HTC711-09-R-0016.pdf

32g. E-MAIL OF AUTHORIZED GOVERNMENT REPRESENTATIVE

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL ITEMS

(CONTINUED)

SEE SCHEDULE

19. ITEM NO. 20. SCHEDULE OF SUPPLIES/ SERVICES 21. QUANTITY 22. UNIT 24. AMOUNT

PAGE 2 OF

23. UNIT PRICE

ACCEPTED, AND CONFORMS TO THE CONTRACT, EXCEPT AS NOTED: ______________________________________________________

32a. QUANTITY IN COLUMN 21 HAS BEEN

RECEIVED INSPECTED

32b. SIGNATURE OF AUTHORIZED GOVERNMENT

REPRESENTATIVE

32c. DATE 32d. PRINTED NAME AND TITLE OF AUTHORIZED GOVERNMENT

REPRESENTATIVE

32e. MAILING ADDRESS OF AUTHORIZED GOVERNMENT REPRESENTATIVE 32f . TELEPHONE NUMBER OF AUTHORIZED GOVERNMENT REPRESENTATIVE

37. CHECK NUMBER

FINALPARTIALCOMPLETE

36. PAYMENT35. AMOUNT VERIFIED

CORRECT FOR

34. VOUCHER NUMBER

FINAL

33. SHIP NUMBER

PARTIAL

38. S/R ACCOUNT NUMBER 39. S/R VOUCHER NUMBER 40. PAID BY

41a. I CERTIFY THIS ACCOUNT IS CORRECT AND PROPER FOR PAYMENT 41b. SIGNATURE AND TITLE OF CERTIFYING OFFICER 41c. DATE

42a. RECEIVED BY (Print)

42b. RECEIVED AT (Location)

42c. DATE REC'D (YY/MM/DD) 42d. TOTAL CONTAINERS

STANDARD FORM 1449 (REV 3/2005) BACK

Prescribed by GSA

FAR (48 CFR) 53.212

AUTHORIZED FOR LOCAL REPRODUCTION

PREVIOUS EDITION IS NOT USABLE

HTC711-09-R-0016

Section SF 1449 - CONTINUATION SHEET

ITEM NO SUPPLIES/SERVICES ESTIMATED

QUANTITY

UNIT UNIT PRICE ESTIMATED AMOUNT

0001 Lot GTMO Sealift Services

FFP

Dedicated liner service for containerized and break bulk cargo between U.S. Naval Station Guantanamo Bay, Cuba (GTMO) and Jacksonville, Florida (JaxPort).

Period of performance, 1 August 09 to 31 July 10. Rates shall be entered into the CARES II system.

FOB: Destination

COLOR: A

ESTIMATED

NET AMT

UNIT UNIT PRICE ESTIMATED AMOUNT

1001 Lot OPTION GTMO Sealift Services

FFP

Dedicated liner service for containerized and break bulk cargo between U.S. Naval Station Guantanamo Bay, Cuba (GTMO) and Jacksonville, Florida (JaxPort).

Period of performance, 1 August 10 to 31 July 11. Rates shall be entered into the CARES II system.

UNIT UNIT PRICE ESTIMATED AMOUNT

2001 Lot OPTION GTMO Sealift Services

FFP

Dedicated liner service for containerized and break bulk cargo between U.S. Naval Station Guantanamo Bay, Cuba (GTMO) and Jacksonville, Florida (JaxPort).

Period of performance, 1 August 11 to 30 July 12. Rates shall be entered into the CARES II system.

INSPECTION AND ACCEPTANCE TERMS

Supplies/services will be inspected/accepted at:

CLIN INSPECT AT INSPECT BY ACCEPT AT ACCEPT BY

0001 Destination Government Destination Government 1001 N/A N/A N/A Government 2001 N/A N/A N/A Government

DELIVERY INFORMATION

CLIN DELIVERY DATE QUANTITY SHIP TO ADDRESS UIC

0001 POP 01-AUG-2009 TO

31-JUL-2010

N/A USTRANSCOM-AQ - HTC711

CARRIE E. YEARIAN

508 SCOTT DR

SCOTT AFB IL 62225-5357

618-256-6648

HTC711

1001 POP 01-AUG-2010 TO

31-JUL-2011

N/A (SAME AS PREVIOUS LOCATION)

2001 POP 01-AUG-2011 TO

31-JUL-2012

N/A (SAME AS PREVIOUS LOCATION)

CLAUSES INCORPORATED BY FULL TEXT

52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)

This contract incorporates one or more clauses by reference, with the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available. Also, the full text of a clause may be accessed electronically at this/these address(es):

http://farsite.hill.af.mil

(End of clause)

CLAUSES INCORPORATED BY REFERENCE

52.203-3 Gratuities APR 1984 52.203-6 Alt I Restrictions On Subcontractor Sales To The Government

(Sep 2006) -- Alternate I

OCT 1995

52.204-4 Printed or Copied Double-Sided on Recycled Paper AUG 2000 52.204-7 Central Contractor Registration APR 2008 52.212-4 Contract Terms and Conditions--Commercial Items OCT 2008 52.222-3 Convict Labor JUN 2003 52.222-21 Prohibition Of Segregated Facilities FEB 1999 52.222-26 Equal Opportunity MAR 2007 52.222-35 Equal Opportunity For Special Disabled Veterans, Veterans of the Vietnam Era, and Other Eligible Veterans

SEP 2006

52.222-36 Affirmative Action For Workers With Disabilities JUN 1998 52.222-37 Employment Reports On Special Disabled Veterans, Veterans

Of The Vietnam Era, and Other Eligible Veterans

SEP 2006

52.225-13 Restrictions on Certain Foreign Purchases JUN 2008

52.228-3 Worker's Compensation Insurance (Defense Base Act) APR 1984 52.233-3 Protest After Award AUG 1996 52.233-4 Applicable Law for Breach of Contract Claim OCT 2004 52.247-64 Alt I Preference for Privately Owned U.S.-Flag Commercial

Vessels (Feb 2006) - Alternate I

APR 2003

252.201-7000 Contracting Officer's Representative DEC 1991 252.204-7004 Alt A Central Contractor Registration (52.204-7) Alternate A SEP 2007 252.205-7000 Provision Of Information To Cooperative Agreement Holders DEC 1991 252.212-7001 (Dev) Contract Terms and Conditions Required to Implement

Statutes or Executive Orders Applicable to Defense Acquisitions of Commercial Items (Deviation)

JAN 2009

252.226-7001 Utilization of Indian Organizations and Indian-Owned Economic Enterprises, and Native Hawaiian Small Business Concerns

SEP 2004

252.232-7003 Electronic Submission of Payment Requests and Receiving Reports

MAR 2008

CLAUSES INCORPORATED BY FULL TEXT

52.211-11 LIQUIDATED DAMAGES--SUPPLIES, SERVICES, OR RESEARCH AND DEVELOPMENT

(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 $1,000.00 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.

52.212-5 CONTRACT TERMS AND CONDITIONS REQUIRED TO IMPLEMENT STATUTES OR

EXECUTIVE ORDERS--COMMERCIAL ITEMS (APR 2009) (DEVIATION)

(a) Comptroller General Examination of Record. The Contractor agrees to comply with the provisions of this paragraph (a) if the contract was awarded using other than sealed bid, is in excess of the simplified acquisition threshold, and does not contain the clause at 52.215-2, Audit and Records-Negotiation.

(1) The Comptroller General of the United States, or an authorized representative of the Comptroller General, shall have access to the right to examine any of the Contractor's directly pertinent records involving transactions related to this contract.

(2) The Contractor shall make available at its offices at all reasonable times, the records, materials, and other evidence for examination, audit, or reproduction, until 3 years after final payment under this contract or for any shorter period specified in FAR Subpart 4.7, Contractor Records Retention, of the other clauses of this contract. If this contract is completely or partially terminated, the records relating to the work terminated shall be made available for 3 years after any resulting final termination settlement. Records relating to appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to this contract shall be made available until such appeals, litigation, or claims are finally resolved.

(3) As used in this clause, records include books, documents, accounting procedures and practices, and other data, regardless of form. This does not require the Contractor to create or maintain any record that the Contractor does not maintain in the ordinary course of business or pursuant to a provision of law.

(b)(1) Notwithstanding the requirements of the clauses in paragraphs (a), (b), (c), and (d) of this clause, the Contractor is not required to flow down any FAR clause, other than those in this paragraph (e)(1)in a subcontract for commercial items. Unless otherwise indicated below, the extent of the flow down shall be as required by the clause—

(i) 52.203-13, Contractor Code of Business Ethics and Conduct (DEC 2008) (Pub. L. 110-252, Title VI, Chapter 1 (41 U.S.C. 251 note).

(ii) 52.219-8, Utilization of Small Business Concerns (May 2004) (15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds $550,000 ($1,000,000 for construction of any public facility), the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities.

(iii) 52.203-15, Whistleblower Protections Under the American Recovery and Reinvestment Act of 2009 (Section 1553 of Pub. L. 111-5). Applies to subcontracts funded under the Act.

(iv) 52.222-26, Equal Opportunity (MAR 2007) (E.O. 11246).

(v) 52.222-35, Equal Opportunity for Special Disabled Veterans, Veterans of the Vietnam Era, and Other Eligible Veterans (SEP 2006) (38 U.S.C. 4212).

(vi) 52.222-36, Affirmative Action for Workers with Disabilities (June 1998) (29 U.S.C. 793).

(vii) 52.222-39, Notification of Employee Rights Concerning Payment of Union Dues or Fees (DEC 2004) (E.O.

13201).

(viii) 52.222-41, Service Contract Act of 1965 (Nov 2007) (41 U.S.C. 351, et seq.).

(ix) 52.222-50, Combating Trafficking in Persons (FEB 2009) (22 U.S.C. 7104(g)).

Alternate I (AUG 2007) of 52.222-50 (22 U.S.C. 7104(g)).

(x) 52.222-51, Exemption from Application of the Service Contract Act to Contracts for Maintenance, Calibration, or Repair of Certain Equipment--Requirements (Nov 2007) (41 U.S.C. 351, et seq.).

(xi) 52.222-53, Exemption from Application of the Service Contract Act to Contracts for Certain Services-- Requirements (FEB 2009) (41 U.S.C. 351, et seq.).

(xii) 52.222-54, Employment Eligibility Verification (Jan 2009). (Not applicable until May 21, 2009.)

(xiii) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations. (MAR 2009) (Pub. L. 110-247).

Flow down required in accordance with paragraph (e) of FAR clause 52.226-6.

(xiv) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (FEB 2006) (46 U.S.C. Appx 1241(b) and 10 U.S.C. 2631). Flow down required in accordance with paragraph (d) of FAR clause 52.247-64.

(2) While not required, the contractor May include in its subcontracts for commercial items a minimal number of additional clauses necessary to satisfy its contractual obligations.

52.216-18 ORDERING. (OCT 1995)

(a) Any supplies and services to be furnished under this contract shall be ordered by issuance of delivery orders or task orders by the individuals or activities designated in the Schedule. Such orders may be issued from Base Period

- 1 July 09 to 30 June 10, Option Year one (1) – 1 July 10 to 30 June 11, Option Year two (2) – 1 July 11 to 30 June 12.

(b) All delivery orders or task orders are subject to the terms and conditions of this contract. In the event of conflict between a delivery order or task order and this contract, the contract shall control.

(c) If mailed, a delivery order or task order is considered "issued" when the Government deposits the order in the mail. Orders may be issued orally, by facsimile, or by electronic commerce methods only if authorized in the Schedule.

52.216-19 ORDER LIMITATIONS. (OCT 1995)

(a) Minimum order. When the Government requires supplies or services covered by this contract in an amount of less than 1 Forty Foot Equivalent or 1 Measurement Ton (40 Cubic Feet), the Government is not obligated to purchase, nor is the Contractor obligated to furnish, those supplies or services under the contract.

(b) Maximum order. The Contractor is not obligated to honor:

(1) Any order for a single item in excess of the capacity of the vessel;

(2) Any order for a combination of items in excess of the capacity of the vessel; or

(3) A series of orders from the same ordering office within 3days that together call for quantities exceeding the limitation in subparagraph (1) or (2) above.

(c) If this is a requirements contract (i.e., includes the Requirements clause at subsection 52.216-21 of the Federal Acquisition Regulation (FAR)), the Government is not required to order a part of any one requirement from the Contractor if that requirement exceeds the maximum-order limitations in paragraph (b) above.

(d) Notwithstanding paragraphs (b) and (c) above, the Contractor shall honor any order exceeding the maximum order limitations in paragraph (b), unless that order (or orders) is returned to the ordering office within one (1) day after issuance, with written notice stating the Contractor's intent not to ship the item (or items) called for and the reasons. Upon receiving this notice, the Government may acquire the supplies or services from another source.

52.216-21 REQUIREMENTS (OCT 1995)

(a) This is a requirements contract for the supplies or services specified, and effective for the period stated, in the Schedule. The quantities of supplies or services specified in the Schedule are estimates only and are not purchased by this contract. Except as this contract may otherwise provide, if the Government's requirements do not result in orders in the quantities described as "estimated'' or "maximum" in the Schedule, that fact shall not constitute the basis for an equitable price adjustment.

(b) Delivery or performance shall be made only as authorized by orders issued in accordance with the Ordering clause. Subject to any limitations in the Order Limitations clause or elsewhere in this contract, the Contractor shall furnish to the Government all supplies or services specified in the Schedule and called for by orders issued in accordance with the Ordering clause. The Government may issue orders requiring delivery to multiple destinations or performance at multiple locations.

(c) Except as this contract otherwise provides, the Government shall order from the Contractor all the supplies or services specified in the Schedule that are required to be purchased by the Government activity or activities specified in the Schedule.

(d) The Government is not required to purchase from the Contractor requirements in excess of any limit on total orders under this contract.

(e) If the Government urgently requires delivery of any quantity of an item before the earliest date that delivery may be specified under this contract, and if the Contractor will not accept an order providing for the accelerated delivery, the Government may acquire the urgently required goods or services from another source.

(f) Any order issued during the effective period of this contract and not completed within that period shall be completed by the Contractor within the time specified in the order. The contract shall govern the Contractor's and Government's rights and obligations with respect to that order to the same extent as if the order were completed during the contract's effective period; provided, that the Contractor shall not be required to make any deliveries under this contract after the return of the last scheduled voyage.

52.217-8 OPTION TO EXTEND SERVICES (NOV 1999)

The Government may require continued performance of any services within the limits and at the rates specified in the contract. These rates may be adjusted only as a result of revisions to prevailing labor rates provided by the Secretary of Labor. The option provision may be exercised more than once, but the total extension of performance hereunder shall not exceed 6 months. The Contracting Officer may exercise the option by written notice to the Contractor within 15 days.

52.217-9 OPTION TO EXTEND THE TERM OF THE CONTRACT (MAR 2000)

(a) The Government may extend the term of this contract by written notice to the Contractor before the contract expires; provided that the Government gives the Contractor a preliminary written notice of its intent to extend at least 30 days before the contract expires. The preliminary notice does not commit the Government to an extension.

(b) If the Government exercises this option, the extended contract shall be considered to include this option clause.

(c) The total duration of this contract, including the exercise of any options under this clause, shall not exceed 42 months.

52.252-6 AUTHORIZED DEVIATIONS IN CLAUSES (APR 1984)

(a) The use in this solicitation or contract of any Federal Acquisition Regulation (48 CFR Chapter 1) clause with an authorized deviation is indicated by the addition of "(DEVIATION)" after the date of the clause.

(b) The use in this solicitation or contract of any Department of Defense Supplement to the Federal Acquisition Regulation (48 CFR Chapter 1) clause with an authorized deviation is indicated by the addition of "(DEVIATION)" after the name of the regulation.

PERFORMANCE WORK STATEMENT

Performance Work Statement for

Guantanamo Bay, Cuba Sealift (GTMO)

1.0 Introduction/Background

1.1 Requirement

2.0 Scope

2.1 General Scope

2.2 Cargo

2.3 Voluntary Intermodal Sealift Agreement (VISA) Program

2.4 Regulatory Compliance /Applicable Documents

2.5 Bunker Adjustment Factor (BAF)

3.0 Maritime Clauses

3.1 Application of COGSA

3.2 Scope of Voyage (Liberties)

3.3 Strikes

3.4 Amended Jason Clause

3.5 Leins

3.6 Force Majure

3.7 War Risk

3.8 Excepted Cargo Category

3.9 Operational Shortfalls

4.0 Performance Requirements

4.1 Performance Requirement Summary (PRS)

4.2 Service Frequency

4.3 Transit Time

4.4 Vessel Schedule

4.5 Electronic Commerce/Electronic Data Interchange (EDI)

4.5.1 Shipment Status Reporting

4.5.2 Table of Reportable Shipment Status Events

4.6 Required Delivery Date

4.7 Cargo Lifted as Booked

4.8 Monthly Revenue Report

4.9 Equipment

4.10 Reefer Equipment

4.11 Container Standards

4.11.1 High Cube Containers

4.12 Containers Pickup/Delivery

4.13 Payment

5.0 Notes/Guidance

5.1 Limitation of Government Liability

5.1.1 Dead Freight

5.1.2 Alternate Transportation

5.2 Limitation of Carrier’s Obligation

5.2.1 Cargo Rejection

5.2.2 Unsafe Operation

5.2.3 Hazardous Cargo

5.3 Use of Government Terminals

5.3.1 Services

5.3.2 Shifting Docks

5.3.3 Custom of the Trade

5.3.4 Security

5.3.5 Safety in Loading and Discharging of Cargo

5.3.6 Substitution

5.4 Damage to Equipment

5.4.1 Damage to Carrier Equipment

5.4.2 Damage to Carrier Vessel or Vessel Equipment

5.4.3 Damage to Government Equipment

5.5 Government Furnished Containers

5.6 Cargo Receipt

5.6.1 Improper Documentation

5.7 Failure to Spot

5.7.1 Remedies

5.7.2 Liquidated Damages

5.8 Delay in Spotting

5.9 Overweight Containers

5.9.1 Notification

5.9.2 Cost Liabilities

5.9.3 Carriage of Overweight Container

5.10 Government Failure to Timely Release Containers

5.10.1 Occurrence

5.10.2 Load on the Next Vessel

5.10.3 Un-stuff the Container

5.10.4 Move Shipping Place

5.11 Carrier Failure to Load Containers

5.11.1 Occurrence

5.11.2 Load on the Next Vessel

5.11.3 Move to Another Shipping Place

5.11.4 Return the Cargo

5.12 No Fault Failure to Meeting Sailing

5.12.1 Occurrence

5.12.2 Load On the Next Vessel

5.12.3 Move to Another Shipping Place

5.12.4 Return the Cargo

5.13 Delay of Schedule Sailing

5.13.1 Occurrence

5.13.2 Container Release

5.13.3 Move to Another Shipping Place

5.13.4 Return the Cargo

5.14 Storage Charges

5.15 Commencement and Time Standard of Delivery Transportation

5.16 Transshipment of Relay

5.16.1 Policy

5.16.2 Foreign Flag Vessel

5.16.3 Notification of Arrival

5.17 Diversion for the Convenience of the Government

5.18 Transfer of Containerized Cargo

5.19 Time

5.19.1 Free Time Allowed

5.19.2 Commencement of Free Time

5.19.3 Running of Time

5.19.4 No Running of Time

5.19.5 Cessation of Time

5.19.6 Delivery at Carrier’s Terminal

5.19.7 Refrigerated Containers

5.20 Detention

5.20.1 Incurrence

5.20.2 Computation of Detention

5.20.3 Refrigerated Containers

5.20.4 Chassis Detention

5.21 Container Detention Charges

6.0 Quality Council

7.0 Miscellaneous

7.1 Shipping/Delivery Order

7.2 Container Size Ordered/Provided

7.3 Application of Rates

7.3.1 Expression Rates

7.3.2 Containerized Cargo

7.3.3 Vehicles

7.3.4 Stripping, Sorting, and Consolidation Charges

7.3.5 Break-bulk Cargo

7.4 Exceptions To General Application of Rates

7.4.1 Government Furnished Containers

7.5 Payment

7.5.1 Power Track

7.5.2 Submission of Invoices

7.5.3 Determination of Delivery

7.5.4 Withholding Payment

7.5.5 Reimbursement

7.5.6 Payment

7.5.7 Line-haul/Drayage

7.5.8 Electronic Payment

7.5.9 MRM-15

7.6 Refunds, Rebates and Credit

7.7 Agreed Cost Responsibility

7.7.1 General

7.7.2 Responsibility of the Carrier

7.7.3 Responsibility of the Government

7.8 Submission of Operational Reports

APPENDIX I Guantanamo Bay, Cuba Sealift

1.0 Description of GTMO Environment

1.1 Physical Characteristics/Equipment

1.2 GTMO & JAX Port Security Requirements

1.3 Leasing of Carrier Equipment

1.4 Equipment Interchange

1.5 Supercargo Service

2.0 Scope

2.1 Transportation Services

2.2 On Site Office Space

2.3 Acceptance and Movement of Non-Government Cargo

2.4 Second (2nd) POV’s (or alternatively a marine conveyance)

3.0 Identification of Authorized Agents

4.0 Container Service

5.0 Acccessorial Services

6.0 Over Dimensional Cargo

7.0 Accessorial Charges

8.0 Equipment Pools

9.0 Quality Assurance Program (QAP)

ATTACHMENTS

Attachment 1 Definitions/Abbreviations & Acronyms Attachment 2 Invoicing and Payment

1.0 INTRODUCTION/BACKGROUND

1.1 Requirement

United States Transportation Command (USTC) has a requirement for dedicated liner service for containerized and break bulk cargo between U.S. Naval Station Guantanamo Bay, Cuba (GTMO) and Jacksonville, Florida (JaxPort).

2.0 SCOPE

2.1 GENERAL SCOPE

The general scope of services under this RFP includes:

Ocean Transportation Related Intermodal movements and services Management Expertise

2.2 CARGO

2.2.1 Types. Types of cargo to be carried are military’s cargo, POV’s, household goods, subsistence, and any other cargo shipped by the Department of Defense (DOD) in the Defense Transportation System (DTS). All cargo shall be stowed in accordance with commercial shipping practices to prevent damage due to exposure to the elements.

2.2.2 Carriage. Cargo will be loaded and discharged by the carrier at terminal(s) at the carrier’s CONUS port of call.

The Carrier shall furnish all containers unless Government owned containers are to be transported.

2.2.3 Mileage Rates. In the absence of specified line haul rates between points within CONUS, inland charges are computed using mileage band rates, multiplied by the mileage found in the Defense Table of Distances (DTOD).

Mileage rates are stated by container size and are only used where no specific door/door rate exists. The DTOD is the official source for calculating distances when applying mileage rates. A commercial product that is DTOD compliant is “PC*Miler” that will produce distance calculations identical to DTOD. If the Carrier has “PC*Miler”, he will be provided a file of the official mileages to be used for all point to port and port to point combinations using mileage based rates. If the Carrier elects to use another source for computing mileage, he cannot be provided this file. Should there be any differences in the mileage computed by DTOD and the mileage invoiced by the Carrier, the Carrier will be paid based on the DTOD mileages. Rates for drayage or inland service in connection with the transportation of refrigerated cargo are applied at an additional 5% of the basic general cargo drayage inland or mileage rate.

See Attachment for city groups and zones that are part of this contract.

2.3 VOLUNTARY INTERMODAL SEALIFT AGREEMENT (VISA) PROGRAM

In compliance with the U.S. Cargo Preference Act of 1904 (10 U.S.C. 2631), U.S. flag Carriers will be given preference for award of contracts resulting from this solicitation. USTC recognizes the continuing need for a formalized program for the acquisition of sealift augmentation under less than full mobilization. Enrollment of a Carrier’s U.S. flag fleet in an authorized sealift readiness program establishes an award preference for participants under this procurement.

2.4 REGULATORY COMPLIANCE/APPLICABLE DOCUMENTS

The Carrier shall file all rates and terms of this Contract with the Federal Maritime Commission (FMC), the Surface Transportation Board (STB), and/or with other governmental agencies as may have jurisdiction over the services provided by the Contractor as set forth in this Contract. The Carrier agrees to comply with such regulations of the FMC, STB, and/or other governmental agencies as may be applicable for service to the Government in the carriage of military cargo as set forth in this Contract.

2.5 BUNKER ADJUSTMENT FACTOR (BAF)

2.5.1 Allowance

An allowance for fluctuations in marine fuel prices shall be paid to the Contractors or to the U.S. Government in accordance with the following:

The allowance shall be paid per freight payable unit of cargo. For containerized goods these units are 20-foot and 40-foot containers. For breakbulk cargo, they are measurement tons.

The Bunker Adjustment Factor is zero unless the one-month average fuel price is at least 20% higher or 20% lower (inclusive) than the baseline average fuel price.

The compensation per freight payable unit shall be calculated as follows:

[(Monthly Avg fuel price of MDO x % + Monthly Avg fuel price IFO 380 x % - Baseline fuel price) x BAF Technical Factor] / 6.50 (Conversation factor, metric tons to barrels) This formula will change depending on the type(s) of fuel used.

2.5.2 Baseline Fuel Price

The baseline for IFO 380 is $286 and the baseline for MDO is $489 for Norfolk. The source for this information is Bunkerworld. The type of fuel consumed by the barge/vessel used for this service will determine if IFO 380 or MDO is used (this information will be submitted as part of the offeror’s vessel profile in the technical proposal).

The government reserves the right to determine a new baseline after award if the barge or vessel used consumes a mixture of these fuels. This baseline will apply to the base year and all option years.

2.5.3 Calculations

2.5.3.1 BAF shall be calculated using Norfolk (ex-wharf) prices.

2.5.3.2 An average fuel price shall be computed by SDDC for Norfolk. This average price shall be calculated on or after the first of the month for the prior month and shall apply to shipments booked for sailings in the next month.

The monthly computation of adjusted average fuel prices will be posted to the SDDC website no later than the 10th of the month prior to the month in which it will be applied. Example: The average fuel prices for calculation of BAF charges for March shall be based on bunker prices for the month of January.

2.5.3.3 The scheduled month the vessel departs the load port at the time of booking shall determine the month for calculation of BAF charges.

2.5.3.4 The source for bunker prices is Bunkerworld; http://www.bunkerworld.com/, which calculates bunker average monthly prices by port and fuel type These prices are quoted in metric tons and shall be converted to barrels by dividing by 6.50. The IFO 380 and MDO average quotes shall then be averaged to calculate the monthly average fuel prices for Norfolk.

Conversion Factors for fuel types identified above are per DESC FY 07 standard fuel conversions

Fuel Type BBLS per MT

IFO 380 6.467

MDO 7.162

2.5.3.5 SDDC shall monitor,calculate and post BAF to the SDDC website.

2.6 Payment procedures.

2.6.1 For shipments paid using PowerTrack/U.S. Bank, the BAF shall be fixed at the time of booking and shall be based on the date the booked vessel is scheduled to sail. When BAF is payable, shippers shall include the applicable BAF amount (plus or minus) to all shipments paid to the Contractor via their own documentation and payment system at the time that the original transactions are sent to PowerTrack. Contractors using the PowerTrack invoice procedure shall include the applicable BAF amount (plus or minus) in their invoice.

2.6.2 For all shipments other than those paid using PowerTrack/U.S. Bank, Contractors are responsible for indicating on their shipment invoice whether a fuel payment is due them, whether no fuel payment is to be made or whether a fuel payment is due SDDC. If a fuel payment is due the Contractor or SDDC, the Contractor shall compute the value of the payment (or credit) and indicate this on the shipment invoice. If there is no fuel payment, the Contractor shall indicate on the invoice “No Fuel Adjustment”. BAF for authorized agent shipments shall be paid using this process.

2.7 Application

The bunker fuel adjustment applies to fuel purchased by the Contractor from normal commercial suppliers and does not apply when bunker fuel has been provided or subsidized by the U.S. Government or foreign Governments.

2.8 Technical Factors and Freight Payable Units

The technical factors and their freight payable units are shown in Table 1.

Table 1. Technical Factors Route(s) Payable Unit Factor Guantanamo Bay, Cuba 20-foot container

40-foot container MsT

1.43 0.86 0.03

3.0 MARITIME CLAUSES

3.1 APPLICATION OF COGSA

The United States Carriage of Goods by Sea Act 46 U.S.C. 1300 et seq. (hereinafter “COGSA” or “the Act”) is incorporated and shall apply to the ocean transportation of all goods (including goods in containers stowed on deck, which shall be considered as goods stowed under deck) under any Shipping Order with the same force and effect as if the Act applied to such carriage by express provision therein; except that as to deck cargo, the U.S Government shall bear the risk of perils inherent in deck carriage; provided, however, in case of loss, damage or shrinkage in transit, the rules and conditions governing commercial shipments shall not apply as to the period within which notice thereof shall be given the contractor or as to the period within which claim, therefore, shall be made or suit instituted. For the purpose of interpreting Section 4 of the Act, "Limitation of Liability", the act of loading cargo into, or upon, a container shall not transform such containerized cargo into a single COGSA “package” (as defined herein), unless such cargo satisfies the COGSA requirements of a single “package” irrespective of the fact that it has been containerized. (for example, the decision of a contractor to load a piece of equipment or other cargo on a flatrack does not necessarily convert that equipment/cargo into a single COGSA “package.”) The limitation of liability set out in Section 4 of the Act shall apply to each package and to cargo not in packages to each measurement ton of cargo. Additionally, as permitted by COGSA, the parties to this contract agree to set the limitation of liability at $1,375 per package, and to cargo not in packages at $1,375 per each measurement ton of cargo, except for POV’s as stated in Appendix para 5.7. The carriage of cargo under any Shipping Order issued pursuant to this contract shall not be deemed or construed to be the carriage of cargo pursuant to special terms and conditions as provided for in Section 6 of the Act; and nothing in this solicitation is intended to relieve the contractor or the vessel from liability for loss or damage to or in connection with the goods arising from negligence, fault or failure in the duties and obligations provided by the Act or to lessen such liability otherwise than as provided therein. COGSA will apply “end-to-end” for intermodal transportation under this contract. It therefore shall also be applicable in determining liability of the contractor for loss/damage to goods arising from transportation by land. Failure of the parties to this contract to reach an agreement on loss of or damage to the goods shall be a dispute and shall be resolved in accordance with FAR 52.233-1

3.2 Scope of Voyage (Liberties). U.S. Government cargo, by its very nature, may require special diligence in the prosecution of a voyage at sea. In some cases, the highly sensitive nature of military cargo may require extraordinary handling to ensure the safety and security of the cargo as well as that of our warfighters in the field.

Accordingly, the diversion of U.S. Government cargo at sea requires the unique conditions set forth below.

3.2.1 Diversion of Cargo. In any situation, whatsoever or wheresoever occurring and whether existing or anticipated before commencement of or during the voyage, which in the judgment of the contractor or master of the vessel is likely to give rise to capture, seizure, detention, damage, delay or disadvantage to or loss of the vessel or any part of her cargo, or to make it unsafe, imprudent, or unlawful for any reason to begin or continue the voyage or to enter or discharge the goods at the port of discharge, or to give rise to delay or difficulty in arriving, discharging at or leaving the port of discharge or the usual place of discharge in such port, the master, whether or not proceeding toward or entering or attempting to enter the port of discharge or reaching or attempting to reach the usual place of discharge therein or attempting to discharge U.S. Government Cargo (the Cargo) may, upon notification to the Contracting Officer (CO) as described at Section 3.2.1.1 below, discharge the Cargo into another port, depot, lazarette, craft, or other place, or retain the goods on board until the return trip or until such other time as would be prudent in the ordinary course of the Contractor’s business.

3.2.1.1 Notice of Diversion. The Notice described at Section 3.2.1 above shall include, at a minimum, a description of the cargo to be diverted (container number, Transportation Control Number, etc.), the conditions giving rise to the Contractor’s planned diversion of the Cargo, the diversion planned and any other measures deemed necessary by the Contractor to protect the Cargo. The Contractor or his designated representative shall provide such Notice in a manner and place consistent with the provisions of this agreement (eg., electronic mail), but it is understood that such notice may be delayed if it would put the vessel, her crew or cargo at risk of loss, damage or injury.

3.2.1.2 Equitable Adjustment, Carrier Proposed Course of Action. After notification to the CO and approval by the CO of the contractor’s proposed course of action, the contractor may submit a request for an equitable adjustment to the contract for the reasonable, allocable, incurred costs to implement the approved course of action.

It is understood that the contractor may be required to act before CO approval to prevent risk of loss, damage or injury to the vessel, her crew or cargo. If the contractor acts before notice to and approval by the CO, the contractor shall nonetheless be entitled to reasonable, allocable, incurred costs if the CO finds that the actions were prudent and necessary for the security and protection of government cargo. In no case shall an equitable adjustment duplicate compensation provided in a rate, accessorial charge or similar charge or otherwise reimburse the Contractor for costs chargeable (by the Contractor) to or otherwise allocable to a non-contract shipper. If the contractor has been paid for delivery to destination, the CO will consider this fact in evaluating any request for an equitable adjustment or potential government claim for a windfall to the contractor.

3.2.1.3 Mutual Agreement. Where the CO determines that the Contractor’s planned diversion of the Cargo is not in the best interest of the U.S. Government, the CO shall so advise the Contractor as soon as practicable.

Thereafter, the CO and the Contractor shall, with all due diligence and good faith, endeavor to mutually agree upon the prudent disposition of the Cargo.

3.2.1.4 Responsibility for the Cargo. Where the Contracting Officer determines that the contractor's planned diversion of the Cargo is not in the best interest of the U.S. Government and the Contracting Officer and the Contractor cannot timely agree upon the disposition of the Cargo, the Contractor shall comply with the CO's direction to the contractor to diver the cargo to a port of the U.S. Government's choice and to make any other arrangements for the cargo the Contracting Officer deems necessary to protect the Government's interest.

3.2.1.5 Equitable Adjustment for US Government Directed Course of Action. The contractor may submit a request for an equitable adjustment to the contract for reasonable, allocable costs incurred to carry out the CO’s direction if such costs are caused by the need to respond to the special situation and would not have been incurred in performing the contract of carriage except for the special situation. This equitable adjustment includes costs associated with cargo on the vessel that is not transported under this contract to the extent these costs exceed costs allocable to any non-contract-6 shipper under any Scope of Voyage (Liberties) or similar clause in any contract between the contractor and a non-contract-6 shipper. In no case shall an equitable adjustment duplicate compensation provided in a freight rate, accessorial charge or similar charge or otherwise reimburse the Contractor for costs chargeable (by the Contractor) to or otherwise allocable to a non-contract-6 shipper. If the contractor has been paid for delivery to destination, the CO will consider this fact in evaluating any request for an equitable adjustment or any government claim for a windfall to the contractor.

3.2.1.6 In any event, the contractor shall at all times be responsible to assure the security and protection of the cargo until relieved of such responsibility by the U.S. Government or its designated agent.

3.2.2 Liberties. The Contractor, the master and the vessel shall have liberty to comply with any orders or directions as to loading, departure, arrival, routes, ports of call, stoppages, discharge, destination, delivery or otherwise howsoever given by the government of any nation or department thereof or any person acting or purporting to act with the authority of such government or of any department thereof (or by any committee or person having, under the terms of the war risk insurance on the vessel, the right to give such orders or directions).

Delivery or other disposition of the goods in accordance with such orders or directions shall excuse delay in performance to the extent that such order or direction persists in prevention of performance. (See compensable Delay Clause below in Para 6.) The vessel may carry seized contraband, explosives, munitions, warlike stores, hazardous cargo, and may sail armed or unarmed and with or without convoy.

3.2.3 The vessel shall have the liberty to deviate for the purpose of saving life and property, to tow or to be towed, to sail with or without pilots, or to go into dry dock or into ways with or without cargo on board. However, in no case shall the contractor be entitled to extra compensation for such a deviation and the contractor shall not be relieved of responsibility for delivery of cargo to the destination named in the Shipping Order.

3.3 Strikes

3.3.1 Loading Port—In the event the vessel or the loading of the vessel is delayed by reason of strikes or stoppage of work, the contractor may, at the loading port dispatch the vessel with such portion of the cargo as may then be on board.

3.3.2 Discharge Port—In the event the vessel or discharge of the vessel is delayed by reason of strikes or stoppage of work, the contractor at the discharge port may discharge the cargo still on board or with the approval of the U.S. Government dispose of the cargo or any part of it at the U.S. Government’s risk and expense.

3.4 AMENDED JASON CLAUSE

In the event of accident, danger, damage, or disaster, before or after commencement of the voyage resulting from any cause whatsoever, whether due to negligence or not, for which, or for the consequence of which, the contractor is not responsible, by statute, contract, or otherwise, the goods, Shippers, consignees, or owners of the goods shall contribute with the contractor in general average to the payment of any sacrifices, losses or expenses of a general average nature that may be made or incurred, and shall pay salvage and special charges incurred in respect of the goods. If a salvaging vessel is owned or operated by the contractor, salvage shall be paid for as fully as if such salvaging vessel or vessels belonged to strangers.

3.5 LIENS

3.5.1 Seizure of Cargo: The contractor agrees that it will not assert any type of lien, including a maritime lien, on any cargo shipped by the U.S. Government under this Contract. The contractor further agrees that it will not take any action to seize, arrest, hold, or otherwise detain such cargo through any judicial process in the U.S. or any foreign country. The contractor agrees to insert this clause in all subcontracts at any level and to expend any resources necessary to expeditiously enforce the provisions of this clause against such subcontractors.

3.5.2 Freight: There shall be no liens, including maritime liens, asserted on any freights payable by the U.S.

Government under this contract. The Contractor agrees to insert this clause in all subcontracts at any level and to expend any resources necessary to expeditiously enforce the provisions of this clause against such subcontractors.

3.6 FORCE MAJEURE

The act of God, enemies, fire, restraint of princes, rulers of people, and all dangers and accidents of the seas, rivers, machinery, boilers and steam navigation, and errors of navigation throughout this Contract are mutually excepted.

In other words, such situations excuse delay in performance (similar to paragraph (f) of FAR 52.212-4) by either party to this contract to the extent that the situation persists in preventing performance. This clause does not address liability for loss/damage to cargo (see, instead, the applicable “Application of COGSA clause”), liability for costs/damages resulting from delay in performance, or matters other than excusable delay.

3. 7 WAR RISK

3.7.1 Compensation

In the event it is necessary for the contractor to pay additional premiums to extend the coverage of crew, hull and machinery, protection and indemnity insurance and insurance covering the loss and damage of cargo while aboard the vessel to include war risks, or to pay crew war risk bonuses as a result of the vessel entering the war risk area, the U.S. Government shall reimburse the contractor at the appropriate rate filed on carrier’s commercial tariff. For contractors that do not have filed commercial tariffs for such War Risk charges, the U.S. Government shall reimburse the Contractor for a percentage of such extra premium and bonus payments based on the ratio existing between the cargo carried for the account of SDDC and the total cargo aboard the vessel which is loaded or discharged at ports within the War Risk area. Contractors will provide copies of War Risk Insurance policies and the applicable tariffs to the Contracting Officer within 10 days of award.

3.7.2 Alternatives

If Commercial Marine, War Risk, and Liability Insurance is not available or if Marine, War Risk, and Liability Insurance through the Secretary of Transportation under Sections 1202-1205 of the Merchant Marine Act of 1936, 46 App. U.S.C. 1282-1285, is available at a lesser rate, the Contracting Officer (CO) reserves the right to require contractors to obtain the necessary Marine, War Risk, and Liability Insurance from the Secretary of Transportation.

Further, in the event that the Secretary of Defense, or his/her authorized designee, is authorized to provide and does provide indemnification to the Secretary of Transportation under Section 1205 of the Merchant Marine Act, 1936, 46 App. U.S.C. 1285, for Marine, War Risk, and Liability coverage without premium, the Contracting Officer reserves the right to require the contractor to obtain such insurance from the Department of Transportation and no premiums as set forth in Paragraph 3.1 above will be paid to the contractor by the U.S. Government.

3.7.3 Limitation of U.S. Government Liability

No payments shall be made until the contractor also assesses such charges against commercial cargo loaded or discharged in the war risk area.

3.7.4 U.S. Government—Additional Assured

The contractor agrees to add the U.S Government as an additional assured on its War Risk Policy with waiver of subrogation noted, for which the U.S. Government has agreed to reimburse the extra premium under this Section.

3.8 EXCEPTED CATEGORY CARGO

Excepted category cargoes are listed below. Pursuant to FAR 52.212.4, Contract Terms and Conditions – Commercial Items (Feb 2007), rates for their carriage may be negotiated by the Contracting Officer prior to booking. (The Contracting Officer is not required to ship excepted category cargo with the Carrier). The Carrier shall not accept excepted category cargo for shipment unless a rate for its carriage has been negotiated with the Contracting Officer or the Contracting Officer has issued an un-priced change order pursuant FAR 52.212.4, Contract Terms and Conditions – Commercial Items (Feb 2007). Cargo categories not excepted below and for which specific rates do not appear herein shall be carried at the applicable General Cargo rate.

- Aircraft (unboxed)

- Bulk Cargo (not containerized in tank cars, vehicles, or containers)

- Boats over 40 feet in length

- Oversize Cargo (single shipment quantity in excess of 50,000 pounds or 30 measurement tons.)

- Explosives (Other than category 1.4)

3.9 Operational Shortfalls. The Carrier shall provide notice within two(2) hours to the Contracting Officer, Contracting Officer Representative, Quality Assurance Evaluator (QAE) and the OO of any operational shortfall that occurs relative to the service. Examples of operational shortfalls include sailing delays, container unavailability, strikes, receiving delays, port backlogs and equipment failures such as ship cranes etc.

4.0 PERFORMANCE REQUIREMENTS

Performance Requirements in this document are expressed in the following manner:

Each performance requirement may contain the following three elements. In each case, when taken together, these elements constitute a performance requirement.

• Performance Objective – The desired outcome or result expected of the contractor (not output!)

• Performance Measures – The critical characteristics or aspects of achieving the objective that will be monitored by the Government, those things that the Government will analyze. Each objective may have one or more measures.

• Performance Standards – The targeted level or range of levels of performance measured.

4.1 Performance Requirement Summary (PRS) Table: Critical Performance Objectives

Performanc Description Performance Measure Performance e Objective Standard

Service Frequency

Arrival dates (NTE 14 days) 96%

2 Transit Time Actual Transit Time (NTE 5 days) 96% 3 EDI Provide accurate 315 transaction set within 12 hours of event completion 97%

4 Required Delivery RDD Met 97% 5 Cargo Lifted as

Booked Lifted as booked excludes cargo not released by The Government in time to meet the booked sailing. Excludes cargo delayed at the direction of the Government.

97%

Not every performance objective in this contract has a related performance measure or performance standard.

However, every performance objective is a contractual requirement. For those performance objectives that do not specify a measure or standard the measures and standards are IAW standard commercial practices, i.e., substantial compliance with local customary trade practice. Performance measures/standards, where specified, may be used to achieve a variety of goals, including collection of data to test the practicality of a performance standard;

identification of a performance standard of less than 100% compliance; emphasis on most critical performance objectives; collection of data to support quality assurance and contractual remedies (including evaluation of past performance, discussion at Quality Council meetings etc.) and similar goals.

Transportation and Basic Services Performance Objectives

The Carrier’s shall maintain a regularly scheduled and consistent commercial liner term service on this route throughout the period of the contract per schedule as specified in the Integrated Booking System.

4.2 Service Frequency

Performance Objective No.1 - The Carrier shall maintain a regularly scheduled and consistent commercial liner service conforming to the services required in the contract and offered in the Integrated Booking System (IBS) upon award. The carrier shall reserve vessel capacity as specified for the booking of Government Cargo on each vessel sailing from CONUS to destination. The Carrier’s vessel (s) must call at discharge and loading ports at intervals not to exceed fourteen (14) days unless approved by the COR. COR may approve variations due to holidays and weekends to minimize exposure to destinations transportation costs.

Performance Measures: Performance Standards:

Service Frequency Contractor meets the standard 96% of the time

4.3 Transit Time

Performance Objective No.2- The Carrier transit time shall not exceed 5 days from last CONUS port of loading to Guantanamo Bay, Cuba and 5 days from Guantanamo Bay, Cuba to the first discharge port in CONUS.

Performance Measures: Performance Standards:

Transit Time Contractor meets the standard 96% of the time

4.4 Vessel Schedule

The contractor shall provide an updated sailing and arriving schedule, including pier cut-off, of not less than five (5) sailings to SDDC via e-mail at least every 45 days through the life contract. The contractor must maintain and continually update vessel schedules within IBS or successor system. Any change to the projected schedule must be reported within seven (7) days of the next schedule port call. Schedule performance shall be based on schedule in effect (7) days prior to POE sail date. Any slippage in scheduled sailing date/arrival date by more than (1) day shall be reported in writing to the COR and entered into IBS.

Vessel Daily Position Reports When specifically requested by the COR or the Contracting Officer, the Carrier shall furnish the Government with the daily position of the vessel(s) serving this Contract

4.5 Electronic Commerce / Electronic Data Interchange (EDI)

Performance Objective No.3 The Contractor…