HSSS01-15-R-0046_PUB_-Attachment_1_-_Clauses.pdf

Attachment 1

HSSS01-15-R-0046

TABLE OF CONTENTS

SECTION B -- SUPPLIES AND SERVICES PRICE SCHEDULE

SECTION C – STATEMENT OF WORK

SECTION D – PACKAGING AND MARKING

SECTION E – INSPECTION AND ACCEPTANCE

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

SECTION F -- DELIVERIES AND PERFORMANCE

F-1 DELIVERIES

F-2 LIQUIDATED DAMAGES - SUPPLIES, SERVICES, OR RESEARCH AND DEVELOPMENT

52.211-11 (SEP 2000)

SECTION G -- CONTRACT ADMINISTRATION DATA

G-1 INVOICING AND PAYMENT

G-2 INVOICE PAYMENT

G-3 ORDERING

SECTION H -- SPECIAL CONTRACT REQUIREMENTS

H-1 ADDITIONAL DISCLOSURE OF INFORMATION

H-2 SECURITY CLEARANCES AND RELATED ISSUES

H-3 SAFEGUARDING SENSITIVE INFORMATION (MAR 2015)

52.224-1 Privacy Act Notification (APR 1984) 52.224-2 Privacy Act (APR 1984) 52.239-1 Privacy or Security Safeguards (AUG 1996) Safeguarding of Sensitive Information (MAR 2015) Security of Systems Handling Personally Identifiable Information and Privacy Incident Response

H-3 POINT OF CONTACT FOR PROMPT CONTRACT ADMINISTRATION

H-4 DELIVERY AND TASK ORDERS

H-5 OPEN MARKET ITEMS PURCHASED ON THE SAME IDIQ ORDER

H-6 MANUFACTURING RESTRICTIONS

SECTION I -- CONTRACT CLAUSES

CLAUSES AND PROVISIONS INCORPORATED BY REFERENCE:

52.202-1 Definitions. (NOV 2013) 52.203-3 Gratuities. (Apr 1984) 52.203-5 Covenant Against Contingent Fees (MAY 2014) 52.203-7 Anti-Kickback Procedures (MAY 2014) 52.203-11 Certification and Disclosure Regarding Payments to Influence Certain Federal Transactions. (SEP 2007) 52.203-12 Limitation on Payments to Influence Certain Federal Transactions. (OCT 2010) 52.204-2 Security Requirements (AUG 1996) 52.204-4 Printed or Copied Double-Sided on Recycled Paper. (MAY 2011) 52.204-7 System for Award Management. (JUL 2013) 52.209-5 Certification Regarding Responsibility Matters. (APR 2010) 52.209-6 Protecting the Government’s Interest When Subcontracting with Contractors Debarred, Suspended, or Proposed for Debarment. (AUG 2013) 52.212-4 Contract Terms and Conditions—Commercial Items. (FEB 2012) 52.215-19 Notification of Ownership Changes. (OCT 1997) 52.215-21 Requirements for Cost or Pricing Data or Information Other Than Cost or Pricing Data— Modifications

(OCT 2010)

52.229-3 Federal, State, and Local Taxes. (APR 2003) 52.232-11 Extras (APR 1984) 52.242-13 Bankruptcy. (JUL 1995) 3052.242-71 Dissemination of contract information. (DEC 2003)

CLAUSES AND PROVISIONS INCORPORATED BY FULL TEXT:

52.204-9 Personal Identity Verification of Contractor Personnel. (JAN 2011) 52.212-5 Contract Terms and Conditions Required To Implement Statutes or Executive Orders – Commercial Items. (MAY 2015) 52.215-20 Requirements for Certified Cost or Pricing Data or Data Other Than Cost or Pricing Data. (OCT 2010) 52.216-18 Ordering. (OCT 1995) 52.216-22 Indefinite Quantity. (OCT 1995) 52.217-6 Option for Increased Quantity. (MAR 1989) 52.217-7 Option for Increased Quantity - Separately Priced Line Item. (MAR 1989) 52.217-8 Option to Extend Services. (NOV 1999) 52.217-9 Option to Extend the Term of the Contract. (MAR 2000) 52.252-2 Clauses Incorporated by Reference. (FEB 1998) 3052.204-71 Contractor employee access. (SEP 2012) USSS 3052.204-90 Unauthorized Use of the U.S. Secret Service Name 3052.209-70 – Prohibition on contracts with corporate expatriates 3052.209-79 Representation by Corporations Regarding a Felony Criminal Violation under any Federal or State Law or Unpaid Federal Tax Liability. (FEB 2014) (DHS FAR CLASS DEVIATION 14-02) 3052.215-70 Key personnel or facilities. (DEC 2003) 3052.242-72 Contracting officer's representative. (DEC 2003)

SECTION J -- LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS

J-1 ATTACHMENT 1: PRICE SCHEDULE SHEET

J-2 ATTACHMENT 2: STATEMENT OF WORK – SPECIFICATION NO. XXXX

DATED X/XX/XX – CLASSIFIED

J-3 ATTACHMENT 3: DD FORM 254 – CONTRACT SECURITY CLASSIFICATION SPECIFICATION

PLUS ADDENDUM 1

J-4 ATTACHMENT 4: PAST PERFORMANCE QUESTIONNAIRE

SECTION K – REPRESENTATIONS, CERTIFICATIONS AND OTHER STATEMENT OF OFFERORS

K-1 OFFEROR REPRESENTATIONS AND CERTIFICATIONS. 52.212-3 (MAR 2015)

K-2 PLACE OF MANUFACTURE. 52.225-18 (MAR 2015)

SECTION L – INSTRUCTIONS AND CONDITIONS TO OFFERORS

L-1 INSTRUCTIONS TO OFFERORS – COMMERCIAL ITEMS. 52.212-1 (APR 2014)

L-2 TYPE OF CONTRACT. 52.216-1 (APR 1984)

L-3 SERVICE OF PROTEST. 52.233-2 (SEP 2006)

L-4 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE. 52.252-1 (FEB 1998)

L-5 WARRANTIES OF SUPPLIES

L-6 PROPOSAL DUE DATE, LOCATIONS AND PROPOSAL CONTENTS

SECTION M – EVALUATION FACTORS FOR AWARD

M-1 EVALUATION – COMMERCIAL ITEMS. 52.212-2 (OCT 2014)

M-2 SOURCE SELECTION FACTORS/CRITERIA

SECTION B -- SUPPLIES AND SERVICES PRICE SCHEDULE

This is an Indefinite Delivery – Indefinite Quantity (IDIQ) type contract. Delivery and delivery orders will be issued against the items contained in the Statement of Work and the Pricing Spreadsheets in Section J. The minimum guarantee is $25,000.00 and the Maximum guarantee is $900,000.00. Delivery shall be stipulated on each delivery order.

CLIN DESCRIPTION UNIT ESTIMATED ANNUAL ORDER

0001 Base: Transparent Automotive Armor US $250,000.00

BASE REQUIREMENT PERIOD OF

PERFORMANCE:

0002 Option 1: Transparent Automotive US $150,000.00 Armor

OPTION YEAR ONE (1) REQUIREMENT PERIOD OF

PERFORMANCE:

0003 Option 2: Transparent Automotive US $159,000.00 Armor

OPTION YEAR TWO (2) REQUIREMENT PERIOD OF

PERFORMANCE:

0004 Option 3: Transparent Automotive 1 US $164,000.00

Armor

OPTION YEAR THREE (3) REQUIREMENT PERIOD OF

PERFORMANCE:

0005 Option 4: Transparent Automotive 1 US $169,000.00

Armor

OPTION YEAR FOUR (4) REQUIREMENT PERIOD OF

PERFORMANCE:

The contractor shall perform in accordance with the Classified Statement of Work (SOW) in Section J. Pricing for Base and Option years shall be set at contract award. There will be no price increase after award. Price on each delivery order shall in accordance with the pricing spread sheets in Section J which will become part of the contract at time of award. Shipment locations/Instructions and costs will be specified on each delivery order.

SECTION C – STATEMENT OF WORK

See Section J.1 for Statement of Work.

Statement of Work will be provided during Phase II.

SECTION D – PACKAGING AND MARKING

The contractor shall delivery all equipment according to the packaging instructions in accordance with each delivery order.

The contractor shall use standard commercial practices to ship equipment.

SECTION E – INSPECTION AND ACCEPTANCE

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

(a) Definition. "Supplies," as used in this clause, includes but is not limited to raw materials, components, intermediate assemblies, end products, and lots of supplies.

(b) The Contractor shall provide and maintain an inspection system acceptable to the Government covering supplies under this contract and shall tender to the Government for acceptance only supplies that have been inspected in accordance with the inspection system and have been found by the Contractor to be in conformity with contract requirements. As part of the system, the Contractor shall prepare records evidencing all inspections made under the system and the outcome. These records shall be kept complete and made available to the Government during contract performance and for as long afterwards as the contract requires. The Government may perform reviews and evaluations as reasonably necessary to ascertain compliance with this paragraph. These reviews and evaluations shall be conducted in a manner that will not unduly delay the contract work. The right of review, whether exercised or not, does not relieve the Contractor of the obligations under the contract.

(c) The Government has the right to inspect and test all supplies called for by the contract, to the extent practicable, at all places and times, including the period of manufacture, and in any event before acceptance.

The Government shall perform inspections and tests in a manner that will not unduly delay the work. The Government assumes no contractual obligation to perform any inspection and test for the benefit of the Contractor unless specifically set forth elsewhere in this contract.

(d) If the Government performs inspection or test on the premises of the Contractor or a subcontractor, the Contractor shall furnish, and shall require subcontractors to furnish, at no increase in contract price, all reasonable facilities and assistance for the safe and convenient performance of these duties. Except as otherwise provided in the contract, the Government shall bear the expense of Government inspections or tests made at other than the Contractor's or subcontractor's premises; provided, that in case of rejection, the Government shall not be liable for any reduction in the value of inspection or test samples.

(e)(1) When supplies are not ready at the time specified by the Contractor for inspection or test, the Contracting Officer may charge to the Contractor the additional cost of inspection or test.

(2) The Contracting Officer may also charge the Contractor for any additional cost of inspection or test when prior rejection makes reinspection or retest necessary.

(f) The Government has the right either to reject or to require correction of nonconforming supplies. Supplies are nonconforming when they are defective in material or workmanship or are otherwise not in conformity with contract requirements. The Government may reject nonconforming supplies with or without disposition instructions.

(g) The Contractor shall remove supplies rejected or required to be corrected. However, the Contracting Officer may require or permit correction in place, promptly after notice, by and at the expense of the Contractor. The Contractor shall not tender for acceptance corrected or rejected supplies without disclosing the former rejection or requirement for correction, and, when required, shall disclose the corrective action taken.

(h) If the Contractor fails to promptly remove, replace, or correct rejected supplies that are required to be removed or to be replaced or corrected, the Government may either (1) by contract or otherwise, remove, replace, or correct the supplies and charge the cost to the Contractor or (2) terminate the contract for default.

Unless the Contractor corrects or replaces the supplies within the delivery schedule, the Contracting Officer may require their delivery and make an equitable price reduction. Failure to agree to a price reduction shall be a dispute.

(i)(1) If this contract provides for the performance of Government quality assurance at source, and if requested by the Government, the Contractor shall furnish advance notification of the time -

(i) When Contractor inspection or tests will be performed in accordance with the terms and conditions of the contract; and

(ii) When the supplies will be ready for Government inspection.

(2) The Government's request shall specify the period and method of the advance notification and the Government representative to whom it shall be furnished. Requests shall not require more than 2 workdays of advance notification if the Government representative is in residence in the Contractor's plant, nor more than 7 workdays in other instances.

(j) The Government shall accept or reject supplies as promptly as practicable after delivery, unless otherwise provided in the contract. Government failure to inspect and accept or reject the supplies shall not relieve the Contractor from responsibility, nor impose liability on the Government, for nonconforming supplies.

(k) Inspections and tests by the Government do not relieve the Contractor of responsibility for defects or other failures to meet contract requirements discovered before acceptance. Acceptance shall be conclusive, except for latent defects, fraud, gross mistakes amounting to fraud, or as otherwise provided in the contract.

(l) If acceptance is not conclusive for any of the reasons in paragraph (k) hereof, the Government, in addition to any other rights and remedies provided by law, or under other provisions of this contract, shall have the right to require the Contractor (1) at no increase in contract price, to correct or replace the defective or nonconforming supplies at the original point of delivery or at the Contractor's plant at the Contracting Officer's election, and in accordance with a reasonable delivery schedule as may be agreed upon between the Contractor and the Contracting Officer; provided, that the Contracting Officer may require a reduction in contract price if the Contractor fails to meet such delivery schedule, or (2) within a reasonable time after receipt by the Contractor of notice of defects or nonconformance, to repay such portion of the contract as is equitable under the circumstances if the Contracting Officer elects not to require correction or replacement.

When supplies are returned to the Contractor, the Contractor shall bear the transportation cost from the original point of delivery to the Contractor's plant and return to the original point when that point is not the Contractor's plant. If the Contractor fails to perform or act as required in (1) or (2) above and does not cure such failure within a period of 10 days (or such longer period as the Contracting Officer may authorize in writing) after receipt of notice from the Contracting Officer specifying such failure, the Government shall have the right by contract or otherwise to replace or correct such supplies and charge to the Contractor the cost occasioned the Government thereby.

(End of clause)

SECTION F -- DELIVERIES AND PERFORMANCE

F-1 DELIVERIES

The place for deliveries and any period or place of performance shall be specified in each delivery order.

F-2 LIQUIDATED DAMAGES - SUPPLIES, SERVICES, OR RESEARCH AND DEVELOPMENT.

52.211-11 (SEP 2000)

(a) If the Contractor fails to deliver the supplies or perform the services within the time specified in this contract, the Contractor shall, in place of actual damages, pay to the Government liquidated damages of $500.00 per calendar day of delay.

(b) If the Government terminates this contract in whole or in part under the Default - Fixed-Price Supply and Service clause, the Contractor is liable for liquidated damages accruing until the Government reasonably obtains delivery or performance of similar supplies or services. These liquidated damages are in addition to excess costs of repurchase under the Termination clause.

(c) The Contractor will not be charged with liquidated damages when the delay in delivery or performance is beyond the control and without the fault or negligence of the Contractor as defined in the Default - Fixed-Price Supply and Service clause in this contract.

SECTION G -- CONTRACT ADMINISTRATION DATA

G-1 INVOICING AND PAYMENT

All invoices must include the following information. Not including all of the listed information may result in your invoice being classified as improper and it may be returned. An improper invoice will delay payment.

Vendor Name Vendor Address Vendor Telephone Number Vendor Tax Identification Number (TIN) Contract/Purchase order number Invoice date Invoice number Invoice amount Description of goods or services provided/Line number of contract or purchase order Period of performance (if applicable) Discount terms (if applicable)

Invoice Submission

Invoices may be submitted electronically or via the mail. Please do not do both. Electronic invoicing is recommended and will speed issuance of payment.

Electronic Invoicing (Recommended Method)

Submit the invoice as an attachment to an email. PDF or Microsoft product attachments are readily accepted. The email should be forwarded to the following addresses:

1. ebilling@usss.dhs.gov

2. TBD

Invoicing Via Mail

1. Submit (1) invoice to the following address:

COMMUNICATIONS CENTER (FMD)

ATTN: COMML & GOVT PAYMENTS

P. O. BOX 6500

SPRINGFIELD, VA 22150

2. Submit a SECOND (duplicate) invoice to the following address:

COMMUNICATIONS CENTER (SSD)

ATTN: TBD

P. O. BOX 6500

SPRINGFIELD, VA 22150

G-2 INVOICE PAYMENT

In the absence of discount terms, the Secret Service processes invoices in accordance with the Prompt Payment Act. Payment will be made within 30 days of receipt of a correct invoice or delivery of the goods or services, whichever is later. Receipt of a correct invoice is defined as:

Electronic Invoicing - receipt of the invoice at the above mentioned email addresses; or

Invoicing Via Mail - receipt of the invoice at the above mentioned mail addresses.

It may take approximately 30 days to receive payment. If after 30 days, you do not receive payment, then please contact the Financial Payments Branch, Financial Management Division at 202-406-5232.

G-3 ORDERING

Supplies and services to be furnished under this contract shall be ordered by issuance of delivery orders. Only the United States Secret Service is authorized to place orders under this contract. All orders shall be subject to the terms and conditions of this contract. The provisions of this contract shall be in control in the event of a conflict with any delivery order.

SECTION H -- SPECIAL CONTRACT REQUIREMENTS

H-1 ADDITIONAL DISCLOSURE OF INFORMATION

The contract shall not disclose any information under this contract/order, including the following, to any person unless (i) it is required for the performance of this contract/order or (ii) the individual is specifically authorized in writing by the Contracting Officer to receive this information.

a. The contract/order award.

b. The contract/order schedule and technical data incorporated therein.

c. Purchase Description, Specifications and Drawings.

d. Scientific studies, research, development and design service.

e. Components, devices, equipment and systems.

f. Techniques, methods and processes.

g. Details and/or results or performance.

Disclosures by the Contractor which require specific written authorization from the Contracting Officer include, but are not limited to, information, whether written or oral, to be revealed in technical conferences, symposia, meetings, periodicals, journals, brochures or advertising.

H-2 SECURITY CLEARANCES AND RELATED ISSUES

Due to the sensitivity of information to be collected, the contractor(s) performing this task shall be a United States citizen(s).

The contractor(s) shall have at a minimum a Secret level security clearance and be cleared with the USSS prior to working on this project in any way. The USSS will provide facility access and required systems access in order to perform duties. This access will be in accordance with established USSS facility access security procedures.

Sensitivity of Information and Clearance Requirements

Any and all information processed by the contractor as described in this document will be considered Secret. Under this contract, non-government personnel will not have access to classified materials or information. Although individual elements are Secret, in their totality they represent access to the highly sensitive nature of the Secret Service operating environment.

Thus, all contractor personnel working under this contract shall possess a Defense Investigative Service Contracting Office (DISCO) (also Office of Personnel Management (OPM) or other approved clearance authority), security clearance at the Secret level as already stated.

US Government shall identify all information that will be classified Secret. In the event that the Offeror receives such information, Offeror shall limit its access as defined by the issuing Government agency.

H-3 SAFEGUARDING SENSITIVE INFORMATION (MAR 2015)

52.224-1 Privacy Act Notification (APR 1984)

52.224-2 Privacy Act (APR 1984)

52.239-1 Privacy or Security Safeguards (AUG 1996)

Safeguarding of Sensitive Information (MAR 2015)

(a) Applicability. This clause applies to the Contractor, its subcontractors, and Contractor employees (hereafter referred to collectively as “Contractor”). The Contractor shall insert the substance of this clause in all subcontracts.

(b) Definitions. As used in this clause—

“Personally Identifiable Information (PII)” means information that can be used to distinguish or trace an individual's identity, such as name, social security number, or biometric records, either alone, or when combined with other personal or identifying information that is linked or linkable to a specific individual, such as date and place of birth, or mother’s maiden name. The definition of PII is not anchored to any single category of information or technology. Rather, it requires a case-by-case assessment of the specific risk that an individual can be identified. In performing this assessment, it is important for an agency to recognize that non-personally identifiable information can become personally identifiable information whenever additional information is made publicly available—in any medium and from any source—that, combined with other available information, could be used to identify an individual.

PII is a subset of sensitive information. Examples of PII include, but are not limited to: name, date of birth, mailing address, telephone number, Social Security number (SSN), email address, zip code, account numbers, certificate/license numbers, vehicle identifiers including license plates, uniform resource locators (URLs), static Internet protocol addresses, biometric identifiers such as fingerprint, voiceprint, iris scan, photographic facial images, or any other unique identifying number or characteristic, and any information where it is reasonably foreseeable that the information will be linked with other information to identify the individual.

“Sensitive Information” is defined in HSAR clause 3052.204-71, Contractor Employee Access, as any information, which if lost, misused, disclosed, or, without authorization is accessed, or modified, could adversely affect the national or homeland security interest, the conduct of Federal programs, or the privacy to which individuals are entitled under section 552a of Title 5, United States Code (the Privacy Act), but which has not been specifically authorized under criteria established by an Executive Order or an Act of Congress to be kept secret in the interest of national defense, homeland security or foreign policy. This definition includes the following categories of information:

(1) Protected Critical Infrastructure Information (PCII) as set out in the Critical Infrastructure Information Act of 2002 (Title II, Subtitle B, of the Homeland Security Act, Public Law 107-296, 196 Stat. 2135), as amended, the implementing regulations thereto (Title 6, Code of Federal Regulations, Part 29) as amended, the applicable PCII Procedures Manual, as amended, and any supplementary guidance officially communicated by an authorized official of the Department of Homeland Security (including the PCII Program Manager or his/her designee);

(2) Sensitive Security Information (SSI), as defined in Title 49, Code of Federal Regulations, Part 1520, as amended, “Policies and Procedures of Safeguarding and Control of SSI,” as amended, and any supplementary guidance officially communicated by an authorized official of the Department of Homeland Security (including the Assistant Secretary for the Transportation Security Administration or his/her designee);

(3) Information designated as “For Official Use Only,” which is unclassified information of a sensitive nature and the unauthorized disclosure of which could adversely impact a person’s privacy or welfare, the conduct of Federal programs, or other programs or operations essential to the national or homeland security interest; and

(4) Any information that is designated “sensitive” or subject to other controls, safeguards or protections in accordance with subsequently adopted homeland security information handling procedures.

“Sensitive Information Incident” is an incident that includes the known, potential, or suspected exposure, loss of control, compromise, unauthorized disclosure, unauthorized acquisition, or unauthorized access or attempted access of any Government system, Contractor system, or sensitive information.

“Sensitive Personally Identifiable Information (SPII)” is a subset of PII, which if lost, compromised or disclosed without authorization, could result in substantial harm, embarrassment, inconvenience, or unfairness to an individual. Some forms of PII are sensitive as stand-alone elements. Examples of such PII include: Social Security numbers (SSN), driver’s license or state identification number, Alien Registration Numbers (A-number), financial account number, and biometric identifiers such as fingerprint, voiceprint, or iris scan. Additional examples include any groupings of information that contain an individual’s name or other unique identifier plus one or more of the following elements:

(1) Truncated SSN (such as last 4 digits)

(2) Date of birth (month, day, and year)

(3) Citizenship or immigration status

(4) Ethnic or religious affiliation

(5) Sexual orientation

(6) Criminal History

(7) Medical Information

(8) System authentication information such as mother’s maiden name, account passwords or personal identification numbers (PIN)

Other PII may be “sensitive” depending on its context, such as a list of employees and their performance ratings or an unlisted home address or phone number. In contrast, a business card or public telephone directory of agency employees contains PII but is not sensitive.

(c) Authorities. The Contractor shall follow all current versions of Government policies and guidance accessible at http://www.dhs.gov/dhs-security-and-training-requirements-contractors, or available upon request from the Contracting Officer, including but not limited to:

(1) DHS Management Directive 11042.1 Safeguarding Sensitive But Unclassified (for Official Use Only) Information

(2) DHS Sensitive Systems Policy Directive 4300A

(3) DHS 4300A Sensitive Systems Handbook and Attachments

(4) DHS Security Authorization Process Guide

(5) DHS Handbook for Safeguarding Sensitive Personally Identifiable Information

(6) DHS Instruction Handbook 121-01-007 Department of Homeland Security Personnel Suitability and Security

Program

(7) DHS Information Security Performance Plan (current fiscal year)

(8) DHS Privacy Incident Handling Guidance

(9) Federal Information Processing Standard (FIPS) 140-2 Security Requirements for Cryptographic Modules accessible at http://csrc.nist.gov/groups/STM/cmvp/standards.html

(10) National Institute of Standards and Technology (NIST) Special Publication 800-53 Security and Privacy

Controls for Federal Information Systems and Organizations accessible at http://csrc.nist.gov/publications/PubsSPs.html

(11) NIST Special Publication 800-88 Guidelines for Media Sanitization accessible at http://csrc.nist.gov/publications/PubsSPs.html

(d) Handling of Sensitive Information. Contractor compliance with this clause, as well as the policies and procedures described below, is required.

(1) Department of Homeland Security (DHS) policies and procedures on Contractor personnel security requirements are set forth in various Management Directives (MDs), Directives, and Instructions. MD 11042.1, Safeguarding Sensitive But Unclassified (For Official Use Only) Information describes how Contractors must handle sensitive but unclassified information. DHS uses the term “FOR OFFICIAL USE ONLY” to identify sensitive but unclassified information that is not otherwise categorized by statute or regulation. Examples of sensitive information that are categorized by statute or regulation are PCII, SSI, etc. The DHS Sensitive Systems Policy Directive 4300A and the DHS 4300A Sensitive Systems Handbook provide the policies and procedures on security for Information Technology (IT) resources. The DHS Handbook for Safeguarding Sensitive Personally Identifiable Information provides guidelines to help safeguard SPII in both paper and electronic form. DHS Instruction Handbook 121-01-007 Department of Homeland Security Personnel Suitability and Security Program establishes procedures, program responsibilities, minimum standards, and reporting protocols for the DHS Personnel Suitability and Security Program.

(2) The Contractor shall not use or redistribute any sensitive information processed, stored, and/or transmitted by the Contractor except as specified in the contract.

http://www.dhs.gov/dhs-security-and-training-requirements-contractors http://csrc.nist.gov/publications/PubsSPs.html

(3) All Contractor employees with access to sensitive information shall execute DHS Form 11000-6, Department of Homeland Security Non-Disclosure Agreement (NDA), as a condition of access to such information. The Contractor shall maintain signed copies of the NDA for all employees as a record of compliance. The Contractor shall provide copies of the signed NDA to the Contracting Officer’s Representative (COR) no later than two (2) days after execution of the form.

(4) The Contractor’s invoicing, billing, and other recordkeeping systems maintained to support financial or other administrative functions shall not maintain SPII. It is acceptable to maintain in these systems the names, titles and contact information for the COR or other Government personnel associated with the administration of the contract, as needed.

(e) Authority to Operate. The Contractor shall not input, store, process, output, and/or transmit sensitive information within a Contractor IT system without an Authority to Operate (ATO) signed by the Headquarters or Component CIO, or designee, in consultation with the Headquarters or Component Privacy Officer. Unless otherwise specified in the ATO letter, the ATO is valid for three (3) years. The Contractor shall adhere to current Government policies, procedures, and guidance for the Security Authorization (SA) process as defined below.

(1) Complete the Security Authorization process. The SA process shall proceed according to the DHS Sensitive Systems Policy Directive 4300A (Version 11.0, April 30, 2014), or any successor publication, DHS 4300A Sensitive Systems Handbook (Version 9.1, July 24, 2012), or any successor publication, and the Security Authorization Process Guide including templates.

(i) Security Authorization Process Documentation. SA documentation shall be developed using the

Government provided Requirements Traceability Matrix and Government security documentation templates.

SA documentation consists of the following: Security Plan, Contingency Plan, Contingency Plan Test Results, Configuration Management Plan, Security Assessment Plan, Security Assessment Report, and Authorization to Operate Letter. Additional documents that may be required include a Plan(s) of Action and Milestones and Interconnection Security Agreement(s). During the development of SA documentation, the Contractor shall submit a signed SA package, validated by an independent third party, to the COR for acceptance by the Headquarters or Component CIO, or designee, at least thirty (30) days prior to the date of operation of the IT system. The Government is the final authority on the compliance of the SA package and may limit the number of resubmissions of a modified SA package. Once the ATO has been accepted by the Headquarters or Component CIO, or designee, the Contracting Officer shall incorporate the ATO into the contract as a compliance document. The Government’s acceptance of the ATO does not alleviate the Contractor’s responsibility to ensure the IT system controls are implemented and operating effectively.

(ii) Independent Assessment. Contractors shall have an independent third party validate the security and privacy controls in place for the system(s). The independent third party shall review and analyze the SA package, and report on technical, operational, and management level deficiencies as outlined in NIST Special Publication 800-53 Security and Privacy Controls for Federal Information Systems and Organizations. The Contractor shall address all deficiencies before submitting the SA package to the Government for acceptance.

(iii) Support the completion of the Privacy Threshold Analysis (PTA) as needed. As part of the SA process, the

Contractor may be required to support the Government in the completion of the PTA. The requirement to complete a PTA is triggered by the creation, use, modification, upgrade, or disposition of a Contractor IT system that will store, maintain and use PII, and must be renewed at least every three (3) years. Upon review of the PTA, the DHS Privacy Office determines whether a Privacy Impact Assessment (PIA) and/or Privacy Act System of Records Notice (SORN), or modifications thereto, are required. The Contractor shall provide all support necessary to assist the Department in completing the PIA in a timely manner and shall ensure that project management plans and schedules include time for the completion of the PTA, PIA, and SORN (to the extent required) as milestones. Support in this context includes responding timely to requests for information from the Government about the use, access, storage, and maintenance of PII on the Contractor’s system, and providing timely review of relevant compliance documents for factual accuracy. Information on the DHS privacy compliance process, including PTAs, PIAs, and SORNs, is accessible at http://www.dhs.gov/privacy-compliance.

(2) Renewal of ATO. Unless otherwise specified in the ATO letter, the ATO shall be renewed every three (3) years. The Contractor is required to update its SA package as part of the ATO renewal process. The Contractor shall update its SA package by one of the following methods: (1) Updating the SA documentation in the DHS automated information assurance tool for acceptance by the Headquarters or Component CIO, or designee, at least 90 days before the ATO expiration date for review and verification of security controls; or (2) Submitting an updated SA package directly to the COR for approval by the Headquarters or Component CIO, or designee, at least 90 days before the ATO expiration date for review and verification of security controls. The 90 day review process is independent of the system production date and therefore it is important that the Contractor build the review into project schedules. The reviews may include onsite visits that involve physical or logical inspection of the Contractor environment to ensure controls are in place.

(3) Security Review. The Government may elect to conduct random periodic reviews to ensure that the security requirements contained in this contract are being implemented and enforced. The Contractor shall afford DHS, the Office of the Inspector General, and other Government organizations access to the Contractor’s facilities, installations, operations, documentation, databases and personnel used in the performance of this contract. The Contractor shall, through the Contracting Officer and COR, contact the Headquarters or Component CIO, or designee, to coordinate and participate in review and inspection activity by Government organizations external to the DHS. Access shall be provided, to the extent necessary as determined by the Government, for the Government to carry out a program of inspection, investigation, and audit to safeguard against threats and hazards to the integrity, availability and confidentiality of Government data or the function of computer systems used in performance of this contract and to preserve evidence of computer crime.

(4) Continuous Monitoring. All Contractor-operated systems that input, store, process, output, and/or transmit sensitive information shall meet or exceed the continuous monitoring requirements identified in the Fiscal Year 2014 DHS Information Security Performance Plan, or successor publication. The plan is updated on an annual basis. The Contractor shall also store monthly continuous monitoring data at its location for a period not less than one year from the date the data is created. The data shall be encrypted in accordance with FIPS 140-2 Security Requirements for Cryptographic Modules and shall not be stored on systems that are shared with other commercial or Government entities. The Government may elect to perform continuous monitoring and IT security scanning of Contractor systems from Government tools and infrastructure.

(5) Revocation of ATO. In the event of a sensitive information incident, the Government may suspend or revoke an existing ATO (either in part or in whole). If an ATO is suspended or revoked in accordance with this provision, the Contracting Officer may direct the Contractor to take additional security measures to secure sensitive information. These measures may include restricting access to sensitive information on the Contractor IT system under this contract. Restricting access may include disconnecting the system processing, storing, or transmitting the sensitive information from the Internet or other networks or applying additional security controls.

(6) Federal Reporting Requirements. Contractors operating information systems on behalf of the Government or operating systems containing sensitive information shall comply with Federal reporting requirements. Annual and quarterly data collection will be coordinated by the Government. Contractors shall provide the COR with requested information within three (3) business days of receipt of the request. Reporting requirements are determined by the Government and are defined in the Fiscal Year 2014 DHS Information Security Performance Plan, or successor publication. The Contractor shall provide the Government with all information to fully satisfy Federal reporting requirements for Contractor systems.

(f) Sensitive Information Incident Reporting Requirements.

(1) All known or suspected sensitive information incidents shall be reported to the Headquarters or Component Security Operations Center (SOC) within one hour of discovery in accordance with 4300A Sensitive Systems Handbook Incident Response and Reporting requirements. When notifying the Headquarters or Component SOC, the Contractor shall also notify the Contracting Officer, COR, Headquarters or Component Privacy Officer, and US-CERT using the contact information identified in the contract. If the incident is reported by phone or the Contracting Officer’s email address is not immediately available, the Contractor shall contact the Contracting Officer immediately after reporting the incident to the Headquarters or Component SOC. The Contractor shall not include any sensitive information in the subject or body of any e-mail. To transmit sensitive information, the Contractor shall use FIPS 140-2 Security Requirements for Cryptographic Modules compliant encryption methods to protect sensitive information in attachments to email. Passwords shall not be communicated in the same email as the attachment. A sensitive information incident shall not, by itself, be interpreted as evidence that the Contractor has failed to provide adequate information security safeguards for sensitive information, or has otherwise failed to meet the requirements of the contract.

(2) If a sensitive information incident involves PII or SPII, in addition to the reporting requirements in 4300A Sensitive Systems Handbook Incident Response and Reporting, Contractors shall also provide as many of the following data elements that are available at the time the incident is reported, with any remaining data elements provided within 24 hours of submission of the initial incident report:

(i) Data Universal Numbering System (DUNS);

(ii) Contract numbers affected unless all contracts by the company are affected;

(iii) Facility CAGE code if the location of the event is different than the prime contractor location;

(iv) Point of contact (POC) if different than the POC recorded in the System for Award Management (address, position, telephone, email);

(v) Contracting Officer POC (address, telephone, email);

(vi) Contract clearance level;

(vii) Name of subcontractor and CAGE code if this was an incident on a subcontractor network;

(viii) Government programs, platforms or systems involved;

(ix) Location(s) of incident;

(x) Date and time the incident was discovered;

(xi) Server names where sensitive information resided at the time of the incident, both at the Contractor and subcontractor level;

(xii) Description of the Government PII and/or SPII contained within the system;

(xiii) Number of people potentially affected and the estimate or actual number of records exposed and/or contained within the system; and

(xiv) Any additional information relevant to the incident.

(g) Sensitive Information Incident Response Requirements.

(1) All determinations related to sensitive information incidents, including response activities, notifications to affected individuals and/or Federal agencies, and related services (e.g., credit monitoring) will be made in writing by the Contracting Officer in consultation with the Headquarters or Component CIO and Headquarters or Component Privacy Officer.

(2) The Contractor shall provide full access and cooperation for all activities determined by the Government to be required to ensure an effective incident response, including providing all requested images, log files, and event information to facilitate rapid resolution of sensitive information incidents.

(3) Incident response activities determined to be required by the Government may include, but are not limited to, the following:

i. Inspections,

ii. Investigations,

iii. Forensic reviews, and

iv. Data analyses and processing.

(4) The Government, at its sole discretion, may obtain the assistance from other Federal agencies and/or third-party firms to aid in incident response activities.

(h) Additional PII and/or SPII Notification Requirements.

(1) The Contractor shall have in place procedures and the capability to notify any individual whose PII resided in the

Contractor IT system at the time of the sensitive information incident not later than 5 business days after being directed to notify individuals, unless otherwise approved by the Contracting Officer. The method and content of any notification by the Contractor shall be coordinated with, and subject to prior written approval by the Contracting Officer, in consultation with the Headquarters or Component Privacy Officer, utilizing the DHS Privacy Incident Handling Guidance. The Contractor shall not proceed with notification unless the Contracting Officer, in consultation with the Headquarters or Component Privacy Officer, has determined in writing that notification is appropriate.

(2) Subject to Government analysis of the incident and the terms of its instructions to the Contractor regarding any resulting notification, the notification method may consist of letters to affected individuals sent by first class mail, electronic means, or general public notice, as approved by the Government. Notification may require the Contractor’s use of address verification and/or address location services. At a minimum, the notification shall include:

(i) A brief description of the incident;

(ii) A description of the types of PII and SPII involved;

(iii) A statement as to whether the PII or SPII was encrypted or protected by other means;

(iv) Steps individuals may take to protect themselves;

(v) What the Contractor and/or the Government are doing to investigate the incident, to mitigate the incident, and to protect against any future incidents; and

(vi) Information identifying who individuals may contact for additional information.

(i) Credit Monitoring Requirements. In the event that a sensitive information incident involves PII or SPII, the Contractor may be required to, as directed by the Contracting Officer:

(1) Provide notification to affected individuals as described above; and/or

(2) Provide credit monitoring services to individuals whose data was under the control of the Contractor or resided in the Contractor IT system at the time of the sensitive information incident for a period beginning the date of the incident and extending not less than 18 months from the date the individual is notified. Credit monitoring services shall be provided from a company with which the Contractor has no affiliation. At a minimum, credit monitoring services shall include:

(i) Triple credit bureau monitoring;

(ii) Daily customer service;

(iii) Alerts provided to the individual for changes and fraud; and

(iv) Assistance to the individual with enrollment in the services and the use of fraud alerts; and/or

(3) Establish a dedicated call center. Call center services shall include:

(i) A dedicated telephone number to contact customer service within a fixed period;

(ii) Information necessary for registrants/enrollees to access credit reports and credit scores;

(iii) Weekly reports on call center volume, issue escalation (i.e., those calls that cannot be handled by call center staff and must be resolved by call center management or DHS, as appropriate), and other key metrics;

(iv) Escalation of calls that cannot be handled by call center staff to call center management or DHS, as appropriate;

(v) Customized FAQs, approved in writing by the Contracting Officer in coordination with the Headquarters or

Component Chief Privacy Officer; and

(vi) Information for registrants to contact customer service representatives and fraud resolution representatives for credit monitoring assistance.

(j) Certification of Sanitization of Government and Government-Activity-Related Files and Information. As part of contract closeout, the Contractor shall submit the certification to the COR and the Contracting Officer following the template provided in NIST Special Publication 800-88 Guidelines for Media Sanitization.(End of clause)

Security of Systems Handling Personally Identifiable Information and Privacy Incident Response

(a) Definitions.

“Breach” (may be used interchangeably with “Privacy Incident’) as used in this clause means the loss of control, compromise, unauthorized disclosure, unauthorized acquisition, unauthorized access, or any similar situation where persons other than authorized users, and for other than authorized purpose, have access or potential access to Personally Identifiable Information, in usable form whether physical or electronic.

“Personally Identifiable Information (PII)” as used in this clause means any information that permits the identity of an individual to be directly or indirectly inferred, including any other information that is linked or linkable to that individual regardless of whether the individual is a citizen of the United States, legal permanent resident, or a visitor to the United States.

Examples of PII include: name, date of birth, mailing address, telephone number, Social Security Number (SSN), email address, zip code, account numbers, certificate/license numbers, vehicle identifiers including license plates, uniform resource locators (URLs), Internet protocol addresses, biometric identifiers (e.g., fingerprints), photographic facial images, or any other unique identifying number or characteristic, and any information where it is reasonably foreseeable that the information will be linked with other information to identify the individual.

“Sensitive Personally Identifiable Information (Sensitive PII)” as used in this clause is a subset of Personally Identifiable Information, which if lost, compromised or disclosed without authorization, could result in substantial harm, embarrassment, inconvenience, or unfairness to an individual. Complete social security numbers (SSN), alien registration numbers (A-number) and biometric identifiers (such as fingerprint, voiceprint, or iris scan) are considered Sensitive PII even if they are not coupled with additional PII. Additional examples include any groupings of information that contains an individual’s name or other unique identifier plus one or more of the following elements:

1. Driver’s license number, passport number, or truncated SSN (such as last 4 digits)

2. Date of birth (month, day, and year)

3. Citizenship or immigration status

4. Financial information such as account numbers or Electronic Funds Transfer Information

5. Medical Information

6. System authentication information such as mother’s maiden name, account passwords or personal identification numbers

(PIN)

Other Personally Identifiable information may be “sensitive” depending on its context, such as a list of employees with less than satisfactory performance ratings or an unlisted home address or phone number. In contrast, a business card or public telephone directory of agency employees contains Personally Identifiable Information but it is not sensitive.

Sensitive PII have higher impact ratings for purposes of privacy incident handling.

(b) Systems Access. Work to be performed under this contract requires the handling of Sensitive PII. The contractor shall provide the Government access to, and information regarding its systems, when requested by the Government, as part of its responsibility to ensure compliance with security requirements, and shall otherwise cooperate with the Government in assuring compliance with such requirements. Government access shall include independent validation testing of controls, system penetration testing by the Government, Federal Information Security Management Act (FISMA) data reviews, and access by agency Inspectors General for its reviews.

(c) Systems Security. In performing its duties related to management, operation, and/or access of systems containing Sensitive PII under this contract, the contractor, its employees and subcontractors shall comply with applicable security requirements described in DHS Sensitive System Publication 4300A or any replacement publication. In addition, use of contractor-owned laptops or other media storage devices to process or store PII is prohibited under this contract until the contractor provides, and the contracting officer in coordination with CISO approves, written certification by the contractor that the following requirements are met:

(1) Laptops employ encryption using a NIST Federal Information Processing Standard (FIPS) 140-2 or successor approved product;

(2) The contractor has developed and implemented a process to ensure that security and other applications software are kept current;

(3) Mobile computing devices…