Sol_NAFIB3-18-R-0001_FBO.pdf

NAFIB3-18-R-0001

BLACKCAT LOUNGE

INVITED CONTRACTOR STATUS IS NOT AVAILABLE FOR THIS REQUIREMENT

All sources may submit a proposal or quote as applicable. However, the Republic of Korea (ROK)-United States (U.S.) Status of Forces Agreement (SOFA), precludes the U.S. Government from granting Invited Contractor or Technical Representative status to any offeror, for this requirement. All sources submitting a proposal or quote, as applicable, including U.S. sources, must already have, or obtain the requisite business licenses directly from the ROK Government, and conduct business in accordance with all applicable ROK laws, including but not limited to, rules and policies regarding labor, taxation, and immigration. Any contractor not already doing business in Korea as a local source, must submit adequate verification in its initial proposal or quote, that it has the requisite authorization and capacity to compete for the requirement as a local source, and to perform the contract as a local source. If an initial proposal does not fully demonstrate this authorization and capacity, it will not be further considered for award. Whether an offeror qualifies as a local source shall be determined by the Contracting Officer.

NOTE: SUPPLIES MUST BE MANUFACTURED IN ACCORDANCE WITH THE APPLICABEL STANDARD

IN THE SPECIFICATION.

Buyer Information Yi, Mi Ok , Tel: 82-31-503-353-5896 Email: miok.yi.ln@mail.mil

SOLICITATION, OFFER AND AWARD

(Nonappropriated Funds)

4. SOLICITATION TYPE2. CONTRACT NO. 3. SOLICITATION NUMBER

NAFIB3-18-R-0001

7. ISSUED BY CODE 8. ADDRESS OFFER TO (If other than Item 7)

6. REQUISITION/PURCHASE NUMBER

NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid" and "bidder"

NEGOTIATED BID (RFP)

SEALED BID (IFB)

5. DATE ISSUED

1. No appropriated funds of the United States shall become due or paid the contractor by reason of this solicitation / award

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1 57

C. E-MAIL ADDRESS

EXT.NUMBERAREA CODE

B. TELEPHONE (NO COLLECT CALLS)A. NAME

10. FOR

INFORMATION

CALL

CAUTION: LATE Submissions, Modifications and Withdrawals: See Section L. All offers are subject to all terms and conditions contained in this solicitation.

(Date)(Hour) local timeuntildepository located in copies for furnishing the supplies or services in the Schedule will be received at the place specified in Item 8, or if hand carried, in the

SOLICITATION

9. Sealed offers in original and

PART IV - REPRESENTATIONS AND INSTRUCTIONS

OTHER STATEMENTS OF OFFERORS

EVALUATION FACTORS FOR AWARD

INSTR., CONDS., AND NOTICES TO OFFERORS

REPRESENTATIONS, CERTIFICATIONS AND

LIST OF ATTACHMENTS

CONTRACT CLAUSES

PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

I

J

K

L

M SPECIAL CONTRACT REQUIREMENTS

CONTRACT ADMINISTRATION DATA

DELIVERIES OR PERFORMANCE

INSPECTION AND ACCEPTANCE

PACKAGING AND MARKING

DESCRIPTION/SPECS./WORK STATEMENT

SUPPLIES OR SERVICES AND PRICE/COST

SOLICITATION/CONTRACT FORM

PART II - CONTRACT CLAUSESPART I - THE SCHEDULE

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SEC. DESCRIPTION PAGE(S) (X) DESCRIPTION SEC. (X)

11. TABLE OF CONTENTS

18. OFFER DATE17. SIGNATURE

SUCH ADDRESS IN SCHEDULE.

IS DIFFERENT FROM ABOVE - ENTER

15C. CHECK IF REMITTANCE ADDRESS

EXT.NUMBERAREA CODE

15B. TELEPHONE NUMBER

(Type or print)AND

ADDRESS

OF

OFFEROR

CODE FACILITY

16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER15A. NAME

DATEAMENDMENT NO.DATEAMENDMENT NO.

and related documents numbered and dated):

amendments to the SOLICITATION for offerors

(The offeror acknowledges receipt of

14. ACKNOWLEDGEMENT OF AMENDMENTS

CALENDAR DAYS (%)30 CALENDAR DAYS (%)20 CALENDAR DAYS (%)10 CALENDAR DAYS (%)

(See Section I, Prompt Payment Provisions)

13. DISCOUNT FOR PROMPT PAYMENT

designated point(s), within the time specified in the schedule.

by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the

12. In compliance with the above, the undersigned agrees, if this offer is accepted within ______________ calendar days (60 calendar days unless a different period is inserted

NOTE: Item 12 does not apply if the solicitation includes the provisions at Section L., Minimum Bid Acceptance Period.

OFFER (Must be fully completed by offeror)

IMPORTANT - Award will be made on this Form, or on DA Form 4071, or by other authorized official written notice.

28. AWARD DATE

(Signature of Contracting Officer)

27. Nonappropriated Fund Instrumentality

25. PAYMENT WILL BE MADE BY

26. NAME OF CONTRACTING OFFICER (Type or print)

CODE

24. ADMINISTERED BY (If other than Item 7)

ITEM

(4 copies unless otherwise specified)

23. SUBMIT INVOICES TO ADDRESS SHOWN IN

21. ACCOUNTING DATA20. AMOUNT19. ACCEPTED AS TO ITEMS NUMBERED

AWARD (To be completed by NAFI)

CODE

PRAF1-OS-KN-17-0013

IB3

Department of the Army IMCOM G9 NAF Contracting Korea Office supporting IMCOM-Pacific On Behalf Of Enterprise Fund Unit # 15742

APO AP 96205-5742

Miok Yi 82 -31 miok.yi.ln@mail.mil

503-353-5896

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PAGE(S)

Raegan A. Komperud

DA FORM 4069, NOV 04

For use of this form see AR 215-4;

the proponent agency is OACSIM x x 43

20 Mar 2018

PART I – THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICES/COST

B-1 GENERAL. The requirement is for a Concessionaire to furnish all necessary qualified personnel, equipment, tools, materials, supervision, and services necessary to provide a food and beverage (F&B) service concession at the Blackcat Lounge, Enlisted Club, Bldg. 853, Osan Air Force Base, 51 FSS/FSVFE. The Enlisted Club at Osan AB is a Nonappropriated Fund Instrumentality (NAFI) under the Directorate of Family, Morale, Welfare and Recreation (DFMWR), US Air Force Garrison, Korea.

B-2 CONTRACT TYPE. The contract type is a concession contract in which the Concessionaire is authorized to provide goods or services in a designated location for a specified period of time.

B-3. CONCESSION FEE SCHEDULE. The Concessionaire shall provide a firm-fixed concession fee for all Contract Line Item Numbers (CLINs) in Section B-3.3 and the concession fee shall remain fixed during the specified contract period.

B-3.1 HISTORICAL GROSS REVENUES INFORMATION. The Blackcat Lounge total gross revenues were for Year 2015 $132,557.20, Year 2016 $150,671.95 and Year 2017 $113,675.55.

B-3.2 MONTHLY CONCESSION FEE SCHEDULE. Offerors may offer a higher Concession Fee in any given year in the spaces provided which will be evaluated by the Contracting Officer. If a higher Fixed Fee is proposed in any given year, the higher Fixed Fee will be inserted in Section B at contract award. The awarded Monthly Concession Fixed Fee will be used to establish the Monthly Concession Fees in each option period that is exercised.

Gross revenues are defined as the grand total of billings or sales, excluding any refunds or authorized taxes.

B-3.3 SUBMISSION OF CONCESSION FEE SCHEDULE. Offerors will submit a fee for the following concession fee schedule.

Basic Period: 1 May 2018 – 30 April 2020

Item No. Description Qty Unit Paid per month to NAFI

CLIN 0001 Monthly Concession Fee 24 MO (Minimum $1,500.00) Blackcat Lounge, Osan AB __________________

First Option Period: 1 May 2020 – 30 April 2021

Item No. Description Qty Unit Paid per month to NAFI

CLIN 0002 Monthly Concession Fee 12 MO (Minimum $1,500.00) Blackcat Lounge, Osan AB _________________

Second Option Period: 1 May 2021 – 30 April 2022

Item No. Description Qty Unit Paid per month to NAFI

CLIN 0003 Monthly Concession Fee 12 MO (Minimum $1,500.00) Blackcat Lounge, Osan AB __________________

Third Option Period: 1 May 2022 – 30 April 2023

Item No. Description Qty Unit Paid per month to Item No.

CLIN 0004 Monthly Concession Fee 12 MO (Minimum $1,500.00) Blackcat Lounge, Osan AB ___________________

SECTION C - DESCRIPTION/SPECIFICATIONS/WORK STATEMENT

C-1 SERVICES. The Concessionaire shall provide all qualified personnel to operate the Blackcat Lounge in Bldg. 853 on Osan Air Base.

C-2 AUTORIZED PATRONS. The Concessionaire shall render service to authorized Status of Forces Agreement (SOFA) status patrons and guests, host country military/ civilian personnel authorized base access and Korean employees of Osan AB.

C-3 DEFINITIONS.

a. NAFI. Refers to the Nonappropriated Fund Instrumentality, reference Section I, I-1.

b. Contracting Officer (KO). The Contracting Officer is the agent responsible for the execution of the contract requirements on behalf of the NAFI. The KO has the authority to enter into, administer, terminate contracts, and make related determinations and findings. Contracting Officers may bind the NAFI only to extent of the authority delegated to them.

c. Contracting Officers’ Representative (COR). The COR is responsible to the Contracting Officer. The COR ensures the CONCESSIONAIRE is performing in accordance with the terms and conditions of the contract. The COR is the on-site representative for the Contracting Officer with authority to act only on behalf of the Contracting Officer as specified in the letter of designation. The COR does not have the authority to award a contract, agree to, or issue a change to the contract.

d. OFFEROR. The person or entity submitting a proposal in response to a Request for Proposal.

e. CONCESSIONAIRE. The person or entity awarded a contract in response to a Request for Proposal.

f. Federal Holidays. Columbus Day, Veteran’s Day, Thanksgiving Day, Christmas Day, New Year’s Day, Martin Luther King, Jr. Day, Presidents Day, Memorial Day, Independence Day, and Labor Day.

C-4 TECHNICAL REQUIREMENTS.

Copies of all correspondence regarding questions and/or clarifications shall be immediately forwarded to:

MS. RAEGAN A. KOMPERUD

CONTRACTING OFFICER

PH: (808)656-0010

EMAIL: raegan.a.komperud.naf@mail.mil

MS. Yi, Mi Ok Procurement Technician

PH: 82-31-503-353-5896

EMAIL: miok.yi.ln@mail.mil

C-5 CONCESSIONAIRE SHALL:

a. The Concessionaire shall be responsible for hiring, training, paying its employees, and maintaining all operational standards for the Blackcat Lounge. The Concessionaire is, additionally, responsible for ensuring the restaurant is maintained in accordance with all safety and cleanliness standards set forth by the 51st Fighter Wing as coordinated through the Contracting Officer’s Representative (COR).

mailto:raegan.a.komperud.naf@mail.mil mailto:miok.yi.ln@mail.mil

b. Food Product: The concessionaire shall be required to stock expendable supplies in sufficient quantities to ensure uninterrupted operation of the concession. Air Force logistics networks shall be used to secure food items on a tax and customs-free basis for the concessionaire.

Concessionaire shall requisition all food items using the AF Form 1735 (NAF Interfund Purchase Order). A one percent storage and handling fee will be accessed for each requisition. Payment for all contractor exclusive products will be paid for within 30 days of delivery to the facility. The contractor will be expected to maintain records of all products issued and used that is subject to audit to ensure compliance with the Status of Forces Agreement (SOFA) provision allowing for the duty-free importation of product to support Air Force activities. The SOFA provisions may also authorize tax rebates from the local tax office. Rebates may be authorized for supplies including saleable merchandise, raw food supplies, paper supplies that are adequate to support the types of food(s) being served (i.e., napkins, cups, plastic utensils, etc.), cleaning laundry, sanitation supplies, and work station equipment such as scales, knives, etc.

c. Food Management: Title of food shall remain with the concessionaire and shall until sold to patrons. Title of spoiled products shall remain with the concessionaire and shall be appropriately disposed of in accordance with installation policy. The Concessionaire shall institute and maintain adequate controls and security measures to ensure:

i. Storage location for NAFI-furnished food and beverage items is/are secure and accessible only to authorized personnel.

ii. Frequent inventories are documented; inventories will be conducted as necessary to preclude theft or shortages.

iii. Issues from the storage facility are promptly and accurately documented.

iv. Food and beverage inventory is issued on a first-in, first-out basis.

v. Prevention of pilferage and spoilage.

vi. An authorized sanitation inspection team will inspect premises for sanitation and food inventories for quality. Inspection will also be conducted on food preparation. Time limits placed on the Concessionaire for elimination of major/minor sanitation infractions is determined by the inspecting official as noted on AF Form 977 (Food Facility Evaluation).

Concessionaire shall comply with all recommendations of the written sanitation report in a timely manner.

C-6 MARKETING:

The Concessionaire will work with the COR to establish and maintain a marketing plan for the Blackcat Lounge. The Concessionaire has the overall responsibility for developing the local marketing plan. The NAFI will incur marketing and advertising costs.

C-7 CONCESSION LOCATION. The NAFI will provide the Concessionaire a portion of Bldg 853 to perform the requirements of this contract. The Blackcat Lounge will include all equipment, furniture and decorations as required by Enlisted Club. The Concessionaire will be responsible for the designated portion of the building and its contents as noted in the contract.

C-8 HOURS OF OPERATION.

a. The Blackcat Lounge shall operate from 0630-1400 Monday through Friday.

b. No holidays shall be observed by the Concessionaire unless mutually agreed upon between the Concessionaire and the COR subject to Contracting Officer approval. Closure on holidays shall not affect the rate of percentage/fee computation.

c. The COR may close the Concessionaire operation due to real world events. Such a closure shall not affect the rate of percentage/fee computation and the Concessionaire may not seek lost revenue from the NAFI.

C-9 RESTRICTIONS. The Concessionaire shall not:

a. Sell or remove property, supplies or consumables owned by the NAFI.

b. Sublet the premises, assign to another the concession or the conducting thereof.

c. Subcontract with another to perform portions of this contract.

d. Loan or borrow money from customers, Concessionaire employees or personnel of Osan AB.

e. Take orders for, deal in, or permit to the dealing in, or have on premises, food products or beverages which do not satisfy the sanitation and cleanliness standards of the US Armed Forces.

f. Obtain food, beverages, furnishings, equipment, or supply items from sources other than authorized unless specifically allowed in this contract.

g. Sell merchandise for other than US or Korean currency.

h. Use the facility to do work in support of private business also operated by the concessionaire off-post.

C-10 PHYSICAL SECURITY. The concessionaire shall be responsible for the physical security of the restaurant facility. The concessionaire shall secure all buildings/facilities as follows:

a. Property/Equipment The concessionaire shall secure and account for all Government and Fund property issued. The concessionaire shall be held pecuniary liable for the Fund, Government and/or rental property or equipment destroyed through the negligence of the contractor or one of the concessionaire’s employees.

b. Fire Prevention The concessionaire shall adhere to fire prevention policies established by Osan Air Base Installation Code. The concessionaire shall ensure the facilities under this control comply with fire prevention standards and requirements.

C-11 UTILITIES AND EXPENDABLE SUPPLIES.

a. The Concessionaire shall be furnished required utilities without charge.

b. The NAFI will provide two Class B telephones in Bldg 853 for use by the Concessionaire. The Concessionaire shall be responsible for any damage to the Class B telephones that are outside normal wear and tear of the use of the telephones.

c. The Concessionaire shall furnish all necessary cleaning and administrative supplies to ensure all sanitation and administrative requirements of this SOW are met. In addition, all supplies must be properly stored away from food supplies, have all applicable Material Safety Data Sheets and be authorized by the Osan AB Hazardous Material Pharmacy.

C-12 SIGNS. The Concessionaire shall provide sign boards and post them in conspicuous places. Signs shall be approved by the COR prior to posting and include the following data:

a. List of authorized patrons

b. Emergency contact sign

c. Hours of operation

C-13 INDEBTEDNESS. The Concessionaire shall pay promptly, and in accordance with the terms thereof, indebtedness incurred in connection with the performance of this contract.

C-14 PERSONNEL.

a. The Concessionaire shall provide a sufficient number of qualified employees to meet the operational requirements of the Blackcat Lounge.

b. All employees must possess valid health certificates issued by the Ministry of Health and Welfare, Republic of Korea. For the efficient performance of this contract, employees shall be subject to a physical examination and immunizations at the base clinic prior to and during the performance of the contract at no charge to the employees or Concessionaire.

c. The Concessionaire shall procure and maintain, at his own cost and expense, the approved uniforms for the Blackcat Lounge and shall require employees to wear the uniform throughout the hours of operation. All uniforms must be maintained in good condition. A nametag is to be worn by all customer contact employees, including the Concessionaire on-site manager.

d. The Concessionaire and employees are subject to security clearance procedures and shall obtain installation access and permits as provided for in installation regulations. 51st Security Forces Squadron will provide a copy of the security regulations to the Concessionaire. The COR will accomplish initial processing forms required to obtain installation access.

e. The concessionaire and their employees shall provide courteous, professional and prompt service to patrons. Patron complaints shall be disposed of by agreement between the patron and the contractor. Unresolved complaints shall be adjudicated by the Contracting Officer and the decision shall be binding upon the concessionaire.

f. The Concessionaire’s customer contact employees shall have a working knowledge of the English language, be well groomed, be courteous and provide efficient customer service.

g. The Concessionaire employees shall NOT be permitted to consume or purchase alcoholic beverages of wine and beer in the Blackcat Lounge.

h. All employees must be certified as Blackcat Lounge trained employees.

C-15 INTENAL CONTROLS.

a. The Concessionaire shall keep a complete and accurate account of concession transactions and maintain methods of internal controls.

b. The Concessionaire shall safeguard its funds and request Security Forces escort to the Central Cashier in accordance with AFI 34-202.

c. The Concessionaire will be responsible for complying with proper cash handling procedures and anti-robbery directives of the base.

C-16 MAINTENANCE.

a. The Concessionaire shall keep the premises clean, orderly and perform regular housekeeping to the satisfaction of the COR. The Concessionaire shall comply with installation fire, sanitation and safety regulations and shall take prompt corrective action on reports of violations thereof.

b. The Concessionaire shall make no alterations to the building without the consent of the COR and coordination with 51st Civil Engineering Squadron.

c. The Concessionaire is responsible for Government Furnished Property (“GFP”). This equipment shall be clean and in working condition. The Concessionaire shall repair and do routine maintenance as needed.

d. GFP that is not repairable will be replaced by the NAFI.

C-17 SUPPLIES AND INVENTORY.

a. The Concessionaire shall furnish, at his expense, tools of the trade and/or supplies for the efficient operation of the activity, expect for those stated herein to be supplied by the COR, as stated in the attached property list (NAF Furnished Property List, Attachment J-1)

b. The COR will furnish sufficient quantities of utensils, pots and pans, and other accessories as an initial issue. Cost of replacement of initial issue items shall be borne by the Concessionaire and replacement items shall be of equal quality of initial issued items and shall meet the COR’s approval.

c. A separate physical inventory will be taken of all NAFI and Government-owned supplies at the time that the Concessionaire occupies the premises and those physical inventories will be taken annually thereafter and on the final day of contract performance.

C-18 EQUIPMENT, FUNITURE, AND FIXTURES.

a. The Concessionaire shall perform routine preventative maintenance to include procurement of spare parts and labor and keep the equipment, furniture and fixtures in a clean and sanitary condition; exercise reasonable care to secure, and protect such GFP, furniture and fixtures; and shall be liable for damage or loss of GFP, furniture and fixtures.

b. The Concessionaire may with concurrence by the NAFI, provide Concessionaire Furnished Equipment (CFE), furniture and fixtures. The CFE, furniture and fixtures shall comply with applicable base fire, sanitation and safety regulations.

c. Separate physical inventories will be taken of GFP, furniture and fixtures at the time that the Concessionaire occupies the premises. Physical inventories will be taken every six months thereafter and on the final day of contract performance.

C-19 CONCESSIONAIRE PERFORMANCE. The Concessionaire shall perform in accordance with the following standards.

a. Maintain quality and quantity of the Concessionaire furnished supplies/ services.

b. Maintain records of Government Furnished Property (GFP).

c. Maintain staffing and training guidelines established by Enlisted Club for the operation of a Blackcat Lounge.

d. Maintain all established standards of the Blackcat Lounge.

e. All inspection records shall be available for the NAFI review.

C-20 RECORD AND REPORTING PRODEDURES.

a. The concessionaire shall keep a book of accounts and records of all operations and establish a system of bookkeeping and accounts in a manner considered to be good accounting practice according to the American Institute of Certified Public Accountants. The Contracting Officer or the Contracting Officer’s duly authorized representative shall have the right to examine and audit the books and records of the contractor directly pertaining to the contract during the period of the contract and until the expiration of three years after the expiration of the contract.

c. The Concessionaire shall provide the NAFI on a monthly basis, but NLT the 10th of the succeeding month, a copy of the profit/loss statement, Activity reports with supporting documents (bank deposit slips, food and beverage purchases, etc.) will be turned in daily. The Concessionaire shall coordinate with the COR all corrections as a result of food facility evaluation inspections.

C-21 SALES ACCOUNTING PROCEDURES.

a. Personal checks shall be accepted; however, for the amount for purchase only and will contain the local telephone number of the check writer. All Master Cards and VISA Cards will be honored for charge sale transactions.

b. The Concessionaire shall be responsible to ensure that daily deposits are made at the Central Cashier in accordance with AFI 34-202, para 3.5.

C-22 CASHIER OPERATIONS.

a. The Concessionaire shall keep complete and accurate records of all transactions. The COR will train the Concessionaire assigned management team on the Point-of-Sale (POS) register in use at the facility.

b. The Concessionaire shall be responsible for the training of all cashiers, bartenders, and waiters/waitresses to ensure that they abide by the Dram Shop directives. This training, along with funds protection and anti-robbery procedures, will be given by the COR to new employees:

This training will be recorded in the employee personnel records.

c. The COR will provide the Concessionaire with various denominations of money change as required to support the operation. Daily banking shall be the responsibility of the Concessionaire.

d. Pre-numbered sales forms/slips will be approved by the COR.

C-23 LIABILITIES FOR TAXES AND LIMITATIONS. The Concessionaire assumes liability for taxes applicable to the property, income and transactions of the Concessionaire.

C-24 MENU PRICES.

a. The Concessionaire is required to maintain a menu cost card on each menu item indicating the food cost and menu price. Cost cards will be updated by the Concessionaire annually. The cost cards will be reviewed and approved periodically by the COR, but not less than once every twelve months.

b. If the Concessionaire desires a price adjustment during the term of the contract, the Concessionaire shall submit to the Contracting Officer rational for the price adjustment, which shall include cost of goods documentation. Prices shall not be adjusted without the written approval of the Contracting Officer.

c. The Concessionaire is required to requisition all resalable food products from sources approved by the base Public Health Office.

d. The Concessionaire shall be responsible for printing a Takeout Menu and an Ala Carte Menu.

The Concessionaire shall use the menu and prices provided in this contract, however, the Concessionaire may add or delete items from the menu with approval of the COR.

C-25 DINING ROOM SALES.

a. Non-alcoholic beverages shall be permitted for takeout for authorized patrons only.

b. The Concessionaire agrees to sell all beverage items at the same price charged by the NAFI in its own resale facilities.

SECTION D – PAKAGING AND MARKING: NOT APPLICABLE.

[INTENTIONALLY FEFT BLANK]

SECTION E – INSPECTION AND ACCEPTANCE:

E-1 ACCEPTANCE OF SERVICES

Acceptance of services and deliverables will be made monthly, in writing, by the COR in a composite letter. The following areas will be considered by the COR and the NAFI in determining the acceptability of services and deliverables.

a. Timely payment of concession fee to the NAFI.

b. Compliance with requirements in the contract.

c. Prompt response by concessionaire to correct problem areas.

d. Response to problems within 24 hours and correct problem as agreed between the

Contracting Officer or Contracting Officer Representative and Contractor.

e. Inspection of the restaurant facility by the COR for compliance with terms and conditions of the contract.

f. Inspection by the Veterinary Services for compliance with Sanitation Standards.

E-2 INSPECTION OF SERVICES (NOV 2004) (BE-002)

(a) The Contractor shall provide and maintain an inspection system acceptable to the NAFI covering the services under this contract. Complete records of all inspection work performed by the Contractor shall be maintained and made available to the NAFI during contract performance and for as long afterwards as the contract requires.

(b) The NAFI has the right to inspect and test all services called for by the contract, to the extent practicable at all times and places during the term of the contract. The NAFI shall perform inspections and tests in a manner that will not unduly delay the work.

(c) If the NAFI performs inspections or tests on the premises of the Contractor or a subcontractor, the Contractor shall furnish, and shall require subcontractors to furnish, at no increase in contract price, all reasonable facilities and assistance for the safe and convenient performance of these duties.

(d) If any of the services do not conform to contract requirements, the NAFI may require the Contractor to perform the services again in conformity with contract requirements, at no increase in contract amount. When the defects in services cannot be corrected by re-performance, the NAFI may-

(1) Require the Contractor to take necessary action to ensure that future performance conforms to contract requirements; and

(2) Reduce the contract price to reflect the reduced value of the services performed.

(e) If the Contractor fails to promptly perform the services again or to take the necessary action to ensure future performance in conformity with contract requirements, the NAFI may-

(1) By contract or otherwise, perform the services and charge to the Contractor any cost incurred by the NAFI that is directly related to the performance of such service; or

(2) Terminate the contract for default.

(End of clause)

E-3 INSEPCTION (FOOD ITEMS FROM SOURCES OTHER THAN THE NAFI

WAREHOUSE)

a. All food items shall be inspected by Preventative Medicine prior to usage.

b. Food products shall be packaged and packed in containers which offer reasonable protection from contamination and shall originate from a sanitary approved source. Products (other than those declared of little health hazard) bearing labels reading “Distributed By” are not acceptable unless the source of manufacture is indicated on the label or an accompanying certification.

E-4 INSPECTION (DELIVERY VEHICLES)

The delivery vehicles used to deliver items under this contract shall be subject to inspection at all reasonable times and at all places by all Installation Security or the Contracting Officer’s Representative (COR) at the facility receiving the delivery. Supplies transported in vehicles, which are not properly equipped to maintain safety and sanitation standards, or which are not properly equipped to maintain prescribed temperatures, may be rejected without further inspection.

E-5 CODED DATA

All manufacturer product code(s) shall be made available upon request and as deemed necessary by Inspection Personnel for any/all products delivered under this contract. Data codes shall be stamped or embossed on all individual packages of meat, poultry, and fish, dairy, and prepared items at the point of processing. Coding shall represent the date of pasteurization, production, manufacture or processing or a system may be used representing pickup date. If the latter system is used, the coding key shall clearly explain the actual date of pasteurization, production, manufacture or processing. Failure to supply appropriate coding, information may cause the rejection of subsistence to be delivered under this contract.

E-6 INSPECTION OF SERVICES (NOV 2004) (BE-002)

a. The concessionaire shall provide and maintain an inspection system acceptable to the NAFI covering the services under this contract. Complete records of all inspection work performed by the concessionaire shall be maintained and made available to the NAFI during contract performance and for as long afterwards as the contract requires.

b. The NAFI has the right to inspect and test all services called for by the contract, to the extent practicable at all times and places during the term of the contract. The NAFI shall perform inspections and tests in a manner that will not unduly delay the work.

c. If the NAFI performs inspections or tests on the premises of the concessionaire or a sub concessionaire, the concessionaire shall furnish, and shall require sub concessionaire to furnish, at no increase in contract price, all reasonable facilities and assistance for the safe and convenient performance of these duties.

d. If any of the services do not conform to contract requirements, the NAFI may require the concessionaire to perform services again in conformity with contract requirements, at no increase in contract amount. When the defects in services cannot be corrected by re-performance, the NAFI may (1) require the concessionaire to take necessary action to ensure that future performance conforms to contract requirements.

e. If the concessionaire fails to promptly perform the services again or take the necessary action to ensure future performance in conformity with contract requirements, the NAFI may (1) by contract or otherwise, perform the services and charge the concessionaire any cost incurred by the NAFI that is directly related to the performance of such service; or (2) terminate the contract for default.

f. Authorized inspection organizations: Inspection shall be conducted at the operating venues by the Contracting Officer or his/her duly authorized representative(s). Authorized representatives include but are not limited to members of:

1. Department of Public Works (DPW)

2. Environmental Office

3. Fire Department

4. Force Protection

5. Safety Office

6. Army Veterinary Staff

g. Complete records of all inspection work performed by the concessionaire shall be maintained and made available to the NAFI during the contract performance. Concessionaire shall perform inspections that will ensure that the work performed under this contract conforms to the contract requirements. All services shall be conducted under the general direction of the Contracting Officer and is subject to NAFI inspection at all places and all reasonable times to ensure compliance with the terms of the contract.

h. NAFI inspections are for the sole benefit of the NAFI and do not:

1. Relieve the concessionaire of responsibility for providing adequate quality control measures;

2. Relieve the concessionaire of responsibility for damage to or loss of the material before acceptance;

3. Constitute or imply acceptance.

i. The presence or absence of a NAFI or Government inspector does not relieve the concessionaire from any contract requirement, nor is the inspector authorized to change any terms or condition of the specification without the Contracting Officer’s written authorization.

j. The concessionaire shall promptly furnish, without charge, all facilities, labor, and material reasonable needed for performing such safe and convenient inspections as may be required by the Contracting Officer. The NAFI shall perform all inspections in a manner that will not unnecessarily delay the work.

SECTION F – DELIVERIES OR PERFORMANCE:

F-1 PERIOD OF PERFORMANCE. The contract period will be two (2) base year with three (3) one-year options. At the expiration of the original contract period, the NAFI shall have the option to unilaterally extend by modification of the contract for any or all of the three (3) additional one-year option periods, not to exceed a total of five (5) years.

Reference Section I, I-8 Option to Extend the Term of the Contract.

F-2 DELIVERY SCHEDULE.

a. Delivery Schedule is as follows:

DESCRIPTION DUE DATE ATTENTION TO

Receiving Report and Invoices

5th Calendar day of the following month

COR/Accounting Office

Monthly Income Report 5th Calendar day of the following month

Contracting Officer/COR

Quarterly-Concession Employee Listing

02 Jan, 01 April, 01 July, 01 Oct. If date lands on a weekend, the following Monday of due date

Contracting Officer

Annual Audit Statement 30 December COR/Accounting Office

b. Payment to the Concessionaire shall be made by the 15th of each month for the preceding month

F-2 REPORTING REQUIREMENT AND CREDIT CARD REQUIREMENTS.

a. Monthly Income Reporting. The monthly income statement shall include, as a minimum the following:

Gross Monthly Receipts

Deductions such as refunds, applicable taxes

Grand total for the respective reporting month

The amount of Concession Fees to be paid based on the terms set forth in Section B-3.3 Monthly Concession Fee Schedule.

(1) The Concessionaire shall add the following statement to each Monthly Income Report: “The undersigned certifies to the best of my knowledge and belief, the following charges, State sales taxes and all other applicable fees, were made to Authorized Patrons, and are true and correct for this reporting period of .

(Dated Signature of a Person Duly Authorized to Bind the Company)”

(2) Taxes. Concessionaire is responsible for determining the applicability of and for payment of all federal, state, and local taxes applicable to the property, income, and transactions of Concessionaire. If required by applicable laws and regulations, Concessionaire shall collect and remit sales taxes to the state. Sales taxes, which have been collected, will be excluded from the computation of gross receipts.

(3) Refunds and/or Credits. Concessionaire shall clearly explain its refund and/or credit policy to the guests and patrons at the time of sales. Such policy shall be posted in a conspicuous p lace in the Concession. The Concessionaire shall make every effort to reconcile any refund adjustment on-the-spot, but not more than 24-hours after the reconciliation has been determined to be needed.

(4) Credit or Charge Cards. The Concessionaire shall accept at least three (3) nationally-recognized forms of credit or charge cards as payment for food and beverage items.

The credit or charge card receipt shall NOT disclose the number of the patron’s credit or charge card number and the expiration date of the card.

(5) Annual Audit Statement. An annual audited statement certified by the Concessionaire’s Auditor shall be submitted as required by Section F-2, Delivery Schedule. The statement shall certify that the information reported in the Monthly Income report agrees with the information reviewed from supporting accounting records.

SECTION G – CONTRACT ADMINISTRATION DATA:

G-1 CONTRACT ADMINISTRATION. The Contracting Officer has the overall responsibility for this contract, including the contract administration functions. The Contracting Officer is the only person authorized to modify this contract. No changes to this contract can be effected without a signed modification executed by the Contracting Officer.

Raegan Komperud, Contracting Officer

PH: (808) 656-0010

Email: raegan.a.komperud.naf@mail.mil

G-2 CONTRACTING OFFICER’S REPRESENTATIVE (COR). The Contracting Officer will appoint a COR, in writing, for the purposes of ensuring the CONCESSIONAIRE is in compliance with all contract terms and conditions. The COR is primarily the liaison between the CONCESSIONAIRE and the Contracting Officer, however, the COR has no authority to change the terms and conditions of the contract. The Contracting Officer will furnish the CONCESSIONAIRE a copy of the COR’s appointment letter.

G-3 PAYMENT PRODEDURES.

a. Payment to the Concessionaire will be made by the 15th of the succeeding month. This payment shall consist of the total monthly gross sales, less:

(1) The total dollar amount for all items received (NAFI-furnished) from the NAF Central Storeroom or Osan on AF Form 1735’s.

(2) Concessionaire Fee

b. Request for payment shall be submitted to the following address (E-mail submissions will be accepted):

HQ AFSVA/SVTEA (Accounts Payable) 2261 Hughes Ave, Suite #156

Lackland AFB, TX 78235-9852 Phone: (210) 395-7720, Fax: (210) 395-7689

E-mail: ap.invoices@afsv.net mailto:raegan.a.komperud.naf@mail.mil

SECTION H – SPECIAL CONTRACT REQUIREMENTS:

H-1 REQUIRED INSURANCE

a. In accordance with Section I, Contract Clause I.7, the Concessionaire shall procure within Five (5) days of contract award, and maintain during the entire period of the contract performance the following types of insurance in no less than the minimum amounts set forth herein. The Concessionaire shall provide such proof of insurance to the Contracting Officer.

1. Workman’s Compensation and all occupational disease------------as required by paragraph H-9 below.

2. Employer’s lability including all occupational disease when not so covered in Workman’s Compensation above--------------------------------------------$100,000 per accident.

3. General Liability (Comprehensive Bodily Injury and Property Damage per occurrence)__________________________________________$5,000,000

4. Automobile Liability (Comprehensive) Bodily Injury per person_________________________________$500,000 Bodily Injury per occurrence______________________________$1,000,000 Property Damage per accident____________________________$500,000 b The Concessionaire shall be fully responsible to the Fund for his associates, subcontractors, and his professional consultant’s work.

c. Prior to the commencement of work hereunder, the Concessionaire shall furnish to the Contracting Officer a certificate or written statement of the above required insurance. The policies evidencing required insurance shall contain an endorsement to the effect that cancellation or any material change in the policies adversely affecting the interest of the Fund in such insurance shall not be effective for such a period as may be prescribed by laws of the Government who has jurisdiction over the performance of this contract and in no event less than thirty (30) days after written notice thereof to the Contracting Officer.

d. The Concessionaire agrees to insert the substance of this clause, including this paragraph in all subcontracts hereunder.

e. Osan Air Force Base (MWR) NAFI shall be named as an “Additional Insured” on all Employers’ Liability Insurance.

NOTE: The NAFI shall be named as an additionally insured party and shall be named as the certificate holder.

H-2 ACCOUNTING RESPONSIBILITIES.

Cash registers shall be used for each sales transaction and all sales shall be charged on the register in view of the customer.

a. The Concessionaire shall keep a complete and accurate account of all transactions and shall furnish and use cash registers or similar business machines.

b. Register readings or amount of sales slips may be reviewed at any time in order to insure that proper gross receipts are being recorded. Test checks may be made by preparing a daily sc h ed u le of receipts for a month’s period and comparing same to sales as reported by the Concessionaire’s monthly Income Report.

c. To assure and to prevent interference with the reporting of sales through manipulation, locking of machines, or the removal of tapes and sales slips, the cash register may be checked by the Contracting Officer or the COR at any time (unannounced).

d. Cash register tapes or sales slips shall be retained by the Concessionaire for its monthly operation and may be requested by the Contracting Officer or the COR as evidence of gross receipts of the concession operation.

H-3 PROMOTIONAL RIGHTS. The CONCESSIONAIRE shall receive no promotional rights with respect to this contract. CONCESSIONAIRE does not have the right to, nor shall anything in this contract give the CONCESSIONAIRE any rights to, nor shall the CONCESSIONAIRE use, any marks, logos, name, or other intellectual property of NAFI, the United States Army/Air Force, or the Department of Defense

H-4 NAFI-CONCESSIONAIRE RELATIONSHIP

a. The NAFI and the CONCESSIONAIRE understand and agree that the services to be delivered under this contract by the CONCESSIONAIRE to the NAFI are non-personal services and the parties recognize and agree that no employer-employee relationships exist or will exist under the contract between the NAFI and the CONCESSIONAIRE and/or between the NAFI and the CONCESSIONAIRE’s employees. Therefore, it is in the best interest of the NAFI to afford the parties a full and complete understanding of their respective obligations.

b. CONCESSIONAIRE personnel under this contract shall not be placed in a position where they are appointed or employed by a Federal Officer, or are under the supervision, direction, or evaluation of a Federal officer, military or civilian.

H-5 PROHIBITION AGAINST PUBLIC DISCLOSURE OF WORK UNDER THIS

CONTRACT. Public disclosure of information derived from or knowledge gained as a result of work under this Contract whether by press release, word of mouth, written correspondence or any other means is prohibited without the advance written consent of the Contracting Officer.

Request for authority to release such information must be made in writing and submitted by the CONCESSIONANIRE to the Contracting Officer. Request must be documented with sufficient evidence to justify requested release as being in the best interest of the NAFI. Final determination with regard to the necessity of public disclosure of such information remains solely with the Contracting Officer.

H-6 ACCIDENTS AND SAFETY STANDARDS

a. The CONCESSIONANIRE shall promptly notify the Contracting Officer and the COR of any accident or other event, at or related to the concession, that results in damage to the concession, or which results in injury or death to any guest, patron, concession employee, or other persons. The CONCESSIONAIRE shall provide the Contracting Officer and COR additional information concerning such accident or event as requested by the Contracting Officer. The CONCESSIONANIRE shall cooperate with the NAFI personnel, police, and other public officials in any investigation as a result of any accident or event.

b. SAFETY. The CONCESSIONAIRE shall comply with all requirements and standards of Occupational Safety and Health Act (OSHA) during the term of the contract. If an accident results in damage to facilities, or guests, patrons or CONCESSIONAIRE personnel are injured while performing work under this contract, a full report shall be submitted to the Contracting Officer within eight (8) hours of the accident.

H-7 REPRESENTATION. The CONCESSIONAIRE shall not represent or permit itself or its personnel to be represented as agents or personnel of the NAFI or the United States Government, and shall not use the NAFI’s name on advertising materials. The CONCESSIONAIRE shall not represent, expressly or by implication, that the services provided under this contract are endorsed by any element of the NAFI, unless such use has been approved by the NAFI. This does not restrict the CONCESSIONAIRE from advertising the fact that they have a concession operation at Osan Air Base.

H-8 INDEBTEDNESS. The Concessionaire shall pay promptly and in accordance with the terms thereof all indebtedness incurred in connection with the performance of this contract.

H-9 REQUEST FOR DATA UNIVERSAL NUMBERING SYSTEM (DUNS). The NAFI requires a DUNS number for all Contractors. The following are instructions on how to obtain a DUNS number. The Data Universal Numbering System (DUNS) number is a unique nine character identification number provided by Dun & Bradstreet (D&B). The DUNS number is site specific and division specific. Therefore, each physical location of an entity will have its own DUNS Number. Further, each separate division or branch of an entity will roll up to the Headquarters or Office level that oversees the branch or division. Business entities, self-employed individuals (doctors, lawyers, etc. who are engaged in a specific business activity), sole-proprietors, partnerships, non-profit and charitable organizations are eligible for a DUNS Number Assignment of a DUNS number is absolutely free for all entities to register with the Federal Government by a regulatory agency. This includes Federal Contractors and prospective Government Vendors.

To obtain your DUNS Number: (Inside the US) Please call the Government dedicated, DUNS Number self-request line at 1-866-705-5711. The process to request a DUNS number takes about 5-10 minutes. You will need to provide the following data elements to obtain a DUNS Number:

-Legal Name -Trade style, doing business as (dba), or other name in which your entity is commonly recognized.

-Physical address, city, state and zip code

-Mailing address (if separate)

-Telephone number

-Contact name

-SIC Code (line of business)

-Number of Employees at your location

-Headquarters name and address (Reporting relationship within your entity)

-Vendor DUNS number

H-10 APPLICABLE LAWS.

The rights and remedies of the parties are governed by the terms and provisions of this contract.

The validity and interpretation of this contract and rights and obligations hereunder will be governed by the laws of the United States of America. By the execution of this contract, the contractor expressly agrees to waive any rights to invoke the jurisdiction of local national courts where this contract is performed.

H-11 TAX EXEMPTION.

Contractors may obtain exemption from payment of Korean Taxes pursuant to the Status of Forces Agreement (SOFA) between the United States of America (U.S.) and the Republic of Korea (ROK). Articles IX and XVI of the SOFA authorize exemption from ROK taxation equipment and services procured for official purposes in the ROK by the U.S. Armed Forces, or by authorized agents of the U.S. Armed Forces, upon obtaining appropriate certification.

Currently, tax exemption may be obtained for commodities, transportation, petroleum products, electricity, business and such other items that may be found to constitute significant and readily identifiable components of the gross price of materials, supplies, equipment, and services being procured. (Updated, 5 July, 2001).

H-12 EXEMPTION FROM KOEAN TAXES FOR POL PRODUCTS USED ON

THIS CONTRACT.

This clause is in implementation of Article XVI of the Status of Forces Agreement between the Republic of Korea (ROK) and the United States of America granting contractors exemption from Republic of Korea taxes for petroleum products (POL) utilized on USFK procurements in the Republic of Korea. At the time this contract is awarded, the contractor will make a final nomination in writing of his point of purchase for POL products to be used on this contract. If he intends to purchase directly from an oil company refinery he may nominate any of the three ROK oil companies which have agreed to sell to contractor FOB refinery at the Special Excise Tax (SET) exempt price. If the contractor instead intends to purchase his POL products from an individual gasoline station he will be told by the Contracting Officer which individual gasoline stations will sell to him at the SET exempt price. He will be required to specify which of those stations he will purchase from. In addition to naming his oil company/gasoline station, the contractor will be required to state the estimated quantities of P O L products required for the contract, the estimated value of the POL products, the value of t h e tax exemption for the estimated quantity, and the amount of POL to be purchased from each refinery/gasoline station.

The Contracting Officer will verify the reasonableness of the amounts of POL products claimed for use on the contract, and based on his verification, the responsible officer will issue USFK POL tax Exemption Coupons. If the contractor wishes to purchase from an individual gasoline station he will be required to make advance payment for the amount of POL covered by the coupons.