N00421-15-R-0012-0001_Amendment_(04-26-2017).docx

N00421-15-R-0012

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO BIDDERS

The following have been modified:

PROPOSAL INSTRUCTIONS

L-1 CONTENT OF PROPOSALS (SERVICES) (September 2016)

PART A GENERAL INSTRUCTIONS

1.0 GENERAL

1.1 The North American Industry Classification System (NAICS) code for this requirement is 541513, which has a small business size standard of $27.5 million (M). This Single Award Indefinite Delivery/Indefinite Quantity (IDIQ) is a 100% Small Business set-aside. Only Small Businesses will be considered for award of this requirement. Proposals from other contractors will not be considered. The successful Prime offeror must perform at least 50% of the cost of contract performance incurred for personnel as defined in Volume 4, Section 4.1.4.

1.2 Offerors are required to submit sufficient information concerning all evaluation factors to enable Government personnel to fully assess the capabilities of the Offeror to perform all requirements. The proposal must be sufficient in detail and scope to enable evaluation and provide the evaluators with a clear understanding of the Offeror’s approach, expertise, and capability as required by the solicitation. All proposals must clearly and convincingly demonstrate that the Offeror has a thorough understanding of all requirements and associated risks; is able, willing, and competent to devote the resources necessary to meet all requirements; and has valid and practical solutions for all requirements and potential risk areas. The Offeror must respond to all requirements of the solicitation and shall not alter or rearrange the solicitation. The burden of proof for all substantiation within the proposal rests with the Offeror. Offerors are advised that the Government may incorporate any part of the Offeror’s proposal deemed beneficial to the Government into the final contract. With the exception of Volume 4, Cost/Price, no cost/price should appear in any other volume. Alternate proposals are not acceptable.

1.3 In presenting material in the proposal, the Offeror is advised that quality of information is more important than quantity. Clarity, brevity, and logical organization shall be emphasized during proposal preparation. It is the responsibility of the Offeror to present enough information to allow the Government to evaluate the Offeror’s technical approach and understanding of the work, workforce, and management and transition plan, as well as cost/price, without opening discussions. Statements that the prospective Offeror understands, can comply with, or will comply with the specifications and paraphrasing the requirements or parts thereof without supporting information are considered inadequate by the Government and may result in assessing weaknesses and/or deficiencies.

1.4 The Offeror must include any data that illustrates the adequacy of the various assumptions, approaches, and solutions to problems. Failure to address a specific factor or subfactor clearly may be considered a deficiency. There is no need to repeat information in more than one volume. The detailed information must be included in the most logical place and summarized and referenced in other areas if an overlap exists. Unnecessarily elaborate brochures or other presentation materials beyond that sufficient to present a complete and effective proposal is neither necessary nor desired.

1.5 The Offeror is expected to comply with all requirements of the RFP. The Government advises the Offeror that taking exception to or deviating from any term or condition of the RFP may make an offer unacceptable, and the proposal unawardable, unless the RFP expressly authorizes such an exception or deviation with regard to that specific term or condition. The Government may consider any exception or deviation to any term or condition of the RFP that is not expressly authorized by the RFP to be a deficiency to the proposal.

1.6 Each offeror shall submit an offer/proposal and other information in strict accordance with these instructions. Each offeror’s submission shall be screened by the Contracting Officer (KO), or a designee, upon receipt verifying compliance with the instruction’s contained herein.

1.7 ESTIMATED DATE OF AWARD: For proposal purposes the estimated date of contract award is 2 October 2017. The transition period is from 3 October 2017 to 1 November 2017. The estimated ordering period commences on 2 November 2017. Please note that there is no CLIN associated with the transition period, as the Government will not be reimbursing the contractor for costs associated with transition efforts. Transition costs are considered overhead costs that are not charged to the government, as the incumbent contractor is still performing the tasking under the previous contract during this timeframe.

1.8 DEFINITIONS:

The following terms are hereby defined:

Throughout these instructions, a “principal subcontractor” is defined as a subcontractor who provides at least 10% of the proposed total cost/price (excluding the offeror’s profit/fee), for the contract.

“Team member” is defined as those entities that make up a joint venture or any other partnership or teaming arrangement formed for responding to this solicitation.

A “Joint Venture” (JV) is a partnership or teaming arrangement that is formed for the purpose of responding to this solicitation when the prime contractor consists of more than one legal entity.

“Critical team member” is defined as one of the entities of the offeror that performs a critical function (Critical function refers to any task that will be performed by key personnel) in the performance of the resultant contract, whether it is technical or financial, and/or that have important roles in any high or medium risk areas identified in the offeror’s proposal.

Indefinite Delivery/Indefinite Quantity (IDIQ) used throughout this document describes the IDIQ effort in its entirety.

The term Task Order (T.O) used throughout this document describes individual tasking, which may become future orders. First tier subcontractors means a subcontract awarded directly by the Contractor for the purpose of acquiring supplies or services for performance of a prime contract.

Pass-through Rate is defined as the cumulative amount of the two elements, (i) and (ii), listed below divided by the price paid to the subcontractor or the vendor. Other than the two elements, no additional costs, charges, indirect rates, or profit/fees may be proposed or applied to prime or subcontract costs.

Completion materials are used in lengthy taskings/projects for upgrades on existing system(s) in which a definite end item is produce. Incidental materials are materials that are kept on hand for the maintenance, repair or improvement.

1.9 Questions: Offerors may submit questions requesting clarification of solicitation requirements by emailing the contract specialist at nicole.barnhill@navy.mil and the Contracting Officer at andrew.gordon1@navy.mil. It is requested that all questions be received within fifteen (15) calendar days of the date this solicitation is issued. NO PHONE CALLS WILL BE ACCEPTED.

2.0 PROPOSAL FORMAT

2.1 Written proposals must be formatted using a Times New Roman 12 pt Normal font (no reduction permitted), single-spaced with 1-inch margins all around, and formatted for standard 8.5 x 11 inch paper. All pages should be numbered with volume, section, and page numbers. When foldout pages are used they must not exceed 11 x 17 inches and will be counted as 1 page. Drawings may be provided separately and may be any size but should be folded to approximately 8.5 x 11 inch standard size and will count as 1 page. Graphs shall be presented in no smaller than a 10 pt font and should contain a grid, which allows values to be read directly from the graph to the same accuracy that a 10 x 10 to the ½ inch grid provides. Graphic resolution, including such data as tables or charts, should be consistent with the purpose of the data presented.

2.2 The Offeror will provide one complete copy of the proposal to the Procuring Contracting Officer (PCO) as electronic files fully compatible with Microsoft 2010, and for information not supported by MS Office products with the latest Adobe Acrobat reader, on a CD-ROM. The Offeror will ensure that the Price/Cost Volume is provided on a separate CD-ROM. Each CD-ROM is to be labeled for content and the Offeror’s name. If a discrepancy exists between the original paper copy of the proposal and the disk copy, the paper copy will take precedence.

2.3 The Offeror must present proposal information in a manner that facilitates a one-to-one comparison between the information presented and this Proposal Instruction. Proposal information must be structured such that its Volume/paragraph number matches the Proposal Instructions Volume/paragraph number provided in section “Part B Specific Instructions” to which it is responding, although the Offeror may add lower tier subparagraphs. The Offeror must provide reasons it will not provide information for a particular paragraph.

3.0 PROPOSAL CONTENT AND VOLUMES

3.1 Each volume of the proposal shall be submitted as one original and additional copies as specified in the table below. The table below supersedes the copies requested in Block 9 of the Standard Form (SF) 33. All volumes of the original proposal shall be delivered to the address provided in Section 4.0 prior to the closing date/time stated in this solicitation. Page limitations for each volume, if any, are also specified in the table below. Title and table of contents pages do not count towards the page limit. Any pages submitted exceeding the page limit shall be disregarded and NOT evaluated. Offerors are strongly encouraged to use tabs and dividers within the volumes in order to facilitate ease of review. Information submitted as an Annex to the proposal includes manuals, specifications, plans, procedures, and policies that exist as an official document of the company or facility, as well as other information requested in Part B Specific Instructions. Page limitations for Annexes, if any, are specified below. The authorized Annexes are summarized in the table below.

1 Paper Copy/ 1 Electronic Copy

1 Original/ 3 Paper Copies/ 1 Electronic Copy

1 Paper Copy/ 1 Electronic Copy

1 Paper Copy/ 1 Electronic Copy

1 Paper Copy/ 1 Electronic Copy

1 Paper Copy/ 1 Electronic Copy

1 Paper Copy/ 1 Electronic Copy

3.2 Each volume shall contain the following information:

4.0 PROPOSAL SUBMISSION

4.1 Clearly mark all packages with the solicitation number and appropriate volume number. The submission date for all Volumes shall be no later than the date and time specified in Block 9 of the SF 33 of the RFP.

4.2 Offeror shall submit proposals via United States Postal Service or through a commercial carrier using the address provided below. Offeror shall not submit proposals by facsimile or electronically via email.

Naval Air Systems Command Naval Air Warfare Center Aircraft Division Code: AIR-2.5.1.6.4 (Nicole Barnhill) 22473 Millstone Road, Building 505 Patuxent River, MD 20670 Solicitation Number: N00421-15-R-0012

Hand carried proposals may be delivered to the address above, attention Andrew Gordon (PCO) and/or Nicole Barnhill (Specialist).

5.0 PROPOSAL PACKAGING

5.1 The Offeror shall package the proposal volumes in cartons or equivalent packaging containers in the most efficient manner possible, grouping like volumes to the maximum extent possible. Each container shall be single person portable. One container shall include all Original Proposal volumes including the original/signed documents submitted as part of Volume 1, Executive Summary.

5.2 Each box should include a packing slip detailing the contents to include the volume number, title, and copy number. Also, each box should be stamped or marked “For Official Use Only” and “Source Selection Information – See FAR-2.101 and 3.104.”

6.0 CLASSIFIED DATA

All proposals must be UNCLASSIFIED.

7.0 SOLICITATION CHANGES

For notice of any changes and additional information provided by the Government for the solicitation, please go to www.FedBizOpps.gov.

PART B SPECIFIC INSTRUCTIONS

Cost or pricing information shall only appear in the Price/Cost volume.

1.0 VOLUME 1: EXECUTIVE SUMMARY

The purpose of the Executive Summary is to provide an overview of the offeror’s entire proposal and strategy, excluding cost/price. The Executive Summary volume shall contain the salient points contained in each of the proposal volumes. In addition, this volume should be used by the offeror to identify and highlight significant features of its proposal. The offeror shall include the following in this volume:

1.1 Offeror Summary Table: The Offeror shall complete the table below. The Offeror shall include all subcontractors and JV team members who will be involved with the performance of the contract and list all sites where the work will be performed. If a JV teaming or subcontracting arrangement is proposed, identify the work share, distribution elements, and ratios that each contractor will perform using the table below. Also provide a definition of the legal relationship between the entities if it is other than a Prime/subcontractor relationship. The Offeror shall provide a written explanation if multiple CAGE codes/DUNS numbers for the same physical location are provided in the table below. The written explanation shall detail the distinct roles and responsibilities for entities with different CAGE codes/DUNs at the same physical location for where the work is being performed or from where the work is being directed. The description shall include all changes in the organization as a result of a corporate acquisition, reorganization, merger, or other administrative reason.

Contractor Name (Indicate Prime, JV Team Member, or Sub)

1.2 Signed SF33 or SF1449 for basic solicitation and acknowledgment of each amendment, including completion of any RFP clause or provision that requires a fill-in or response.

1.3 Signed Representations, Certifications, and Acknowledgements and/or registration into the System for Award Management (SAM). The offeror shall include an OCI Disclosure and OCI Mitigation Plans as Annex 1 (Reference Table in Paragraph 3.1 above), if applicable, based on offeror’s completion of NAVAIR Provision 5252.209-9511.

1.4 Guarantee the length of proposal validity (for at least 180 days after proposal submission).

1.5 Affirmation of no Exceptions, Deviations, or Waivers if Volume 5 is not being submitted as part of the proposal.

1.6 Written consent from principal subcontractors and critical team members that will allow the Government to coordinate potential past performance and/or cost/price issues with the offeror.

1.7 A summary of the offeror’s Breakout of Performance (Annex 2), shall display the Prime’s ability to perform 50% or more of the cost of contract incurred for personnel with its own employees for each year of the Ordering Period.

2.0 VOLUME 2: TECHNICAL

The Offeror shall provide all information and data required to conduct a thorough and complete technical evaluation. The Offeror shall address the following in the proposal:

2.1 Understanding of the Work

2.1.1 Performance Work Statement (PWS) Approach

2.1.1.1 The Offeror shall provide all information and data required to conduct a thorough and complete technical evaluation. Provide a written narrative of the proposed understanding and capability to perform the requirements of the Performance Work Statement (PWS). The narrative should identify the procedures and methodology (if applicable) to accomplish each task, relevant experience performing similar tasks, and identification of any areas that may impact successful performance.

2.1.1.2 The narrative should address items listed in the Table below. The Offeror’s response is in no way limited to items listed in this table.

Discuss understanding of NAVAIR administrative functions including:

· Defense Travel System

· Contractor information technology system access process

Discuss understanding of NAVAIR administrative functions including:

· Security clearance verification

· Patuxent River base access procedures

Briefly discuss ability and plan to provide janitorial support in multiple classified spaces.

Briefly address ability and plan to provide facility operations support.

· Discuss understanding of providing technical support for RDT&E laboratories.

· Discuss understanding of assembling, setting up and configuring computer systems and test equipment.

· Discuss understanding of the operation of military simulators.

· Discuss understanding of operating and maintaining technologies used in military simulation systems.

· Discuss understanding of and approach to providing system administration support.

· Discuss understanding of DoD and Navy System Administration policy and procedures.

· Discuss understanding of and approach to providing Information Assurance support.

· Discuss understanding of system certification and accreditation using the DIACAP, PIT and RFM processes.

· Discuss understanding of DoN’s FAM process.

Discuss understanding of and approach to providing network architecture support for applications that require real-time high data rate communications between internal and/or to external systems.

Briefly discuss approach to providing IT helpdesk support.

2.1.2 Sample Task(s)

The Offeror shall provide a written response of the Offeror’s proposed understanding and capability to perform the requirements of each of the Sample Task(s) identified below. Unique methods of resolving problems identified in the Sample Task(s) below are encouraged; however, timely accomplishment of the task objectives with minimal risk to program completion, schedule and cost must be addressed. To demonstrate an understanding of the work to be performed as well as an ability to complete the task, responses for each task may include (as appropriate):

· Team - Identify the resources needed to participate in the effort; also, describe the teaming arrangements, roles and responsibilities of any Government, subcontractors, partners, joint ventures or other organizations required to perform the work.

· Assumptions - Detail all assumptions relative to the interpretations made of the sample task and your technical approach to ensure full understanding of your response by the Government.

· Technical Approach / Process - Provide a description of the technical approach and/or process which would be used in accomplishing the task. Include areas that will need to be investigated and information identified in order to perform the work.

· Performance Risk Analysis - Identify contingent events inherent to the nature of the effort that could, if they were to occur, endanger satisfactory performance.

· Metrics - Identify Measures of Performance and/or Measures of Effectiveness

· Manpower - (level of effort) utilization to maintain an optimum level of support for each task, including identification of resource availability – DO NOT INCLUDE COST.

2.1.2.1 Sample Task #1

The Simulation Division has a requirement to establish a 50-computer laboratory on site at Patuxent River NAS that will support both classified and unclassified test and evaluation (T&E) operations. Half of the computers will be connected to the RDT&E Secret Defense Research and Engineering (SDREN) network and half of the computers will be connected to the Unclassified RDT&E (DREN) network. The lab’s computing resources will be required to operate:

· Current vendor-supported RedHat Linux (25% of machines) and Microsoft Windows (75% of machines) operating systems,

· A VMware virtual machine host server environment that is intended to support all required network management functions,

· A storage area network supporting the virtual machines and user file storage, and

· Associated network peripherals (printers, keyboard/video/mouse {KVMs}, serial bus controllers, etc).

For this sample task:

· All hardware and software required to complete this task will be procured by the Government and provided as Government Furnished Equipment (GFE). The contractor will develop hardware specifications and identify software to be procured based on customer requirements.

· The scope of this task is limited to actions inside of the lab itself. Properly accredited RDT&E network routers / switches are provided for external connections.

· The software to be installed includes what is required for basic network operation. Software specific to the laboratories operation will be installed at a later time.

· All computers need to be physically installed and connected.

Describe the requirements and process to establish this new computer laboratory and obtain an initial Department of Navy (DON) Office of Designated Approving Authority (ODAA) authority to operate (ATO). The response to this sample task shall:

· Identify and describe in detail the steps required to complete this task.

· Estimate the labor hours required to complete each step identified for each labor category required to complete this task (do not include cost).

· Identify DON instructions that must be addressed to obtain ATO.

· Identify risks to the schedule and completion of this task.

· Identify any assumptions made your response.

The Government’s estimate of the hours required to complete this task is as follows:

2.2 Workforce

2.2.1 The offeror shall submit a staffing plan which addresses the roles and responsibilities of personnel proposed for this effort, including any proposed subcontractor or teaming arrangements. The offeror shall also state the availability of personnel proposed for this effort, specifically describing the number of personnel that are readily available, contingent hires, or subcontractors. For personnel who are not current or contingent hires, offerors shall describe their plan for hiring qualified personnel. The offeror shall include an organizational chart for key personnel to perform the PWS. The Organizational Chart of the proposed support organization (to include subcontractors) should include position titles and the number of full time equivalents (FTEs). The total proposed labor mix and level of effort shall conform to that outlined in Section L-2, Paragraph 1.0 Labor Categories and Labor Hours.

2.2.2 All contingent key personnel hires shall have a letter of intent submitted under Volume 4. The letter of intent is a separate written agreement signed by the potential employee(s) to work for the offeror effective at contract award. The signed letter of intent shall state the salary the contingent employee agreed to accept. Subcontractors and team members either shall provide this information separately or included in the prime contractor’s submission of this document. All key personnel shall meet the minimum labor category qualifications as indicated in the PWS in Section C of this solicitation.

2.2.3 Key Personnel Resumes

For the purposes of NAVAIR Clause 5252.237-9501, key personnel are those who will be performing in the Key Labor Categories, which can be found in Section C: PWS. For Key Personnel that are required in the base year of the contract provide a resume of the work assignments, training, etc., that demonstrates the experience and specialized qualifications of each key person proposed (Multiple resumes may be required for (KEY) Labor Categories that have more than 1920 hrs/year). Resumes shall contain, at a minimum, the following information:

· Employee name

· Years of employment experience in chronological order including description of duties/ responsibilities

· Current position, title and employer

· Educational history

· Institution name, degree or certification earned, and year for all degrees or certifications earned

· Current level of security clearance and status (final, interim, or pending)

The Government may check educational background to verify degrees or certifications received.

2.3 Management Approach

Offerors shall address, in sufficient detail, the following:

a. Adequacy of corporate management and resources to support the technical requirements of the solicitation;

b. Proposed management roles of the Offeror’s proposed workforce and the lines of responsibility, authority, and communication through which the tasks will be managed for this requirement;

c. Procedures to be taken to ensure quality and cost control;

d. Subcontract Management detailing how each subcontractor will be integrated and managed to ensure cohesive integration into the overall management approach; and,

e. Qualification/recruitment/retention plan and procedures that demonstrate how the Offeror will meet the minimum requirements of the PWS.

At a minimum, specific issues that the Offeror needs to address are listed below:

a. Discuss how the proposed solution will provide an efficient and cost-effective management structure for meeting the contract’s requirements; and,

b. Discuss how the proposed management plan will ensure supervisory, administrative, technical and developmental oversight of the Offeror’s employees and sub-contractors working in Integrated Product Teams (IPTs) with government personnel.

2.4 Transition Plan

The services under this solicitation are vital to the Government and must be continued without interruption. The Offeror is required to submit a written narrative delineating a transition plan, based on a 30 day transition period after award, but prior to the start of the period of performance of the contract, that ensures a smooth workplace changeover from an incumbent with no loss of service and minimal loss of corporate knowledge. The plan should take into consideration the following elements as well as any additional elements deemed necessary by the Offeror:

2.4.1 Security Requirements

Security requirements include OPSEC, facility clearances and base access (visit requests / CAC card issuance). The Offeror shall provide a plan to implement the required security clearances and physical access requirements of the contract during the transition period so that service is not interrupted.

2.4.5 Staffing

The Offeror shall provide their staffing plan describing their plan to provide the required workforce by the start of the ordering period. Based on the inclusion of FAR 52.222-17 (Non-displacement of Qualified Workers JAN 2013), the Offeror shall provide their plan for (1) Hiring the incumbent workforce for the SCA labor categories during the 30 day transition period and (2) Filling those positions should any of the incumbent workforce reject the offer to work, or fail to meet the minimum qualifications contained in the solicitation/contract, for the Offeror in support of the successor contract.

2.4.5.1 The Transition Plan should specify all transition activities to be carried out as well as the date to be completed. Dates for completion shall be identified as days from award. The date of award will be considered “Day 0”. Subsequent days shall be identified as “Day 1, Day 2 …Day 30” respectively. All transition activities shall be completed 30 days post award (“Day 30”).

3.0 VOLUME 3: PAST PERFORMANCE

Sources of past performance evaluation information include information provided by the Offeror in response to the solicitation, information obtained from questionnaires, and any other sources available to the Government to include, but not limited to, the Past Performance Information Retrieval System (PPIRS), Federal Awardee Performance and Integrity Information Systems, Electronic Subcontract Reporting System, or other databases; the Defense Contract Management Agency; and interviews with Program Managers, Contracting Officers, and Fee Determining Officials.

The Offeror shall complete the Past Performance Information Form, Attachment (6), for each past performance reference performed within five years of the solicitation release date. The Offeror shall submit no more than five Past Performance Information Forms as the Prime Contractor, no more than two forms for each principal subcontractor, and/or no more than two forms for each JV team member. The Offeror shall submit written consent from its principal subcontractor(s) and JV team member(s) that will allow the Government to coordinate any past performance issues directly with the Offeror. If the Offeror does not submit the written consent, the Government will address any past performance issues directly with the principal subcontractor or JV team member and the Offeror will forfeit the opportunity to participate in any related discussions. Consequently, for any principal subcontractor and JV team member that does not provide the written consent, the Offeror shall provide the name, address, phone number, and email address with whom the Government may address any past performance issues.

The Offeror shall provide a narrative on each Past Performance Information Form in the “Contract Effort Description” area that clearly describes how each contract reference has relevant work effort that matches the relevancy definitions specified in Section M of the solicitation. Additionally, the Offeror shall provide one electronic copy of the Statement of Work/Performance Work Statement for each contract reference as Annex 1 to this Past Performance Volume.

The primary source of past performance information will be PPIRS. If a Contractor Performance Assessment Report (CPAR) exists for multiple years for the same contract/order, all periods of performance within the recency period specified above, for that contract/order, will be used for evaluation. In the event a CPAR does not exist for a past performance reference, the Offeror shall submit a Contractor Performance Assessment Questionnaire (CPAQ), Attachment P5, to the Program Manager who is the Assessing Official. The Offeror shall include instructions for the Program Manager to send completed questionnaires within two weeks of its receipt via email to Nicole Barnhill, Contract Specialist, at email nicole.barnhill@navy.mil, thereby allowing the customer approximately two weeks to complete their response. All CPAQs should be received by the Government concurrently with the Offeror’s proposal submission.

4.0 VOLUME 4: PRICE/COST PROPOSAL

IDIQ CONTRACT LEVEL

Offerors must propose the identical labor mix at the IDIQ level in accordance with the Labor Categories provided in Section 2.0, Labor Categories and Labor Hours, under L-2 Government-Furnished Information.

4.1 Volume Content

(a) This Volume shall contain the information requested below and shall include a copy of Section B with the Contract Line Item (CLIN) and Sub-CLIN Unit Prices and for evaluation purposes, the Total Prices filled in (Supplies and/or Services and Prices and/or Costs) using the estimated quantities value in the solicitation and the instructions below. Section B prices shall be provided separately in one digital data copy compatible with MS Office 2010 Excel format on CD-ROM media. Offerors shall submit their cost/price proposal utilizing the Breakout Spreadsheet (Attachment P6). The offeror shall submit a fully completed Attachment P6, which will be incorporated by reference into the contract award and used to establish Task Order pricing as described in Section B. The Attachment P6 spreadsheet shall be formatted on letter size (8.5 X 11) paper. The proposal shall be unprotected and unlocked, with formulae intact to show mathematical operations.

(b) All price/cost and price/cost supporting information shall be contained in Section B and the price/cost proposal. No price or pricing information shall be included in any other technical volume including cover letters. Offeror are responsible for submitting sufficient information to enable the Government to fully evaluate their price/cost proposal.

4.2 Ground Rules and Assumptions

a) As this is a competitive acquisition with adequate price competition anticipated, any cost/price documentation requested shall be other than certified cost or pricing data in accordance with FAR 15.403-3. However, in the event that adequate price competition does not exist after receipt of proposals, the Government reserves the right to request additional cost or pricing data as necessary from both the offeror and subcontractors and may conduct negotiations with the offeror, pursuant to FAR Part 15.403-4(a)(1), in order to ensure a reasonable and realistic cost/price. Furthermore, in accordance with DFARS 215.371-3, if a single offer is received, at the Contracting Officer’s discretion, certified cost or pricing data may be required to be submitted subsequent to proposal receipt pursuant to FAR 15.406-2. Offeror shall acknowledge the requirement to provide additional cost or pricing information and certify the data prior to award if/when requested by the Government.

b) The cost of general purpose items required to conduct normal business operations will not be considered allowable Charges. The following types of general purpose costs required to conduct normal business operations are not directly reimbursable: the cost and associated costs for telephones and telephone charges (except for project-related telephone charges for performance of this contract which, per contractor's DCAA-approved accounting system, may be directly reimbursed under communication expenses), modems, typewriters, reproduction machines, word processing equipment, personal computers, computer software, Internet access charges, facsimile machines, commercial carrier charges, pagers, and other general purpose office equipment and office supplies.

c) The offeror shall provide sufficient information to support its cost/price as well as an explanation of all ground rules and assumptions that affect the cost/price estimates. Any apparent imbalances in the pricing, high or low proposed prices/costs as compared to historical data, or any other anomalies should be fully explained. Topics to be addressed may include, but are not limited to, investments, programmatic variables (e.g., inflation/escalation, location, make/buy decisions, prime/subcontractor relationships, and business base concerns), etc.

4.3 Price/Cost Information

4.3.1 Reasonableness and Consistency between the Technical and Price/Cost Volumes. Demonstrate that the unit prices and the total proposed price/cost are reasonable, realistic, and commensurate with the work required by the solicitation and the technical and management approaches identified in the Technical Volume of the proposal. Show traceability with the CLINS, SubCLINs, the PWS, proposed effort, proposed manning levels, and the prices/costs. Refer to specific sections in the Technical Volume as needed to illustrate the consistency between the Price/Cost Volume and the Technical Volume. The Offeror shall explain any inconsistency between promised performance and price/cost, as well as any appearance of unbalanced pricing, in the proposal.

4.3.2 Regardless of the type of CLINs (e.g. CPFF or FFP) in the solicitation, the offeror shall fully disclose the build-up of cost/price of each CLIN.

4.3.3 When completing Attachment P6, the offeror (e.g., prime vendor) shall not utilize any fully burdened hourly rates when pricing the labor of its own employees.

4.3.4 Subcontractors and team members shall provide their own Attachment P7 delineating the build-up of rates to the Government.

4.3.5 The Government is not soliciting any investments. However, in order for the Government to properly assess a proposed price/cost that appears low due to a corporate decision to absorb costs, e.g., lower than usual burdens or rates, the Offeror shall fully identify and explain any such investments.

4.3.6 In preparing the cost/price proposal, the offeror shall ensure the submittal is easy to understand and includes the following:

4.3.6.1 Reserved.

4.3.6.2 Provide a narrative that addresses any assumptions made during the preparation of the cost/price proposal and discuss the basis for the cost elements listed below:

4.3.6.2.1 Direct labor rates by category. The offeror and proposed subcontractors are required to submit labor rates for proposed individuals. The offeror and proposed subcontractors shall provide payroll verification for currently employed proposed personnel and contingent offer letters outlining salary information for contingent hires. Verification of direct labor rates shall be provided for incumbents; this could consist of, for example, screen-captures (or equivalent) from the offeror’s payroll system or a form containing the title, direct labor rate and a signed certification by an authorized representative of the company. Offerors retain discretion with respect to the documentation provided to substantiate the direct labor rates of incumbents; however, the Government must be able to calculate the employee’s current hourly rate based on the information provided. If any of the rates utilized by the offeror or any subcontractors differ from the payroll verification, a justification shall be provided for the difference. For any prospective hires, provide information to substantiate the rates proposed. If composite or category averages are proposed, provide a breakdown of how rates are developed. Offerors shall also indicate the number of hours subject to uncompensated overtime. Finally, as applicable, provide a narrative to describe the use of uncompensated overtime.

4.3.6.2.2 Escalation on labor. Offerors, including subcontractors, shall address escalation for all labor categories, and shall provide rationale for the specific escalation rate used. Offerors shall provide 3 years of historical data to support their escalation rate. Offerors that do not include escalation, or an explanation as to why it was not included, may be considered unrealistically low and may have their proposals adjusted upwards by the Government for cost realism purposes.

4.3.6.2.3 Indirect costs (i.e. Overhead, Fringe Benefits, General & Administrative (G&A), etc.), including a description of pools to which indirect rates are applied. If available, the offeror and proposed subcontractors shall provide the most current DCAA Provisional Billing Rate Approval Letter, DCAA Final Billing Rate Approval Letter, and/or DCAA Forward Pricing Rate Agreement or Recommendation (FPRA/FPRR). If DCAA has not reviewed the rate information for an offeror or one of its subcontractors, the offeror shall submit a detailed justification of the proposed indirect rates, including details regarding the basis of estimate that may be helpful to the Government in conducting cost realism analysis. If any of the rates utilized by the offeror or any subcontractors differ from the DCAA information, a justification shall be provided for the difference, including any supporting cost data (i.e., budget information). Finally, prime contractors and all subcontractors shall provide the last three (3) years of actual indirect information. Offerors are required to provide justification for difference to history or difference from trends in indirect rates.

4.3.6.2.4 When the offeror or any subcontractor elects to claim Cost of Money (COM) as an allowable cost, the offeror shall submit a DD Form 1861 and show the calculations of the proposed amount.

4.3.6.2.5 Profit/Fee: The offeror and subcontractors shall identify profit/fee rates and total amounts proposed and identify the various cost elements to which the profit/fee is being applied. Profit, Base, Award, and Incentive fee rates, as applicable in Section B, shall be clearly distinguishable. Profit/Fee shall not be applied to Travel and Material. Fee for CPFF CLINs shall not exceed 8% and the pass-through rate shall not exceed 8%. Limitations for profit/fee apply to both the offerors and all subcontractors. Subcontractor’s profit and fee rates shall not exceed the prime offeror’s proposed rates.

4.3.6.2.6 Other Direct Costs (ODCs) by Cost Element (e.g. Travel and Material). Offerors shall utilize the Not-To-Exceed (NTE) amounts provided by the Government in Section L-2, paragraph 1.0 for Travel and Material CLINs. If it is the contractor’s accounting practice to apply (and invoice for) burdens with regards to Travel and Material, then the contractor shall propose the NTE amount plus the applicable burdens.

4.3.6.2.7 Any other information needed to explain the offeror’s or subcontractor’s estimating practices.

4.3.7 If subcontractors are proposed, provide the same information required for the prime contractor. The cost/price proposal shall be unprotected and unlocked, with formulae intact to show mathematical operations.

4.3.8 As this requirement contains cost type CLINs, the offeror shall also provide documentation verifying that it has a DCAA approved Cost Accounting System or state that its Cost Accounting System has not been approved by DCAA, pursuant to the requirement at FAR 16.301-3(a)(3). It is the prime contractor’s responsibility to ensure that each subcontractor with a proposed cost-reimbursement subcontract type has an adequate accounting system. If a subcontractor does not have an adequate accounting system, they should be priced on a Firm-Fixed-Price (FFP) or Time-and-Materials (T&M) basis. The prime contractor shall provide a list of all subcontractors by name and shall specify the type of subcontract (i.e., CPFF, FFP, T&M, etc.). For those subcontractors who will be priced on a cost-type basis, documentation verifying possession of a DCAA approved Cost Accounting System shall be provided.

4.3.9 If the contractor requires the use of consultants in its proposal, the consultant cost shall be captured under the appropriate labor CLIN, and not as Other Direct Costs. The proposed consultants are required to submit a cost/price proposal. The cost/price proposal shall have formulae intact to show mathematical operations.

4.3.10 Offeror's labor classifications should cross-reference to Department of Labor (DOL) wage determination classifications as much as possible.

4.3.11 This solicitation is, and the resulting contract will be, subject to the Service Contract Act of 1965, as amended, and to FAR clause 52.222-41, contained in Section I of this solicitation. Offerors shall propose employee’s wages in accordance with the attached Wage Determination. As part of the cost/price proposal, the offeror shall furnish the names of the proposed labor categories and the corresponding labor categories from the attached Wage Determination as well as documentation of compliance with the minimum monetary wages and fringe benefits for service employees as specified in the Wage Determination (provided as an attachment in Section J of this solicitation). Offerors are required to submit a total compensation plan setting forth salaries and fringe benefits proposed for employees (including temporary and part time employees) who will work under the contract and are subject to the Act, and explain how the compensation plan complies with the Service Contract Act.

If the offeror’s proposed employees are under a collective bargaining agreement, the Offeror shall provide a copy of the agreement.

Limitation on Subcontracting (per 13 CFR § 125.6(e)(2), compliance with the limitation on subcontracting shall be an element of responsibility). This requirement is being set-aside for small business. Provide a breakout to demonstrate how the prime contractor will perform at least 50% of the cost of the contract incurred for personnel with its own employees for each period of performance in accordance with FAR clause 52.219-14. Cost of contract incurred for personnel includes direct labor cost, overhead that has only direct labor as its base, and the small business’s General and Administrative (G&A) rate multiplied by the labor cost.

4.4 Use of Government Furnished Property

If the Offeror proposes/requires the use of Government Furnished Equipment (GFE) or Government Furnished Information (GFI), Government Furnished Property (GFP), then the Offeror shall provide:

· A complete description of the required GFE/GFI/GFP including part number and serial number, if applicable.

· Where the GFE/GFI/GFP is to be located.

· The name, organization, completes address and telephone number of a cognizant Government point of contact.

· In the case of GFE/GFI/GFP accountable to other Government contracts, a copy of the correspondence authorizing use of such GFE/GFI/GFP on this contract.

· The monetary impact to the Offeror’s proposal if the proposed GFE/GFI is not provided as GFE/GFI.

Attachment (5), “Scheduled Government-Furnished Property (SGFP),” specifies the Government Property to be furnished and will be issued at the task order level when applicable.

Attachment (6), “Requisitioned Government-Furnished Property (RGFP),” is to be used to specify Government Property authorized for contractor requisition from DoD supply sources and will be issued at the task order level when applicable.

If no GFE/GFI/GFP is required, the Offeror shall so state.

4.5 Other Costs

The Offeror shall identify additional costs that would be incurred that have not been identified in the solicitation and describe in detail the performance that would cause these costs. Also, describe any assumptions with regard to Government actions (e.g., providing resources whether it be equipment or people) that enabled the proposed price/cost to be lower and identify the amount by which it is lower.

5.0 VOLUME 5 EXCEPTIONS, DEVIATIONS AND WAIVERS

In this Volume, the Offeror must certify that it contains all exceptions, deviations, and waivers that the Offeror takes from the provisions of the solicitation and its applicable documents. An “exception” is where an Offeror states it will not comply with a requirement, usually involving contract terms and conditions. A “deviation” is where an Offeror states it will not comply with a requirement but proposes an alternative to meet the intent of the requirement, usually involving a specification. A “waiver” is where an Offeror requests authorization for the Government to accept an item, which will depart from, specified requirements, but would nevertheless be considered suitable. Exceptions, deviations, and requests for waivers may cause proposals to be considered deficient. An assumption or condition shall not be considered an exception, deviation, or request for waiver as defined herein.

Provide a detailed description for each exception, deviation, or request for waiver, as applicable. The Offeror shall indicate the Offeror’s difficulty with the applicable requirement and the Offeror’s proposed solution. The Offeror shall specifically identify the portion of the solicitation and the Offeror’s proposal, which are affected. If there are no exceptions, deviations or waivers, the Offeror is permitted to state this in Volume 1, rather than providing a separate document as Volume 5.

L-2 GOVERNMENT-FURNISHED INFORMATION

This effort as an ordering period of 48 months (4 years). For the purposes of evaluation, the Offeror shall propose Labor, Travel, and Material on a yearly basis. Therefore, the below Government furnished information (totals for travel, material and labor hours) are provided as a yearly estimate.

1.0 Other Direct Costs (ODCs)

The Government's estimate for ODCs for the prime and all subcontract efforts, unburdened, is listed below:

OTHER

DIRECT COSTS

Totals Other Direct Costs

The values provided above are the Government’s estimates. The Offeror shall propose costs/prices for the ODC CLINs in accordance with these estimates.