SimLabs_III_DRFP_Cost_Proposal_Sections_L_and_M.pdf

SECTION L - INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS

(c) Cost/Price Proposal (Volume III)

1. INTRODUCTION

Offerors’ cost proposals shall consist of a proposed firm-fixed price for the Phase-in and estimated costs and proposed fixed fee for the core Contract Management and Technical Services, as well as for the IDIQ task order requirements. Proposed costs will be analyzed to determine the cost/price and associated risks of doing business with the Offeror.

The Government assumes adequate price competition will exist thereby negating the need for the certification of cost and pricing data with this proposal submission (See FAR 15.403-1).

The Offeror’s cost proposal shall be submitted in one volume labeled “Volume III Cost Proposal”.

To ensure the Government is able to perform a fair assessment of the proposed pricing, a responsive submission shall:

a) Explain in detail all pricing and estimating techniques;

b) Disclose the basis of all projections, rates, ratios, percentages, and factors in sufficient detail to facilitate the Source Evaluation Board’s (SEB’s) understanding and ability to mathematically verify the results of these estimating tools;

c) Comply with FAR Clause 52.222-41, Service Contract Labor Standards and FAR Clause

52.222-46, Evaluation of Compensation for Professional Employees;

d) Comply with applicable Federal Acquisition Regulation (FAR) and NASA FAR Supplement (NFS) requirements;

e) Include a narrative portion that explains all judgment-based elements of cost/price projections and profit policies including any proposed price ceilings and team fee sharing arrangements; and

f) Include a completed and signed Proposal Cover Sheet (Form JA 038), all Exhibits of the Cost Template Workbook and a properly completed Table CP1 as specified in sections 2 and 3, below.

The RFP-specified formats provided herein are structured on a Contract Year (CY) basis.

In preparing the proposal, summary level information is required by the templates.

However, the Offeror’s own format shall be used for submitting supporting information.

Offerors are instructed to complete all applicable templates provided herein and provide supporting information to explain the basis of estimate for the proposed amounts.

For Cost Proposal purposes, Major Subcontractors are defined as those subcontractors providing a total value of $1,000,000.00 or more for the total five-year period of performance.

In addition to the prime Offeror submitting a Cost Proposal, any Major Subcontractor with a potential estimated total value in excess of $1,000,000 for the total five-year period of performance shall also submit a Cost Proposal following the specified format.

Cost Proposals shall be submitted using Government provided cost templates described below. The templates are included as J.1(b)3, “Cost Template Workbook.”

Prospective subcontractors shall submit their Cost Proposals through the Prime Offeror. If a subcontractor does not wish to reveal proprietary data to the Prime Offeror, it may provide its fully detailed Cost Proposal (both hard copy and electronic copy) in a sealed envelope and also provide a “sanitized” version to the Prime Offeror showing only a summary of proposed direct labor hours, proposed total estimated cost and proposed fee, but not the data leading to the development thereof. The Prime Offeror is responsible for submitting a comprehensive proposal including all required subcontractor proposals no later than the date and time specified in this RFP.

A Work Year Equivalent (WYE) is a full time equivalent that is defined as follows: the proposed productive hours needed to comprise one average full time employee. A WYE may be composed of one employee or several part time employees. A productive WYE is defined as follows: the total available hours for productive work in a year, excluding overtime and paid time off (vacation, holiday, etc.).

All dollar amounts for proposed costs shall be rounded to the nearest whole dollar, $xxx,xxx. All direct labor rates shall be rounded to the nearest penny, $xx.xx. All indirect cost rates (percentages) shall be rounded to the second decimal place, xx.xx%. All Cost of Money Factors, if proposed, shall be rounded to the third decimal place if expressed as a percentage (xx.xxx%) or the fifth decimal place if expressed as a decimal (0.xxxxx). Offerors and subcontractors shall accomplish this by use of the ROUND function in Excel for all costs and rates computed by formula (such as Year 2 labor rate = Year 1 labor rates x [1 + escalation factor] or fringe benefits costs = direct labor cost x fringe benefits rate).

2. COST TEMPLATE WORKBOOK

Format: In order to facilitate the Government’s evaluation of Offerors’ Cost Proposals, Offerors are required to complete and submit the Excel workbook file entitled Cost Template Workbook, provided as J.1(b) Attachment 3 of this solicitation. The worksheets located within the workbook contain the following:

Exhibit 1: Summary of Proposed Price Exhibit 2: Summary of Elements of Cost – SimLabs III Contract Management (Prime Offeror) Exhibit 2a: Summary of Elements of Cost – SimLabs III Contract Management (Major Subcontractors) Exhibit 3: Summary of Elements of Cost – SimLabs III Technical Services (Prime Offeror) Exhibit 3a: Summary of Elements of Cost – SimLabs III Technical Services (Major

Subcontractors) Exhibit 4: Summary of Elements of Cost – SimLabs III IDIQ Task Orders (Prime Offeror) Exhibit 4a: Summary of Elements of Cost – SimLabs III IDIQ Task Orders (Major

Subcontractors) Exhibit 5: Proposed Direct Labor Rates Exhibit 6: Key Personnel Direct Labor Rates Exhibit 7: Direct Labor Cost Summary – SimLabs III Contract Management Exhibit 8: Direct Labor Cost Summary – SimLabs III Technical Services Exhibit 9: Direct Labor Cost Summary – SimLabs III IDIQ Task Orders Exhibit 10: Summary of Indirect Cost Rates Exhibit 11: Overhead and/or Fringe Benefits (Composition of Burden Pool) Exhibit 12: General and Administrative Expense (G&A) Exhibit 13: Minor Subcontractors Exhibit 14: Incumbency Assumptions

Exhibit 15: Phase-In Exhibit 16: Schedule of Subcontracts

Formulas: All formulas used in the workbook must be clearly visible in the individual cells and verifiable. Whereas linking among the worksheets within the workbook may be necessary, the use of external links (source data not provided to NASA) of any kind is prohibited. The workbook must contain no macros or hidden cells.

Locks: The Cost Template Workbook shall not be locked/protected or secured by passwords.

3. COST PROPOSAL ORGANIZATION

The Government intends to use personal computers with Microsoft Excel to aid in the evaluation of the cost proposal. In addition to the hardcopy requirements of the preceding section, each Prime Offeror and Major Subcontractor is required to submit its Cost Template Workbook and any other electronic cost data, including formulas, on CD(s) or USB stick.

Cost Proposal Cover Sheet (Required of Prime and Major Subcontractors): A single page containing all the information specified in Section 1, General Instructions, Part A, Items 1 through 11 of Table 15-2 as shown in FAR 15.408 is required. JA Form 038, provided as J.1(b)2 in this solicitation, must be completed and used to satisfy this requirement. The proposal cover sheet shall be properly completed and signed by an official authorized to contractually bind your company. Proper completion includes identification of the Offeror’s or Subcontractor’s Commercial and Government Entity (CAGE) Code, the cognizant Defense Contract Audit Agency (DCAA) Office and, if applicable, the cognizant Defense Contract Management Agency (DCMA) Office (Contract Management Office) in Section 8 of the form, as well as proposal page references in Section 7e of the form for the cost/price information submitted. The Line Item numbers and Prices listed in Section 7 should match the amounts from Exhibit 1 of the Offeror’s or Subcontractor’s Cost Proposal. The Line Item prices shown in Section B of the Offeror’s model contract should also match those shown in Exhibit 1 and JA Form 038 for Phase-In, Contract Management and Technical Services. The prices shown in Exhibit 1 and JA Form 038 for IDIQ Task Orders are based on a costing model and are for proposal evaluation purposes only and thus are not to appear in Section B of the Offeror’s model contract.

Exhibit 1, Summary of Proposed Price (Required of Prime Offeror and Major Subcontractors): This exhibit summarizes the Offeror’s (or Major Subcontractor’s) overall proposed price. The amounts shown in Exhibit 1 are to be linked from Exhibit 2 (Exhibit 2a for Major Subcontractors) for SimLabs III Contract Management, from Exhibit 3 (Exhibit 3a for Major Subcontractors) for SimLabs III Technical Services, from Exhibit 4 (Exhibit 4a for Major Subcontractors) for SimLabs III IDIQ Task Orders and from Exhibit 15 for Phase-in.

Exhibit 2, Summary of Elements of Cost – SimLabs III Contract Management (Prime Offeror) (Required of Prime Offeror only): This exhibit summarizes the elements of costs by contract year for the various periods in the contract (basic and options) for the SimLabs III Contract Management. Details of the various elements of cost are to be shown in the exhibit.

The Prime Offeror’s direct labor hours and dollars should be linked from Exhibit 7. Indirect costs (fringe benefits, overhead, material/subcontracting, G&A expense) for each Contract Year should be based on the rates shown in Exhibit 10 for the corresponding period.

This exhibit should also show the direct labor hours and total price (cost plus fee/profit), by contract year, for each subcontractor from Exhibit 2a of the subcontractor’s proposal for Major Subcontractors and from Exhibit 13 of the Offeror’s proposal for Minor Subcontractors.

Additionally, this exhibit should show any proposed Other Direct Costs (ODCs) such as travel, training, supplies/equipment and shipping. Only the total amounts for each proposed ODC type will be shown in this Exhibit, however Offeror’s should provide data in their own format, as well as narrative explanation, detailing how the estimated costs were determined

Exhibit 2a, Summary of Elements of Cost – SimLabs III Contract Management (Major Subcontractors) (Required of Major Subcontractors only and only if the subcontractor is proposing on the Contract Management portion of the contract): This exhibit is similar to Exhibit 2, but has been modified for use by Major Subcontractors in lieu of Exhibit 2. This exhibit summarizes the elements of costs by contract year for the various periods in the contract (basic and options) for the SimLabs III Contract Management. Details of the various elements of cost are to be shown in the exhibit provided by the Subcontractor in the sealed envelope. The subcontractor’s direct labor hours and dollars should be linked from Exhibit 7of its cost proposal.

Indirect costs (fringe benefits, overhead, material/subcontracting, G&A expense) for each Contract Year should be based on the rates shown in Exhibit 10 of the subcontractor’s cost proposal for the corresponding period. In its “sanitized” version, provided to the Prime Contractor, the Subcontractor may limit the information in this exhibit to the Productive Labor Hours, Total Cost, Total Fee/Profit and Total Cost Plus Fee/Profit if it chooses.

Exhibit 3, Summary of Elements of Cost – SimLabs III Technical Services (Prime Offeror) (Required of Prime Offeror only): This exhibit summarizes the elements of costs by contract year for the various periods in the contract (basic and options) for the SimLabs III Technical Services. Details of the various elements of cost are to be shown in the exhibit. The Prime Offeror’s direct labor hours and dollars should be linked from Exhibit 8. Indirect costs (fringe benefits, overhead, material/subcontracting, G&A expense) for each Contract Year should be based on the rates shown in Exhibit 10 for the corresponding period.

This exhibit should also show the direct labor hours and total price (cost plus fee/profit), by contract year, for each subcontractor: from Exhibit 3a of the subcontractor’s proposal for Major Subcontractors and from Exhibit 13 of the Offeror’s proposal for Minor Subcontractors.

For evaluation purposes, this exhibit includes the amounts shown in the table below for estimated Travel and Other Direct Costs (ODCs. Offeror’s shall not deviate from the amounts in the exhibit, though the amounts may be divided among Offeror and subcontractors.

Year 1 Year 2 Year 3 Year 4 Year 5 Total Travel $5,000 $5,125 $5,253 $5,384 $5,519 $26,281

ODC $50,000 $51,250 $52,131 $53,845 $55,191 $262,817

All Travel and ODC amounts provided in the Exhibit are exclusive of any indirect expenses and profit. Therefore, unless it is not the Offeror’s normal accounting practice to do so, these costs should bear their applicable portion of G&A or material handling expense. Fee on these costs is at the option of the Offeror.

Exhibit 3a, Summary of Elements of Cost – SimLabs III Technical Services (Major Subcontractors) (Required of Major Subcontractors only and only if the subcontractor is proposing on the Technical Services portion of the contract): This exhibit is similar to Exhibit 3, but has been modified for use by Major Subcontractors in lieu of Exhibit 3. This exhibit summarizes the elements of costs by contract year for the various periods in the contract (basic and options) for the SimLabs III Technical Services. Details of the various elements of cost are to be shown in the exhibit provided by the Subcontractor in the sealed envelope. The subcontractor’s direct labor hours and dollars should be linked from Exhibit 8 of its cost proposal.

Indirect costs (fringe benefits, overhead, material/subcontracting, G&A expense) for each Contract Year should be based on the rates shown in Exhibit 10 of the subcontractor’s cost proposal for the corresponding period. In its “sanitized” version, provided to the Prime

Contractor, the Subcontractor may limit the information in this exhibit to the Productive Labor Hours, Total Cost, Total Fee/Profit and Total Cost Plus Fee/Profit if it chooses.

Exhibit 4, Summary of Elements of Cost – SimLabs III IDIQ Task Orders (Prime Offeror) (Required of Prime Offeror only): This exhibit summarizes the elements of costs by contract year for the various periods in the contract (basic and options) for the SimLabs III IDIQ Task Orders. Details of the various elements of cost are to be shown in the exhibit. The Prime Offeror’s direct labor hours and dollars should be linked from Exhibit 9. Indirect costs (fringe benefits, overhead, material/subcontracting, G&A expense) for each Contract Year should be based on the rates shown in Exhibit 10 for the corresponding period.

This exhibit should also show the direct labor hours and total price (cost plus fee/profit), by contract year, for each subcontractor: from Exhibit 4a of the subcontractor’s proposal for Major Subcontractors and from Exhibit 13 of the Offeror’s proposal for Minor Subcontractors.

For evaluation purposes, this exhibit includes the amounts shown in the table below for estimated Travel and Other Direct Costs (ODCs). Offeror’s shall not deviate from the amounts in the exhibit, though the amounts may be divided among Offeror and subcontractors.

Year 1 Year 2 Year 3 Year 4 Year 5 Total Travel $20,000 $20,500 $21,013 $21,538 $22,076 $105,127 SME Recruitment $1,000,000 $1,025,000 $1,050,625 $1,076,891 $1,103,813 $5,256,329

ODC $250,000 $256,250 $262,656 $269,223 $275,953 $1,314,082

All Travel, Subject Matter Expert (SME) Recruitment and ODC amounts provided in the Exhibit are exclusive of any indirect expenses and profit. Therefore, unless it is not the Offeror’s normal accounting practice to do so, these costs should bear their applicable portion of G&A or material handling expense. Fee on these costs is at the option of the Offeror.

Exhibit 4a, Summary of Elements of Cost – SimLabs III IDIQ Task Orders (Major Subcontractors) (Required of Major Subcontractors only and only if the subcontractor is proposing on the IDIQ Task Orders portion of the contract): This exhibit is similar to Exhibit 4, but has been modified for use by Major Subcontractors in lieu of Exhibit 4. This exhibit summarizes the elements of costs by contract year for the various periods in the contract (basic and options) for the SimLabs III IDIQ Task Orders. Details of the various elements of cost are to be shown in the exhibit provided by the Subcontractor in the sealed envelope. The subcontractor’s direct labor hours and dollars should be linked from Exhibit 9 of its cost proposal.

Indirect costs (fringe benefits, overhead, material/subcontracting, G&A expense) for each Contract Year should be based on the rates shown in Exhibit 10 of the subcontractor’s cost proposal for the corresponding period. In its “sanitized” version, provided to the Prime Contractor, the Subcontractor may limit the information in this exhibit to the Productive Labor Hours, Total Cost, Total Fee/Profit and Total Cost Plus Fee/Profit if it chooses.

Exhibit 5, Summary of Proposed Direct Labor Rates (Required of Prime Offeror and Major Subcontractors): This exhibit summarizes the Offeror‘s (or Subcontractor’s) proposed direct labor rates for SimLabs III contract.

Standard Labor Categories (SLCs): The Government has provided Standard Labor Categories in J.1(b) Attachment 1. The SLC’s are listed under Core Technical Services and IDIQ in Exhibit

5. The Offeror shall map its company labor categories (to be listed in Column B, Offeror’s Category) for Core Technical Services and IDIQ to the SLCs in Column A (see example in the Exhibit).

For Contract Management there is to be no entry in Column A. The Offeror will enter its labor category titles in Column B.

In Column C the Offeror will enter its proposed direct labor rate for the first year of the contract.

In Column D (WYEs) the Offeror (or Major Subcontractor) the number of WYEs it is proposing for each labor category.

The Offeror‘s proposed escalation rates for direct labor are to be shown in the row titled ”Proposed Escalation Percentage %” in the columns for proposed direct labor rates for Years 2 through 5 (Cells in exhibit are highlighted in yellow). The following annual rates of escalation are recommended by NASA Headquarters, but are not mandatory. Offerors shall provide adequate supporting rationale for proposed escalation rates if different from the Government Rates of Change.

Calendar Year Rate of Change

2017 3.0% 2018 3.2% 2019 3.0% 2020 3.0% 2021 3.0% 2022 2.9%

2023 2.9%

Escalated rates for Contract Years 2-5 shall be computed (in Columns E through H), using the ROUND function in Excel, for the composite rates for each SLC (see example in cost exhibit template).

A “Source” column (Column I) has been provided on the template for the Offeror to use to identify the supporting data for each labor category, which shall include the source of the wage/salary data (actual, salary survey, wage determination, collective bargaining agreement, etc.). In the “Staffing” column (Column J) Offeror’s must indicate whether they expect to fill positions for each labor category through hiring incumbent employees, new hires or persons currently employed by the Offeror. An example is included on the template for illustration purposes only. The example should be removed from the Offeror’s submission.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope. For the “sanitized” version provided to the Prime, Major Subcontractors may limit the information provided to the NASA Standard Labor Category, Offeror’s Category and WYEs.

Exhibit 6, Summary of Key Personnel Direct Labor Rates (Required of Prime Offeror, Required of Major Subcontractor only if Key Personnel are proposed): This exhibit identifies all key personnel with their actual hourly labor rates shown as of a current identified payroll date.

For any individual not currently employed by the Offeror, show the hourly labor rate at which the individual has agreed to be hired should the Offeror be selected for contract award.

Exhibit 7, Direct Labor Cost Summary – SimLabs III Contract Management (Required of Prime Offeror, Required of Major Subcontractor only if Contract Management Personnel are proposed): This exhibit shows the direct labor cost for the contract management and administration for each contract year with the labor rates from Exhibit 5 used to compute the cost.

It is the Offeror‘s responsibility to acquire an understanding of the complexities of the work required to successfully meet SimLabs III requirements. The Contract Management requirement is for the resources necessary for management and administration of the overall contract and includes direct charge personnel (such as Program/Site Manager, Deputy PM, Business

Manager, Clerical, etc.). Accordingly, the Offeror must propose the resources necessary to successfully meet these requirements.

The hours shown in the exhibit for each labor category should be productive labor hours (hours spent actually working). In the narrative portion of the Offeror’s Cost Proposal, identify the number of nonproductive hours per WYE per year. Nonproductive hours are paid hours for non-work time such as vacation, holidays, sick leave, and other personal leave. State the number of hours for each of these elements. Explain how the nonproductive hours will be accumulated and charged. State the policies for treating accumulated vacation and unused sick leave hours, as well as for their treatment at contract completion. Explain policies for overtime eligibility, the amount of overtime premium, and charging of premium. This includes the application of benefits (full or partial) to be applied to the overtime premium. Also explain, if applicable, treatment, rates, and cost for shift differentials.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope. For the “sanitized” version provided to the Prime, Major Subcontractors may limit the information provided to the Labor Category, WYEs and Hours.

Exhibit 8, Direct Labor Cost Summary – SimLabs III Technical Services (Required of Prime Offeror and Major Subcontractors): This exhibit shows the direct labor cost for the Core Technical Services for each contract year with the labor rates from Exhibit 5 used to compute the cost.

The Offeror shall compute costs for the labor categories and hours provided in the template. The hours and labor categories for Exhibit 8 must not be changed though they may be divided among Offeror and subcontractors. The total hours for each labor category in the Exhibit for the Offeror and the subcontractors, when combined must equal the totals shown in the Exhibit 8 template provided with this solicitation.

The hours shown in the exhibit for each labor category should be productive labor hours (hours spent actually working). In the narrative portion of the Offeror’s Cost Proposal, identify the number of nonproductive hours per person per year. Nonproductive hours are paid hours for non-work time such as vacation, holidays, sick leave, and other personal leave. State the number of hours for each of these elements. Explain how the nonproductive hours will be accumulated and charged. State the policies for treating accumulated vacation and unused sick leave hours, as well as for their treatment at contract completion. Explain policies for overtime eligibility, the amount of overtime premium, and charging of premium. This includes the application of benefits (full or partial) to be applied to the overtime premium. Also explain, if applicable, treatment, rates, and cost for shift differentials.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope. For the “sanitized” version provided to the Prime, Major Subcontractors may limit the information provided to the Labor Category, WYEs and Hours.

Exhibit 9, Direct Labor Cost Summary – SimLabs III IDIQ Task Orders (Required of Prime Offeror and Major Subcontractors): This exhibit shows the direct labor cost for the IDIQ Task Orders for each contract year with the labor rates from Exhibit 5 used to compute the cost.

The Offeror shall compute costs for the labor categories and hours provided in the template. The hours and labor categories for Exhibit 8 must not be changed though they may be divided among Offeror and subcontractors. The total hours for each labor category in the Exhibit for the Offeror and the subcontractors, when combined must equal the totals shown in the Exhibit 9 template provided with this solicitation.

The hours shown in the exhibit for each labor category should be productive labor hours (hours spent actually working). In the narrative portion of the Offeror’s Cost Proposal, identify the number of nonproductive hours per person per year. Nonproductive hours are paid hours for non-work time such as vacation, holidays, sick leave, and other personal leave. State the number of hours for each of these elements. Explain how the nonproductive hours will be accumulated and charged. State the policies for treating accumulated vacation and unused sick leave hours, as well as for their treatment at contract completion. Explain policies for overtime eligibility, the amount of overtime premium, and charging of premium. This includes the application of benefits (full or partial) to be applied to the overtime premium. Also explain, if applicable, treatment, rates, and cost for shift differentials.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope. For the “sanitized” version provided to the Prime, Major Subcontractors may limit the information provided to the Labor Category, WYEs and Hours.

Exhibit 10, Summary of Indirect Cost Rates (Required of Prime Offeror and Major Subcontractors): This exhibit reflects the overhead and/or fringe benefits and G&A rates by contract year and Offeror's fiscal year. Other burden rates (e.g., material overhead, subcontracts admin.) must be shown separately (Offerors may add columns if necessary). This exhibit summarizes the Offeror's fiscal year data from Exhibits 11 and 12. Identify the Offeror's fiscal year in the spaces provided (e.g., 12-31-14), and show the Offeror's rates for its applicable accounting periods for the various contract years. Provide explanations for deviations of the contract rate from the fiscal year rates. The exhibit includes an example showing how the Offeror’s fiscal year rates convert to weighted average Contract Year rates. The example should be removed when the Offeror submits its proposal.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope, however, they are not required to provide any data in the “sanitized” version provided to the Prime.

Exhibit 11, Overhead and/or Fringe Benefits (Required of Prime Offeror and Major Subcontractors): This exhibit shall provide insight into the composition of the burden pool for the proposed indirect cost rates. A separate template for each of the proposed burden pools is to be completed. In addition, provide indirect cost history for the prior three years and forecasts for the term of the contract. The basis for forecast of indirect costs shall also be provided and an explanation in support of any significant changes in either expenses or base of application that exist from one year to the next.

A few cost elements are included on the templates that represent the type of cost detail into which the Government requires visibility. If these cost elements are not applicable to any proposed indirect cost pool, leave blank.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope, however, they are not required to provide any data in the “sanitized” version provided to the Prime.

If the Offeror or a Major Subcontractor has a negotiated Forward Pricing Rate Agreement (FPRA) in effect, it may submit a copy of the signed agreement with the Government entity in lieu of submitting Exhibit 11.

Exhibit 12, G&A Expense (Required of Prime Offeror and Major Subcontractors): This exhibit shall provide insight into the composition of the burden pool for the proposed General and Administrative (G&A) expense rate. Identify the estimated G&A expense and explain the method for its calculation. Provide G&A cost history including the actual expense pool and application base amounts for the prior three years. The basis for projections of G&A shall also be provided and an explanation in support of any significant changes in either expenses or base of application that exist from one year to the next. The forecast distribution base forecast for G&A should be broken down into existing business, the SimLabs III contract and other forecast business as shown in the exhibit.

A few cost elements are included on the templates that represent the type of cost detail into which the Government requires visibility. If these cost elements are not applicable to your proposed G&A cost pool, leave blank.

Major Subcontractors must provide all data required by this exhibit in the copy submitted in the sealed envelope, however, they are not required to provide any data in the “sanitized” version provided to the Prime.

If the Offeror or a Major Subcontractor has a negotiated Forward Pricing Rate Agreement (FPRA) in effect, it may submit a copy of the signed agreement with the Government entity in lieu of submitting Exhibit 12.

Exhibit 13, Minor Subcontracts (Required of Prime Offeror only): This exhibit is intended to provide the Government a concise assessment of the substance of minor subcontracts. Minor subcontracts are those subcontracts that have an estimated total value of less than $1,000,000.00 for the five-year inclusive effort. Two examples showing how this exhibit is to be completed are included on this exhibit. Examples should be removed from the exhibit when the Offeror’s proposal is submitted.

Exhibit 14, Incumbency Assumptions (Required of Prime and Major Subcontractors): This exhibit is required of the Offeror proposed as prime and all proposed Major Subcontractors. This exhibit provides visibility into the Offeror’s intentions regarding the hiring of incumbent contractor employees.

The Offeror shall indicate in the space provided, the percentage of the incumbent workforce it expects to retain.

In the two sections of the exhibit, titled “Labor Rates” and “Length of Service”, the Offeror shall select only one option in each category.

In the area entitled, “Labor Rates,” the Offeror is asked whether, notwithstanding the rates it estimated and proposed, it intends to pay retained incumbents at their current salaries/wages.

The Offeror shall select only one of the two options: Yes or No. The Government understands that a non-incumbent Offeror may only be able to estimate the salary cost of current incumbents;

however, the Government must evaluate the Offeror’s intentions regarding pay for these employees if retained. If the Offeror selects “Yes” no further response is required. If the Offeror selects “No”, then it is required to explain what salaries/wages it intends to offer to incumbents and how this will allow it to achieve the Offeror’s intended/expected incumbent retention percentage.

In the area entitled, “Length of Service”, the Offeror is asked if it intends to recognize incumbent employees’ service time under predecessor contracts, in the performance of similar work, for purposes of fringe benefits computations (such as the amount of paid-time-off received). The Offeror shall select only one of the two options: Yes or No. The Government understands that a non-incumbent Offeror may be able only to estimate the current incumbent employees’ length of service; however, the Government must evaluate the Offeror’s intentions recognition of length of service for these employees if retained. If the Offeror selects “Yes” no further response is required. If the Offeror selects “No”, then it is required to explain its policy regarding the length of service of incumbent employees as it relates to fringe benefits computations (such as the amount of paid-time-off received) and how this will allow the Offeror to achieve its intended/expected incumbent retention percentage.

Exhibit 15, Phase-In (Required of Prime Offeror and required of Major Subcontractors only if the subcontractor is participating in Phase-in): The Phase-in CLIN if Firm-Fixed Price. The Phase-In exhibit is designed to show the total cost plus profit for the phase-in period. This exhibit must be supported by a narrative basis of estimate (BOE). Include all skills and hours on this template and add rows if needed to account for all labor required. Use the SLCs for skill mix, if appropriate, or include the Offeror‘s labor mix on the template with a brief job description in the narrative. The BOE should include a discussion of labor skill mix and significant non-labor resources (materials/supplies, equipment, other, etc.) necessary for accomplishment of Phase-In requirements. The Phase-In exhibit is to include ALL Phase-In costs necessary for full contract implementation.

For subcontractors participating in phase-in, details of the various elements of cost are to be shown in the exhibit provided by the subcontractor in the sealed envelope. In its “sanitized” version, provided to the Prime Contractor, the subcontractor may limit the information in this exhibit to the Productive Labor Hours, Total Cost, Proposed Profit and Total Cost Plus /Profit if it chooses.

Exhibit 16, Schedule of Subcontracts (Required of Prime Offeror only): This exhibit summarizes the activity proposed to be subcontracted. The following information is required in the exhibit:

A brief description of work to be subcontracted;

Number of quotes solicited and received;

Subcontractor selected and basis for selection;

Type of proposed subcontract (i.e., firm-fixed price, cost-plus-fixed-fee, labor hour, etc.);

Total proposed cost and fee or profit for the total five-year period of performance;

Affiliation with the Prime Offeror; and

Cost or price analysis performed by the Offeror. Note: FAR 15.404-3(b) requires that contractors conduct appropriate cost or price analyses to establish the reasonableness of proposed subcontract prices and include the results of these analyses in the price proposal.

4. ACCOUNTING SYSTEM

The Offeror must provide a brief description of its accounting system. Award of a cost-reimbursement type contract requires an accounting system capable of accurately collecting, segregating and recording costs by contract [FAR 16.301-3(a)(3)]. If your system has previously been reviewed and approved by the Government, provide the name and telephone number of the cognizant Government office.

5. FACILITIES CAPITAL COST OF MONEY

The amount for Facilities Capital Cost of Money must be separately identified and computed in accordance with Cost Accounting Standards (CAS) 414. To claim this cost, the amount must be calculated using Forms CASB-CMF and DD 1861 (See Section J.1(b) Attachments 4 and 5).

NOTE: When Facilities Capital Cost of Money is included in the Offeror’s proposal it shall not be included in the cost base for calculating profit/fee.

6. FIXED FEE

Submit the proposed fixed fee rate to be used on the contract. The fixed fee will be established by application of the proposed fixed fee rate to the estimated, not the actual, cost of the task. The proposed fixed fee rate will apply to the core requirements, CPFF task orders and associated changes under the contract.

7. PROPOSAL PRIME/SUBCONTRACTOR INFORMATION SUMMARY

All Offerors shall submit a completed TABLE CP1 for the Prime Offeror, each team member and all Major Subcontractors having a contract value of $14 million or greater to provide information for use by NASA in the public contract award notification. Major Subcontractors valued at $1 million or greater are to submit a completed TABLE CP1 below for all of their subcontractors with a value of $1 million or greater.

It is important that all information be complete and accurate to include the identification of the 9 digit United States Postal Service (USPS) Zip Code for all prime and Subcontractors.

TABLE CP1: PROPOSAL PRIME/SUBCONTRACTOR INFORMATION SUMMARY

Offerors and Subcontractors are to fill-in the italicized areas in column 2 with the required information Prime/Subcontractor Identify name of the prime Offeror or a Major Subcontractor Title: The title of the effort you have contracted or the program name subcontracted Description: A brief non-technical description of the work, including identification of the program and project.

Period of Performance: The length from start date to completion date of the contracted effort.

Type of Action: Follow-on Contract Type: Cost Plus Fixed Fee – CPFF Company: The name of the Prime, Team Member or Subcontractor Address: Full USPS street address to include suite or apartment numbers Performance Location: City and State of the principal work performance location(s) USPS 9 digit Zip Code Enter the 9 digit USPS Zip Code XXXXX-XXXX for performance location.

The 9-digit Zip code is a Mandatory Requirement.

Estimated Price with Options

$ amount rounded to the nearest $1,000

Subcontractors: (>$1M) List all Subcontractors and their business size status for each first tier subcontract worth $1 million or more for the total contract performance.

Small Business Subcontracting Goals:

Small business and small disadvantaged business subcontracting goals both in dollars and percentage of the value of the action (including all options if any)- If ‘none” fill out box as “N/A”

(END OF PROVISION)

[END OF SECTION]

SECTION M - EVALUATION FACTORS FOR AWARD

(c) Cost/Price Proposal (Volume III)

(1) The cost evaluation will be conducted in accordance with FAR 15.305(a)(1) and NFS 1815.305(a)(1)(B).

(2) Offerors should refer to FAR 2.101(b) for a definition of “cost realism” and to FAR 15.404- 1(d) for a discussion of “cost realism analysis” and “probable cost”. The terms “proposed and probable cost” are exclusive of fee. Any proposed fee is not adjusted in the probable cost assessment.

(3) The Government will determine the Probable Cost of each Offeror’s proposal by evaluating the realism of each Offeror’s proposed costs to ensure the Offeror understands the magnitude and complexity of the effort. This will include an evaluation of the extent to which proposed costs indicate a clear understanding of solicitation requirements, and reflect a sound approach to satisfying those requirements. This assessment will consider technical/management risks identified during the evaluation of the proposal and associated costs. Cost information supporting a cost judged to be unrealistic and the technical/management risk associated with the proposal will be quantified by the Government evaluators and included in the assessment for each Offeror. Offeror’s proposed fixed fee will be used in computing the Probable Cost Plus Fixed Fee.

(4) The overall value for selection purposes will be the sum of the cost plus fixed fee proposed for the Contract Management (CLINs 002A, 003A, 004a, 005A and 006A),Technical Services (CLINs 002B, 003B, 004B, 005B, and 006B) and the IDIQ Task Orders (CLINs 002C, 003C, 004C, 005C and 006C). Phase-In (CLIN 01) will not be included in the evaluated total cost plus fixed fee for selection purposes, but it will be evaluated for reasonableness and realism.

If the SEB determines that a proposal does not adequately demonstrate that the Offeror will be able to perform the work, including the appropriateness of the Offeror’s proposed resources, the SEB may determine this to be a Mission Suitability weakness, adversely affecting the Offeror’s Mission Suitability scores as well as require an adjustment for probable cost. A lack of resource realism (and, in the case of Phase-In costs, a lack of reasonableness) may generate a Mission Suitability weakness and adversely affect the Offeror’s Mission Suitability score.

Evaluation of options shall not obligate the Government to exercise such options.

(END OF PROVISION)

[END OF SECTION]