Amendment_2_-_Attach_1-PWS_Slovenia_3-12-2019.docx

RFQ Amendment 2 - Attachment 1 – HTC711-19-Q-R003

PERFORMANCE WORK STATEMENT

STEVEDORING AND RELATED TERMINAL SERVICES (S&RTS)

PORT OF KOPER, SLOVENIA

Stevedoring & Related Terminal Services

Performance Work Statement

For

Military Operations Terminal

ITALY DETACHMENT

839TH

Transportation Battalion Detachment

12 March 2019

Stevedoring & Related Transportation Services Performance Work Statement

TABLE OF CONTENTS

Section Topic Page

Contract Performance Requirements Summary (PRS) Table 42

Appendix D List of Acronyms & Abbreviations 64 Appendix E Foreign Entity Vetting 66

Section 1

1.0 BACKGROUND & SCOPE

1.1 Background-Military Surface Deployment and Distribution Command (SDDC), headquartered at Scott AFB, IL is a major U.S. Army Command and a vital component of the U.S. Transportation Command. Since its establishment in 1965, SDDC has played a vital role in our nation’s defense by providing support to every war, major contingency, training exercise and humanitarian relief operation where our military forces have been deployed.

1.2 Scope-Stevedoring and Related Terminal Services. SDDC requires Stevedoring and Related Terminal Services (S&RTS) to include all labor, equipment, gear, tools, documents, materials, and miscellaneous supplies and management services to satisfy the scope of this PWS. The Government requires performance of all PWS tasks mentioned herein at the Port of Koper, located in the country of Slovenia, in a manner consistent with the best commercial practices designated by the Contracting Offer (CO) or Contracting Officer’s Representative (COR)/Alternate Contracting Officer Representative (ACOR). Subsequent references to the COR will assume the ACOR as well, unless otherwise specified. The specific tasks shall be inclusive of services required for vessel loading, vessel discharging, cargo receipt and disposition, cargo washing, cargo staging, transfer of cargo, tallying and checking, and handling of government provided securing materials. The Contractor will obtain required approval of all work, services, or other operations from the COR, and will assume all expenses for any work performed without written authorization. This requirement includes physical security, facilities, storage/staging, office space and office supplies, and equipment to perform all required documentation – to include other related miscellaneous requirements as outlined in this PWS. SDDC requires the Contractor provide proof of ability to perform S&RTS services within the scope of this PWS at the Port of Koper, Slovenia. All required approvals IAW the PWS are required from the Contracting Officer (CO) and Contracting Officer’s Representative (COR) and any work performed without authorization, shall be at the Contractor’s expense. The Contractor shall provide proof of ability to perform S&RTS services at all ports within the scope of this PWS. The Period of Performance for this requirement is from 1 May 2019 through 30 April 2020.

**Note: Subsequent references to the COR throughout the PWS will assume also the ACOR as well, unless otherwise specified.

1.2.1 The Contractor shall provide all gear, equipment, materials, management and sufficient amounts of qualified labor to satisfy the full scope of this contract and make every effort to rectify any of those shortfalls for which the Government will pay the Contractor by applicable commodity rates or man-hour rates as designated in the Schedule of Rates (SOR).

1.2.2 The Contractor will obtain the required written approval of all work, services, or other operations from the Ordering Officer (OO), for which a task order will be issued. The Contractor will assume all expenses for any work performed outside of or without written authorization.

2.0 GENERAL SECURITY REQUIREMENTS

2.1 General security requirements of the Contractor are defined within this section. Additional duties and requirements specific to the particular terminal(s) within the scope of this contact are further defined in Section 6.0 –Port - Terminal Specific Requirements (security).

2.2 The overall classification of work associated with this contract is UNCLASSIFIED.

Personnel assigned to this contract will not require access to Non-Secure Internet Protocol Router Network (NIPRNet) applications or UNCLASSIFIED government systems and are therefore not authorized to obtain a Common Access Card (CAC) or Alternative Smart Card Logon (ASCL) tokens.

2.3 Ground Rules and Constraints

2.3.1 Persons Excluded from the Premises. The Contractor shall not allow a person that has been banned by any authority from the premises to have access to terminal facilities, equipment, or other material related to terminal operations.

2.3.2 Persons with Restricted Duties. The Contractor shall not allow a person restricted by any authority to operate restricted equipment or enter restricted areas.

2.4.1 Contractor personnel shall read and comply with applicable DOD security regulations, policies, and procedures for access to installations and facilities.

2.4.2 The Contractor shall comply with requirements associated with Installation Access Control. The Government is not liable for any costs associated with performance delays due solely to the Contractor’s failure to comply with the applicable Port, Facility or Installation Access Control processing requirements.

2.4.3 Upon termination or completion of this contract, the Contractor employee shall surrender all Government supplies, materials, and equipment to the COR. In addition, the Contractor shall turn in all security badges issued to the COR on the last day of the contract or upon any termination/reassignment of a contract employee.

2.4.4 If the Government notifies the Contractor that employment of any contractor employee is prejudicial to the interests or endangers the security of the United States of America, the Contractor shall remove and bar that person. This includes security deviations/incidents and credible derogatory information on contract members during the course of the contract period. The Contractor receiving award of this contract shall make any changes necessary in the appointment(s).

2.4.5 Operations Security (OPSEC): All information furnished to the Contractor shall be considered FOR OFFICIAL USE ONLY (FOUO). The Contractor shall comply with all OPSEC requirements from SDDC. Information determined as FOUO or included as part of the OPSEC Critical Information List (CIL) shall not be released to the public. Contractor personnel shall protect privacy, sensitive information, and “FOUO” data for the duration of this contract.

2.4.5.1 Persons employed by the Contractor will report threat-related incidents, behavioral indicators, and other matters of Counter-Intelligence (CI) interest specified in AR 381-12, Chapter 3, to the Facility Security Officer, the nearest military CI Office, the Federal Bureau of Investigation, or the Defense Security Service.

2.4.6 Foreign Entity Vetting. The Contractors shall submit a semi-annual report to the contracting officer for each first tier foreign transportation service provider, operating as a separate legal entity, contracting directly with contractor or its commonly owned legal affiliate which has employees who may have physical contact with Government shipments in the ordinary course of contract performance. See appendix E for further instruction for this requirement. Compensation for services defined in this paragraph are included in the commodity rates established in the SOR.

2.4.7 Contractor employees shall comply with base access and control procedures. Contractor personnel that have not been cleared for entry to any secure working area shall be denied entry and the Government will not be liable for wages of such denied personnel.

2.4.8 Vehicle Identification. The Contractor shall obtain installation/port access clearance for any vehicles used in performance of this contract. The Contractor shall submit a comprehensive list of vehicles required during the duration of this contract immediately upon award to the COR in order to obtain access clearance. The list shall identify vehicle type, license plate, and owner/ company name. Personally Owned Vehicles shall not be authorized entry unless identified as official vehicles critical to the success of the mission. When submission of a new vehicle is necessary, only substitutions are acceptable to maintain a reasonable number of cleared vehicles authorized entry.

2.4.9 Security Regulation Compliance. The Contractor shall comply with all security regulations and directives as identified herein, and other security requirements located in this contract. The contractor shall not divulge any financial, planning, programming, or budgeting information without the express consent of the Government as outlined in Operational Security (OPSEC) and Information Security regulations.

Security Regulation Guidance.

Department of Defense (DOD):

2000.12 (DOD Antiterrorism (AT) Program)

2000.16 (DOD Antiterrorism (AT) Standards)

5200.01 Volumes 1-4, (DODM Information Security Program)

5200.02 (DODM Procedures for the DOD Personnel Security Program) 5200.08-R (DOD Physical Security Program) 5220.22-M (National Industrial Security Program)

8500.1 (DODI Cyber Security)

2.4.10 DOD regulations found at: http://www.dtic.mil/whs/directives/corres/pub1.html

2.5 Cyber Security

In accordance with DFAR 252.204-7012, "Safeguarding Covered Defense Information and Cyber Incident Reporting”, the Contractor shall provide adequate security on all Contractor information systems used to receive, transmit, or store covered defense information. The Contractor shall detail their compliance measures in a system security plan (SSP), submitted to the COR prior to start of work. If a cyber incident occurs, within 72 hours of discovery the Contractor and/or subcontractor shall report the incident to the following site: http://dibnet.dod.mil.

3 GENERAL SAFETY REQUIREMENTS

3.1 General Safety Requirements of the Contractor are defined within this section. Additional duties and requirements specific to the particular terminal(s) within the scope of this contact are further defined in Section 6.0 –Port - Terminal Specific Requirements (safety).

The Contractor shall comply with, enforcing and monitoring applicable host nation, international, local installation and SDDC Transportation Battalion safety and fire regulations. The COR shall log any discrepancies within the defined quality performance process. The Contactor shall establish and maintain an effective and comprehensive safety program. The Contractor shall support the SDDC Emergency Disaster Plan. The Contractor shall acquire, maintain, and require use of safety equipment, personal protective equipment (PPE) (29 CFR 1918.101-106) and devices necessary to protect employees on the installation, port, and the vessel. The Government reserves the right to halt Contractor operations when the Operations Officer, COR, or other Government representative observes unsafe operations; where cargo damage, harm to life or property are possible. Operations shall not resume until as the Contractor revises their methods of operation to the Government’s satisfaction. The Government will not compensate the Contractor for any standby time and may hold the Contractor liable for costs incurred by Government, if operations are halted due to Contractor unsafe operations.

3.2 The Contractor shall adhere to host nation, local authority, and/or DOD standards for a safe working load for cargo handling gear and equipment and ship’s gear. The Contractor shall ensure employees wear hard hats at all times when working in “hard hat areas” designated by the COR, at minimum hatches, wharves, terminal warehouses, and open storage areas. In all cases, the Contractor shall provide fresh labor at the beginning of each shift who shall have at least eight (8) hours of rest between shifts before starting another work.

3.2.1 Emergency Response Plan. . The Contractor shall provide a comprehensive safety and security Emergency Response Plan clearly outlining procedures for emergency HAZMAT cleanup of spills from military cargo shipments or leaking Material Handling Equipment (MHE) (for example forklifts, tugs, and container top handlers) owned or leased by Contractor, to include mitigating damage to property and the environment. When needed, the Contractor shall immediately arrange for outside emergency response personnel who specialize in spill containment and clean up. The Contractor shall pay for any such clean up resulting from the Contractor’s equipment/MHE or leaks caused by the Contractor by damage to military cargo shipments and comply with hazardous spill procedures in the Emergency Response Plan. For military cargo shipments leaking not caused by the contractor, the Contractor shall not be responsible for the cost of cleanup. The Contractor shall report immediately to the COR and Port Emergency Response Officer for any leakage or spillage of hazardous substances on the ground or any leakage or spillage.

3.2.1.1 The Contractor shall follow the directives provided by the Port Emergency Response Officer responsible for assuming command and control of the situation by securing the scene, providing incident command and control, evacuating personnel, stopping the release, containing spills and decontaminating personnel. Any clean-up efforts shall be tracked by the Contractor and reported to the COR.

3.2.3 The Contractor shall comply with all applicable environmental laws and regulations pertaining to marine and port facilities CONUS and OCONUS (host nations) to include but not limited to: A written Spill Contingency and Response Plan shall be submitted to the COR within ten (10) calendar days after contract award. At a minimum, this plan shall comply with all applicable directives of the environmental guidance and instructions per the United States Coast Guard (USCG) or the Host Nation equivalent (if applicable). The Contractor’s Spill Contingency and Response Plan (SCRP) shall specifically describe how the Contractor will prevent and respond to spill incidents. In addition, an acceptable secondary containment plan must be submitted in writing as part of the Spill Contingency and Response Plan.

3.2.3.1 In the event of accidental or deliberate discharge and the Contractor fails to mitigate and report the environmental hazard or spill, the Contractor shall be held liable for all costs associated with the incident.

3.2.4 Secondary Containment for Hazardous Materials, Wastes and Petroleum, Oils and Lubricants (POL). At no additional cost to the Government, the Contractor shall coordinate containment devices of various sizes if required for temporary and permanent storage facilities that retain POL substances, hazardous materials and hazardous wastes (i.e. - new and used – oils, fuels, lubricants, solvents, batteries, acids, paints, antifreeze, etc.)

3.2.4.1 The Contractor shall coordinate secondary containment units for all bulk POL storage tanks, fuel cans, barrels, bladders, etc. In addition, secondary containment units’ requirements apply to all tanks and/or containers from 5 to 55 gallons to include mobile tanker trucks used for refueling operations. All secondary containment structures shall be free from soil and sand accumulations.

3.2.4.2 In the event hazardous materials are required to be stored at the port where S&RTS contract services are being provided, the Contractor shall be responsible for coordinating the use of storage cabinets with current inventory sheet and Material Safety Data Sheet (MSDS) provided to the Port Safety Officer.

3.3 Safety-Driver and Government Furnished Equipment (GFE) operation training. Contractor shall conduct the required GFE operation training. Training is defined as, providing information, knowledge, and skills to reinforcement to meet requirements.

3.3.1 The Government will make available and the Contractor shall attend driver training (AR 600-55) for specialized Government vehicles and related processes and procedures to Contractor personnel. The Contractor shall coordinate with its personnel to attend the Government provided training so that sufficient pools of vehicle operators are available to operate Government vehicles within a port as required. Government vehicles may include, but are not limited to, all classes of Trucks, Stryker vehicles, Heavy Equipment Transporters (HETS), Mine Resistant Ambush Protective (MRAP) vehicles and Armored Tracked vehicles. The Contractors Labor shall participate at the Contractors expense.

3.3.2 At times, the Government may have field service representatives or vendor training onsite for new vehicle modeled equipment. The Government shall identify and provide vehicle specific training requirements for the Contractor’s employees to attend. The COR will coordinate the training events with the Contractor to ensure maximum participation. The Contractors Labor shall participate at the Contractors expense.

3.3.3 The Contractor shall ensure that personnel operating Government Vehicles possess valid civilian driver’s licenses or permits as required for operating vehicles (Host Nation equivalent). Drivers of Commercial Motor Vehicles shall have a valid Commercial Drivers’ License (or Host Nation equivalent) appropriate to the type of equipment being operated. If commercial motor vehicles are laden with Hazardous Materials (HAZMAT), to include munitions, Drivers licenses must include a HAZMAT endorsement (Host Nation equivalent). The Contractor shall not use Ammunition and Explosives laden MHE or vehicles during operator training at any time.

3.3.4 The Contractor shall establish a remedial training program for drivers or operators who have had driver at-fault accidents or traffic violations, misused equipment, or otherwise demonstrated a need for additional training on military vehicles or equipment. The COR may identify individuals that need remedial training. The Contractor shall direct this training towards identifying and correcting individual weaknesses. The Contractor shall conduct remedial training at no cost to the Government.

3.3.5 The Contractor shall provide a qualified POC for HAZMAT handling who will ensure that their employees comply with “DFARS 252.223-7002; SAFETY PRECAUTIONS FOR AMMUNITION AND EXPLOSIVES, DOD 4145.26-M; DOD CONTRACTORS SAFETY MANUAL FOR AMMUNITION AND EXPLOSIVES and DOD 6055.9-STD; DOD AMMUNITION AND EXPLOSIVES SAFETY STANDARDS in handling ammunition and explosives. Qualification for personnel who pack dangerous goods; load/unload Cargo Transport Units; handle dangerous goods in transport; load/unload dangerous goods into/from ships is specified in IMDGC Chapter 1.3; Training and 49CFR Part 172 Subpart H; Training, whichever is more stringent.

3.3.6 The Contractor shall provide the COR with a list of names each day of those drivers assigned to handle specialized vehicles, HAZMAT, or ammunition laden cargo per operation. The list shall include a statement from the Contractor verifying that individuals performing these driving functions comply with All Army Activities (ALARACT) Message 069-2014 and AR 600-55. The Government reserves the right to stop Contractor personnel at any time to verify their qualifications against the approved list of personnel scheduled to perform these functions. Any personnel found non-compliant, the Contractor shall remove that operator from handling this cargo and the incident reported to the COR, who shall report the incident in the monthly performance report.

3.4 Safety Briefings. The Contractor shall, as part of the commodity operation, conduct and document safety briefings for all workers prior to all operations and at each shift change thereafter, and must brief new workers as any new labor is added. The Contractor shall conduct safety briefings with the presence of a SDDC Government representative. The COR or SDDC Safety Officer may provide the Contractor with a checklist of safety and security topics to brief the Contractors labor prior to the start of vessel or terminal operations and may also participate in these briefings. Safety briefings conducted by the Contractor shall relate to the type of operation (e.g. truck, vessel, rail, yard, crane, etc.), and, at minimum, must meet, local authority and/or DOD regulatory guidance, or host nation requirements whichever is more stringent. Safety briefings shall be conducted in both English and, as applicable, in the Host Nation local language. Safety briefing should include the following basic information:

Overall General Safety Requirements

Traffic Safety

Task or Terminal-Specific (as applicable)

3.4.1 The Government will conduct safety briefings when necessary, and per local Commander’s guidance, during which time labor is on standby time. The Government safety briefing will include information as prescribed in paragraph 3.4 listed above and any other necessary terminal or Command related safety information.

3.5 Operation of Equipment. The Contractor shall maintain and operate all equipment used during operations IAW applicable Host Nation, local authority, laws and regulations, DOD, Army, port, and terminal regulations, directives, instructions and pamphlets, whichever is more stringent. Damage to cargo or injury related to use of non-compliant equipment or improper use of equipment will result in immediate non-use of that Contractor equipment until the Contractor replaces the equipment or takes corrective action to repair equipment. The Contractor shall replace any non-compliant equipment so that there will be no delay or hindrance to operations. The Contractor shall notify the COR when the equipment is made compliant, and before it is used again.

3.6 Damage, Accident, and Loss Reporting.

3.6.1 The Contractor shall immediately notify the COR of any incident and/or accident that resulted in damage to cargo or property, release of HAZMAT, injury, and/or death to any personnel during or arising from performance under this contract.

3.6.2 In all instances where a reportable accident (that meets the minimum criteria IAW AR 385-10 & DA PAM 385-40 for ground Class A–D accidents) or incident occurs, the Contractor shall submit a preliminary accident investigation report to the COR and SDDC Safety Officer within 24 Hours. A full accident investigation report identifying all root causes and corrective actions shall be provided to the COR and HQ SDDC Safety within 30 Days. The Contractor shall also report all accidents or cargo damages that do not meet minimum criteria to the COR.

3.6.2.1 The Contractor shall submit documentation to the COR verifying the qualifications and task training for each employee involved in the incident/accident.

3.6.2.2 The Contractor shall submit all maintenance records for Contractor-supplied equipment involved in the incident/accident.

3.6.3 The Contractor shall assist the Government during any investigation of an accident or serious incident.

3.6.3.1 After an accident or serious incident occurs, the Contractor shall secure the accident location and preserve critical evidence. The Contractor shall allow Government personnel access to the location, any evidence, and any contractor-employed witnesses to include operators involved in accident. Operations will not resume until cleared by the COR, SDDC Safety Officer, and local authorities.

4 GENERAL CONTRACT ADMINISTRATION

4.1 General contract administration is defined within this section. Additional duties and requirements specific to the particular terminal(s) within the scope of this contract are further defined in Section 6.0 –Port - Terminal Specific Requirements (administration).

4.1.1 Port Licensing and permits. The Prime Contractor or its named Subcontractor shall possess a valid and current Business License (BL) or work permit issued by the applicable Port Authorities for the State (CONUS) or by the Host Nation (OCONUS) as evidence to work at all named ports within this PWS (see geographic info section 6.1) and must provide copies (prime or subcontractors) to the CO for record.

4.1.1.1 The Contractor shall submit current copies to the Government if applicable to the Contractor, union rules, and Collective Bargaining Agreements (CBA) and port tariffs. The Contractor shall also furnish information about specific changes to union contracts or local work rules, CBA’s and port Tariffs that affect cargo operations IAW the performance of this PWS.

4.1.2 Subcontractor’s license or permits may substitute for prime Contractor's license that allows the Contractor or their subcontractors to operate at all ports listed in section 6.0 geographic information.

4.1.3 The Contractor shall provide a contract manager and at least two (2) alternates responsible for the performance of the work. The Contractor shall provide telephone numbers for the contract manager and alternates where these persons may be contacted during and after duty hours. The contract manager shall have, as a minimum, five years demonstrated experience in directing and managing port handling operations. His alternates shall have, as a minimum, three years demonstrated managerial experience in the port handling business. The contract manager and alternates must be able to read, write, speak, and understand English fluently.

4.1.4 The contract manager and alternates shall have full authority to act on all matters pertaining to the performance of services IAW the PWS.

4.1.5 During the performance of simultaneous cargo handling operations, the Contractor shall have the contract manager or alternates be present at each work site and accessible to the COR/ACOR at all times. At any other time, i.e. outside cargo operations, the contract manager or designated alternate shall be available to the COR by telephone.

4.1.6 The contract manager and alternates shall meet as necessary with Government personnel designated by the Contracting Officer to discuss contract performance or other problem areas or issues.

4.1.7 The contract manager and alternates shall not be removed or replaced without informing the Contracting Officer or COR.

4.2 Ordering Services. The contractor shall provide all stevedoring services ordered under the Task Order (TO) template issued. All services shall be identified by the COR and conveyed to an appointed Ordering Officer (OO). The OO will develop commodity, man-hours, or miscellaneous cost estimate identifying all services agreed upon between the COR and the Contractor as soon as practicable and prior to the start date & time for each days S&RTS services ordered for each day or vessel. Any work performed without an issued TO will be at the expense of the contractor.

4.2.1 During an operation, if needed, the COR may verbally identify additional labor, services, or equipment needed and in doing so, will issue the contractor a signed written request. The Contractor shall confirm all verbal orders in writing with the OO within 24 hours. The Contractor shall reconcile all services ordered with the COR and review all supporting documentation (SDDC forms MT 288, 290, log book, tally sheets, and time sheets) ensuring they are completed and signed. The OO will finalize each TO with the COR, accounting for actual Contractor performance within 7 days. The OO will submit a final amended TO too the Contractor for invoicing. The Contractor shall submit a proper and complete invoice for payment (following invoicing instructions) to the COR for certification and submit the invoice for processing.

4.3 Out-of-Pocket (OOP) Expenses. OOP expenses involve the reimbursement of actual payments made by the Contractor to a third party vendor or for supplies on behalf of the Government. Expenses must be substantiated by the Contractor by submitting the paid vendor invoice or receipt to COR. OOP expenses will be ordered and reimbursed only for mission related services and materials identified on TO template.

4.3.1 OOP expenses do not include expenses inherent to performing stevedoring and related terminal services. OOP expenses are for the purpose of purchasing supplies or non-durable goods. The Contractor shall obtain written approval from the CO or COR for each item requested. All such materials or supplies shall become Government property and the Contractor shall recover all serviceable materials and supplies from each operation for reuse in subsequent ordered operations when possible. The Contractor will not be compensated for re-use of recovered materials. The Contractor shall gain prior written approval before the purchase of additional materials from the CO for OOP expenses exceeding the threshold of $3,500 per individual item, additionally administrative fees (exp; delivery charges or taxes) are allowable OOP expenses and compensation shall be set forth in Schedules 8 of the SOR

4.3.2 The Government may source materials or third party vendors to support mission readiness, at its discretion and may require the Contractor to procure those materials or services.

4.3.3 Government owned is defined as either materials purchased by the Government for the Contractors use in support of this contract or materials purchased by the Contractor and approved as an OOP expense by the COR for Government use and for which Contractor has valid vendor receipts.

4.4 Training and Contingency Operations. The Government reserves the right to conduct training and contingency operations for Department of Defense (DOD) personnel during scheduled or contingency load or discharge for any vessel or related terminal operations. During these scheduled training or contingency events, the Government may utilize military personnel for loading and discharging the entire vessel, or conduct routine terminal or port operations. Unless otherwise ordered, the Contractor shall not receive compensation for cargo handling operations conducted by the DOD during these training or contingency operation events.

4.4.1 The COR will inform the Contractor when such training or contingency operation are scheduled or as soon as known, but No Later Than (NLT) 48-hours prior to the event. During the training or contingency special operation events, the Contractor shall provide, when ordered by the OO, sufficient qualified labor or equipment in support of the DOD operation. The Government shall compensate the Contractor for labor and equipment when requested by the COR and ordered by the OO, at man-hour and equipment rental rates established in the Schedule 2 and 4 of the SOR.

4.4.2 The Government reserves the right to use skilled military drivers to operate, load, and discharge specialized, unique military vehicles and equipment at any time when determined by the COR. When military drivers are utilized the Contractor shall provide other designated support labor and equipment for all other stevedore related work (ie; lashing, unlashing, or towing cargo) associated to that military operated cargo. The Government shall compensate the Contractor at man-hour rates for only those designated as support for those pieces of cargo and commodity rates shall apply for all other cargo handled by the Contractor as established in the SOR.

4.5 Commodity Rates. All commodity rates applicable to this contract are inclusive of all labor, equipment, port handling and all applicable tariff costs related or associated to the handling and movement of DTS cargo, to include all planning activities.

4.5.1 Exceptions to Commodity Rates. Whenever a particular type of cargo is handled for which no commodity rate has been established, it shall be handled using the Extra Labor (XL) and Equipment Rental Rates (EQR) rates in established the applicable schedule of the SOR.

NOTE: The below table does not include all activities related to a specific commodity movements, e.g. lashing and securing. See Section 6 for activities other than specified movement included within the commodity rate.

4.6 Minimum Time, Standby Time and Detention

4.6.1 Minimum time. Minimum time is defined as the maximum amount of compensation (by the hour) during a commodity operation the Contractor will receive in addition to the commodity rates of time actually worked after all commodity work is completed for which the contractor is required to pay their employees to comply with minimum work guarantees require for applicable CBA’s. Where minimum time work is guaranteed The Government shall pay minimum time to the Contractor when work fails to materialize or the work is completed prior to the established minimum time for the work day.

4.6.1.1 The Government will not pay minimum time to the Contractor where local CBA’s do not exist. In no case will the Government pay minimum time when labor is ordered; cargo or freight is available to work at the work site or vessel; but not worked due to Contractor’s inability to provide personnel or equipment.

4.6.2 The Government shall not pay minimum time separately to any class of labor working commodity in conjunction with other classes of labor until completion of commodity activity; or any part of a gang not required on a commodity activity. For example, unloading operation is inclusive of unlashing and unloading cargo to its designated place of rest or stow under one commodity rate. Lashers who finish unlashing are still on commodity time (i.e., not minimum or detention) until drivers complete unloading and staging to final point of rest or stow. During a load operation, after drivers complete the load, they remain on commodity rates until lashers have completed all lashing. While any portion of labor to include checkers working commodity, all are listed as commodity.

4.6.3 Stand By Time. “Standby time” or “waiting time”, is defined as work stoppage, at the Governments discretion for causes beyond the control of the Government or the Contractor, this includes but not limited to breakdown of ships gear, inclement weather (see Glossary), unanticipated or non-arrival of the vessel, non-readiness of the vessel, non-arrival of cargo, non-arrival of other conveyances (truck or rail). In all such cases the Contractors time will be captured on the SDDC form MT 288 as standby time (S/B). The COR will negate the cause and direct the Contractor to stand by. The Contractor shall be compensated for stand by time at established rates in Schedule 2 in the SOR.

4.6.3.1 At the request of the COR and ordered by the OO, the Contractor shall provide shadow or ghost labor (single or multiple classes of labor at the COR/OO discretion) for support of military operation, whereas the Contractors labor maybe placed on “stand-by”.

4.6.4 Detention. Detention is defined as time lost due to work stoppage, or interruption of work during commodity operation.

4.6.4.1 When detention occurs during a commodity operation, the Contractor shall absorb each detention period of fifteen minutes or less. The Government shall pay the Contractor at detention rates for labor, including checkers and equipment operators (drivers), for each detention in excess of fifteen minutes including the first fifteen minutes thereof. Unless approved by the COR, the Government shall not pay detention time for equipment.

4.6.4.2 Detention time is used to compensate the Contractor for work stoppage during commodity operations, causes includes but not limited to changes in vessel, truck or rail (if applicable to the AOR) operational plan (i.e. change to staging or stow plans). Should the Government change planned work, halt commodity work or alter other plans during an operation, the COR will notify the Contractor. The Contractor shall notify the Government representative monitoring the Contractors work site that work has stopped immediately and continue working where work is available to include shifting labor. The COR may require the Contractor shall shift their labor to another location to reduce detention time. The Government is not liable for lost time due to contractor fault therefore labor remains on commodity

4.6.4.3 All stand by time, and detention will be computed to the nearest 5 minute multiple, and payable to the Contractor in lieu of commodity or Extra Labor (XL) base rates specified elsewhere in this PWS, and compensated at applicable man-hour rates from schedule 2 of the SOR.

4.6.4.4 The Government will not compensate the Contractor for detention of labor that is not directly associated with the scope of this contract. For example, commodity vessel load is inclusive of loading and lashing cargo. Drivers and lashers conducting loading and lashing are inclusive of each other under one commodity rate; therefore, drivers or lashers during the process of load and lash may wait for the other to perform or complete their work. Neither party is authorized detention while the other is performing commodity work.

4.6.4.5 Whenever detention occurs prior to or during extra labor operations, the Government will pay the Contractor on detention rates basis for detention time (see 4.6.4.3). If a percentage of labor is required to perform XL work, the Government will pay the balance of labor standing by at detention rates. If certain classes of labor are required to standby because another class of labor is performing an extra labor operation, then the Government will pay such certain classes of labor at detention rates.

4.6.4.6 The Contractor shall provide to the COR, documentation (time sheets or log book) justifying detention or standby time at the end of each shift wherein the detention occurred for approval of compensation. Failure to do so at that time may preclude compensation except with CO approval.

4.7 Extra Labor. The Contractor shall, when requested by the COR, and ordered by the OO, supply extra labor for miscellaneous services within the scope and intent of this contract. Unless services are occasioned by the fault or negligence of the contractor, the contractor shall be compensated at the extra labor rates established in Schedule 2 in the SOR.

4.7.1 Miscellaneous services include, but are not limited to the following:

· Carpentry work in excess of normal lashing, blocking & bracing.

· Welding & burning.

· Re-handling, removing and shifting of cargo.

· Building or dismantling of sheathing and nailed floors.

· Handling of ships' stores & materials.

· Providing shadow or ghost labor for military operation.

· Providing assistance to US Government personnel for terminal services, exercise and contingency operations.

4.7.2 When performing extra labor services, the Contractor shall furnish all gear and necessary equipment required to perform the requested service. Labor (schedule 2) and Equipment rental (schedule 4) of the SOR rates shall apply.

4.8 Overtime. Overtime is defined as the hours worked after normal work day, regardless of shift. Example, if normal hours of operation are 0800 to 1700 hours, Monday through Friday, when operational requirements dictates that labor work past normal work day, hours worked after the work day may include overtime, this may also include weekends and holidays. Overtime periods shall be time over normal working shifts.

4.8.1 The contractor shall, when directed by the COR, and ordered by the OO, supply labor for requested overtime work (include weekends and holidays). Compensation for overtime work shall include the hourly rate plus the overtime differential rates in the SOR, overtime pay shall be in addition to the commodity rates or extra labor rates.

4.9 Shift Differentials. When work is performed in a shift other than the regular or normal daily shift, the Contractor shall be compensated in accordance with the applicable shift differential rates set forth in Schedule 3B and 3C in the SOR for each working member in each labor class. When work is performed on an extra labor basis, applicable differentials rates in Schedule 3B or 3C shall be added to base hourly labor rates per class. Differential pay shall be time over normal working shifts and shall be determined IAW the prevailing CBA if applicable to the Contractor and their employees.

4.10 Equipment Rental Rates. All Equipment Rental (EQR) rates listed in schedule 4 of the SOR are billable by the hour or day for extra labor usage. All equipment applicable to this contract shall be inclusive of its operator, fuel, lubricants, slings, and accessories, and their mobilization and demobilization costs unless otherwise indicated and approved by the COR ahead of time. Daily equipment rates shall imply 24 hours of usage. Rental of equipment not listed in the SOR will be subject to the same conditions above and paid on a cost reimbursement OOP, all rates are subject to written approval by the COR.

4.11 Inland transportation rates. All inland transportation rates if applicable to this contract are inclusive of drivers, co-drivers, fuel, lubricants, lashing, unlashing, trapping materials, time and distance.

4.12 Contract Labor Reporting. The Contractor shall provide as requested by the COR, a daily time keeping log book for verification of labor and services provided for each shift per day’s operations, for the purpose of reconciliation. Breakout will include the description of service, total quantities of labor by class, hours worked to the nearest 5 minute interval, and significant events of the day.

4.13 Timekeeping. The Contractor shall maintain timesheets, with 100 percent accuracy, for all contractual services furnished by their own operations or subcontracted operations.

The timesheet shall include the following:

· Date of operation

· Work was performed on daily shift or continuous shift

· Number of laborers, by class type of labor used, and hours worked

· Type, number, and hours equipment is utilized

· Times and reasons for any work stoppages.

Timesheets will be verified by the COR. Compensation for timekeeping is included under commodity rates in the SOR.

4.13.1 In addition to all other requirements stated elsewhere, the Contractor shall provide the Government with:

4.13.2 Daily port work accomplishment plan; based upon vessel discharge, load, and port clearance guidance, to include number of gangs, vessels, piers, etc., and equipment requirements, by shift, for the next twenty four (24) hour period. The Contractor shall provide this information at daily operations meetings.

4.13.3 Verbal reports of contractual problems, actual or anticipated, as identified with a monthly written report reflecting unresolved conditions or negative reports, if appropriate. Written reports or records are required for any commitments made between the Government and the Contractor.

4.14 Request for information. Upon request by the Government, the Contractor shall provide the COR cargo management information generated as a result of this PWS and respond to specific inquiries. The Contractor shall answer inquiries regarding movement, status, and/or disposition of cargo within four (4) working hours or less. The Contractor shall immediately notify the COR of inability to perform any task or function IAW this PWS.

4.15 Schedules. It is of utmost importance that work schedules be maintained during transition. The outgoing Contractor will be responsible for work schedules until a work area is officially transferred to the incoming Contractor. Work will only be transitioned from the outgoing Contractor to the incoming Contractor when it is determined by the COR that the incoming Contractor can conduct operations without detriment to the mission. This determination will be made in writing and provided to the PCO. Any disagreement with the COR's decision shall be brought to the attention of the PCO for resolution.

4.16 Order of Precedence. The Contractor shall be bound to accomplish all tasks and referenced regulations identified in the PWS. Should there be a conflict between the PWS and references set forth therein, the PWS will prevail unless the reference takes priority. In the event there is a conflict between or among two or more such references, those coded mandatory shall prevail over those coded advisory. Between or among those similarly coded, those issued by a higher authority shall control over those issued by a lower authority and between or among those issued at the same level of authority, those with a later date of issue shall control over those with earlier dates of issue.

4.17 Performance Requirements – Quality Assurance

4.17.1 Contractor Performance Requirements. The Contractors performance will be measured against the critical performance objectives listed in Contractor Performance Requirements Summary (PRS).

4.17.2 Definition of Performance Requirements. Performance Requirements are described as performance objectives, measures, and standards in the following manner:

· Performance Objective – A statement of the outcome or results.

· Performance Measures – The critical characteristics of the objective that will be monitored by the Government.

· Performance Standards – The targeted level or range of levels of performance for each performance measure, relating to the Acceptable Quality Level (AQL) for the objective.

4.17.3 Use of Performance Measures and Standards. 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 in accordance with standard commercial practices.

4.17.4 Quality Assurance. The Government has the right to inspect and test all services called for by the contract, to the extent practicable at all places and times during the term of the contract. Contractor shall not limit or hinder the Government’s access to places (to include services performed by sub-contractors) where services are being performed. At its discretion the Government may or may not notify the contractor in advance of inspection or test.

4.17.5 Government Observations. Government personnel, other than the CO, COR's or Quality Assurance Evaluators (QAE’s), may from time-to-time observe the contractors operations. However, these persons may not interfere with contractor performance.

4.18 Quality Control Inspection Plan (QCIP). The Contractor shall establish within 10 days of award of this contract a Quality Control Inspection Plan (QCIP) which will emphasize quality control over all contract requirements. The Quality Control Inspection Plan will contain a Quality Control Inspection Checklist (QCIC) which, at a minimum, will contain all elements of the Performance Requirements Summary (PRS).

4.18.1 The QCIP shall include the following:

· A quality control inspection system covering general and specific tasks included in the contract scope of work. It should specify tasks or areas to be inspected on both a scheduled or unscheduled basis, and the manner in which inspections are to be conducted.

· The names of firms or individuals tasked to perform inspections and the extent of their authority. This may be in the form of an organization chart or other form approved by the COR.

· A method of identifying deficiencies in the quality of services performed before the level of performance becomes unacceptable.

· A method of documenting and enforcing quality control operations of prime or subcontractor work, including inspection and testing.

4.18.2 Quality Control Inspection Checklists (QCIC). The Contractor shall the submit QCIC to the COR upon completion of every vessel operations mission.[Commodity]

4.18.3 Quality Control Files (QCF). The Contractor shall maintain a file of all Contractor inspections or tests, to include any corrective actions taken.