N3943019R21010003.pdf

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NAVFAC EXWC Global Petroleum Oils and Lubricants Worldwide
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N3943019R2101
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This document is an amendment to a solicitation for a multiple award construction contract for global petroleum, oils, and lubricants services worldwide. The Naval Facilities Engineering Command seeks to award indefinite delivery/indefinite quantity contracts to small and large businesses for POL facility maintenance, repair, and minor construction projects. The work includes projects across several regions with an estimated total value of $5-7 million per task order. The period of performance is one base year with four optional ordering periods. The amendment provides responses to offeror questions to clarify requirements such as the acceptability of commercial experience for project managers and the ability to submit partially completed projects under past performance. It also modifies the limitations on subcontracting clause.

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AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT

Except as provided herein, all terms and conditions of the document referenced in Item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

15A. NAME AND TITLE OF SIGNER (Type or print)

30-105-04EXCEPTION TO SF 30

APPROVED BY OIRM 11-84

STANDARD FORM 30 (Rev. 10-83) Prescribed by GSA

FAR (48 CFR) 53.243

The purpose of this amendment is to:

1) Provide answ ers to additional pre-proposal inquiries received. Items highlighted in yellow are changed answ ers. from previous responses.

2) Update 52.219-14 -- Limitations on Subcontracting. (DEVIATION 2019-O0003) to include the date in the title.

1. CONTRACT ID CODE PAGE OF PAGES

J 1 19

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

16C. DATE SIGNED

BY 04-Feb-2019

16B. UNITED STATES OF AMERICA15C. DATE SIGNED15B. CONTRACTOR/OFFEROR

(Signature of Contracting Officer)(Signature of person authorized to sign)

8. NAME AND ADDRESS OF CONTRACTOR (No., Street, County, State and Zip Code) X N3943019R2101

X 9B. DATED (SEE ITEM 11)

02-Jan-2019

10B. DATED (SEE ITEM 13)

9A. AMENDMENT OF SOLICITATION NO.

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

X The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offer is extended, X is not extended.

Offer must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended by one of the following methods:

(a) By completing Items 8 and 15, and returning 1 copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted;

or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGMENT TO BE RECEIVED AT THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN

REJECTION OF YOUR OFFER. If by virtue of this amendment you desire to change an offer already submitted, such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

12. ACCOUNTING AND APPROPRIATION DATA (If required)

13. THIS ITEM APPLIES ONLY TO MODIFICATIONS OF CONTRACTS/ORDERS.

IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE

CONTRACT ORDER NO. IN ITEM 10A.

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, appropriation date, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(B).

C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority)

E. IMPORTANT: Contractor is not, is required to sign this document and return copies to the issuing office.

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

10A. MOD. OF CONTRACT/ORDER NO.

2. AMENDMENT/MODIFICATION NO. 5. PROJECT NO.(If applicable)

6. ISSUED BY

3. EFFECTIVE DATE

04-Feb-2019

CODE

NAVFAC EXWC

CODE ACQ / NAVAL BASE VENTURA COUNTY

1100 23RD AVE BLDG 1100

PORT HUENEME CA 93043-4301

N39430 7. ADMINISTERED BY (If other than item 6)

4. REQUISITION/PURCHASE REQ. NO.

CODE

See Item 6

FACILITY CODECODE

EMAIL:TEL:

N3943019R2101

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION SF 30 - BLOCK 14 CONTINUATION PAGE (SF 30)

The following have been added by full text:

AMENDMENT 0003

No. Section Question Response

1 Para 4.2, Factor 2 Experience, The RFP states, “Any project not completed will not be considered.”

Given the identified focus of work on this contract, many task orders under the current contract would be relevant, however very few have been completed due to the sequential nature of the work (one tank must be complete before work on subsequent tanks can be started). If one or more tanks are complete, can a task order be submitted and be considered relevant – even if the entire scope of work is not complete?

Yes. Rationale: Each tank is a separate project and if there are multiple tanks (projects) in sequence on a particular task order, it would be acceptable to submit the completed tank(s) (project(s)) even though the task order itself is not complete.

Please note that this does impact factor 3, in that you must obtain a PPQ for work where there is not a Final CPAR; as well as factor 6 where you must submit small business subcontracting information for the projects listed in Factor 2.

2 Para 7.1, Factor 4 - Technical Solution, Page 16

Can the organizational chart be 11x17 That is acceptable, but the page count remains at 20.

3 General With the Federal government shutdown the SBA is not processing paperwork. This will likely impact our teaming for the NAVFAC EXWC Global Petroleum Oils and Lubricants Worldwide proposal.

Would NAVFAC consider delaying the RFP for as many days as the government is shutdown to give us a fair chance at the contract?

As the date the shut-down will end cannot be predicted, we will attempt to accommodate such situations to the extent it does not derail the entire acquisition.

This solicitation (including the draft and industry day) has been in the public view for quite some time.

4 General The past contract limited the size of the small business task orders to < than $ 2mm, which is why we chose NOT to participate. Currently, this new program has the same language and states task orders < than $ 2 mm will be reserved for small business. Could the threshold be raised to at least $ 4 mm?

The previous solicitation had a reserve of $1M and the current is $2M. We did examine using a higher limit, however we believe that the required aggregate bonding capacity for anything higher than $2M may unfairly exclude some small business concerns. It is important to note that orders in the United States and below $2M are reserved exclusively for small business.

Small business firms can participate in the unrestricted awards.

5 General Where do you expect the "majority" of the work to take place? West Coast?

East Coast, etc.? Where was most of the work under the current contract?

Please see the table entitled "Forecast". These are preliminary planning numbers, broken out by region, per fiscal year. The numbers represent both the number of planned task orders as well as the number of tanks. For example, under FY20, Mid-Atlantic is projected to have two task orders, one with two tanks and one with three tanks. Note that these number change frequently and some projects may slip into later years and new projects may be identified. The solicitation, beginning on page 6, lists the historical date from the previous contract.

6 Para 4.1, Factor 1 -Technical Approach, page 12

What credentials are required for the Lead Engineer?

The lead engineer is not a key personnel, as not all firms may utilize this position. For the purposes of evaluation, the lead engineer should minimally meet the requirements of the Project engineer.

Questions 7 - 30 were asked during the pre-proposal conference, so the wording may not be exactly as asked or answered.

7 Factor 1 lists the key personnel that resumes where resumes are required, while factor 4 uses both "core" and "key personnel"

For Factor 1, the key personnel are as listed. For factor 4, consider that "Core" personnel includes other personnel in addition to "key personnel".

8 Interim CPARs, would you prefer a

PPQ?

If there is not a final CPAR, you must submit a PPQ, see Factor 3, para (a)(1)

9 Factor 2: Entertain going to 7 or 10 years?

Considered, but the requirement remains at five years.

10 Price: Labor rates vary all over the country, how do you evaluate that?

Most of the key personnel are required to be employees of the prime (exceptions are Project Engineer and Design Quality Control Manager - by exception, and alternate SSHOs) so we would not anticipate that their labor rate would change based on location. Regardless, we assume offerors will use a blended rate if they have multiple personnel in the same position.

11 Price: Are you bidding field overhead rates?

If the offeror has a multi-rate indirect structure with an established Field Overhead Rate (see instructions in Attachment M, paragraph E) then that is what we are requesting. We are not asking for what NAVFAC considers a Field Office Overhead Rate (FOOH) and is referred to in FAR 31.105 (d)(3).

If the offeror consistenly bids those cost as a rate, then it is calculated by estimated job-site expenses divided by the estimated cost inputs (labor, material, equipment), and that rate would vary from task order to task order.

12 Price: Will there be a separate line for CONUS and OCONUS work in Attachment M?

No.

13 The price isn't for the seed project, it's for the overall MACC?

The total evaluated price for the MACC is the sum of the total price for each (all five) of the ordering year and the extension of services period, as well as the price for the seed task.

14 Is the seed task awarded on low price? No, it is based on trade-off between price and technical solution, see page 20 para 10.

15 What is the time you're going to allow to put Phase II together?

At least 30 days

16 What's the award time we're anticipating on this?

Current contract expires on 2/29/2020

17 Give us an idea on the range of value on the LB? Are there $10, $20 MIL?

Typiclly $5-$7 MIL unless overseas or Hawaii, those could be in the $15M to $26M range.

See historical data beginning on page 6 of the soliciation.

18 Will there be another Q&A when Phse II comes out?

A cut-off date for questions for phase II will be announced when offerors are invited to phase II.

19 Mention of financial questionaire, VETS form, are they in Tab 3?

Yes, they are to be included in Tab 3 of the original binder.

20 Is there going to be a Phase II site visit?

21 Are you going to be looking at experience for overseas?

There is no specific discriminator for work performed overseas and for small business no expectation of having performed overseas work; however, the evaluators may consider the work overseas to be of a higher relevancy.

"Projects which demonstrate that the offeror has the resources and knowledge needed on this contract will be rated more favorably." Factor 2, para (b).

22 When you down select from Phase I to Phase II, is there a range you're going to be down selecting?

Intent is to move 4 small businesses and 4 large business firms to Phase II. See Page 15, para 6.2

23 Is there a requirement for a Japanese contracting license when performing work in Japan.

A Japanese construction license is required if the contractor is using its own personnel to perform the construction work (not oversight), vice utilizing subcontractors. A Japanes Business License is required for firms working in Japan.

24 SSHO: do not understanding the pricing. Base rate is very different for different areas.

See response to question 10.

25 When will the schedule be for the downselect from Phase I to Phase II

Optimistically 60 days

26 On the seed task to form the price, should offerors anticipate additional repairs after the inspection report is finalized?

No. The modification process will come into play. Offeror's are not expected to bid unknown work or build that additional work into the initial proposal schedule.

27 Will copy of sign in sheet be posted? Yes

28 On the last MAC there were task orders for natural gas lines.

Yes, but they were issued by other NAVFAC Facilities Engineering Commands (FECs) who had requested ordering authority from the contract.

29 Do you expect much design work in this?

The level of design tends to vary from location to location.

30 Do you consider location of the contractors?

No.

31 Section 6. Key Personnel and Responsibilities Paragraphs 6.7 through 6.10 Pages 50-51

Solicitation Submission Requirements in Section 4.1 Factor 1 Technical Approach identify the Program Manager, the five Project Managers, and one Lead Engineer for in-house design work. However, the sections referenced above identify multiple additional positions such as Site Superintendents, QC personnel, etc.

Please confirm that only the personnel identified in Section 4.1 need resumes included in the proposal.

Confirmed for factor 1 (see 4.1 (a)(3)), but note that Factor 4 requires summary of the qualifications of additional personnel.

32 Attachment E It is assumed that the name Erin Watson is to replace the name Tasha Womack retained at the top of this form. Please confirm.

Confirmed, a revised attachment E was uploaded in FBO.

33 Attachment E Please advise as to whether or not multiple questions can be submitted on the form, or if a separate form needs to be submitted for each question.

Mulitiple questions may be submitted on a single form.

34 Attachment E Please confirm / advise: the paragraph states that, “questions may be redacted if the name of the offeror’s firm is embedded in the RFI.”—However, the offeror’s firm name is required at the top of the form

The forms are not being released.

The contact info is required in the event further clarification is required.

35 Attachment A, Offeror Team Composition and Management and 4.1 Factor 1 Technical Approach

Please confirm that the 4-page limit is confined to the information requested for Offeror Team Composition and Management, and that the Resumes are not to be included in this document;

however, have their own page count of one double sided page or two single sided pages.

Confirmed.

36 4.3 Past Performance If no CPAR evaluation is available, but a PPQ was completed recently for a project submitted for Factor 2 under a different solicitation, please consider allowing previously completed PPQs to be submitted. This alleviates time constraints on our clients.

That is acceptable.

37 Offeror Team Composition and Management and 4.1 Factor 1 Technical Approach

During the recent site visit, several comments were received from EXWC related to the Lead Engineer role, comments that are not consistent with the current RFP nor with EXWC’s responses to similar questions. Therefore, we assume that an RFP modification is forthcoming to clarify your expectations related to the role and resume for the Lead Engineer. Please confirm that this modification is forthcoming and respond if you plan to extend the proposal due date.

See response to question 38, below. (Confirmed with submitter that the response below clarified this question)

38 Offeror Team Composition and Management and 4.1 Factor 1 Technical Approach

Comments during the site visit implied that EXWC expects the Lead Engineer position to be filled by a third-party subcontractor. If the responder can demonstrate through a resume that they have this capability in-house, is that not preferred by EXWC? Please clarify.

Some firms do not have any in-house design capability, so they use subcontractors to perform that role. If that is the case, the contractor should not submit a Lead Engineer resume. If the contractor EVER does in-house design, then the resume must be submitted. Whether to use in-house design or subcontractors or a combination of both is a business decision for the contractor.

39 Attachment M Is the Quality Control Manager considered to be a home office position?

No, the pricing requested is for the field position, not a home office reviewer. Note the number of estimated hours for positions considered to be full-time field positions.

40 Section 00 21 16 Instructions to Proposers and Section 00 72 00 General Conditions/Experience

Can you please define a major subcontractor and a key subcontractor

The terms major subcontractor and key subcontractor can be used interchangeably. These are firms that will be performing a majority of the work and for the evaluation of Factor 2, require a letter of commitment and an explantion of the meaningful involvement the firm will have in the performance of the contract.

41 Section 00 21 16 Instructions to Proposers 4.1 Factor 1 Technical Approach

Can the organizational chart be a fold-out and still count as a single page.

Yes.

42 Amendment 0001 As noted, since the Federal government shutdown has impacted the SBA’s ability to process paperwork, our Mentor-Protégé application and subsequent JV may not be in place by the time of the current due date. We are asking that our SB joint venture be considered, pending approval of the M-P and the formation of the JV.

To accommodate this unusual situation, the Navy will not prevent a firm from moving to phase II soley because the firms Mentor-Protégé agreement has not been approved by the SBA and the subsequent JV agreement has not been signed.

43 Section 00 11 19 Para 5.1.6 Paragraph 5.1.6 Responsibility of Determination the RFP requests that bidders submit a financial questionnaire completed on Attachment F, a surety Form completed on Attachment G and a VETS 4212 Report Submission confirmation. The numbering of the information being a 5.1.6 seems to indicate it would be included in the Phase 1 submittal however there is no reference or instructions regarding the Responsibility of Determination information included in Section 00 21 16 Instructions to Proposers.

Can the Government please clarify what proposal phase the Responsibility of Determination information needs to be provided in and indicate where within that phase we should include that information?

These forms are required for Phase I and should be included in Tab 3.

42 Secton 00 11 16, Factor 1 Technical Approach

Is there a minimum number of Project Manager Resumes that must be shown to meet the acceptable rating?

Yes, Five.

43 General Please confirm that if an offeror is using a team member to support design services, to include providing resumes and past experience in Phase I, that the design member, to avoid conflict of interest, shall be exclusive to that offeror, and not support multiple teams.

We know of no authority to support that assertion.

44 Section 00 21 16, Factor 2 Experience, p 1

Paragraph states Offeror is to provide

(5) projects that are completed within

(5) years of the issue date of the RFP, similar in size, scope and complexity.

At the site visit meeting, it was discussed that project dated back further than the RFP requirements may be considered. In an effort to bring in new competition, would you consider extending the completion of similar projects to (7) years?

See response to question 9.

45 Attachment F Instructions on Attachment F instruct offerors to complete Attachment F by submitting it to our financial institution, having it completed by the financial institution, and then returned in a sealed envelope back to the offerors to be included in our submittal. With offerors submitting an original and three hard copies, 4 copies total, can the Government clarify if the sealed envelope is required only in the original or if we must instruct our financial institutions to return 4 total copies all in individual sealed envelopes for inclusion in each binder?

Attachments F, G, and VETS 4212 confirmation need only be submitted in the original binder.

46 Section 00 11 19 Para 5.1.1.7 Please clarify what exactly is required.

Is this a list of existing contracts with the government held by the lead designer or other sub-consultants teamed with the Offeror?

If the offeror believes it may have a potential organizational conflict of interest, list it here. If not, so state.

47 Section 00 11 19 Is a bid bond required to be submitted for Phase I or just Attachment G completed by the surety.

For Phase I, just attachment G.

48 Section 00 72 00 6.4 Program Manager

For small business concerns would the Government consider, in lieu of the Program Manager being a full-time employee of the Prime Contractor, would it be admissible for the Program Manager to be a full-time employee of one of our key Subcontractor/Engineering firms, who we have listed in the Past Performance Section, as long as there is a teaming agreement and letter of commitment in place referencing this Solicitation?

No.

49 Section 00 72 00 6.5 Project Manager

For small business concerns would the Government consider, in lieu of the Project Manager being a full-time employee of the Prime Contractor, would it be admissible for the Project Manager to be a full-time employee of one of our key Subcontractor/Engineering firms, who we have listed in the Past Performance Section, as long as there is a teaming agreement and letter of commitment in place referencing this Solicitation?

50 Section 00 72 00 6.4 Program Manager & 6.5 Project Manager

For small business concerns will the Government accept resumes for the Program Manager and Project Manager roles, of individuals not currently employed by the Prime Contractor, as long as there is a letter of commitment stating the individual is willing to commit to supporting the Prime Contractor in this MACC Program as an employee, pending award?

Yes (for large and small firms).

51 RFP Para. 20 (page 53 of 60) Request clarificataion whether the Government's definition of "Preaward Site Inspections" is the same as a "Task Order Pre-Bid Site Visit"?

Yes, the site visit held on 17 Jan 2019 satisfies the pre-award site inspection.

52 RFP Para. 4.1 (page 12 of 60) Request clarification if the "Lead Engineer" is the same as the proposed "Designer of Record".

Not necessarily. A firm may have a lead engineer but propose to utilize (for example) an A-E firm's employee to serve as the DOR on a particular project.

53 RFP Para. 4.1 (page 12 of 60) Can the "Lead Engineer" also be one of the five (5) proposed Project Engineeers?

There is no requirement for five Project Engineer summary resumes.

54 RFP Section 00 72 00, para.6.6 (page50 of 60)

Request confirmation that it is the Government's intent that the Task Order Projct Engineer is only required to be on-site as requested to diagnose, investigate and analyze technical issues and that full -time on-site presence is not required.

Confirmed.

55 Amendment 0002. Request clarificication regarding Government response to Question #1.

It is our read that the only requirement to address subcontracting for Phase I is Box 9 of Attachment B (Factor 2).

Factor 6 is a Proposal Phase II requirement where Attachments J, K and L (LB only) are required. There does not appear to be any direct linkage of Factor 6 elements to Factor 2.

Please see Factor 6, paragraph

(a) 1. a.; which reads: All offerors shall submit small business subcontracting information associated with each project cited under the Factor 2 in the format provided in Attachment J, Small Business Subcontracting Record. While Factor 6 is not submitted in Phase I, we wanted to ensure offeror's understood the requirement for Factor 6 when selecting projects.

56 Amendment 0002. The answer to question 38 provided in Amendment 002 regarding the Lead Engineer's resume states "If the contractor EVER does in-house design, then the resume must be submitted." Please clarify if this is for ANY design performed by the prime contractor regardless of discipline or only for the Mechanical POL discipline.

Confirmed, any design performed by the prime contractor.

57 RFP Para. 7.1.1 (page 16 of 60) If the design effort is split between the prime and a subcontractor, who is considered the Designer of Record as mentioned in RFP paragraph 7.1.1 Technical Approach?

That is a decision for the offeror.

58 RFP Para. 4.1.4.b (page 13 of 60)

Basis of Evaluation for the Offeror's Team Composition and Management states "...whether the proposed organizational structure meets the requirements of the Part 2 specifications (refer to Attachment H)…". Please clarify why a site specific specification is being referenced for a programatic wide narrative.

While the Part 2, (Division 01) specifications are tailored for each RFP, much of the language regarding personnel requirements is standard and not tailorable.

59 RFP Para. 6.1 (page 49 of 60) In the paragraph "Substituion of Credentials" it states "The Government may allow substitutions for specified disciplines...". Please clarify if this includes the degree discipline for the Program Manager, Project Engineer, and the Quality Control Manager."

It does not apply to the degree discipline.

60 RFP Para.6.7 (page 50 of 60) Please confirm or clarify that the Quality Control Manager specified in RFP paragraph 6.7 is the Corporate QCM and not a field QCM.

It is the field QC position.

61 RFP Para.6.5.1.4 (page 50 of 60)

Project Manager Credentials state:

"Must have completed the course entitle “Construction Quality Management (CQM) for Contractors”. However, the RFP states that commercial POL facilities related experience is acceptable (page 15 of 60). Therefore, PM's with commercial experience would have all required credentials EXCEPT the CQMC Course. Question, will resumes for PMs, otherwise qualified with exception of having current CQMC training be acceptable if the proposed PM is to be enrolled in a USACE/NAFVAC CQMC course scheduled before the expected award of the IDIQ contract (Phase 2)?

The QCM course is a personnel requirement, regardless of whether commercial experience will be considered under past performance.

62 Attachment B - Block 1 Confirm that the explaination of meaningful involvement in the perfomance of contract is to be completed only if a firm other than the offeror performed the work described in Attachment.

It should be completed for all firms, including the offeror.

63 Attachment B - Block 6 Confirm that all that is to be completed is to check applicable box(s) and that no additional narrative is required i.e.

Block 7 is reserved for narrative.

Confirmed.

SECTION 00 70 00 - CONDITIONS OF THE CONTRACT

The following have been modified:

52.219-14 DEVIATION 2019-O0003

52.219-14 -- Limitations on Subcontracting. (JAN 2019) (DEVIATION 2019-O0003)

(a) This clause does not apply to the unrestricted portion of a partial set-aside.

(b) Definition. As used in this clause—

“Similarly situated entity” means a first-tier subcontractor, including an independent contractor, that has the same small business program status as that which qualified the prime contractor for the award and that is considered small for the NAICS code the prime contractor assigned to the subcontract the subcontractor will perform. An example of a similarly situated entity is a first-tier subcontractor that is a HUBZone small business concern for a HUBZone set-aside or sole source award under the HUBZone Program.

(c) Applicability. This clause applies only to—

(1) Contracts that have been set aside or reserved for small business concerns or 8(a) participants;

(2) Part or parts of a multiple-award contract that have been set aside for small business concerns or 8(a) participants; and

(3) Orders set aside for small business or 8(a) participants under multiple-award contracts as described in 8.405-5 and 16.505(b)(2)(i)(F).

(d) Independent contractors. An independent contractor shall be considered a subcontractor.

(e) Agreement. By submission of an offer and execution of a contract, the Offeror/Contractor agrees in performance of the contract in the case of a contract for—

(1) Services (except construction), it will not pay more than 50 percent of the amount paid by the Government for contract performance to subcontractors that are not similarly situated entities.

Any work that a similarly situated entity further subcontracts will count toward the 50 percent subcontract amount that cannot be exceeded;

(2) Supplies (other than procurement from a non-manufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of materials, to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count toward the 50 percent subcontract amount that cannot be exceeded;

(3) General construction, it will not pay more than 85 percent of the amount paid by the Government for contract performance, excluding the cost of materials, to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count toward the 85 percent subcontract amount that cannot be exceeded; or

(4) Construction by special trade contractors, it will not pay more than 75 percent of the amount paid by the Government for contract performance, excluding the cost of materials, to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count toward the 75 percent subcontract amount that cannot be exceeded.

(f) A joint venture agrees that, in the performance of the contract, the applicable percentage specified in paragraph (e) of this clause will be performed by the aggregate of the joint venture participants.

(End of clause)

(End of Summary of Changes)

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