Amendment_0001_to_RFP_N00024-19-R-2320.docx

N0002419R2320

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION A - SOLICITATION/CONTRACT FORM

The standard size code 1,250 has been added.

The required response date/time has changed from 22-Aug-2019 10:00 AM to 06-Sep-2019 10:00 AM.

SECTION C - DESCRIPTIONS AND SPECIFICATIONS

The following have been added by full text:

C-227-H009 ACCESS TO DATA OR COMPUTER SOFTWARE WITH RESTRICTIVE MARKINGS (NAVSEA) (JAN 2019)

(a) Performance under this contract may require that the Contractor have access to technical data, computer software, or other sensitive data of another party that contains restrictive markings. If access to such data or software is required or to be provided, the Contractor shall enter into a written agreement with such party prior to gaining access to such data or software. The agreement shall address, at a minimum, (1) access to, and use of, the restrictively marked data or software exclusively for the purposes of performance of the work required by this contract, and (2) safeguards to protect such data or software from unauthorized use or disclosure for so long as the data or software remains properly restrictively marked. In addition, the agreement shall not impose any limitation upon the Government or its employees with respect to such data or software. A copy of the executed agreement shall be provided to the Contracting Officer. The Government may unilaterally modify the contract to list those third parties with which the Contractor has agreement(s).

(b) The Contractor agrees to: (1) indoctrinate its personnel who will have access to the data or software as to the restrictions under which access is granted; (2) not disclose the data or software to another party or other Contractor personnel except as authorized by the Contracting Officer; (3) not engage in any other action, venture, or employment wherein this information will be used, other than under this contract, in any manner inconsistent with this requirement; (4) not disclose the data or software to any other party, including, but not limited to, joint venturer, affiliate, successor, or assign of the Contractor; and (5) reproduce the restrictive stamp, marking, or legend on each use of the data or software whether in whole or in part.

(c) These restrictions on use and disclosure of the data and software also apply to information received from the Government through any means to which the Contractor has access in the performance of this contract that contains restrictive markings.

(d) The Contractor agrees that it will promptly notify the Contracting Officer of any attempt to gain access to any information with restrictive markings. Such notification shall include the name and organization of the individual, company, or Government representative seeking access to such information.

(e) The Contractor shall include this requirement in subcontracts of any tier which involve access to information covered by paragraph (a), substituting "subcontractor" for "Contractor" where appropriate.

(f) Compliance with this requirement is a material requirement of this contract.

(End of text)

SECTION E - INSPECTION AND ACCEPTANCE

The following have been deleted:

SECTION I - CONTRACT CLAUSES

The following have been added by reference:

SECTION K - REPRESENTATIONS, CERTIFICATIONS AND OTHER STATEMENTS OF OFFERORS

The following have been modified:

52.204-8 ANNUAL REPRESENTATIONS AND CERTIFICATIONS (OCT 2018)

(a)(1) The North American Industry Classification System (NAICS) code for this acquisition is 336611.

(2) The small business size standard is 1,250.

(3) The small business size standard for a concern which submits an offer in its own name, other than on a construction or service contract, but which proposes to furnish a product which it did not itself manufacture, is 500 employees.

(b)(1) If the provision at 52.204-7, System for Award Management, is included in this solicitation, paragraph (d) of this provision applies.

(2) If the provision at 52.204-7, System for Award Management, is not included in this solicitation, and the Offeror has an active registration in the System for Award Management (SAM), the Offeror may choose to use paragraph (d) of this provision instead of completing the corresponding individual representations and certifications in the solicitation. The Offeror shall indicate which option applies by checking one of the following boxes:

(TBD) Paragraph (d) applies.

(TBD) Paragraph (d) does not apply and the offeror has completed the individual representations and certifications in the solicitation.

(c) (1) The following representations or certifications in SAM are applicable to this solicitation as indicated:

(i) 52.203-2, Certificate of Independent Price Determination. This provision applies to solicitations when a firm-fixed-price contract or fixed-price contract with economic price adjustment is contemplated, unless—

(A) The acquisition is to be made under the simplified acquisition procedures in Part 13;

(B) The solicitation is a request for technical proposals under two-step sealed bidding procedures; or

(C) The solicitation is for utility services for which rates are set by law or regulation.

(ii) 52.203-11, Certification and Disclosure Regarding Payments to Influence Certain Federal Transactions. This provision applies to solicitations expected to exceed $150,000.

(iii) 52.203-18, Prohibition on Contracting with Entities that Require Certain Internal Confidentiality Agreements or Statements--Representation. This provision applies to all solicitations.

(iv) 52.204-3, Taxpayer Identification. This provision applies to solicitations that do not include the provision at 52.204-7, System for Award Management.

(v) 52.204-5, Women-Owned Business (Other Than Small Business). This provision applies to solicitations that—

(A) Are not set aside for small business concerns;

(B) Exceed the simplified acquisition threshold; and

(C) Are for contracts that will be performed in the United States or its outlying areas.

(vi) 52.209-2; Prohibition on Contracting with Inverted Domestic Corporations--Representation.

(vii) 52.209-5; Certification Regarding Responsibility Matters. This provision applies to solicitations where the contract value is expected to exceed the simplified acquisition threshold.

(viii) 52.209-11, Representation by Corporations Regarding Delinquent Tax Liability or a Felony Conviction under any Federal Law. This provision applies to all solicitations.

(ix) 52.214-14, Place of Performance--Sealed Bidding. This provision applies to invitations for bids except those in which the place of performance is specified by the Government.

(x) 52.215-6, Place of Performance. This provision applies to solicitations unless the place of performance is specified by the Government.

(xi) 52.219-1, Small Business Program Representations (Basic & Alternate I). This provision applies to solicitations when the contract will be performed in the United States or its outlying areas.

(A) The basic provision applies when the solicitations are issued by other than DoD, NASA, and the Coast Guard.

(B) The provision with its Alternate I applies to solicitations issued by DoD, NASA, or the Coast Guard.

(xii) 52.219-2, Equal Low Bids. This provision applies to solicitations when contracting by sealed bidding and the contract will be performed in the United States or its outlying areas.

(xiii) 52.222-22, Previous Contracts and Compliance Reports. This provision applies to solicitations that include the clause at 52.222-26, Equal Opportunity.

(xiv) 52.222-25, Affirmative Action Compliance. This provision applies to solicitations, other than those for construction, when the solicitation includes the clause at 52.222-26, Equal Opportunity.

(xv) 52.222-38, Compliance with Veterans' Employment Reporting Requirements. This provision applies to solicitations when it is anticipated the contract award will exceed the simplified acquisition threshold and the contract is not for acquisition of commercial items.

(xvi) 52.223-1, Biobased Product Certification. This provision applies to solicitations that require the delivery or specify the use of USDA-designated items; or include the clause at 52.223-2, Affirmative Procurement of Biobased Products Under Service and Construction Contracts.

(xvii) 52.223-4, Recovered Material Certification. This provision applies to solicitations that are for, or specify the use of, EPA- designated items.

(xviii) 52.223-22, Public Disclosure of Greenhouse Gas Emissions and Reduction Goals--Representation. This provision applies to solicitations that include the clause at 52.204-7.)

(xix) 52.225-2, Buy American Certificate. This provision applies to solicitations containing the clause at 52.225-1.

(xx) 52.225-4, Buy American--Free Trade Agreements--Israeli Trade Act Certificate. (Basic, Alternates I, II, and III.) This provision applies to solicitations containing the clause at 52.225- 3.

(A) If the acquisition value is less than $25,000, the basic provision applies.

(B) If the acquisition value is $25,000 or more but is less than $50,000, the provision with its Alternate I applies.

(C) If the acquisition value is $50,000 or more but is less than $80,317, the provision with its Alternate II applies.

(D) If the acquisition value is $80,317 or more but is less than $100,000, the provision with its Alternate III applies.

(xxi) 52.225-6, Trade Agreements Certificate. This provision applies to solicitations containing the clause at 52.225-5.

(xxii) 52.225-20, Prohibition on Conducting Restricted Business Operations in Sudan--Certification. This provision applies to all solicitations.

(xxiii) 52.225-25, Prohibition on Contracting with Entities Engaging in Certain Activities or Transactions Relating to Iran—Representation and Certification. This provision applies to all solicitations.

(xxiv) 52.226-2, Historically Black College or University and Minority Institution Representation. This provision applies to solicitations for research, studies, supplies, or services of the type normally acquired from higher educational institutions.

(2) The following representations or certifications are applicable as indicated by the Contracting Officer:

[Contracting Officer check as appropriate.]

(i) 52.204-17, Ownership or Control of Offeror.

(ii) 52.204-20, Predecessor of Offeror.

(iii) 52.222-18, Certification Regarding Knowledge of Child Labor for Listed End Products.

(iv) 52.222-48, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment--Certification.

(v) 52.222-52 Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services--Certification.

(vi) 52.223-9, with its Alternate I, Estimate of Percentage of Recovered Material Content for EPA-Designated Products (Alternate I only).

(vii) 52.227-6, Royalty Information.

(A) Basic.

(B) Alternate I.

(viii) 52.227-15, Representation of Limited Rights Data and Restricted Computer Software.

(d) The Offeror has completed the annual representations and certifications electronically in SAM accessed through https://www.sam.gov. After reviewing the SAM information, the Offeror verifies by submission of the offer that the representations and certifications currently posted electronically that apply to this solicitation as indicated in paragraph (c) of this provision have been entered or updated within the last 12 months, are current, accurate, complete, and applicable to this solicitation (including the business size standard applicable to the NAICS code referenced for this solicitation), as of the date of this offer and are incorporated in this offer by reference (see FAR 4.1201); except for the changes identified below [TBD offeror to insert changes, identifying change by clause number, title, date]. These amended representation(s) and/or certification(s) are also incorporated in this offer and are current, accurate, and complete as of the date of this offer.

FAR Clause Title Date Change

Any changes provided by the offeror are applicable to this solicitation only, and do not result in an update to the representations and certifications posted on SAM.

(End of provision)

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO BIDDERS

The following have been modified:

PROPOSAL REQUIREMENTS

A. PROCESS

Submission Requirements

The Government must receive all copies of the Offeror’s proposal by the time and date specified in Block 9 of Standard Form 33.

The Offeror shall mark submitted items for mailing and/or delivery as shown below:

Department of the Navy Naval Sea Systems Command

SEA 02234

1333 Isaac Hull Ave., SE Washington Navy Yard DC 20376-0001

RFP N00024-19-R-2320 (UNCLASSIFIED)

Attn: John Sullivan / Righthero Phillips Phone: (202) 781-1899 / (202) 7812377

DO NOT OPEN IN MAIL ROOM

Telegraphic offers, facsimile offers, or offers submitted electronically will not be considered. Unless otherwise directed by the Contracting Officer, telegraphic, facsimile, or electronic communications, modifications of offers, or withdrawals of offers will not be considered. Use of USPS for proposal delivery is not advised.

Amendments

Solicitation information and amendments will be made available to the public through FedBizOpps, at www.fbo.gov. Offerors should monitor the FedBizOpps page for this solicitation for amendments and responses to bidder’s questions.

Communications with NAVSEA

Offerors may use the Bidder’s Questions Form provided as Attachment S-1 to submit questions regarding the RFP. Completed Bidder’s Questions Forms shall be submitted by email to John Sullivan and Righthero Phillips, at john.j.sullivan3@navy.mil and righthero.phillips@navy.mil. To be considered complete, a question must include all information requested in the Bidder’s Questions Form (date, citations, etc.). Only complete questions submitted to both addressees, using Attachment S-1, will be addressed.

Responses to all bidders’ questions received in a timely manner will be made publicly available on FedBizOpps. Therefore, the Navy reserves the right to modify or sanitize the bidders’ questions (including instances of proprietary information); however, Offerors are responsible for ensuring sensitive or proprietary information in their bidders’ questions is removed. At its discretion, the Government may accept and respond to questions up to the solicitation’s closing date and time; however, Offerors are advised that questions received more than 15 days after this solicitation’s issue date may not receive a response.

B. GENERAL PROPOSAL GUIDANCE

All proposal submissions shall be unclassified

Comprehensive responses to the requirements of this Request for Proposals (RFP) are required to enable the Government to evaluate the Offeror’s understanding of the stated requirements and the Offeror’s capability and approaches to accomplish them. The contents of the Offeror's proposal will be the primary basis for evaluating the merits of the offer. Accordingly, the Offeror is responsible for providing a sufficiently specific, detailed, and complete proposal that demonstrates a thorough comprehension of the requirements of this solicitation and the ability to perform in accordance with the requirements of the contract resulting from this solicitation.

General statements that the Offeror understands a problem or requirement, or that the Offeror will comply with the terms of the RFP, are insufficient. The proposal must explain the manner in which the Offeror will comply with the requirements of the solicitation. In addition to the contents of the proposal, relevant and recent Past Performance information will also be evaluated.

The Offeror's proposal and this solicitation, as amended but excluding Sections L and M, and all solicitation attachments (completed as necessary) -- will constitute the offer and will indicate the Offeror's unconditional assent to the terms and conditions of this solicitation. Objection to any of the terms and conditions of this solicitation may constitute a deficiency, making the offer unacceptable.

Cross References

Cross-referencing within a proposal volume is permitted where its use would conserve space without impairing clarity. If the Offeror includes a cross-reference in the proposal, the lowest practicable section reference shall be used.

Each volume shall be written as a standalone to the greatest extent possible, minimizing the amount of cross-references to the other volume.

Restriction on Disclosure and Use of Data

Offerors must identify any data in their proposal that is not to be disclosed to the public, or is to be used by the Government for evaluation purposes only. Such data shall be marked in accordance with FAR 52.215-1(e). Page(s), paragraph(s), and/or sentence(s) containing such data must be specifically identified.

C. PHYSICAL FORMAT REQUIREMENTS AND LIMITATIONS

Each proposal must be submitted in accordance with the instructions herein, and nonconformance with the specified required content may constitute a deficiency and/or be cause for rejection of the proposal.

Each proposal to this solicitation must consist of two (2) volumes, submitted as follows:

VOLUME

TITLE

COPIES

CDs

The proposal shall be valid for no less than 270 days from the date of RFP closing.

Volumes I and II shall be separately bound. Each volume shall have a cover page clearly identifying the solicitation number, Offeror’s name and address, submission date, and volume number and title.

Each volume shall begin with the following:

1. Title Page, in accordance with FAR 52.215-1 subsections (c)(2) and (e)(1);

The remainder of each volume shall follow the same general order and organizational structure as provided in the “Proposal Outline” sections below.

Each page of the Offeror’s proposal shall be labeled with the Offeror’s name and the solicitation number, except for the Offeror’s signed cover page to this solicitation and any amendments, which shall be submitted on plain paper exclusive of any additional markings.

CDs shall be CD-ROM or DVD-ROM formatted and all documents, spreadsheets, databases, or other data submitted must be compatible with Microsoft Word, Microsoft Excel, or submitted as searchable PDF files. The CDs shall follow the same format and organizational structure as the paper copy, with major sections in separate labeled directories. The CDs must contain information identical to the paper copy. All spreadsheets shall contain the formulas used to derive each value, including links to other spreadsheets included in the submission, as appropriate.

In the event that any portion of the proposal is written by someone who is not a bona fide employee of the Offeror, a certificate to this effect shall be signed by a responsible officer of the Offeror and shall show the person's name, employment capacity, the name of his firm, the relationship of that firm to the Offeror's, and the portion of the proposal written by that person.

Format instructions applicable to Volume I

Volume I shall not include any cost or pricing data/information. Any page with cost or price information will be removed in its entirety and may not be evaluated.

A page is defined as one side of a sheet of paper measuring 8 ½ by 11 inches. Any paper larger than 8 ½ by 11 inches is considered a foldout. Each foldout shall be counted as one page, and Volume I shall contain no more than five foldouts. Narrative material in the proposal shall be single-spaced, with 12 point Times New Roman typeface and one inch margins.

Material submitted in excess of the stated page limitation will not be evaluated. The Volume I page limit does not include cover pages, title pages, tables of contents, lists of illustrations, tab pages, resumes, glossaries of abbreviations and acronyms, or teaming agreements.

If the Offeror has teaming agreements in place that will be utilized in the execution of this contract, those teaming agreements shall be provided as an appendix to Volume I.

If there are any discrepancies between the hardcopy and the CD version of Volume I, the CD will govern.

Format instructions applicable to Volume II

Hard copies and CDs of Volume II (Cost) must be submitted separate from Volume I (Non-Cost). There is no limitation on foldouts in Volume II (Cost). Each section and subsection shall be identified and tabbed for easy identification.

If there are any discrepancies between the hardcopy and the CD version of Volume II, the CD will govern.

D. VOLUME I – NON-COST PROPOSAL OUTLINE

In addition to the title page, table of contents, and glossary, Volume I shall be organized as follows:

Note 1: The subsection headings, tabs, and bullets below are for organizational purposes only. They are not separately weighted or rated, and are not sub factors.

Note 2: For the purpose of Volume I, a “major subcontractor” is defined as any subcontractor that provides 20% or more of the proposed labor or has a formal teaming agreement signed with the Offeror. If the Offeror has teaming agreements in place (either formal or contingent) that will be utilized in execution of this contract, those teaming agreements shall be provided for review in the non-cost proposal.

Vol. I, Section I (Factor #1: Management)

Tab A: Program Management

Provide an integrated comprehensive description of the Offeror’s program management organization depicting authority, functions, and responsibilities for quality assurance, direct material procurement, and conduct of test and trials Provide details on the cost and Earned Value Management systems that will be in place to support CDRL requirements.

(a) Provide a master program schedule integrating the key design, material ordering, production, test, trials and completion events.

(b) Provide details that demonstrate how the offeror will ensure that 70% of the production work is complete by the 50% point of the PSA production window between PSA start and Production Completion Date (PCD) for work tasked by the start of the availability. Also, provide details to demonstrate the approach for including new and growth work while communicating and minimizing schedule impacts. Provide a labor resource plan for a single PSA utilizing historical work package (See attachment S-2) including actual projected workload; shifts; staffing levels and man-hours and include a table with the proposed labor mix, broken out by trade and percentage of effort required.

(c) Provide resumes for the three (3) key personnel that are identified in attachment J-2 Key Personnel List. These resumes should demonstrate the Offeror’s capability to successfully meet the requirements of this contract. Each resume is limited to two (2) pages and shall provide the following:

· Name.

· Related professional job experience (to include employer name/company, tenure dates, position title, responsibilities, experience).

· Related training (to include title, dates, and educator).

· Special experiences, qualifications and/or certifications (to include title, description, dates, and from where/whom attained).

Identify any labor agreements that expire during the stated PSA period of performance, and contingency plans for labor strikes. Provide the ratio of journeymen to apprentices.

Provide details to demonstrate the process for other Government prime contractors, AIT’s, and other subcontractors to obtain the following services: Temporary services, crane and rigging support, material delivery, storage, and transportation, and any other services the Offeror considers necessary to meet the requirements of this solicitation.

Provide details to demonstrate the organization and processes to support availability certification efforts in accordance with Supervisor of Shipbuilding, Conversion and Repair, USN, Bath (SSBA) instruction 4700.4 (Post Delivery Availability, Planning, Execution and Work Certification).

Tab B: Quality Assurance

Provide details to demonstrate the proposed quality assurance organization, in relation to other PSA organizations, including Program Management, Production, Shipbuilder PSA on-site reps, Navy Ship’s Force, and SUPSHIP/NSA personnel. Provide details to demonstrate the same for all major subcontractors and integration of subcontractors’ quality assurance programs. Provide details to demonstrate the approach that will be used to verify completion of all PSA work in each compartment and the turnover of each compartment to Ship’s Force during the PSA.

Tab C: Subcontracts

Provide a detailed subcontract management plan describing how subcontractors will be integrated into the prime contractor’s team to support the overall effort and how the prime intends to align subcontractor execution to government priorities throughout the execution of the PSA. Provide details that demonstrate the decision making process that will be used when deciding to subcontract certain efforts and trade areas. Provide a comprehensive description of the degree to which the prime contractor workforce will need to be supplemented by subcontractors in order to provide the full level of effort and elaborate on the anticipated work scope and trade areas where subcontracting will be necessary to augment the prime contractor’s personnel to support the requirement. Provide details that demonstrate effective subcontract management providing details of how the offeror intends to ensure effective competition amongst subcontractors and how it will make subcontracting decisions fully transparent to the government to ensure best value is being received. Provide details that demonstrate how small business concerns will be considered and utilized for this effort.

Tab D: Material Procurement

Provide details to demonstrate the approach to procuring direct material in support of the PSA, and how emergent Contractor Furnished Material (CFM) requirements will be handled during the PSA. Provide details to demonstrate the processes that will be used to identify and report outstanding Government Furnished Material (GFM) and CFM that will not support the master program schedule. Provide details to demonstrate the process and facilities to manage, store and issue Government Furnished Equipment (GFE).

Tab E: Test and Trials

Provide details to demonstrate the approach to ensure production work is complete in order to support Start Combat Systems Testing milestone/key event, in accordance with NAVSEA SI 009-117 by the end of week eight of the PSA (A+56). Provide details to demonstrate the approach to ensure production work is completed by the PCD milestone/key event in accordance with NAVSEA SI 009-43 to allow Ship’s Force uninhibited access for training and move aboard. Discuss the plan to prepare for and execute a two day Sea Trial event, including the assistance to be provided to the Government for key milestones that are precursors to Sea Trials such as PCD, LOA, Dock Trials, and Fast Cruise. This description shall include a process for the correction of all PRT deficiencies prior to the completion of PSA.

Vol. I, Section II (Factor #2: Facilities/Production Capabilities)

Provide details to demonstrate your facility plan for accomplishing the LCS PSA(s) at the contractor facility. When Contractor capacity is not available, identify subcontracting effort for facilities. The facility plan shall address, at a minimum, the following:

· Office space for Government PSA support groups as specified in Section C text “Navy Onsite PSA Support Team.”

· Production Shops.

· Identify secure, controlled environment facilities available for combat systems and electronics equipment.

· Warehouse/storage facilities to accommodate pre-positioning and long lead time material.

· Crane and transportation services.

· Power, compressed air, water, and sewage for PSA industrial effort and for Government and Contractor office facilities.

· Internet and phone services for Government and Contractor offices.

· Identify anti-terror/force protection measures that are currently employed at the Contractor’s Facilities. Provide details to demonstrate compliance with Plant Protection requirements (HQ C-211-H005) in accordance with NSI 009-72.

Vol. I, Section III (Factor #3: PSA Execution)

Work items included in Attachment S-2 are very similar in scope to specific work items that will be completed during each PSA. For the following four work items provided in Attachment S-2: LCS1-0918 Optimized Stern Ramp for RHIB storage 169-90-001, AWI-3403 Buoyancy Tank Addition 191-90-001, AWI-3445 Waterjet Modifications 247-90-001, and AWI-3409 Habitability Modifications 640-90-001, the contractor shall provide:

(a) A deck plate execution plan and a risk mitigation plan for anticipated execution challenges (2 page maximum, per work item).

(b) An overall Integrated Master Schedule (IMS)/ Integrated Production Schedule (NAVSEA SI 009-060) and Integrated Test Plan (NAVSEA SI 009-067) that accomplishes these four work items and restores critical systems to achieve the following notional PSA key event/milestone timeline. The Offeror’s plan on sequencing these four work items within the notional 22 week production window should reflect deconflicting production efforts as necessary to maintain production complete within 22 weeks:

· Dock – Week 1 (~A+2)

· 50% Conference – Week 11 (~A+77)

· Undocking - Week 11 (~A+77)

· C5ILO– Week 20 (~A+140)

· PCD – Week 22 (~A+154)

· Post Repair Trial – Week 31 (~A+217)

Vol. I, Section IV (Factor #4: Past Performance)

The Offeror shall provide in its proposal all relevant and recent information regarding its past performance on previous efforts. Relevant is defined as work performed as a prime contractor on the following Navy availabilities: Post Shakedown Availabilities (PSAs), Selected Restricted Availabilities (SRAs), Extended SRAs (ESRAs), Dry-docking SRAs (DSRAs), Extended DSRAs (EDSRAs), Phased Maintenance Availabilities (PMAs), or Dry-docking PMAs (DPMAs) and Fitting Out Availabilities (FOAs). The aforementioned Navy availabilities shall be applicable to the following Classes: Cruiser (CG), Destroyer (DDG), Landing Helicopter Assault (LHA), Landing Helicopter Deck (LHD), Landing Platform/Dock (LPD), or Littoral Combat Ship (LCS). Recency is defined as work performed on or after January 1, 2016. Any work not listed in the aforementioned is considered not relevant and/or recent and will not be evaluated.

Offerors shall include the following in the proposal for each past performance citation:

· List the contract numbers and a government point of contact for the effort.

· An explanation of how the past performance citation is recent and relevant.

· Information which the Offeror considers essential to the Government’s evaluation.

The Government reserves the right to determine the relevancy of past performance information and to verify statements and representation made in an Offeror’s proposal. Each instance of past performance provided must be in sufficient detail to enable the Government to do an evaluation in accordance with Section M, and include points of contact to enable the Government to contact persons outside of the Offeror’s organization with knowledge of the Offeror’s Past Performance on that effort.

E. VOLUME II – COST PROPOSAL OUTLINE

In addition to the title page, table of contents, and glossary, Volume II shall be organized as follows:

Section I: Cost Information Section I-1: Prime Contractor Cost Exhibits Section I-2: Prime Contractor Estimating Rationale/Cost Proposal Narrative Section I-3: Other Data

Section II: SF 33 Solicitation Set/Model Contract

The order of presentation in the Offeror’s proposal volume shall correspond to the ordering of the appropriate subparagraph discussed below.

Vol. II, Section I: Cost Information

The contractor shall provide all cost information marked “PROPRIETARY INFORMATION NOT TO BE PUBLICALLY DISCLOSED”.

There is no page limitation for Volume II. The cost proposal file provided on CDs shall not be in the "read only" format. The cost proposal shall be contained in one Microsoft Excel file, which shall not be linked to any external data sources. All cells containing derived data shall be presented together with the formulas used to derive the data so that the formulas may be viewed when the cell is selected. The first page of the volume shall be in accordance with FAR 52.215-1, Instructions to Offerors Competitive Acquisition.

The Offeror’s proposal is presumed to represent its best offer to the solicitation. Any inconsistency, whether real or apparent, between proposed performance and cost shall be explained in the proposal. For example, if the intended use of new and innovative production techniques is the basis for an abnormally low estimate, the nature of these techniques and the impact on cost shall be fully explained. Any significant inconsistency, if unexplained, may be grounds for rejection of the proposal, or result in the Government adjusting the projected costs to the Government upwards during the cost realism analysis. The burden of proof as to cost credibility rests with the Offeror.

Offerors must round all numbers to the nearest dollar and eliminate rounding errors from their proposals. If Facilities Capital Cost of Money (FCCM) is proposed, the Offeror must submit a completed DD Form 1861, Contract Facilities Capital Cost of Money, in Volume II. If FCCM is not proposed, it shall not be an allowable cost under the contract, and FAR 52.215-17, Waiver of Facilities Capital Cost of Money, will be inserted by the Navy at contract award.

Cost Proposal Assumptions

In order to promote fair and consistent pricing for this procurement, each Offeror must reflect certain assumptions in their cost proposals. Failure to comply with these assumptions may result in the determination that the proposal is non-responsive to the Solicitation and may be grounds for rejection of the proposal.

(a) Instructions for Proposing Fee. The Offeror shall propose a base fee between 0% and 3% (the base fee cannot exceed 3%). The Offeror shall propose an award fee between 0% and 7% (award fee cannot exceed 7%). Fee percentages are to be applied to total cost exclusive of FCCM, if any.

(b) Offerors shall submit proposals on the basis of the LOE direct labor hours and Other Direct Costs (ODC) dollar amounts provided in the following table. The Government has provided the stated amount of direct labor LOE hours and an estimated amount of ODC costs based on actual hours and costs incurred from multiple PSAs for ships in this same class. The contractor shall reflect these values in its proposal and may apply fee on such costs. The LOE direct labor hours represents prime contractor direct labor hours only.

Offerors shall apply prime contractor direct and indirect rates (no subcontractor rates) in accordance with the contractor’s Cost Accounting Standards (CAS) Disclosure Statement and estimating system, to these direct labor LOE hours when preparing proposals. The ODC dollar amounts reflected in the table below for each CLIN are deemed to include all other direct costs required to execute the requirements of each CLIN. The Government will not consider any proposal that deviates from the LOE direct labor hours or ODC dollar amounts listed below.

Offerors shall use a period of performance length of 35 weeks (245 calendar days) in conjunction with the delivery dates contained in the Section F DELIVERY INFORMATION table for proportioning direct rates, indirect rates, and escalation rates across fiscal years. This is a notional schedule for bidding purposes only and PSA schedules may vary with actual ship delivery schedules as stated in the contract.

Assumptions for LOE CLINs

(c) Historical Work Package. Attachment S-2 provides a historical work package of work items that have been accomplished on recent LCS PSA(s). This work package is representative of the type and similar to the scope of work that will be accomplished on the LCS PSA(s). The Offeror may use the work specifications provided in Attachment S-2 as reference in development of its cost proposal and labor mix, broken out by trade and percentage of effort required by trade. The Government will evaluate the labor mix according to the Offeror's specific technical approach. While an Offeror’s labor mix may reasonably deviate from the historical work package, Offerors bear the burden of demonstrating that their labor mix will meet the Government's requirements with their proposed technical approach. The Government will consider any supporting documentation in its evaluation.

(d) Historical Utilization of Overtime. Offerors may assume that 240,000 direct labor hours (15% of the total LOE) of overtime will be necessary across all LOE CLINs. Offerors may further assume that these direct labor hours for overtime should be proportionally applied across the LOE CLINs and the proposed labor mix. The Historical Utilization of Overtime is the Government estimate of the overtime required to complete the work for the LOE CLINs. The Government developed this estimate based on historical experience with similar, successfully performed contracts. As such, Offerors should note that, while their proposed overtime may reasonably deviate from the historical utilization of overtime, the Government will consider the proposed overtime and any supporting documentation in its evaluation. The Government will evaluate the overtime according to the Offeror's specific technical approach, but Offerors that deviate from this historical utilization overtime bear the burden of demonstrating that their proposed overtime will meet the Government's requirements with their proposed technical approach. The Government will not consider any proposal that deviates from the specified LOE direct labor hours which is also listed in Section B of the solicitation.

Note that other solicitation instructions pertaining to overtime are still applicable even if Offerors adopt the government's historical utilization of overtime estimate. For example, Offerors are required to address overtime in their cost proposal narrative as required under "Vol. II, Section I-2: Prime Contractor Estimating Rationale/Cost Proposal Narrative".

Vol. II, Section I-1: Prime Contractor Cost Exhibits

The required contents of the Cost Volume are identified below. The order of presentation in the Offeror’s proposal volume shall correspond to the ordering of the appropriate subparagraph discussed below.

The Offeror shall submit the following cost exhibits, utilizing the Excel file templates provided as Attachment S-3 to the solicitation (see Section J). The Offeror shall identify each cost exhibit, follow the prescribed format, include all requested information, and sequentially number the pages as appropriate. The instructions for each of the required cost exhibits are provided below.

Summary of Attachment S-3 Cost Exhibits

(a) Instructions for Attachment S-3 Exhibit L001 – Total Proposal Contract Value Summary

(1) This cost exhibit displays the Offeror’s proposed price by specified elements of cost over the life of the contract for all priced CLINs by Government Fiscal Year (GFY), and cumulative proposed contract value. Each Offeror must provide this cost exhibit for their total contract/proposal value. The total price amount for the prime contractor must equal the cumulative total price proposed for the Section B CLINs that require Offeror pricing. The specific cost elements shall be adjusted to reflect the Offeror’s accounting system and proposed costs.

(2) The element identified as “Direct Labor” should show only the proposing Offeror’s direct labor cost.

(b) Instructions for Attachment S-3 Exhibit L002 – CLIN Pricing Summary

(1) This cost exhibit displays only the Offeror’s proposed labor hours and total price (cost plus fee) for each Section B CLIN requiring cost and pricing information. The total labor hour and total dollar price amounts shown in this exhibit must equal the cumulative total shown in Exhibit L001.

(c) Instructions for Attachment S-3 Exhibit L003 – CLIN Cost Element Breakdowns

(1) The Offeror must provide a separate Exhibit L003 for each Section B CLIN requiring Offeror pricing CLINs.

(2) This cost exhibit displays the Offeror’s proposed price by specified element of cost for each CLIN. The Offeror is required to complete this cost exhibit for each priced CLIN and shall NOT refer to any other portion of the cost proposal to meet this solicitation requirement. The total value for each CLIN must equal the CLIN value provided in Exhibit L002, as well as the Section B pricing proposed in the model contract. The Offeror shall clearly label the specific CLIN number with applicable GFY for each L003 cost exhibit submitted. Subcontractor costs must also be included in the Offeror’s (prime contractor) cost exhibit. Each Subcontractor must be separately listed, regardless of subcontract value. If FCCM is not proposed, it shall not be an allowable cost under the contract.

(3) The element identified as “Direct Labor” shall show only the proposing Offeror’s direct labor cost.

(d) Instructions for Attachment S-3 Exhibit L004 – Historical/Proposed Rates Summary Schedule

(1) This cost exhibit shall display a summary of both historical and proposed direct rates, indirect rates, and escalation rates utilized in the proposal. Historical rates must be provided for all Contractor Fiscal Years (CFY) from 2016 through current (where the Offeror provides CFY rates for a CFY that is not complete, the Offeror shall indicate what time period this CFY data represents). Proposed rates must be provided for each Government Fiscal Year (GFY) covered by the proposed pricing. At a minimum, the rates shall include: each individual direct labor rate proposed; direct labor escalation rates; each fringe rate proposed; each labor overhead rate proposed; G&A rate proposed; ODC; ODC overhead rate proposed, each FCCM rate proposed. The specific rates in this exhibit should be adjusted to reflect the Offeror’s accounting system and cost proposal pricing methodology. The rates provided in this exhibit for each CFY proposed must be the exact rates utilized in pricing Section B CLINs and as displayed within Exhibits L001 and L003.

(e) Instructions for Attachment S-3 Exhibit L005 – Indirect Expense Schedules

(1) The Offeror must include a separate set of indirect expense schedules for each proposed indirect rate included in the proposal (for example: labor overhead; G&A; fringe; ODC overhead; etc.) along with the distribution base amount for indirect expense allocation. The Offeror shall provide historical indirect expense schedules for all CFYs from 2013 through current (where the Offeror provides CFY rates for a CFY that is not complete, the Offeror shall indicate what time period this CFY data represents), and the projected indirect expense schedule for each GFY covered by the proposed pricing. These schedules must be consistent with the historical indirect rates provided within Exhibit L004.

Vol. II, Section I-2: Prime Contractor Estimating Rationale/Cost Proposal Narrative

The Offeror shall fully explain the estimating rationale on which its proposal is based including full supporting rationale. Full supporting rationale includes both numeric projections and a complete and clearly written explanation. The burden of proof for cost credibility rests with the Offeror.

The basis for the Offeror’s cost proposal, regardless of the contracting approach, shall be thoroughly explained, including bases, rates, and methodology used to generate the proposal, and such information that applies to any subcontracts. Offerors are required to provide all data necessary for complete analysis of proposed cost estimates. The data elements below represent a minimum list of such data elements and are not exhaustive. The Offeror shall submit any additional data, supporting schedules or substantiation that will facilitate the Government's evaluation of the proposal.

The Offeror shall provide a narrative that addresses the following areas:

(a) Direct Labor Hour Narrative

(1) For each CLIN, briefly explain the function(s) to be performed, and the type of labor to be utilized. To the extent various functions are to be performed within each CLIN, explain the mix of labor categories proposed for the effort.

(b) Direct Labor Rate Narrative

(1) The Offeror shall provide the rationale, including all relevant calculation (to include apportionment method used to generate GFY rates using CFY-based rates) and/or weightings, used for development of each proposed direct labor rate provided in Cost Exhibits L001, L003, and L005. If proposing a composite rate, provide rationale and support for the composite rate.

(2) The Offeror shall address the extent that FPRA rates were utilized, and explain any differences between FPRA rates and proposed rates. The Offeror shall address consistency between proposed direct labor rates and the historical direct rates for same or similar efforts.

(3) The Offeror shall address the rationale of the proposed direct labor escalation rate(s), by GFY.

(4) Overtime - If the price/cost estimate includes overtime premium, Offerors shall furnish the following information:

(i) The dollar amount of overtime premium included in the proposed price/estimate;

(ii) The reason why the use of overtime is necessary;

(iii) The specific operations and categories of personnel which will have to work overtime;

(iv) The estimated number of hours of overtime to be required for each operation;

(v) The estimated period of contract performance during which the overtime will be required; and

(vi) Historical data supporting use of overtime on identical or similar efforts;

(vii) Whether the overtime, if performed, will adversely affect the performance of other Department of Defense contracts and if so, the contract numbers and the contracting activities involved.

(viii) A detailed explanation of how overtime premiums are accounted for in the Contractor’s rate structure.

(ix) Whether any of the exceptions listed under FAR 52.222-2(a)(1)-(4) are applicable.

(c) ODC/Material Cost Narrative

(1) If Offerors propose ODC/material costs in addition to government specified amount in Vol II Section I of this solicitation, the Offeror shall provide the rationale and all relevant calculations for the proposed costs. Explain the calculation of ODC/direct material costs and the rationale for the additional cost. Provide explanation of how historical ODC/direct material costs for identical or similar tasks relate to the estimates, including explanation of differences, if any.

(2) The Offeror shall address the rationale of proposed direct material escalation, if applicable.

(d) Indirect Rates and Business Base

(1) The Offerors shall include their FPRA in their proposal package, if applicable. The Offeror shall address the extent that FPRA indirect rates were utilized, and explain any differences between FPRA rates and proposed rates. If the proposal is based on a recent FPRP, the Offeror shall include the FPRP package that was submitted to DCAA or applicable contract administration office.

(2) The Offerors shall also provide the rationale used for development of each proposed indirect rate, including FCCM, for each GFY. All Offerors shall clearly state their accounting-system defined CFY (e.g., starts on DD-MM and concludes on DD-MM) and apportionment method used to generate GFY rates using CFY-based rates (for example, if an Offeror’s CFY 2018 runs from September 1, 2017 thru August 31, 2018, in order to convert rates from CFY 2018 to GFY 2018, the Offeror would apportion 11/12 from CFY 2018 and 1/12 from CFY 2019).

(3) The Offeror shall clearly explain the application of each indirect rate (e.g., the proposed G&A rate is applied to direct labor costs and labor overhead costs). The Offeror shall address consistency between proposed indirect rates and the historical indirect rates for same or similar efforts.

(4) The Offeror shall provide clear and complete rationale for all business base calculations and assumptions utilized for the proposed indirect rates. The rationale shall include basis, including calculations, for the Offeror’s total business base projections over the estimated contract period of performance, assuming all options are exercised.

(e) Contractor Systems Approvals and Issues

(1) The Offeror shall address whether or not the following contractor systems have been approved by the ACO: accounting system, estimating system and purchasing system. Provide the date of most recent ACO determination that stated that the applicable system was approved. If the most current ACO review(s) determined that any of the above systems were not approved, provide a copy of the ACO’s determination, any additional pertinent details of the ACO’s finding, and any steps taken by the Contractor to address the ACO’s findings, as well as the ACO’s name, telephone number, and email address.

(2) The Offeror must address: 1) any inconsistency between this proposal and…