Attachment_L-5 _Cost_Attachments.xlsx

CA-1 PWBS

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CRM-2 (-881 App B) RDTE

CRM-2 (-881 App B) OPN

CA-3 1921 (modified)

CA-4 1921-1 (modified)

CA-5 Substantiation (Blank)

*Cost Information shall be submitted in then year dollars (TY) based on the government's fiscal year (1 Oct through 30 Sept) with the escalation formula provided for each year

Recurring

Phasing Hours Phasing Dollars

Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Total Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Total

#1 Summary of Work/Technical Parameters

Summary of Estimating Methodology

Recurring

Detailed Estimating Methodology

#4 Cross Check of Estimate

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CA-5 Substantiation (Guide)

*Cost Information shall be submitted in then year dollars (TY) based on the government's fiscal year (1 Oct through 30 Sept) with the escalation formula provided for each year

Recurring

Phasing Hours Phasing Dollars

Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Total Year 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Total

#1 Summary of Work/Technical Parameters

Summary of Estimating Methodology

Recurring

Detailed Estimating Methodology

#4 Cross Check of Estimate

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The offeror shall provide an overview of the process used to develop the cost proposal. This will include, at the minimum, a summary of the approach used to estimate labor hours and a description of the process used to obtain vendor quotes for purchased equipment and/or material. It will also include a traceability matrix or table that shows the link between labor hours and material costs included in the cost summaries and those in the detailed labor and material sections. Similar information shall be provided to show traceability between the prime and subcontractor sections.

To support the proposal, the Offeror shall provide discussion of the pricing methodology to address why the Offerer's prosposed cost is realistic, including such factors as commonality with other programs, commercial sources, advantages of quantity buys, etc.

Provide a detailed cost estimating methodology that gives the detailed rationale and documentation of hours, material, and purchased items and describe the estimating technique in sufficient detail to enable the Government to replicate the Offeror's estimating technique. If parametric simulation or statistically derived models are used, statistical measures of confidence, prediction capability, and fit should be provided for independent and dependent variables, as well as the raw data and source(s) of this raw data.

Labor:

Data Substantiation is required, by CWBS element, for all prime and principal subcontractor costs and clearly described using CA-7 (this form).

This Section shall provide the substantition and estimating methodology of the labor hours presented. The total labor hours estimate for each CWBS element should trace to the lowest level of the functional categories of DD Form 1921-1 and the lowest level at which the estimate is substantiated. The overview of data substantiation in 5.3.1.2 - Summary of the Estimating Methodology (box above) should be traceable to this section.

For each CWBS element provide a description of the work to be performed, the total hours proposed, and the basis for the estimate and distinguish between recurring and nonrecurring efforts.

The Offeror should also provide a complete description of the labor hour estimating methodology. This also applies to company functional labor categories. If the engineering estimate was developed in person-months, the Offeror shall show conversion from person-months to person-hours. In addition, any cross checks used to verify the reasonableness of the estimate shall be provided (e.g.; drafting hours per drawing, software lines of code/day, minutes/component for board assembly; minutes/layer for board fabrication/ dollars per pound for fabrication and assembly, etc).

If standard hours are used as the basis for an estimate, provide any factors applied to the standard hours (i.e., realization factor); the method of calculation; the total proposed hours; the basis of the factors; and the process flows for each CWBS element. History from the manufacturing facility for previous contracts of similar types and quantities of systems should be provided for all factors. Hours for the functional labor categories should be shown separately according to CWBS element. A separate identification of recurring and nonrecurring labor standard should be made.

Material:

Data substantiation is required, by CWBS element, for all prime and principal subcontractor costs and clearly described using this form. This section shall provide the substantiation and estimating methodology of the material dollars presented in the Cost Summaries. The total material dollar estimate for each CWBS element should trace to the categories of DD Form 1921-1 and the lowest level at which the estimate is substantiated. The overview of data substantiation in the Summary of the Estimating Methodology section should be traceable to this section.

If learning curve theory is the basis for estimating unit costs, provide the formulation of the theory with all formulas, terms and exponents clearly defined. The substantiation should also include a discussion of the theoretical first unit values, any prior units, improvement slopes, and rate slopes if applicable.

Include actual material costs comprised of parts, devices, purchased products, etc. Includes vendor estimates, quotes, and pass through for parts and services. Detailed cost substantiation of vendor quotes or rough order magnitudes (ROMs) must be detailed here. The process of validating the ROM can be described here, and any cross check data point can be described in the following section. ‘Vendor quote’ alone as pricing substantiation is inadequate.

Provide historic direct costs and labor hours from Analogous program(s). Include information explaining what the project was and how it is applicable to the proposed program

Historical data from comparable or analogous systems/subsystems should be used to substantiate the Offeror's estimate where possible. When using historical cost data from comparable systems/subsystems, all assumptions affecting the Offeror's cost proposal are to be fully documented (e.g., escalation methodology, make or buy decision, etc.). A summary programmatic and technical description of the historical analogous system should be provided along with the actual cost data for the historical system, a comparison to the proposed system, and any adjustments made to derive the proposed estimate. The following shall be considered:

1) Programmatic description related to the acquisition aspects of any system identified by the Offeror as comparable/anlogous. This includes, for example, the years the item was procured, production rates, quantities procured by year and definition of system composition, sole source or competitive procurement, and the development time period.

2) Technical desciption including the performance and physical aspects of the system. This describes the system in terms of the number of parts, physical configuration, type of material, technology, and physical/performance parameters.

3) Actual cost data including the cost account, narrative description of the effort, and the actual cost data (material and person-hours). The cost data should be provided in terms of total direct cost dollars actually spent by fiscal year and unit cost.

4) When using historical data, the Offeror should describe why the system is comparable to the proposed program. This includes a functional and technical comparison explaining the differences as well as simillarities between the historical and the proposed system. Also include an explanation of the relationship between the analogous element cost and the total program cost. Where applicable, provide reference to the to the technical proposal showing this relationship.

5) Adjustments made to derive the proposal estimate. The Offers should provide reasons and justification for any adjustments made to programmatic, technical and actual cost data for the historical system. The Offeror should provide the basis and document any adjustments applied to the historical data (e.g., complexity factors and normalization methods), which reflect the characteristics of the proposed system. This includes an audit trail sufficient for the Government to reconstruct the proposed estimate and judge its credibility.

6) Material Factors and Quote Adjustments. Provide an explanation of and substantiation for any adjustment factor(s) applied to the material costs. This includes a definition of the factor, the method of application, detailed quantitative substantiation, and the factor. Examples of these factors include, but are not limited to, escalation, learning curves, quantity adjustments, negotiation adjustments, purchase discounts, freight, scrap, rework, and yield.

Any cross check data points should be described and should pertain to the estimate.

If Task Estimates are used as the methodology please provide cross check with the summary at the WBS level that provides WBS total hours, material dollars.

This form may be used as separate form for labor and one for material; or it may be used to discuss all 1921-1 categories on a single form. Also , if Task Estimates are used as the methodology please provide a summary at the WBS level that provides WBS total hours, material dollars.

Principal Subcontractors should use this form and provide the Prime WBS element into which the Subcontractor WBS cost belong.

The intent is to clearly understand how offerors got to their proposed direct hours/material costs before pricing them .

For Cost estimate. To be used as needed.

Use for WBS estimates that cover multiple FY's. Change heading as appropriate, e.g., 1st FY, etc.

Use to show phasing of multiple task oriented BOE's summarized at WBS level

If WBS is level of effort (LOE) or flat loaded, so state in narrative of estimating methodolgy vice filling out phasing box

Meant to be flexible and can be used as need toshow phasing Total Direct Cost; or Labor Hours and Dollars; and/or Material Direct Cost (e.g, delivery of units. Also , if Task Estimates are used as the methodology, can show the phasing of the summary at the WBS level that provides WBS total hours, material dollars.

Provide the Analogous historical direct costs . Detailed information is requested if known , for example, the 1921-1 categories from previous CSDR submittals on analogous historical programs.

Actual cost data is requested. The narrative below should include the cost account (if applicable), narrative description of the effort, and actual diorect cost data (material and labor hours).

This box should not contain any cost information. Rather, it should include a description of the technical work content for the identified WBS or Cost element only.

Provide programmatic description related to the acquisition aspects of system; and Technical desciption including the performance and physical aspects of the system. This describes the system in terms of the number of parts, physical configuration, type of material, technology, and physical/performance parameters.

For Cost estimate. To be used as needed.

Use for WBS estimates that cover multiple FY's. Change heading as appropriate, e.g., 1st FY, etc.

Use to show phasing of multiple task oriented BOE's summarized at WBS level

If WBS is level of effort (LOE) or flat loaded, so state in narrative of estimating methodolgy vice filling out phasing box

Meant to be flexible and can be used as need toshow phasing Total Direct Cost; or Labor Hours and Dollars; and/or Material Direct Cost (e.g, delivery of units. Also , if Task Estimates are used as the methodology, can show the phasing of the summary at the WBS level that provides WBS total hours, material dollars.

CA-6 SEPM

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CA-7 Skill Mix_Rates

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CA-8 GFE List

Base Year ____

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