VXX_Pre-Proposal_Conference_Brief_6-6-2013.pdf

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Presidential Helicopter Replacement Program (VXX)
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AIR-4.10E

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

VXX Pre-Proposal Conference

06 June 2013

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Ground Rules and Agenda

Mr. Mark Krukar

Procuring Contracting Officer

(PCO)

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Ground Rules

• No recordings of any kind

• Please email any questions during the presentation to jessica.d.norris@navy.mil and mark.krukar@navy.mil

– Answers will be provided verbally when possible at the Answer

Session

– Questions answered in open forum will be posted on the VXX

Technical Library

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Agenda

0815 - 0830 Participant Dial-in

0830 - 0840 Introduction / Agenda – Mr. Mark Krukar

0840 - 0850 Program Overview – CAPT Peters

0850 - 0930 RFP Overview (Sections A-K) – Mr. Mark Krukar

0930 - 0945 Break/submit written questions

0945 - 1115 Source Selection Process Overview – Mr. Alan Goldberg

1115 - 1245 Submit last written questions/Lunch

1245 - 1330 Answer Session

1330 - 1345 Adjourn

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Disclaimer

• The remarks today of Government officials involved in the VXX procurement should in no way be construed as a guarantee of the Government’s course of action in proceeding with the acquisition

• The information shared today reflects current

Government intentions and is subject to change based on a variety of circumstances, including internal and external comments

• The formal solicitation and any Amendments are the

ONLY documents that should be relied upon in determining the Government’s requirements

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Pre/Post Proposal Communications

• Classification: UNCLASSIFIED After RFP release, the Contracting Officer shall be the focal point of any exchange with potential Offerors – FAR 15.201(f)

– FAR 15.201 allows “Exchanges with industry before receipt of proposals” but PCO must be the focal point

• Pre-Proposal Conference constitutes an Informal Exchange of

Information

– No One-on-One discussions

– Follow-up comments/questions allowed

• To provide Offerors with insight into Government Evaluation of

Proposals to aid with Proposal Preparation

• Must be consistent with FAR 3.104, “Procurement Integrity”

• All pre/post proposal communications shall be coordinated via the Contracting Officer and Contract Specialist

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Security Qualification Criteria

• If the Offeror or the Offeror’s Subcontractors performing classified work are determined not to meet the minimum security qualifications below, then the Offeror will not be evaluated or considered for contract award

• The security criteria listed below are pass/fail

– The Offeror must be a United States Contractor that is licensed, chartered, or incorporated in the United States

– The Offeror must have a valid Top Secret Facility Clearance

Level (FCL) issued by the DSS, and be able to achieve and maintain designated contract secure work area(s) and personnel security/SAP access requirements, as set forth in the JAFAN manual series of instructions

• Other minimum security qualifications identified in response to

Section L, Part A, Paragraph 8, will determine if the Offeror will be able to perform under the resulting contract

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Foreign Participation Review

• VXX effort involves certain critical technologies/data that are not releasable to foreign firms

• NAVAIR Foreign Disclosure Review confirmed this effort must be managed by a U.S. Prime

– No foreign firm may be a Prime contractor either individually or as part of a teaming arrangement under this effort

– Foreign firms must be a subcontractor to a U.S. company that possesses a current and valid U.S. facility clearance with technologies/data safeguarding capabilities

• U.S. Prime contractor must comply with all applicable export control laws and regulations regarding the dissemination of VXX technical documentation

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Solicitation Websites

• ALL solicitation-related information will be posted to the

FBO website under solicitation N00019-13-R-0060, and/or VXX Technical Library

• The FBO website includes, but is not limited to, the following documents:

– RFP (A Through M)

– RFP Amendments

– Template for VXX RFP Question and Answer Matrix

• VXX Technical Library website will contain:

– All VXX RFP documents

– Unclassified Sections J and L attachments

– Unclassified GFI

– Q&As

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Program Overview

CAPT Dean Peters

Program Manager

(PMA-274)

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Program Overview

• Integrate Gov’t- defined mission systems into an existing air vehicle

– Mission Communication System (NAWC-AD, St. Inigoes, MD)

– Other Systems

– Gov’t prototyping completed prior to EMD

– Integration should focus on maximizing reliability, maintainability and availability

• Airworthiness certification is the responsibility of the

Prime Contractor

– FAA, DoD, Foreign Commercial (with FAA bi-lateral agreement)

– NAVAIR will grant flight clearance based on airworthiness certification

– Desire is to leverage certified air vehicle throughout program’s life cycle

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Emphasis on Mission

• Capability Development Document (CDD) and CONOPS approved 3

Jan 2013

• Unique requirements

– 100% mission success

– Appearance is very important

• RFP Emphasis Areas prioritize the most important aspects of CDD and CONOPS and provide insight to Offerors

– Determined by user/operator steering group at SES/Flag/General Officer level

– Weight margin provides capability for future upgrades over the life of the program

– Meeting landing zone suitability threshold is absolutely essential

– Transportability timeline is important due to expeditionary nature of the mission

– Cabin reconfiguration provides flexibility in meeting mission requirements

– Materiel availability drives manpower, cost of operations and mission success

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Affordability and Timeliness

• Affordability and cost control are crucial to program success

– Investment cost (near term)

– O&S cost (long term)

• Timeliness

– Requirements optimized to allow efficient acquisition timeline

– Maturity of technology allows entry at M/S B

• Accommodating an expandable architecture will allow future flexibility and keep program affordable

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Contract Affordability Profile

• Affordability profile and targets are provided as guidance

…… but for an important reason:

– Exceeding profile and/or targets may preclude contract award

– For this reason, deviations from the profile will be considered, but are discouraged

– Offers over the funding profile put their proposal selection and the procurement at risk due to affordability

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

VXX Request for Proposal Overview

Mr. Mark Krukar

Procuring Contracting Officer

(PCO)

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Brief Overview

• Full and open competition

• Award to a single contractor

• RFP timeline

– RFP released 03 May 2013

– Proposals due by 2:00pm on 01 Aug 2013

– C-17 Transportability Load Demonstration planned for early Dec

2013 timeframe

• Offeror’s Load Demonstration Plan due 30 days prior to demo

– Contract award planned for 3rd quarter FY14

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12 Mar 2013 Draft to Final RFP

Substantive Changes

• Section B

– Deleted FFP baseline aircraft CLINs - now rolled into the overall

EMD and Production IAV CLINs

– Changed Contract Type for Production CLINs to FFP

– Deleted Modification of SDTA CLINs

– Added Provisioned Item FFP CLINs to allow for procurement of

Repair of Repairables and Spares during production

– Added Parts Replenishment FFP CLIN for repair/replacement of items not included in Provisioned Items

• Section F – Deliveries or Performance

– Changed delivery parameters in Section F for EDM-0 and EDM-1;

deliveries no longer tied to PDR and CDR

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12 Mar 2013 Draft to Final RFP

Substantive Changes

• Section H – Special Contract Requirements

– Revised Clause H-11 Variation in Quantity (VIQ) to make it predicated on a range of previously ordered Lot aircraft

• Attachment (14) revised accordingly

• Attachments (6) Spares List and Attachment (7) Support Equipment

List are based on target quantities only

– Added Clause H-12 IUID Implementation

• Section L – Instructions, Conditions and Notices to Bidders

– Added clarifying language to Volume 3 – Cost/Price Proposal, paragraph 1.1.1.5 Investments

• Section M – Evaluation Factors for Award

– Removed reference to FAR 15.304(e); this is not applicable since there are only 2 evaluation factors

– Clarified how evaluation credit may be obtained with respect to the

Performance Based Specification in emphasis and non-emphasis areas

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

12 Mar 2013 Draft to Final RFP

Substantive Changes

• EMD SOW

– Included Clause H-3 in paragraph 1.6.4 (Remote Access to

Data)

• Allows Government to use, reproduce and display the data in support of the

VXX program only.

– Changes to Appendix B, Airworthiness Qualification Plan

• Production SOW

– Provided new paragraphs for VXX System Parts Replenishment

(1.1.4-1.1.4.2)

• Replenish spares and Direct Turn Over by repair or procurement via

Provision Items lists (Section J, Attachment 16 (Repair of Repairables) and

Attachment 17 (Procurement))

– Removed requirements related to Earned Value management

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Total Aircraft Quantity

• Total 23 aircraft

– EMD includes 6 test aircraft to support test & evaluation

EDM 0 – Risk reduction

EDMs 1 & 2 – Mission representative

SDTAs 1-4 – Production representative

– LRIP & FRP includes 17 baseline aircraft modified into

VXX integrated air vehicles

LRIP 1 - 4 each; LRIP 2 – 5 each; FRP – 8 each

– Total of 21 operational aircraft

4 SDTAs (modification of SDTAs will be handled via future contract action)

17 LRIP & FRP

EDM 0 to be used as baseline aircraft for a

SDTA aircraft

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Contract Type

• Fixed-Price-Incentive, Firm Target for EMD

– 50/50 share line

– 120% ceiling

– 12% Target Fee (Less FCCOM)

• Firm-Fixed-Price for Production Options

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Section A (SF 33)

• Block 9: Proposals due 2:00pm on 01 Aug 2013

– Paragraph 4.0 of Section L Proposal Instructions requests early submission of the Executive Summary 21 days prior to proposal submission date (11

Jul 2013)

• Block 12: Request proposals remain valid for 334 calendar days

• Offerors shall complete blocks 13 thru 18 of SF 33

• Submit proposals to:

Naval Air Systems Command

Attn: Mark Krukar, PCO, Code: AIR- 2.3.1.1

47394 Buse Road, Bldg 2455

Patuxent River, MD 20670

Solicitation Number: N00019-13-R-0060

• Classified data to be submitted in accordance with Section

L Proposal Instructions (paragraph 4.2)

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Section B – Supplies or Services

CLIN Description Contract TYPE

0001 EMD Phase for VXX FPIF

0002 Tech, Financial, and Admin Data for CLIN 001 - NSP -

0003 EDM 0 Delivery Incentive FFP

0004 EDM 1 Delivery Incentive FFP

Option 0005 Integration of Wideband Line of Sight System during EMD FPIF

0101, 0201, 0301 LRIP & FRP VXX Integrated Air Vehicle (IAV) FFP

0102, 0202, 0302 LRIP & FRP Tech, Financial, and Admin Data - NSP -

0103, 0203, 0303 LRIP & FRP Integration of Wideband Line of Sight System FFP

0104, 0204, 0304 LRIP & FRP Interim Contractor Support FFP

0105, 0205, 0305 Tech, Financial, and Admin Data for Interim Contractor Support - NSP -

0106, 0206, 0306 LRIP & FRP Spares FFP

0107, 0207, 0307 LRIP & FRP Support Equipment FFP

0208, 0308 LRIP & FRP Mission Tasking 2 (MT-2) Reconfiguration Kit FFP

0109, 0209, 0309 VXX System Parts Replenishment FFP

0110, 0210, 0310 VXX System Repair of Repairables (Provisioned Item) FFP

0111, 0211, 0311 VXX System Spares (Provisioned Item) FFP

E M

D

P R

O D

U C

T

IO

N O

P T

IO

N

S

NAVAIR Public Release #2013-490 Distribution Statement A - Approved for public release; distribution is unlimited

Provisioned Line Items

• VXX System Repair of Repairables (Option Items 0110, 0210 and 0310)

– Provide System Repair of Repairables IAW the Production SOW at prices and delivery dates established in Attachment (16) “VXX

System Repair of Repairables”

• The Contractor shall inform the Government of any component inducted for repair that is found to be beyond economic repair (BER)

• BER is defined as any item whose repair cost would exceed 75% of its new acquisition cost

– Contract modifications will be issued for the repairs IAW the

Provisioned Items Ordering clause

• VXX System Spares (Option Items 0111, 0211 and 0311)

– Provide System Spares IAW the Production SOW at prices and delivery dates established in Attachment (17) “VXX System Spares”

– Contract modifications will be issued for the spares IAW the

Provisioned Items Ordering clause

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Section F – Deliveries or Performance

• EMD Deliveries

– EMD period of performance continues until 60 days after the completion of IOT&E and upon correction of deficiencies as defined in clause H-6

– EDM-0 – produced no later than (TBP) months after contract award

– EDM-1, EDM-2 and SDTAs 1-4 – delivered no later than (TBP) months after contract award

• Note: EDM-2 shall be delivered no later than 6 months after the delivery of EDM-1

• Note: SDTA-1 shall be delivered no later than 6 months after the delivery of EDM-2 and at least 12 months prior to the scheduled start date of IOT&E; and all SDTA aircraft shall be delivered within 10 months

– Maintenance Training Device (MTD) – delivered no later than 38 months after contract award

– Flight Training Device (FTD) – delivered no later than 40 months after contract award

– Support Equipment (SE) – last item of SE delivered no later than 30 days prior to delivery of each test aircraft

– Spares – delivered no later than 30 days prior to delivery of each test aircraft

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Section F – Deliveries or Performance

• Production Aircraft Deliveries

– LRIP I

• LRIP-1 (Lot I) – delivered no later than 23 months after option exercise

• LRIP-2 (Lot I) – delivered no later than 26 months after option exercise

• LRIP-3 (Lot I) – delivered no later than 29 months after option exercise

• LRIP-4 (Lot I) – delivered no later than 32 months after option exercise

– LRIP Lot II

• LRIP-5 (Lot II) – delivered no later than 23 months after option exercise

• LRIP-6 (Lot II) – delivered no later than 25 months after option exercise

• LRIP-7 (Lot II) – delivered no later than 27 months after option exercise

• LRIP-8 (Lot II) – delivered no later than 29 months after option exercise

• LRIP-9 (Lot II) – delivered no later than 31 months after option exercise

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Section F – Deliveries or Performance

• Production Aircraft Deliveries

– FRP

• FRP-1 – delivered no later than 23 months after option exercise

• FRP-2 – delivered no later than 24 months after option exercise

• FRP-3 – delivered no later than 25 months after option exercise

• FRP-4 – delivered no later than 27 months after option exercise

• FRP-5 – delivered no later than 28 months after option exercise

• FRP-6 – delivered no later than 30 months after option exercise

• FRP-7 – delivered no later than 31 months after option exercise

• FRP-8 – delivered no later than 32 months after option exercise

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H-1 Delivery Incentive

• The Contractor may earn a delivery incentive of up to 1% of the target cost of Item 0001

– EDM-0 – Contractor may earn 0.15% by producing EDM-0 within

6 months after contract award

– EDM-1 – Contractor may earn fee by delivering a fully compliant

EDM-1 as follows

• 0.85% for delivery within 27 months or 90 or more calendar days ahead of Section F delivery date whichever occurs first

• 0.50% for delivery between 27 and 28 months or 60 to 89 calendar days ahead of Section F delivery date whichever occurs first

• 0.25% for delivery between 28 and 29 months or 30 to 59 calendar days ahead of Section F delivery date whichever occurs first

EDM-1 Scenario A

Section F delivery date of 28 months

To earn 0.85% - must deliver 90 or more calendar days ahead

To earn 0.50% - must deliver 60 to 89 calendar days ahead

To earn 0.25% - must deliver 30 to 59 calendar days ahead

EDM-1 Scenario B

Section F delivery date of 32 months

To earn 0.85% - must deliver within 27 months

To earn 0.50% - must deliver between 27-28 months

To earn 0.25% - must deliver between 28-29 months

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Section H - Special Contract Requirements

• H-1 Delivery Incentive Fees

– Contractor may earn up to 1% of target cost of CLIN 0001 for delivery of

EDMs 0 and 1 (aircraft must meet SOW requirements)

• EDM-0 – Fee of 0.15% for delivering within 6 mo’s after contract award

• EDM-1 – Fee of 0.85% for delivering within 3 months early; 0.5% 2 months early;

0.25% 1 month early

• H-2 Exercise of Options

– Communicates the order and timeframe of options to be exercised

– Aircraft quantities in Section B are target quantities to be procured

• H-3 License Rights for Supporting Data Items and Data Accession List

(DAL) Items

– Technical data and computer software listed on the Supporting Data Items

Tables, Appendix A of the EMD and Production SOWs, shall carry the same rights as required by a CDRL

– For technical data and computer software listed on the DAL (Exhibits F and

FF), the Government and covered Government support contractors may use, reproduce and display the data in support of the VXX program only

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Section H - Special Contract Requirements

• H-4 Contract-Level Small Business Subcontract Reporting

– Contractor’s participating in DoD Comprehensive Subcontracting test program or have an approved Commercial Subcontracting Plan, shall provide small business subcontracting performance data on this contract

– Reporting required twice per year, as an attachment to its Summary

Subcontracting Report (SSR)

• H-5 Change Agreements

– Per the Changes clause, FAR 52.243-1, each change not exceeding

$100,000.00 (plus or minus), shall be a change having no effect on the contract price or ceiling price

– Only applicable to changes that do not affect the contract delivery or performance schedules or any other contract clauses

– Includes impacts as a result of changes to GFI/E/P/F

• H-6 Correction of Deficiencies

– Contractor shall be responsible for the correction of any in-scope deficiencies discovered in the VXX System during EMD

– Contractor shall update all delivered, and yet to be delivered, VXX Systems, and associated documentation under the contract, and options yet to be exercised, to correct deficiencies discovered during EMD

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Section H - Special Contract Requirements

• H-7 Pass Through of Commercial Warranties

– Contractor shall provide any commercial warranties to the VXX Program including any from subcontractors, suppliers, and vendors

• H-8 Selection of VIP Cabin Interior Aesthetics

– Contractor agrees that as part of the Cabin Interior Working Group the Government shall select the aesthetic characteristics associated with the VIP Cabin Interior for the VXX IAV based on the range of VIP Cabin Interior options customarily offered by the Contractor, at no change in price

• H-9 Data Rights Special License for Depot Level Maintenance

– Defines “OMIT Data” and clarifies OMIT data rights IAW DFARS clauses

– Includes special license rights for Depot Level data developed at private expense

– License will limit use to DoD activities and all contractors in support of the VXX program only, e.g. CSS and/or Government contracted maintenance support

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Section H - Special Contract Requirements

• H-10 Commercial Computer Software License Agreement

– Contractor shall procure and deliver commercial computer software and provide commercial computer software license agreements in the format provided in

Attachment 13. The Contractor shall ensure the following:

• License agreements are legally transferrable to the Government

• All of the licensees' rights under the license agreements will fully insure to the benefit of and be transferred to the Government

• Software and the terms of the license agreement will meet or exceed the requirements of this contract

• H-11 Variation in Quantity (VIQ) Pricing

– Quantities listed in Section B indicate the target quantities to be procured

– The Government reserves the right to increase and/or decrease the aircraft quantities up to a value of two per lot

– If aircraft quantities vary, then Section B of the contract will be modified to establish the new quantities and associated CLIN prices as identified in Attachment 14

• H-12 IUID Implementation

– Requirement to comply with DFARS clauses 252.211-7003, 252.211-7007 and

252.245-7001 shall be IAW the PMA-274 Item Unique Identification (IUID)

Implementation Plan identified in EMD and Production SOWs

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Section J - List of Documents, Exhibits, and Other Attachments Document Type Description

Exhibit A - H Contract Data Requirement List - EMD

Exhibit AA - FF Contract Data Requirement List - Production

Attachment 1 EMD Statement of Work

Attachment 2 VXX Performance Based Specification (PBS)

Attachment 3 Production Statement of Work

Attachment 4 VXX Government Furnished Information List

Attachment 5 VXX Government Furnished Equipment/Property List

Attachment 6 VXX Production Spares List

Attachment 7 VXX Production Support Equipment List

Attachment 8 Cost and Software Data Reporting Plans

Attachment 9 DD Form 254 (N00019-12-R-0063)

Attachment 10 Small Business Subcontracting Plan

Attachment 11 Contractor Data Rights Assertion List

Attachment 12 Commercial Warranties List

Attachment 13 Addendum to End User License Agreement

Attachment 14 Variation in Quantity Option Pricing Matrix

Attachment 15 Classified Statement of Work

Attachment 16 VXX System Repair of Repairables

Attachment 17 VXX System Spares

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Planned Amendment 0001

(notable changes)

• Remove paragraph under Section L, paragraph 2.2.4, which states “The Offeror shall provide its approach to retrofit System Demonstration Test Article aircraft to the final product baseline configuration.”

• Remove paragraph 1.7.5 from the Production SOW which states “The Contractor shall modify EDM-1 and

EDM-2 as required to comply with the product baseline as established during EMD.”

• Revise H-10 Clause and Attachment 13 to include Open

Source Software (OSS)

• Update to GFI/GFE List

• Other administrative changes

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VXX Contract Alignment

Formal

RFP

Release

Proposal

Evaluation Develop

Proposal

ADCAP

Develop

Proposal Base Program

Award

ADCAP

Contract

Base

Contract

• Two separate Classified Volumes with independent DD254s ‒ Volume 5 (N00019-13-R-0060)

‒ Volume 6

• Single Performance Based Specification for the entire program

Plan to evaluate all aspects of the

Proposal per Sections L&M

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Source Selection Overview

Mr. Alan Goldberg

Source Selection Office Director

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* Draft RFP Page

Source Selection Objectives

• Choose the contractor who provides the best value to the Government, all factors considered

• Utilize a comprehensive evaluation process, providing fair and consistent evaluation of proposals

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Section M

Evaluation Factors – General

• The Government expects to select one Offeror for the award on the basis of its proposal providing the best value to the Government, all factors considered

• The proposal meeting the solicitation requirements with the lowest cost/price may not be selected for an award, if award to a higher priced Offeror is determined to be more beneficial to the Government. However, the perceived benefits of the higher priced proposal must merit the additional cost/price

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Section M

Evaluation Factors – General (cont.)

• The Government intends to evaluate proposals and award a contract after conducting discussions with Offerors whose proposals have been determined to be within the competitive range – FAR 52.215-1 Alt 1

• Provide your best initial proposals

– Don't assume you can improve your position during discussions because you may not be included in the

Competitive Range

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12 Mar 2013 DRFP

Substantive Changes (cont.)

• Finalized Factor and Sub-factor Order of Importance

– Removed Past Performance as an Evaluation Factor

• Removed Streamlining Alternate Proposal Addendum Volume

• Identified objectives within Emphasis areas as being the only place Offerors can obtain Strengths

– Deleted “proposed feature of merit” as a potential Strength

• Added clarifying language to define how “Strengths” and “Risk

Reducers” may be assigned

• Clarified premium limits and their link to strength and risk reducer/avoidance advantages

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12 Mar 2013 DRFP

Substantive Changes (cont.)

• Instructed Offerors to use an IOC goal of 31 Mar 2020 for IMS proposal development

• Deleted requirement for Offerors to provide a Schedule Risk

Assessment

• Only electronic copies requested in the initial proposal for the following (electronic and hard copies will be required for the final proposal):

– PBS (Annex G),

– IMS (Annex H),

– TMSA (Annex M),

– Section J Attachments (6) Production Spares List, (7) Production

Support Equipment List, (16) System Repair of Repairables, and (17)

System Spares*

*Amendment 0001 will add Attachments (16) and (17) to the list of items to be submitted only electronically with the initial proposal

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12 Mar 2013 DRFP

Substantive Changes (cont.)

• Cost Factor changes

– Data Rights Sub-factor removed

• Data Rights are Not Separately Priced (NSP)

– VXX O&S-CC Sub-factor added to account for only those O&S costs associated with contractor contribution to design controllable aspects

• Repairables/Aviation Depot Level Repairable (AVDLR)

• Consumables (Organization-Level Consumables and

Organization-Level Repair Parts)

• Energy (i.e. Fuel, Petroleum, Oils and Lubricants -

POLs)

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Section M Evaluation Factors

COST/

PRICE

TECHNICAL

(Rating &

Proposal Risk)

VXX

System

Approach

Program & Schedule

VXX

System

VXX

O&S-CC

The Technical Factor is slightly more important than the Cost/Price Factor

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VXX Proposal Analysis and Determination

ACCEPTABLE

PROPOSALS

AWARD

INCOMING

PROPOSALS

FINAL

EVAL.

BEST-

VALUE

DETER.

PROPOSALS

WITHIN

PREMIUM

LIMIT

Traditional

Source Selection

PROPOSAL ANALYSIS

INITIAL

EVALUATION

AND

DISCUSSIONS

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Initial Evaluation and Discussions

• Initial Evaluation

– Proposals due 1 August 2013

– Proposal Assessed by Subject Matter Experts

• Technical

• Cost/Price

• Establish Competitive Range and enter into Discussions

– Discuss as a minimum all deficiencies, significant weaknesses and uncertainties

– Enter into discussions early in the process to facilitate the evaluation in the most efficient manner

• Phased discussions focusing in on the areas requiring discussions first

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TECHNICAL

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Technical Rating (Compliance)

Outstanding

Good

Acceptable

Marginal

Unacceptable

Technical Risk Rating

High

Moderate

Low

- RISK -

Assessment of likelihood of unsuccessful contract performance

Assessment Of Technical Proposals

- COMPLIANCE -

Assessment of the Offeror’s solution for meeting requirements

Potential Strengths, Uncertainties, Potential Risk Reducers, Weaknesses, and Deficiencies

Strengths and Uncertainties Risk Reducers and Significant Weaknesses Deficiencies

- Review for accuracy and “common threads”

- Assess type of and degree of benefit/impact

Note: Ratings are a continuum, each level providing a range

Technical Evaluation Grading

- Qualitative

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Technical Factor

Volume 2.0

Program & Schedule

Sub-Factor/Book B Para 2.2

VXX System Approach

Sub-Factor/Book A Para 2.1

Evaluation Flow Section L

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Section M - Technical Evaluation

VXX System Approach

• In general, assesses the approach and design solutions, focusing on impact to performance

– VXX System Approach measured against Performance Based

Specification and ability to maintain airworthiness certification

• “… special attention will be paid to the risk that difficulties in meeting solicitation requirements and the associated need for aircraft modifications will have on the ability of obtaining an airworthiness certification from the original airworthiness certification authority.”

• Emphasis will be placed on the following elements:

– Integrated Air Vehicle Performance with Overall Weight Growth

Margin

– Landing Zone Suitability

– C-17 Transportability Load/Unload Timeline

– Cabin Reconfiguration Timeline

– Material Availability (Am)

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VXX System Approach

Sub-factor/Book A Para 2.1

Section L

Technical Evaluation Flow

Section L Paragraphs/Evaluation Worksheets:

• 2.1.1 Overall System Description/Design

• 2.1.2 Integrated Air Vehicle (IAV) Performance

• 2.1.3 Landing Zone Suitability

• 2.1.4 Transportability (including demo)

• 2.1.5 Cabin/VIP Interior Design

• 2.1.6 Exterior Appearance

• 2.1.7 Integration of Subsystems/Air Vehicle Modifications

• 2.1.8 Airworthiness Qualification Implementation Plan

• 2.1.9 Reliability, Maintainability, Availability, and Diagnostics (RMA&D)

• 2.1.10 Logistics

• 2.1.11 Tailored Performance Based Specification (PBS)

ABILITY TO OBTAIN AIRWORTHINESS CERTIFICATION

WILL BE EVALUATED THROUGHOUT ALL AREAS

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VXX PBS Construction & Tailoring

Title Government

Provided

Contractor

Provided

Contractor Tailoring

PBS Main Body X Yes – Requirements and

Verification Method

Appendix A – Acronyms and Definitions X No

Appendix B – Air Vehicle Performance X Yes – Requirements and

Verification Method

Appendix C – Natural and Induced Environment X

N/A – government template provided as guide

Appendix D – Airworthiness Qualification X N/A – Addressed in AQP

Appendix E – Secret X Yes – Requirements only

Appendix E, Annex 1 – Top Secret X No

Appendix F – Executive Interior X N/A

PBS Main Body, App B and App E (S) include Non-Tailorable and Tailorable Requirements

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PBS Tailoring – Changes Since

Pre-Solicitation Conference

• PBS tailoring instructions are contained in two locations in the RFP:

– Section L, Annex G

– PBS Paragraph 1.2.2.2 and all sub-paragraphs

• Tailoring instructions have been revised

– Offerors no longer required to change Objectives to Threshold if they intend to meet the Objectives

– Offerors required to clearly indicate their intent to meet

Objectives using the modified Proposal-Specific PBS/Verification

Matrix Template (PSPVMT)

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A B C D E F G H I J K

DOORS ID MCS CDD

VXX Performance Based

Specification

1 May 2013

Offeror's Specification

Offeror proposes to meet

Objective?

Requirements

Rationale/Comments

Tailora bility

Verif

Method

Proposed

Verif

Method

Verification Method

Tailoring

Rationale/Comments

PBS-WWW

The VXX IAV shall include ABC

(Threshold) or DEF

(Objective).

The VXX IAV shall include ABC

(Threshold) or DEF

(Objective).

NT I-AW

PBS-XXX

include GHI.

NA

T I-AW

Offeror proposes to meet Objective?

- If the Offeror intends to meet the Objective, then the Offeror shall reflect this by entering “Yes” in this column

- If the Offeror does not intend to meet the

Objective, then the Offeror shall reflect this by entering “No” in this column.

Proposal-Specific

PBS Tailoring Matrix Template

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Proposed Verification Methods A: Analysis

A-AW: Analysis Airworthiness

D: Demonstration

I: Inspection

I-AW: Inspection-Airworthiness

S: Simulation

T: Test

NV: Non-Verifiable

A B C D E F G H I J K

DOORS

ID

MCS CDD

VXX Performance Based

Specification

1 May 2013

Offeror's Specification

Proposed

Verif

Method

Verif

Location/

Venue

Verif

Article

Data

Artifact

Test A/C

Comments

PBS-

YYY

TITLE TITLE

NV NA NA NA NA

PBS-

ZZZ

The VXX IAV shall include

JKL.

include JKL.

Verification Location/ Venue CFAC: Contractor Ground/Flight

GAC: Government Ground/Flight

CRNG: Contractor Test Range

GRNG: Government Test Range

CSIL: Contractor SIL

GSIL: Government SIL

CNET: Contractor T&E Network

GNET: Government T&E Network

COTH: Contractor Other Facility

GOTH: Government Other Facility

NA: Not Applicable

Verification Article DWG: Drawing

DOC: Document

MS: Model/Simulation

LB: Lab/Bench

MJ: Mockup/Jig

AC: Aircraft Test Vehicle

NA: Not Applicable

Data Artifact Free-form field to enter actual or planned document, report, or drawing numbers. May be generic for proposal, but shall be specific for final verification.

Test

Aircraft

EDM-0

EDM-1

EDM-2

SDTA

NA

Proposal-Specific

Verification Matrix Template

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ICS Change Since Draft

• EMD SOW updated to require the Contractor to complete the necessary

Inter-Communications System (ICS) modifications, integration, and certifications to meet PBS and airworthiness certification requirements such that the MCS ICS can be used as a single ICS for the VXX IAV

• Performance-Based Specification updated, removing “INT” from ICS requirements

• MCS Technical Data Package updated to identify only the ICS vendor and product line

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MCS Technical Data Package Updates

• Re-allocated architecture to reduce components without a DO-

160/MIL-STD pedigree

– Removed components that were not part of Preliminary Design

Review (PDR) or did not fully encompass the part number to be procured

– Updated Component vendors and part numbers for correction/additional detail

• Added draft interface definition between MCS and Air Vehicle

• Updated MCS Architecture Descriptions and documents

• Added additional support hardware for CDU and LOS Radios

– Additional compatibility with In-Service Comms Design

– Removed 2nd CDU from cockpit, redundancy of Comms for

Pilot/CoPilot in Remote Control Unit (C-12561)

• Provided draft Installation Control Documents

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Section M - Technical Evaluation

Program and Schedule

• Program Management approach and schedule will be assessed to determine the extent to which the Offeror can perform the work required by the solicitation on schedule and within cost

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Section L

Technical Evaluation Flow

Section L Paragraphs/Evaluation Worksheets:

• 2.2.1 Program Execution

• 2.2.2 Integrated Master Schedule (IMS)

• 2.2.3 Systems Engineering Management Plan (SEMP)

• 2.2.4 Test and Evaluation Approach

• 2.2.5 Risk Assessment

• 2.2.6 Production, Manufacturing and Quality Assurance (QA) Approach

• 2.2.7 Software Development Approach

• 2.2.8 Security and Information Assurance (IA) Approach

• 2.2.9 Technology Maturity Self-Assessment (TMSA)

• 2.2.10 Subcontract Management

• 2.2.11 Depot Level Maintenance and Data Rights

• 2.2.12 Small Business Considerations

Program and Schedule

Sub-factor/Book B Para 2.2

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Technical Cross Reference Matrix

• Provided in Section L as guidance to Offerors

• Road map to RFP and proposal

• Shows relationship between the proposal instructions paragraphs and RFP requirements

• Use as is or revise as needed to better relate Offerors understanding of the program and guide the Government through the proposal

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Proposal Instruction Traceability

Cross Reference Matrix (CRM) - Excerpt

Section L – Proposal Instructions Paragraph

Performance

Based

Specification

(PBS)

EMD Statement of

Work (SOW)

Production

SOW

CLIN

Other RFP

Reference

Number Title Paragraph

2.0 Volume 2 - Technical All All All 0001, 0002, 0005, 0101 – 0109, 0201 - 0209, 0301 - 0309

Section L, Attachments 2-

2.1 Book A – VXX System Approach 3 - 3.10.9 and

all PBS

Appendices

(Section 3 only)

1, 1.2.2 1, 1.2, 1.2.3

- 1.2.3.2

See subparagraphs below

2.1.1 Overall System Description/Design 3 - 3.10.9 and

all PBS

Appendices

(Section 3 only)

1, 1.2.2 N/A 0001, 0002, 0005, 0103, 0203, 0303

Section L, Annexes A&B

2.1.2 Integrated Air Vehicle (IAV)

Performance

3.1.1.2, Appendix B

1, 1.2.2, 1.2.14 -

1.2.14.5, 1.7.6 -

1.7.7.6.2

1.2.8 –

1.2.8.3, 1.7.4

0001, 0002, 0006, 0104, 0204, 0304

2.1.3 Landing Zone Suitability 3.1.1.3.6 1, 1.2.2 N/A 0001, 0002

2.1.4 Transportability 3.1.1.4, 3.5.4 1.1.18 - 1.1.18.5 N/A 0001, 0002

2.1.4.1 Written Proposal 3.1.1.4, 3.5.4 1.1.18 - 1.1.18.5 N/A 0001, 0002

2.1.4.2 C-17 Transportability Load

Demonstration

3.1.1.4 1.1.18 - 1.1.18.5 N/A 0001, 0002 Section L, Annex C

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Section L Technical Volume

- General Guidance – (cont.)

• Throughout the Technical Volume, identify any capability, approach or feature that is being proposed as

– meeting an emphasis area objective(s) for increased performance/operations

– reducing risk with respect to the Performance Based Specification (PBS) requirements or other aspects of its approach

• Explain the benefits to the Government in technical terms and the degree of impact it will have to performance, operations and risk

• Note that it is the Government's desire to hold development to an absolute minimum and focus the program effort on integration of mature subsystems on a mature platform

– Therefore, Offerors should carefully consider whether the pursuit of exceeding threshold requirements warrants the additional cost and schedule (if any) required and provide justification for any trade-offs

• See Section M for the type of evaluation credit that will be considered

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Strengths

• Per Section L & M, Strengths can only be obtained by meeting the objective(s) in each of the following Technical Factor Emphasis Areas

– Integrated Air Vehicle Performance with Overall Weight Growth Margin

• One Strength for meeting PBS Appendix B Objective requirement of 500 lbs, while meeting threshold performance requirements (range HOGE, airspeed)

– C-17 Transportability Load/Unload Timeline

• One Strength, if and only if, both PBS Objective requirements of within 4 hrs inclusive of penalty time are met

– Cabin Reconfiguration Timeline

• One Strength for meeting PBS Objective requirement of 0-8 hrs

– Material Availability (Am)

• One Strength for meeting PBS Objective requirement of greater than or equal to 64.5%

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Strengths (cont.)

• Affects Technical Rating (Compliance)

– Strength(s) without a deficiency or uncertainty indicate a thorough (Good Rating) or exceptional

(Outstanding Rating) understanding and approach

• Section M: “The degree of benefit to the Government associated with a strength(s) will be considered in determining whether the Offeror’s approach and understanding of requirements rises to a level of being thorough or exceptional.”

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Uncertainties

• Uncertainty Definition: An aspect of the proposal that affects the Government’s ability to determine if a requirement will be met

• Affects Technical Rating (Compliance)

– Proposal is not adequate to allow a determination as to whether or not a requirement can be met and as such also does not demonstrate an adequate approach

– Results in a Marginal Rating

• Uncertainties Examples

– Critical information to enable the Government to determine if the requirement will or can be met is missing

– Inconsistencies in the proposal bring into question what is being proposed

• Uncertainties in the initial proposal will be addressed during Discussions

* Draft RFP Pages

91 & 95

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Deficiencies

• Deficiency Definition: “Deficiency” is a material failure of a proposal to meet a Government requirement or a combination of significant weaknesses in a proposal that increases the risk of unsuccessful contract performance to an unacceptable level

• Affects the Technical Rating (compliance) or both the

Technical Rating and the Technical Risk Rating (due to a combination of significant weaknesses)

– Section M: Failure to clearly address a specific area caused by a gross lack of information may be considered a combination of significant weaknesses and therefore a deficiency

• Results in an Unacceptable Technical Rating and makes the proposal unawardable

* Draft RFP Pages 91

& 95

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Deficiencies (cont.)

• Deficiency Examples

– Proposal states exception or deviation

– Approach is assessed to be unable to meet a requirement

– Gross lack of information resulting in the failure to clearly and positively address major part of the Technical factor

– Combination of weaknesses that raise the risk of performance to an unacceptable level

– The approach relies on Government resources or on requiring changes in operations not identified as available/allowed in order to comply with the requirement

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Technical Ratings

Rating Description

Blue Outstanding

Proposal meets requirements and indicates an exceptional approach and understanding of the requirements. The proposal contains multiple strengths and no deficiencies.

Purple Good

Proposal meets requirements and indicates a thorough approach and understanding of the requirements. Proposal contains at least one strength and no deficiencies.

Green Acceptable

Proposal meets requirements and indicates an adequate approach and understanding of the requirements. Proposal has no strengths or deficiencies.

Yellow Marginal

Proposal does not clearly meet requirements and has not demonstrated an adequate approach and understanding of the requirements.

Red Unacceptable Proposal does not meet requirements and contains one or more deficiencies and is unawardable.

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Risk Reducers

• Risk Reducer Definition: An aspect of an Offeror’s proposal that reduces risk in a way that will be advantageous to the Government during contract performance

• Affects Technical Risk Rating

– Provides risk reducing benefits to the Government that may mitigate weaknesses or further reduce the risk to performance/program

– Each risk reducer may provide different degrees of benefit, thereby affecting the risk rating differently

– Used to assess the risk associated with the proposed approach

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Risk Reducers

• Risk Reducers may be obtained with respect to the Performance

Based Specification as per Section M:

– “For Emphasis Area Requirements:

• Appreciably exceeding the threshold may be considered a risk reducer.

• Meeting the objective(s) will be considered a strength. No risk reducer will be assessed for meeting the objective(s) (the risk reducer for appreciably exceeding threshold goes away).

• If the objective(s) is appreciably exceeded, in addition to a strength, a risk reducer may be assigned.

– For Non-Emphasis Area Requirements:

• Exceeding or appreciably exceeding the threshold will not be considered a risk reducer.

• Meeting or exceeding an objective will be considered a risk reducer. No additional credit will be assessed for appreciably exceeding an objective.

• No strengths can be obtained in non-emphasis areas.”

• Risk reducers may also be obtained based on other aspects of the proposed approach

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Risk Reducers (cont.)

• Risk Reducer Examples

– Reducing risk with respect to the Performance Based Specification (PBS) requirements

• Appreciably exceeding a threshold requirement in an emphasis area providing performance margin

• Appreciably exceeding an objective in an emphasis area providing confidence in meeting the objective

• Meeting an objective in a non-emphasis area, reducing the risk to customer satisfaction and mission accomplishment

– Reducing risk with respect to other aspects (e.g. implementing aspects) of its approach

• Reduces proposal risk by providing more than sufficient resources in order to respond to unknown conditions/situations

• Reduces proposal risk by providing resources/capabilities that are in-place and ready to be used

• Reduces proposal risk by providing plans that reduce/mitigate risks inherent in the proposed approach and program

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Significant Weaknesses

• Significant Weakness Definition: A “Significant

Weakness” in the proposal is a flaw that appreciably increases the risk of unsuccessful contract performance.

• Affects Technical Risk Rating

– Provides an appreciable increase in risk to the Government

– Used to assess the risk associated with the proposed approach

– Each significant weakness may provide different degrees of impact, thereby affecting the risk rating differently based on the likelihood of occurrence and the consequences

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