RFP-Amend1-Att_4.1-Transcript.pdf

202-234-4433 Washington DC www.nealrgross.com Neal R. Gross and Co., Inc.

NATIONAL INSTITUTES OF HEALTH

OFFICE OF RESEARCH SERVICES

NIH FOOD SERVICE PRE-BID CONFERENCE

TUESDAY,

DECEMBER 2, 2014

The conference was held in Building 45, Balcony B of the NIH Main Campus, Bethesda, Maryland, at 1:30 p.m., John Crawford, Moderator, presiding.

PRESENT:

JOHN CRAWFORD, Moderator

JOY AJAO

TAUFID ANWAR

RAUL BURGOS

STEVE CHOI

ANNA COMER

JOHN CRAWFORD

DOUG DELAREZA

DONNA FAWLEY

MARK GLEASON

JEAN HAAKANA

RICHARD HEGER

LEROY JENKINS

LINDA KIEFER

JOE MATKA

TOM MORGAN

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PRESENT: (cont'd)

TOM MOSCATO

MICHELLE OUTLAW

TINA REDDINGTON

FOTENI TIFFANY

RICK WAYLAND

MORGAN WILLIAMS

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1 P-R-O-C-E-E-D-I-N-G-S

2 (1:30 p.m.)

3 MODERATOR CRAWFORD: Well, welcome, 4 everybody, to the National Institutes of Health.

5 I hope that your entrance to the campus wasn't

6 too arduous today.

7 I am going to turn the presentation

8 over to Joy Ajao from the Procurement Office for

9 a few housekeeping notes before we move on.

10 MS. AJAO: Good afternoon and welcome.

11 Thank you so much for your interest in our

12 solicitation. As you know, this is for the NIH

13 main campus food services.

14 And I'm just going to go through a few

15 slides and make comments, and afterwards we're

16 going to have a tour. And if there are any

17 questions, John will come up and answer them

18 after the tour I guess --

19 MODERATOR CRAWFORD: Yes.

20 MS. AJAO: -- because we don't have

21 enough time to do that right away.

22 Okay. As I said earlier, this is just

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1 to give you an overview. The RFP was released

2 November 25th, so the full RFP and all the

3 attachments are on FBO. Just look for it with

4 the RFP number, NIH-OD-2015-049.

5 The sign-in sheet is going around.

6 Please make sure you sign in if you haven't done

7 so. We also have here a stenographer recording

8 the proceedings as well. We would appreciate it

9 if you don't have any audio/video recording of

10 this conference. We are going to have the slides

11 on FBO at a later date, so -- we'd also

12 appreciate -- this is a business meeting --

13 please turn off all cell phones as well.

14 As I said earlier, all questions will

15 be taken after we come back from the tour.

16 Questions can be sent in by December 8. So if

17 you can think of a question now, if you think of

18 a question after you've left this meeting today, 19 you can send that in by December 8.

20 And, again, the questions, responses

21 to these, the slides, and the conference

22 transcript will be posted at a later date on FBO.

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1 Okay. So here we just want to give

2 you a tour of the cafeteria and to answer any

3 questions you may have right away that would help

4 you prepare your proposal. And also, you know, 5 we want to say, even though we answer your

6 questions here today, any final modifications to

7 the RFP is through a modification that will be

8 sent, posted on FBO. So this doesn't really

9 qualify -- this is an informational session.

10 That's my email address on the screen.

11 It is also in the RFP as well. Foteni Tiffany is

12 -- Foteni Tiffany is my supervisor. She is the

13 CO for the solicitation. That's also her email

14 address. Please refrain -- if you have any

15 questions, refrain from contacting the Program

16 Office directly. They will just go ahead and

17 direct you to me, so it's better, for a faster

18 response, to come through me, through the email

19 address that I'm showing on the screen right now.

20 We have -- when John comes back on

21 here, he will tell you more on -- about this

22 requirement. We have several cafeterias on

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1 campus, not just one. As we go around the tour, 2 you'll see samples of what the layout is like.

3 As you know, it's a no-cost, performance-based

4 contract. It's for an initial period of five

5 years as a base, and we have two more option

6 years of five years each.

7 And also, the following three

8 facilities are operated by the blind. We have

9 two dining centers, three coffee bars, and five

10 concession stands that are operated by the blind.

11 And that has nothing to do with what you are

12 going to operate if you do win the solicitation.

13 This is still an open, is not a set-

14 aside, so if you're small or large you can

15 compete. This is open to everyone, and that is

16 the NAICS Code. This is also subject to the SCA.

17 In the attachments that are posted on FBO, we

18 have the wage -- current wage determination. We

19 also -- there is also the CBA, collective

20 bargaining agreement, in place. And we also gave

21 you that as well, for you to know what the

22 current agreement is with the U.S. -- United

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1 here, Local 23. So you have all of that

2 information.

3 And in the RFP, we -- as of -- I don't

4 think we have it right now with the current

5 contract, but with this one we are going to have

6 a payment in lieu of rent of three percent. And

7 that will be used for repairs or replacement of

8 any of our equipment or components. And we also

9 have a qual that's performance-based, and you

10 have the chance of winning back half a percent of

11 that based on how you perform on the quals.

12 And just aligns how we want the

13 payment -- when we want it made. At the end of

14 the first month that you come in, we expect that

15 the day after the first month ends, after that I

16 think the 20th day. The RFP clearly outlines how

17 we want that paid. We want it as a book entry in

18 your accounting and not as a separate account.

19 We can talk more about that later when John comes

20 in.

21 Again, the RFP outlines how it's going

22 to be evaluated. I think there are seven

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1 criterias here listed, and there's an eighth one

2 for those companies that are in the competitive

3 range for site visits. But for now, this adds up

4 to 100. And if you're in the competitive range, 5 just know that you are going to have a site

6 visit.

7 Also, in the RFP, we ask that you

8 provide to us three venues where you currently --

9 that you currently have business who can go

10 visit. So we also ask -- we declare that, don't

11 give us a venue in Texas; we're not going to go

12 there. So it is up to you to give us three. Of

13 the three, we're going to pick one. So that's up

14 to you to give us where you think we can go to

15 that is comparable to where NIH is.

16 So please note that that's not the

17 same as the first bullet point here. So please

18 note that.

19 This is a brief outline, an outline of

20 where we are right now. The RFP was released on

21 November 25th. We're having the conference

22 today. The questions are due December 8, and we

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1 are looking to post the responses to any

2 questions, and today's slides, on FBO

3 December 19th. And then the Court Reporter -- we

4 won't have the transcript until around that time.

5 So we're working with the time he has given us.

6 And, for now, we are trying our best

7 to keep to this timeline, to have a proposal --

8 right now it's due January 15th. So please work

9 with us, and we want to get this awarded by

10 around April, so -- 2015.

11 So I'm going to hand it over to John

12 right now. We are on a tight schedule. Thank

13 you very much, once again, for being here.

14 MODERATOR CRAWFORD: We do have a

15 tight schedule.

16 Okay. For those of you that don't

17 know me, and I don't know some of you, my name is

18 John Crawford. I'm the Director of Food

19 Concessions and Retail here at NIH. I'm the

20 Contracting Officer's Technical Representative, 21 and I have been in food service more years than I

22 care to admit.

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1 As Joy mentioned, there is a few

2 things -- tor those of you that haven't managed

3 to get through the entire RFP and performance

4 work statement, there is five operations that

5 this contract will include, and two coffee bars

6 in addition. There are roughly 19,600 employees

7 on campus. There are, in addition, somewhere

8 around 10- to 12,000 contractors on campus on any

9 given day. The base period of the contract is

10 five years with two five-year extensions.

11 These are the locations and the

12 historical sales. You don't have to madly copy

13 these figures down. They're in the RFP. When we

14 leave here, we're going to be going to Building

15 10 first. That is the Clinical Center. It's

16 sort of the heart of campus, and we have to move

17 through that area fairly quickly.

18 The purpose of the tour today, for the

19 most part, is so that you folks can see the backs

20 of the houses. You can come in and watch front

21 of the house operations any day of the week.

22 These are public facilities, and you're welcome

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1 to come and have lunch with us any day.

2 But this is your only opportunity to

3 see the back of the house, and that's why we

4 pushed forward on this meeting today. We didn't

5 know who was coming. We wouldn't have known who

6 to call and say, "Hey, we're going to reschedule

7 this thing." So, as I said, we're just going to

8 try and stay ahead of the motorcades today.

9 10 ACRF, which will be the second

10 facility we see today, is the cafeteria on the

11 second floor of Building 10. It predominantly

12 serves the Clinical Center staff and patient --

13 some patients and visitors. It is the facility

14 that is open seven days a week, 365 days a year.

15 Regardless of government shutdown, weather, 16 anything else, that facility is open breakfast, 17 lunch, and dinner, seven days a week.

18 We do not run overnight services

19 within the cafeteria operations. However, there

20 are continuity of operation plans in case of some

21 sort of national emergency where that may be the

22 case.

Neal R. Gross and Co., Inc.

1 Within Building 10, there is -- the

2 largest facility is the 10B1 cafeteria, which is

3 down on the basement level, though it has a

4 ground floor exit, that is presently sort of

5 configured as a food court. It also handles

6 Clinical Center staff.

7 So you know, the Clinical Center is

8 the largest pure research hospital in the world.

9 It only has 250 beds. It has a staff of 4,000.

10 There are roughly 100,000 patients a year that

11 enter the facility on an outpatient basis, plus

12 those that come here for in-patient treatment.

13 If you're here for research purposes, then you

14 have pretty much exhausted every known protocol

15 outside our facilities, and you have essentially

16 signed yourself up as a test research subject.

17 You may not have a fatal illness, but

18 you may have an illness that only occurs one in

19 several hundred thousand people or several

20 million people. Wherever you are in the world, 21 if you're signed up for this protocol, we pick

22 you up at your door, we get you to the airport, Neal R. Gross and Co., Inc.

1 we fly you here, we meet you at the airport, we

2 bring you here, and then we reverse the process

3 when you leave. And it doesn't cost you a dime.

4 NIH's annual budget is roughly

5 $31.9 billion a year. We're the sixth largest

6 budget line in the government, and roughly 80

7 percent of that goes directly to research.

8 The next facility we will see is

9 actually going to be the Building 35 cafeteria, 10 which is over on the back side of campus. It

11 faces Old Georgetown Road. We are going there

12 out of order because the President will be next

13 door shortly after we leave.

14 Building 35 is the Neuroscience

15 Research Center. It has -- 10 institutes have

16 space in that building, and it's all about the

17 brain. There is roughly 1,100 people in that

18 building. There is about 3,000 people in the

19 neighborhood of the building.

20 And the building that the President is

21 going to is across the driveway. It's called the

22 Vaccine Research Center. And he is arriving to

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1 thank people for the work that they did on

2 creating a vaccine for Ebola, which has cleared

3 the first clinical trial. There were 30

4 volunteers here at NIH that took the vaccine to

5 see if it was safe or not.

6 From 35, we will go to Building 31.

7 Building 31 is the main administrative office

8 building for NIH of the -- there are 27, 28 -- 28

9 institutes and centers here at NIH. They are

10 broken down into things like National Cancer

11 Institute, National Institute for Aging, Drug

12 Abuse, Digestive Diseases, and Kidneys, Heart, 13 Lung, and Blood, so basically every system within

14 the body has an institute who is focused on

15 research with that.

16 Every director at -- for each of the

17 institutes has an office in that building. There

18 are roughly 3,000 people within that facility.

19 We have a coffee bar, which you will

20 see in Building 10, as soon as we get off the

21 bus. It is located in the lobby. It is viewed

22 as the face of food service operations at NIH and

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1 the face of the hospital. It is under a great

2 deal of scrutiny. It has a very high throughput.

3 We will also, in 35, see the coffee

4 bar that has just opened. It opened in October

5 and is -- it's fully stood up, but it -- you

6 know, there is not really much data I can give

7 you on it at this point.

8 At this point, we are going to go to

9 the bus. And we will come back to the

10 presentations when we come back. We have index

11 cards for questions, if you would take some --

12 Linda, if you'll hand them out at the door; or, 13 okay, Pam will -- so that you can write your

14 questions down and then we will return to you

15 with the answers, as Joy said, later in the

16 process. You can also submit your questions

17 electronically in the next few days.

18 I don't want you to mistake the speed

19 with which we go through this tour as anything

20 other than we are interested in a full and open

21 competition. We do not have a lot of time today, 22 and -- but we think it's important for you all to

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1 see what facilities we're talking about and what

2 their capabilities are in the back of the house

3 today.

4 So, you know, please, we will try and

5 stay together. We've got a bus to take us

6 around, and we will reconvene. There is even

7 enough seats on the bus that nobody has to sit

8 next to each other.

9 (Whereupon, the above-entitled matter

10 went off the record at 1:48 p.m. and

11 resumed at 4:05 p.m.)

12 MODERATOR CRAWFORD: So I won't keep

13 you all. It has been an action-packed and fun-

14 filled afternoon. But we will just go through

15 the remainder of the presentation. I appreciate

16 you all staying with us through this, and

17 hopefully we'll get you out in a way that you'll

18 have a window to avoid the closure of Rockville

19 Pike, which will happen when the President flies

20 in and out.

21 There is one piece of business in

22 Rockville that is not attached to this contract, Neal R. Gross and Co., Inc.

1 but their base period of their contract, plus an

2 option year, coincides with the end of the base

3 period of this contract. So there is a

4 possibility that that piece of business would be

5 rolled into the current contract as an addendum, 6 but there is no guarantee about that. You can

7 breathe now.

8 As I stated in the bus as we left

9 Building 10, customer service is our number

10 priority here, particularly in Building 10. We

11 have an extremely diverse customer base here, and

12 you are essentially feeding people -- feeding a

13 small city. We have our own fire department. We

14 have our own police department. You name a

15 service that exists in a city and we have it here

16 at NIH.

17 Because we are the National Institutes

18 of Health, nutrition and wellness plays a key

19 role in what we are looking for in your

20 proposals. We would like to say, with present

21 company excepted, that we walk the talk, that

22 it's important that we make sure that people know

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1 what it is they're getting and have a say.

2 Also, let me tell you that a number of

3 years ago I used to work at the Federal Reserve

4 Board, and when we went to the client for a price

5 increase -- I worked in a building with 800 Ph.D.

6 economists, and I used to get memos, multiple-

7 page memos, about the consumer price index and

8 how much lettuce went up.

9 As far as nutrition information is

10 concerned, we have people here whose reason for

11 living is to take a plate from lunch and go burn

12 it in the calorimeter to see if it matches what

13 we said, plus or minus, you know, a reasonable

14 portion. So it's not something that you can not

15 do due diligence on.

16 Sustainability is -- and food safety

17 and sanitation -- again, particularly, in

18 Building 10 where we have a certain percentage of

19 customers who are at-risk patients, and may be

20 immunosuppressed, so we take the food handling

21 incredibly seriously. We do do sushi, but we do

22 pH tests on the rice, we do temperature tests

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1 twice a day on the fish, we have an extremely

2 strict handling process for any sort of raw

3 product that is going out.

4 Personnel management and supervision --

5 you know, you are only as good as the people you

6 have on the ground here.

7 Recycling and composting, we are --

8 this contract is going to go as green as we

9 possibly can, which means that all service items

10 that are taken by the customers have to be

11 compostable.

12 Green purchasing for cleaning, and

13 maintenance and repairs on government equipment.

14 That's all I have. I wanted to make

15 sure that everybody hands in any cards that they

16 have now with questions on them, so that we can

17 get ready to answer them; and that if you don't

18 have questions at this time, that you get it to

19 us by the 8th, December 8th. And we look forward

20 to seeing some exciting and interesting

21 proposals.

22 Class dismissed.

Neal R. Gross and Co., Inc.

1 (Laughter)

2 (Whereupon, the above-entitled matter

3 went off the record at 4:10 p.m.)

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202-234-4433 Washington DC www.nealrgross.com Neal R. Gross and Co., Inc.

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20:3 page 18:7 paid 7:17 Pam 15:13 part 10:19 particularly 17:10

18:17 patient 11:12 patients 11:13 12:10

18:19 payment 7:6,13 people 12:19,20

13:17,18 14:1,18 17:12,22 18:10 19:5 percent 7:6,10 13:7 percentage 18:18 perform 7:11 performance 10:3 performance-based

6:3 7:9 period 6:4 10:9 17:1

17:3 Personnel 19:4 pH 18:22 Ph.D 18:5 phones 4:13 pick 8:13 12:21 piece 16:21 17:4 Pike 16:19 place 6:20 plans 11:20 plate 18:11 plays 17:18 please 4:6,13 5:14

8:16,17 9:8 16:4 plus 12:11 17:1 18:13 point 8:17 15:7,8 police 17:14 portion 18:14 possibility 17:4 possibly 19:9 post 9:1 posted 4:22 5:8 6:17

PRE-BID 1:5

predominantly 11:11 prepare 5:4 present 1:12 2:9

17:20 presentation 3:7

16:15 presentations 15:10 presently 12:4 President 13:12,20

16:19 presiding 1:11 pretty 12:14 price 18:4,7 priority 17:10 proceedings 4:8 process 13:2 15:16

19:2 Procurement 3:8 product 19:3 Program 5:15 proposal 5:4 9:7 proposals 17:20

19:21 protocol 12:14,21 provide 8:8 public 10:22 purchasing 19:12 pure 12:8 purpose 10:18 purposes 12:13 pushed 11:4

Q qual 7:9 qualify 5:9 quals 7:11 question 4:17,18 questions 3:17 4:14

4:16,20 5:3,6,15 8:22 9:2 15:11,14 15:16 19:16,18 quickly 10:17

R range 8:3,4

RAUL 1:15

raw 19:2 ready 19:17 really 5:8 15:6 reason 18:10 reasonable 18:13 reconvene 16:6 record 16:10 20:3 recording 4:7,9 Recycling 19:7

REDDINGTON 2:13

refrain 5:14,15 Regardless 11:15 released 4:1 8:20 remainder 16:15 rent 7:6 repairs 7:7 19:13 replacement 7:7 Reporter 9:3 Representative 9:20 requirement 5:22 reschedule 11:6 research 1:3 12:8,13

12:16 13:7,15,22 14:15

Reserve 18:3 response 5:18 responses 4:20 9:1 resumed 16:11 Retail 9:19 return 15:14 reverse 13:2

RFP 4:1,2,4 5:7,11

7:3,16,21 8:7,20 10:3,13 rice 18:22

RICHARD 1:19

RICK 2:15

right 3:21 5:3,19 7:4

8:20 9:8,12 Road 13:11 Rockville 16:18,22 role 17:19 rolled 17:5 roughly 10:6 12:10

13:4,6,17 14:18 run 11:18

S safe 14:5 safety 18:16 sales 10:12 samples 6:2 sanitation 18:17

SCA 6:16

schedule 9:12,15 screen 5:10,19 scrutiny 15:2 seats 16:7 second 11:9,11 see 6:2 10:19 11:3,10

13:8 14:5,20 15:3 16:1 18:12 seeing 19:20 send 4:19 sent 4:16 5:8 separate 7:18 seriously 18:21 serves 11:12 service 1:5 9:21 14:22 17:9,15 19:9 services 1:3 3:13 11:18 session 5:9 set 6:13 seven 7:22 11:14,17 sheet 4:5 shortly 13:13 showing 5:19 shutdown 11:15 side 13:10 sign 4:6 sign-in 4:5 signed 12:16,21 sit 16:7 site 8:3,5 sixth 13:5 slides 3:15 4:10,21

9:2 small 6:14 17:13 solicitation 3:12 5:13

6:12 soon 14:20 sort 10:16 11:21 12:4

19:2 space 13:16 speed 15:18 staff 11:12 12:6,9 stands 6:10 stated 17:8 statement 10:4 stay 11:8 16:5 staying 16:16 stenographer 4:7

STEVE 1:15

stood 15:5 strict 19:2 subject 6:16 12:16 submit 15:16 supervision 19:4 supervisor 5:12 sure 4:6 17:22 19:15 sushi 18:21 Sustainability 18:16 system 14:13

T take 15:11 16:5 18:11

18:20 taken 4:15 19:10 talk 7:19 17:21 talking 16:1

TAUFID 1:14

Technical 9:20 tell 5:21 18:2 temperature 18:22 test 12:16 tests 18:22,22 Texas 8:11 thank 3:11 9:12 14:1 thing 11:7 things 10:2 14:10 think 4:17,17 7:4,16

7:22 8:14 15:22 thousand 12:19 three 6:7,9 7:6 8:8,12

8:13 throughput 15:2 Tiffany 2:14 5:11,12 tight 9:12,15 time 3:21 9:4,5 15:21

19:18 timeline 9:7

TINA 2:13

today 3:6 4:18 5:6

8:22 10:18 11:4,8 11:10 15:21 16:3 today's 9:2

TOM 1:21 2:11

tor 10:2 tour 3:16,18 4:15 5:2

6:1 10:18 15:19 transcript 4:22 9:4 treatment 12:12 trial 14:3 try 11:8 16:4 trying 9:6

TUESDAY 1:7

turn 3:7 4:13 twice 19:1 two 6:5,9 10:5,10

U U.S 6:22 United 6:22

V vaccine 13:22 14:2,4 venue 8:11 venues 8:8 viewed 14:21 visit 8:6,10 visitors 11:13 visits 8:3 volunteers 14:4

W wage 6:18,18 walk 17:21 want 5:1,5 7:12,13,17

7:17 9:9 15:18 wanted 19:14 wasn't 3:5 watch 10:20 way 16:17

WAYLAND 2:15

we'll 16:17 we're 3:15 8:11,13,21

9:5 10:14 11:6,7 13:5 16:1

We've 16:5 weather 11:15 week 10:21 11:14,17 welcome 3:3,10

10:22 wellness 17:18 went 16:10 18:4,8

20:3

WILLIAMS 2:16

win 6:12 window 16:18 winning 7:10 work 9:8 10:4 14:1

18:3 worked 18:5 working 9:5 world 12:8,20 wouldn't 11:5 write 15:13

X

Y year 11:14 12:10 13:5

17:2 years 6:5,6,6 9:21

10:10 18:3

Z

1,100 13:17 1:30 1:11 3:2 1:48 16:10 10 10:8,15 11:9,11

12:1 13:15 14:20 17:9,10 18:18

100 8:4 100,000 12:10 10B1 12:2 12,000 10:8 15th 9:8 19,600 10:6 19th 9:3

2 1:7 2014 1:7 2015 9:10 20th 7:16 23 7:1

250 12:9 25th 4:2 8:21 27 14:8 28 14:8,8

3,000 13:18 14:18 30 14:3 31 14:6,7 35 13:9,14 14:6 15:3 365 11:14

4,000 12:9 4:05 16:11 4:10 20:3 45 1:10

8 4:16,19 8:22 80 13:6 800 18:5 8th 19:19,19

NEAL R. GROSS

COURT REPORTERS AND TRANSCRIBERS

1323 RHODE ISLAND AVE., N.W.

(202) 234-4433 WASHINGTON, D.C. 20005-3701 www.nealrgross.com

C E R T I F I C A T E

This is to certify that the foregoing transcript

In the matter of:

Before:

Date:

Place:

was duly recorded and accurately transcribed under my direction; further, that said transcript is a true and accurate record of the proceedings.

Court Reporter

NIH Food Service Pre-Bid Conference

NIH

12-02-14

Bethesda, MD