NAFUA1-26-Q-0015.pdf

DEFENSE LOGISTICS AGENCY

HEADQUARTERS

8725 JOHN J. KINGMAN ROAD

FORT BELVOIR, VIRGINIA 22060-6221

DM-Q

22 September 2026

Defense Logistics Agency NAF Contracting Office 8725 John J Kingman Rd Suite 1134 Fort Belvoir, VA 22060

Subject: REQUEST FOR QUOTATION (RFQ) #NAFUA1-26-Q-0015

Dear Prospective Offeror:

1. This request for quote is for Portrait Photography Services at our Defense Depot Richmond, Virginia.

2. Please provide a quotation based upon your best pricing, with any discounts offered to your best customers.

3. If any items or services quotes are “Open Market” items, they must be identified as such on the quote. Please let the undersigned know as soon as possible if additional time is needed to extend the due date for the Request for Quote

(RFQ).

4. Please respond to this RFQ by emailing response to: Elizabeth Sheffield Kostos at email: Elizabeth.Sheffield@DLA.mil no later than 4:00 PM (EST) October 29, 2026 (or sooner if possible) in order to be considered timely. Any quote, modification, revision, or withdrawal of a quote received after the exact time specified above shall be determined as late and will not be considered unless received before award is made, the Contracting Officer determines that accepting the late quote would not unduly delay the acquisition, and it was the only quote received. All questions will be due no later than 4:00 PM (EST), October 19, 2026 (or sooner if possible) in order to be considered timely.

5. Please provide a quote and description of the photography packages offered.

Failure to quote on multiple packages offered with all applicable clauses’ provisions filled in will render the quote unacceptable and ineligible for award consideration in the absence of discussions.

6. The NAFI requests the quote to be effective for 30 days after submission.

SPECIAL NOTES AND INSTRUCTIONS:

1. Basis for Award. The NAFI intends to award a purchase order from this RFQ to multiple contractors whose quotes for different package options are deemed responsible, conform to the RFQ requirements, and are the best value to the NAFI. Failure to acknowledge any Amendments to this RFQ may result in your quote not being considered for award. This is a concessionaire contract. The contractor will sell packages directly to personnel and share a percentage of gross revenue with the NAFI.

• For Factor 1: The quote shall consist of a brief narrative and supporting data that addresses all technical requirements contained in the RFQ. The quote shall be clear, concise, and shall include sufficient detail for effective evaluation.

• For Factor 2: A description and pricing is expected to be identified for evaluation purposes.

The Offeror’s quote must address the following elements:

• FACTOR 1 - Financial Data, Operating Plan, Business Experience/Past Performance

• FACTOR 2 - Photography Packages Offered (prices and descriptions)

2. Evaluation and Award Factors:

The Offeror or Offeror(s) who are deemed responsible, responsive with a fair and reasonable price quote will be determined to represent the best value. Technical acceptability will be determined by an evaluation of the quoted requirements that meet the technical criteria that are contained in the solicited item description or its equal. Quotes initially will be ranked based on the completeness and fairness of package pricing offered to personnel. The NAFI will then evaluate the priced quotes received for the various packages to determine if they are technically acceptable.

However, the NAFI reserves the right to evaluate additional quotes for technical acceptability if deemed to be in the best interest of the NAFI. If additional quotes are evaluated for technical acceptability, they will be evaluated in the order of total price. The NAFI may use various price analysis techniques and procedures to ensure a fair and reasonable price. Examples of such techniques include, but are not limited to, the following: comparison of proposed prices received in response to the RFQ, comparison of proposed prices to historical prices paid, whether by the Government or other than the Government, for the same or similar items.

• Factor 1 – Financial Data, Operating Plan, Business Experience/ Past Performance

• Factor 2 – Photography Packages Offered (prices and descriptions)

A written notice of award or acceptance of an offer e-mailed or otherwise furnished to the successful Offeror shall result in a binding contract without further action by either party. Before the Offeror’s specified expiration time, the NAFI may accept an offer (or part of an offer), whether or not there are negotiations after its receipt, unless a written notice of withdrawal is received before award.

3. SUBMISSION REQUIREMENTS

Offerors shall provide detailed responses addressing each evaluation factor, including verification that the proposed offeror has the adequate security requirements necessary for this contract. In addition, a detailed technical approach and service plan is to be presented.

4. Registrations. To be eligible for award, Offerors must be determined responsible. Offerors are encouraged to register through the System for Award Management (SAM) or if already registered, Offerors must be current. To register or update Reps & Certs that are not current go to https://sam.gov and provide information.

5. Completion of Work. The Offeror shall ensure that work for this project is performed in accordance with the criteria herein, and that all services and final photography products (e.g., prints, digital files) are delivered in accordance with the established schedule and quality standards.

6. Department of Labor Wage Determination. Department of Labor Wage Determination WD 2015-4331 Rev 35 dated August 22, 2026, applies to the service requirement within this solicitation and is available at https://sam.gov/content/wage-determinations; enter the WD number in the search box and the appropriate wage determination will be displayed with the applicable wage rates that are required to be paid to employees working on the services provided under the contract.

Sincerely, Elizabeth Sheffield Kostos Contracting Officer, DLA DM-Q

SEE ADDENDUMIS CHECKED.

CODE 18a. PAYMENT WILL BE MADE BY

CODE

FACILITYCODE

17b. CHECK IF REMITTANCE IS DIFFERENT AND PUT SUCH ADDRESS IN OFFER

OFFEROR

UA1-SHEFFIELDLR1 CODE 16. ADMINISTERED BY

Elizabeth Sheffield Kostos

PHONE:445-737-9651

Elizabeth.Sheffield@dla.mil

CODE

X

X SEE SCHEDULE

BLOCK IS MARKED

UA1

RFPIFB

11. DELIVERY FOR FOBCODE

RFQ

14. METHOD OF SOLICITATION

DESTINATION UNLESS

12. DISCOUNT TERMS

10/29/2026 1600 ET

09/21/2026

445-737-9651

(No collect calls)

INFORMATION CALL:

FOR SOLICITATION 8. OFFER DUE DATE/LOCAL TIMEb. TELEPHONE NUMBERa. NAME

Elizabeth Sheffield

4. ORDER NUMBER3. AWARD/ 6. SOLICITATION

NAFUA1-26-Q-0015

5. SOLICITATION NUMBER

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL ITEMS

(Nonappropriated Funds)

OFFEROR TO COMPLETE BLOCKS 12, 17, 23, 24, & 30

1. REQUISITION NUMBER PAGE OF

1 78PRLR1-LV-00-26-0007

TELEPHONE NO.

17a. CONTRACTOR/

Richmond VA 23297 USA Attn: DSCR-MWR Building 24 6090 Strathmore Rd Defense Depot Richmond DLA Richmond

15. DELIVER TO

Fort Belvoir VA 22060 USA Suite 1134 8725 John J. Kingman Road NAF Contracting Office Defense Logistics Agency

9. ISSUED BY

7.

2. CONTRACT NO.

EFFECTIVE DATE

18b. SUBMIT INVOICES TO ADDRESS SHOWN IN BLOCK 18a. UNLESS BLOCK BELOW

ISSUE DATE

24.

AMOUNT

23.

UNIT PRICE

22.

UNIT

21.

QUANTITY

20.

SCHEDULE OF SUPPLIES/SERVICES

19.

ITEM NO.

Delivery Location Code: LR1

DLA Richmond

Defense Depot Richmond

6090 Strathmore Rd

Attn: DSCR-MWR Building 24

Richmond VA 23297 USA

Period of Performance: 11/01/2026 to 10/31/2031

0001 DLA Photography Concessionaire Operations - DLA

Richmond (See Section C for Statement of Work) -

(Use Reverse and/or Attach Additional Sheets as Necessary)

HEREIN, IS ACCEPTED AS TO ITEMS:

XX

DATED

. YOUR OFFER ON SOLICITATION (BLOCK 5),

INCLUDING ANY ADDITIONS OR CHANGES WHICH ARE SET FORTH

COPIES TO ISSUING OFFICE. CONTRACTOR AGREES TO FURNISH AND DELIVER

ARE

ARE

31c. DATE SIGNED

27b. FOR CONTRACT/PURCHASE ORDER CLAUSES INCORPORATED BY REFERENCE OR ATTACHED, SEE SECTION I. ADDENDA

31a. NONAPPROPRIATED FUND INSTRUMENTALITY (SIGNATURE OF CONTRACTING OFFICER)

30c. DATE SIGNED 31b. NAME OF CONTRACTING OFFICER (Type or print)

Elizabeth Sheffield Kostos

ALL ITEMS SET FORTH OR OTHERWISE IDENTIFIED ABOVE AND ON ANY ADDITIONAL

SHEETS SUBJECT TO THE TERMS AND CONDITIONS SPECIFIED HEREIN.

27a. FOR SOLICITATIONS, PROVISIONS/CLAUSES INCORPORATED BY REFERENCE OR ATTACHED, SEE SECTION I, L AND M. ADDENDA

26. TOTAL AWARD AMOUNT (For Govt. Use Only)

OFFER

DA FORM 4066, NOV 04

For use of this form see AR 215-4;

the proponent agency is OACSIM

ARE NOT ATTACHED.

ARE NOT ATTACHED.

30b. NAME AND TITLE OF SIGNER (Type or Print)

30a. SIGNATURE OF OFFEROR/CONTRACTOR

28. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN

25. ACCOUNTING DATA

29. AWARD OF CONTRACT REF.1x

32e. MAILING ADDRESS OF AUTHORIZED NAFI REPRESENTATIVE

32c. DATE 32b. SIGNATURE OF AUTHORIZED NAFI REPRESENTATIVE

ACCEPTED, AND CONFORMS TO THE CONTRACT, EXCEPT AS

NOTED:

32a. QUANTITY IN COLUMN 21 HAS BEEN

RECEIVED INSPECTED

40. PAID BY39. S/R VOUCHER NUMBER38. S/R ACCOUNT NUMBER

37. CHECK NUMBER

FINALPARTIAL

36. PAYMENT

FINALPARTIAL

35. AMOUNT VERIFIED

CORRECT FOR

34. VOUCHER NUMBER33. SHIP NUMBER

COMPLETE

32g. E-MAIL OF AUTHORIZED NAFI REPRESENTATIVE

42d. TOTAL CONTAINERS42c. DATE REC'D (YY/MM/DD)

42b. RECEIVED AT (Location)

42a. RECEIVED BY (Print)

41c. DATE41b. SIGNATURE AND TITLE OF CERTIFYING OFFICER

41a. I CERTIFY THIS ACCOUNT IS CORRECT AND PROPER FOR PAYMENT

DA FORM 4066, NOV 04 (Back)

24.

AMOUNT

23.

UNIT PRICE

22.

UNIT

21.

QUANTITY

20.

SCHEDULE OF SUPPLIES/SERVICES

19.

ITEM NO.

Base Period November 1, 2026 - October 31, 2027

Period of Performance: 11/01/2026 to 10/31/2027

1001 DLA Photography Concessionaire Operations - DLA

Richmond (See Section C for Statement of Work) -

Option Year 1 November 1, 2027 - October 31, 2028

(Option Line Item)

11/01/2027

Period of Performance: 11/01/2027 to 10/31/2028

2001 DLA Photography Concessionaire Operations - DLA

Richmond (See Section C for Statement of Work) -

Option Year 2 November 1, 2028 - October 31, 2029

(Option Line Item)

11/01/2028

Period of Performance: 11/01/2028 to 10/31/2029

3001 DLA Photography Concessionaire Operations - DLA

Richmond (See Section C for Statement of Work) -

Option Year 3 November 1, 2029 - October 31, 2030

(Option Line Item)

11/01/2029

Period of Performance: 11/01/2029 to 10/31/2030

4001 DLA Photography Concessionaire Operations - DLA

Continued ...

32f. TELEPHONE NUMBER OF AUTHORIZED NAFI REPRESENTATIVE

32d. PRINTED NAME AND TITLE OF AUTHORIZED NAFI REPRESENTATIVE

32 of

ITEM NO. SUPPLIES/SERVICES QUANTITY UNIT UNIT PRICE AMOUNT

NAME OF OFFEROR OR CONTRACTOR

3 3

CONTINUATION SHEET

(Nonappropriated Funds)

REFERENCE NO. OF DOCUMENT BEING CONTINUED PAGE OF

(A) (B) (C) (D) (E) (F)

NAFUA1-26-Q-0015

Richmond (See Section C for Statement of Work) -

Option Year 4 November 1, 2030 - October 31, 2031

(Option Line Item)

11/01/2030

Period of Performance: 11/01/2030 to 10/31/2031

UEI NUMBER REQUIRED: IN ORDER TO BE CONSIDERED

FOR AWARD, CONTRACTOR IS TO BE REGISTERED IN

SAM.GOV AND WILL BE REQUIRED TO PROVIDE THEIR

UNIQUE ENTITY ID (UEI) NUMBER. The UEI is generated in SAM.gov. If you are registered in

SAM.gov (active or not) you already have a Unique

Entity ID. It is viewable at SAM.gov

DA FORM 4068, NOV 04

For use of this form see AR 215-4;

the proponent agency is OACSIM

NAFUA1-26-Q-0015

Section B - Supplies or services and prices/costs Section C - Description/specifications/statement of work Section G - Contract administration data Section H - Special contract requirements

H.1 SECTION H - SPECIAL CONTRACT REQUIREMENTS

Section I - Contract Clauses

I.1 Section I - Contract Clauses

I.2 DEFINITIONS (JUNE 2025) BI.001

I.3 REQUIREMENTS RELATING TO COMPENSATION OF FORMER DOD

OFFICIALS (APR 2023) BI.003

I.4 PROTECTING THE NAFI'S INTEREST WHEN SUBCONTRACTING WITH

CONTRACTORS DEBARRED, SUSPENDED, OR PROPOSED FOR DEBARMENT,

OR VOLUNTARILY EXCLUDED (NOV 2025) BI.004

I.5 NOTICE TO THE NAFI OF LABOR DISPUTES (NOV 2004) BI.023

I.6 CONTRACT WORK HOURS AND SAFETY STANDARDS-OVERTIME

COMPENSATION (NOV 2025) BI.024

I.7 WALSH-HEALEY PUBLIC CONTRACTS ACT (MAR 2026) BI.036

I.8 EQUAL OPPORTUNITY FOR WORKERS WITH DISABILITIES (NOV 2025)

BI.040

I.9 WASTE REDUCTION (JUNE 2025) BI.047

I.10 PRIVACY ACT (NOV 2004) BI.050

I.11 DISCOUNTS FOR PROMPT PAYMENT (NOV 2004) BI.070

I.12 EXTRAS (NOV 2004) BI.073

I.13 PROMPT PAYMENT (MAR 2020) BI.074

I.14 LIMITATION OF LIABILITY-SERVICES (NOV 2004) BI.114

I.15 CONVICT LABOR (NOV 2004) BI.123

I.16 RESTRICTIONS ON SUBCONTRACTOR SALES TO THE

NAFI/GOVERNMENT (APR 2023) - ALTERNATE I (APR 2023) BI.127

I.17 REQUIREMENT TO INFORM EMPLOYEES OF WHISTLEBLOWER RIGHTS

(MAR 2026) BI.129

I.18 EMPLOYMENT REPORTS ON VETERANS (NOV 2025) BI.133

I.19 ESTABLISHING A MINIMUM WAGE FOR CONTRACTORS (JAN 2022) BI.141

I.20 PERSONAL IDENTITY VERIFICATION OF CONTRACTOR PERSONNEL (JAN

2011) BI.142

I.21 ESTABLISHING PAID SICK LEAVE FOR FEDERAL CONTRACTORS (JUN

2025) BI.145

I.22 DISCLOSURE OF INFORMATION (JUL 2017) BI.146

I.23 PROHIBITION ON CONTRACTING FOR CERTAIN TELECOMMUNICATIONS

AND VIDEO SURVEILLANCE SERVICES OR EQUIPMENT (JUN 2025) BI.151

I.24 PRIVACY TRAINING (JAN 2020) - Alternate I (JAN 2020) BI.152

I.25 COMBATING TRAFFICKING IN PERSONS (JUN 2025) BI.153

I.26 PROHIBITION ON A BYTEDANCE COVERED APPLICATION (JUN 2023)

BI.155

I.27 UNENFORCEABILITY OF UNAUTHORIZED OBLIGATIONS (APR 2023) BI.157

I.28 PROHIBITION ON CERTAIN PROCUREMENTS FROM THE XINJIANG

UYGHUR AUTONOMOUS REGION (JUN 2025) BI.159

I.29 CHILD LABOR-COOPERATION WITH AUTHORITIES AND REMEDIES (NOV

2025) BI.160

I.30 ENCOURAGING CONTRACTOR POLICIES TO BAN TEXT MESSAGING

WHILE DRIVING (NOV 2025) BI.166

I.31 NONAPPROPRIATED FUND INSTRUMENTALITY (NOV 2004) BI.002

I.32 CONTRACTOR LIABILITY FOR PERSONAL INJURY AND/OR PROPERTY

DAMAGE (APR 2023) BI.009

I.33 INVOICES (MAR 2020) BI.010

I.34 EXAMINATION OF RECORDS (MAR 2020) BI.011

I.35 INSURANCE-WORK ON A GOVERNMENT INSTALLATION AND/OR OTHER

NAFI LOCATIONS (MAR 2020) BI.012

I.36 ORDER OF PRECEDENCE (NOV 2004) BI.013

I.37 OPTION TO EXTEND SERVICES (NOV 2004) BI.021

I.38 OPTION TO EXTEND THE TERM OF THE CONTRACT (MAR 2020) BI.022 ...24

I.39 SERVICE CONTRACT LABOR STANDARDS (AUG 2018) BI.041

I.40 FAIR LABOR STANDARDS ACT AND SERVICE CONTRACT LABOR

STANDARDS-PRICE ADJUSTMENT FOR MULTIPLE YEAR AND OPTION

CONTRACTS (MAY 2014) BI.042

I.41 EQUAL OPPORTUNITY FOR VETERANS (NOV 2025) BI.045

I.42 NAFI/GOVERNMENT PROPERTY INSTALLATION OPERATION SERVICES

(APR 2023) BI.054

I.43 RESTRICTIONS ON CERTAIN FOREIGN PURCHASES (DEC 2010) BI.055...30

I.44 TAXES (NOV 2004) BI.067

I.45 PAYMENTS (MAR 2020) BI.068

I.46 MANDATORY INFORMATION FOR ELECTRONIC FUNDS TRANSFER (MAR

2020) BI.077

I.47 DISPUTES (NOV 2004) BI.079

I.48 PROHIBITION ON CONTRACTING FOR HARDWARE, SOFTWARE, AND

SERVICES DEVELOPED OR PROVIDED BY KASPERSKY LAB AND OTHER

COVERED ENTITIES (JUN 2025) BI.080

I.49 CHANGES (NOV 2004) -- ALTERNATE II (NOV 2004) BI.104

I.50 TERMINATION FOR CONVENIENCE (MAR 2020) BI.118

I.51 DEFAULT (FIXED PRICE SUPPLY AND SERVICE) (NOV 2004) BI.120

I.52 CLAUSES INCORPORATED BY REFERENCE (DEC 2021) BI.121

I.53 ASSIGNMENT OF CLAIMS (NOV 2004) BI.124

I.54 NONWAIVER OF DEFAULTS (NOV 2004) BI.125

I.55 LEVEL I ANTITERRORISM AWARENESS TRAINING FOR CONTRACTORS

(APR 2023) BI.128

Section J - List of attachments J.1 Attachment

Section K - Representations, certifications, and other statements of offerors or respondent

K.1 CERTIFICATE OF INDEPENDENT PRICE DETERMINATION (NOV 2005)

BK.001

K.2 REPRESENTATION REGARDING CERTAIN TELECOMMUNICATIONS AND

VIDEO SURVEILLANCE SERVICES OR EQUIPMENT (AUG 2020) BK.022

K.3 COVERED TELECOMMUNICATIONS EQUIPMENT OR SERVICES-

REPRESENTATION. (AUG 2020) BK.025

Section L - Instructions, conditions, and notices to offerors or bidders

L.1 DEFINITIONS (NOV 2004) BL.001

L.2 AMENDMENTS TO SOLICITATIONS (NOV 2004) BL.004

L.3 FALSE STATEMENTS IN BIDS (DEC 2005) BL.005

L.4 SUBMISSION OF OFFERS (NOV 2004) BL.007

L.5 EXPLANATION TO PROSPECTIVE OFFERORS (NOV 2004) BL.008

L.6 FAILURE TO SUBMIT OFFER (NOV 2004) BL.010

L.7 PREPARATION OF OFFERS (NOV 2004) BL.013

L.8 INSTRUCTIONS TO OFFERORS-COMPETITIVE (NOV 2004) BL.021

L.9 SERVICE OF PROTEST (NOV 2004) BL.025

L.10 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (NOV 2004)

BL.027

L.11 SITE VISIT (DEC 2005) BL.029

Section M - Evaluation factors for award

M.1 EVALUATION-COMMERCIAL ITEMS (DEC 2005) BM.001

M.2 EVALUATION OF OFFERS FOR MULTIPLE AWARDS (NOV 2004) BM.003 ...50

M.3 EVALUATION OF OPTIONS (NOV 2004) BM.007

PAGE INTENTIONALLY LEFT BLANK

Section B - Supplies or services and prices/costs

B.1 GENERAL: This is a Concessionaire contract with the Defense Logistics Agency (DLA) Family & Morale, Welfare, and Recreation (FMWR), a Non-appropriated Funds Instrumentality (NAFI), hereinafter referred to as NAFI, under the Defense Logistics Agency (DLA). Under this contract, the selected Concessionaire will operate a photography service at their own expense in exchange for a fee paid to the NAFI.

B.2 TYPE OF CONTRACT: This is a Concessionaire (revenue-generating) type contract with a Base Period of one (1) year and four (4) option years. Contract will include multiple contractors to ensure maximum flexibility to meet the needs of FMWR and customer demand. Rotation of contractors will be utilized to ensure an equal opportunity for all.

B.3 INVOICES: By the 5th business day of each month, the Contractor must submit an itemized invoice detailing the total number of sessions and products sold during the previous calendar month. The Family, Morale, Welfare and Recreation (FMWR) COR will conduct a reconciliation by comparing the Contractor's invoice against the monthly FMWR POS transaction reports to verify total gross revenue generated.

B.4 FEE STRUCTURE AND METHOD OF PAYMENT:

B.4.1 Compensation Basis:

Compensation under this Concessionaire agreement is strictly performance-based. The parties operate under a gross revenue-sharing arrangement; the Contractor shall not receive guaranteed minimum fees, fixed overhead reimbursements, or profit disbursements outside the specified gross revenue apportionment.

B.4.2 Gross Revenue Definition:

For the purposes of this contract, "Gross Revenue" includes all receipts, sales proceeds, and income generated from goods sold and services rendered at the concession facility, excluding state, local, or federally mandated sales taxes collected directly from customers and remitted to taxing authorities.

B.4.3 Fee Allocation:

All reconciled Gross Revenue shall be divided as follows:

• NAFI Fee (20%): The NAFI shall retain a twenty percent (20%) administrative and facility-use fee.

• Contractor Share (80%): The Contractor shall receive eighty percent (80%) of reconciled Gross Revenue as complete payment for operations and services provided.

B.4.4 Reconciliation and Settlement Schedule:

1. Submission: Within ten (10) calendar days after the end of each billing cycle (calendar month), the Contractor shall provide the NAFI Contracting Officer (or designated representative) with an itemized monthly invoice, detailed daily POS register reports, and electronic audit logs.

2. Reconciliation: The NAFI shall reconcile the submitted POS records against invoice amounts within ten (10) business days of receipt.

3. Discrepancies: If a variance is identified between POS records and the Contractor invoice, the undisputed portion will proceed to payment, while both parties cooperate in good faith to resolve discrepancies within ten (10) business days.

4. Remittance: The NAFI shall disburse the Contractor’s eighty percent (80%) share within thirty (30) calendar days following final monthly reconciliation.

B.5 PAYMENT DUE DATE: Payment will be disbursed via Electronic Funds Transfer (EFT) within 30 days of invoice approval.

B.6 AWARD: Upon award of contract, Sections K, L, and M of the solicitation will be removed, and the Contractor’s photography packages with associated prices, including any revisions, will be incorporated by reference, subject to Clause BI.013 (Order of Precedence).

B.7 FEE SCHEDULE:

CLIN – BASE PERIOD

Item No. Description Commission/Percentage of Gross Sales

Photography Concessionaire Operations November 1, 2026 – October 31, 2027 20/80%

CLIN – OPTION PERIOD ONE

Item No. Description Commission/Percentage of Gross Sales

Photography Concessionaire Operations November 1, 2027 – October 31, 2028 20/80%

End Section B

CLIN – OPTION PERIOD TWO

Item No. Description Commission/Percentage of Gross Sales

Photography Concessionaire Operations November 1, 2028 – October 31, 2029 20/80%

CLIN – OPTION PERIOD THREE

Item No. Description Commission/Percentage of Gross Sales

Photography Concessionaire Operations November 1, 2029 – October 31, 2030 20/80%

CLIN – OPTION PERIOD FOUR

Item No. Description Commission/Percentage of Gross Sales

Photography Concessionaire Operations November 1, 2030 – October 31, 2031 20/80%

Section C - Description/specifications/statement of work

DLA is awarding concessionaire contracts with gross revenue sharing for portrait photography services to be scheduled by FMWR based on FMWR program or customer requests. Payments will be made to FMWR. FMWR and Contractor shall reconcile monthly. Contractor will be paid following reconciliation of contractor invoice and FMWR receipts.

Contract will include multiple contractors to ensure maximum flexibility to meet the needs of FMWR and customer demand. Rotation of contractors will be utilized to ensure an equal opportunity for all.

This Statement of Work (SOW) outlines the requirements for contractors to provide photography services to DLA employees, military personnel, and authorized patrons.

This is a concessionaire agreement where the contractor operates providing photography services in exchange for a revenue-sharing model where the contractor receives 80% of the gross revenue and the Non-appropriated Fund Instrumentality (NAFI) retains a 20% fee.

C.1 General Information C.1.1 Location: Defense Supply Center Richmond, 6090 Strathmore Road, Richmond, VA 23237 C.1.2 Length of Contract: Five (5) year contract consisting of one (1) base year and four (4) option years.

C.1.3 Contract Type: Concessionaire Contract with gross revenue sharing for portrait photography as a customer service offering.

C.1.4 Installation Access Requirements: Contractors are required to possess and maintain a Real ID or another approved form of identification to comply with installation access requirements.

Approved forms of identification include:

C.1.4.1 Real ID compliant Driver’s License C.1.4.2 U.S. or foreign passport / passport card C.1.4.3 Federal Personal Identity Verification (PIV) card C.1.4.4 Non-federal PIV-interoperable card

C.2 Scope of Services The Contractor shall provide all labor, equipment, and materials necessary to perform professional portrait photography services at designated Family and MWR (FMWR) facilities. Services include, but are not limited to, individual portraits and family sessions. The contractor is to provide price quotes on the different package options offered and a description of each package offered.

Photography sessions taking place in FMWR facilities require advance approval from the respective FMWR program managers. All scheduling of sessions shall be coordinated through the Contracting Officer Representative (COR).

C.3 Background Checks and Child Safeguard Requirements Because portrait services will include children from Child Development Centers (CDCs), the Contractor must comply with strict federal, Department of War (DoW), and military installation safety, security, and background check protocols.

C.3.1 Mandatory Background Investigations: In accordance with DoW Instruction (DoDI) 1402.05 (Background Checks on Individuals in DoD Child Care Services Programs) and Public Law 101-647 (Crime Control Act of 1990), all Contractor personnel—including photographers, assistants, and managers—who will have contact with children under the age of 18 must undergo and successfully pass the required background investigations, at Contractor expense.

C.3.2 Screening Components: The background check process shall include, at minimum:

C.3.2.1 A National Agency Check with Inquiries (NACI) / Tier 1 Child Care (T1C) investigation.

C.3.2.2 FBI fingerprint check.

C.3.2.3 State Criminal History Repository checks for all states where the individual has lived, worked, or attended school during the past five (5) years.

C.3.3 Proof of Compliance: The Contractor shall submit proof of initiated or completed and adjudicated background investigations to the Contracting Officer (KO) and COR prior to the start of performance. No contractor personnel may perform work involving children until they are approved by the installation's security office.

C.3.4 Supervision Standards: Under no circumstances shall Contractor personnel have unsupervised or 1-on-1 contact with children. For personnel with pending investigations who have passed initial FBI fingerprint screenings, continuous Line-of-Sight Supervision (LOSS) must be maintained by cleared FMWR or CDC staff at all times.

C.4 Financial and Payment Procedures To maintain financial accountability and protect Non-appropriated Fund Instrumentality (NAFI) assets, strict payment and reconciliation procedures will be enforced.

C.4.1 Payment Processing and Collection The Contractor shall not accept direct payment from customers. All monetary transactions for photography services and related merchandise must be processed exclusively through the official FMWR Point of Sale (POS) system. Customers will be issued a central FMWR receipt, which will serve as proof of purchase for the Contractor.

C.4.2 Compensation and Remittance

Compensation to the Contractor is strictly performance-based. The revenue split will be fixed for the duration of the contract term. Following the successful reconciliation of the monthly vendor invoice and the POS logs, the breakdown is as follows:

C.4.2.1 FMWR Share: The NAFI shall retain a twenty percent (20%) administrative and facility-use fee. This amount is retained by the NAFI to cover marketing support, administrative oversight, and operating expenses for the base year and the four (4) option years.

C.4.2.2 Contractor Share: The NAFI will remit the remaining eighty percent (80%) of the reconciled gross revenue to the Contractor. Payment of the Contractor’s share will be disbursed to the Contractor via Electronic Funds Transfer (EFT) within thirty (30) days of invoice approval. Requests for percentage adjustments must be submitted sixty (60) days prior to the contract renewal date and require a formal amendment.

C.4.3 Invoicing and Monthly Reconciliation C.4.3.1 POS Audit: FMWR Management will run a sales report for

Photography from the POS system at the close of each month.

C.4.3.2 Invoice Submission: By the 5th business day of each month, the

Contractor must submit an itemized invoice detailing the total number of sessions and products sold during the previous calendar month.

C.4.3.3 Reconciliation: The FMWR COR/ACOR will conduct a reconciliation by comparing the Contractor's invoice against the monthly FMWR POS transaction reports to verify total gross revenue generated. Any discrepancies must be researched using individual receipt copies held by the FMWR facility.

C.5 Dispute Resolution In the event of a discrepancy between the Contractor’s invoice and the FMWR POS records, the POS records shall serve as the authoritative source. Both parties agree to jointly review disputed transactions within five (5) business days of the discrepancy notification to achieve a resolution.

C.6 Equipment and Property Liability The Contractor acknowledges that all equipment used to perform the services— including but not limited to cameras, lighting, backdrops, and digital storage devices—is the sole property of the Contractor.

C.6.1 Loss or Damage The FMWR NAFI is not liable for theft, loss, or damage to Contractor property, regardless of cause (e.g., fire, power surge, or facility incident).

C.6.2 Insurance During the contract term, the Contractor shall maintain appropriate types of commercial general liability and property insurance as follows, naming the NAFI as additionally insured where applicable.

Type of Insurance

Minimum Amount

Workers’ Compensation & Employer’s Liability

As required by State Law

Automobile Liability

$500,000 per person $1,000,000 per occurrence

Automobile Liability – Property Damage $100,000 per occurrence

General Liability (Bodily Injury, Property Damage, and Products Liability)

$1,000,000 per occurrence

C.6.2.1 Prior to commencing work, the Contractor shall furnish the Contracting Officer a copy of the insurance certificates or other proof of insurance acceptable to the Contracting Officer.

C.6.2.2 The NAFI shall be listed on any insurance policies as named insured and the certificate holder shall be filled out and forwarded to the Contracting Officer as follows:

Defense Logistics Agency Defense Depot Richmond 6090 Strathmore Rd Richmond, VA 23297

C.7 Facility Usage and Safety Rules The Contractor is granted a non-exclusive license to use designated FMWR spaces for the purpose of photography sessions. This usage is subject to the following regulations:

C.7.1 Site Restoration The Contractor must return the facility to its original configuration at the end of each session, ensuring all props and equipment are removed or stored properly.

C.7.2 Safety Compliance All electrical equipment must be UL-listed. Cables and cords must be secured with safety tape or covers to prevent trip hazards in public walkways.

C.7.3 Access Control The Contractor shall comply with all installation security requirements (e.g., CAC/Installation Access Badges) and facility-specific hours of operation.

C.7.4 Prohibited Actions No permanent alterations to the facility (e.g., drilling into walls, painting, or mounting fixtures) are permitted without written FRI Public Works/Facility approval.

C.8 Quality Control and Assurance

C.8.1 The contractor shall establish and maintain a quality control program to ensure that services are performed to a high standard and in accordance with the requirements of this SOW.

C.8.2 The contractor shall promptly address any customer complaints or concerns.

C.9 Contracting Officer’s Representative (COR) The Contracting Officer will appoint a Contracting Officer's Representative (COR) and may also designate an Alternate COR (ACOR). For the purposes of this contract, all references to the COR shall include the ACOR in the COR's absence, unless specified otherwise. The term 'COR' will be used throughout this document to refer to the designated point of contact for technical oversight.

C.9.1 The COR will be the primary point of contact for the contractor.

C.9.2 The COR will monitor the contractor's performance and ensure compliance with the requirements of this SOW. This will include measurable standards and surveillance procedures, such as customer-service standards, response time for customer complaints, photography-product delivery time, POS/reconciliation accuracy, report due dates, facility cleanliness criteria, inspection frequency and remedies or corrective-action timelines. The COR may monitor performance but is not authorized to alter contract terms, prices, scope, or schedule.

End Section C

Section G - Contract administration data

G.1 APPOINTMENT OF CONTRACTING OFFICER'S REPRESENTATIVE

G.1.1 Technical Monitoring: The Contracting Officer shall appoint, in writing, a Contracting Officer’s Representative (COR) and may also designate an Alternate COR (ACOR). For the purposes of this contract, all references to the COR shall include the ACOR in the COR's absence, unless specified otherwise. The COR will have no authority regarding the terms and conditions of the contract. The Contractor shall be provided a copy of the appointment letter identifying the tasks for which the COR will be responsible. The COR may not re-delegate his or her authority.

G.1.2 Administrative Liaison: The COR will act as the liaison to coordinate activities between the Contractor and NAFI, as required, in the performance of the work under this contract.

G.1.3 Modification Limitations: Only the Contracting Officer has the authority to change the terms and conditions of this contract. In the event the Contractor effects changes to the contract at the direction of any person other than the Contracting Officer, the changes will be considered to have been made without any authority and no adjustments will be made to the contract.

G.2 PAYMENTS

The Contractor shall submit the monthly invoice and supporting financial statements to the COR by the 5th business day of each month, detailing the operations of the previous calendar month for the reporting period to which it pertains. The supporting detail shall include any and all information relating to the photography session operations. The Contractor shall certify the completeness and accuracy of all reports using language such as: “I certify that the attached reports are complete and accurate”.

A management official of the Contractor shall sign all such certificates.

End Section G

Section H - Special contract requirements

H.1 SECTION H - SPECIAL CONTRACT REQUIREMENTS

H.1 FACILITY

The photography operation shall be used exclusively for the performance of this contract. The Contractor shall maintain the concession area in a clean and orderly manner. All signs shall be approved by the COR.

H.2 PROHIBITED ACTIVITIES: The Contractor and its employees shall not:

H.2.1 Insult, use offensive or profane language, or gestures to, or in the presence of, or argue or be discourteous to, any patrons or to other individuals in the presence of patrons.

H.2.2 Use, possess, sell, transfer, or be under the influence of alcohol, narcotics, illegal drugs, or hallucinatory agents at either the concession site or elsewhere on the premises of the installation.

H.2.3 Engage in, or permit gambling or the use of any device, which promotes gambling to include the sale of lottery tickets on the concession premises.

H.2.4 Loiter in other than its concession area.

H.2.5 Eat, drink, use tobacco products or chew gum in the concession area.

Smoking is permitted only in designated areas.

H.2.6 Play music and equipment (e.g., radio, CD/DVD, mp3, etc.) within listening range of customers.

H.2.7 The NAFI reserves the right to demand removal of Contractor personnel for “Just Cause.” “Just Cause” shall include, but not be limited to, rudeness to guests and patrons, abusive language and behavior, in additIon to any prohibited activity included in section H-2. above. The Contractor shall promptly remove any Contractor employee upon a finding by the Contracting Officer that the presence of such employee or agent endangers successful contract performance or is inimical to the best interests of the

NAFI.

H.3 NAFI-CONTRACTOR RELATIONSHIP

H.3.1 The NAFI and the Contractor understand and agree that the services to be delivered under this contract by the Contractor to the NAFI are non-personal services and the parties recognize and agree that no employer-employee or master-servant relationships exist or will exist under the contract between the NAFI and the Contractor and/or between the NAFI and the Contractor’s employees. It is, therefore, in the best interest of the NAFI to afford the parties a full and complete understanding of their respective obligations.

H.3.2 Contractor 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.4 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 Contractor to the Contracting Officer. Request must be documented with sufficient evidence to justify requested release as being in the public welfare. Final determination with regard to the necessity of public disclosure of such information remains solely with the Contracting Officer.

H.5 NOTICE OF INCIDENTS: The Contractor shall promptly notify the Contracting Officer and COR of any accident or other event at or related to the concession that result in damage to the concession or the NAFI, or which results in injury or death to any patron, concession employee, or other person. Further, the Contractor shall provide the Contracting Officer and COR such additional information concerning such accident or event as she may reasonably require. The Contractor shall cooperate with the NAFI personnel, police, the landlord’s representative, and other public officials in any investigation into such accident or event.

H.6 DAMAGE/LOSS: The Contractor shall release the NAFI from all liability for damage or loss due to criminal acts or acts of terrorism in the operation of this contract or due to theft, fire, storm, flood, wind, and damage or destruction through any force of nature.

H.7 SAVE HARMLESS: The contractor shall save harmless, and defend the NAFI, its successor in interest, and the United States Government from and against all claims, demands, actions, debts, liabilities, and attorney’s and other fees, arising out of, or claimed on account of, or in any manner predicated upon loss or damage to the property of, injuries to, or death of, any and all persons whatsoever, in any manner caused by, or contributed to, as the result of acts of negligence, fraud, or misconduct by the Contractor, its agents, or employees, while at DLA Richmond, or while traveling to or departing from the same.

H.8 ADVERTISING: The Contractor shall submit any proposed advertising or promotional material to the Contracting Officer Representative (COR) in advance in a form acceptable to the COR. The COR, in their absolute discretion, may approve or disapprove any proposed advertising or promotional material.

H.9 REPRESENTATION: The Contractor shall not represent or permit itself or its employees to be represented as agents or employees of the NAFI or the United States Government, and shall not use NAFI name on advertising material. The Contractor shall not represent, expressly or by implication, that the services provided under this contract are endorsed by any element of the NAFI.

H.10 SAFETY REQUIREMENTS: The Contractor agrees to keep activities covered by this contract at all times clean, orderly, neat in appearance, and to comply with local, State, or Federal public health regulations. The Contractor shall employ persons who meet the appropriate standards as prescribed by local, State or Federal public health regulations for the particular type of employment for which engaged.

H.10 SECURITY: The Contractor agrees to employ persons as employees, servants or agents who shall be citizens of the United States of America, or persons as employees, servants or agents whose loyalty can otherwise be established by appropriate security checks. The Contractor agrees to obtain from all employees, servants and agents of the Contractor at the time of their separation any and all installation passes issued to such persons during their employment.

H.11 EMPLOYMENT OF NON-UNITED STATES CITIZENS AND E-VERIFY

PROGRAM

H.11.1 General Compliance: Federal statutes and Executive Orders (EOs) require employers to abide by the immigration laws of the United States (U.S.) and to employ in the U.S. only individuals who are eligible to work in the U.S. In particular, the Immigration Reform and Control Act of 1986 (IRCA), Public Law 99-603 (8 U.S.C.

1324a), requires employers to verify the eligibility of individuals for employment to preclude the unlawful hiring, recruiting, or referring for a fee, of aliens who are not authorized to work in the U.S.

H.11.2 Certification of Compliance: By its performance of this Contract, the Contractor certifies that it has complied and will comply with IRCA and all other U.S.

statutes and EOs that address immigration and employment of individuals eligible to work in the U.S. The Contractor expressly certifies that it has verified the identity and employment eligibility of any individual who is hired for employment or continues to be employed to work under this Contract. The Contractor certifies further that it will ensure, prior to the award of any subcontract for work under this Contract, that current and proposed subcontractors employing four or more individuals are in compliance with IRCA and all other applicable U.S. statutes and EOs. Questions regarding compliance under the IRCA may be directed to U.S. Department of Justice, Immigration and Naturalization Service.

H.11.3 E-Verify Program and Mandatory Use: The E-Verify program provides an internet-based means of verifying employment eligibility of workers employed in the U.S. Although the E-Verify program is NOT a substitute for any other employment eligibility verification required by Federal statutes and EOs, it is a tool to facilitate compliance with the IRCA and other applicable statutes and EOs. Information on registration for and use of the E-Verify program is available at the Department of Homeland Security web-site: https://www.e-verify.gov.

H.11.3.1 Strict Mandate: The Contractor shall enroll in and actively utilize the Department of Homeland Security’s E-Verify system to verify the employment eligibility of 100% of all personnel hired to perform work under this contract.

H-12 Contextual Definition of PII For the purposes of this cafeteria and catering operation, PII encompasses any information that can be used to distinguish or trace an individual's identity. The Contractor is explicitly prohibited from retaining, sharing, or misusing this data outside the direct scope of performance.

Category Contract-Specific Examples of PII

Photography Customer Data

Customer names, personal phone numbers, personal email addresses, event locations tied to specific individuals.

Financial/Payment Data Credit card numbers, banking details, or billing addresses collected.

Contractor Employee Data

Staff rosters, background check information, Social Security Numbers (SSNs), dates of birth, and personal contact information submitted for installation access or security vetting.

H-12.1 PII Breach and Incident Notification Protocol A "breach" or "incident" is defined as the actual or suspected loss, theft, or unauthorized access, disclosure, or use of PII. If a breach occurs, the Contractor shall strictly follow the notification protocol below:

Protocol Step Requirement / Standard

1. Timeframe for Reporting

The Contractor shall report any actual or suspected PII breach immediately, and no later than twenty-four (24) hours after discovery of the incident.

2. Mandatory Points of Contact

The incident must be reported in writing (via email) directly to the Contracting Officer (KO) and the Contracting Officer's Representative (COR).

3. Required Information

The initial notification must include: 1. Date and time the breach was discovered. 2. Description of the incident and how it occurred. 3. The specific types of PII compromised (e.g., catering rosters, employee data). 4. Estimated number of individuals affected. 5. Immediate mitigation steps taken to secure the remaining data.

4. Government Investigation

The Contractor shall fully cooperate with any subsequent investigation conducted by the NAFI, DLA Security, or DoD cyber authorities, providing logs, records, or access as requested.

End Section H

Section I - Contract Clauses

I.1 Section I - Contract Clauses

I.2 DEFINITIONS (JUNE 2025) BI.001

I.3 REQUIREMENTS RELATING TO COMPENSATION OF FORMER DOD

OFFICIALS (APR 2023) BI.003

I.4 PROTECTING THE NAFI'S INTEREST WHEN SUBCONTRACTING WITH

CONTRACTORS DEBARRED, SUSPENDED, OR PROPOSED FOR DEBARMENT,

OR VOLUNTARILY EXCLUDED (NOV 2025) BI.004

I.5 NOTICE TO THE NAFI OF LABOR DISPUTES (NOV 2004) BI.023

I.6 CONTRACT WORK HOURS AND SAFETY STANDARDS-OVERTIME

COMPENSATION (NOV 2025) BI.024

I.7 WALSH-HEALEY PUBLIC CONTRACTS ACT (MAR 2026) BI.036

I.8 EQUAL OPPORTUNITY FOR WORKERS WITH DISABILITIES (NOV 2025) BI.040

I.9 WASTE REDUCTION (JUNE 2025) BI.047

I.10 PRIVACY ACT (NOV 2004) BI.050

I.11 DISCOUNTS FOR PROMPT PAYMENT (NOV 2004) BI.070

I.12 EXTRAS (NOV 2004) BI.073

I.13 PROMPT PAYMENT (MAR 2020) BI.074

I.14 LIMITATION OF LIABILITY-SERVICES (NOV 2004) BI.114

I.15 CONVICT LABOR (NOV 2004) BI.123

I.16 RESTRICTIONS ON SUBCONTRACTOR SALES TO THE NAFI/GOVERNMENT

(APR 2023) - ALTERNATE I (APR 2023) BI.127

I.17 REQUIREMENT TO INFORM EMPLOYEES OF WHISTLEBLOWER RIGHTS

(MAR 2026) BI.129

I.18 EMPLOYMENT REPORTS ON VETERANS (NOV 2025) BI.133

I.19 ESTABLISHING A MINIMUM WAGE FOR CONTRACTORS (JAN 2022) BI.141

I.20 PERSONAL IDENTITY VERIFICATION OF CONTRACTOR PERSONNEL (JAN

2011) BI.142

I.21 ESTABLISHING PAID SICK LEAVE FOR FEDERAL CONTRACTORS (JUN

2025) BI.145

I.22 DISCLOSURE OF INFORMATION (JUL 2017) BI.146

I.23 PROHIBITION ON CONTRACTING FOR CERTAIN TELECOMMUNICATIONS

AND VIDEO SURVEILLANCE SERVICES OR EQUIPMENT (JUN 2025) BI.151

I.24 PRIVACY TRAINING (JAN 2020) - Alternate I (JAN 2020) BI.152

I.25 COMBATING TRAFFICKING IN PERSONS (JUN 2025) BI.153

I.26 PROHIBITION ON A BYTEDANCE COVERED APPLICATION (JUN 2023) BI.155

I.27 UNENFORCEABILITY OF UNAUTHORIZED OBLIGATIONS (APR 2023) BI.157

I.28 PROHIBITION ON CERTAIN PROCUREMENTS FROM THE XINJIANG UYGHUR

AUTONOMOUS REGION (JUN 2025) BI.159

I.29 CHILD LABOR-COOPERATION WITH AUTHORITIES AND REMEDIES (NOV

2025) BI.160

I.30 ENCOURAGING CONTRACTOR POLICIES TO BAN TEXT MESSAGING WHILE

DRIVING (NOV 2025) BI.166

I.31 NONAPPROPRIATED FUND INSTRUMENTALITY (NOV 2004) BI.002

The Nonappropriated Fund Instrumentality (NAFI), which is party to this contract or agreement, is a nonappropriated fund instrumentality of the Department of the Army. NO APPROPRIATED FUNDS OF THE UNITED STATES SHALL BECOME DUE OR BE PAID THE CONTRACTOR BY REASON OF THIS CONTRACT OR AGREEMENT. This contract or agreement is NOT subject to The Contract Disputes Act of 1978.

(End of clause)

I.32 CONTRACTOR LIABILITY FOR PERSONAL INJURY AND/OR PROPERTY

DAMAGE (APR 2023) BI.009

(a) The Contractor assumes responsibility for all damage or injury to persons or property occasioned through the use, maintenance, and operation of the Contractor's vehicles or other equipment by, or the action of, the Contractor or the Contractor's employees and agents.

(b) The NAFI/Government shall in no event be liable or responsible for damage or injury to any person or property occasioned through the use, maintenance, or operation of any vehicle or other equipment by, or the action of, the Contractor or the Contractor's employees and agents in performing under this contract or agreement, and the Contractor shall indemnify and save harmless the NAFI/Government from any such claims for damage or injury.

(End of clause)

I.33 INVOICES (MAR 2020) BI.010

(a) An invoice is a written request for payment under the contract or agreement for supplies delivered or for services rendered. In order to be proper, an invoice must include as applicable the following:

(1) Name and address of the contractor.

(2) Invoice date.

(3) Contract (or agreement) number or other authorization for supplies delivered, services performed (including order number and contract line item number).

(4) Description, quantity, unit of measure, unit price and extended price of supplies delivered or services performed.

(5) Shipping and payment terms (e.g., shipment number and date of shipment, prompt payment discount terms). Bill of lading number and weight of shipment will be shown for shipments on Government/NAFI bills of lading.

(6) Name and address of contractor official to whom payment is to be sent (must be the same as that on the contract, agreement or on a proper notice of assignment).

(7) Name (where applicable), title, phone number, mailing address of person to be notified in event of defective invoice.

(8) Any other information or documentation required by the contract or agreement (such as evidence of shipment). Invoices shall be prepared and submitted in duplicate (one copy shall be marked "original") unless otherwise specified.

(b) For purposes of determining if interest begins to accrue under the Prompt Payment Act (Public Law 97-177, as amended).

(1) A proper invoice will be deemed to have been received when it is received by the office designated in the contract or agreement for receipt of invoices and acceptance of the supplies delivered or services rendered has occurred;

(2) Payment shall be considered made on the date on which check for such payment is dated;

(3) When the due date falls on a Saturday, Sunday, or legal holiday when Government/NAFI facilities and offices are closed, may make payment on the following working day without incurring a late payment interest penalty.

(4) Payment terms (e.g., "net 20") offered by the contractor will not be deemed a "required payment date"; and

(5) The following periods of time will not be included:

(i) after receipt of an improper invoice and prior to notice of any defect or impropriety, but not to exceed 7 days (3 days on contracts for meat food products, and 5 days on contacts for perishable agricultural commodities, dairy products, edible fats or oils and food products prepared from edible fats or oils); and

(ii) between the date of a notice of any defect or impropriety and the date a proper invoice is received. When the notice is in writing, it shall be considered made on the date shown on the notice.

(6) If the NAFI makes payment by Electronic Funds Transfer (EFT) (see applicable contract clause). In connection with any discount offered for early payment, time shall be computed from the date of the invoice. For the purposes of computing the discount earned, payment shall be considered to have been made on the date, which appears on the payment check, or the specified payment date if an electronic funds transfer payment is made.

(7) Discounts. When a discount for prompt payment is taken, the designated payment office will make payment to the contractor as close as possible to, but not later than, the end of the discount period.