attachment_1_revised_solicitation.docx

N00024-17-R-4314

Section B - Supplies or Services and Prices

CLIN Number 0001

USS BOISE (SSN 764) Planning Plan for the accomplishment of maintenance, repair, alterations, testing, and routine work on USS BOISE (SSN 764) during its scheduled FY18 Engineered Overhaul (EOH) in accordance with the Statement of Work (SOW) described in Section C. Cost-Plus-Fixed-Fee Completion.

FOB: Destination

CPFF

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0002

Data NOT SEPERATELY PRICED (NSP). Submit Data for Item 0001 (and, if options are exercised, Items 0003, 0004, 0005, 0006, 0007, 0008, 0009, 0010, 0011 and 0012). Price to be included in price of Item 0001 (and, if options are exercised Items 0003, 0004, 0005, 0006, 0007, 0008, 0009, 0010, 0011 and 0012)

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0003

Accomplish the planning for new work, additional work items resulting from either contractor or government proposed changes to the USS BOISE (SSN 764) work package in accordance with the SOW described in Section C.

Requirements in excess will be subject to separate contractual action. Planning for New work will be defined, and funded as it is identified and funded with current year funds, as required. The Cost-Plus-Fixed-Fee Level-of-Effort (CPFF LOE) value is inclusive of 1,000 MDs associated with new work planning. See Note A and B

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0004

The contractor shall Accomplish necessary production work and ALL common execution services for the maintenance, repair, alterations, testing, and routine work on USS BOISE (SSN 764) during its scheduled FY18 EOH in accordance with the SOW described in Section C. See Notes B, and C.

FFP

NET AMT

CLIN Number 0004AA

The contractor shall accomplish Dry Docking and Lay Day Services in accordance with the statement of work

NET AMT

CLIN Number 0004AB

The contractor shall Accomplish necessary production work and ALL Common the execution services for the maintenance, repair, alterations, testing, and routine work on USS BOISE (SSN 764) during its scheduled FY18 EOH in accordance with the SOW described in Section C. See Notes B, and C.

NET AMT

CLIN Number 0005

Accomplish the execution of maintenance, repair, testing and routine work that includes growth work to fully execute the submarine maintenance standards (SMSs) on the USS BOISE (SSN 764) during its scheduled FY18 EOH in accordance with the SOW in Section C.

The total effort authorized is 125,000 man-days (MDs). Cost-Plus-Fixed-Fee Level-of-Effort. See Note B and D.

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0005AA

The contractor shall provide Production efforts in support of the Dry Docking and Lay Day Services

The total effort authorized is TBD man-days (MDs). Cost-Plus-Fixed-Fee Level-of-Effort. See Note B and D.

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0005AB

Accomplish the execution of maintenance, repair, testing and routine work that includes growth work to fully execute the submarine maintenance standards (SMSs) on the USS BOISE (SSN 764) during its scheduled FY18 EOH in accordance with the SOW in Section C.

The total effort authorized is TBD man-days (MDs). Cost-Plus-Fixed-Fee Level-of-Effort. See Note B and D.

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0006

Accomplish new work during execution period, additional work items resulting from either contractor or government proposed changes to the USS BOISE (SSN 764) work package in accordance with the SOW described in Section C.

Requirements in excess will be subject to separate contractual action. New work will be defined, and funded as it is identified and funded with current year funds, as required. The Cost-Plus-Fixed-Fee Level-of-Efforts (CPFF LOE) value is inclusive of 25,000 MDs associated with new work planning. See Note B and E

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0007

Accomplish the total effort for planning and execution of Non-Nuclear Program Alterations, including labor, non-labor and unique services to specific alterations on USS BOISE (SSN 764) during its scheduled FY18 Engineered Overhaul (EOH) in accordance with the SOW described in Section C.

The total effort authorized is 400 MDs for alterations, non-labor and effort. Requirements in excess of 400 MDs will be authorized as a separate contractual action. Cost plus Fixed Fee Level of efforts. See Note B

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0008

Accomplish the total effort for planning and execution of Nuclear Program Alterations, including labor, non-labor and unique services to specific alterations on USS BOISE (SSN 764) during its scheduled FY18 Engineered Overhaul (EOH) in accordance with the SOW described in Section C.

The total effort authorized is 8,000 MDs for alterations, non-labor and efforts. Requirements in excess of 8,000 MDs will be authorized as a separate contractual action. Cost plus Fixed Fee Level of Efforts. See Note B

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0009

Accomplish the total effort in support of the Ship Alterations being accomplished by the Alteration Installation Teams (AITs)/Customer Contracted Teams (CCTs). The service requirements will be specified by an AIT provided service request, Lead Maintenance Activity (LMA) SOW, or a division of responsibilities document for each alteration or group of alterations. AIT/CCT Support Requirements Checklists will be provided to define the AIT support service requirements.

The total effort authorized is 400 MDs for AIT non-labor and services. Requirements in excess of 400 MDs will be authorized as a separate contractual action. Cost plus Fixed Fee Level of efforts. See Note B

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0010

Accomplish the total effort in support of the Ship Alterations being accomplished by the Alteration Installation Teams (AITs)/Customer Contracted Teams (CCTs). The service requirements will be specified by an AIT provided service request, Lead Maintenance Activity (LMA) SOW, or a division of responsibilities document for each alteration or group of alterations. AIT/CCT Support Requirements Checklists will be provided to define the AIT support service requirements.

The total effort authorized is 50 MDs for AIT non-labor and services. Requirements in excess of 50 MDs will be authorized as a separate contractual action. Cost plus Fixed Fee Level of efforts. See Note B

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0011

As detailed in the below Priced SLINs.

Cost-Plus-Fixed-Fee Completion. See Note B

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0011AA

To be accomplished during the planning period of the contract Accomplish NAVSEA S0570-AC-CCM-010/8010 Fire Prevention Requirements in accordance with the SOW. See Note B Cost-Plus-Fixed-Fee Completion.

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0011AB

To be accomplished during the execution period of the contract Accomplish NAVSEA S0570-AC-CCM-010/8010 Fire Prevention Requirements in accordance with the SOW. See Note B Cost-Plus-Fixed-Fee Completion.

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0012

USS Boise Alteration SWLIN 828E16 USS BOISE Ship Alteration SSN 4231K SWLIN 828E16 Accomplish the freeze seal and support services of USS BOISE Ship Alteration during an early waterborne nesting period preceding its Engineered Overhaul in accordance with the SOW described in Section C.

The total effort authorized is 16,000 MDs for all work to be accomplished for the SWLIN. Cost plus Fixed Fee Level of Efforts. See Note F.

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0012AA

Planning of Freeze seal and support serv Planning of the freeze seal and support services for Ship Alteration SSN 4231K SWLIN 828E16 in accordance with the SOW described in Section C.

The total effort authorized is 4,000 MDs for planning efforts for the SWLIN. Cost plus Fixed Fee Level of Efforts. See Note F.

FOB: Destination

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

CLIN Number 0012AB

Execution of the freeze seal and support services for Ship Alteration SSN 4231K SWLIN 828E16 in accordance with the SOW described in Section C.

The total effort authorized is 12,000 MDs for planning efforts for the SWLIN. Cost plus Fixed Fee Level of Efforts. See Notes B and F

ESTIMATED COST

FIXED FEE

TOTAL EST COST + FEE

PRICING SUMMARY CHART

Table A. PRICING SUMMARY CHART

CPFF/LOE

8,000

16,000

Total

SECTION B

SCHEDULE B – NOTES

NOTE A –The planning of new work identified after contract award, prior to the start of the availability, will be contracted under a cost-reimbursement level-of-effort (LOE) option that the Administrative Contracting Officer (ACO) will exercise. Planning of new work is specifically determined by the respective Naval Supervising Authority (NSA) and approved by SUBLANT. Planning of new work is defined as additional planning work items that were not previously a part of the scope of work under CLIN 0001. As new work planning is authorized, it shall be incorporated into the EOH AWP and performed under CLIN 0003. Labor cost for the planning of new work shall be calculated on the basis of the fully burdened manday (MD) rate. Planning of New work, as defined above, is to be performed by the contractor under the provisions of the Cost-Plus-Fixed-Fee Level-of-Effort (LOE) amount of 1,000 MDs for CLIN 0003 without any delay in delivery of the completed vessel, unless the contractor demonstrates, prior to authorization of such planning for new work, based on a critical path analysis, that the addition of the new work will delay completion of the availability. If an increase to the established ceiling value of CLIN 0003 is required, the fully burdened MD rate will be utilized to upwardly adjust the LOE ceiling value. The fully burdened MD rate is: To be filled in by the offeror.

NOTE B - This contract contains options to which the option clause in Section I applies and which are supplied only if, and to the extent, said options are exercised. The Government may at any time, on or before the date specified in the Section I clause FAR clause 52.217-9 entitled “OPTION TO EXTEND THE TERM OF THE CONTRACT (MAR 2000) (NAVSEA VARIATION) (APR 2015),” require the contractor to accomplish an option item(s) for delivery at the time, place, and price set forth herein. These options shall be exercised, if at all, by written or telegraphic notices signed by the Administrative Contracting Officer and sent within the option period(s) specified.

NOTE C - MDs for any additional execution duration may result in an increase in the contract price, pursuant to FAR Clause 52.243-1 entitled “CHANGES –FIXED PRICE”. The contractor shall evaluate the impact of additional execution work to the IMS by critical path analysis, and notify the government of any potential delay to schedule. The fully burdened MD rate is: To be filled in by the offeror

NOTE D – Growth work is defined as additional work items resulting from performance of maintenance, modernization, or repair (e.g. open and inspect requirements, testing, or production & growth from execution of repair actions to successfully restore each system and component to full readiness) related to CLIN 0005 production work, as defined in Section C. Growth work is authorized as baseline work within scope, and is to be performed by the contractor under the provisions of the Cost Plus Fixed Fee, Level-of-Effort (LOE) amount of 500 MDs for CLIN 0005AA and 124,500MDs for CLIN 0005AB. All production & growth over and above that identified herein will be processed in accordance with the FAR Clause 52.243-2 entitled “CHANGES – COST REIMBURSEMENT;” however, labor cost for such production & growth shall be calculated on the basis of the fully burdened MD rate(s) as defined herein, as applicable. The term “authorized as baseline work" refers to completion of all efforts required to prepare, open, inspect, troubleshoot, repair, test, restore, and certify each Ship Work Line Item Number (SWLIN) work item in CLIN 0005, including growth work. The fully burdened MD rate is: To be filled in by the offeror

NOTE E - This CLIN shall be utilized to accomplish planning and execution of all new work items identified after availability start. New Work is defined as additional work items resulting from either contractor or government proposed changes to the baseline AWP. New work will be contracted under a cost reimbursement level-of-effort option that the ACO will exercise as new work is specifically determined by the respective NSA and approved by SUBLANT. If requested by the Government, the contractor shall submit a Rough Order of Magnitude (ROM) to the ACO, which provides the MDs it will take to accomplish the new work item. If the government concurs, the new work item shall be incorporated into the EOH AWP and funded and approved under CLIN 0006. The Government will use the accepted MDs contained within the ROM to provide funding for each new work item and to monitor performance in the completion of the work authorized herein. Labor cost for such new work shall be calculated on the basis of the fully burdened MD rate. New work, as defined above, is to be performed by the contractor under the provisions of the Cost-Plus-Fixed-Fee Level-of-Effort (LOE) amount of 25,000 MDs for CLIN 0006 without any delay in delivery of the completed vessel, unless the contractor demonstrates, prior to authorization of such new work, based on a critical path analysis, that the addition of the new work will delay completion of the availability. If an increase to the established ceiling value of CLIN 0006 is required, the fully burdened MD rate will be utilized to upwardly adjust the LOE ceiling value. The fully burdened MD rate is: To be filled in by the offeror

NOTE F –This CLIN is to provide freeze seal and support services for the accomplishment of Nuclear Ship SSN 4231K SWLIN 828E16, if exercised, it is to be performed by the contractor under the provision of the Cost-Plus-Fixed-Fee-Level-of-Effort (LOE) amount of 16,000 MDs for CLIN 0012. If an increase to the established ceiling value of CLIN 0012 is required, the fully burdened MD rate will be utilized to upwardly adjust the LOE ceiling value. The fully burdened MD rate for 0012AA is: To be filled in by the offeror. The fully burdened MD rate for 0012AB is: To be filled in by the offeror.

TECHNICAL CONSIDERATIONS

1. All schedule and planning for changes to the AWP and new work, regardless of maintenance activity performing the work, must be integrated and tracked into the IMS. Consideration may be given on a case-by-case basis if a government activity does not meet schedule commitments (i.e. supply detailed schedules).

2. All maintenance activities (i.e. Ship’s Force (SF), Naval Submarine Support Facility (NSSF), Naval Shipyard (NSY), Alteration Installation Teams (AITs), etc.) will be available as required to support development of the IMS. All maintenance activities will supply their work items and/or schedules to the contractor prior to A-90 days.

3. The contractor shall provide IMS and test plan in Microsoft Project format for all Contract Data Requirements List (CDRL) in accordance with Exhibit A.

4. It is intended that all Government activities work schedules fit into the established docking period and original availability schedule. In the event such Government activities work schedules do not fit into the established docking period and original availability schedule, adjustment may be given on a case-by-case basis, in accordance with the changes clause of this contract.

5. All MDs and material costs will be reported at the completion of the planning period and at the completion of the availability, as required by Exhibit A.

6. Baseline values for special incentive fees will be adjusted for equitable or other adjustments permissible under the terms and conditions of the contract.

SPECIAL INCENTIVES

The ability to maintain a submarine availability within schedule is paramount to maintaining the Navy’s operating fleet. In order to attain this goal, it is in the government’s best interest to incentivize increasingly more efficient contractor performance, and to reward contractor efforts that substantially contribute to obtaining superior performance, within schedule. Table B “Special Incentive” provides the special incentive percentage amount that is available to be earned by CLIN.

Table B Special Incentives

A) Issuance of Detailed Work Planning Documents (CLIN 0001) This special incentive requires the Contractor to complete initial issuance of detailed work planning documents (e.g. Technical Work Documents, Inspection Reports), associated with availability planning and execution, as defined in paragraphs ‘a’ through ‘c’ below. This incentive will be 1% of the fee available to be earned against the total cost established under CLIN 0001.

Detailed work planning documents are written for each job in the AWP. There are multiple detailed work planning documents for each job including work and inspection phases (i.e. TGIs coded “S”, “U”, “I”, “A”, “H” and “R”). Testing documents (i.e. “T” phase TGIs) are typically not prepared prior to the start of the availability and are not to be included in this incentive.

The Contractor shall develop a Master List of all required detailed work planning documents for the USS BOISE (SSN 764) EOH based upon the AWP referenced in Section C “SPECIFICATIONS” which provides the work requirements including service/support detailed work planning documents for Alteration Installation Teams (AITs). The Master List of required detailed work planning documents shall be in accordance with CDRL A001.

The initial issuance of the Master List of all Required Detailed Work Planning Documents (for incentive purposes) is due 60 days after award. The Government shall have 15 days to review and accept the initial detailed master list of detailed planning documents. If the Government advises the contractor of any deficiencies or corrective actions, the contractor shall have 15 days to correct deficiencies found in the master list of detailed work planning documents. The finalized detailed master list incorporating the Government corrections shall be used as a baseline for the Contractor’s planners to develop individual detail work planning documents and the evaluation of the special incentive. Early completion of the detailed work planning documents is critical to avoiding potential impact to cost and/or schedule during conduct of the availability. The contractor is required to update the Master List with any subsequent, contractually authorized SUBMEPP AWP updates (i.e. Final Planning Meeting Issue).

This special incentive shall be earned by the Contractor for fulfillment of the following:

a. The full 100%, of this special incentive shall be paid if 95% or more of the required detailed work planning documents (excluding test documents) are issued for work at the completion of the planning in accordance with the USS BOISE (SSN 764) EOH AWP. The special incentive date is the start of execution of the availability. The Contractor will not receive a special incentive for less than 95% issuance.

b. Within 30 business days after the completion of the planning, the Contractor shall provide documentation to the SUPSHIP that includes: 1) a letter indicating the percentage of detailed work planning documents (excluding test documents) issued for USS BOISE (SSN 764) EOH at the start of execution, 2) the master listing of detailed work planning documents (excluding test documents) required prior to USS BOISE (SSN 764) EOH execution – with Actual and Estimated detailed work planning documents issue dates, and 3) identification of any issues of concern related to detailed work planning documents development (excluding test documents) for the USS BOISE (SSN 764) EOH execution. This documentation shall include the number and percentage of required detailed work planning documents (excluding test documents) issued for USS BOISE (SSN 764) EOH at the start of execution, the number and percentage of detailed work planning documents (excluding test documents) still in development at the start of the USS BOISE (SSN 764) EOH execution, and the Contractor’s self-assessment of performance under this special incentive.

c. It should be noted that any changes beyond the AWP referenced in section C “SPECIFICATIONS” will be excluded from the special incentive determination. The finalized master list of detailed work planning documents incorporating the Government corrections shall be used as the baseline for the Contractor’s planners to develop individual detailed work planning documents and the evaluation of the incentive.

B) Opening, Inspecting and Reporting Requirements (CLIN 0004) This incentive ensures that the Contractor performs all open, inspect and report requirements early enough in the availability to identify unknowns or unexpected problems which could potentially impact cost and/or schedule. This incentive will be an additional 1% of the profit available to be earned against the total cost established under CLIN 0004. This incentive may be earned by the Contractor for fulfillment of the following:

The incentive fee date is defined XX Month 20XX (To be filled in by the offeror)

The full amount of this incentive may be earned for completion of all (100%) open, inspect and reporting requirements for items listed on the USS BOISE (SSN 764) EOH OPEN AND INSPECT PLAN, if accomplished on or before the date identified as the incentive fee date above. The Open and Inspect Plan (CDRL A017) shall be developed by the Contractor and submitted to the SUPSHIP for approval by the Government prior to A-1 Month, and include specific document numbers and completion dates that reflect accomplishment. Within five (5) business days of completing an open and inspect item, a report and procedures as agreed upon between the SUPSHIP and Contractor, should be generated and submitted to the NSA in accordance with CDRL A017.

C) Milestone Schedule (CLIN 0004AB) Submarine maintenance and modernization is required at prescribed intervals within the life cycle of a submarine to sustain its safety and tactical integrity for extended periods of deployment. Submarine maintenance and modernization is directly related to ensuring the safety of the crew. The goal of this availability is to complete the work required within the AWP and return the ship back to the Fleet so that the submarine can perform assigned missions and continue to be an operating asset to the Navy.

The nature of submarine repair realizes a certain amount of normal and usual repair work within the basic contract. In addition, growth and new work will come from open and inspect requirements. This should be assumed in planning the execution of the availability. Since the Contractor is an expert in the accomplishment of submarine maintenance, they should be knowledgeable in the expectations of growth work, including contingent repairs. This is required to ensure the Government will have all repairs and modernization completed as quickly and as accurately as possible.

The Contractor’s performance will be evaluated by the reviewing official at two separate milestones:

(1) Undock (SWLINS 100-700 and 800 at 94% completion), as specified in the approved contractor milestone schedule by contractor fill in.

(2) Start of Fast Cruise, as specified in the approved contractor milestone schedule by contractor fill in.

Planned Chief of Naval Operations (CNO) Schedule: 9 January 2019 through 9 February 2021 (25 months)

D) Prompt Proposals for Production and New Work (CLIN 0006) As required by DFARS 217.7404-6, the profit/fee for any undefinitized contract action negotiated after a substantial portion of the required performance has been completed shall reflect the reduced cost risk to the Contractor for costs incurred during contract performance before negotiation of the final price and the Contractor's reduced cost risk for costs incurred during performance of the remainder of the contract. The timely negotiation of undefinitized contract actions requires timely receipt of qualifying proposals. Consequently, the profit/fee allowed for undefinitized contract actions for which qualifying proposals are not received within 30 days of the authorization of the undefinitized contract action shall be reduced by 1%.

Proposal requirements to determine if a proposal is qualifying are detailed in FAR Part 15 Table 15-2, FAR 15.408. The definition of undefinitized contract action is found at DFARS 217.7401. The ACO will make a determination if a proposal is qualifying within 10 calendar days after proposal receipt.

E) Cost Efficiency Determination (CLIN 0005) Quarterly during availability execution the Contractor shall provide a Cumulative Cost Performance Index (CPI) for execution of production & growth work MDs in CLIN 0005. The aggregate average of quarterly CPIs at completion of the availability shall be greater than or equal to 0.9. For every actual index point (0.1) below 0.9, the CLIN 0005 base profit will be reduced by a half of one percent (0.5%).

INCENTIVE DETERMINATION PROCEDURES

No later than 30 days after completion of the availability, the Contractor shall provide its SUPSHIP ACO with a written self-assessment of its performance under each specific area of emphasis within these performance incentives. This report shall be of sufficient detail to allow the government’s review of each area. It will identify all items in the AWP, as well as contract change orders that are applicable to these performance incentives.

Within 30 business days of receipt of the contractor’s self-assessment, the reviewing officials will make a determination of whether the contactor has earned any or all of the performance incentives and will provide the Procuring Contracting Officer (PCO) and SUPSHIP ACO notification as to the contractor’s performance. After receipt of the reviewing official’s notification, a unilateral modification will be issued providing the earned Special Incentives.

FINALITY OF INCENTIVE OFFICIAL’S DETERMINATION

The parties agree that determinations of the reviewing officials and the Procuring Contracting Officer (PCO), with respect to the amount of special incentives to be paid to the Contractor, is a unilateral decision made solely at the discretion of the Government.

The Incentive Determination Official for the USS Boise (SSN 764) EOH will be the ACO.

PAYMENT OF INCENTIVE

The Contractor will be paid the incentive amounts earned upon the receipt of an executed contract modification awarding the special incentive and submittal of the proper invoice to the cognizant payment office. The Contractor’s invoice shall show the amount of special performance incentive payable by the contract line item. The invoice must cite the appropriate accounting data in order for payment to be effected.

CLAUSES INCORPORATED BY FULL TEXT

HQ B-2-0023 CONTRACT SUMMARY FOR PAYMENT OFFICE (COST/FIXED PRICE) (FEB 1997)

This contract includes the following mixture of cost reimbursement and fixed price line items:

Item Type

0001 CPFF/COMP

0003 CPFF LOE

0004 FFP

0004AA FFP

0004AB FFP

0005 CPFF LOE

0005AA CPFF LOE

0005AB CPFF LOE

0006 CPFF LOE

0007 CPFF LOE

0008 CPFF LOE

0009 CPFF LOE

0010 CPFF LOE

0011 CPFF/COMP

0012 CPFF/LOE

0012AA CPFF/LOE

0012AB CPFF/LOE

HQ B-2-0004 EXPEDITING CONTRACT CLOSEOUT (NAVSEA) (DEC 1995)

(a) As part of the negotiated fixed price or total estimated amount of this contact, both the Government and the Contractor have agreed to waive any entitlement that otherwise might accrue to either party in any residual dollar amount of $500 or less at the time of final contract closeout. The term “residual dollar amount” shall include all money that would otherwise be owed to either party at the end of the contract, except that, amounts connected in any way with taxation, allegations of fraud and/or antitrust violations shall be excluded. For purposes of determining residual dollar amounts, offsets of money owed by one party against money that would otherwise be paid by that party may be considered to the extent permitted by law.

(b) This agreement to waive entitlement to residual dollar amounts has been considered by both parties. It is agreed that the administrative costs for either party associated with collecting such small dollar amounts could exceed the amount to be recovered.

HQ B-2-0008 LIMITATIONS ON INDIRECT COST RATES (NAVSEA) (OCT 1990)

(a) Pursuant to FAR 42.707, an indirect cost rate ceiling is incorporated into the contract. "Indirect cost" is defined as set forth at FAR 31.001 and 31.203. "Indirect cost rate" is defined as set forth at FAR 42.701.

(b) Notwithstanding the clause of this contract entitled "ALLOWABLE COST AND PAYMENT" (FAR 52.216-7), the allowable indirect cost under this contract shall be obtained by applying limitations on indirect cost rates to bases agreed upon by the parties, as specified below.

(c) Allowability of costs and acceptability of cost allocation methods shall be determined in accordance with FAR Subpart 31.2 in effect on the date of this contract, as limited by the indirect cost rates established by this requirement.

(d) For the first three Contractor fiscal years, the indirect cost rates contained in the Contractor's accepted contract proposal shall be incorporated into the contract schedule as limitations on indirect cost rates for each Contractor fiscal year of contract performance. The bases to which the indirect cost rates apply shall be those contained in the Contractor's accepted contract proposal and hereby, incorporated into the contract schedule, in accordance with the Contractor's accounting system upon which its proposal was based.

(e) After the first three Contractor fiscal years, the Contracting Officer and Contractor shall negotiate the limitations on indirect cost rates for subsequent Contractor fiscal years (unless the parties agree to a different period) and execute a written indirect cost rate limitation agreement setting forth the results. The agreement shall specify (1) the agreed-upon indirect cost rates, (2) the bases to which the rates apply, (3) the fiscal year (unless the parties agree to a different period) for which the rate applies, and (4) the specific items treated as direct costs or any change in the items previously agreed to be direct costs. The agreement is incorporated into this contract upon execution.

(f) Pending establishment of indirect cost rates for any subsequent Contractor fiscal year (or other period agreed to by the parties), the Contractor shall be reimbursed either at the rates fixed for the previous fiscal year or at billing rates acceptable to the Contracting Officer, subject to appropriate adjustment when the final indirect cost rates for that period are established.

(g) The Government will not be obligated to pay any additional amount should any final indirect cost rates for any Contractor fiscal year (or for any different period agreed to by the parties) after the first three fiscal years) of contract performance exceed the indirect rates incorporated into the contract schedule. In the event any of the Contractor's final indirect cost rates are less than the indirect cost rates incorporated into the contract schedule, the incorporated rates shall be reduced to conform with the lower rates.

(h) The limitations on indirect cost rate shall not change any monetary ceiling, contract obligation, or specific cost allowance or disallowance provided for in this contract. If facilities capital cost of money is proposed as an allowable cost, the rates proposed shall be subject to the limitations imposed by this requirement.

(i) The limitations on the indirect cost rate shall apply to all work performed under the contract, and to all change orders and supplemental agreements, including changes due to growth, supplemental, emergent and new work.

(j) Notwithstanding any of the terms of this requirement, should the Contractor initiate a change to its accounting systems which would alter the composition of any overhead base or pool effected by this requirement, the Contracting Officer and Contractor shall negotiate to determine the rate ceilings to be applied to the new overhead pools, provided that no agreement shall be made which would increase the costs paid by the United States under this contract.

(k) The limitation on indirect cost rates specified in the Contractor's cost proposal shall be the rates used to compute the costs in the Contractor's cost proposal upon which the award is based.

HQ B-2-0014 PAYMENTS OF FEE (S) (COMPLETION) (NAVSEA) (MAY 1993)

(a) For purposes of this contract, "fee" means "target fee" in cost-plus-incentive-fee type contracts, "base fee" in cost-plus-award-fee type contracts, "fixed fee" in cost-plus-fixed-fee type contracts for completion and phase type contracts.

(b) The Government shall make payments to the Contractor, subject to and in accordance with the clause in this contract entitled "FIXED FEE" (FAR 52.216-8) or "INCENTIVE FEE", (FAR 52.216-10), as applicable. Such payments shall be equal to TBD percent (TBD%) of the allowable cost of each invoice submitted by and payable to the Contractor pursuant to the clause of this contract entitled "ALLOWABLE COST AND PAYMENT" (FAR 52.216-7), subject to the withholding terms and conditions of the "FIXED FEE" or "INCENTIVE FEE" clause, as applicable (percentage of fee is based on fee dollars divided by estimated cost dollars, including facilities capital cost of money). Total fee(s) paid to the Contractor shall not exceed the fee amount(s) set forth in this contract.

(c) In the event of discontinuance of the work under this contract, or any specified phase of the contract, in accordance with the clause of this contract entitled "LIMITATION OF FUNDS" (FAR 52.232-22) or "LIMITATION OF COST" (FAR 52.232-20), as applicable, the fee shall be equitably adjusted by mutual agreement to reflect the diminution of work. If the adjusted fee is less than the sum of all fee payments made to the Contractor under this contract, the Contractor shall repay the excess amount to the Government. If the adjusted fee exceeds all payments made to the Contractor under this contract, the Contractor shall be paid the additional amount, subject to the availability of funds. In no event shall the Government be required to pay the Contractor any amount in excess of the funds obligated under this contract at the time of the discontinuance of work.

(d) Fee(s) withheld pursuant to the terms and conditions of this contract shall not be paid until the contract has been modified to reduce the fee(s) in accordance with paragraph (c) above, or until the Procuring Contracting Officer has advised the paying office in writing that no fee adjustment is required.

HQ B-2-0015 PAYMENTS OF FEE(S) (LEVEL OF EFFORT) (NAVSEA) (MAY 1993)

(a) For purposes of this contract, "fee" means "target fee" in cost-plus-incentive-fee type contracts, "base fee" in cost-plus-award-fee type contracts, or "fixed fee" in cost-plus-fixed-fee type contracts for level of effort type contracts.

(b) The Government shall make payments to the Contractor, subject to and in accordance with the clause in this contract entitled "FIXED FEE" (FAR 52.216-8) or "INCENTIVE FEE", (FAR 52.216-10), as applicable. Such payments shall be equal to TBD percent (TBD%) of the allowable cost of each invoice submitted by and payable to the Contractor pursuant to the clause of this contract entitled "ALLOWABLE COST AND PAYMENT" (FAR 52.216-7), subject to the withholding terms and conditions of the "FIXED FEE" or "INCENTIVE FEE" clause, as applicable (percentage of fee is based on fee dollars divided by estimated cost dollars, including facilities capital cost of money) Total fee(s) paid to the Contractor shall not exceed the fee amount(s) set forth in this contract.

(c) The fee(s) specified in SECTION B, and payment thereof, is subject to adjustment pursuant to paragraph (g) of the special contract requirement entitled "LEVEL OF EFFORT." If the fee(s) is reduced and the reduced fee(s) is less than the sum of all fee payments made to the Contractor under this contract, the Contractor shall repay the excess amount to the Government. If the final adjusted fee exceeds all fee payments made to the contractor under this contract, the Contractor shall be paid the additional amount, subject to the availability of funds. In no event shall the Government be required to pay the Contractor any amount in excess of the funds obligated under this contract at the time of the discontinuance of work.

(d) Fee(s) withheld pursuant to the terms and conditions of this contract shall not be paid until the contract has been modified to reduce the fee(s) in accordance with the "LEVEL OF EFFORT" special contract requirement, or until the Procuring Contracting Officer has advised the paying office in writing that no fee adjustment is required.

HQ B-2-0017 REFUNDS (SPARES AND SUPPORT EQUIPMENT) (NAVSEA) (SEP 1990)

(a) In the event that the price of a spare part or item of support equipment delivered under this contract significantly exceeds its intrinsic value, the Contractor agrees to refund the difference. Refunds will only be made for the difference between the intrinsic value of the item at the time an agreement on price was reached and the contract price. Refunds will not be made to recoup the amount of cost decreases that occur over time due to productivity gains (beyond economic purchase quantity considerations) or changes in market conditions.

(b) For purposes of this requirement, the intrinsic value of an item is defined as follows:

(1) If the item is one which is sold or is substantially similar or functionally equivalent to one that is sold in substantial quantities to the general public, intrinsic value is the established catalog or market price, plus the value of any unique requirements, including delivery terms, inspection, packaging, or labeling.

(2) If there is no comparable item sold in substantial quantities to the general public, intrinsic value is defined as the price an individual would expect to pay for the item based upon an economic purchase quantity as defined in FAR 52.207-4, plus the value of any unique requirements, including delivery terms, inspection, packaging or labeling.

(c) At any time up to two years after delivery of a spare part or item of support equipment, the Contracting Officer may notify the Contractor that based on all information available at the time of the notice, the price of the part or item apparently exceeds its intrinsic value.

(d) If notified in accordance with paragraph (c) above, the Contractor agrees to enter into good faith negotiations with the Government to determine if, and in what amount, the Government is entitled to a refund.

(e) If agreement pursuant to paragraph (d) above cannot be reached, and the Navy's return of the new or unused item to the Contractor is practical, the Navy, subject to the Contractor's agreement, may elect to return the item to the Contractor. Upon return of the item to its original point of Government acceptance, the Contractor shall refund in full the price paid. If no agreement pursuant to paragraph (d) above is reached, and return of the item by the Navy is impractical, the Contracting Officer may, with the approval of the Head of the Contracting Activity, issue a Contracting Officer's final decision on the matter, subject to Contractor appeal as provided in the "DISPUTES" clause (FAR 52.233-1).

(f) The Contractor will make refunds, as required under this requirement, in accordance with instructions from the Contracting Officer.

(g) The Contractor shall not be liable for a refund if the Contractor advised the Contracting Officer in a timely manner that the price it would propose for a spare part or item of support equipment exceeded its intrinsic value, and with such advice, specified the estimated proposed price, the estimated intrinsic value and known alternative sources or item, if any, that can meet the requirement.

(h) This requirement does not apply to any spare parts or items of support equipment whose price is determined through adequate price competition. This requirement also does not apply to any spare part or item of support equipment with a unit price in excess of $100,000; or in excess of $25,000 if the Contractor submitted, and certified the currency, accuracy and completeness of, cost or pricing data applicable to the item.

Section C - Descriptions and Specifications

STATEMENT OF WORK

Section C - Descriptions and Specifications

It is understood and agreed that the contract awarded pursuant to this solicitation, including all Exhibits, Attachments, and other documents and clauses expressly incorporated by reference therein, shall constitute the entire agreement between the parties for the performance of the work described in the contract, not withstanding, any extraneous information to the contrary, including but not limited to, statements and/or assumptions in the contractor’s proposal, proposal cover letters, Bidder’s questions, or any other pre-award correspondence between the parties.

USS BOISE (SSN 764) Engineered Overhaul (EOH)

Item 0001 – This is a cost plus fixed fee completion CLIN. In accordance with the specifications, the AWP, and the requirements set forth herein, the Contractor shall accomplish completion of all planning, preparation, and travel efforts for all maintenance and modernization, which includes but not limited to, the following: preliminary shipyard work services, trade work document development and issue, design studies, audit plans, reports, risk assessments, engineering, material procurement and pre-fabrication, logistics, ship checks, pre-availability testing (PATs) and pre-overhaul testing (POTs), work planning meeting and Integrated Project Team Development (IPTD) participation, and work planning documents development (e.g. Technical Work Documents, Inspection Reports), develop the IMS to include all AWP work efforts, all alterations, and outside contracted work efforts (e.g. AIT), prepare and make ready for accomplishment of alterations, repairs, maintenance and modernization, testing and routine work for the submarine availability defined in the AWP.

The intent and scope of work for CLIN 0001 is the completion of the planning for an EOH on the USS BOISE as defined above. The AWP supports the overall scope of work by providing the Contractor with direction in planning and preparation efforts. The AWP is a dynamic document and will be subject to AWP changes, including but not limited to clarifications, refinement of existing items, administrative changes, etc. The Contractor shall incorporate all AWP changes into CLIN 0001 planning efforts, subject to (1) the provisions of the clause of this contract entitled "LIMITATION OF COST" (FAR 52.232-20), and (2) all new work items shall be conducted under CLIN 0003.

Planned CNO Schedule: 9 January 2019 through 9 February 2021 (25 months)

Item 0002 - The data to be furnished hereunder shall be prepared in accordance with the Contract Data Requirements List (CDRL), DD Form 1423, and Exhibit A, attached hereto.

Item 0003 - Prior to the start of the availability, all new work planning, including material procurement and prefabrication for work items that were not previously a part of the scope of work under CLIN 0001, will be accomplished under this CLIN

Item 0004AA- This CLIN shall include nesting, docking, and any other related services needed within 6 week early start period prior to start of availability, to include but not be limited to the accomplishment of the dry-docking of USS BOISE (SSN 764) EOH in a contractor- owned and operated dry dock in accordance with the applicable NAVSEA SSN 764 Docking Drawings. The Contractor shall not dock the boat any earlier than 14 days prior to the start of availability. The Contractor will assume responsibilities of LMA when the submarine arrives at the contractor’s facility, and remain LMA until Unrestricted Operations (URO) certification of the ship. Provide dry-dock services and Lay Day Services as required to support the vessel prior to start of the availability. Complete any DOCKING REPORTS (NAVSEA FORMS 9997/1 through 9997/5) as required and deliver to the SUPSHIP Code 200 for review.

Item 0004AB - In accordance with COMFLTFORCOMINST 4790.3 Rev C, Change 5, Volume 2, Part 1, Chapter 2, Section 2.1.2., the Contractor shall perform the functions as the Lead Maintenance Activity (LMA). The LMA is the single activity responsible for integrating and overseeing all maintenance and modernization work performed during the execution of the availability. The Contractor will continue LMA responsibilities and remain LMA until Unrestricted Operations (URO) certification of the ship.

In accordance with the Specifications, EOH AWP, and the requirements set forth herein, the Contractor, under direction of the designated SUPSHIP, shall accomplish maintenance, repair, alterations, testing and routine work during the EOH of the vessel, including furnishing the materials and services, necessary for delivering a repaired, mission-ready submarine (except those furnished by the government under the terms of this contract). The Contractor shall accomplish all Common services (to include, but not limited to, rigging, crane services, temporary utilites etc. required for CLIN 0005, 0006, 0007, and 0008 under this CLIN to accomplish the EOH. All efforts including services associated with Ship Alteration SSN 4231K SWLIN 828E16 shall be authorized and performed under CLIN 0012.

Accomplish the following SWLINs from the AWP in Table C below:

Table C. CLIN 0004AB SWLINs: