1.0_Attachment_1_Performance_Work_Statement_Amendment_2.pdf

Attachment 1 Solicitation: HTC711-17-R-CC05 0002

11 October 2017

PERFORMANCE WORK STATEMENT (PWS)

Amendment 2

CATEGORY A (CAT A) SERVICE

TABLE OF CONTENTS

1.0 DESCRIPTION OF SERVICES

1.1. Scope of Contract

1.2. US Central Command (CENTCOM) Safety and Audit Oversight Program

1.3. Basic Service

1.4. Cargo Acceptability and Special Cargo

1.5. CAT A Cargo

1.6. Defense Logistics Agency (DLA) Troop Support Medical

1.7. Army Materiel Command (AMCOM)

1.8. Naval Supply Systems Command (NAVSUP) Weapon Systems Support (WWS)

1.9. United States Army Medical Materiel Center, Europe (USAMMCE) and United States Army Medical

Materiel Center-Southwest Asia (USAMMC-SWA ) Class VIII medical

1.10. Movement of Controlled Narcotics

1.11. Defense Commissary Agency (DeCA)/DLA Troop Support Movement of Perishables

1.12. Commercial Forms and Procedures (CF&P)

1.13. Printed Airway Bills

1.14. Delivery Attempt or Refusal

1.15. Intransit Visibility

1.16. IDE/GTN Global Convergence (IGC) (formerly Global Transportation Network (GTN) Interface

1.17. Pre-Alert Notification

1.18. Supply Chain Security

1.19. Misrouted Shipments

1.20. Contingency/Redirection/Surges

1.21. Reduction/Cancellation of Service

1.22. Shipping Systems

1.23. Customs

1.24. Damage or Loss

1.25. Invoicing/Billing/Payment

2.0 SERVICE DELIVERY SUMMARY/RELIABILITY

3.0 GOVERNMENT-FURNISHED PROPERTY, FACILITIES, EQUIPMENT, TRAINING, AND SERVICES

3.1 Government-Furnished Property

3.2 Government-Furnished Facilities

3.3 Government-Furnished Equipment

3.4 Government-Furnished Training

3.5 Government-Furnished Services

4.0 GENERAL INFORMATION

4.1 Administrative Service Charge

4.2 Annual Rate and Price Adjustment

4.3 Contractor Reports

4.4 Regular Meetings

4.5 Installation Access

4.6 Installation Security

4.7 Contractor Logistical Support.

4.8 Contractor Point of Contact

4.9 Subcontractor Suitability and Foreign Entity Information

APPENDICES

Appendix 1.1 – Definitions Appendix 1.2 – Approved/Validated Users Appendix 1.3 – Ordering Procedures Appendix 1.4 – Safety and Audit Oversight Checklist Appendix 1.5 – eRMS Data Feed Requirements Appendix 1.6 – eRMS Secure File Gateway Worksheet Appendix 1.7 – IGC Data Feed Requirements Appendix 1.8 – Detail Report Required Data Element Fields Appendix 1.9 – Allowable Delays/Exception Codes Appendix 1.10 – Postharvest Handling and Transportation of Fruits and Vegetables Appendix 1.11 –Perishables Delivery Schedule Appendix 1.12 –Perishables Addresses Appendix 1.13 – Perishables Weekly Report Appendix 1.14 – DLA Troop Support Customer List

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1.0. DESCRIPTION OF SERVICES

1.1. Scope of Contract. The contractor shall provide international and domestic commercial air cargo CAT A Service for less than full planeloads to users authorized by United States Transportation Command (USTRANSCOM). CAT A service is limited to the movement of regular and recurring hazardous, refrigerated/cold chain (perishable), life and death, narcotics, and other regular/recurring cargo shipments. This service includes time-definite, door-to-door pick-up and delivery, transportation, Intransit Visibility (ITV), Government-Approved Third Party Payment System participation, and expedited customs processing and clearance of less than full planeloads. The services provided within the scope of this contract are considered "operationally critical support" as defined in DFARS 252.204-7012, "Safeguarding Covered Defense Information and Cyber Incident Reporting. Definitions are provided in Appendix 1.1.

1.1.1. Service is required from Continental United States (CONUS) to Outside Continental United States (OCONUS), OCONUS to CONUS (retrograde routes), OCONUS to OCONUS locations (lateral routes), and within the CONUS (domestic).

1.1.2. Domestic service (CONUS to CONUS) is restricted to movement of HAZMAT only, as a “best value” commodity. These movements are on a case-by-case basis and must follow “best value” practices to be viable shipments.

1.1.3. This contract is a limited source for the Department of Defense (DoD). DoD agencies/organizations must be approved and validated by USTRANSCOM J5/4 to use this contract, with the exception of CLIN X008 “Controlled Narcotics Spot Bid”. CLIN X008 may be utilized by any DoD shipper, upon approval by Defense Logistics Agency (DLA), as the process owner for commercial carrier contracted movements of controlled narcotics. Approved/validated users are identified in Appendix 1.2.

1.1.4. DoD agencies/organizations not specifically identified in Appendix 1.2 may become approved and validated users of the contract with approval/validation by USTRANSCOM J5/4. New users shall submit their requirements (annotating the frequency, recurrence, type cargo, etc.) to the Program Management Office (PMO), HQ AMC/A4TC. The PMO will, in turn, forward these requirements to HQ USTRANSCOM J5/4 for approval/validation, who will in turn send the validated requirements to USTRANSCOM TCAQ for incorporation into the contract via bi-lateral modification. Ordering procedures are specified in Appendix 1.3.

1.1.5. When the prospect exists in domestic locations, contractors are encouraged to provide maximum opportunities of the performance to be subcontracted to small business concerns.

1.2. CENTCOM Safety and Audit Oversight Program.

1.2.1. In order to provide service to a Central Command (CENTCOM) Area of Responsibility (AOR) location, the Civil Reserve Air Fleet (CRAF) carrier (prime contractor) is required to complete a safety and audit oversight program on all subcontracted air carriers that operate into or out of a military-controlled Forward Operating Base ( FOB/FOL) airfield. This section does not apply to operations into or out of civilian-controlled airfields without a joint-use military presence where air carrier operations are governed by the applicable country Civil Aviation Authority (CAA) requirements. As a minimum, the contractor shall comply with the technical requirements identified in the attached CAT A Safety and Audit Oversight Checklist (Appendix 1.4). In addition, the prime contractor shall not use carriers listed on the European Banned Carrier Listing at http://ec.europa.eu/transport/air-ban/list_en.htm, the System for Award Management website https://www.SAM.gov (site registration, login and password required), and the Department of Treasury: Office of Foreign Assets Control, Special Designated Listing at http://www.ustreas.gov/offices/enforcement/ofac/sdn/.

1.2.1.1. If the contractor will utilize a subcontractor to perform any portion of the airlift requirement within the CENTCOM AOR, the contractor shall assess the level of safety for each subcontractor. This assessment will be based upon a safety audit performed by the contractor or an independent International Air Transport Association (IATA) accredited 3rd party audit organization. Air Mobility Command (AMC/A3B) approved US-flag or foreign flag subcontractors are exempt from the audit as long as they remain on the AMC/A3B DoD-approved carrier listing. The US Government retains the

Page ‐ 5 ‐ of 21 right to request copies of all completed audit reports.

1.2.1.2. Following completion of each safety audit, the contractor shall issue a “Statement of Compliance” to the contracting officer affirming each subcontractor complies with the technical requirements of paragraph 1.2 and that the contractor accepts responsibility for the safety audit. This certificate is valid for 24 months. The contractor shall develop a subcontractor audit program that provides for an onsite audit of subcontractors at least every 24 months in order to issue subsequent “Statements of Compliance.” The contractor may use subcontractors with pre-existing audits completed to satisfy other USTRANSCOM contract requirements until the audit becomes invalid.

1.2.2. The contractor shall complete all safety and audit requirements for applicable subcontractors prior to permitting the subcontractor to provide service into or out of military-controlled FOB/FOL airfields.

Within 30 days after contract award, the contractor shall provide the Contracting Officer a complete MS- Excel spreadsheet listing of all foreign flag subcontractors used in performance of this contract. The contractor shall provide an updated listing within five business days any time a foreign flag subcontractor is added or dropped from the contractor’s service providing network. The information shall include the carrier’s name, aircraft type, aircraft registration number, aircraft country of operating certificate, the date of the last audit, the date the Statement of Compliance was submitted on the subcontractor, and the contract number for which the audit and Statement of Compliance were originally submitted. Any subcontractor changes will require the prime contractor to complete the safety and audit oversight requirements prior to using a new subcontractor.

1.2.2.1. The United States Air Forces Central Command (USAFCENT) Safety office may conduct periodic on-site audits per carrier. The carrier and subcontractors shall be available to accomplish the on-site audit.

1.2.3. Incident Reporting.

1.2.3.1. The contractor shall take all appropriate measures to prevent air, surface, and ground safety incidents. In the event of an air, surface, or ground safety incident within the CENTCOM AOR, the contractor shall immediately notify the CENTCOM Deployment and Distribution Operations Center (CDDOC) (Tel: 011-965-2389-5217), the Acting Contracting Officer , and the Program Manager at

(618) 229-4684. The contractor shall state their name, which contractor they represent, incident type, incident location, aircraft or vehicle type, aircraft tail number, and incident time (Zulu).

1.2.3.2. The contractor shall provide email notification to the Contracting Officer and the Program Manager at org.amca4-67@us.af.mil, providing the circumstances surrounding the incident to include copies of cargo manifests within 12 hours.

1.2.4. Aircraft Recovery Process.

1.2.4.1 Within 12 hours, the contractor shall provide an aircraft recovery plan identifying their process to repair and remove the aircraft. The contractor shall provide daily status information to the Senior Airfield Authority, Contracting Officer, and Program Manager on the progress to repair/remove the aircraft.

1.2.4.2. The US Government reserves the right to move the aircraft, at any time, off the active runway, taxiway or parking spot to another area as operational requirements dictate. The contractor shall be charged associated costs for movement of the aircraft.

1.3. Basic Service. The contractor shall provide international commercial air cargo less than full planeload, door-to-door service to and from locations listed in each Contract Line Item Number (CLIN) and Sub-Line Item Number (SLIN) included at Attachment 2, CLIN Matrix. Service is required Monday through Friday, except holidays, including those holidays specific to international countries, as applicable. Pick-up shall be within 24-hours of notification except as otherwise stated in subsequent paragraphs. Required delivery times are noted in the individual CLIN or SLIN as specified in Attachment 2.

1.3.1 The contractor shall provide safe transportation, protection, accountability, and timely delivery of

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U.S. Government cargo in accordance with applicable Federal Aviation Regulations and the provisions of this contract.

1.3.2. The contractor shall be responsible for aircraft load planning, weight and balance, loading/off loading, secure fastening, and any required special handling. Cargo may include hazardous material (HAZMAT) Classes 1 through 9 as defined in the International Air Transportation Association (IATA)

1.3.3. Dangerous Goods Regulation. At locations where the US Government has operational responsibilities and representatives to load/unload the aircraft, the US Government or its contracted agency will be responsible for loading/unloading the aircraft.

1.3.4. At point of pickup and delivery Consignor may load and Consignee may unload the carrier’s vehicle. At a minimum, the Consignor and Consignee must be available for pickup and delivery of the cargo.

1.3.5. The contractor shall assign account numbers to all shippers and/or shipping locations, if one does not already exist.

1.3.6. Prepayment or collect charges from the consignee is not allowed.

1.4. Cargo Acceptability and Special Cargo.

1.4.1. The contractor shall transport general merchandise, goods, wares, and products of all kinds, unless otherwise excluded by contractor's regulations, and provided:

1.4.1.1. The shipper timely provides all documentation and information required for the shipment.

1.4.1.2. Shipments are packed in a manner suitable for carriage by aircraft.

1.4.1.3. Shipments are accompanied by the requisite shipping documents, and they are not likely to endanger aircraft, persons or property, or cause annoyance to passengers or crew.

1.4.2. Goods Acceptable Only Under Prescribed Conditions. The following goods are acceptable for carriage:

1.4.2.1 Oversized Cargo. Air cargo exceeding the usable dimensions of a commercial unit load device (e.g., 88”W x 125”L x 96” H pallet). The dimensions may vary based on the type of cargo and usually requires the use of multiple pallet positions.

1.4.2.2. Perishables. The contractor shall add wet or dry ice to material and repack once the package has reached, but not exceeded, its expiration time and date.

1.4.2.3. Unusual Shipments. With CO approval, contractor may refuse cargo of extreme length, unusual shape or excessive weight for transportation unless handling arrangements have been previously made.

1.4.2.4. Hazardous Cargo Shipments. All hazardous materials will be in air authorized packaging and meet the type and/or quantity restrictions for cargo only aircraft and packaged, prepared, marked/labeled and certified in accordance with the IATA, Dangerous Goods Regulations. The contractor shall ensure that Hazardous items are properly packed prior to air movement. If packages are not properly marked the carrier shall return the shipment to the shipper for corrections.

1.5. CAT A Cargo. The following applies to CAT A cargo:

1.5.1. When applicable, dimensional weight shall be calculated by the contractor using the following formula:

1.5.1.1. International Shipments: Length x Width x Height divided by 139 equals dimensional weight

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(all measurements in inches). The contractor shall charge the greater amount of the actual weight or the dimensional weight.

1.5.1.2. Domestic Shipments (CONUS to Alaska and Hawaii, CONUS to CONUS, (HAZMAT ONLY):

Length x Width x Height divided by 166 equals dimensional weight (all measurements in inches). The contractor shall charge the greater amount of the actual weight or the dimensional weight.

1.5.1.3. If the shipper does not indicate the shipping weight, the contractor shall weigh the item and annotate the weight. If the shipment weight listed on the order is different from the actual weight (e.g., as a result of reweigh or dimensional weight, or no weight was initially identified), the contractor shall indicate on the billing documents submitted to the paying activity those shipments that have been adjusted.

1.5.1.4. All weights and measures in the CAT A Contract shall be in pounds and inches.

1.5.2. Accessorial Service. Any proposed contractor accessorial charges not identified on the Schedule of Services/Supplies shall be submitted and approved by the CAT A shipper’s office prior to accepting cargo for shipment. In the event of a dispute between the shipper’s office and the contractor regarding an accessorial charge, the Contracting Officer will review the situation and render a Contracting Officer's decision. Further, unless otherwise stated, it is presumed all accessorial service not specifically identified and priced separately on the Schedule of Services/Supplies are included in the basic service contract price.

1.6. DLA Troop Support, Medical/CLINs X001 & X002

1.6.1. DLA Troop Support, Medical – Customers – Major Class VIII Medical Depot located in Germany;

critical Class VIII depots serving EUCOM/AFRICOM/CENTCOM/PACOM AOR along with all fixed medical treatment facilities, clinics and hospitals in these theaters.

1.6.2. Prime Vendor – ABC Pharmacy Primary; DMS Secondary – These prime vendors are the single distributer of brand pharmaceutical supplies who pick, pack and offer these shipments to the government supplied carrier.

1.6.2.1. Types of HAZMAT Cargo: Medical Lab Reagents. Examples of pharmaceuticals: drugs for heart disease, cholesterol, acid reflux, asthma, mental health, diabetes, anemia, arthritis, cancer, pain, supplements, aspirins, ointments, prescription drugs, antidepressants, antacids, diuretics, vaccines, laxatives, etc.

1.6.2.2. Prime Vendor: Cardinal Healthcare; Owens & Minor Secondary. These prime vendors are the single distributer of brand-specific medical surgical supplies who pick, pack and offer these shipments to the government-supplied carrier.

1.6.2.3. Types of HAZMAT Cargo: Wound control, antiseptic, and infection control material

1.6.2.4. Examples of medical surgical supplies: tourniquet cuffs, quad-shaping drills, wound-contact dressing, ointments, face shields, cervical supports, diluting solution, ECG electrodes, forceps, kit (sexual assault), disposable face mask, circuit ventilator, kit (resuscitation), laryngoscope, refrigerated blood cooling, laboratory bottles, kit (poliovirus VAC), reagent blood, heat pack (instant), potassium iodide tablets, mouthpiece, dental (pro-root cement), needles, tongue depressors, water-jell tactical burn blanket, valve expiration, clamp fixation, stabilizing ankle support, kit (OB emergency), saliva ejector, CO2 airway adapters (single patient use), sked-EVAC patient litter strap, cable blood pressure critical care, stiff-necked extrication, collar, crutches, gloves (black nitrile), etc.

1.6.3. Cargo Pick-up Requirements.

1.6.3.1. The contractor shall be responsible for the door-to-door movement of pharmaceutical and medical/surgical supplies from DLA-designated medical prime vendor locations within 24 hours of notification.

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1.6.3.2. The contractor shall provide DLA Troop Support Medical a dedicated 24-hour point of contact to include name, telephone number, fax number and e-mail address.

1.6.4. Cargo Delivery Requirements

1.6.4.1. The contractor shall notify the customer within 24 hours in the event shipping delays occur in excess of the required transit times specified in Attachment 2, CLIN Matrix and provide daily updates until delivery is completed.

1.6.5. Cold Chain Management. DLA Troop Support Medical vendors are responsible for preparing refrigerated and frozen material for shipments.

1.6.5.1. All refrigerated medical shipments need to be constantly maintained in a controlled room temperature environment, between 59 degree F and 86 degree F, at the carrier hub while waiting for loading on an airplane or waiting for loading onto a truck for customer delivery. Active refrigeration or repacking is not required.

1.6.5.2. The contractor shall not place any medical supplies in direct sunlight.

1.6.6. HAZMAT Shipments (Cargo Aircraft ONLY)

1.6.6.1. Examples of “Cargo Aircraft Only” HAZMAT include, but are not limited to, the following United Nation (UN) numbers: UN2924, UN1230, and UN1037.

1.7. Army Materiel Command, Distribution, Transportation and Packaging Division (AMCOM)/CLIN X003

1.7.1. The contractor shall provide a flatbed truck for specified over-dimensional moves, upon the shipper’s request.

1.8. NAVSUP WSS Weapon System Support/CLIN X004

1.8.1. The contractor shall provide an interface with the Navy’s Electronic Retrograde Management System (eRMS) as required in Appendix 1.5. This interface will allow eRMS to pass a Uniform Resource Locator URL containing the Tracking Number to access the contractor’s website and obtain and display Proof of Delivery (POD) information to the user. The contractor shall provide eRMS with the URL, required for this interface.

1.8.1.1. The contractor shall provide the information required within Appendix 1.5 within one day of delivering material and obtaining POD signature. The POD information shall be sent to a designated file via Secure File Transfer Protocol (SFTP).

1.8.1.2. Development and execution of POD transaction sets within the scope of the contract shall be agreed upon by the NAVSUP WSS Retrograde Program Office. A Secure File Gateway (SFG) worksheet shall be completed and submitted to the NAVSUP WSS Retrograde Program Office before the FTP process of sending POD transaction sets will be authorized. The information required to provide on the SFG worksheet is listed on Appendix 1.6.

1.8.1.3. Contractors must demonstrate, within 60 days of award, the capability to transmit data via eRMS. This capability will be validated by the US Government before any shipments are tendered.

1.8.2. The contractor shall pick-up all shipments within 24 hours of notification.

1.9. United States Army Medical Materiel Center, Europe (USAMMCE) and United States Army Medical Materiel Center-Southwest Asia (USAMMC-SWA ) Class VIII medical CLINs X005, X006, & X007

1.9.1. Cargo Pick-up Requirements.

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1.9.1.1. The contractor shall pick-up all shipments within 24 hours of notification. The day of pick-up does count.

1.9.1.2. The contractor shall be available to pick-up shipments 365 days a year, 24 hours a day.

1.9.1.3. The contractor shall provide USAMMCE and USAMMC-SWA a 24-hour point of contact to include name, telephone number, fax number and e-mail address.

1.9.2. Cargo Delivery Requirements.

1.9.2.1. The contractor shall notify the customer within 24 hours in the event shipping delays occur in excess of the required transit times specified in Attachment 2, CLIN Matrix and provide daily updates until delivery is completed.

1.9.3. Cold Chain Management/Reefer Shipments. USAMMCE/USAMMC-SWA is responsible for preparing refrigerated and frozen materiel (e.g.dry ice) for shipments. The contractor shall ensure cold chain/reefer shipments are maintained in accordance with instructions provided by

USAMMCE/USAMMCE-SWA.

1.9.3.1. The contractor will have the capability to ensure the temperature for shipments prepared using wet ice procedures, or other acceptable means, is maintained between 35 to 46 degrees Fahrenheit (2 to 8 degrees Celsius).

1.9.3.2. The contractor will have the capability to ensure the temperature for shipments prepared using dry ice is maintained below 32 degrees Fahrenheit (0 Celsius).

1.9.3.3. The contractor shall ensure all other shipments are maintained between 47 to 77 degrees Fahrenheit (8 to 25 degrees Celsius).

1.9.3.4. The contractor shall not place any medical supplies in direct sunlight.

1.9.3.5. The contractor shall conform to the International Civil Aviation Organization (ICAO) regulatory guidance for cold chain shipments.

1.9.4. HAZMAT Shipments. “Cargo Aircraft Only”

1.9.4.1. Examples of “Cargo Aircraft Only” HAZMAT include, but are not limited to, the following United Nation (UN) numbers: UN2924, UN1230 and UN1037.

1.9.5. Life and Death Emergency Shipments.

1.9.5.1. The contractor shall pick-up the cargo within two hours of notification. Delivery shall be within 48 hours of pick-up. For Life and Death Emergency shipments, the contractor shall arrange for shipment of the material on the next available flight.

1.9.5.2. The contractor shall provide an on board courier service. Pending the size of the package, the courier shall hand carry the material on the aircraft to prevent frustration and expedite transitions and deliveries once the aircraft has landed.

1.9.5.3. Life and Death Emergency shipments requiring cold chain service shall follow the requirements in Paragraphs 1.9.3, Cold Chain Management/Reefer Shipments, including all subparagraphs thereto.

1.9.5.4. The contractor shall provide copy of digital receipt of cargo within two hours after acceptance by the consignee.

1.10. Movement of Controlled Narcotics/CLIN X008.

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1.10.1. Carriers shall be compliant with current transportation standards set forth in current Code of Federal Regulation 21.

1.10.2. All shipping documentation and marking of exterior containers of controlled substances shall not indicate the National Stock Number (NSN) or nomenclature of the items.

1.10.3. Carriers shall:

1.10.3.1. Provide in-transit visibility In Accordance With (IAW) commercial business practices; at a minimum, from node to node throughout the carrier network. Preferred actual satellite positioning throughout the movement.

1.10.3.2. Provide an estimated delivery date for the materiel – Must notify shipper within 24 hours if the estimated delivery date will not be met and provide a revised estimated delivery date.

1.10.3.3. Provide signature service confirmation of receipt of item by designated recipient listed on the shipping document (mandatory) and provide confirmation to shipper within 24 hours.

1.10.3.4. Safeguard materiel in its possession during any hard stops or layovers (e.g. secure commercial carrier area).

1.10.3.5. Verify partner network used in foreign countries are vetted and in compliance with carrier standards as well as meet the requirements listed in para 1.10.3.1, 1.10.3.2, 1.10.3.3, and 1.10.3.4.

1.11. DeCA/DLA Troop Support, Movement of Perishables/CLIN X009 & X010

1.11.1. The contractor shall be responsible for door-to-door movement of Government-acquired subsistence items for the DeCA and DLA. Service includes the receipt and transportation of dry, chilled and frozen subsistence from the Prime Vendor’s (PV) CONUS places of performance, preparing subsistence for air transport, airlifting subsistence, customs/agricultural clearance, fumigation/destruction, and delivery to consignee. The contractor shall provide the facility, equipment, supervision, and personnel needed to provide cold chain transportation primarily from San Francisco, CA to various locations in Japan (to include Okinawa), South Korea, Guam, Singapore, Philippines, Thailand, and Alaska. Although shipments shall primarily originate from San Francisco, the contractor shall be capable of accommodating a low volume of shipments which originate from Los Angeles, CA and Seattle, WA. Contractor’s facility must adhere to acceptable sanitation, pest management and Occupational Safety and Health Administration (OHSA) food safety practices. The contractor’s over-packing facility shall be located within a 20 mile radius of San Francisco, CA, Los Angeles, CA and Seattle, WA. Door-to-Door transportation includes transportation from the Prime Vendor’s CONUS places of performance to consignee, export documentation requirements, customs and agricultural clearance, compliance with inspection requirements, compliance with Status of Forces Agreements (SOFA), sorting, fumigation (if required), and destruction (if required).

1.11.2. Receiving: The contractor is responsible to pick up subsistence items at the Prime Vendor's CONUS places of performance and transporting the product to the CAT-A contractors over-packing facility.

Product of pick-up shall occur no more than 100 miles from the applicable airfield. In addition, no more than 2 pick-up locations shall be specified for each air shipment. The contractor must also be able to receive product from the PV suppliers at their over-packing facility. The contractor is responsible for verifying shipment against receipt invoice, rejecting damaged products and ensuring refrigerated product is delivered in refrigerated conveyances. The contractor should expect the Fresh Fruits and Vegetables (FF&V) to be furnished in grade US #1 condition or better. A trained FF&V quality control inspector(s) must be on-site at the over-packing facility to provide inspection services. The contractor is required to check the pulp temperature of received product to ensure it is in acceptable temperature range and inspect the overall quality of the product(s). If upon inspection the contractor identifies product less than this standard, they shall notify the Contracting Officer Representative (COR), Contracting Officer, and Prime Vendor. The COR, or other authorized Government representative, will make the determination as to

Page ‐ 11 ‐ of 21 whether or not the product is acceptable for shipment. If the COR, or other authorized Government representative, determines the item(s) are shippable, the contractor shall annotate the shipping papers accordingly. The contractor accepts liability for the quality of the product until inspection and acceptance by the Prime Vendor at the shipment’s final destination location. Any equitable adjustments, claims, or disputes arising from rejected shipments upon inspection shall be handled in accordance with Federal Acquisition Regulation (FAR) clause 52.212-4.

1.11.3. Pre-Cooling: The contractor is responsible for pre-cooling subsistence items using a forced air cooling system or another acceptable practice to rapidly cool the subsistence to the proper temperature range required to maintain quality. For refrigerated products that are received at the PV place of performance, the truck shall be at the desired temperature prior to loading.

1.11.4. Over-packing: The contractor is responsible for sorting, consolidating, and palletizing product received to prevent damage, preserve shipment integrity, and adhere to agricultural clearance requirements.

Over-packing also entails all necessary processes needed to ready the shipment for air transport. The contractor must be knowledgeable of produce compatibility and temperature management practices to meet shipment re-packaging and palletization requirements. Contractor shall use appropriate commercial practices to ensure shipments maintain appropriate temperature during transit. In addition, the contractor shall over-pack shipments to allow for efficient processing and compliance with countries’ customs and agricultural clearance procedures.

1.11.5. Sample Pallets: The contractor is responsible for building sample inspection pallets that adhere to Guam United States Department of Agriculture (USDA), Plant Quarantine Japan (PQJ), Plant Quarantine Korea, Philippines Plant Quarantine, and any other domestic or foreign authority that has jurisdiction over deliveries covered under CLIN X009 and CLIN X010. Produce pallets shall also be wrapped to adhere to host country’s customs and agricultural clearance requirements. In order to expedite the inspection process on arrival the contractor should be prepared to make sample pallets, which are separate from the primary load. The same temperature maintenance requirements are required for sample pallets as are required for the primary load. The contractor is responsible to comply with current host nation customs clearing procedures for FF&V.

1.11.6. Cold Chain: The contractor is responsible for maintaining shipment environment and temperature requirements according to guidelines in Appendix 1.10, Postharvest Handling and Transportation of Fruits and Vegetables. The contractor shall maintain product temperatures to within five degrees Fahrenheit of the suggested transportation temperature in Appendix 1.10. In the event that a commodity or shipment item is not addressed in the Appendix, the contractor shall provide temperature and environmental conditions in accordance with commercially accepted principles and practices. The contractor shall take appropriate measures to ensure temperature integrity during times of extended delays while in transit such as delays experienced while awaiting customs clearance. Appropriate measures may include, but are not limited to, temporary storage in refrigerated facility or refrigerated trucks or re-icing of shipments. When shipments require fumigation, the contractor is responsible for the destruction of any packing, insulation, or refrigeration materials or other disposable items. The contractor is also responsible to re-pack, as appropriate, to maintain the cold chain and temperature integrity.

1.11.7. Temperature Data Recorders: Mobile temperature recorders shall be placed in pallets to ensure cold chain logistic requirements are met. The contractor shall use a temperature recording device to provide continuous monitoring and recording of a shipment’s temperature. Each pallet shall include an active temperature monitoring device. The contractor may propose an alternate method of temperature monitoring and recording procedures. Any alternative method proposed must be able to provide each shipment with continuous temperature monitoring and recording. The contractor will be responsible to adhere to this procedure unless the Contracting Officer approves alternate procedures. The US Government is not responsible for any temperature recording/monitoring devices.

1.11.8. Temperature Recorder Information: Within 24 hours after delivery, the contractor is responsible to notify the US Government if a shipment exceeded the specific temperature parameters while in transit.

The contractor is responsible to maintain the temperature recorded data for each shipment for a period of 120 calendar days. At the end of each quarter, the contractor shall submit all temperature recorded data for a sampling of shipments. The CO shall identify which shipments’ information the contractor is required to

Page ‐ 12 ‐ of 21 submit. The temperature data for any shipment within the past 120 calendar days shall also be submitted upon request at any time by the CO or the COR.

1.11.9. Documentation: The contractor shall receive a third party supplier invoice from each of the Prime vendor suppliers. For every shipment, the contractor shall generate a DD Form 250. Additionally, for Korea shipments, the contractor shall coordinate with the COR to generate a Government Bill of Lading.

From these documents the contractor shall generate an Air Way Bill (AWB) and submit it along with the DD Form 250 to DLA Distribution and DeCA, as applicable, for payment.

1.11.10. Agricultural Processing Procedures: Current procedures are provided below subject to third-party policies and procedures. The contractor is responsible for compliance with these requirements and any future changes. The contractor is responsible for compliance with any other procedures not identified here.

The contractor is responsible for all fumigation and destruction costs.

1.11.10.1. Guam: Produce shipments transported to Guam that transit other countries prior to entry into Guam must be sealed in a way as to ensure there was no tampering during transit. Methods to accomplish this may be sealed air containers or other approved method by Guam Customs and Agriculture. Upon arrival into Guam, Guam Customs and Agriculture will inspect the produce for pests prior to entry into Guam. Produce found with pests will be put on hold/quarantined until all pests are removed. The produce must be re-inspected before allowing final delivery.

1.11.10.2. Japan: Produce shipments transported to Japan will be inspected for pests by the PQJ on arrival into Japan. Produce found with pest will be put on hold/quarantined until the pests are removed.

Depending on the type of pest, the removal methods are fumigation with Cyanide or Methyl Bromide gas. The contractor is responsible for removal of pests before PQJ will clear and allow entry into Japan.

1.11.10.3. Korea: After shipments clear host nation customs, the sample pallets shall be transported to US Army Garrison Yongsan to undergo the joint plant quarantine inspection. The shipments consigned to locations other than Yongsan are not required to be transported to Yongsan, but delivery cannot be completed until the plant quarantine inspection is completed and cleared. The plant quarantine inspection is conducted to identify any pests within the shipment. The intent of the pest inspection is to ensure that every type of produce entering Korea is inspected for pests per the Status of Forces Agreement (SOFA). The contractor should allow 24 hours for the inspection process, but it is typically finished within 3 to 4 hours. Produce found with pests must be either be fumigated or disposed of. If inspection of a particular product within the sample pallet finds unauthorized pests, the entire shipment of that product would need to be fumigated or disposed of.

1.11.10.4. Philippines: Prior to shipping any fresh produce into Philippines, ensure items are allowed into the country, import permit is approved, compliance with Memorandum No. 18 (MO 18) is adhered to, and approved seals are used when transiting other countries. If items are not granted entry, compliance with disposal or re-export shall be accomplished. Ensure all required documents are submitted to the US Embassy in Manila, duty exemption is obtained, and all required documents are submitted to Philippine customs and BPI for pre-clearance prior to arrival. Appropriate temperature controls of products shall be maintained during the clearance process. Storage charges at Philippine arrival airport are anticipated and shall be accounted for as costs associated with the clearance process.

1.11.10.5. Thailand: Prior to shipping any fresh produce into Thailand, ensure items are allowed into the country and all import permit and phytosanitary certificates are approved. If items are not granted entry, compliance with disposal or re-export maybe required at the contractor’s expense. Ensure all required documents are submitted to the US Embassy in Thailand, duty exemption is obtained, and all required documents are submitted to Thailand customs for pre-clearance prior to arrival. Appropriate temperature controls of products shall be maintained during the clearance process. Storage charges at Thailand arrival airport are anticipated, and shall be accounted for as costs associated with the clearance process.

1.11.11. Delivery: The contractor shall deliver the total ordered amount (shipment), according to the delivery schedule in Appendix 1.11 or as required for emergency shipments. Shipments include all cargo destined for a

Page ‐ 13 ‐ of 21 single customer. Other delivery times that result in quicker, more efficient delivery may be established between the contractor and the applicable end customers but must be approved by the COR and communicated to the CO. The delivery times in the delivery schedule are the minimum standard during contract performance. Shipments will include primarily FF&V; however, some shipments may include chilled meat, chilled fish, frozen processed foods and dry subsistence. Inspection and acceptance of services will be accomplished at the Prime Vendor locations in Appendix 1.12, where the cargo manifest/acceptance document is signed and annotated with date and time of delivery by an authorized Prime Vendor representative. The shipment shall be delivered within acceptable temperature ranges and free from significant visible damage.

Significant visible damage is defined as damage to the shipment contents in which a reasonable person would not consider the product(s) suitable for resale as indicated by the overall appearance or inherent characteristics (e.g. texture, ripeness, etc.). A shipment shall be considered to have incurred a cold chain failure if:

1.11.11.1. Shipment is delivered outside acceptable temperature ranges,

1.11.11.2. Shipment delivered with significant visible damage with no justifiable documentation on product condition upon receipt, or

1.11.11.3. Shipments in which temperature recorder data indicates unacceptable temperature variance.

Customers are located on military installations and as such the contractor is required to submit the necessary documents to complete installation access application. This shall be completed prior to issuance of any shipments/orders. Contractor will make tailgate deliveries to each of the customers unless requested otherwise by the customer. Exceptions are to be reported to COR for resolution.

1.11.12. Delivery Commitment Guarantee: The contractor shall make delivery of all shipments on the scheduled date (unless adjusted due to holiday) listed in Appendix 1.11. Contractor must meet this delivery commitment (applies to both scheduled and emergency shipments) or the shipper will be entitled to a shipper-initiated credit of 14% per day delayed. If credit is requested by shipper within 30 calendar days of the contractually required delivery date, the contractor shall either reduce their next invoice or credit the customer’s account for those shipments that do not meet the delivery commitment. In the event a delivery cannot occur during normal business hours, the contractor may contact the Prime Vendor to see if they will accept the shipment after hours. If the Prime Vendor will remain open to accept delivery, the shipment will not be entitled to a credit, but will still be considered late. This will be done on an exception basis only.

1.11.13. Delay Notification: The contractor shall notify the customer of any delays. An email explanation as to the cause of delay and what action has been taken to preclude a recurrence shall be provided within three business days to the CO. A copy of this explanation shall be provided to the customer. When shipments arrive in the destination country late, the contractor shall provide telephone or e-mail pre-alert notices to each consignee to inform them of estimated time of delivery.

1.11.14. Unscheduled/Emergency Requirements: The contractor shall be notified via e-mail of an unscheduled, emergency or high priority shipment by a DeCA or DLA Troop Support representative. The representative shall provide the contractor with the estimated weight, commodities involved, ship to location and other pertinent information. The contractor shall respond to the COR and DLA Distribution within 12 hours of notification in order to establish and coordinate delivery times. The contractor is required to deliver unscheduled, emergency shipments to the end destination within 72 hours after receipt of goods. Emergency shipments that are not delivered within the 72 hour timeframe will be subject to the credit terms indicated in paragraph 1.24.12. For emergency shipments received by the contractor, either at the over pack facility or picked up the Prime Vendor places of performance that exceed 60,000 lbs., the volume shall be divided into separate shipments whereby each shipment is at or below 60,000 lbs. The 72 hour delivery requirement is then extended 24 hours for each incremental shipment volume exceeding 60,000 lbs. For example, if an emergency shipment with total aggregate weight of 150,000 lbs. requires service, the breakdown provides an example of how the timeframe requirement would be calculated for the different incremental shipments of the total 150,000 lb. requirement.

Portion of 150,000 lb. shipment Required Delivery Time-frame

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First 60,000 lbs. 72 hours after receipt of goods Second 60,000 lbs. 96 hours after receipt of goods Final 30,000 lbs. 120 hours after receipt of goods

1.11.15. Non-Basic Service. The contractor shall offer a percentage discount off their commercial rate for international shipments requiring cold chain logistics transportation originating from and arriving to other locations not identified in Attachment 2, CAT A CLIN Matrix, CLIN X009/X010. Shipments originating from locations other than the contractor’s packing facilities in San Francisco, CA, Los Angeles, CA, and Seattle, WA shall only require door-to-door transportation and cold chain maintenance while in transit.

These shipments shall not include overpacking services. Historical examples of these types of shipments have been within Asia (e.g., between Singapore and Philippines, between Japan and Okinawa, and between Japan and Guam.

1.11.16. Proof of Delivery. The contractor shall email proofs of delivery (PODs) to DeCA and DLA Distribution weekly. PODs shall be sent to the CO monthly via email by the 18th of each month.

1.11.17. Weekly Reporting. The contractor shall complete the COR Monitor Log in Appendix 6-16 each week. The log shall be emailed to the COR, DeCA, and DLA Distribution NLT Wednesday of the following week.

1.12. Commercial Forms and Procedures (CF&P).

1.12.1. The contractor shall provide all commercial forms (both electronically (if available) and in hard copy form) necessary for successful contract performance.

1.12.2. Both the hardcopy Commercial Bill of Lading (CBL) and electronic CF&P shall have 20 alphanumeric spaces for the agency or organization to use.

1.12.2. Terms and conditions of the CBL are applicable to shipments moving under CBLs, CF&P, or Government Bill of Lading (GBL).

1.13. Printed Airway Bills. The contractor shall provide an automated system to print airway bills or provide each vendor with pre-printed airway bills for each customer.

1.14. Delivery Attempt or Refusal.

1.14.1. Attempted Delivery. The contractor shall attempt to deliver a shipment three times before contacting the shipper for disposition instructions. Each delivery attempt shall be made on the next business day. For perishables, the contractor shall continue to verify expiration date/time and add wet or dry ice as necessary to prevent expiration until disposition is received. The contractor shall leave a notice of attempted delivery on each delivery attempt. For purposes of contract performance, delivery shall be considered accomplished on the date of the first delivery attempt. The cost of any further disposition, or additional deliveries requested by the shipper, is the responsibility of the shipper.

1.14.2. Refusal by Consignee. If a consignee refuses to accept a delivery, the contractor shall annotate refusal on the order with date, time, and name of person who refused and contact the shipper for disposition instructions. For purposes of contract performance, delivery shall be considered accomplished on the date of the first delivery attempt. Changes in address for delivery is the responsibility of the shipper and billed accordingly.

1.14.3. When authorized by the shipper on the CBL, Electronic CF&P, GBL or other government documents as approved by the Contracting Officer, the shipment shall be considered delivered when the shipment is left without signature at the front door/loading dock (location approved by shipper) of the consignee’s address.

1.15. Intransit Visibility.

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1.15.1. The contractor shall provide Intransit Visibility (ITV) for all shipments from the date and time of pickup to the date and time of delivery. The contractor shall continue to provide ITV information when shipments are transported by their subcontractors or partners.

1.15.2. The contractor shall update ITV shipment status information each day at least the same number of times as required for commercial customers.

1.15.3. ITV information shall include as a minimum: Government-furnished Transportation Control Number (TCN) if provided, shipper’s reference number, contractor’s unique identifying CBL number, dates and times for shipment origin departure, trans-shipment points, destination arrival, proof of delivery with consignee’s name (if applicable), and delay codes (if applicable). When shipments are delivered without obtaining a signature, the ITV system shall record the exact location where the shipment was left.

1.15.4. The contractor shall provide 24-hours a day, 7-days per week ITV information via the Internet and toll free telephone service.

1.16. IDE/GTN Global Convergence (IGC) (formerly Global Transportation Network (GTN) Interface.

1.16.1. The contractor shall provide interface with the DoD’s IGC as required in attached Appendix 1.7.

The contractor shall provide this information without restriction.

1.16.2. Development and execution of Electronic Data Interchange (EDI) transaction sets within the scope of the contract shall be agreed upon by the IGC Program Office, detailed and documented in the standard Military Surface Deployment and Distribution Command (SDDC) Trading Partner Agreement (TPA) prior to contract performance. TPA information can be accessed via SDDC web page at http://www.sddc.army.mil/GCD/SiteAssets/TPA_Template%20Nov11.pdf.

1.16.3. The contractor shall be capable of providing an accurate data feed to IGC in accordance with Appendix 1.7 prior to starting performance.

1.17. Pre Alert Notification

1.17.1 The contractor shall provide consignor pre-alert notification within four hours of pick-up at origin for all shipments.

1.17.2. The contractor shall provide consignee pre-alert notification at least 24 hours in advance of delivery.

If delays in transit occur, a revised pre-alert notice will be sent at least 24 hours in advance of delivery to the consignee (or as soon as delay is known if less than 24 hours). The pre-alert is intended to assure access to dock space and availability of government personnel and material handling equipment. The pre-alert should provide, at a minimum, the following information: TCN, number of pallets, weight of pallets and pieces to be delivered, date and time to be delivered, and identification of any pallet(s) containing perishable items, medical priority shipments, or other cargo requiring special handling.

1.18. Supply Chain Security. The contractor shall follow their commercial security and customs procedures to safeguard cargo against theft, loss, tampering, or damage.

1.19. Misrouted Shipments. The contractor shall notify the consignee of misrouted shipment(s). The contractor shall provide the Bill of Lading number of the misrouted shipment and the new arrival time to the customer at this time.

1.20. Contingency/Redirection/Surges. In the event of a contingency/state of war (declared or not), where the shipments are undeliverable to a location/country, the contractor shall contact the shipping office for possible redirection of shipments. The shipping office will coordinate with the appropriate government offices, agencies, and contractor to ensure proper receipt and ultimate delivery of redirected shipment to the consignees.