N00421-17-R-0022-Amendment_0002.docx

N0042117R0022

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION J - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS

The following have been modified:

SECTION J List of Attachments

ExhibitA_CDRLs A001 – A013 Attachment 1_ Surveillance Activity Checklist (SAC) Attachment 2_ DD254 Attachment 3_ PeculiarMaintenanceEquipment Attachment 4_ RollingStockandDeckEquipment Attachment 5_ Requisitioned Government Furnished Property (PDF) incorporated pursuant to DFARS 245.103-72 Attachment 6_ Requisitioned Government Furnished Property (EXCEL ) incorporated for readability purposes Attachment 7_ Scheduled Government Furnished Property (PDF) incorporated pursuant to DFARS 245.103-72 Attachment 8_ Scheduled Government Furnished Propert (EXCEL) incorporated to demonstrate FAR 52.245-1(d)(2) compliance and for readability purposes Attachment 9_WD2015-4584-Rev6 Attachment 10_ WD2015-0213-Rev10 Attachment 11_ContractingOfficer'sRepresentativeDesignationForm Attachment P1_Past Performance Information Form Attachment P2_Contractor Performance Assessment Questionnaire (CPAQ) Attachment P3_ Cost Breakout Spreadsheet

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO BIDDERS

The following have been modified:

Version 1.4 Feb 2017

L – [1] CONTENT OF PROPOSALS (SERVICES) May 2017

PART A GENERAL INSTRUCTIONS

1.0 GENERAL

The Offeror must respond to all requirements of the solicitation and not alter or rearrange the solicitation. The Offeror is advised that the Government may incorporate any portions of the Offeror’s proposal into the resulting contract.

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. 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.

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. Unnecessarily elaborate brochures or other presentation materials beyond that sufficient to present a complete and effective proposal is neither necessary nor desired.

The Government advises the Offeror that taking exception or deviating from any term or condition of the RFP may result in the assessment of a deficiency to the proposal.

Throughout these instructions, a “principal subcontractor” is defined as a subcontractor who provides at least 20% of the proposed total price/cost (excluding the Offeror’s profit/fee), for the contract or provides one or more Key Personnel. “JV Team member” is defined as one of the entities that make up a joint venture (JV) formed for the purpose of responding to this solicitation.

Questions: Offerors may submit questions requesting clarification of solicitation requirements by emailing the contract specialist at walter.williams3@navy.mil and the contracting officer at jennifer.lundburg@navy.mil. It is required that all questions be received within 7 calendar days of the date this solicitation is issued.

2.0 PROPOSAL FORMAT

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 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.

The Offeror will provide one complete copy of the proposal to the Procuring Contracting Officer (PCO) as electronic files fully compatible with Microsoft Office 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 with the Offeror’s name and includes “For Official Use Only” and “Source Selection Information – See FAR 2.101 and 3.104”. If a discrepancy exists between the original paper copy of the proposal and the disk copy, the paper copy will take precedence.

3.0 PROPOSAL CONTENT AND VOLUMES

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. The proposal information instructions are structured by paragraph numbers where first, second, third, and fourth parts correspond to the volume, book, section, and element, etc., in the Offeror’s proposal.

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 and required copies 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.

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.

1.0

Technical Volume

1 Original/3 Copies

Annex 1 to this Past Performance Volume.

Each volume shall contain the following information:

The Offeror shall submit a Cross Reference Matrix (CRM) for the Technical Volume, similar to the example below, to help ensure that all solicitation requirements are addressed and to facilitate the evaluators’ review of the Offeror’s proposal. The CRM should be a single integrated matrix and cross-reference the proposal volumes and paragraphs to specific RFP requirements, as well as other parts of the proposal that contain relevant information. The Offeror’s CRM may be identical to the example below or revised such as to add columns to indicate the page number on which information may be found, identify where other relevant information in the proposal is located, or provide other comments. The CRM does not count against any of the proposal page limitations.

EXAMPLE OF A CROSS REFERENCE MATRIX (CRM)

Volume 1 Technical Example: Para 3.1 Note: This column shall address all paragraphs in Sections xx and xy of the SOW/PWS

Volume 1 Technical

Volume 1 Technical

4.0 PROPOSAL SUBMISSION:

Clearly mark all packages with the solicitation 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 with the exception of the Past Performance Volume which is due 2:00 PM EST on 28 February 2018.

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 Warfare Center Aircraft Division Attn: Walter Williams, Code 2.5.1.11.11 21983 Bundy Road, Building 441 Patuxent River, MD 20670

The outside shipping packaging shall be marked with RFP# N00421-17-R-0022

5.0 PROPOSAL PACKAGING:

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 3 Cost/Price.

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: TECHNICAL

1.1 Understanding of the work

1.1.1 Sample Task Approach – The offeror shall provide a written response to each of the four (4)) sample tasks provided below. The offeror’ s responses shall clearly demonstrate the offeror’s understanding of the required work. Each response shall include the following information:

Technical Approach - Provide a detailed description of the technical approach including a step-by step procedure and methodology which would be used in accomplishing the task. Included in the technical approach should be areas that will need to be investigated and information identified in order to perform the work.

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

Performance Risk Analysis - Identify contingent events inherent to the nature of the effort that could, if they were to occur, endanger satisfactory performance. Focus on critical events that are realistically likely to occur and that would pose serious problems (do not try to identify every event that could cause some minor difficulty).

Staffing – Provide the number of proposed labor hours by labor category required to safely complete the sample task; Do not include rates/cost with this submission.

1.1.1.1 Sample Tasks: The following sample tasks are completion based efforts.

(a) Sample Task #1: Vessel Operations and Maintenance In preparation of acoustic testing utilizing the Government’s 192’ vessel, the contractor shall conduct an 8-day load out, a 19-day underway period off the coast of the Bahama’s with a one day Bahamian port visit, and a 3-day offload at your homeport.

-Your crew size is 11 personnel, and you will be carrying 9 project personnel for a total of twenty personnel. What quantity of provisions (e.g. food, beverage) would be required to bring on board?

(b) Sample Task #2: Deployment The contractor shall conduct vessel support testing for a 3-month deployment utilizing both the Government’s 192’ vessel and 100’ vessel. The Contractor shall provide an ORM/Crew Rest Analysis on boat crews based of operational requirements and maintenance.

-Prior to your deployment, you must Dry-Dock the NAWC 38 to allow test equipment to be installed below the waterline. What challenges might you encounter to accomplish that task?

-What would you do to mitigate the risks to those challenges?

-What will your safe operating parameters be to ensure safety and mission accomplishment?

(c) Sample Task #3: Multiple events.

- Coordinates with the GOV operations manager to see if another event could be supported with small boats.

How would you crew all of these events simultaneously?

(d) Sample Task # 4: Adverse weather -What is your plan if the base requires all vessels to evacuate? The following elements shall be included in the plan:

a. Manning

b. SORTIE Location

c. Fuel

d. Provisions

You must also provide planning, engineering, and logistics services for the preparation of operational plans for manpower, equipment, instrumentation requirements, and communications, including data communications.

1.2 Management Plan

1.2.1 The Offeror shall provide a management plan that addresses the following:

(a) 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;

(b) Procedures to be taken to ensure quality and cost control; including the plan to maintain a Quality and Safety Management Program which meets recognized Maritime Industry Standards such as ISM or ISO 9001 and is recognized by the ABS or an equivalent organization.

(c) Plan for early identification and resolution of problems;

(d) Identification of potential performance risks and proposed risk mitigation strategies;

(e) Subcontract Management detailing how each subcontractor will be integrated and managed to ensure cohesive integration into the overall management approach; and

(f) Due to the cost of living in this geographical location at the Key West Facility, what is your qualification/recruitment/retention plan and procedures that demonstrate the Offeror’s ability to recruit and retain and to ensure that all contractor personnel will meet the minimum requirements of the labor categories in the solicitation. .

(g) If the base is closed due to security requirements or adverse weather, provide a plan on how you will take care of your employees since they will not be able to work at the Government facility due to the closure.

1.2.2 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 45 day transition period that ensures a smooth workplace changeover from the 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:

(a) Work Turnover - The offeror shall provide a plan of action to effectively transfer work, which may be in process when the current contract expires, from the incumbent to the successful offeror.

(b) Training - The offeror shall provide a plan of action to implement personnel training needed during the transition period to ensure continuity between the services provided by the incumbent and the successful offeror.

(c) Risk Mitigation strategies - The offeror shall provide a plan of action to mitigate contract performance risks encountered during the transition period. As part of the transition risk mitigation strategy, identify and address all significant foreseeable risks.

(d) Staffing - The offeror shall provide its staffing plan describing its plan to provide the required workforce by the start of the period of performance of the contract. Based on the inclusion of FAR clause 52.222-17 (Non displacement of Qualified Workers), the offeror shall provide their plan for (1) Making an offer to the incumbent workforce for the SCA labor categories during the 45 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.

(e) Security Requirements to include OPSEC, facility clearances, personal security clearances (if required) and base access. For personal security clearances, explain the status of the proposed individual’s clearance and if the clearance is not active, what is the offeror’s plan to get the individual the required active clearance level by the beginning of the ordering period which is projected to begin 45 days after contract award.

The Transition Plan shall specify all transition activities to be carried out as well as the date to be completed. Dates for completion shall be identified as weeks from award. The date of award will be considered "Week 0". Subsequent weeks shall be identified as "Week 1, Week 2, Week 6," respectively. All transition activities shall be completed 45 days post award.

1.3 Workforce

1.3.1 Key Personnel Resumes

For all proposed current or contingent Key personnel, provide a resume of the work assignments, training, etc., that demonstrates the experience and specialized qualifications of each key person proposed. A “contingent hire” is an individual who has committed, under a signed letter of intent, inclusive of salary information, to being employed by the Offeror if the Offeror is awarded the contract. Resumes shall contain, at a minimum, the following information:

a. Employee name

b. Years of employment experience in chronological order including narrative description of duties and responsibilities.

c. Current position, title and employer

d. Educational history

e. 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). It should be noted that a resume indicating a pending security clearance or no security clearance could result in a weakness due to the risk associated with not having a final or interim security clearance by the required time of 45 days after contract award.

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

If the qualification (i.e. education, experience) does not readily or easily compare to the minimum qualification stated in the SOW/PWS, the offeror shall provide an explanation as to the equality of the proposed qualification to meet the minimum qualification.

It should be noted that this requirement falls under the Service Contract Act and FAR 52.222-17 (Non-displacement of Qualified Workers - MAY 2014) applies. Some of the labor categories that are designated as “key” are SCA labor categories. While the FAR 52.222-17 requires the successful Offeror to offer the SCA position to incumbent SCA personnel, there is no obligation on the part of the incumbent employee currently filling the SCA position to accept the offer of employment. As a result, a resume must be submitted for these “key” SCA positions to ensure a viable applicant is available to fill the position should an incumbent SCA individual reject the offer to fill the position under the follow on contract.

Offerors are obligated to advise the Government of changes in proposed key personnel staffing, even after submissions of proposals. Offerors shall provide this information through email to contract specialist, Walter Williams at walter.williams3@navy.mil promptly upon discovery of change.

1.3.2 Facility Clearance

The Contractor shall provide evidence (e.g. written certification) of a Secret Facility Clearance.

2.0 VOLUME 2: PAST PERFORMANCE

2.1 General

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 P1, 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. Offerors may choose one of two options: They may either fill in the information in the Contract Effort Description box of Attachment P1 - Past Performance Information Form, if the response is concise enough to fit within the limitations of the form. Or, Offerors may designate within the Contract Effort Description Box "See Continuation Page" and then submit a second PDF or MS Word document up to one page in length for a total of 3 pages for an Offeror's Past Performance reference submission. 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 P2, to the Program Manager or COR who is the Assessing Official. The Offeror shall include instructions for the Program Manager or COR to send completed questionnaires within two weeks of its receipt via e-mail to Walter Williams, Contract Specialist, at Email walter.williams3@navy.mil, and to Jennifer Lundburg, Contracting Officer, at Email jennifer.lundburg@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.

3.0 VOLUME 3: PRICE/COST PROPOSAL

-If subcontractors are proposed, they shall provide the same information required for the prime contractor, unless otherwise noted below.

3.1 Volume Content:

(a) This Volume shall contain the Contract Compliance information specified below as follows:

i. 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.

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

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

(b) This Volume shall also contain a copy of Section B with the Contract Line Item (CLIN) Unit Prices and, for evaluation purposes, the Total Prices filled in using the estimated quantities and values in the solicitation and the instructions below. In accordance with Section B of the solicitation, Offerors shall insert their proposed prices for the following CLINs.

0001 Labor (CPFF) 0004 Labor OT (CPFF) 0007 Labor – NAWC-38 (CPFF) 0009 Labor – Retriever (CPFF) 0010 Material 0013 Travel 0016 Dry Docking 0017 Vessel Leasing 0018 ODCs (Non-Material and Travel)

All other CLINs shall not be priced in Section B as they are Not Separately Priced (NSP). Section B prices shall be provided within the Price/Cost proposal and separately in one digital data copy in MS Office 2010 Excel format on CD-ROM media. Within all Excel spreadsheets, the Offeror shall use formulas and functions to the maximum extent possible and avoid using output type “value only” cells. If links are utilized, supply those referenced files. Spreadsheets shall not be protected.

(c) 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.

(d) Government Agency Information: Offerors shall provide the mailing address, telephone number, email addresses and facility codes for the Offeror’s local Defense Contract Management Agency (DCMA), Defense Contract Audit Agency (DCAA), and Government Paying Office. If the Offeror’s Administrative Contracting Officer (ACO) at the DCMA is known, Offerors shall provide the name and contact information for that individual

3.2 Ground Rules and Assumptions:

(a) As this is a competitive acquisition with adequate price competition anticipated, certified cost or pricing data in accordance with FAR 15.403-1 is not required. 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. Further, the Offeror may be required to provide a Certificate of Current Cost or Pricing Data prior to award, pursuant to FAR 15.406-2.

(b) The Offeror shall provide sufficient information to support its price/cost as well as an explanation of all ground rules and assumptions that affect the price/cost estimates.

3.3 Price/Cost Information:

Offerors shall submit their fully completed cost/price proposal utilizing the Cost Summary Format (Attachment P3). The spreadsheet shall be formatted on legal size (8.5 X 14) paper and shall be unprotected and unlocked, with formulae intact to show mathematical operations. The Offeror shall use the CLIN Summary tab to breakout total proposed costs by CLIN.

Offerors shall complete the tab in Attachment P3 titled Fully Burdened Labor Rates, detailing the fully burdened labor rates for all prime contractors and their subcontractor personnel. Fully burdened labor rates are defined as direct labor rates plus all applicable burdens, to include indirect rates, fee, and subcontractor pass-through costs where applicable. For subcontractor labor, the fully burdened labor rates shall be inclusive of any pass-through charges (e.g., subcontractor handling, fixed fee on subcontractor labor, etc.) applied by the prime contractor. Proposed fully burdened labor costs may be subject to the NAVAIR labor tripwire identified in Section M. Offerors that propose a fully burdened per employee labor cost exceeding the labor tripwire shall provide rationale in their cost proposal narrative section that justifies the reasonableness of the tripwire cost for the applicable employees.

(a) 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, PWS, proposed effort, proposed manning levels, and 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.

(b) 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.

(c) Direct/Indirect Rates: The Offeror shall submit Forward Pricing Rate Agreements (FPRAs), Collective Bargaining Agreements (CBAs), and Area Wage Determinations (AWDs) as applicable for all proposed personnel. The Offeror shall identify whether the labor rates proposed are FPRAs, CBAs, AWDs, ACO/DCAA recommended rates (FPRRs), or Offeror proposed rates (FPRPs). The Offeror shall propose in compliance with the current hourly rate set forth in the Department of Labor Wage Determination as applicable. The Offeror shall provide Defense Contract Audit Agency (DCAA) Information/Payroll Verification information as follows: A DCAA point of contact, with a current e-mail address, must be provided for the prime and each subcontractor. 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 recommendation, payroll verification for currently employed proposed personnel, and any other information necessary to substantiate the rates proposed. Payroll verification shall consist of a form containing the title, direct labor rate, and a signed certification by an authorized representative of the company that the information contained in the form is correct. For contingent hires, the offeror shall provide contingent offer letters outlining salary information for contingent hire employees. For any prospective hires for any non-key personnel, provide information to substantiate the rates proposed. All contingent hires shall have a letter of intent submitted under the Cost Volume. The letter of intent is a separate written agreement signed by the potential employee(s) to work for the Offeror effective at contract award. Any proposed consultants shall have a consultant agreement substantiating the rates proposed. If a composite rate or other pricing methodology (e.g. cost estimating relationships) is utilized, the Offeror shall demonstrate how those rates were developed. Subcontractors and team members shall provide this information either separately or included in the Offeror’s submission of this document.

The following definition applies:

- A “contingent hire” is an individual who has committed, under a signed letter of intent, inclusive of salary information, to being employed by the Offeror if the Offeror is awarded the contract.

If any of the rates utilized by the Offeror or any subcontractors differ from the DCAA information and/or payroll verification, a justification shall be provided for the difference. If DCAA has not reviewed the rate information for an Offeror or one of its subcontractors, the Offeror must submit a detailed justification of the proposed direct and indirect rates. The Offeror shall also provide documentation verifying that it has a DCMA approved Accounting System in accordance with DFARS clause 252.242-7006, or state that its Accounting System has not been approved by DCMA. Offerors shall provide the last three (3) years of actual indirect information. The Government may compare a prospective Offeror’s labor category rate to the average labor rate from industry.

(d) Except for FFP type of CLINs (e.g., CPFF, CPIF, or CPAF) under the solicitation, the Offeror shall fully disclose the buildup of cost/price of each CLIN.

(e)When completing the Cost Summary Spreadsheet (Attachment P3), the Offeror shall not utilize any fully burdened hourly rates when pricing the labor of its employees. These fully burdened labor rates shall be calculated on a separate tab entitled “Fully Burdened Labor Rates” within the Attachment P3.

(f) Offeror's labor classifications should cross-reference to Department of Labor (DOL) wage determination classifications as much as possible. A cross reference matrix table can be found in Section C, paragraph 5.7.

(g) 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. (e.g. shall not propose a rate lower than the WD rate for SCA labor categories) 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. Offerors are reminded that in accordance with FAR clause 52.222-43, proposals shall not include any allowance for any contingency to cover increased costs for which adjustment is provided under this clause. As required by the Wage Determination, the contractor shall include that cost associated with those rates on their Attachment P3 (e.g. Health and Welfare - $4.41 per hour).

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 the 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, Limitations on Subcontracting. 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.

(h) The Offeorr shall 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:

· Direct labor rates by category. The Offeror is required to submit labor rates for all proposed current, contingent, and prospective hire individuals. If composite or category averages are proposed, provide a breakdown of how rates are developed. If necessary provide a narrative to describe derivation of labor rates, use of uncompensated overtime, pools to which indirect rates are applied, historical /provisional billing rates for indirect rates for the last 3 years and description, and amount of proposed other direct costs. If the Offeror requires the use of consultants in performance of the effort, the consultant cost shall be captured under the appropriate labor CLIN not the ODCs CLIN.

· As this is an SCA covered procurement and the Non-displacement of Qualified Workers clause applies, the Offeror receiving award of the contract must offer the SCA labor category positions to the incumbent workforce. To assist in the preparation of the cost proposal, the following direct labor rate information is provided pertaining to the current SCA workforce at ATMO Key West. This information is provided to all offerors to ensure the realism of direct labor rates within the cost proposal.

Hourly rates Rate Range of current SCA workforce

Vessels-Wage Determination Day Rates

Any proposed labor rates that fall under these ranges shall be fully supported with substantiation for the lower rates. Any proposed rate that is not fully supported or justified is subject to adjustment in accordance with Section M of the solicitation.

· Escalation on labor. Offerors, including subcontractors, shall address escalation for all labor categories, and shall provide rationale for the specific escalation rate used. Offerors that do not include escalation, or an explanation as to why it is not included, may be considered unrealistically low and may have their proposals adjusted by the Government to include escalation in the option periods.

· Indirect costs (e.g., Overhead, Fringe Benefits, General & Administrative (G&A), Health and Welfare, etc.)

· Information needed to explain the offeror’s estimating practices

· Profit/Fee: Identify profit/fee rate 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, must be clearly distinguishable. Profit/Fee shall not be applied to ODCs.

· Other Direct Costs (ODCs) by specific cost element (e.g., Travel, Material, Vessel Leasing, Dry Docking, and ODCs). Reimbursement for Travel will be in accordance with FAR 31.205-46. If the Offeror proposes burdens on the Government provided ODC estimates, the Offeror shall provide a percentage breakdown of the Offeror’s indirect costs and burdens added to the Government estimates for any and all Cost Reimbursable CLINs in Section B.

· When the Offeror elects to claim Cost of Money (COM) as an allowable cost, the Offeror must submit a COM form and show the calculations of the proposed amount.

3.4 Government Furnished Information

3.4.1 ODCs

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

Vessel leasing ODCs (non Material/Travel)

Offerors shall utilize the Not-to-Exceed (NTE) amounts provided by the Government for CLINs/items shown in the table above in their Cost Volume and P3 Attachments. If the Offeror’s accounting practice is to apply (and invoice for) burdens on top of ODC amounts, the contractor should propose the NTE ODC amount as shown above plus the addition of the applicable burdens, making it clear which burdens are applied to the ODC line item. Sections B and G of the resultant contract will be annotated accordingly for billing and payment information.

3.4.2. Labor Hours

CLIN 0001 (Labor) - The Government estimate is 106,080 hours (inclusive of Overtime) for Labor which covers the projected labor hours by category over the course of the five year ordering period This excludes the labor associated with the NAWC 38 (CLIN 0007) and Retriever (CLIN 0009) as outlined below. A work-year is defined as 1920 hours for hourly rate labor categories and 312 days for day rate labor categories exclusive of holidays and leave.

CLIN 0004- (Overtime) This estimate includes Overtime hours for specific labor categories as shown in the table below. When completing the P3 Cost spreadsheet, Offerors shall propose Overtime rates in accordance with the Department of Labor requirements and applicable Wage Determinations.

For evaluation purposes, the Offeror shall propose the labor categories/hours as outlined below: Offerors shall utilize these hours in calculating the proposed costs for CLINs 0001 and 0004.

Total Hours

Labor Category

Regular Hours

(CLIN 0001)

Overtime Hours

(CLIN 0004)

* denotes Key Personnel

CLIN 0007 (NAWC 38) - The Government estimate for labor by category associated with fleet exercises and RDTE events using the NAWC 38 are 18,720 days as outlined in the table below. For this CLIN, Offerors shall propose in accordance with the applicable Wage Determination which includes day rates vice hourly rates.

Offerors shall utilize these numbers of days in calculating the proposed costs for CLIN 0007.

NAWC 38 (CLIN 0007)

Year 1 Total Days Year 2 Total Days Year 3 Total Days Year 4

CLINS

*General Vessel Assistant (Captain/Master)

*General Vessel Assistant (Chief Engineer)

General Vessel Assistant (Asst Engineer)

General Vessel Assistant (Chief Mate)

General Vessel Assistant Bosn/Able Seaman)).

General Vessel Assistant (Able Seaman)

General Vessel Assistant (Ordinary Seaman)

General Vessel Assistant (Steward)

CLIN 0009 (Retriever) - The Government estimate for labor by category associated with use of the Retriever is 2,800 days over the course of the 5 year ordering period. For this CLIN, Offerors shall propose in accordance with the applicable Wage Determination which includes day rates vice hourly rates.

Offerors shall utilize these numbers of days in calculating the proposed costs for CLIN 0009.

RETRIEVER (CLIN 0009)

Year 1 Total Days Year 2 Total Days Year 3 Total Days Year 4 Total Days Year 5

Total Days

CLINS

Labor Category

General Vessel Assistant (Captain/Master)

General Vessel Assistant (Ordinary Seaman)

3.4.3 Incumbent Information

The incumbent contractor is:

METSON MARINE INC

2060 Knoll Dr # 100, Ventura, CA 93003 Phone: (805) 658-2628

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