IFB 33-1007_Lejeune Published.pdf

DEFENSE LOGISTICS AGENCY

DISPOSITION SERVICES

74 WASHINGTON AVENUE NORTH

BATTLE CREEK, MICHIGAN 49037-3092

INVITATION FOR BID (IFB)

FOR SALE OF

METALLIC and NON-METALLIC SCRAP

IFB 33-1007

SEALED BID

TERM SALE

For

DLA Disposition Services Lejeune, North Carolina

Offer Closing Date/Time: April 19, 2021 1:00 p.m., EST Battle Creek, Michigan, USA

Inspection Period Begins April 5th, 2021, 1:00 p.m. EST. By appointment only

Sales Contracting Officer: Thomas W. Marcum

EMAIL: Thomas.Marcum@dla.mil

PHONE: 269-961-5146

DEFENSE LOGISTICS AGENCY (DLA) DISPOSITION SERVICES

74 Washington Ave. North

Battle Creek, Michigan 49037-3092

A INTRODUCTION

A.1 Base Access Requirements:

A.2 Useful Websites:

A.3 Item Description:

A.4 Table 1: IFB Item Number Details:

A.5 Table 2: CLIN, Material, SCL, Descriptions:

A.6 Packing:

A.7 Removal:

A.8 Inspection:

A.9 Loading:

B TERMS AND CONDITIONS OF SALE

B.1 FAR Provision 52.204-24:

B.2 FAR Provision 52.204-25:

C SALE BY REFERENCE (SBR)

C.1 SBR Part 1:

C.2 SBR Part 2:

C.3 SBR Part 3:

C.4 SBR Part 4:

C.5 SBR Part 5:

C.6 SBR Part 6:

C.7 SBR Part 7:

C.8 SBR Part 8:

C.9 SBR Part 9:

C.10 SBR Part 10:

D BID EVALUATION AND CONTRACT AWARD

D.1 Bidding Process:

D.2 How to Bid:

D.3 A Responsive Bid:

D.4 When to Send Bid:

D.5 How to Modify/Cancel Bid:

D.6 Bid Acceptance Period:

D.7 Bid Evaluation:

D.8 Ineligible Bidder:

D.9 Pre-Award Survey:

D.9.1 Environmental Responsibility Determination (ERD):

D.10 Necessary Licenses, Permits and Certifications Shall be Reviewed:

D.11 Contract Award:

D.12 Post-Award Conference:

E PARTIES TO THE CONTRACT

E.1 Purchaser Information:

E.2 Transfer and Hypothecation:

E.3 Contract of Sale:

E.4 Authority of Sales Contracting Officer (SCO):

E.5 Authority of Sales Point of Contact (SPOC):

F CONTRACT FINANCIAL RETENTION & INSURANCE AND BOND REQUIREMENTS

F.1 Prepayment:

F.2 Insurance and Bond Contract Requirements:

G CONTRACT PERFORMANCE

G.1 Performance Period:

G.2 Regulatory Compliance:

G.3 Environmental and Safety Notice:

H DISTRIBUTIONS/PAYMENTS

H.1 The Billing Cycle:

H.2 Types of Acceptable Payments:

H.3 Payment Confirmation:

H.4 Consequences of late or short payments:

I AUTHORIZED AND UNAUTHORIZED MATERIAL REQUIREMENTS

I.1 Material Flow:

I.2 Material Referral:

I.3 Classified Material:

I.4 Material Potentially Presenting an Explosive Hazard (MPPEH):

I.5 Radioactive Property:

I.6 Hazardous Property:

I.7 Other than "Demilitarization Code A” Scrap Property:

I.8 Scrap Warranty and Exemptions from the scrapping requirement:

I.9 Demilitarization Code Assignment:

I.10 Foreign Attachment:

I.11 Miscellaneous Debris and Dunnage:

I.12 Standard Form (SF) 364 Report of Discrepancy (ROD):

I.13 Title Transfer:

I.14 Notice of Material Breach:

I.15 Response to Notice:

I.16 Termination:

I.17 Agency Remedies for Material Breach by Purchaser:

J COMPLIANCE WITH GOVERNMENT REGULATIONS

J.1 Bureau of Industry and Security (BIS):

K PURCHASER RESPONSIBILITIES

K.1 Scrap Yard Activity:

K.2 Weighing:

K.3 Letter of Authorization (LOA):

K.4 Purchaser Awareness of the Agency’s Environmental Management System (EMS):

K.5 Purchaser Shall Not be Allowed To Sell Material at Agency Locations:

K.6 Purchaser Use of Sub-Contractors:

K.7 Containers:

K.8 Container size and quantity:

K.9 Removal and Replacement of Containers:

K.10 Common Container Size Chart:

K.11 Segregation and Sorting of Scrap by SCL at Agency Locations:

K.12 Storage Charges:

L GOVERNMENT FURNISHED EQUIPMENT (GFE) & PURCHASER OWNED EQUIPMENT

L.1 Material Handling Equipment (MHE):

L.2 Requirement for Purchaser to use Purchaser owned MHE:

L.3 Government Furnished Equipment (GFE):

M CONTRACT COMPLIANCE, AUDITS AND REVIEWS

M.1 Compliance with Applicable Laws and Regulations:

M.2 Licenses and Permits:

M.3 Duties of Care and Loyalty:

M.4 Prohibited Activities:

M.5 Purchaser’s Cooperation is Investigations/Audits/Compliance Reviews:

M.6 Post award inspections:

M.7 Purchaser’s Responsibility for Independent Audit at Government’s Request:

M.8 Purchaser Record Retention:

M.9 Inspection of Records and Workplace by Government:

M.10 Purpose and Content of Compliance Audits, Reviews and Further Reviews:

M.11 Methods and Procedures for Compliance Reviews:

M.12 Further Reviews:

M.13 Compliance Notification:

M.14 Costs of Oversight:

M.15 Notice of Audit Adjustment:

M.16 Procedures for Adjudication of Audit Adjustments:

M.17 Remedies for Audit Adjustments:

M.18 Contracts with Third Parties:

N DISPUTES AND CLAIMS

N.1 Disputes:

N.2 Alternative Dispute Resolution (ADR):

O MISCELLANEOUS PROVISIONS

O.1 Binding Effect:

O.2 Notices:

O.3 Severability:

O.4 Headings:

O.5 Survival:

O.6 Waiver:

O.7 Force Majeure:

O.8 Use of the Agency Name and Public Communications:

O.9 Tense and Gender:

O.10 Entire Agreement and Modification:

O.11 Computation of Time:

O.12 Electronic Communication:

O.13 No Reimbursements:

O.14 Market, Resale and/or Export:

P GOVERNMENT REQUIRED REPORTS

P.1 Government Use of Purchaser Reported Information:

P.2 Performance Measure Requirements and Reports:

Q ADDITIONAL CONTRACT ADVISEMENTS

Q.1 Public Law Pertaining to Location Operations:

Q.2 Public Law Pertaining to Material:

Q.3 Resource Conservation and Recovery Act (RCRA) Notice:

Q.4 Chemical Agent Resistant Coating (CARC) Paint:

Q.5 Refrigerant:

Q.6 Pollution Prevention and Right-to-Know Information Definitions (As used in this clause):

R DEFINITIONS

S ACRONYMS

A INTRODUCTION

Defense Logistics Agency (DLA) Disposition Services (hereinafter, the “Agency”) is offering a three year term contract for metallic and non-metallic scrap through this Invitation for Bid (IFB).

A.1 Base Access Requirements:

All locations where property is located may have strict rules that may prohibit access to some individuals. To access our facilities, an apparent high bidder or their agent shall be required to obtain base access through the host installation. The local location will be able to provide information on how to obtain base access. Purchaser is solely responsible for determining installation access requirements and complying accordingly. If necessary, the SCO can confirm that Purchaser is performing requirements under this IFB and the resulting contract.

Applicant must show vehicle registration, proof of current vehicle insurance and identification that meets the requirements of the REAL ID ACT of 2005 in order to register for enrollment in the Defense Biometric Identification System (DBIDS).

A.2 Useful Websites:

DLA Disposition Services: https://www.dla.mil/DispositionServices.aspx DLA Auction Site: https://www.sales.dla.mil/dlab2b/init.do System for Award Management: https://beta.sam.gov/ Bureau of Industry and Security: https://www.bis.doc.gov/ U.S. Department of the Treasury: https://home.treasury.gov/ Consolidated Screening List Search Engine: https://legacy.export.gov/csl-search

The following is for reference only and does not indicate endorsement of the information provided.

Commercial Scale Locator: https://catscale.com/cat-scale-locator/

A.3 Item Description:

Metallic and Non-metallic scrap located at or near Camp Lejeune, North Carolina.

Generally, scrap material sourced to the resulting contract(s) is considered safe to sell and other than the Scrap Warranty has no additional restrictions by this Agency. The scrap material issued under this contract shall be assigned a Demilitarization Code of A and will be categorized into the SCL(s) listed below.

A.4 Table 1: IFB Item Number Details:

Table 1 provides specific information for the location, material and quantity.

State Site Item Material Total QTY

(LBS.)

Minimum Guaranteed

QTY (LBS.)

Maximum Allowed QTY

(LBS.)

NC Lejeune 1 DS000D4DA 75,000 37,500 112,500 NC Lejeune 2 DS000S01A 750,000 375,000 1,125,000 NC Lejeune 3 DS000D1DA 225,000 112,500 337,500 NC Lejeune 4 DS000H08A 750,000 375,000 1,125,000 NC Lejeune 5 DS000C1AA 750,000 375,000 1,125,000 NC Lejeune 6 DS000E1LA 9,000,000 4,500,000 13,500,000

A.5 Table 2: CLIN, Material, SCL, Descriptions:

Table 2 is material description(s) for the Contract Line Item Number (CLIN) for the material listed in Table 1.

https://www.dla.mil/DispositionServices.aspx https://www.sales.dla.mil/dlab2b/init.do https://beta.sam.gov/ https://www.bis.doc.gov/ https://home.treasury.gov/ https://legacy.export.gov/csl-search https://catscale.com/cat-scale-locator/

CLIN MATERIAL SCL DESCRIPTION

10 DS000D4DA D4D Copper w/ Foreign Attachments

20 DS000S01A S01 Stainless Steel Alloy Group 1

30 DS000D1DA D1D Irony aluminum. Segregate from normal generations of wrecked aircraft aluminum because of aluminum recovery. Consists of solids generated from obsolete or rejected parts, components, or accessories from which all non-aluminum parts have not been removed, and borings and turnings containing excessive oil and other foreign materials. Large quantities of borings and turnings should be segregated.

40 DS000H08A H08 All Plastics, including sonobuoy containers

50 DS000C1AA C1A Textile Scrap Miscellaneous

60 DS000E1LA E1L

Iron and steel scrap, mixed w/foreign attachments, highly enameled stock, coated paint cans, tin cans, borings and turnings highly corroded, dirty and containing excessive oil and other inferior grades of metal prohibitive to other classifications, oil and other inferior grades of metal prohibitive to other classifications.

A.6 Packing:

Property is loose on the ground, packaged and unpackaged, loose in cardboard cartons, wooden boxes, crates and on pallets which are included in sale. Some material may be packaged in containers that must be returned to the Government. The returnable containers will be identified prior to removal and annotated on the removal documents.

Once Purchaser places their containers at the beginning of the contract, all property received and issued from that time will be placed in the Purchaser provided containers for Purchaser removal.

A.7 Removal:

Monday-Friday 8:00AM-2:00PM Eastern Standard Time (EST) excluding federally recognized holidays. Purchaser will provide one bin/hopper/roll off container per SCL listed for each pick-up location. When purchaser executes a removal, the Purchaser will drop an empty bin/hopper/roll off container to replace the full bin/hopper/roll off container being removed.

A.8 Inspection:

Monday-Friday 8:00AM-2:00PM Eastern Standard Time (EST) excluding federally recognized holidays.

Bidders interested in inspecting the property under this IFB may travel to the designated site to perform inspection and sampling for the purposes of bidding on this IFB. If the State or local community has “shelter in place” or “stay at home” orders in place for COVID -19, bidders are authorized to travel as part of the Defense Industrial Base, Essential Critical Infrastructure Workforce for the purpose inspecting property prior to bid opening. The awardee of this sale will also be authorized to perform the conditions of this sale as part of the Defense Industrial Base, Essential Critical Infrastructure Workforce. The SCO can provide letters of confirmation to any bidder to confirm status under Defense Industrial Base, Essential Critical Infrastructure Workforce guidance. Bidders should also be advised that both military installations and Disposition Service sites will be taking additional precautions for entry due to COVID-19. Bidders should contact the POC at least 48 hours before seeking entry to a military installation or Disposition Site in order to be informed on entry requirements.

A.9 Loading:

Monday-Friday 8:00AM-2:00PM Eastern Standard Time (EST) excluding federally recognized holidays.

Government will load into purchaser provided bins/hoppers. Purchaser will load bins/hoppers on to purchaser provided conveyance, Government is not required to load. Assistance to load conveyance may be available with prior local coordination and approval.

Container(s) shall be in place within five calendar days after Post-Award conference.

Refer to “Schedule F-1” pickup locations.

Refer to “Schedule D-1” for Sales Point of Contacts (SPOCs).

B TERMS AND CONDITIONS OF SALE

Certain contents and provisions of this IFB, including Appendices, Attachments and Schedules, are described in general. Any historical data provided in support of this IFB was derived using existing sources and is presented for general reference only.

B.1 FAR Provision 52.204-24:

FAR Provision 52.204-24 is applicable.

PROHIBITION ON CONTRACTING FOR CERTAIN TELECOMMUNICATIONS AND VIDEO

SURVEILLANCE SERVICES OR EQUIPMENT (AUG 2020)

Full clause text included in attachment. The provision at FAR 52.204-24 requires an offeror to represent, on an Offer-by-offer basis, whether it will or will not provide any “covered telecommunications equipment or services to the Government in the performance of any contract, subcontract or other contractual instrument resulting from this solicitation.” The Representation must be marked, signed and returned with the bid.

Full clause text included in attachment.

B.2 FAR Provision 52.204-25:

FAR Provision 52.204-25 is applicable.

FAR Provision 52.204-25 titled, “Prohibition on Contracting for Certain Telecommunications and Video Surveillance Services or Equipment” is incorporated by reference from the Federal Acquisition Regulation.

https://www.acquisition.gov/content/52204-25-prohibition-contracting-certain-telecommunications-and-video-surveillance-services-or-equipment.

Full clause text included in attachment.

C SALE BY REFERENCE (SBR)

The following general information, instructions and special conditions of sales contained in DLA Disposition Services pamphlet entitled the “Sale by Reference Instructions, Terms and Conditions Applicable to Department of Defense (DoD) Personal Property Offered for Sale by DLA Disposition Services”, published July 2012, are hereby incorporated by reference and become a part of this IFB and any contract resulting from acceptance of a bid submitted pursuant to this IFB as fully as though such instructions, terms and conditions had been specifically set forth herein:

The Terms and Conditions of this IFB supersede the Sales by Reference wherever conflicted.

C.1 SBR Part 1:

General Information and Instructions: All conditions apply except:

Condition 2 Condition 5 Condition 8 https://www.acquisition.gov/content/52204-25-prohibition-contracting-certain-telecommunications-and-video-surveillance-services-or-equipment https://www.acquisition.gov/content/52204-25-prohibition-contracting-certain-telecommunications-and-video-surveillance-services-or-equipment

Condition 12

C.2 SBR Part 2:

Sale of Government Property General Sale Terms and Conditions: All conditions apply except:

Condition 13(c) Condition 19 Condition 28 Condition 29 Condition 34

Modified Paragraph 33. DISPUTES is changed to read “Any contract awarded as a result of this sale is subject to the Contract Disputes Act 1978 (41 U.S.C. 7101-7109)”

C.3 SBR Part 3:

Sale of Government Property Special Sealed Bid Conditions: Does not apply.

C.4 SBR Part 4:

Sale of Government Property Special Sealed – Term Conditions: All Conditions apply except:

Condition 5

C.5 SBR Part 5:

Additional Special Circumstance Conditions - Miscellaneous: All articles apply except:

Article A Article E Article G

C.6 SBR Part 6:

Additional Special Circumstance Conditions - Demilitarization and Mutilation: Does not apply.

C.7 SBR Part 7:

Additional Special Circumstance Conditions - Hazardous and Dangerous Property: All articles apply except:

Article A Article B Article D Article F Article G Article H Article I Article J Article K Article L Article M Article N Article O Article P Article Q Article U Article V Article W Article X Article Y

C.8 SBR Part 8:

Additional Special Circumstance Conditions - Foreign Excess Personal Property: Does not apply.

C.9 SBR Part 9:

Special Spot Bid Conditions of Sale of Government Property: Does not apply.

C.10 SBR Part 10:

Sale of Government Property Special Auction Conditions: Does not apply.

D BID EVALUATION AND CONTRACT AWARD

D.1 Bidding Process:

The bid shall consist of an amount per unit of issue specified in U.S. currency. Be advised certain risk factors could affect a bidder’s assessment of this contract and the calculations supporting the resulting bid. Under no circumstances is the Agency or the Government responsible for any assumptions, planning factors, or decisions related to determining the bid.

Understand that the Agency is awarding this contract during a nationally declared emergency during the COVID-19 pandemic and the general circumstances that exists within the United States in reference to the COVID-19 pandemic.

The Government expects all the terms and conditions of the contract to be met at the bid price submitted. At no time will the Government pay the Purchaser to take material offered. There shall be no reimbursement to the Purchaser under this contract except for the limited circumstances related to reimbursement of actual expenses incurred for return of property directed by the Government. The Government is not responsible for any indirect, inconsequential, or completeness (through assumption of sales value, act or omission of factors) of expenses related to performance under this contract. The measure of the Government’s liability, in any case where liability of the Government to the Purchaser has been established, shall not exceed refund of such portion of the purchase price as the Government may have received.

D.2 How to Bid:

Bidders shall use the following documents provided with this IFB to submit a bid: the SF114 and SF114A OR and Schedule H tab (SF114A Local Reproduction, Bid Worksheet). Bidder shall enter bid as a price per unit of issue not to exceed five decimal places (example 0.01005). Minimum bid is .01000 per unit of issue. Multiply your bid price by the quantity indicated in the “Total QTY” column advertised to calculate your extended bid amount.

For illustrative purposes, if the item advertised for sale in the IFB is in pounds and for a total quantity of 100 pounds and Bidder A’s bid price is $.10 per pound, then $.10 times 100 pounds equals $10. The $10 would be Bidder A’s extended bid amount.

Do not email bids or call-in bids directly to the SCO. Email bid to: DRMSSALESBIDS@DLA.MIL

D.3 A Responsive Bid:

Complies with the terms and conditions of the sales offering and satisfies the requirements as to the method and timeliness of the submission. Only responsive bids will be considered for award. A responsive bid submission shall contain at a minimum:

• SF114 completed and signed.

• SF114A or SF114A Local Reproduction (Schedule H, Bid Worksheet).

mailto:DRMSSALESBIDS@DLA.MIL

• In addition to submitting the bid worksheet, Bidders are required to submit their representations for FAR provision 52.204-24. Failure to submit a marked and signed representation for FAR provision 52.204-24 with your bid will make the bid submission non-responsive to the IFB.

D.4 When to Send Bid:

Bids must be in the possession of the Agency’s Public Sales Contracting Division by the offer closing date and time specified in this IFB. If the bid is not submitted on time, it shall be considered non-responsive.

D.5 How to Modify/Cancel Bid:

In addition to SBR Part 3, Articles B and C, by submitting a new bid in the same manner as the previous bid.

Separately, without disclosing bid amounts, notify the SCO of the modification. To cancel a bid, submit a zero (0) bid in the same manner as the original bid. Notify the SCO of the bid cancellation (specify date, time and method of bid submission).

D.6 Bid Acceptance Period:

The bid must remain valid 90 calendar days from the bid opening unless otherwise modified or cancelled.

D.7 Bid Evaluation:

A responsible bidder is one that has the necessary organization, experience, financial resources, accounting process, operational controls, technical equipment and facilities, or the ability to obtain them, to perform the requirements of the sales contract, has no disqualifying factors (i.e., is not suspended, debarred or an ineligible transferee) and able to pass the Agency’s vetting process. A responsive bidder is one that has complied with all instructions for properly submitting a bid. Submitting the highest bid price does not convey any special right nor does it imply that the Purchaser shall be the primary removal company or exclusively allowed to remove throughout the term of this contract. The Government reserves the right to reject any bids that are not in the best interest of the Government.

The general standards in FAR Part 9 on contractor responsibility determinations that are applicable to procurement contracts are not directly applicable to sales contracts awarded under 40 U.S. Code § 545, but may be considered by the Sales Contracting Officer in evaluating bidder responsibility.

The Government intends to make multiple contract awards to the responsible bidder(s) with the highest priced responsive bid for each CLIN, unless a determination is made to reject the bid under 41 CFR § 102-38.205. The Agency intends to award one or multiple CLIN’s to a responsible bidder with the highest priced responsive bid. An example is provided for illustrative purposes is as follows: Bidder A and Bidder B bid on CLIN’s 1-12. Bidder A bids $1,000.001 for CLIN’s 1-6 and $500.001 for CLIN’s 7-12. Bidder B bids $500.001 for CLIN’s 1-6 and $1,000.001 for CLIN’s 7-12. Bidder A would be the apparent high bidder for CLIN’s 1-6 and Bidder B would be the apparent high bidder for CLIN’s 7-12.

D.8 Ineligible Bidder:

A Bidder will not be eligible for award if they are:

• Excluded from Federal programs by the General Services Administration as identified in the System for Award Management at https://beta.sam.gov/.

• Subject to denial, suspension, debarment, or other sanctions pursuant to export control and related laws, regulations, or orders administered by the DOS, DOC, DHS, or USTD. The DOS, DOC, DHS, and USTD name these entities, individuals, and countries in the Federal Register and at the following website:

Consolidated Screening List Search Engine (https://legacy.export.gov/csl-search).

D.9 Pre-Award Survey:

The Agency will conduct a Pre-Award survey of only the Apparent High Bidder. The SCO will provide notification that you are the Apparent High Bidder (AHB), and Statement of Intent (SOI) DLA Form 2536 will be included in the notification. The SOI must have parts 1-6 completed and signed. The Pre-Award survey may be conducted at the https://beta.sam.gov/

AHB’s facility. The Pre-Award survey may include but is not limited to a review of facilities, equipment, financial capability, quality assurance, safety, environmental responsibility and transportation capabilities.

The Apparent High Bidder shall cooperate in the Pre-Award process by assisting in arrangements and/or by providing requested information in a timely manner. Be advised that the Pre-Award survey and providing documents to the Government is part of the evaluation to determine responsibility and is not a guarantee of contract award.

To facilitate the Pre-Award Survey, you have three business days to:

• Complete and return SOI to the SCO.

D.9.1 Environmental Responsibility Determination (ERD):

The Environmental Support Branch of Disposition Services will conduct an ERD on sale destinations to verify if the DoD purchased property will be managed in accordance with the Invitation for Bid, Statement of Intent, Federal, state, and local regulations. List all downstream facilities receiving Government property to be processed in the Statement of Intent. Do not list downstream recipients of processed property.

ERDs typically take 10 business days to complete. Any findings annotated by the Government during an ERD must be corrected prior to a proposed destination/facility’s use. Purchaser is not authorized to process Government material at a site other than those listed on the SOI.

D.10 Necessary Licenses, Permits and Certifications Shall be Reviewed:

Prior to the award of a contract, the Agency shall determine whether the potential Purchaser has the necessary permits/licenses, experience, organization, and technical qualifications (either through its own facilities or facilities of a sub-contractor) to meet the terms and conditions and is capable of complying with the applicable Federal, state and local laws, ordinances and regulations.

If the Agency determines the AHB is not responsible, the next highest bidder will begin the same pre-award survey process. This same process of vetting the next highest bidder will continue until a responsible bidder is identified.

D.11 Contract Award:

When you have successfully completed the pre-award survey you will receive a Statement indicating the amount of prepayment due. Submit payment within three business days of the Statement.

When payment has posted and is confirmed by the SCO; and all other vetting has been completed, the post-award conference will be scheduled.

D.12 Post-Award Conference:

The Government shall conduct a post-award conference within 10 calendar days after award. The purpose of the conference is to ensure the Purchaser fully understands the terms and conditions of this contract. The Agency shall determine the method, date, time and location of the post award conference. The Purchaser is responsible for any cost incurred by their organization and staff. The Government shall not provide any compensation for costs incurred to attend meetings.

E PARTIES TO THE CONTRACT

E.1 Purchaser Information:

Within 10 calendar days of the date of contract award, the Purchaser shall provide the Agency the following information: Designation of key persons, to include their full name, title, telephone number, email address and a synopsis of their duties under the contract. Purchaser shall provide the SCO notification of any changes to the above within 10 calendar days of the change.

E.2 Transfer and Hypothecation:

General Prohibition - Except as specifically provided herein or specifically approved by the Agency in writing, the Purchaser shall not directly or indirectly sell, transfer, assign, pledge, offer as collateral or otherwise hypothecate all or any part of its rights or obligations under the contract.

Attempted Transfer - Any attempted transfer in violation of the provisions of this Article shall be invalid and shall constitute a material breach of this contract.

E.3 Contract of Sale:

Relationship of Parties - This contract is an agreement for the sale of the material by the Agency as seller to the Purchaser. Purchaser and the Agency expressly disavow the creation of any other relationship, including without limitation principal-agent, master-servant, employer-employee, general or limited partnership, or joint venture, between the Agency and the Purchaser.

Parties to the Contract: The parties to this contract are the Agency and the Purchaser.

E.4 Authority of Sales Contracting Officer (SCO):

On behalf of the Agency, the SCO has the authority to represent the Agency and to commit the Agency to take such actions as permitted or required and to extend or waive timing requirements or deadlines as may reasonably be required under the performance of this contract. The exclusive representative of the Agency for all purposes under this contract is the SCO, and all notices, demands, requests, consents, approvals, declarations, reports and other communications to the Agency from the Purchaser shall be deemed invalid unless addressed to the SCO.

Communications from the Purchaser to anyone other than an SCO shall not be deemed received by the Agency.

E.5 Authority of Sales Point of Contact (SPOC):

The SCO designates the SPOC to provide direct oversight of the Purchaser and/or their agents to ensure they meet the terms and conditions of the contract. The SPOC does not have the authority to make binding contractual obligations, such as adding, deleting, or modifying terms and provisions in this IFB. All changes or modifications to contractual provisions in this IFB must be approved in advance by the SCO.

F CONTRACT FINANCIAL RETENTION & INSURANCE AND BOND

REQUIREMENTS

F.1 Prepayment:

The Agency shall retain the prepayment until the completion of the contract closure period, no later than 120 calendar days after the end of the performance period. The prepayment shall be applied to any unpaid billings or to offset any other claim that the Agency may have against the Purchaser. The Agency shall return any available balance of the prepayment, without interest, to Purchaser at the completion of the contract closure process.

F.2 Insurance and Bond Contract Requirements:

Within ten calendar days from the date of award, Purchaser shall provide the SCO copies of policies, certificates of insurance or other proof evidencing the coverage required. Purchaser shall obtain the minimum coverage specified unless the Agency approves a variance from such minimum coverage.

G CONTRACT PERFORMANCE

G.1 Performance Period:

The performance period of the contract resulting from the IFB shall consists of a 36-month base period, followed by two 12-month option periods that may be exercised at the Sales Contracting Officer’s (SCO) discretion. The contract also contains an available six-month extension period that may be offered at the SCO’s discretion at the end of each performance period, under the same terms and conditions of the contract. In the event the extension is utilized, the SCO shall advise the Purchaser in writing 30 calendar days prior to the expiration of the current period of performance period. The extension may be utilized in 30-day increments, a combination of 30-day increments, or in its entirety. The entire length of the contract, if all option periods and extension are used, shall not exceed five years.

For any option period issued after the base period that is issued, such as with a six-month extension period, the maximum per contract line item for that period will be adjusted and calculated as a percentage of the stated base period requirement. For illustrative purposes, if contract line item 1 had a requirement for 15,000 pounds over 3 years that is subject to Part 4, Paragraph 5 of the SBR, then a one year option period for contract line item 1 would have a requirement of 5,000 pounds subject to Part 4, Paragraph 5 of the SBR. This would mean the minimum guaranteed quantity in the option year would be 2,500 pounds and a maximum quantity that could be issued in the option is 7,500 pounds.

G.2 Regulatory Compliance:

The Purchaser shall assume full responsibility and liability for compliance with all applicable Federal, state, local codes and DoD regulations pertaining to the health and safety of personnel and environmental management during the execution and loading operations. All work shall be completed and performed IAW the best practices of the trade and in compliance with all- applicable Federal, state, local codes and IAW regulations.

Anticipated Regulatory Changes: Performance under any contract resulting from this solicitation must be in compliance with all local, state, and federal laws and regulations. Accordingly, it is the responsibility of the offeror to ensure that all such laws and regulations are considered in the preparation of its proposal. Such consideration should include not only relevant laws and regulations currently in effect, but also revisions there to for which public notice has been given that may reasonably be anticipated to be effective during the life of the contract.

G.3 Environmental and Safety Notice:

It is the responsibility of the Purchaser to ensure that the ultimate end use of the property is performed in an environmentally compliant manner. As such, prior to the award of any hazardous item, each high bidder’s premises and/or the intended disposal facility may be subject to an on-site inspection by a Government representative. All Bidders/Purchasers are advised that they must comply with all applicable Federal, state and local laws, ordinances, regulations, etc. with respect to human safety and the environment during the processing, use, or disposal of material purchased from the DoD.

H DISTRIBUTIONS/PAYMENTS

H.1 The Billing Cycle:

The Billing Cycle runs from the 25th to the 24th. The systemic billing process runs on or about the 24th of each month at 11:59 pm EST. The transactions processed from the 25th of the previous month to the 24th of the current month will be invoiced for the billing cycle.

For illustrative purposes, if Purchaser A won the award of contract line item 1 for DS000C1AA and had bid $0.01000 per pound for this contract line item and if Purchaser A removed 10,000 pounds of DS000C1AA for the month of January, then Purchaser A would be billed $100 (10,000 pounds times the bid price of $0.01000 per pound per contract line item 1 DS000C1AA).

H.2 Types of Acceptable Payments:

All payments, including those for storage charges, liquidated damages and interest shall be in U.S. currency.

Payments by Electronic Fund Transfer (EFT), Bank Account (ACH), cashier’s check, certified check, travelers check, bank draft, money order or credit card (Master Card, Visa, Discover Card, and/or American Express).

Make checks payable to the U.S. Treasury are acceptable. When using a credit card method of payment, the credit card number, credit card security code (3-or 4-digit code on the back of the card), name as printed on the credit card, and the expiration date shall be provided. The U.S. Treasury limits all credit card transaction to $24,999.99.

Transactions greater than $24,999.99 cannot be split into two or more credit card transactions. Bidders whose payment is accompanied by a letter of credit or who have on file an approved bid bond (SF 24 or SF 34) may make their payments by uncertified personal or company checks, but only up to an amount equal to the penal sum of their bond or the amount of their letter of credit.

Address all hand-carried or delivered payments to the following:

DLA Disposition Services ATTN: Cashier 74 N. Washington St.

Battle Creek, MI 49037

Credit Card and Bank Account (ACH) payments within the United States can be made using the website at:

https://www.pay.gov/paygov/forms/formInstance.html?agencyFormId=25176217 Should Purchaser need to make a payment for less than $1.00, the website credit card payment method cannot be used. Instead, Purchaser will be required to use ACH or complete the manual credit card form and fax it to (269) 961-7230.

H.3 Payment Confirmation:

The Government does not provide payment confirmation. Purchaser shall submit proof of payment to the SCO, showing type of payment, amount, and date submitted. The SCO will ensure payment is applied to the Purchaser’s account. Payment submission through Pay.gov is recommended to reduce processing time. Pay.Gov confirmation email is proof of payment.

Pay.Gov Link https://www.pay.gov/paygov/forms/formInstance.html?agencyFormId=25176217

H.4 Consequences of late or short payments:

If full payment is not received within 30 calendar days of the bill, interest will be charged on the unpaid portion at the rate established by the U.S. Treasury from the date of the bill in accordance with Section 3717 Title 31 of the U.S. Code. After 30 calendar days from the bill date, we will collect from the pre-payment taking offset action against any of your unpaid invoices. If the debt is forwarded to the Debt Management Office, Contract Pay Services, Columbus, Ohio; you will be assessed an administrative fee of $26 to cover costs specifically associated with the administration and collection of payments over 30 calendar days delinquent.

If full payment is not received within 90 calendar days from the date of the bill, we will transfer the debt to the Debt Management Office for collection and an additional administrative charge of $50 will be assessed. They will continue the collection process and if unsuccessful, will transfer the delinquent debt to the Department of Treasury for further collection. As a result of this transfer, the following actions may be taken:

• The debt will be subject to the Department of Treasury offset from Federal payments due (you or your company, as applicable). A fee for each offset made will be added to the debt as part of the administrative https://www.pay.gov/paygov/forms/formInstance.html?agencyFormId=25176217 charge. Federal payments eligible for offsets include contract payments, Federal income tax refunds, and other payments not exempt.

• The debt may be reported to a credit bureau.

• The debt may be referred to a private collection agency. In such instance, a fee for collections made will be added to the debt as part of the administrative charge.

• The debt may be referred to the Department of Justice for litigation. In such case, an administrative cost will be added to the debt.

You may inspect and/or request a copy of the records pertaining to this debt. If you believe the debt is invalid or the amount is incorrect, please contact us immediately. If you are financially unable to pay the full amount of the debt, you may request a written agreement to pay the debt in installments. Your request for an installment agreement should be in writing and supported by certified statements of income and financial position covering the last 12 months. The point of contact for this debt is the Sales Contracting Officer listed on your award document.

I AUTHORIZED AND UNAUTHORIZED MATERIAL REQUIREMENTS

I.1 Material Flow:

The material is by SCL as weight in unit of issues (i.e., LB, TN, KG), by each location. The Agency has established field locations and other receipt-in-place locations to meet the needs of our customers. The Agency does not represent that the locations and the number of locations are enduring and does state that all locations are subject to change based on the needs of our customers.

I.2 Material Referral:

The Government has sole discretion to determine when and what material shall be issued to the Purchaser, and the Purchaser has a contractual obligation to purchase and accept all material referred by the Government as specified in the contract. The Purchaser is not required to take hazardous material or material that could pose a risk to national security, environmental or personnel safety or health issue such as mold and asbestos containing materials. Under no circumstances is culling for effecting partial or incremental removals authorized. The Agency reserves the right to sell material or offer material through alternative sales or contract means for all material not considered part of this contract.

I.3 Classified Material:

Performance of this contract neither requires nor authorizes the Purchaser to handle classified property or documents. Should Purchaser’s employees handle actual or suspected classified property or documents, the Purchaser shall immediately secure the documents or property from both physical loss and compromise and immediately notify the Agency’s Site Lead and the SCO of the discovery. The Purchaser shall submit a SF364 ROD as outlined below. The Agency will arrange for pick up and removal of such material. Under no circumstances shall the Purchaser release the property or documents to anyone other than designated personnel. If the contents of said documents or property are at a level that requires debriefing, the Purchaser’s personnel shall be made available to the proper Government authorities for this action.

I.4 Material Potentially Presenting an Explosive Hazard (MPPEH):

Performance of this contract does not require nor authorize the Purchaser to handle MPPEH. Despite all best efforts by the Government, MPPEH may be discovered; the Purchaser shall immediately take the necessary action for protection of personnel and property. This shall include the evacuation and security of the immediate area. The Purchaser shall not attempt to handle or move the suspected property until a technically qualified trained Government representative investigates the incident. The Purchaser shall notify the Agency’s Site Lead and the SCO of the discovery immediately and submit a SF364 ROD outlined below. The Agency will arrange for pick up and removal of such material.

I.5 Radioactive Property:

Performance of this contract does not require nor authorize the Purchaser to handle radioactive property. Despite all best efforts by the Government should property activate a radiation detector alarm; the Purchaser shall immediately take the necessary action for protection of personnel and property. This shall include the evacuation and security of the immediate area. The Purchaser shall not attempt to handle or move the suspected property until a technically qualified trained Government representative investigates the incident. The Purchaser shall notify the Agency’s Site Lead and the SCO of the discovery immediately and submit a SF364 ROD. The Government will arrange for pick up and removal of such material.

I.6 Hazardous Property:

Performance of this contract does not require nor authorize the Purchaser to handle Hazardous Property. Despite all best efforts by the Government, should Hazardous Property be discovered, the Purchaser shall immediately take the necessary action for protection of personnel and property. This shall include the evacuation and security of the immediate area. The Purchaser shall not attempt to handle or move the suspected property until a technically qualified trained Government representative investigates the incident. The Purchaser shall notify the Agency’s Site Lead and the SCO of the discovery immediately and submit a SF364 ROD outlined below. The Government will arrange for pick up and removal of such material.

I.7 Other than "Demilitarization Code A” Scrap Property:

Performance of this contract DOES NOT require the Purchaser to receive nor process other than “Demilitarization Code A” scrap property. Should Purchaser employees suspect other than “Demilitarization Code A” scrap property, the Purchaser shall immediately secure the property and notify the Agency’s Site Lead and the SCO of the discovery immediately. The Purchaser shall notify the Agency’s Site Lead and the SCO of the discovery immediately and submit a SF364 ROD. The Government will arrange for pick up and removal of such material.

I.8 Scrap Warranty and Exemptions from the scrapping requirement:

The Purchaser accepts that this property is being purchased as Demilitarization Code A scrap and shall ensure scrapping is accomplished in a manner that renders the property useless beyond repair, rehabilitation, or restoration such that the item’s original identity, utility, form, fit, and function have been destroyed. The requirement for scrapping or further processing does not apply to items specifically exempted in the contract. A DD Form 1639 (Scrap Warranty) will be issued to the Purchaser’s representative removing scrap at each site at the time of weighing. The DD Form 1639 will detail the applicable property being purchased via the sales contract and the Purchaser’s responsibility under the warranty, specifically:

The property covered by this agreement will be used only as scrap, either in its existing condition or after further preparation, unless and until the undersigned is released from this warranty.

In the event the undersigned is released from this warranty, any payment agreed on as consideration for such release shall be made to the United States regardless of whether this warranty shall have been executed at the request of the United States.

In the event the undersigned sells the property covered by this agreement prior to release of this warranty, the undersigned will obtain from the Purchaser and tender to the United States a warranty identical to this executed by the Purchaser, and upon receipt of such other warranty this warranty will be released by the United States.

All obligations of the undersigned under this warranty shall expire five years from the date hereof.

The Purchaser’s representative shall sign and return the DD Form 1639 prior to the property being released.

Following submission of the DD Form 1639, title for property being purchased as scrap will transfer at the time of removal in accordance with Sales by Reference Part 2 Article 7. Failure to abide by the terms and conditions of this article and the DD Form 1639 Scrap Warranty constitutes a material breach of the sales contract terms, and may result in a sales contract default as described in Sales by Reference Part 2, Article 9 (Default). The Government reserves the right to take further action as allowable and appropriate to remedy non-compliance with the DD Form 1639 Scrap Warranty.

The Government may, at their discretion, conduct compliance reviews to ensure that scrapping is being accomplished in accordance with the sales contract and Sales by Reference Part 6, Article G.

I.9 Demilitarization Code Assignment:

Other DoD agencies have the responsibility to identify property that requires Demilitarization/Mutilation by assigning the applicable Demilitarization Code. Due to changes in requirements, these codes are subject to change without notice. The Agency has no control over the Demilitarization coding of individual items or commodity streams. The Agency‘s customers determine material for turn-in. The Agency cannot forecast future commodity streams or quantities. Historical quantities are provided for planning purposes only and are not indicative, warranted, or guaranteed in any form that may indicate future commodity streams or quantities delivered under this contract.

I.10 Foreign Attachment:

Most SCLs include foreign attachments as part of the total weight. The weight of foreign attachments is an important factor in determining bid amounts. Foreign attachments are not dunnage or miscellaneous debris.

I.11 Miscellaneous Debris and Dunnage:

Any open container is susceptible to miscellaneous debris, which may include but shall not be limited to cardboard, dirt, sand, snow, water, rocks, glass, rubber pieces, wood chips, etc. Miscellaneous Debris and Dunnage shall be no more than 20% of the total SCL weight per removal. Amounts in excess of 20% can be resolved locally or brought to the SCOs attention by initiating a SF364 ROD. The weight of miscellaneous debris and dunnage is an important factor in determining bid amounts.

I.12 Standard Form (SF) 364 Report of Discrepancy (ROD):

The Purchaser, for any discrepancy or questionable item shall initiate a SF 364 ROD (i.e. shipping, packaging etc.)

Purchaser shall complete SF 364 ROD and submit it to the Agency personnel on location for any property or shipment in question to receive resolution. When resolved locally, the SF 364 ROD shall be completed and sent to the SCO. When a discrepancy cannot be resolved locally, the property shall be segregated and identified by the Report Number. A copy of the SF 364 ROD shall be stored with the property until final disposition has occurred.

A copy shall be submitted to the SCO requesting disposition instructions and/or further resolution if required.

I.13 Title Transfer:

Title shall transfer when, a DD Form 1639 (Scrap Warranty) or waiver is provided with the DLA Form 1367 released by the Government and accepted by the Purchaser or their agent as indicated by their respective signatures, on both forms, when removed from Government premises. A Certificate of Release, SF 97, is not provided for any item released under the terms and conditions of this contract.

I.14 Notice of Material Breach:

In the event of a material breach or default of the respective duties in the performance of this contract, the Purchaser or the Agency, the party asserting such material breach, shall serve written notice upon the party that committed or is alleged in the notice to have committed such material breach.

I.15 Response to Notice:

Except as otherwise provided, the breaching party may cure the material breach within 14 calendar days of such notice, referred to as the cure period. However, the notice may provide a longer cure period. The non-breaching party may withdraw the notice within the cure period or extend the cure period in writing.

I.16 Termination:

Termination shall be effective 30 calendar days after receipt of written notice by the non-breaching party to the breaching party. Unless otherwise provided, Purchaser and the Agency shall continue to perform their respective duties under the terms and conditions of the contract.

I.17 Agency Remedies for Material Breach by Purchaser:

If the breaching party is the Purchaser, the Agency may take any one, combination of, or all, of the following actions to satisfy its claims for any non-payments or other damages:

• Present a claim against Purchaser.

• Present a claim upon the any other applicable insurance or surety policy.

• Seek appointment of a receiver or trustee for Purchaser.

• Seek monetary damages, restitution or any other legal or equitable remedy to which it is entitled.

• Assert any other right, claim, or remedy available pursuant to the Contract Disputes Act of 1978 (41 U.S.C.

7101-7109).

J COMPLIANCE WITH GOVERNMENT REGULATIONS

J.1 Bureau of Industry and Security (BIS):

The BIS advances U.S. national security, foreign policy and economic objectives by ensuring an effective export control and treaty compliance system, and by promoting continued U.S. leadership in strategic technologies. BIS accomplishes its mission by maintaining and strengthening adaptable, efficient, effective export controls and treaty compliance systems, along with active leadership and involvement in international export control regimes. If required, on Destination Control Statement BIS form 711 (All exports of CCL not designated as EAR99, unless export is made under License Exception BAG or GFT. the minimum BIS statement is as follows: “These items are controlled by the U.S. Government and authorized for export only to the country of ultimate destination for use by the ultimate consignee or end- user(s) herein identified. They may not be resold, transferred, or otherwise disposed of, to any other country or to any person other than the authorized ultimate consignee or end-user(s), either in their original form or after being incorporated into other items, without first obtaining approval from U.S. government or as otherwise authorized by U.S. law and regulations.” https://www.commerce.gov/bureaus-and-offices/bis

U.S. Export Administration Regulations (EAR) - Links to important EAR information for exporters.

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