LCC_20_Industry_Day _Contracting_Overview.pptm

USS MOUNT WHITNEY (LCC-20)

FY17 Industry Day – Contracting Overview

UNCLAS

Military Sealift Command MSC Delivers Contracting Office

PRE-AWARD:

All contracting review functions will be in the United States at either Washington D.C. or Norfolk VA. Discussions, if necessary, will be conducted via teleconference or in writing.

Procuring Contracting Officer (PCO): Ms. Michelle Knox ; Norfolk, VA.

Contract Specialist: Mr. Daniel Glod ; Washington, DC.

POST-AWARD:

Administrative Contracting Officer (ACO): TBD ;

**Note ACO will reside onsite at awardees facility.

Norfolk PCO and onsite ACO are the ONLY individuals who may issue/approve a “change” to the Contract. Without formal direction/approval Contractor proceeds at risk of no compensation.

MSC Delivers

PRE-AWARD:

All technical review functions will be in the United States; Washington, DC or Norfolk, VA.

POST-AWARD:

ONSITE - awardees facility:

Multiple onsite owner’s representatives (Government Civilians and Contractors) will oversee technical issues related to assigned Work Items (Wis).

One owner’s representative will act as the Contracting Officer’s representative (COR). The awardee will be provided the COR appointment and contact information upon award.

This will be the Senior Owner’s Representative and the ultimate authority for issuing formal technical direction, if necessary.

**NOTE: Technical direction may only apply to work within scope.

Technical Office

MSC Delivers Contract Type Single Award (One Prime Contractor)

Firm Fixed Price (FFP)

Changes to be executed IAW DFARS 252.217-7003 Changes

Category “A” Wis: A defined work item for which a firm fixed price has been established and will be executed during the period of performance and included in the base contract.

Category “B” Wis: A defined work item which identifies additional repairs, labor, materials or services, whereby a unitized price or total price has been established and may or may not be invoked during the period of performance of the contract by the MSC Contracting Officer.

MSC Delivers Pre-Award: Solicitation Competitive Acquisition; set-aside for small business TBD.

Limited Area of Consideration (AOC).

Mediterranean, West of 20 degrees East longitude, including the Adriatic Sea and locations outside the Mediterranean (Cadiz, Portugal, northern Spain).

To be issued under FAR Part 15 Procedures, “Contracting by Negotiation”.

MSC intends to utilize Federal Business Opportunities (FBO) for posting all documents associated with the solicitation for this contract. Vendors should subscribe to updates in order to ensure receipt of most up to date info.

All vendors in attendance will be notified when the solicitation is posted.

MSC Delivers Solicitation will be posted with all attachments (Wis, references, submission documents) for 36 days.

Once the Solicitation is posted ‘ALL’ communication must go through the PCO and Contract Specialist listed in the RFP.

Section L: Provide instructions for submitting proposals. All instructions must be followed and required documents submitted.

Section M: Provides details on how Government will evaluate proposals and determine awardee.

Any exception to the RFP’s terms and conditions may make a proposal ineligible for award.

MSC reserves the right to award off initial proposals without discussions.

Changes to Solicitation (if required) will be issued via Amendments and posted to FBO.

Pre-Award: Solicitation

MSC Delivers Pre-Award: Solicitation Vendors are encouraged to engage MSC in dialogue if any aspect of the solicitation may result in “not bidding”.

Proposals shall be submitted directly to the PCO and Contract Specialist ONLY.

Two Sections:

Contractual/Pricing Technical Approach (no pricing).

Submission of proposals is preferred as FEDEX or DHL. Electronic deliveries may be considered. Email not preferred. Proposals shall be submitted as electronic media (no paper copies required) on a CD or DVD.

Late submittal of a proposal will deem it not acceptable.

MSC Delivers Pre Award - Evaluation Solicitation evaluation and Contract award will be on a Lowest Priced, Technically Acceptable (LPTA) basis.

Evaluated Price will include the price of all Category “A & B” Wis and Additional Government Requirements (AGR). No inter-port differential (IPD) will be assessed for this contract.

Technically Acceptable: Offer conforms fully to the requirements of the solicitation, offeror is capable, responsible, and eligible for award.

Price offers to the RFP shall be received and evaluated in Euro.

Contract price to be converted to US dollars upon day of the award.

**NOTE: Exchange rate will be locked-in at this point.

MSC Delivers Contract Award Successful Offeror will be notified via formal letter of Contract Award and final awarded price after conversion.

Unsuccessful Offerors will be notified via formal letter of awardee with basic award information.

Award information will also be posted to FBO.

Final Contract will incorporate awardees proposal by reference, wherein all aspects of the proposal become binding.

Upon award Contractor may commence performance (ordering of material, securing sub-contractors, etc.)

A post-award conference is anticipated. Typically 2-3 weeks after award on mutually agreed date. Contractor may ask questions, identify concerns, further discuss strategy.

MSC Delivers Post - Award Ship must be delivered on-time. Liquidated Damages (LDs) will be a part of the contract. On-time re-delivery to the Navy is essential and penalties will be assessed in accordance with LD clause for late delivery.

Performance will be monitored by Navy Personnel, the MSC Onsite Management Team (OMT), and the onsite ACO.

The Contractor shall perform all work in accordance with the Contract statement of work, each WI requirement, and the approach/schedule within its proposal.

DFARS 252.217-7003 CHANGES: Although MSC reserves the right to “order” work without mutual agreement in all of our contracts, MSC has a long history or RARELY doing so, we find over 99.9% of the time we can come to a mutually agreeable solution.

MSC Delivers

DFARS 252.217-7003 CHANGES:

Changes may be required either by Contractor or Government Request.

Contractor Change Request:

Contractor issues the Government a Condition Found Report (CFR)(Ref. WI 0013, para 7.4).

The report notes the condition that requires the change and where in the contract the contractor was not required to accomplish this work.

Government will agree/disagree and support its position.

If Government agrees with the CFR, a Request for Pricing (RFP) will be issued to the contractor. The contractor must respond to all RFPs within (3) days business days.

The Government’s ACO will then either accepts the RFP without exception or the contractor and ACO will negotiate the terms of the RFP.

All changes must be approved and authorized ONLY by the ACO.

MSC Delivers

DFARS 252.217-7003 CHANGES:

Government Change Request:

Government issues the Contractor a Request for Pricing (RFP).

The RFP describes the new work or change to existing work.

Contractor responds within (3) days business days with a Firm-Fixed Price for the work.

The Government’s ACO will then either accepts the RFP without exception or the contractor and ACO will negotiate the terms of the RFP.

All changes must be approved and authorized ONLY by the ACO.

ACO Authorization: The ACO will provide authorization via verbal, written email, or letter. Once authorization is received Contractor may proceed. ACO will follow up with all settled changes in a Contract modification.

**NOTE: During the execution of the work package, all responses to RFPs shall be provided in US dollars and negotiations shall be in US dollars.

MSC Delivers The Contractor, in its proposal, will submit an hourly rate for standard labor categories for “Additional Growth Requirements (AGR)” (Changes).

This rate is fully burdened (Includes QA, supervision, G&A, Profit).

The Contractor will submit a % markup for material and ODCs.

The Government will award a NTE CLIN with funding for estimated changes based on hours X Contractor rate.

Normal subcontractors paid @ AGR rate. Large material such as steel plate is subject to mark up but not “consumables”. OEM Subcontractors (i.e. Wartsilla) are considered ‘special labor’ and priced as ‘material cost’ and not ‘labor hours’ at the AGR rate.

Changes to the ultimate delivery date are HIGHLY unacceptable. AGR growth is required to be accomplished without delay to redelivery.

MSC may not use all AGR funding. If funding needs to be increased, it will be done so via bi-lateral modification. Same rates still apply.

Funding Changes

MSC Delivers Invoicing and Payment Payments are made based on Percentage of Progress completed as agreed to with the COR/ACO and Contractor’s representative.

Typically after 2 weeks in the yard the first progress meeting is held where all parties agree to the invoicing progress amount.

The amount agreed to (example 10%) is then approved for invoicing. An electronic invoice is submitted by the contractor thought the WAWF online system.

Payment is then approved and all else being equal, payment is received by the contractor 30 days after submission of an approved invoice. Payment is received via Electronic Funds Transfer (EFT). Offerors should all register at Sam.gov

The Government retains a “hold back” equal to 10% of the contract. So for example if a 10% progress payment is approved on $1,000,000 contract the offeror would receive $90,000 for the $100,000 invoice.

MSC Delivers LCC-20 Program Points of Contact Washington DC:

Daniel Glod (MSC/N10) MTW Contract Specialist Tel: (202) 685-5954, Email: daniel.glod@navy.mil Seamus Hunt (MSC/N72) MTW Lead Design Engineer Tel: (202) 685-5237, Email: seamus.p.hunt@navy.mil Marc Bromante (MSC/N74) MTW FY17 Senior Owner’s Rep Tel: (202) 685-5036, Email: marc.bromante@navy.mil Norfolk:

Michelle Knox (MSC/N10) MTW Contract Officer Tel: (757) 443-2902, Email: michelle.r.knox@navy.mil Rick Albert (MSC/N74) MTW ESLP Project Officer Tel: (757) 443-5957, Email: rick.albert@navy.mil Gaeta Italy:

Mike Brown (MSC/PM4CM1) MTW Principal Port Engineer (PPE) Tel: Email: michael.t.brown1@navy.mil

MSC Delivers Contracting Process

QUESTIONS ???

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