N00019-12-R-0001_Amendment_0001.doc

N00019-12-R-0001

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

The following items are applicable to this modification:

AMENDMENT 1 SUMMARY LIST

The purpose of this amendment is to extend the proposal due date and revise, or incorporate the following:

· 0X20 Add note to exclude depot-level material

· 0X25 add SLINs to cover depot-level material

· 0X20 Address PAX tab reimbursement via PAX Info SLIN only

· 0X20 and 0X25 New Government Estimates provided

2.0

3.0 L-Attachments below are hereby revised under Amendment 1

· L-6 (Revised CLINs -0X01, 0X20, 0X25 and revised Incentive Fee Column to Burden Column)

· L-7 (Revised examples and roll-up to reflect Section B)

· L-8 (Revised examples and roll-up to reflect Section B)

L-1 PART B

2.1.4 b. Small Business Subcontracting Plans

3.0 VOLUME 3 – Price Price Proposal

Section 6 – CSDR Reporting

3.2 Section 5b

SECTION J ATTACHMENTS

The following attachments are hereby deleted and replaced in entireity to address the following revisions. Section J is revised accordingly to list the revised versions or new Attachments.

· 5.11.12 specify reference to data rights vs. system rights;

· 5.12.2 added note to differentiate direct Gov Supply funding from CLINs

· 5.12.3.3 revised CDRL reference to A032 (vs. A030)

· 5.14.24 (ref new Attachment #38 RA GSE and reference CDRLs);

· 7.2.1.2 address GP SE maintenance of VX-23 shared GSE;

· 7.5.1 revise reference to Gov’t provided data

· 11.1, 11.1.2, 11.1.4, 11.1.6 address GSE maintenance at PAX

· new GP reporting (5.14.1.3.1, 5.13.3.2, 11.4.1.2 and 11.4.2.2)

· Incorporate New NAS PAX Consumables Tab

· Change title of attachment from “T45 CNATRA GFP (NALCOMIS) to ”T45 GFP (NALCOMIS)”

The following attachments are newly incorporated:

SECTION J Exhibit A CDRL

Exhibit A is hereby deleted in entireity and replaced with a new version to address the following revisions and inclusions. Section J is revised accordingly to list the revised Exhibit A.

SUMMARY OF CHANGES

SECTION A - SOLICITATION/CONTRACT FORM

The required response date/time has changed from 16-May-2013 12:00 PM to 23-May-2013 12:00 PM.

SECTION B - SUPPLIES OR SERVICES AND PRICES

SUBCLIN 0001AA

The pricing detail quantity has decreased by 2,004.00 from 36,257.00 to 34,253.00.

SUBCLIN 0001AB

The pricing detail quantity has decreased by 1,926.00 from 34,836.00 to 32,910.00.

SUBCLIN 0001AC

The pricing detail quantity has increased by 509.00 from 5,191.00 to 5,700.00.

CLIN 0020

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0101AA

The pricing detail quantity has decreased by 626.00 from 35,568.00 to 34,942.00.

SUBCLIN 0101AB

The pricing detail quantity has decreased by 602.00 from 34,173.00 to 33,571.00.

SUBCLIN 0101AC

The pricing detail quantity has increased by 1,755.00 from 5,380.00 to 7,135.00.

CLIN 0120

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0201AA

The pricing detail quantity has increased by 1,395.00 from 33,614.00 to 35,009.00.

SUBCLIN 0201AB

The pricing detail quantity has increased by 1,340.00 from 32,296.00 to 33,636.00.

SUBCLIN 0201AC

The pricing detail quantity has increased by 1,622.00 from 5,757.00 to 7,379.00.

CLIN 0220

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0301AA

The pricing detail quantity has increased by 999.00 from 33,427.00 to 34,426.00.

SUBCLIN 0301AB

The pricing detail quantity has increased by 960.00 from 32,116.00 to 33,076.00.

SUBCLIN 0301AC

The pricing detail quantity has increased by 1,442.00 from 5,144.00 to 6,586.00.

CLIN 0320

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0401AA

The pricing detail quantity has increased by 765.00 from 33,300.00 to 34,065.00.

SUBCLIN 0401AB

The pricing detail quantity has increased by 735.00 from 31,994.00 to 32,729.00.

SUBCLIN 0401AC

The pricing detail quantity has increased by 1,456.00 from 5,191.00 to 6,647.00.

CLIN 0420

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0501AA

The pricing detail quantity has increased by 1,881.00 from 32,638.00 to 34,519.00.

SUBCLIN 0501AB

The pricing detail quantity has increased by 1,808.00 from 31,358.00 to 33,166.00.

SUBCLIN 0501AC

The pricing detail quantity has increased by 1,578.00 from 5,191.00 to 6,769.00.

CLIN 0520

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0601AA

The pricing detail quantity has increased by 416.00 from 32,638.00 to 33,054.00.

SUBCLIN 0601AB

The pricing detail quantity has increased by 400.00 from 31,358.00 to 31,758.00.

SUBCLIN 0601AC

The pricing detail quantity has increased by 1,090.00 from 5,191.00 to 6,281.00.

CLIN 0620

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 0701AA

The pricing detail quantity has increased by 208.00 from 16,319.00 to 16,527.00.

SUBCLIN 0701AB

The pricing detail quantity has increased by 200.00 from 15,679.00 to 15,879.00.

SUBCLIN 0701AC

The pricing detail quantity has increased by 545.00 from 2,596.00 to 3,141.00.

CLIN 0720

The CLIN extended description has changed from Standard Inventory of Parts and Materials to Standard Inventory of Parts and Materials (Other than Depot-level material).

SUBCLIN 002506 is added as follows:

002506

IMP Material

COST

Depot-level

FOB: Destination

ESTIMATED COST

SUBCLIN 002507 is added as follows:

002507

Strip and Paint Material

COST

ESTIMATED COST

SUBCLIN 012506 is added as follows:

012506

COST

ESTIMATED COST

SUBCLIN 012507 is added as follows:

012507

COST

ESTIMATED COST

SUBCLIN 022506 is added as follows:

022506

COST

ESTIMATED COST

SUBCLIN 022507 is added as follows:

022507

COST

ESTIMATED COST

SUBCLIN 032506 is added as follows:

032506

COST

ESTIMATED COST

SUBCLIN 032507 is added as follows:

032507

COST

ESTIMATED COST

SUBCLIN 042506 is added as follows:

042506

COST

ESTIMATED COST

SUBCLIN 042507 is added as follows:

042507

COST

ESTIMATED COST

SUBCLIN 052506 is added as follows:

052506

COST

ESTIMATED COST

SUBCLIN 052507 is added as follows:

052507

COST

ESTIMATED COST

SUBCLIN 062506 is added as follows:

062506

COST

ESTIMATED COST

SUBCLIN 062507 is added as follows:

062507

COST

ESTIMATED COST

SUBCLIN 072506 is added as follows:

072506

COST

ESTIMATED COST

SUBCLIN 072507 is added as follows:

072507

COST

ESTIMATED COST

The following have been modified:

B-3 CLIN EXTENDED DESCRIPTIONS

B-3 CLIN EXTENDED DESCRIPTION SUMMARY:

B-3.1 - See Section C Clause C-2 to identify the Performance Work Statement (PWS) task CLIN alignment.

B-3.2 - CLINs 0X01, FLIGHT HOUR GENERATED O and I-LEVEL AIRCRAFT MAINTENANCE (SCHEDULED AND UNSCHEDULED) AND FLIGHT OPERATIONS SUPPORT: See Clause H-4 Flight Hour Generated Maintenance and Flight Ops Support Ordering and Payment pertaining to CLIN 0X01 FLIGHT HOUR GENERATED O and I-LEVEL AIRCRAFT MAINTENANCE (SCHEDULED AND UNSCHEDULED) AND FLIGHT OPERATIONS SUPPORT.

B-3.3 - CLINs 0X02, NON-FLIGHT HOUR GENERATED O and I-LEVEL AIRCRAFT, ON-SITE COMPONENT REPAIR, AND SUPPORT EQUIPMENT MAINTENANCE (SCHEDULED AND UNSCHEDULED) – The unit price for each SLIN under CLINs 0X02 covers a single month of associated performance on the total aircraft in inventory at each applicable site.

B-3.4 - CLINS 0X01, 0X02, 0X03 – CNATRA DAILY AIRCRAFT READINESS REQUIREMENT:

Aircraft readiness, otherwise known as a daily Ready For Training (RFT) aircraft availability, is an overarching performance requirement of this contract as detailed in Section 5.6 of the PWS. The RFT aircraft availability bands noted in PWS 5.6.5.2 through 5.6.5.8 list the required daily availability times that the Government will select from and identify in each Task Order issued by the Administrative Contracting Officer (ACO) against CLINs 0X01, 0X02, and 0X03 for each CNATRA operational site (NASK, NASM, and NASP).

Written notification of the Government’s intended future Task Order RFT Band requirement for each operational CNATRA site will be provided in writing to the Contractor at least 30-days in advance by the ACO.

The RFT selection identified on a Task Order may be changed at any time during the applicable Task Order period of performance via bilateral Task Order modification or may be changed via unilateral Task Order modification by the ACO, provided that 30-days written notice is issued to the Contractor from the ACO. The monthly FFP for each site shall cover any site-specific RFT band listed in PWS 5.6.5.

B-3.5 - CLIN 0X05 – The Government may order against these SLINs to add additional RFT aircraft to a single day’s Daily Flight Schedule (DFS) IAW PWS 5.6.6.8. The number of additional RFT aircraft that can be added for that day are noted in each SLIN.

B-3.6 - CLIN 0X06 – The Government may order additional RFT (Surge) aircraft against these SLINs to fly missions on a Saturday or holiday, or order additional aircraft above the standard flight operations on a Sunday. The number of RFT aircraft that can be ordered for additional weekend or holiday flying are noted in each SLIN.

RFT metrics required by Section 5.5 of the PWS do not apply to additional RFT (Surge) aircraft ordered under CLIN 0X06.

B-3.7 - CLINs 0X07, 0X08 – The unit price for each IMP SLIN under these CLINs shall include only the labor required to perform the task. Material associated with performance of an IMP shall be reimbursed via CLIN 0X25 when procured or directly paid-for by the Government when requisitioned from Government Supply soureces.

B-3.8 - CLINs 0X09 – The unit price for Strip and Paint shall include onlt the labor required to perform the task. Material associated with performance of a Strip and Paint shall be reimbursed via CLIN 0X25 when procured or directly paid-for by the Government when requisitioned from Government Supply soureces.

B-3.9 - CLINs 0X10 – The composite unit price for each SLIN under these CLINs shall cover Depot-level maintenance performed primarily at either the NASK or NASM facilities.

Minimal Depot-level maintenance may be performed at NAS PAX IAW this CLIN for on-site TD or ECP incorporations vs. transferring NAS PAX aircraft to NASM or NASK when determined feasible by the Contractor, TPOC, and ACO. The ACO shall be the final decision authority on whether to perform on-site vs. transferring aircraft to NASM or NASK.

B-3.10 - CLIN 0X11 –TD incorporations shall be priced on a per kit (each) basis.

B-3.11 - CLIN 0X13 –NAS PAX Support shall be provided outside of the normal 40-hour workweek upon COR approval and resultant Task Order issuance. See FAR 52.232-7(a)(8) in Section I.

B-3.12 - CLIN 0X15 – The unit price for each SLIN under these CLINs shall cover Depot-level Over and Above (O&A) maintenance performed primarily at either the NASK or NASM facilities. Minimal Depot-level O&A maintenance may be performed at NAS PAX for on-site TD or ECP incorporations IAW PWS 11.1.4 (referring to 5.18.7 and 5.18.8).

B-3.13 - CLINs 0X20 and 0X25 – Only direct material costs , as defined by FAR 31.205-26, labor costs associated with off-site repair of repairables, direct costs associated with detachment shipping, and indirect costs/burdens are allowable under CLINs 0X20 and 0X25 IAW Clauses G-1, H-14, and 52.216-7 and FAR Subpart 31.2. No fee is allowed. Direct labor costs associated with Supply Chain Management or Government Property Management shall be included in the FFP of CLINs 0X03 and not invoiced against CR CLINs 0X20 or 0X25. Material requisitioned from Government sources of supply shall be paid directly by the Government and not reimbursed by CLINs 0X20 or 0X25.

Replenishment of NAS PAX material shall be charged against the funds obligated under Info SLIN 0X2004 only.

The table below summarizes the Government estimated direct costs for purposes of the solicitation. Included in the awarded estimated cost for CLINs 0X20 and 0X25 is the Government estimated direct costs plus the contractor’s proposed indirect cost rates/burdens.

B-3.14 - CLIN 0X21 –Only direct travel costs, as defined by FAR 31.205-46, are allowable under CLINs 0X21. See Clauses G-1 and H-14 for allowable indirect cost rates/burdens to be reimbursed IAW FAR 52.216-7 and FAR Subpart 31.2. No Fee is allowed.

The table below summarizes the Government estimated direct costs for purposes of the solicitation. Included in the awarded estimated cost for SLINs under CLINs 0X21 is the Government estimated direct costs plus the contractor's proposed indirect cost rates/burdens.

0X21

B-3.15 - CLIN 0X22 – Each quarterly FFP Performance Incentive payment SLIN, if earned, will be ordered as a FFP when the applicable earned incentive value is calculated in accordance with clause H-1, “Performance Measurement Framework” (PMF) of this contract. See Clause G-1 for invoicing instructions.

SECTION C - DESCRIPTIONS AND SPECIFICATIONS

The following have been modified:

C-2 CLINS

C-2 PERFORMANCE WORK STATEMENT – ALIGNMENT WITH CONTRACT LINE ITEMS (CLINS)

The descriptions and specifications set forth below shall apply with equal force to the basic contract period CLINs and all corresponding option year CLINs:

Base Performance Period

00XX series

Option 1

01XX series

Option 2

02XX series

Option 3

03XX series

Option 4

04XX series

Incentive Option I

05XX series

Incentive Option II

06XX series FAR 52.217-8 Option

07XX series Performance task requirements are stated in PWS Sections 5, 6, 8, and 11. All other PWS Sections provide reference, background, and compliance information necessary for the Contractor to perform the tasks listed in PWS Sections 5, 6, 8, and 11.The Contractor shall comply with the performance requirements via CLINs specified in the PWS outline table below. If distinct PWS paragraphs apply to unique CLINs, the table below identifies such instances at the necessary level of indenture.

In addition to the below CLIN association with outlined PWS tasks, the CNATRA PMF Performance Incentive CLIN 0X22 covers exceeding the minimally required PMF metrics stated in PWS paragraphs 5.5, 5.7.1, 5.8.2, and 5.14.9.1. Tasks required to meet the minimum required PMF metrics stated in the PWS are covered by CLINs 0X01, 0X02, 0X03 (PWS 5.5) and 0X03 (PWS 5.7.1, 5.8.2, and 5.14.8.1). See Clause H-1 for further details associated with the CNATRA PMF Performance Incentive CLIN 0X22.

I Introduction

II Background

III Scope

IV Applicable Documents, Policies, Regulations

V CNATRA T-45 Support Performance Requirements

5.1 Aircraft Maintenance

0X02 Non-FH Generated

0X02 Non-FH Generated

0X15 Depot Level

0X15 Depot Level

5.1.8 Depot-level Maintenance

5.9 RESERVED

5.18 Technical Directives

0X15 (if over 10 hours per D-Level TD or ECP incorporation)

5.19 RESERVED

5.21 RESERVED

5.22 Engineering Support

5.23 RESERVED

VI Data Reporting

0X23

VII Government Provided Support, Facilities, Property, Information

VIII Travel

0X21

IX Incidental Business Expenses

Indirect Costs, See Clause H-9

X Identification and Security

Indirect Costs, no direct CLIN

0X15 (if over 10 hours per Depot-level TD/ECP incorporation)

XII Acronym List

SECTION E - INSPECTION AND ACCEPTANCE

The following Acceptance/Inspection Schedule was added for SUBCLIN 002506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 002507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 012506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 012507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 022506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 022507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 032506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 032507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 042506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 042507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 052506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 052507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 062506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 062507:

The following Acceptance/Inspection Schedule was added for SUBCLIN 072506:

The following Acceptance/Inspection Schedule was added for SUBCLIN 072507:

SECTION G - CONTRACT ADMINISTRATION DATA

G-1 INVOICING INSTRUCTIONS

a) DFARS PAYMENT INSTRUCTION CLAUSES: DFARS 252.204-0008 and 252.204-0007 are preferred payment instructions for each Task Order, unless 252.204-0003 and 252.204-0004 are inserted into a Task Order for specific reasons.

b) CLINs 0X01 (Flight Hour Generated Maintenance): The contractor shall invoice only as authorized in accordance with clause H-4, “Flight Hour Generated Maintenance and Flight Operations Support Ordering and Invoicing.”

c) CLINs 0X02 and 0X22 (Non-Flight Hour Generated Maintenance and CNATRA PMF Performance Incentive):

1) The ACO will calculate the Performance Metric Framework (PMF) incentive or disincentive amount in accordance with clauses H-1 “Performance Measurement Framework Incentive,” then notify the Contractor of the PMF results via funded Task Order issuance against CLIN 0X22 priced for an amount up to $2.5M as FFP to commensurate with the exact incentive value earned , if earned, or via written correspondence for the disincentive amount to be decremented, if applicable, within 30 working days of completion and after receipt of acceptable submissions associated with CDRLs A015, A016, and A017 of each quarterly evaluation period.

2) The disincentive value to be decremented, if applicable, shall be stated as a Withhold by the Contractor on the applicable quarterly Task Order Final invoice (DD250) at the conclusion of the applicable quarterly evaluation period. The Acceptor shall note acknowledgement of the Withhold amount on the DD250 acceptance document. The Withhold amount shall not be subject to subsequent expenditure or payment and shall be noted on the applicable Task Order as a downward adjustment and the associated funding shall be de-obligated by the ACO via unilateral modification.

d) CLINs 0X02 (Non-Flight Hour Generated Maintenance) – Discrepant Engine Disagreement: In the event the Engine Contractor disagrees with the decision to remove an engine and the discrepant engine is determined to be “A-799” (No Defect) IAW Performance Work Statement (PWS) paragraph 5.4.11.2, the Contractor shall withhold an amount from the invoice of the applicable month in which the engine was removed to account for the cost of the Engine Contractor’s effort to determine the “No Defect”.

1) The Contractor shall adjust CLIN 0X02 of the applicable monthly invoice in which the engine was removed as follows: 48 labor hours X the O and I-Level Over and Above hourly rate (CLIN 0X14) = Withhold adjustment.

2) The Withhold shall not be subject to subsequent expenditure or payment and shall be noted on the applicable Task Order as a downward adjustment and the associated funding shall be de-obligated by the ACO via unilateral modification.

3) In the event of any discrepancy between the invoiced amount and the CNATRA Detachment (Det) A-799 report, the Administrative Contracting Officer (ACO) shall be the final decision authority.

e) CLINs 0X20, 0X21, and 0X25 (Material and Travel): The allowable indirect cost rates for Cost Reimbursement (No Fee) CLINs 0X20, 0X21, and 0X25, shall be capped at the below percentage(s) proposed and shall not be exceeded on submittal of invoices or vouchers.

[Contractor proposed rates will be entered in the table below upon award.]

f) Cost vouchers for long lead parts and material shall be submitted for payment NLT 24 months after order of parts and material. Exceptions will be considered on a case-by-case basis and shall be granted by the ACO.

g) Cost vouchers associated with NAS PAX material replenished under CLINs 0X20 shall be submitted against funding obligated against Info SLINs 0X2004 only.

h) Cost vouchers shall not be submitted against CLINs 0X20 or 0X25 for material that is requisitioned through Government Supply sources, unless specifically directed by the ACO.

SECTION H - SPECIAL CONTRACT REQUIREMENTS

The following have been modified:

H-1 PMF PERFORMANCE INCENTIVE

H-1 PERFORMANCE MEASUREMENT FRAMEWORK (PMF) PERFORMANCE INCENTIVE

(1.0) INTRODUCTION:

(1.1) In order to avoid disruption to CNATRA’s mission, the Government has established four areas critical to performance. These four areas are detailed in the Performance Work Statement (PWS). Each area is identified as a component of the PMF, in which the Government has established Contract Minimums it expects from the Contractor’s services. The Government reserves the right to utilize any other remedies available under this contract.

(1.2) Upon conclusion of the transition in period, the Government will evaluate the Contractor’s performance on a quarterly (three-month) basis. All calculations for the PMF shall assume a quarterly evaluation period. The contractor is eligible to earn the Performance Incentive starting in the first quarter of performance, however they will not be penalized during the first two quarters for any metrics not met.

(1.3) Required Contract Minimums:

(1.3.1) Performance Metric: The Contractor shall maintain Mission Completion Rate (MCR) of 90% and Ready for Training (RFT) rate of 90%. The Daily MCR and RFT will be averaged over the quarterly evaluation period and will be calculated at each site.

(1.3.2) Sustainment Metric: The Contractor shall meet minimum SLMM and FMP (FLE and ARR) as follows:

(1.3.2.1) Maintain a Service Life Maintenance Management (SLMM) within a threshold of at least 0.70.

(1.3.2.2) Maintain a Fatigue Management Program (FMP) Fatigue Life Expended (FLE) by:

(1.3.2.2.1) Managing sortie selection of each site’s High Fatigue Aircraft (HFA) so that at least 50% of a site’s High FLE Percentage (HFP) is less than or equal to the corresponding site’s Site Assignment High Average (SAHA).

(1.3.2.2.2) Managing sortie selection of each site’s Low Fatigue Aircraft (LFA) so that at least 50% of a site’s Low FLE Percentage (LFP) is less than or equal to the corresponding site’s Site Assignment Low Average (SALA).

(1.3.2.3) Maintain a FMP Arrestment (ARR) by:

(1.3.2.3.1) Managing Carrier Qualification (CQ) sortie selection of each site’s High Trap Aircraft (HTA) so that a maximum of 15 % of a sites’ assigned CQ sorties are flown by HTA.

(1.3.2.3.2) Managing CQ sortie selection of each site’s Low Trap Aircraft (LTA) so that a minimum of 20% of a site’s assigned CQ sorties are flown by LTA.

(1.3.3) Quality Metric: The Contractor shall have a combined total of less than six CARMAJ and no CARCURE, CARCRIT, or CARREP across all sites (except NAS PAX), as defined in the Quality Calculation.

(1.3.4) Safety Metric: The Contractor shall have no maintenance related Mishaps of any sort. The Contractor shall not release an aircraft as Safe for Flight (SFF) that is subsequently determined by the government to be not SFF. The Contractor shall not exceed four Government initiated, contractor caused maintenance related HAZREPS for the reporting period, as defined in Safety Calculation.

(1.4) The Contractor must exceed the required Contract Minimum for one of the four PMF components, while at least meeting the required Contract Minimums of the other three PMF components, to be eligible to earn the performance incentive IAW the following weightings described below:

(1.4.1) Performance Incentive is in accordance with the following weightings (further described below):

(1.4.1.1) 20% of the total PMF is derived from the Performance Metric.

(1.4.1.2) 20% of the total PMF is derived from Sustainment Metric.

(1.4.1.3) 30% of the total PMF incentive is derived from the Safety Metric.

(1.4.1.4) 30% of the total PMF incentive is derived from the Quality Metric

(1.4.2) Positive PMF performance incentives will be paid under the PMF incentive SLIN under CLIN 0X22 pertaining to the associated quarterly evaluation period. If the Contractor meets but does not exceed any of the required contract minimums stated in the PWS and 1.3 above, the Contractor will not earn any incentive or receive a decrement. For any decrement, the contractor agrees to forfeit the amount identified by the Government on the applicable quarterly performance evaluation period’s Task Order Final invoice submission against CLIN 0X02 for each site proportionally IAW Section G.

(1.4.3) The Government agrees to fund up to $2,500,000 per quarterly evaluation period to incentivize performance by the Contractor. Conversely, the Contractor agrees to be decremented $2,500,000, per quarterly evaluation period (with the exception of the first two quarterly evaluation periods after full performance), as a disincentive for not meeting the required contract minimums stated in the PWS and noted above.

(1.5) If the contractor fails to meet any one of the required contract minimums in the PMF during the quarterly evaluation period, the Contractor will not be eligible for any positive incentive during that period.

(1.6) If the Contractor fails to meet any two of the required contract minimums in the PMF during the quarterly evaluation period, the Contractor will not be eligible for any positive incentive during that period and will be decremented $2,500,000 from the SLINs under CLIN 0X02.

(1.7) During the base period, if the contractor fails to meet any single PMF component's required contract minimum for two or more consecutive quarterly evaluation periods, the Contractor will not be eligible for a positive incentive and will be decremented $2,500,000 from the SLINs under CLIN 0X02. Even though the contractor cannot be penalized during the second quarter of the base period, if the contractor does not meet a single PMF component's required minimum in the second and third quarters of the base period, the contractor will be decremented $2,500,000 from the SLINs under CLIN 0X02.

(2.0) PERFORMANCE CALCULATION: The performance component of the PMF is comprised of the measures in this section.

(2.1) Mission Completion Rate (MCR):

(2.1.1) The following Daily MCR (MCRDAILY) is calculated to determine the impact of maintenance cancellations.

(2.1.2) MCRDAILY is the Missions Flown (MFL) divided by the accumulated difference between Missions Scheduled (MSKED), Missions Cancelled for Weather (MWX), and Missions Cancelled due to Operations (MXO), calculated at each site for each fly day, excluding weekends and holidays.

MCRDAILY =

MFL

MSKED - (MWX + MXO)

(2.1.3) Missions Scheduled (MSKED) are the missions on the originally published flight schedule.

(2.1.4) Missions Add-ons (MAO) are those missions that were not included on the original flight schedule but flown without increasing RFT requirements as additional events.

(2.1.5) Missions Cancelled for Weather (MWX) are those missions cancelled due to weather as determined by the Government.

(2.1.6) Missions Cancelled due to Operations (MXO) are those missions cancelled due to operations as determined by the Government.

(2.1.7) Missions Flown (MFL) are those successfully completed missions with no maintenance related issues aborting the mission, e.g., take off and landing without any maintenance related discrepancy that aborts the mission. This includes successfully completed Missions Add-ons (MAO).

(2.2) Ready for Training (RFT):

(2.2.1) Daily Ready for Training (RFTDAILY) is calculated by Total Availability Times Met (TATM) divided by Total Availability Times Required (TATR) at each site on each fly day, excluding weekends and holidays.

RFTDAILY =

TATM

TATR

(2.2.2) Total Availability Times Met (TATM) is the total number of availability times for which the required number of mission capable aircraft (as defined in COMNAVAIRFORINST 4790.2 series) was provided in accordance with the RFT Band.

(2.2.3) Total Availability Times Required (TATR) is the total number of availability times required by the RFT Band for each fly day.

(2.3) Performance Component: The Daily Mission Completion Rate (MCRDAILY) and Daily Ready for Training (RFTDAILY) will be averaged independently by site over the quarterly evaluation period to determine the quarterly site average MCR and quarterly site average RFT. The lowest site average MCR and the lowest site average RFT rates achieved will be used to then calculate the performance factor as shown below. For calculation purposes, 100% is the maximum value that may be used for MCR and RFT. All calculations shall be rounded to the nearest tenth.

(2.3.1) IF MCR < 90% OR RFT < 90% THEN Performance Metric = 0

(2.3.2) IF MCR ≥ 90% AND RFT ≥ 90% THEN Performance Metric = MCR + RFT

(2.3.3) Table H-1-1 below will be used for positive Performance incentive.

TABLE H-1-1 PERFORMANCE INCENTIVE

(2.3.4) An example of the potential positive quarterly incentive payment for Performance Metric calculation resulting in “92.0” = (.2 x $2,500,000 x .94) = $470,000.00 for the quarterly evaluation period. Payment of the amount outlined above is contingent on at least meeting the contract minimums in the other three (Sustainment, Safety, and Quality) components.

(3.0) SUSTAINMENT CALCULATION: The Sustainment component of the PMF is defined as balancing flight hour and Fatigue Life Expended (FLE) demands across all available assets to manage the life cycle of the fleet. For the purposes of this contract, the Sustainment component equates to Service Life Maintenance Management (SLMM) and Fatigue Management Program (FMP). FMP is comprised of two components: Fatigue Life Expended (FLE) and Arrestments (ARR).

(3.1) The following definitions and formulas are provided to assist in the calculation of the SLMM component:

(3.1.1) Service Life Maintenance Management (SLMM) is the level-loading of flight hours across all available aircraft.

(3.1.2) Service Life Maintenance Management Available Aircraft (SLMMAA): SLMMAA is the total number of aircraft assigned at Naval Air Station Kingsville, Texas (NASK), Naval Air Station Meridian, Mississippi (NASM) and Naval Air Station Pensacola, Florida (NASP) minus the number of Service Life Maintenance Management Exempt Status Aircraft (SLMMESA) at each site respectively.

(3.1.3) SLMMAA = Total aircraft assigned - SLMMESA

(3.1.4) SLMMESA is the total number of aircraft assigned to NASK, NASM and NASP that have been exempted from SLMM status by the ACO.

(3.1.4.1) Aircraft will be granted SLMMESA utilizing the following guidelines:

(3.1.4.1.1) Aircraft involved in a Class A, B, or C mishap will be exempted as determined by the ACO.

(3.1.4.1.2) Aircraft undergoing a modification of greater than 250 man hours will be exempted as determined by the ACO.

(3.1.4.1.3) Aircraft determined to be in ACO deferred status requiring repairs by a source other than the Contractor.

(3.1.4.2) The SLMMESA identified in 3.1.4.1 will be prorated on a daily basis. For example: An aircraft granted ACO exempted status during the last 23 days of a 90 day quarter results in SLMMESA equal to 23/90=0.26 for that aircraft (rounded to the nearest hundredth). The total site SLMMESA is the sum of the individual aircraft values for exempted aircraft for that site.

SLMMESA = 23/90 = 0.26

(3.1.5) Flight Hour Average (FHAVG): FHAVG for each site is the total flight hours at each site, for the quarterly evaluation period divided by the total number of T-45 SLMMAA at that site for the same quarterly evaluation period, rounded to the nearest tenth. Note: SLMMAA does not have to be a whole number.

FHAVG = Total FHs flown for quarterly evaluation period at each site

Total T-45 SLMMAA for quarterly evaluation period at each site

(3.2) SLMM Calculation

(3.2.1) The SLMM calculation is a formula to identify variation from a desired distribution of flight hours. Table H-1-2 will be used to categorize SLMMAA for the SLMM calculation:

TABLE H-1-2 SLMM CALCULATIONS

(3.2.2) The flight hours included for each T-45 aircraft included in the quarterly SLMMAA measure are compared to the site’s FHAVG for that same quarterly evaluation period. Prorated aircraft (see paragraph 3.1.2) are compared to the corresponding prorated FHAVG. Each T-45 aircraft included in the quarterly SLMMAA measure are then categorized to the appropriate band utilizing Table H-1-2. All SLMAA, irrespective of T-45 and site (i.e., T-45A, T-45C, NASM, NASK, NASP), are summed by band. All bands (i.e., A, B, C, D) are summed to determine Total Number of SLMAA:

SLMM = (#Aircraft A Band) + (#Aircraft B Band)(.9) + (#Aircraft C Band)(.7)

(Total # of SLMMAA) + (#Aircraft D Band)

(3.3) Sustainment Measure Calculation for SLMM

(3.3.1) IF SLMM ≤ .70 THEN Sustainment Metric = 0

(3.3.2) IF SLMM > .70 THEN that percentage is used for payment.

(3.4) Example Calculation:

(3.4.1) NASK T-45A and C SLMMAA = 88 Aircraft assigned at NASK – 10.26 SLMMESA = 77.74 Aircraft (prorated).

(3.4.2) Total flight hours (FH) flown at NASK and NASK supported detachments over the quarterly performance evaluation period = 9,132.2 FH

(3.4.3) NASK T-45A and C FHAVG = 9,132.2 FH / 77.74 SLMMAA = 117.6

(3.4.4) Each NASK aircraft (included in the quarterly SLMMAA measure) flight hours are then compared to the NASK T-45 FHAVG and categorized into the appropriate band utilizing Table H-1-2:

(3.4.4.1) When determining an aircraft’s band with a prorated exemption, multiply the site FHAVG by (1-SLMMESA) for that aircraft only. After determining band, add in the resultant aircraft in hundredths. For example: An aircraft was exempted for 0.26 of the reporting period, meaning it was SLMMAA for 1 - 0.26 = 0.74. Therefore, if the sites FHAVG was 117.6, the prorated SLMMAA calculation for this example is: 117.6 X 0.74 = 87.02 FHAVG (3.4.4.2) NASK T-45A/C SLMMAA in A Band = 66.54

(3.4.4.3) NASK T-45A/C SLMMAA in B Band = 4.60

(3.4.4.4) NASK T-45A/C SLMMAA in C Band = 2.60

(3.4.4.5) NASK T-45A/C SLMMAA in D Band = 4.00

(3.4.5) Steps 1-5 are repeated for all other assigned aircraft at NASM and NASP.

(3.4.6) Each Band’s total # Aircraft is then summed, by site:

(3.4.6.1) TOTAL of NASK, NASM and NASP # Aircraft A Band = 133.84

(3.4.6.2) TOTAL of NASK, NASM and NASP # Aircraft B Band = 18.80

(3.4.6.3) TOTAL of NASK, NASM and NASP # Aircraft C Band = 7.30

(3.4.6.4) TOTAL of NASK, NASM and NASP # Aircraft D Band = 5.98

(3.4.7) Total # of SLMAA is then equated by summing # Aircraft Bands:

(3.4.7.1) Total # of SLMAA = 133.84 + 18.80 + 7.30 + 5.98 + 0.00 = 165.92

(3.4.8) Finally all numbers are added into the SLMM calculation:

SLMM = (# Aircraft A Band) + (#Aircraft B Band)(.9) + (#Aircraft C Band)(.7)

(Total # of SLMMAA) + (#Aircraft D Band)

SLMM = (133.84) + (18.80)(.9) + (7.30)(.7)

= 133.84 + 16.92 + 5.11= 155.87 = 90.67%

(165.92) + (5.98)

171.90 171.90

(3.4.8.1) Since SLMM is greater than .70, the SLMM Sustainment Measure = 91%

(3.5) Fatigue Management Program (FMP): The following definitions and formulas are provided to calculate the FMP(FLE) measurement:

(3.5.1) FMP Available Aircraft (FMPAA): FMPAA is the total number of aircraft assigned at NASK, NASM and NASP.

(3.5.1.1) FMPAA shall be managed for FMP(FLE) by proper selection of flight profile mix for each aircraft based on it being a High FLE aircraft (HFA) or Low FLE aircraft (LFA) and which site it is assigned.

(3.5.1.2) For the purposes of FLE management, current CNATRA syllabi flight events (as listed in Attachment 26) fall into three FLE flight event categories: High, Medium and Low FLE impact.

(3.5.1.2.1) Functional Check Flights (FCFs) are exempt from FMP(FLE)

(3.5.1.3) Each sites syllabus requires assigned aircraft to fly a different mix of High, Medium and Low FLE events, characterized by the averages Table H-1-3:

TABLE H-1-3 SITE FLE AVERAGES

(3.5.1.4) Annual updates to Attachment 26 and Table H-1-3 may be required due to syllabi changes.

(3.5.1.5) FLE Offset (FLEO) is an offset from each site High and Low FLE averages. The offset is designed to control the effect of FMP (FLE) by requiring the minimum amount of correction be applied to the HFA and LFA.

(3.5.1.5.1) FLEO may change annually, but will not move more than ±10% (0% to 20%) total over the duration of the entire contract length, if all options are exercised. If option(s) are awarded, new FLEO will be provided at time of award.

(3.5.1.6) Site Assignment High Average (SAHA) is the site High FLE scheduling average with a FLEO applied. SAHA is the result of subtracting the site FLEO percentage from each sites corresponding High FLE average.

NASK SAHA = NASK high FLE Average - NASK FLEO

Example: using Table H-1-3: NASK High 30% - 10% = 20% SAHA

(3.5.1.7) Site Assignment Low Average (SALA) is the site Low FLE scheduling average with a FLEO applied. SALA is the result of subtracting the site FLEO for each sites corresponding Low FLE.

NASK SALA = NASK low FLE Average - NASK FLEO

Example: using Table H-1-3: NASK Low 40% - 10% = 30% SALA

(3.5.1.8) The CNATRA FLE List (CFL) is a list of aircraft to be managed by the contractor, for FLE, by site.

(3.5.1.8.1) The number of aircraft on the CFL will never be more than 50 percent of the total aircraft assigned at each site.

(3.5.1.8.2) The CFL will delineate aircraft by:

(3.5.1.8.2.1) Site (NASK/NASM/NASP)

(3.5.1.8.2.2) Bureau Number (BUNO)

(3.5.1.8.2.3) As either a HFA or a LFA, never both in the same quarter

(3.5.1.8.3) A new CFL for all sites will be provided by the Government to the contractor at the beginning of each reporting period.

(3.5.1.8.3.1) The new list may or may not contain different aircraft from previous reporting period.

(3.5.1.8.4) Aircraft absent from current quarterly CFL are exempt from corresponding quarter’s FMP (FLE) measurements.

(3.5.1.9) Each site’s HFA shall be managed so that the percentage of an aircraft’s flights used on high FLE category flights, represented by its High FLE Percentage (HFP), is less than or equal to the corresponding SAHA for the reporting period.

HFP = Total # of High FLE sorties by an aircraft in a quarter

Total # of sorties by an aircraft in a quarter, not including FCF sorties

(3.5.1.9.1) For example: An FMPAA assigned to NASK is identified as a HFA on the CFL. This aircraft needs to be scheduled on high FLE flights for less than or equal to 20% its total flights for the reporting period.

(3.5.1.10) Each sites LFA shall be managed so that the percentage of an aircraft’s flights used on low FLE category flights, represented by its Low FLE Percentage (LFP), is less than or equal to the corresponding SALA for the reporting period.

LFP = Total # of Low FLE sorties by an aircraft in a quarter

Total # of sorties by an aircraft in a quarter, not including FCF sorties

(3.5.1.10.1) For example: An FMPAA assigned to NASK is identified as a LFA on the CFL. This aircraft needs to be scheduled on low FLE flights for less than or equal to 30% its total flights for the reporting period.

(3.5.1.11) HFA or LFA that have zero sorties during the reporting period do not count and will be removed from the site’s HFA and LFA reporting calculations.

(3.5.1.12) CDRL A017 (Flight Matching Report) will be used to monitor the performance of each site in managing FMP (FLE).

(3.5.2) FMP(FLE): The FMP(FLE) calculation is a formula to identify the percentage of CFL aircraft by site that have been scheduled to meet SAHA and SALA requirements.

(3.5.3) FMP Calculation: Table H-1-4 will be used to categorize FMP(FLE) calculation:

TABLE H-1-4 FMP (FLE) CALCULATIONS

(3.5.4) Only those FMPAA that start the reporting period on the CFL and flew any number of sorties during the reporting period will be used in this calculation. Each HFA HFP and LFA LFP for a quarterly evaluation period is compared to the same corresponding SAHA or SALA, respectively. The percentage of HFA and LFA assigned FMPAAs meeting the sites corresponding SAHA and SALA at each site is then categorized to the appropriate band utilizing Table H-1-4. Since there may be differences between bands for HFA and LFA, the HFA and LFA at each site will count 50 percent each for that site. Each sites FMP bands, irrespective of T/M/S (i.e., T-45A, T-45C), are summed by band. All sites (NASK, NASM, and NASP) are summed to determine total number of FMP(FLE) sites:

FMP (FLE) = (# Sites A Band) + (# Sites B Band)(.9) + (# Sites C Band)(.7) + (# Sites D Band)(.5) (Total # of Sites)

(3.6) Sustainment Measure Calculation for FMP(FLE)

(3.6.1) IF FMP(FLE) ≤ .70 THEN Sustainment Metric = 0

(3.6.2) IF FMP(FLE) > .70 THEN FMP(FLE) Sustainment Measure = FMP(FLE)

(3.7) Example Calculation:

(3.7.1) NASK T-45A and T-45C FMPAA (FLE) = 88

(3.7.2) Total number of FMPAA (FLE) at NASK starting the reporting period on the CFL = 44

(3.7.2.1) NASK HFA = 24

(3.7.2.2) NASK LFA = 20

(3.7.3) Total number of NASK HFA that did not fly any sorties during the reporting period = 2

(3.7.3.1) NASK HFA = 24 HFA assigned – 2 zero sortie HFA = 22 HFA reporting

(3.7.4) Total number of NASK LFA that did not fly any sorties during the reporting period = 1

(3.7.4.1) NASK LFA = 20 LFA assigned – 1 zero sortie LFA = 19 LFA reporting

(3.7.5) Total number of NASK HFA that have a HFP ≤ NASK SAHA = 16

(3.7.6) Total number of NASK LFA that have a LFP ≤ NASK SALA = 17

(3.7.7) Percentage of NASK HFA ≤ NASK SAHA = 16/22 = 72.7%

(3.7.7.1) NASK HFA Band = B Band (.5)

(3.7.8) Percentage of NASK LFA ≤ NASK SALA = 17/19 = 89.5%

(3.7.8.1) NASK LFA Band = A Band (.5)

(3.7.9) NASK Band total = A Band (.5) and B Band (.5)

(3.7.9.1) NASK FMP(FLE)% A Band = 0.5

(3.7.9.2) NASK FMP(FLE)% B Band = 0.5

(3.7.9.3) NASK FMP(FLE)% C Band = 0

(3.7.9.4) NASK FMP(FLE)% D Band = 0

(3.7.9.5) Steps 1-9 are repeated for each site: : For purposes of this example:

(3.7.9.5.1) NASM HFA = 0.5 A Band and NASM LFA = 0.5 B Band

(3.7.9.5.2) NASP HFA = 0.5 A Band and NASP LFA = 0.5 C Band

(3.7.9.6) NASM FMP(FLE)% A Band =0.5

(3.7.9.7) NASM FMP(FLE)% B…