N00039-18-R-0009 - Amendment 0001 - 1 March 2018.pdf

AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT

Except as provided herein, all terms and conditions of the document referenced in Item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

15A. NAME AND TITLE OF SIGNER (Type or print)

30-105-04EXCEPTION TO SF 30

APPROVED BY OIRM 11-84

STANDARD FORM 30 (Rev. 10-83) Prescribed by GSA

FAR (48 CFR) 53.243

The purpose of this amendment is to update the follow ing RFP sections:

Section B: Revise Section B NOTE Section F: Revise Ordering Period for Issuing Orders and the PoP of Task Order 0001 CLINs Section J: Revise Attachments (1, 2a, 2b, 6, 8) and Exhibit (A) Section L: Revise L-TEXT-04 and L-TEXT-16 w hich extends the time and date for receipt of offers to 2:00 PM Pacific Time on Monday, 26 March 2018.

See Summary of Changes

1. CONTRACT ID CODE PAGE OF PAGES

S 1 26

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)

16C. DATE SIGNED

BY

16B. UNITED STATES OF AMERICA15C. DATE SIGNED15B. CONTRACTOR/OFFEROR

(Signature of Contracting Officer)(Signature of person authorized to sign)

8. NAME AND ADDRESS OF CONTRACTOR (No., Street, County, State and Zip Code) X N0003918R0009

X 9B. DATED (SEE ITEM 11)

15-Feb-2018

10B. DATED (SEE ITEM 13)

9A. AMENDMENT OF SOLICITATION NO.

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

X The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offer X is extended, is not extended.

Offer must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended by one of the following methods:

(a) By completing Items 8 and 15, and returning 1 copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted;

or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGMENT TO BE RECEIVED AT THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN REJECTION OF YOUR OFFER. If by virtue of this amendment you desire to change an offer already submitted, such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

12. ACCOUNTING AND APPROPRIATION DATA (If required)

13. THIS ITEM APPLIES ONLY TO MODIFICATIONS OF CONTRACTS/ORDERS.

IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE

CONTRACT ORDER NO. IN ITEM 10A.

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, appropriation date, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(B).

C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority)

E. IMPORTANT: Contractor is not, is required to sign this document and return copies to the issuing office.

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

10A. MOD. OF CONTRACT/ORDER NO.

2. AMENDMENT/MODIFICATION NO. 5. PROJECT NO.(If applicable)

6. ISSUED BY

3. EFFECTIVE DATE

01-Mar-2018

CODE

COMMANDER, SPACE AND NAVAL WARFARE

SYSTEMS COMMAND

02 CONTRACTS

4301 PACIFIC HIGHWAY

SAN DIEGO CA 92110-3127

N00039 7. ADMINISTERED BY (If other than item 6)

4. REQUISITION/PURCHASE REQ. NO.

CODE

See Item 6

FACILITY CODECODE

EMAIL:TEL:

N0003918R0009

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION B - SUPPLIES OR SERVICES AND PRICES

SECTION B NOTE:

1. Option CLIN 0003, if exercised, is a Firm Fixed Price (FFP) CLIN with an incentive for schedule performance that shall not exceed 7% of the target cost, in accordance with Paragraph 2(d) – “DETERMINATION OF INCENTIVE BONUS FOR SCHEDULE PERFORMANCE” below.

(a) Option CLIN 0003 is a Firm-Fixed-Price (FFP) arrangement.

(b) Incentive bonus is not guaranteed in part or in whole. Unearned Bonus shall not be rolled over to any other profit/fee arrangement under this contract.

(c) Incentive bonus payments are unilateral contract actions. The Contractor shall be paid the Incentive bonus, if earned, upon submittal of a proper invoice or voucher to the cognizant payment office, together with a copy of the modification to the contract authorizing payment. The Contractor's invoice must cite the appropriate accounting data in order for payment to be effected.

(d) “DETERMINATION OF INCENTIVE BONUS FOR SCHEDULE PERFORMANCE” for CLIN 0001 as follows:

1. Schedule success payout for the CANES Training Virtual Environment option (CLIN 0003) will be based on the successful completion and delivery of the CANES Training Virtual Environment as stated in Task Order 0001 to the Government. If the Government unconditionally accepts the CANES Training Virtual Environment before the required contractual delivery date in Section F, then the Contractor’s schedule payout is as follows:

By Date Schedule Payout as Percentage of Target Cost

150 Days After Task Order Award

Incentive Bonus of 7%

210 Days After Task Order Award

Incentive Bonus of 4%

330 Days After Task Order Award

Incentive Bonus of 2%

Schedule performance bonus shall not exceed 7% of the target cost (excluding fee) of CLIN 0001.

SECTION F - DELIVERIES OR PERFORMANCE

The following have been modified:

The ordering period of the contract, for the purpose of issuing Task Orders is as follows:

CLIN(S) ORDERING PERIOD FOR ISSUING ORDERS

0001 – 0007 Date of contract award through five years thereafter

The Period of Performance (PoP) for each order shall be stated within such order. Additional time of not more than 180 days beyond the ordering period may be allowed for completion of outstanding orders.

The PoP for Task Order 0001 is as follows:

CLIN PERIOD(S) OF PERFORMANCE

0001 Date of Task Order Award through 12 Months Thereafter 0002 Date of Task Order Award through 12 Months Thereafter

SECTION J - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS

ATTACHMENTS:

Attachment (1): CANES Training Virtual Environment Statement of Work (SOW) – Rev 01 –

26 February 2018

Attachment (2): Draft Task Order 0001 - CANES Training Virtual Environment Attachment (2a): Task Order 0001 - CANES Training Virtual Environment Statement of Work (SOW) –

Rev 01 - 26 February 2018 Attachment (2b): Exhibit (A) - Task Order 0001 - CANES Training Virtual Environment CDRLs –

Rev 01 - 26 February 2018

Attachment (3): Security Classification – DD254 – 07 November 2017

Attachment (4): Contractor Cost Summary Spreadsheet

Attachment (5): Past Performance Questionnaire

Attachment (6): Reference Information Sheet – Rev 01

Attachment (7): Small Business Participation Data

Attachment (8): Technical Documents (via AMRDEC) to include Bill of Materials, Training Curriculum and Interactive Electronic Technical Manuals (IETMs) – Rev 01

EXHIBITS:

Exhibit (A): CANES Training Virtual Environment DDG DD 1423 Contract Data Requirements List

(CDRL) – 13 February 2018

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO BIDDERS

L-TXT-04 SUBMISSION OF PROPOSALS (COMPLEX)

OFFEROR QUESTIONS REGARDING SOLICITATION

Offerors may submit questions and request clarifications related to any aspect of this RFP. Questions shall only be provided in writing via the e-commerce website (https://e-commerce.spawar.navy.mil) and to the following email addresses: susana.l.wiker@navy.mil and karen.rainville@navy.mil. The Government may make available to the general public any offeror questions and requests for clarifications and any Government responses to such questions and requests for clarifications; therefore, offerors are instructed not to submit comments of a proprietary nature.

The Government may not respond to questions and requests for clarifications submitted later than fifteen

(15) calendar days before the closing date of this RFP.

2.0 PROPOSAL REQUIREMENTS

2.1 PROPOSAL ORGANIZATION, FORMAT AND CONTENT

2.1.1 PROPOSAL ORGANIZATION. The offeror’s proposal shall consist of three (3) separate Volumes as follows:

a. Volume I: Technical Proposal

b. Volume II: Cost/Price Proposal

c. Volume III: Contract Documents

Proposals shall be submitted in accordance with solicitation “Submission of Electronic Proposals”.

2.1.2 Proposal Format. In addition to all other requirements of this solicitation, each offeror shall demonstrate its capability by means of a detailed written proposal in each of the areas indicated under Section M – Evaluation Factors for Award. Proposals submitted for consideration for award must address the full scope of the solicitation. Data previously submitted, if any, will not be used in the evaluation of your response to this RFP.

Previously submitted data shall not, therefore, be included in your proposal “by reference.” Proposals, which address only part of the solicitation, will be considered unacceptable.

The Offeror’s proposal Volumes shall include the following:

VOLUME LIMITATIONS VOLUME CONTENT

TYPE SUFFIX

I: TECHNICAL

PROPOSAL

Section 1: Technical Approach (Factor 1)

Twenty (20) pages maximum V1.TECH

Section 2: Corporate Experience (Factor 2)

Fifteen (15) pages maximum V1.CORP EXP

Section 3: Past Performance (Factor 3)

Prime Contractor:

Reference Information Sheet (3 pages each

V1.PAST PERF

https://e-commerce.spawar.navy.mil/ mailto:karen.rainville@navy.mil reference, maximum nine (9) pages). (No more than 3 references total). No page limit for CPARS evaluations (if provided)

Section 4: Small Business Participation (Factor 4)

Ten (10) pages maximum

V1.SBP

II: COST / PRICE

PROPOSAL

Section 1: Cost/Price Proposal

No page limit V2.C-P

III: CONTRACT

DOCUMENTS

Section 1: Cover Letter Four (4) pages maximum V3.LTR Section 2: Completed Standard Form (SF 33) and completed Section B through Section K

No page limit V3.RFP

Section 3: Security Clearance Levels

No page limit V3.SECURITY

Section 4: Subcontracting Plan

No page limit V3.SUBPLAN

Section 5: Foreign-Owned Subcontractors

No page limit V3. FOREIGNOWNED

Note: Failure to submit complete information in the manner above may be considered a “no response” and may result in the exclusion of the proposal from further consideration.

Proposal Content

Information submitted in excess of the page limits established above will not be read or evaluated. Page limits do not include cover sheets, tables of contents, lists of figures, lists of drawings, lists of proprietary data, glossaries, tabs, dividers, or blank pages.

Do not include cost information in any volume other than the Volume II Cost/Price Proposal and Volume III Contract Documents.

Electronic copies of the proposal must be provided in separate Technical, Cost, and Contract Documents files. Each proposal section shall be labeled with the Volume/Section Suffix provided in the table in paragraph L-TXT-04 Paragraph 2.1.2 above. Electronic proposals shall be submitted in accordance with provision L-TXT-16, Submission of Electronic Proposals.

1. Format: A page is defined as a sheet of paper that includes information. The electronic proposal shall be prepared, so that if printed, be on 8-1/2" X 11" paper format with single-spaced typed lines, including figures, glossaries, table of contents and cover sheets. Partial pages count as a full page. Type size shall be Times New Roman and no smaller than 12 point in the text, drawings, figures, and tables, and 10 point in spreadsheets. Standard margins shall be a minimum of one inch, excluding header and footer. The volumes shall contain a glossary of abbreviations and acronyms used and an explanation of each. No pen and ink changes are allowed.

2. Numbering: Pages shall be numbered consecutively within each section to indicate the volume, section, and page. For example, page 19 of Volume I, Section B would be numbered I-B-19. Pages in the Cost Proposal volume shall be numbered consecutively.

Responses to the requirements in each of the factors listed in Sections L and M are necessary to enable the Government to evaluate the Offeror’s understanding of, and capability to accomplish, the stated requirements. The Offeror must provide sufficient detail to substantiate the validity of all stated claims. Proposals shall be submitted in accordance with the instructions contained herein. Non-conformance may cause rejection of, or the down scoring of, the proposal. An Offeror’s proposal is presumed to represent its best efforts to respond to the solicitation. Proposals should be clear, concise and complete. Organization, clarity, accuracy of information, relevance, and completeness are of prime importance. Sufficient supporting information shall be provided to allow the Government to evaluate the Offeror’s approach.

3.0 PROPOSAL VOLUMES

3.1 VOLUME 1 - TECHNICAL PROPOSAL

General Guidelines for Content. The required content of each technical proposal section is described below. The technical proposal shall not include any cost information. The technical proposal shall cover the offeror’s understanding of the work and the methods that will be employed to attain contract objectives and shall enable technical personnel to make a thorough evaluation and a determination whether the proposal will satisfy the Government’s requirements.

The technical proposal shall be specific, detailed, and complete and fully demonstrate that the prospective offeror has a thorough understanding of the Government’s requirements. Data previously submitted to the Government will not be considered; therefore such data shall not be incorporated into the technical proposal by reference. Statements that the Offeror understands, can or will comply with all specifications, or statements paraphrasing the specifications or other information contained in the RFP will be considered inadequate. Phrases such as “Standard procedures will be employed” and “well known techniques will be used” will also be considered insufficient. Offerors shall provide separate responses to each technical evaluation factor within the identified page limitations. Offerors shall not exceed the page limitation by cross referencing other sections of their proposals. Offers, which do not present sufficient information to permit complete technical evaluation by the Government, may be rejected.

Offerors shall prepare Volume I in four (4) separate sections as follows:

Section 1: Task Order 0001 Technical Approach (Factor 1) Section 2: Corporate Experience (Factor 2) Section 3: Past Performance (Factor 3) Section 4: Small Business Participation (Factor 4)

3.1.1 FACTOR 1 – TASK ORDER 0001 TECHNICAL APPROACH (Twenty (20) pages maximum):

Offerors shall describe their proposed technical approach and the ability of that approach to meet the requirements of the SOW consisting of the following five (5) subfactors as follows:

CANES Training Virtual Environment (VE) Solution Approach Offerors shall describe their proposed Virtual Environment Solution Approach for Task Order 0001 as follows:

Subfactor 1.1: The proposed approach to delivery and fielding a CANES Training Virtual Environment solution, to include hosting environment, Learning Management System (LMS), interfaces, required simulation, curriculum, and all necessary components. The approach should include the offeror’s program management, decision-making, cost savings, and risk mitigation strategy, to account for any technology, engineering, or design changes that may be required during delivery and fielding of the CANES Virtual Environment Training solution

a. Threshold (required): the approach shall demonstrate that the CANES Training Virtual Environment solution enables a remote environment that replicates an experience similar to the shipboard fleet user environment, with instructors teaching and guiding students through job sheets

b. Objective (desired): The solution will provide automated guidance that is built into the CANES Training Virtual Environment solution

Subfactor 1.2: The proposed approach to providing a hosting environment (e.g. web hosting service, hosting servers). The approach shall demonstrate:

a. The approach to providing a virtual hosting environment that is cost effective for the Government throughout the life of the contract

b. Risk mitigation plan in the event that the primary hosting option becomes unavailable Subfactor 1.3: The proposed approach to test and/or demonstrate that capability requirements below are met, to include:

a. Student throughput requirements (100 at one time, 840 per year), remote login capability up to eight (8) sites simultaneously, ability for users to remote to multiple CANES SW baselines simultaneously, and Operational Availability (Ao) requirements (95%)

b. Information Assurance (IA), personnel and cyber security, and Authority to Operate (ATO) compliance strategy in accordance with DoD Directive 8140.01, DoD 8140.01-M, DoD 5200.2-R, DoDM 5200.01, DoDD 5205.02E, DoD 5205.02-M, DoDI 8500.0,1, SECNAV M-5510.30, SECNAVINST 5510.30

Subfactor 1.4: The proposed approach to meeting schedule, and/or expediting delivery and fielding of the CANES Training Virtual Environment solution, to include all training curriculum. This approach should include detailed processes and identify factor(s): areas that can be completed in parallel, initial personnel surge capability, and any other schedule improvement initiatives available. This section shall include a Plan of Action and Milestones

(POA&M).

a. Threshold (required): At a minimum, the offeror shall deliver and test the CANES Virtual Environment Training in the Navy Education and Training Command (NETC) electronic classroom by the end of the delivery date of Task Order (TO) 0001

b. Objective (desired): As an objective, the CANES Training Virtual Environment should be incorporated into the NETC electronic classroom by the end of 30 November 2018

c. Threshold (required): At a minimum, train the trainer (T3) redlines shall be incorporated into the curriculum by the end of the delivery date of TO 0001.

d. The POA&M (in contractor format) shall include:

i. Delivering a CANES Training Virtual Environment solution, to include LMS and hosting environment, as described above in technical factor 1.1

ii. Hosting CANES SW baselines: 1.0, 1.2, 2.0, 2.0.1, and 3

iii. Key deliverables in an Integrated Master Schedule (IMS), to include: key milestones, virtual environment solution documentation, configuration data, interface diagrams, training curriculum and training package documents, dates that each SW version will be available in the hosted environments, and dates of delivery to each NETC site.

Subfactor 1.5: The proposed approach to sustain and maintain the training virtual environment once delivered to the NETC schoolhouse, to include train-the-trainer and initial training. The proposed approach shall demonstrate contingency plan in the event of connectivity loss, to ensure that the Ao requirements (95%) of the system are met, and experience and qualification of trainers:

a. Threshold (required): the trainers shall have 3-5 years of experience with training a similar capability in a classroom setting

b. Objective (desired): the offeror should demonstrate that trainers have experience with DoD schoolhouse training, preferably in an Information Technology- related field

3.1.2 FACTOR 2 – CORPORATE EXPERIENCE (Fifteen (15) pages maximum) Offerors shall describe their relevant corporate experience on a maximum of five (5) previous contracts, relevant to the T.O. 0001 CANES Training Virtual Environment scope of work, with specific emphasis on hosting in a virtual environment, and training instructors. Offerors shall describe how their previous experience meets the breadth of the requirements of the solicitation.

For the purposes of this factor, relevant corporate experience is defined as experience that demonstrates the following:

a. Performing virtual environment hosting

b. Training

c. Curriculum delivery

d. Train-the-trainer

e. Additional activities include: developing a virtual environment, creation of test plans and procedures to include verification methods and test cases that confirm prior experience fielding like and similar hosted training solutions.

Offerors shall demonstrate corporate experience on previous contracts, relevant to the CANES Training VE scope.

At a minimum, Offerors shall demonstrate experience training instructors to provide training to students. The objective is for the offeror to demonstrate experience training Department of Defense/military training instructors, with a focus on C4I systems. The offeror, as an objective, should have experience and/or training in utilizing the Content Planning Module/Learning Objectives (CPM/LO), Authoring Instructional Materials (AIM), and Human Analysis Requirements Planning System (HARPS) tools, as well as experience utilizing the OPNAVINST 1500.76 series instructions and the NETC E2E Standard Operating Procedure (SOP). Corporate Experience may include efforts on which the offeror was either a prime or subcontractor, and must be recent, which is defined as contracts that have occurred within the past five (5) years. The corporate experience described here may also be used in the Factor 3: Past Performance of this solicitation.

3.1.3 FACTOR 3 – PAST PERFORMANCE (Nine (9) pages maximum)

(a) Offerors shall provide information on three (3) previous Government contracts whose effort was relevant to the effort required by this solicitation; the contracts provided should have been performed within the last five (5) years.

If the Offeror has not had three (3) Government contracts within the last five (5) years, information on relevant subcontracts and/or commercial contracts may be submitted instead. Offerors shall cite at least one reference from the prime offeror, no more than one reference from any subcontractor, and no more than three (3) references total.

Cite references in the following order: prime, subcontractor, and then consultant.

(b) Part 15 of the Reference Information Sheet requires offerors to provide a summary description of contract work, not to exceed two (2) additional single-sided pages in length, for each cited reference. In completing these summary descriptions, offerors must explain the relevance of each cited reference with respect to the CANES Training Virtual Environment Statement of Work (RFP Attachment 1).

(c) The Government will evaluate past performance data since 01 January 2013 provided by Offerors and obtained from other sources in the following areas:

(1) Quality - Conformance to contract requirements, specifications and standards of good workmanship, accuracy of reports, technical excellence, reliability.

(2) Schedule - Timeliness of performance with regard to contract milestones, delivery/performance schedules, administrative requirements, actions that contribute to or affect schedule variance, contractor corrective actions.

(3) Cost Control - Effectiveness in forecasting, managing and controlling contract cost; demonstrated sense of cost responsibility, efficient use of resources, cost savings; current, accurate and complete billings; actual cost/rates reflect closely to negotiated cost/rates.

(4) Management - Integration and coordination of all activity need to execute the contract, specifically the timeliness, completeness and quality of problem identification, corrective action, history of reasonable and cooperative behavior, customer satisfaction; responsiveness; subcontract management (when applicable); program management; management of key personnel (when applicable).

(5) Utilization of Small Business - Effective program to maximize the participation of small business concerns in Federal agency contracts. Compliance with FAR 52.219-8 “Utilization of Small Business Concerns.” Compliance with FAR 52.219-9 “Small Business Subcontracting Plan” (applicable only if FAR 52.219-9 is included in this solicitation).

(6) Regulatory Compliance - Compliance with all terms and conditions in the contract relating to applicable regulations and codes, to include – when applicable – compliance with financial, environmental, safety and labor regulations as well as any reporting requirements.

(d) If available, offerors shall submit the most recent CPARS evaluations for each of the experiences identified above. If CPARS evaluation are unavailable, offerors shall contact their past performance references and request that each reference complete RFP Attachment No. 5, Past Performance Questionnaire, and email the completed questionnaire, before the due date of this solicitation, to Susana Wiker at Susana.l.wiker@navy.mil. The Government may consider questionnaires received after the due date of the solicitation. The Government reserves the right to contact references for verification or additional information.

(e) The Government reserves the right to use past performance information obtained from sources other than those identified by the offeror. This past performance information will be used for the evaluation of past performance.

(f) The Government does not assume the duty to search for data to cure the problems it finds in the information provided by the offeror. The burden of providing thorough and complete past performance information remains with the offeror.

(g) Offerors shall facilitate the submission of a Past Performance Questionnaire for each reference or submit a statement that past performance information for an individual contract resides in the Past Performance Information Retrieval System (PPIRS).

3.1.4 FACTOR 4 – SMALL BUSINESS PARTICIPATION

All Prime Offerors (Large AND Small Businesses) shall submit a completed Small Business Participation Data form (RFP Attachment 7, Small Business Participation Data Form).

The submitted Small Business Participation Data attachment shall be utilized to identify the extent of participation of specific small business concerns, whether as prime or subcontractors, in terms of dollar values of the total subcontracted amount.

The Offeror shall provide the cage code, North American Industry Classification System (NAICS) code and size standard (see 13 CFR 121.201) for each proposed small business subcontractor for verification of size status. The Offeror shall list all applicable business types for which each subcontractor qualifies. In addition, each prime contractor (whether a small or large business) shall submit their letter of intent for their teaming/subcontracting agreement with each proposed small business subcontractor. Each letter shall detail the teaming agreement between the prime contractor and each proposed small business subcontractor, but only the signed letter of intent is required.

Small Business Socioeconomic Categories Small Business Subcontracting Goals

(Based upon 33% of subcontracted amount) Total Small Business (includes the below) 33% Small Disadvantaged Business (SDB) 5% Women-Owned Small Business 5% Service-Disabled Veteran Owned Small Business (SDVOSB) 3% Historically Underutilized Zone (HUB Zone) 3%

Note: Large business concerns are required to submit a separate Small Business Subcontracting Plan in accordance with FAR 19.7 and FAR 52.219-9.The requirement for the Small Business Subcontracting Plan is in addition to the information required within the Small Business Participation section.

3.2 VOLUME II - COST/PRICE PROPOSAL

INTRODUCTION: This volume shall contain cost information only. The guidelines and requirements in this section are provided to (1) aid offerors in preparing their cost proposal; and (2) aid the Government in reviewing and evaluating the offeror’s cost proposal. The Government’s intent is to provide instructions that will allow the offeror mailto:Susana mailto:Susana.l.wiker@navy.mil to develop clear, concise, and comprehensible proposals and to minimize data requests by the Government during the proposal evaluation process.

ORGANIZATION: The cost proposal instructions outlined in this section shall be followed in developing the proposed costs and prices for all CLINs listed in Section B – Supplies/Services and Cost/Prices of this RFP. The cost volume shall include (a) a completed Section B; (b) completed prime contractor and subcontractor cost summaries, (c) supporting cost data, (d) Compensation Plan pursuant to FAR 52.224-46, (e) evidence of an adequate accounting system to support award of a cost reimbursement contract, and (f) identification and type of subcontract.

(a) Section B: Offerors shall complete Section B and provide it with this volume, with an additional copy to be provided in the Contract volume. The cost volume submitted by the offeror shall include the cost for all CANES Training VE CLINs. Prime contractors shall ensure that the amounts entered in Section B match the amounts contained in RFP Attachment 4, Contractor Cost Summary Spreadsheet, for each CLIN.

(b) Prime Contractor and Subcontractor Cost Summaries (RFP Attachment 4, Contractor Cost Summary Spreadsheet): Offerors (Prime contractors and all subcontractors) shall provide the information requested in solicitation Attachment 4 (Contractor Cost Summary Spreadsheet), with formula intact (not “read-only” or “PDF” files) with all calculations rounded to two (2) decimal places. Prime contractors and potential subcontractors shall work together to ensure that the amounts entered in their respective cost attachments are consistent (e.g. subcontractor total costs in Attachment 4a match the subcontractor total in Attachment 4b).

(c)Throughout these instructions, formats are provided to assist the Offeror/subcontractor in providing adequate substantiation and ensuring traceability throughout the cost/price proposal. The Offeror/subcontractor shall complete cost/price attachments to this RFP and provide them in the proposal.

The blank versions of the attachment are provided in a Microsoft Excel file on the SPAWAR e-commerce website. For information required where no Government format is provided, or if the Offeror / subcontractor desires to provide additional information not specifically required in the cost attachments identified in this RFP, the information may be supplied in the Offeror’s/subcontractor’s chosen format.

(d)All data provided by the Offeror/subcontractor, whether in the Offeror’s/subcontractor’s format or a specified Government format shall be traceable throughout the proposal. For example, all data provided at lower levels in the Cost Volume shall add up to the totals on the Cost Volume’s summary formats as well as the costs/prices in Section B; the information shall also be traceable to that provided in the Technical and other volumes (where applicable). Where the trace is not direct it shall be explained in a walk-through.

(e)If the Offeror/subcontractor provides information in other Proposal Volumes that the Offeror/subcontractor believes will significantly assist the Cost Team in evaluating and/or understanding the Cost Volume, the Offeror/subcontractor shall provide a cross-reference statement in the Cost Volume that indicates the Volume, page number where the information can be located, and its merit in evaluating the Cost Volume.

3.2.1 COST/LABOR INFORMATION

The cost/price proposal instructions outlined in this section shall be followed in developing the proposed costs and prices for all CLINs listed in Section B – Supplies/Services and Prices/Cost of this RFP.

Offerors shall complete Section B and provide it in this volume with an additional copy to be provided in the Contract Volume. Offerors shall complete Section B (including all of its associated tables) by proposing:

1) CANES Virtual Environment Baseline (CLIN 0001)(CPIF) for Task Order 0001: An estimated cost and incentive fee calculated in accordance with the instructions set forth in Section B of the RFP. Schedule Incentive fee shall not be included in the CLIN totals. Offerors and subcontractors shall provide a CLIN summary sheet for CLIN 0001 which follows the formats provided with Attachment 4-1 through 4-5 as well as all BOEs as described in paragraph 3.2.2 below. The CLIN summary sheet shall track to the cost proposal (prime and subcontractor) as well as Section B (prime only). The burden of cost/price credibility rests entirely with the Offeror; therefore, to the maximum extent possible historical costs/prices and past experiences on similar programs shall be used to support proposed costs/prices.

(1) Fee. Offerors shall propose fee for CLIN 0001 in Section B. The target fee is 4%; however offerors may propose a lower target fee than 4%. The minimum fee associated with the cost incentive is 2%. The maximum fee associated with the cost incentive is 7%.

2) CLIN 0002 related to CPIF CLIN (0001): Offerors shall not propose separate prices for this CLIN as this CDRL CLIN is not separately priced.

3) Performance Incentive Bonus (CLINs 0003) Offeror is not required to complete this CLIN. This CLIN has been established as a place holder for any earned bonus at the successful delivery of the associated CLIN. This bonus shall not exceed 7% of the associated target cost portion of CLIN 0001 (excluding fee). This bonus will not be considered in the evaluation of the RFP.

4) Engineering and Maintenance Services (CLIN 0004) (CPFF): The offeror shall provide an estimated cost and fixed fee calculated using the labor categories and estimated hours provided below. Proposed fixed fee for this CLIN shall not exceed 7%. Offerors and subcontractors shall provide a CLIN summary sheet for CLIN 0004 which follows the formats provided with Attachment 4-7.

Estimated Level of Effort under CLIN 0004: The quantities of labor hours for each labor category shown below, which are to be used by the offeror for computing total labor costs, represent the Government’s current best estimate of requirements and will be used to establish the ceiling of CLIN 0004. However, the Government cannot guarantee the estimated quantities of man-hours shown for individual labor categories, nor can it guarantee the total estimated hours. It is recognized that some of the Labor Category titles used in the solicitation may not exactly match the titles normally used in a particular company operation. Accordingly, in order to permit a rapid comparison between the anticipated labor team shown below and the offeror’s actual labor mix, each proposal must provide the following:

a) A statement of the offeror’s normally used nomenclature for each labor category included herein, together with a copy of the offeror’s own position description for each labor category.

b) A statement of any additional labor categories, estimated hours and related qualifications for labor cost that will be a direct cost based on the offeror’s accounting procedures (e.g. management and administrative labor costs.)

c) A description of qualifications for each labor category as it applies to this requirement.

(d) Subcontractor labor hours at all tiers should be shown in the same manner as described in paragraphs

(a) through (c) above.

ENGINEERING AND MAINTENANCE SERVICES (CLIN 0004)

Labor Category Second Year of Ordering

Period Hours

Third Year of Ordering

Period Hours

Fourth Year of Ordering

Period Hours

Fifth Year of Ordering

Period Hours

Program Manager 2,080 2,080 2,080 2,080 Installation Systems Engineer 240 240 240 240 Contracts Management Analyst 3

520 520 520 520

Subcontracts Management Analyst 2 520 520 520 520 Technical Writer/Technical Analyst 4 520 520 520 520 POR Fielded Systems Training 5,200 10,400 10,400 10,400

Subject Matter Expert (SME) 3 POR Fielded Systems Training Specialist 4

5,200 10,400 10,400 10,400

Admin Assistant 520 520 520 520 Instructional System Designer (ISD) Technical Analyst 3

520 520 520 520

Senior Programmer Analyst B 520 520 520 520 Senior Programmer Analyst C 1,040 1,040 1,040 1,040 Programmer Analyst C 2,080 2,080 2,080 2,080 Programmer Analyst D 2,080 2,080 2,080 2,080 Information Assurance Systems Engineer E (Lead)

520 520 520 520

Information Assurance Systems Engineer F (Analyst)

1,040 1,040 1,040 1,040

Hardware Systems Engineer E 2,080 2,080 2,080 2,080 Hardware Systems Engineer F 2,080 2,080 2,080 2,080 Testing System Engineer D 200 200 200 200 Testing System Engineer E 200 200 200 200 Testing System Engineer F 200 200 200 200 Architecture Systems Engineer F

520 520 520 520

Configuration Management Logistician 5

240 240 240 240

Instructional System Designer (ISD) Technical Analyst 4

2,080 2,080 2,080 2,080

Financial Management Consultant (Senior)

240 240 240 240

Financial Management Consultant 520 520 520 520 Security Specialist 1 1,560 1,560 1,560 1,560

TOTAL 32,520 42,920 42,920 42,920

Note: CLIN 0004 will not be ordered until the second year of the ordering period; therefore, hours are shown only in the second, third, fourth, and fifth year of the five year ordering period for CLIN 0004. Offerors should propose rates associated with these hours assuming an award date of 06 July 2018.

5) CLIN 0005 (COST ONLY): Other Direct Costs/Material/Travel: For CLIN 0004, the prime contractor shall insert the following not to exceed travel and Other Directs Costs (ODC) ceiling amounts in Section B EXACTLY as specified below. No proposal detail is required for ODCs/Travel. These amounts are non-fee bearing and are all inclusive (include contractor burdens such as General & Administrative expense, etc.) Note, while the Offeror if awarded the contract would receive burdens during performance, for evaluation purposes, the Offeror shall propose the below ceiling amounts. If an Offeror proposes a number inconsistent with the below, the Government will adjust the proposed amount to the below listed amounts.

CLIN NTE Amount 0005 $4,000,000

6) CLIN 0006 related to CPFF CLIN (0004): Offerors shall not propose separate prices for this CLIN as this CDRL CLIN is not separately priced.

7) Hosting Services (CLIN 0007)(FFP):

Offerors shall include Hosting Services associated with Ordering Years 2 through 5* of this CANES Training Virtual Environment contract. It is anticipated that hosting services will include those requirement set forth in Section 5.3.2 of the contract PWS and will be ordered each year as a firm fixed price (FFP) line item. For the purposes of the basic IDIQ CLIN, the contractor shall apply the proposed profit % to the estimated hosting services cost of the CLIN. This proposed fixed profit will remain constant throughout the life of the IDIQ.

Ordering Period Column 2

Estimated Hosting Services Cost

Column 3 Fixed Profit

Column 2 + Column 3 Total Hosting Services Ceiling

(CLIN 0007)

$5,000,000 $ $

*Hosting Services costs for Task Order 0001 should be included in the CPIF CLIN described above.

3.2.2 SUPPORTING COST DATA

1) General Instructions. The cost narrative shall discuss, in detail, the offerors basis and methodologies for all of its proposed costs. This shall include the offerors basis for direct and indirect rates reasonableness. This shall include the offerors basis for indirect rates calculation and application of indirect rates with supporting documentation to demonstrate cost reasonableness. It shall also include a detailed compensation plan in accordance with FAR provision 52.222-46. In preparing the cost proposal, it is required that offerors breakout and identify separately for each year of the contract (with the first year beginning on the date of award, see L- TXT-11 for award date estimate), and on a cumulative basis for all five years, the following cost elements:

2) Basis of Estimates (BOEs) (CLIN 0001 only) -

a) The Offeror/subcontractor shall provide narrative Basis of Estimates (BOEs) for each WBS element for CLIN 0001 as provided in Cost Summary Format 4-5. The narrative shall provide a description of the work to be performed, the total hours proposed, labor categories, materials proposed, software licenses, and any other costs associated with that WBS element. Descriptions of work to be performed must be explicit regarding what work will or will not be included in the effort. Rationale and appropriate supporting data for cost elements proposed must be included. If data from analogous programs is used, the analogous programs must be listed in Attachment 4-5. Offeror shall distinguish between recurring and nonrecurring efforts. Offeror shall provide a cross reference matrix that provides traceability from the BOE to the other volumes (i.e. technical) within the proposal. Matrix shall include BOE, Cross-Referenced Proposal Volume Number and Page Number.

The Offeror/subcontractor shall furnish the procedures and methodology used in compiling the proposed cost/price. All information which an Offeror/subcontractor wants the Government to consider under this criterion, must be disclosed. The Offeror’s/subcontractor’s proposal is presumed to represent the best efforts to respond to the solicitation. Any inconsistency, whether real or apparent, between promised performance and cost/price shall be explained in the proposal. For example, if the intended use of new and innovative training techniques is the basis for an abnormally low estimate, the nature of these techniques and their impact on cost/price shall be explained and fully justified. Any significant inconsistency, if unexplained, raises a question as to the Offeror’s/ subcontractor’s understanding of the nature and scope of the work required and the ability to perform the contract. If the cost/price information demonstrates that the Offeror/subcontractor does not understand or appreciate the level of effort necessary to successfully complete its approach to the requirements, the Government may consider this a program risk.

Offeror shall note that pricing for this CLIN shall include the proposed Target Cost, Proposed Target Fee, and Target Cost plus Target Fee in accordance with Section B of the RFP.

b) WORK BREAKDOWN STRUCTURES (WBS)

A Proposal Work Breakdown Structure Cost Data (Attachment 4-2) is provided to enable the Offeror/subcontractor to report the cost/price of CLIN 0001 in a common format to facilitate an accurate Government understanding. Unless otherwise noted, when the term WBS is used in this Section, it refers to the Proposal WBS. The cost elements shall be reported at the Level 3 WBS.

c) SUBSTANTIATION

In assessing the realism of the proposal, the Offeror’s/subcontractors respective company’s actual resource expenditures for comparable tasks and historical data on previous programs are of primary importance.

The proposed cost/price estimates shall be supported with the Offeror’s/subcontractors historical costs/prices and past experience with similar programs. When using historical cost data from comparable, analogous systems/subsystems, all assumptions affecting the Offeror’s proposal are to be fully documented (e.g. inflation, methodology, make or buy decisions, etc.). If the Offeror/subcontractor presents an analogous system to substantiate proposed costs and prices, in addition to providing verifiable actual costs for the analogous system as the basis of estimate, the Offeror/subcontractor must also provide background information and information related to cost-driving parameters for both the analogous and proposed system. Additionally, the Offeror/subcontractor shall present information that clarifies the complexity of the analogous system relative to that of the proposed system. When adequate substantiation is not provided in the proposal, the Government may opt to utilize historical data and its experience with other programs.

The Offeror/subcontractor must establish that the historical system is in fact similar enough to the proposed learning management system to constitute a valid analogy. When using historical or analogous systems as substantiation, the Offeror/subcontractor shall describe why the system is comparable to the proposed system. The Offeror/subcontractor is required to provide data for the historical program and demonstrate the relationship between the historical program, the proposed effort, and explain how and why the data was manipulated. The Offeror/subcontractor shall describe the basis for any parametric factors.

Substantiation of each portion of the proposal and a clear trace to the lowest level for which estimates were developed is required for the Offeror and each subcontractor. This information shall be consistent with the information provided in the technical proposal. This information is required in order to identify parameters that are likely to affect the cost of the proposed system, and to establish the relationship between the proposed system and the analogous system(s).

The burden of proof for credibility of the cost proposal rests entirely with the Offeror. General statements such as “estimates were derived from engineering analysis or judgment” are unacceptable. Furthermore, simply stating that the proposed cost/price is based on these similar programs is not adequate substantiation. In addition, statements that simply describe a historical program and the associated labor hours and material costs do not substantiate a cost estimate. The relationship of that program to the proposed system must be demonstrated and justified as outlined in this section. If a “new or improved” engineering or manufacturing process is the basis for projecting cost savings over historical systems, the Offeror/subcontractor shall provide a description of the improvements, the relationship to the previous process, and a summary of how these improvements will be achieved. Specific savings in work hours and material must be documented and justified with regard to the content and practicality of these improvements. Estimates for level of effort tasks shall include the following: task duration, time-phased hours and associated costs, and the relationship between the historical system and the proposed learning management system.

A programmatic and technical description of the historical system as well as the proposed learning management system shall be provided along with the actual cost data for the historical system, a comparison of the historical system to the proposed learning management system, and any adjustments made to the historical programmatic, technical and cost data to derive the proposed estimate. The Offeror/subcontractor shall clearly identify and distinguish information associated with the proposed system from information associated with the analogous learning management system. Detailed requirements are provided below.

(1) Programmatic Description

The programmatic description relates to the acquisition aspects of the historical system identified by the Offeror/subcontractor as analogous. This data shall include, at a minimum, a top-level schedule with critical milestones, sole source or competitive procurement, the Offeror’s/subcontractor’s actual contribution to the learning management system, and the time period in which the element was developed. These aspects of the historical system and their similarities to and differences from the proposed learning management system shall be explained.

(2) Technical Description

The technical description relates to the performance and physical aspects of the historical learning management system. These aspects of the historical learning management system and their similarities to and differences from the proposed learning management system shall be explained.

(3) Actual Cost Data

Cost or task data shall include the cost account, narrative description of the effort, and the actual cost data (including material, man-hours and total dollars). Actual cost data does not qualify as adequate substantiation when the Offeror/subcontractor simply refers to a cost account and provides the labor/material resource for the cost account (example: the XYZ program with the cost account 12345 containing 450 man-months). The Offeror/subcontractor shall properly cite, clarify, and establish the proper context of all historical actuals used to substantiate their offer and submit to the Government any relevant documentation needed to support the Offeror’s/subcontractor’s claims.

(4) Adjustments to Derive the Proposal Estimate

The Basis of Estimate (BOE) shall include reasons and justification for any adjustments made to programmatic, technical and actual cost data for the historical system. The Offeror/subcontractor shall provide the basis and document any adjustments applied to the historical data, such as complexity factors and normalization methods, to reflect the characteristics of the proposed system. The BOE shall also include an audit trail sufficient for the Government to reconstruct the proposed estimate and judge the credibility of data application. The BOE shall include the estimating methodology and application of the cost data.

(5) Requirements Peculiar to Commonly Used Cost Estimating Approaches

The Government recognizes that Offeror/subcontractor may use a variety of cost estimating approaches and techniques to develop their proposed estimates. This section outlines substantiation requirements peculiar to parametric, bottoms-up and analogous estimating techniques. As explained above, historical data from comparable systems/subsystems shall be used to substantiate the Offeror’s/subcontractor’s estimate to the maximum extent, and may be utilized with any of these techniques.

(a) Parametric Technique

Where parametric simulation or statistically derived models are employed, statistical measures of confidence, prediction capability, and fit shall be provided for independent and dependent variables, as well as the raw data and source(s) of this raw data. The Offeror/subcontractor shall describe any adjustments made to such data, including the reasons and justifications for the adjustments.

(b) Bottoms-Up Technique If a bottoms-up estimate is used, a summary of the procedures shall be included along with historical data supporting the estimate. This includes any cost improvement (learning) assumptions, business base adjustments, and any other factors that affect the estimate.

(c) Analogy Technique If an analogous estimating technique is used, the technical information required in this section, as well as procurement history shall be supplied to support the…