AMEND 7 PRICING MODEL GUIDANCE.pdf

RFP N65236-16-R-0006 PRICING MODEL INSTRUCTIONS/CLARIFICATIONS

(Amendment 0007 Clarifications in Bold and Underline)

NOT THE HISOTRICAL SPAWAR PRICING MODEL:

Pricing Model Attachments 4A and 4B are NOT the historical/traditional SPAWAR model whereby offerors price the “entire 5 year IDIQ ceiling” using the Government provided hours and plug numbers to establish the overall IDIQ ceiling value for the entire 5 year ordering period. It is has been tailored to apply solely to the Task Order 1 (TO1), CLIN 0001 and CLIN 0002, as well as the foundation for the establishment of the “basic contract” CLIN 1001 Option to Extend Services associated value.

NOTE: OFFERORS ARE NOT PRICNG THE BASIC CONTRACT ORDERING YEARS 1

THROUGH 5 IN RFP PRICING MODELS 4A AND 4B. OFFERORS ARE SOLELY

PRICING THE TASK ORDER 1 CLIN 0001 & CLIN 0002 REQUIREMENTSAS WELL AS

THE EXPECTED PRICING ASSOCIATED WITH THE OPTION TO EXTEND SERVICES

CLIN 1001 OF THE “BASIC CONTRACT.”

PRICING FOR OPTION ORDERING CLIN 1001 SHALL BE BASED ON THE EXPECTED

RATES TO BE INCURRED AT THE END OF THE BASIC CONTRACT 60 MONTH

ORDERING PERIOD – I.E. MONTHS 61 THROUGH 65.

PRICING MODELS 4A & 4B APPLICATION:

Pricing Models 4A and 4B serve two purposes 1) for offerors to price the Task Order (TO1) requirements, i.e. CLIN 0001 Polar Season Preparation (4 months) and CLIN 0002 Annual Polar Operations, and 2) to price the proposed and evaluated value for the basic contract CLIN 1001 6 month Option to Extend Services IAW 52.217-8.

PRICING MODELS 4A & 4B CONTENT / APPLICATION

Offerors shall utilized Pricing Models 4A and 4B solely using the Government provided hours and ODCs as identified in the RFP.

A. TASK ORDER 1 – CLIN 0001 Polar Season Preparation Offerors shall strictly utilize the Government provided plug numbers (costs) and solely apply fixed fee to the Government provided plug number which has been updated to $437,460 in Amendment 7. Offerors SHALL NOT apply and associated direct/indirect rates (i.e. OH/G&A etc.) as the Government plug number estimate has accounted for this value. The hours provided are an aggregate number of deliverable hours of 5,072 based upon the Government’s independent estimate. Offerors SHALL NOT price any labor costs or ODCS.

No labor rates or variation from the identified plug numbers is acceptable. Further, there is no subcontractor pricing to be submitted for the CLIN 0001 Polar Season Preparation effort.

B. TASK ORDER 1 – CLIN 0002 Annual Polar Operations Support Offerors shall utilize the Government provided labor hour plug numbers and ODCs and incorporate the applicable rates/pricing IAW the RFP instructions. Offerors shall incorporate direct labor rates and all associated direct/indirect rates in accordance with the RFP and pricing model instructions. As identified in the Amend 0004 Q/As, for the purposes of Task Order 1, CLIN 0002 shall represent the Annual Polar Operations Support and does not align with the basic contract CLIN 0002 CDRL nomenclature.

C. BASIC CONTRACT – CLIN 1001 Option to Extend Services Ordering CLIN Offerors shall utilize the Government provided labor hour plug numbers and ODCs and incorporate the applicable rates/pricing IAW the RFP instructions. Offerors shall incorporate direct labor rates and all associated direct/indirect rates in accordance with the RFP and pricing model instructions. CLIN 1001 applies solely to the Basic Contract (not Task Order 1) as an Option that may be exercised, for an additional 6 months of support, in the Basic Contract and at the expiration of the 5 year Basic Contract ordering period. It represents 50% of the annual support requirements which is the rationale for the CLIN 1001 hours and ODC values in the Pricing Models which reflect 50% of the Task Order 1 CLIN 0002 Annual Polar Operations Support values. Offerors shall price the CLIN 1001 effort using rates expected be in effect at the end of the 60 month Basic Contract Ordering Period, or months 61 through 65 of the period of performance. The pricing model instructions have been previously updated to identify the offerors requirement to identify the net % escalation rate (and individual escalation rate utilized to establish the net escalation rate) applied for CLIN 1001 rates in the respective pricing model submittals (i.e. 4A and 4B).

D. Fee –ALT- The Government has removed the Fee-ALT cells from Pricing Models 4A and 4B to avoid confusion and which his not applicable given there are no FFP CLINS or effort.

SECTION B OF BASIC CONTRACT AMOUNTS/OFFERORS RESPONSIBILITY

As identified in the RFP, the Government has provided the overall IDIQ ceiling amount for the basic contract of $48,966,600. However, the expected value for the CLIN 1001 Option to Extend Services value is unknown until offerors have priced this CLIN 1001. As a result, offerors shall price the CLIN 1001 effort, in accordance with the RFP instructions, and populate Section B of the Basic Contract with the proposed values for CLIN 1001. Once an awardee has been selected, the Government will deduct the awardees value for Option CLIN 1001 from the Government provided, overall IDIQ ceiling value of $48,966,600, and populate Section B based on these amounts. Example provided below with a fictional awarded value of $3,000,000 for Option CLIN 1001 of the Basic Contract based upon the awardees price proposal for CLIN 1001:

SECTION B BASIC CONTRACT:

Pre-Award Values MINIUM AMOUNT MAXIMUM AMOUNT

CLIN 0001 $25,000 TBD

CLIN 1001 TBD

$48,996,600 Post-Award Values MINIUM AMOUNT MAXIMUM AMOUNT

CLIN 0001 $25,000 $45,996,600

CLIN 1001 3,000,000

$48,996,600