N00421-16-R-0073_Section_M.docx

Section M - Evaluation Factors for Award

SECTION M

M - (1) EVALUATION FACTORS FOR AWARD (SERVICES) (03 MAR 2018)

PART A: GENERAL INFORMATION

1.0 GENERAL

The Government expects to select one Offeror whose proposal offers the “best value” to the Government, using the trade-off method. "Best value" means the expected outcome of an acquisition that, in the Government's estimation, provides the greatest overall benefit(s) in response to the requirement. The Offeror is advised that the lowest priced proposal meeting the solicitation requirements may not be selected for an award if award to a higher priced Offeror is determined to be more beneficial to the Government. However, the perceived benefits of the higher priced proposal must merit the additional price.

2.0 EVALUATION PROCESS

In accordance with FAR 52.215-1, the Government intends to evaluate and award a contract without discussions with offerors (except minor clarifications as described in FAR 15.306(a)). Therefore, the offeror’s initial proposal should contain the offeror’s best terms from a price or cost and technical standpoint. The Government reserves the right to conduct discussions if the Contracting Officer later determines them to be necessary. If the Contracting Officer determines that the number of proposals that would otherwise be in the competitive range exceeds the number at which an efficient competition can be conducted, the Contracting Officer may limit the number of proposals in the competitive range to the greatest number that will permit an efficient competition among the most highly rated proposals. All proposals will be evaluated for compliance with the terms, conditions, and requirements set forth in the solicitation. Failure to address each of the areas identified in Section L, Part B Specific Information in the proposal, may impact the resulting evaluation ratings and risk assessment.

For all the Technical subfactors, a combined Technical/Risk rating will be assigned. This method reflects whether the proposal meets or does not meet the minimum requirements along with an assessment of the strengths, weaknesses, significant weaknesses, and deficiencies of the proposal to determine the combined Technical/Risk rating. The benefit to the Government associated with assessed strengths along with technical risk will be considered in determining whether the Offeror’s proposal rises to a level of being thorough or exceptional. Assessment of technical risk considers potential for disruption of schedule, increase in costs, degradation of performance, the need to increase Government oversight, or the likelihood of unsuccessful contract performance. Offerors are advised that during the evaluation process, a technical subfactor with an “Unacceptable” Technical/Risk Rating will result in the entire proposal being found unacceptable and unawardable and may result in elimination from the competition.

Under Past Performance, the Government will evaluate recent performance to determine how well an Offeror has performed work similar to the work required by the solicitation. When proposals are received from joint ventures, specifically formed by the Offeror to propose on a particular acquisition, the past performance evaluation will consider each individual JV team member’s relevant past performance. After evaluating the Offeror’s past performance information, a Performance Confidence Assessment Rating will be assigned. More relevant past performance will typically be a stronger predictor of future success and have more influence on the Performance Confidence Assessment Rating than past performance of lesser relevance. In the case of an Offeror without a record of relevant past performance, the Offeror will receive a Performance Confidence Assessment Rating of “Unknown Confidence (Neutral)” which is considered a “Neutral” rating.

Price/Cost is not the most important evaluation factor, but its degree of importance will increase commensurably with the degree of equality among different Offeror’s Technical and Past Performance Proposals.

3.0 EVALUATION FACTORS FOR AWARD

Proposals will be evaluated using the factors and subfactors listed below.

1). TECHNICAL

2). PAST PERFORMANCE

3). PRICE/COST

Factors and subfactors are listed in descending order of importance.

Technical and past performance factors, when combined, are significantly more important than price/cost. Technical is more important than past performance. Past performance is more important than price/cost.

Price/Cost is not the most important evaluation factor, but its degree of importance will increase commensurably with the degree of equality among different Offeror’s Technical and Past Performance proposals.

PART B: SPECIFIC INFORMATION

1.0 TECHNICAL

The Government will evaluate the Offeror’s proposal to determine the Offeror’s understanding of, approach to, and ability to meet the solicitation requirements. The Government will assess the Offeror’s Technical proposal with respect to its compliance with the solicitation requirements and the risk associated with the Offeror’s approach. The evaluation will also include the following:

1.1 Understanding of Work:

The Government will evaluate the Offeror’s Sample Task response to determine if the proposed approach to each sample task meets the sample requirements based upon the information required in Section L. In addition, the Government will evaluate the Offeror’s ability to understand the tasking and provide the process and management techniques to complete the tasking.

1.2 Management Approach:

The Government will evaluate the Offeror’s proposed management approach based on the information required by Section L of this solicitation. The management approach will be evaluated to determine whether the Offeror understands the ability to plan, manage, staff, and execute the contract, and the extent to which the proposed processes and procedures ensure successful accomplishment of the tasks described in the SOW.

Offerors are forewarned that utilization of excessive principal subcontracting/team members will be considered as additional proposal risk under Management Approach.

1.3 Workforce:

The Government will evaluate the Offeror’s workforce based on the information provided as required by Section L of this solicitation. The Government will evaluate all key proposed personnel and the supporting information to determine how well the Offeror is suited to perform the tasks under the SOW.

2.0 PAST PERFORMANCE

There are three aspects to the past performance evaluation: recency, relevancy, and quality. The first aspect of the past performance evaluation is to evaluate the recency of the Offeror’s past performance being evaluated. Past performance will be considered recent if the contract/order has been performed within five years of the solicitation release date. Past Performance that is not recent will not be considered in the evaluation.

The second aspect of the past performance evaluation is to evaluate how relevant a recent effort accomplished by the Offeror is to the effort to be acquired through the source selection. Aspects used by the Government to determine relevancy for this evaluation:

Scope:

Complexity:

Magnitude:

The third aspect of the past performance evaluation is to evaluate the overall quality of the Offeror’s recent relevant past performance. The Government will evaluate the Offerors’, principal subcontractors’, and JV team members’ performance and focus its evaluation on the following areas:

1) Meeting technical requirements, i.e., the quality of technical performance;

2) Meeting schedule requirements, e.g., on time or late delivery;

3) Controlling contract cost;

4) Managing the contracted effort;

5) The demonstrated systemic improvement actions taken to resolve past problems.

A separate quality rating will not be assigned for each past performance contract submitted, rather the past performance confidence assessment rating is based on the Offeror’s overall record of past performance taking into account the recency, relevancy, and quality of performance on the Offeror’s recent relevant efforts.

3.0 PRICE/COST

Cost Reimbursement CLINs:

Except for otherwise unacceptable proposals when awarding on initial proposals, the Government will perform a cost realism analysis to determine the most probable cost (MPC) for each applicable offeror’s proposal. Cost realism analysis is the process of independently reviewing and evaluating specific elements of each Offeror’s proposed cost to determine whether the proposed cost is realistic for the work to be performed and are consistent with the unique methods of performance and materials described in the Offeror’s technical proposal. In conducting its cost realism evaluation, the Government may review the prospective Offeror’s proposed labor categories and compare the proposed rate to the average labor rate in industry or other similar rates within the same demographic zone where the work is to be performed. Pertinent cost information, including but not limited to DCAA-recommended rates for such costs as direct labor, overhead, G&A, etc., as necessary and appropriate, will be used to arrive at the Government determination of the MPC for the performance of this contract. In addition, adjustments to the cost portion of the offer may be made to include Government costs required to accomplish the Offeror’s proposed approach (e.g., additional Government-Furnished Property/Government-Furnished Information required by the Offeror to implement its approach) with the exception of those costs to the Government has determined necessary to make the proposed cost realistic for all periods. The Government will use the results of its cost realism analysis to determine the MPC of performance for each Offeror. The MPC may differ from the proposed cost. Contract awarded value, however, will be based upon the successful Offeror’s proposed costs.

Unrealistically low costs or inconsistencies between the technical and cost proposals may be assessed as proposal risk and could be considered weaknesses under the technical factor. Therefore, any inconsistency, whether real or apparent, between the technical proposal and cost proposal should be explained in the narrative section of the cost/price proposal.

Total Professional Employee Compensation Plan:

The Government will evaluate the Offeror’s Total Compensation Plan in accordance with FAR 52.222-46.

Price/Cost Reasonableness:

In accordance with FAR 15.404-1(b)(2), various price analysis techniques and procedures will be employed to ensure the prices being proposed for this requirement are fair and reasonable. To assist in the overall determination of price reasonableness, the Government will identify all instances where a proposed fully burdened labor cost exceeds $300K annually per employee. This also applies to a fully burdened subcontractor employee labor cost, inclusive of the prime contractor’s pass-through burden. An exceeded tripwire may ultimately be determined unreasonable absent justification.

Overall Summary Level for all CLINs

Normally, competition establishes price reasonableness. In limited situations, additional analysis will be required by the Government to determine reasonableness. If, after receipt of a proposal, the PCO determines that adequate price competition does not exist and a determination is made that none of the exceptions in FAR 15.403-1(b) apply, the Offeror may be required to provide certified cost and pricing data in accordance with FAR 15.403-4.

Prospective Offerors are forewarned that if there are discrepancies between Section B, Attachment (P6), and Volume 3 Narrative, Section B prevails.

Evaluation of Options

Clause 52.217-8, Option to Extend Services, is incorporated in the solicitation. Total evaluated cost/price will also include the six month performance period permitted under the clause, to account for a situation where invoking of the clause, in whole or part, becomes necessary. Specifically, the evaluated cost/price of this six-month period will be calculated by dividing the final year of the ordering period by 12 to establish an estimated monthly amount. The monthly amount will then be multiplied by six to establish the estimated cost for the six-month option to extend services.

PART C: EVALUATION RATING AND RISK ASSESSMENT DEFINITIONS

The definitions below will be used by the Government when assessing solicitation compliance and the expected results of the Offeror's proposed approach.

1.0 EVALUATION RATING AND RISK ASSESSMENT DEFINITIONS

The definitions below will be used by the Government when assessing solicitation compliance and the expected results of the offeror's proposed approach. The appropriate adjectival rating will be assigned to each factor and subfactor, as required. The Government will utilize a combined technical/risk rating for this effort.

2.0 TECHNICAL EVALUATION RATINGS

Combined Technical/Risk Ratings: The combined technical/risk assignments are provided in the table below.

COMBINED TECHNICAL/RISK RATING

3.0 PAST PERFORMANCE RELEVANCY RATINGS

Past Performance Relevancy Rating: More relevant past performance will typically be a stronger predictor of future success and have more influence on the past performance confidence assessment than past performance of lesser relevance.

4.0 PERFORMANCE CONFIDENCE ASSESSMENT RATINGS

The Government will employ the Performance Confidence Assessments Rating Method described in the table below. In the case of an Offeror without a record of recent relevant past performance or for whom information on past performance is not available or so sparse that no meaningful past performance rating can be reasonably assigned, the Offeror may not be evaluated favorably or unfavorably on past performance. Therefore, the Offeror shall be determined to have unknown or neutral past performance.

Performance Confidence Assessment Rating: Performance Confidence Assessment rating assignments reflect the Government’s confidence that the Offeror will successfully perform the solicitation’s requirements based on the Offeror’s recent and relevant past performance record.

5.0 OTHER DEFINITIONS

Strengths: An aspect of an Offeror’s proposal that has merit or exceeds specified performance or capability requirements in a way that will be advantageous to the Government during contract performance.

Weakness: A flaw in the proposal that increases the risk of unsuccessful contract performance. (FAR15.001)

Significant Weakness: A flaw that appreciably increases the risk of unsuccessful contract performance. (FAR 15.001)

Deficiency: a material failure of a proposal to meet a Government requirement or a combination of significant weaknesses in a proposal that increase the risk of unsuccessful contract performance to an unacceptable level. (FAR 15.001)

Recency: as it pertains to past performance information, is a measure of the time that has elapsed since the past performance reference occurred. Recency is generally expressed as a time period during which past performance references are considered relevant.

Relevancy: as it pertains to past performance information, is a measure of the extent of similarity between the service/support effort, complexity, dollar value, contract type, and subcontract/teaming or other comparable attributes of past performance examples and the source solicitation requirements; and a measure of the likelihood that the past performance is an indicator of future performance.

Risk: as it pertains to source selection, is the potential for unsuccessful contract performance. The consideration of risk assesses the degree to which an Offeror’s proposed approach to achieving the technical factor or subfactor may involve risk of disruption of schedule, increased cost or degradation of performance, the need for increased Government oversight, and the likelihood of unsuccessful contract performance.

CLAUSES INCORPORATED BY REFERENCE

CLAUSES INCORPORATED BY FULL TEXT

5252.215-9511 COST REALISM (OCT 2007) (NAVAIR)