Amendment_03.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 address questions from industry.

1. CONTRACT ID CODE PAGE OF PAGES

J 1 24

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

16C. DATE SIGNED

BY 15-Jan-2019

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 N0017419R0099

X 9B. DATED (SEE ITEM 11)

20-Nov-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 is extended, X 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 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

15-Jan-2019

CODE

NSWC IHEODTD N

4081 N. JACKSON RD

BLDG 841

INDIAN HEAD MD 20640-5116

N00174 7. ADMINISTERED BY (If other than item 6)

4. REQUISITION/PURCHASE REQ. NO.

CODE

See Item 6

FACILITY CODECODE

EMAIL:TEL:

N0017419R0099

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION SF 30 - BLOCK 14 CONTINUATION PAGE

The following have been added by full text:

AMENDMENT 03

The purpose of this amendment is to address questions from industry as follows:

Drawings 5871470 6214082 7259015 7258966 7258963 7258962 7258961 7258960 are now included on FBO.

The progress payments clause, 52.232-16 has been added to the solicitation.

1) Prior efforts for same NSN allowed for 2 sub-lots of cartridges to be utilized in the manufacture of the final linked and packed cartridge lot, however the ADC requires 100% accuracy of the count of the rounds.

GOVERNMENT RESPONSE: Prior purchases of this cartridge are not applicable to this contract action and should not be considered. The questions should relate to the current solicitation and associated technical data.

a) Is this still allowed? Where does it clearly identify this?

GOVERNMENT RESPONSE: This is no longer allowed, section 4.3.2 of the specification details the lotting requirements in addition to MIL-STD-1168.

b) Due to loss of rounds from scrap created in the linking process this is difficult to manage.

GOVERNMENT RESPONSE: Alternative methods to support the requirement should be explored.

c) On prior contracts the USG has required 100% re-inspection of lot number with 2x visual inspection on the cartridge lot number. The letter height is approximately .100 and very difficult to read.

Can this requirement for 100% accurate count on the ADC of the finished lot be modified to allow ‘estimated’ quantity of each sub-lot?

GOVERNMENT RESPONSE: The Offeror should cost in estimated waste/damage in their proposal. If excess material is made it would be up to the US Navy to consider buying additional material from the contractor if it is presented and funding is available. Delivery of Excess Quantities, 52.211-17, is in Section F of the solicitation.

2) Lot number on Cartridge – The lot number on the cartridge has been discussed to be removed on prior contracts for the identical NSN. As it stands, the lot number is injection molded on the cartridge in the 3rd step of +/- 7 steps of the process. This is unusual in other A&E programs. For Most programs the lot number is the last item marked on the cartridge, after the round is 100% complete. There should not be any additional scrap or loss in the manufacturing process, as this is the final step.

Can the requirement for the cartridge to have an individual lot number be removed?

GOVERNMENT RESPONSE: The lot # is imbedded in the mold itself, so please clarify the other 6 steps that can affect the lot numbering of the cartridge.

The lot number must be in accordance with the technical data and MIL-STD-1168. Due to the handling of the weapons system a “stenciling” operation will wear off quickly and all traceability will be lost. Therefore, this requirement will not be removed.

3) We are aware of Mil-Spec ammunition cans being made overseas for this program. What requirements or limitations are present that would prevent foreign manufactured ammunition cans?

GOVERNMENT RESPONSE: The Buy American Act is part of the solicitation 52.225, see referenced sections on page 88.

4) Based upon the number of pages of Work Instructions and Quality Inspection Instructions on prior efforts for the identical NSN, we feel 50 pages for Technical is inadequate to even provide enough of key elements of these documents. Can the page count be increased to 75 pages?

GOVERNMENT RESPONSE: Yes, this is changed in Section L.

5) Based upon the number of pages of Work Instructions and Quality Inspection Instructions on prior efforts for the identical NSN, we feel 50 pages for Quality is inadequate to even provide enough of key elements of these documents. Can the page count be increased to 75 pages?

GOVERNMENT RESPONSE: Yes, the page count can be increased to 75 pages. The Offeror should also ensure that all PQDR’s in the past 3 years are made applicable to the Government. The USG shall also contact the local DCMA office to validate the PQDR’s as applicable.

6) GFM is referenced multiple times in the solicitation and referenced in the CDRLS and Attachment 2. What is attachment 2 and what is the GFM item?

GOVERNMENT RESPONSE: GFM is comprised of the MK3 MOD 0 pallets. The Government Supplied Gages are considered Government Supplied Equipment and not Material.

7) The FOB Destination deliveries for FMS seem to indicate the FOB Destination is the Freight Forwarder location.

Can you clarify where it states this in the solicitation?

GOVERNMENT RESPONSE: Please see FMS requirements for Turkey on page 3 and page 4 for Taiwan in the solicitation for the FOB destination.

8) Is there any correlation between the drawing numbers and the file numbers?

GOVERNMENT RESPONSE: No, there is no correlation between the drawing numbers and the file numbers.

Please reference drawing numbers in the ADL5355799 and WS35947 (Cartridge) and WS22485 (MK7 Link) Specifications.

9) On prior efforts for the identical NSN, there have been issues with USG review of documents. These issues include changes made on secondary inspections of a document, that were missed or ignored on the initial inspection.

This causes significant delays and dramatically effects the contractor’s ability to successfully start up a program on schedule. What has the USG done to address these issues, what can the USG do to address these issues on this solicitation and the resulting contract?

GOVERNMENT RESPONSE: The Offeror should supply accurate submittals the first time and not require multiple re-submittals. As an example if a contractor has submitted a document with severe discrepancies not all minor discrepancies will be caught initially and require yet another submittal. In addition, if the contractor does not adhere to the government remarks in its entirety it will also require another re-submittal.

10) Drawing 8563567 –

a) There is no protective finish requirement on the stem. Untreated metal of this type, if setting for even 24 hours in an extremely moist and/or salty environment will rust. How does the USG suggest the contractor prevents rust and molds over a totally preservative free metal part?

GOVERNMENT RESPONSE: The contractor must adhere to the Drawing in its entirety.

b) Note 9 has a weight requirement. Since these parts are manufactured in 2 totally separate processes, would it not be easier to have weights identified on the individual components? Can target weights be added to the individual components?

GOVERNMENT RESPONSE: There have been changes to alleviate concern in 10a and are referenced on the Drawing.

c) Remove Knurling –The ‘stem’ part has knurling on it. This knurling serves no purpose and is very expensive. The head and stem have a slip fit and serve no purpose in pull testing. Therefore, the only possible purpose of the knurling is to allow better adhesion of the injection molding to the metal. A simple .010 to .020 deep and .020 wide spiral cut on the part versus a knurl would serve the same purpose, while dramatically reducing the part cost. Will the USG consider this change or allow this alternative process?

GOVERNMENT RESPONSE: Knurling helps the Nylon adhere to the stem of the cartridge and will not be removed or waived from the Technical Data requirements.

11) DCMA

a) DCMA is mentioned multiple times in the solicitation.

GOVERNMENT RESPONSE: (DCMA) is the Department of Defense (DoD) component that works directly with Defense suppliers to help ensure that DoD, Federal, and allied government supplies and services are delivered on time, at projected cost, and meet all performance requirements.

b) Please confirm or deny that DCMA will be the accepting authority at the LAT and at any subcontractor location.

GOVERNMENT RESPONSE: DCMA will be granted acceptance authority on the contract for certain tasks but also may be directed to consult the US Navy prior to acceptance at any point during the execution of the contract.

c) Is it the USG’s intent to delegate DCMA to all major component suppliers of acceptance inspection of each lot? (head, stem, cartridge, link, can, final assembled & linked ammunition) GOVERNMENT RESPONSE: It is the Government’s intent to delegate authority to DCMA to support major components suppliers but, the specific responsibilities vary and are it is too early to determine at this time.

12) Partial Ammo Cans – Multiple CLIN quantities listed are all less than a full M548 ammo cans. The cost and the time to identify, mark, coordinate and track less than full ammo cans is costly to both the contractor and the

USG.

a) Can the USG correct these quantities?

GOVERNMENT RESPONSE: If the price that is supplied by the winning contractor constitutes a full can of cartridges or partial can it is the contractor’s responsibility to adjust, track, mark the items in accordance with the appropriate government guidance.

b) Can the contract adjust the quantity upwards for full cans, for the same price?

GOVERNMENT RESPONSE: Quantities and packaging requirements are defined in the solicitation and supporting technical data package.

13) Economic Price Adjustment – The multiple production steps, the long FAT process and the high cost of the all metal parts as compared to the total item are significant. In addition, the current tariff situation could dramatically swing the price in the time from bid to Final deliveries. Can the USG add an EPA clause to reduce risk to the contractor?

GOVERNMENT RESPONSE: The Government recognizes that the tariffs raise direct and immediate legal and business issues and may present substantial uncertainty and monetary risk. The FAR clause for equitable price adjustment may provide grounds for relief for contractors faced with impacts from the tariffs. DFARS clause 252.216-7008 included in the solicitation provides for an equitable adjustment in the contract price if the rate of pay for labor or the unit prices for materials shown in the contract Schedule either increases or decreases. It is the responsibility of the Offeror to monitor steel market conditions to determine if provisions can or must be included in bids/proposals to minimize or eliminate the risk of steel price increases. Because the tariffs that have been imposed and are now widely known, Offerors on future bids and contracts will not be able to claim unknown or unforeseen events and utilize force majeure type clauses.

14) Drawing 8563567 –

a) Note 2 seems to indicate the stem is now made out of 303 Stainless, versus 430F on prior drawing. Has the stem material changed?

GOVERNMENT RESPONSE: The material requirement for the design of the product is defined in the technical data associated with this solicitation.

b) On prior efforts there was some issue with clarity of the headstem, versus the head and stem as separate items.

This came into play in multiple areas, including the ADC. Where the headstem needs to be 2 different parts for lot numbering purposes – one for head and one for stem. In light of this, can the USG change drawing 8653567 to an Assembly drawing (only) and have two separate drawing numbers for head and stem? This would make things considerably easier and more clear in the production process.

GOVERNMENT RESPONSE: The Government does not intend to modify the drawing at this time. Offerors are requested to respond to the solicitation against the requirements outlined in the documentation.

c) Note 2 – is not associated with the head on page 1 or 2, so we need clarity of the head material. Right now it appears that there is no material required.

GOVERNMENT RESPONSE: The material requirement is called out in Note 2 of the drawing.

15) WS 35947 –

a) 4.3.4.2 – Major 101 - Now requires 100% profile. In some cases, minor surface flaws caused the part not to chamber. Can the contractor re-work the parts that fail chamber gage by sanding or turning off plastic?

GOVERNMENT RESPONSE: The Government assumes that the Offeror will optimize their manufacturing processes by minimizing their scrap rate. It is also assumed that the Offeror will account for scrap materials in their unit costs. Please refer to the solicitation for what is required for rework procedures.

b) 4.3.4.2 – Major 101 – Will the USG specify where in the manufacturing process the 100% inspection needs to occur? Does it need to be at the injection molding facility or prior to linking?

GOVERNMENT RESPONSE: The Government does not dictate nor specify a contractor’s manufacturing process.

The Offeror should define contractual reliability and confidence levels of inspections in their bid proposal to support the Government’s requirements.

c) 4.3.4.2 – Major 101 – Assuming the 100% profile is done at injection molder, if the part failed chamber gage (without going through temperature cycle, drop tests or other test that could alter the part) after the lot was accepted at the injection molder, would that be justification for the whole lot to be failed or suspect and require 100% re-inspection? Would the re- inspection be only 100% chamber 1 time or would other dimensional tests be required?

GOVERNMENT RESPONSE: The Government will not be responding to hypotheticals or any associated corrective action for any requirements in this solicitation. The Offeror should provide a recommended approach in their bid proposal and refer to MIL-STD-1916 for lot acceptance and failure criteria.

d) Tables I, II, & III – reference paragraphs 4.3.5.1 and 4.3.5.2, which seem to be missing. Can you clarify the correct paragraph?

GOVERNMENT RESPONSE: The correct paragraphs in the specification are 4.3.4.1 and 4.3.4.2.

e) 3.8.1 & 3.8.2 – Our approved mold has multiple contact points to hold and locate the stem. These leave 1 rectangle and 3 small circles. We wanted clarity that these are acceptable and would not be considered mold gates or processing defects.

GOVERNMENT RESPONSE: The Government does not intend to respond to this question. The Offeror is expected to address technical requirements outlined in the solicitation in their bid proposal for evaluation.

16) Drawing 8563567 and WS 35947 –

a) Have new rounds been built with the new weight (with stainless stem) and tested to the drop and pull tests?

GOVERNMENT RESPONSE: The Government does not intend to respond to this question. The Offeror is expected to address how they will meet all requirements in their bid proposal for evaluation.

b) If no, what happens to the awarded contractor if this minor (untested) deviation to the round results in failures in the various drop tests?

GOVERNMENT RESPONSE: Previous Government testing and evaluation does not apply to this solicitation.

c) Have any Stems been built in 303 to determine how well 303 stainless will handle the knurling?

GOVERNMENT RESPONSE: The Government does not intend to respond to this question. All Offerors are required to describe their technical and manufacturing approaches in their bid proposals for evaluation07.

d) Is any test data supporting the changes available to the contractors to review?

GOVERNMENT RESPONSE: The Government does not intend to provide contractors any supporting test data for review.

17) Technical Review – Is a technical review possible to cover all the recent changes made to the M51A4N?

This could include rationale and testing results in a power point document.

GOVERNMENT RESPONSE: The Government does not intend to provide a technical review to discuss the requirements for the M51A4N. All Offerors are required to describe their technical and manufacturing approaches in their bid proposals for evaluation.

18) Question turnaround time – Since questions are taking so long to answer, can we get a timeframe to address follow up questions? Is a teleconference possible?

GOVERNMENT RESPONSE: The Government will not be providing a teleconference for Offerors to address their solicitation questions. Please refer to FedBizOpps for updates to this solicitation.

SECTION G - CONTRACT ADMINISTRATION DATA

The following have been added by full text:

52.232-16 PROGRESS PAYMENTS (APR 2012)

The Government will make progress payments to the Contractor when requested as work progresses, but not more frequently than monthly, in amounts of $2,500 or more approved by the Contracting Officer, under the following conditions:

(a) Computation of amounts. (1) Unless the Contractor requests a smaller amount, the Government will compute each progress payment as 80 percent of the Contractor's total costs incurred under this contract whether or not actually paid, plus financing payments to subcontractors (see paragraph (j) of this clause), less the sum of all previous progress payments made by the Government under this contract. The Contracting Officer will consider cost of money that would be allowable under FAR 31.205-10 as an incurred cost for progress payment purposes.

(2) The amount of financing and other payments for supplies and services purchased directly for the contract are limited to the amounts that have been paid by cash, check, or other forms of payment, or that are determined due and will be paid to subcontractors--

(i) In accordance with the terms and conditions of a subcontract or invoice; and

(ii) Ordinarily within 30 days of the submission of the Contractor's payment request to the Government.

(3) The Government will exclude accrued costs of Contractor contributions under employee pension plans until actually paid unless--

(i) The Contractor's practice is to make contributions to the retirement fund quarterly or more frequently; and

(ii) The contribution does not remain unpaid 30 days after the end of the applicable quarter or shorter payment period (any contribution remaining unpaid shall be excluded from the Contractor's total costs for progress payments until paid).

(4) The Contractor shall not include the following in total costs for progress payment purposes in paragraph (a)(1) of this clause:

(i) Costs that are not reasonable, allocable to this contract, and consistent with sound and generally accepted accounting principles and practices.

(ii) Costs incurred by subcontractors or suppliers.

(iii) Costs ordinarily capitalized and subject to depreciation or amortization except for the properly depreciated or amortized portion of such costs.

(iv) Payments made or amounts payable to subcontractors or suppliers, except for --

(A) Completed work, including partial deliveries, to which the Contractor has acquired title; and

(B) Work under cost-reimbursement or time-and-material subcontracts to which the Contractor has acquired title.

(5) The amount of unliquidated progress payments may exceed neither (i) the progress payments made against incomplete work (including allowable unliquidated progress payments to subcontractors) nor

(ii) the value, for progress payment purposes, of the incomplete work. Incomplete work shall be considered to be the supplies and services required by this contract, for which delivery and invoicing by the Contractor and acceptance by the Government are incomplete.

(6) The total amount of progress payments shall not exceed 80 percent of the total contract price.

(7) If a progress payment or the unliquidated progress payments exceed the amounts permitted by subparagraphs (a)(4) or (a)(5) of this clause, the Contractor shall repay the amount of such excess to the Government on demand.

(8) Notwithstanding any other terms of the contract, the Contractor agrees not to request progress payments in dollar amounts of less than $2,500. The Contracting Officer may make exceptions.

(9) The costs applicable to items delivered, invoiced, and accepted shall not include costs in excess of the contract price of the items.

(b) Liquidation. Except as provided in the Termination for Convenience of the Government clause, all progress payments shall be liquidated by deducting from any payment under this contract, other than advance or progress payments, the unliquidated progress payments, or 80 percent of the amount invoiced, whichever is less. The Contractor shall repay to the Government any amounts required by a retroactive price reduction, after computing liquidations and payments on past invoices at the reduced prices and adjusting the unliquidated progress payments accordingly. The Government reserves the right to unilaterally change from the ordinary liquidation rate to an alternate rate when deemed appropriate for proper contract financing.

(c) Reduction or suspension. The Contracting Officer may reduce or suspend progress payments, increase the rate of liquidation, or take a combination of these actions, after finding on substantial evidence any of the following conditions:

(1) The Contractor failed to comply with any material requirement of this contract (which includes paragraphs (f) and (g) of this clause).

(2) Performance of this contract is endangered by the Contractor's --

(i) Failure to make progress or

(ii) Unsatisfactory financial condition.

(3) Inventory allocated to this contract substantially exceeds reasonable requirements.

(4) The Contractor is delinquent in payment of the costs of performing this contract in the ordinary course of business.

(5) The fair value of the undelivered work is less than the amount of unliquidated progress payments for that work.

(6) The Contractor is realizing less profit than that reflected in the establishment of any alternate liquidation rate in paragraph (b) of this clause, and that rate is less than the progress payment rate stated in subparagraph (a)(1) of this clause.

(d) Title.

(1) Title to the property described in this paragraph (d) shall vest in the Government. Vestiture shall be immediately upon the date of this contract, for property acquired or produced before that date. Otherwise, vestiture shall occur when the property is or should have been allocable or properly chargeable to this contract.

(2) "Property," as used in this clause, includes all of the below-described items acquired or produced by the Contractor that are or should be allocable or properly chargeable to this contract under sound and generally accepted accounting principles and practices.

(i) Parts, materials, inventories, and work in process;

(ii) Special tooling and special test equipment to which the Government is to acquire title;

(iii) Nondurable (i.e., noncapital) tools, jigs, dies, fixtures, molds, patterns, taps, gauges, test equipment, and other similar manufacturing aids, title to which would not be obtained as special tooling under paragraph (d) (2)(ii) of this clause; and

(iv) Drawings and technical data, to the extent the Contractor or subcontractors are required to deliver them to the Government by other clauses of this contract.

(3) Although title to property is in the Government under this clause, other applicable clauses of this contract; e.g., the termination clauses, shall determine the handling and disposition of the property.

(4) The Contractor may sell any scrap resulting from production under this contract without requesting the Contracting Officer's approval, but the proceeds shall be credited against the costs of performance.

(5) To acquire for its own use or dispose of property to which title is vested in the Government under this clause, the Contractor must obtain the Contracting Officer's advance approval of the action and the terms. The Contractor shall

(i) exclude the allocable costs of the property from the costs of contract performance, and (ii) repay to the Government any amount of unliquidated progress payments allocable to the property. Repayment may be by cash or credit memorandum.

(6) When the Contractor completes all of the obligations under this contract, including liquidation of all progress payments, title shall vest in the Contractor for all property (or the proceeds thereof) not--

(i) Delivered to, and accepted by, the Government under this contract; or

(ii) Incorporated in supplies delivered to, and accepted by, the Government under this contract and to which title is vested in the Government under this clause.

(7) The terms of this contract concerning liability for Government-furnished property shall not apply to property to which the Government acquired title solely under this clause.

(e) Risk of loss. Before delivery to and acceptance by the Government, the Contractor shall bear the risk of loss for property, the title to which vests in the Government under this clause, except to the extent the Government expressly assumes the risk. The Contractor shall repay the Government an amount equal to the unliquidated progress payments that are based on costs allocable to property that is lost (see 45.101).

(f) Control of costs and property. The Contractor shall maintain an accounting system and controls adequate for the proper administration of this clause.

(g) Reports, forms, and access to records. (1) The Contractor shall promptly furnish reports, certificates, financial statements, and other pertinent information (including estimates to complete) reasonably requested by the Contracting Officer for the administration of this clause. Also, the Contractor shall give the Government reasonable opportunity to examine and verify the Contractor's books, records, and accounts.

(2) The Contractor shall furnish estimates to complete that have been developed or updated within six months of the date of the progress payment request. The estimates to complete shall represent the Contractor's best estimate of total costs to complete all remaining contract work required under the contract. The estimates shall include sufficient detail to permit Government verification.

(3) Each Contractor request for progress payment shall:

(i) Be submitted on Standard Form 1443, Contractor's Request for Progress Payment, or the electronic equivalent as required by agency regulations, in accordance with the form instructions and the contract terms; and

(ii) Include any additional supporting documentation requested by the Contracting Officer.

(h) Special terms regarding default. If this contract is terminated under the Default clause, (i) the Contractor shall, on demand, repay to the Government the amount of unliquidated progress payments and (ii) title shall vest in the Contractor, on full liquidation of progress payments, for all property for which the Government elects not to require delivery under the Default clause. The Government shall be liable for no payment except as provided by the Default clause.

(i) Reservations of rights.

(1) No payment or vesting of title under this clause shall --

(i) Excuse the Contractor from performance of obligations under this contract or

(ii) Constitute a waiver of any of the rights or remedies of the parties under the contract.

(2) The Government's rights and remedies under this clause

(i) Shall not be exclusive but rather shall be in addition to any other rights and remedies provided by law or this contract and

(ii) Shall not be affected by delayed, partial, or omitted exercise of any right, remedy, power, or privilege, nor shall such exercise or any single exercise preclude or impair any further exercise under this clause or the exercise of any other right, power, or privilege of the Government.

(j) Financing payments to subcontractors. The financing payments to subcontractors mentioned in paragraphs (a)(1) and (a)(2) of this clause shall be all financing payments to subcontractors or divisions, if the following conditions are met:

(1) The amounts included are limited to--

(i) The unliquidated remainder of financing payments made; plus

(ii) Any unpaid subcontractor requests for financing payments.

(2) The subcontract or interdivisional order is expected to involve a minimum of approximately 6 months between the beginning of work and the first delivery; or, if the subcontractor is a small business concern, 4 months.

(3) If the financing payments are in the form of progress payments, the terms of the subcontract or interdivisional order concerning progress payments--

(i) Are substantially similar to the terms of this clause for any subcontractor that is a large business concern, or this clause with its Alternate I for any subcontractor that is a small business concern;

(ii) Are at least as favorable to the Government as the terms of this clause;

(iii) Are not more favorable to the subcontractor or division than the terms of this clause are to the Contractor;

(iv) Are in conformance with the requirements of FAR 32.504(e); and

(v) Subordinate all subcontractor rights concerning property to which the Government has title under the subcontract to the Government's right to require delivery of the property to the Government if--

(A) The Contractor defaults; or

(B) The subcontractor becomes bankrupt or insolvent.

(4) If the financing payments are in the form of performance-based payments, the terms of the subcontract or interdivisional order concerning payments--

(i) Are substantially similar to the Performance-Based Payments clause at FAR 52.232-32 and meet the criteria for, and definition of, performance-based payments in FAR Part 32;

(ii) Are in conformance with the requirements of FAR 32.504(f); and

(iii) Subordinate all subcontractor rights concerning property to which the Government has title under the subcontract to the Government's right to require delivery of the property to the Government if--

(A) The Contractor defaults; or

(B) The subcontractor becomes bankrupt or insolvent.

(5) If the financing payments are in the form of commercial item financing payments, the terms of the subcontract or interdivisional order concerning payments--

(i) Are constructed in accordance with FAR 32.206(c) and included in a subcontract for a commercial item purchase that meets the definition and standards for acquisition of commercial items in FAR Parts 2 and 12;

(ii) Are in conformance with the requirements of FAR 32.504(g); and

(iii) Subordinate all subcontractor rights concerning property to which the Government has title under the subcontract to the Government's right to require delivery of the property to the Government if--

(A) The Contractor defaults; or

(B) The subcontractor becomes bankrupt or insolvent.

(6) If financing is in the form of progress payments, the progress payment rate in the subcontract is the customary rate used by the contracting agency, depending on whether the subcontractor is or is not a small business concern.

(7) Concerning any proceeds received by the Government for property to which title has vested in the Government under the subcontract terms, the parties agree that the proceeds shall be applied to reducing any unliquidated financing payments by the Government to the Contractor under this contract.

(8) If no unliquidated financing payments to the Contractor remain, but there are unliquidated financing payments that the Contractor has made to any subcontractor, the Contractor shall be subrogated to all the rights the Government obtained through the terms required by this clause to be in any subcontract, as if all such rights had been assigned and transferred to the Contractor.

(9) To facilitate small business participation in subcontracting under this contract, the Contractor shall provide financing payments to small business concerns, in conformity with the standards for customary contract financing payments stated in Subpart 32.113. The Contractor shall not consider the need for such financing payments as a handicap or adverse factor in the award of subcontracts.

(k) Limitations on undefinitized contract actions. Notwithstanding any other progress payment provisions in this contract, progress payments may not exceed 80 percent of costs incurred on work accomplished under undefinitized contract actions. A "contract action" is any action resulting in a contract, as defined in Subpart 2.1, including contract modifications for additional supplies or services, but not including contract modifications that are within the scope and under the terms of the contract, such as contract modifications issued pursuant to the Changes clause, or funding and other administrative changes. This limitation shall apply to the costs incurred, as computed in accordance with paragraph (a) of this clause, and shall remain in effect until the contract action is definitized. Costs incurred which are subject to this limitation shall be segregated on Contractor progress payment requests and invoices from those costs eligible for higher progress payment rates. For purposes of progress payment liquidation, as described in paragraph (b) of this clause, progress payments for undefinitized contract actions shall be liquidated at 80 percent of the amount invoiced for work performed under the undefinitized contract action as long as the contract action remains undefinitized. The amount of unliquidated progress payments for undefinitized contract actions shall not exceed 80 percent of the maximum liability of the Government under the undefinitized contract action or such lower limit specified elsewhere in the contract. Separate limits may be specified for separate actions.

(l) Due date. The designated payment office will make progress payments on the _30th____ (Contracting Officer insert date as prescribed by agency head; if not prescribed, insert “30th”) day after the designated billing office receives a proper progress payment request. In the event that the Government requires an audit or other review of a specific progress payment request to ensure compliance with the terms and conditions of the contract, the designated payment office is not compelled to make payment by the specified due date. Progress payments are considered contract financing and are not subject to the interest penalty provisions of the Prompt Payment Act.

(m) Progress payments under indefinite--delivery contracts. The Contractor shall account for and submit progress payment requests under individual orders as if the order constituted a separate contract, unless otherwise specified in this contract.

(End of clause)

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO BIDDERS

The following have been modified:

SECTION L

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO OFFERORS

1.0 OVERVIEW

The purpose of this requirement is the acquisition of M51A4N 20mm Plastic Dummy Cartridges. The M51A4N Plastic Dummy Cartridge with MK7 Links is designed for use in the Navy’s Close-In Weapon System (CIWS), which is the 20mm anti-missile defense system. The M51A4N with MK7 links is used for weighting, balancing, gun checks, and dry cycling of the CIWS during ship install verification.

1.1 Contract Award

1.1.1 The Government intends to award a single firm-fixed price contract with one base year and four option years as a result of this solicitation in accordance with Section M, to the responsible Offeror whose proposal represents the Best Value to the Government, utilizing a trade-off process in accordance with the Factors and Sub-factors set forth in the solicitation.

1.1.2 The Government may reject any or all proposals if such action is in the Government’s best interest.

1.1.3 The Government reserves the right to award a contract based on initial offers and without holding discussions, but reserves the right to hold discussions at the Government's discretion; therefore, the Offeror’s initial proposal should contain the Offeror’s best terms from a cost/price and technical standpoint.

1.1.4 The Government may conduct price analysis on the price proposal when deemed necessary to fully evaluate price.

2.0 NOTICES TO OFFERORS

2.1 Submission

2.1.1 Submission, modification, revision, and withdrawal of proposals

(i) The Offeror shall submit the following information in both hard copy and electronic copy format; failure to do so will render an offer ineligible for award:

1. Four (4) copies of the Technical Volume I.

2. Two (2) copies of Past Performance Volume II, including Past Performance Matrix, and Past Performance Questionnaire.

3. One (1) copy of the Price Volume III, containing the completed and signed RFP package, with all representation certifications executed, and with prices in Section B.

(ii) Any proposal modification or revision not received/submitted by the exact time specified for receipt of offers is “late” and may not be considered. The solicitation will close at the exact date and time specified in the solicitation and Offerors will be unable to submit their proposal after that time.

(iii) Proposals may be withdrawn by written notice to the Contracting Officer provided such notice is received prior to contract award. Withdrawals are effective upon receipt of notice by the Contracting Officer.

4. Two (2) copies of the Small Business Subcontracting Plan Volume IV Failure to submit a complete proposal prior to the solicitation closing date and time may render the proposal unacceptable.

2.2 Offer Expiration Date

Proposals in response to this solicitation shall be valid for 270 calendar days.

3.0 PROPOSAL FORMAT

3.1 General

Offerors must comply with the detailed instructions for the format and content of the proposal; proposals that do not comply with the detailed instructions for the format and content of the proposal may be considered non-responsive and may render the Offeror ineligible for award. Format shall comply with the following information:

8.5 x 11 inch paper Single-spaced typed lines 1 inch margins 12-point Times New Roman Font text

Offerors are instructed to clearly label all files with Volume number, company name and a unique identifying name which is reflective of the contents of the file (i.e., VOL. III, ABC COMPANY, PRIME COST PROPOSAL). Please keep the file names consistent for all volumes.

The Offeror shall submit proposals in hard copy to:

NSWC IHEODTD - Picatinny Detachment Code 022AP – Alex Polster 3rd Avenue, Bldg. 61N Picatinny Arsenal, NJ 07806-5000

The Offeror shall also submit one proposal in electronic copy to:

Devon.renner@navy.mil

3.1.1 Page Numbering

The Offeror shall use a standard page numbering system to facilitate proposal references. Number consecutive pages within sections. Charts, graphs and other insert materials shall be page-numbered as part of the page numbering system.

3.1.2 Page Limitations

Page limitations are identified for each volume/section of the proposal, as described in paragraph 5.0 below and will be treated as maximums. If exceeded, excess pages will not be read or considered in proposal evaluation. When both sides of a sheet display printed material, it shall be counted as two pages. Graphs, charts, and tables are included in the page count. Annexes, documentation and attachments that are submitted by the Offeror, which are not required as part of the RFP, will count against the page limitations. The following are not included in the page limitations:

(i) Title/Cover pages

(ii) Tables of contents

(iii) Glossaries of abbreviations and acronyms

(iv) Subcontracting agreements, letters of intent, resumes, and subcontract agreements

(v) Proposal Cross-Reference Tables

(vi) Indices

(vii) Acronym lists

(viii) Page dividers (used to separate proposal sections)

3.2 A cover letter, provided as a separate file, of the proposal must provide the following:

(i) The solicitation number;

(ii) Cage Code;

(iii) The name, address, e-mail address, and telephone and facsimile numbers of points of contact for the Offeror and teaming subcontractors;

(iv) Names, titles, and telephone and facsimile numbers (and electronic addresses if available) of persons authorized to negotiate on the Offeror’s behalf with the Government in connection with this solicitation;

(v) Name, title, and signature of person authorized to sign the proposal.

(vi) A statement that the Offeror consents, meets and agrees with all terms, conditions, requirements, provisions, and amendments included in the solicitation. Offerors must meet all requirements at the time of proposal submission; or provide with their cover letter an acceptable plan to meet the requirements by the start date of the contract performance. Failure to meet all requirements at the time of proposal submission or provide an acceptable plan to meet the requirements by the start date of the contract performance may remove the Offeror from consideration of award. The following elements of the technical proposal shall be addressed in the cover letter:

• Organizational Conflict of Interest (OCI) Certification/Mitigation Plan: The Offeror shall state compliance with the OCI clause HQ L-2-0005 - Notification of Potential Organizational Conflict(s) Of Interest (NAVSEA) (JUN 1994). If a potential conflict of interest exists at any tier, each potential prime Offeror is requested to notify the Contracting Officer within 14 days of the date of this solicitation and present an acceptable plan to neutralize any potential organizational conflict of interest. Those Offerors deemed to have a conflict of interest may be ineligible for award.

• Personnel: The Offeror shall provide a statement that all proposed “key personnel” will be available upon contract award and non-key personnel and contingent hires will be available within 30 days of contract award.

• Small Business Subcontracting Plan: The Offeror shall propose at least 5% to small businesses.

3.3 Cover Page, Table of Contents, Proposal Cross-Reference Table

Each proposal volume must include a Cover Page and a Table of Contents. The Cover Page shall identify the solicitation number, amendment number, proposal volume and title, and the Offeror’s name. Volume I shall include a Master Table of Contents and a Proposal Cross-Reference Table. The Proposal Cross-Reference Table shall indicate the required proposal content by solicitation section/page number and the section/page number where this content appears in the proposal. For Capacity Planning purposes, the Government will review the Offeror’s completed NSWC IHEODTD Form 146, (Attachment XX).

3.4 Glossary of Abbreviations and Acronyms

Each volume shall contain a glossary which includes all abbreviations, acronyms and their corresponding definitions.

3.5 Price Information

Pricing information of any kind shall only be included in Volume III, Price Proposal and Volume IV, Small Business Subcontracting Plan Goals. Price summary and back-up spreadsheets must be submitted in MS Excel format.

5.0 PROPOSAL ORGANIZATION

Factors are listed in descending order of importance.

VOLUME I – TECHNICAL (Factor 1) (Not to Exceed 50 pages)

The Offeror shall address each subfactor listed below, which are of equal importance. Offerors are to ensure that only Technical information is contained within Volume I. The technical proposal shall not exceed 50 75 single sided pages, not less than 12 point Times New Roman. The technical proposal shall not contain any hyperlinks or electronically imbedded links or price information. If the technical proposal exceeds 50 75 single-sided pages, only the first 50 75 pages will be evaluated. The Offeror’s technical proposal must demonstrate an understanding of all requirements covered in the Statement of Work (SOW) and RFP terms and conditions. The resultant Offeror’s proposal will be incorporated into the contract by reference and the Offeror shall perform in accordance with the technical proposal presented with its proposal.

The technical proposal shall contain information/documentation in sufficient detail to enable evaluation based on the factors/sub-factors listed in Section M, Clause entitled Best Value Evaluation and Basis for Award and as detailed below. To this end, each technical proposal shall be specific, detailed and complete as to clearly and fully demonstrate that the prospective contractor has a thorough knowledge and understanding of the requirements and has valid and practical solutions for technical problems. Statements that paraphrase the specifications or attest that standard procedures will be employed are inadequate to demonstrate how the Offeror will comply with the requirements of the specifications, and this clause.

The Offeror shall describe how it plans to accomplish the tasks associated with the following subfactors:

SUB-FACTOR 1: MANUFACTURING PLAN

• The offeror shall provide a thorough description of the manufacturing plan proposed for the production of the

M51A4N Cartridge. This description will demonstrate the offeror’s level of understanding of the technical data package (drawings and specifications) and the requirements in the RFP. The manufacturing plan shall provide a description of each operation detailing how the cartridge will be produced (process prints may also be submitted if they assist in clarifying the proposed manufacturing processes in meeting TDP requirements). The offeror shall provide a process flowchart for all production equipment, material/product handling and storage, inspection, packaging and shipping.

• All subcontracted work (if any) shall be discussed in the same level of detail as the in-house production. The proposal shall include the level of effort that will be required from the subcontractor and a description of the tasks to be performed. The contractor shall provide details on how they plan to manage their subcontracting work.

• The offeror shall identify the key parameters and any potential problem areas or risks of the manufacturing process operations shown in the proposal (i.e. metal stamping, machining, and plastic molding) as well as any other adverse manufacturing events, resource shortages, and unscheduled process interruptions. The offeror shall also describe, in detail, how it proposes to mitigate these risks and prepare for contingencies. All subcontracted work (if any) shall be discussed in the same detail as in-house production.

• The offeror shall provide individual qualifications, expertise, training, and specific job descriptions of all key personnel who shall be responsible for executing the proposed manufacturing plan for both the contractor and subcontractor(s). The government may reject a proposal if the personnel identified do not have applicable experience and expertise. In addition, the contractor’s proposal shall provide information on their financial stability, if they have the funds necessary to execute this type of effort.

SUB-FACTOR 2: MANUFACTURING EQUIPMENT, FACILITIES, AND CAPABILITIES

• The offeror shall provide detailed information concerning the manufacturing equipment to be used in the performance of this contract (i.e. type, capacity, power, and manufacturer). The proposal shall include, in detail, type of equipment to be used for each step in the aforementioned manufacturing plan for the M51A4N Cartridge. The offeror shall identify which equipment is already operational in-house and which equipment needs to be procured or outsourced. If the proposal includes a plan to procure or refurbish necessary manufacturing equipment, the offeror shall identify the availability and required installation and lead times to complete such efforts. The offeror shall describe all proposed subcontracted facilities in the same level of detail.

• The offeror shall identify the production rate capabilities for all…