay and provide a proposed corrective action plan within ten…