PWS - COLA Data Collection_Consolidated PWS_2024103.pdf

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Performance Work Statement (PWS)

COST-OF-LIVING DATA COLLECTION AND ANALYSIS

1. INTRODUCTION

1.1 This requirement is in support of the U.S. Department of Defense (DoD) Office of the Under Secretary of Defense (Personnel and Readiness), Assistant Secretary of Defense (Manpower and Reserve Affairs), Deputy Assistant Secretary of Defense (Military Personnel Policy) Overseas Cost-of-Living Allowance (OCOLA) and Continental United States Cost of Living Allowance (CONUS COLA) programs.

These programs are operationally managed by the Office of the Secretary of Defense, Military Compensation Policy Directorate, Allowances Division, and the Defense Personnel Analytics Center (DPAC) oversees the administrative/contractual obligations of this requirement.

1.2 The Allowances Division acquires and analyzes statistical, mathematical, and economic data used to set the Basic Allowance for Housing, Overseas Housing Allowance, and Cost-of-Living Allowances, impacting over one million service members across the nation and over 200,000 members stationed outside CONUS (OCONUS). These are major financial authorizations designed to ensure members are not financially disadvantaged by being assigned to high-cost areas either CONUS or OCONUS. The allowances have a major impact on Service members' quality of life and are subject to constant public scrutiny and challenge.

2. BACKGROUND

OCONUS COLA

2.1 Section 405 of Title 37 United States Code (U.S.C) authorizes the Secretary concerned to pay a per diem to a member of the uniformed services who is on duty OCONUS, and in determination of the per diem shall consider all elements of the cost of living to members of the uniformed services under the Secretary’s jurisdiction and their dependents.

2.2 OCOLA is a non-taxable station allowance designed to offset higher prices of non-housing goods and services OCONUS and equalize purchasing power between Service members stationed OCONUS with members stationed in CONUS. OCOLA rates are derived based upon a comparison of aggregate shopping behavior and non-housing costs of goods and services in average CONUS (baseline) to the aggregate shopping behavior and non-housing costs at each OCONUS duty location.

OCOLA is paid to over 200,000 members at approximately 600 OCONUS locations, including Alaska and Hawaii.

2.3 DoD establishes OCOLA for an OCONUS duty location when the average cost of purchasing the OCOLA market basket at the OCONUS location is greater than the

2 Ver: Feb 2024 average CONUS baseline cost of living. The OCOLA rate incorporates both a cost comparison and living pattern differences between average CONUS and the OCONUS duty location.

2.4 DoD updates OCOLA rates on a biweekly basis for fluctuations in exchange rates (except for posts experiencing hyperinflation), where applicable. The change in the exchange rate is applied to the local economy portion (“local purchase points”) of the OCOLA index with the non-local portion (“non-local purchase points”) not affected. OCOLA rates may fluctuate up or down based on changes in cost-of-living data review or exchange rate fluctuations. The Government will use the Contractor provided deliverables to determine OCOLA rates for all OCONUS duty locations. The biweekly currency review and adjustments will remain with the Government; the Contractor will not be required to make such adjustments.

2.5 The basic geographic areas for the OCOLA program are location codes listed in

Appendix 1, which describe a military installation, city, state (or equivalent), or entire country. These locations are established by the Department as needed by the Uniformed Services in each country. Most Service members OCONUS are assigned to a location code, while fewer members are assigned to the “Other” location code in each country, when applicable.

CONUS COLA

2.6 In the Fiscal Year (FY) 1995 National Defense Authorization Act, Congress approved CONUS COLA to provide compensation to Uniformed Service members for variations in non-housing costs within CONUS. Section 403b of Title 37 U.S.C.

authorizes the Secretary of Defense to establish and pay a cost-of-living allowance to Uniformed Service members in high-cost areas in CONUS.

2.7 CONUS COLA currently provides compensation to approximately 15,000 Uniformed Service members for variations in non-housing costs within CONUS. In accordance with 37 U.S.C. 101, the term “continental United States” means the 48 contiguous States and the District of Columbia (Alaska and Hawaii are excluded).

2.8 An area is considered high-cost if the non-housing cost of living for that area exceeds the threshold percentage. The law (37 U.S.C. 403b) authorizes the Secretary of Defense, in consultation with the other administering Secretaries, to establish a threshold percentage not lower than 105% of the CONUS average non-housing cost of living. The eight Uniformed Services have exercised their authority to establish a 107% threshold. Service members assigned to locations where the average non-housing cost of living exceeds 107% of the CONUS average will receive CONUS COLA to offset their additional expenses. For example, members assigned to a location where the non-housing cost of living is 108% of the CONUS average will receive 1% in CONUS COLA.

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2.9 The basic geographic area for the CONUS COLA program is the Military Housing Area (“MHA”) listed in Appendix 1. MHA boundaries are established by the Basic Allowance for Housing Program. Over 98 percent of Service members in CONUS are assigned to duty in MHAs. Other non-MHA areas are known as County Cost Groups (CCGs). These are locations outside of metropolitan areas and major installations.

3. SCOPE

3.1 The goal of this acquisition is to: receive objective, available non-housing cost data for each CONUS/OCONUS duty location annually from the private sector, purchasing the data as required, which DoD can use to establish COLA rates for military personnel serving OCONUS and within the CONUS.

3.2 The Contractor shall provide all necessary supervision, personnel, labor, supplies and services, data, and transportation to collect, analyze, and provide CONUS COLA and OCOLA data as required for satisfactory performance of work identified under this contract. Contract staff must have the technical expertise to explain economic trends and changes in non-housing cost-of-living. Data collected, utilized, or provided to the Government under this contract may only be used for performance of this contract unless otherwise approved by the Contracting Officer.

4. REQUIREMENTS The Contractor shall:

4.1 Market Basket Items.

Determine a representative market basket with approximately 100 to 150 non-housing goods and services that are readily purchased (CONUS/OCONUS) based on the Bureau of Labor Statistics (BLS) Consumer Expenditure Survey (CES) Armed Forces extract. This market basket must include the non-housing categories in the BLS CES (e.g., Transportation, Food at Home, Food Away from Home, etc.).

4.1.1. The list of market basket items should contain the following details for each item: category, item name, description, quantity, unit, average price without sales tax, and average price with sales tax.

4.2 Market Basket Prices and Indexes.

Collect market basket price data for locations across CONUS to compute the average CONUS baseline. The CONUS baseline data should set the standard quantity and unit for each item in the market basket and source prices from multiple vendors in each of the 48 states and the District of Columbia. Data collected shall be based on the market basket, where applicable.

4.2.1. Provide indexes for requested locations based on a comparison to the average

CONUS baseline. Data to meet this requirement shall be provided in detailed schedules, supported by an explanatory narrative (4.2.6). Final products shall

4 Ver: Feb 2024 show cost breakdowns indicating what it costs in each specific location for each major cost category.

4.2.2. The market basket price data should be representative of the typical shopping for a mid-grade uniformed service member with three dependents (a family of four). Items should be moderately priced, excluding prices for generic, organic, bulk, discounted, or luxury items.

4.2.3. Market basket price data should include quantity, unit, and price for each item, and the date(s) the data was collected. In locations where the complete market basket is not available, data collected shall be for as much of the market basket as possible. Adjustments to the market basket may be made only if approved by the Government.

4.2.4. Provide adjustments to the data collection areas when any location other than the one requested is used to determine the costs within an OCONUS or CONUS area. The adjusted data collection areas must be approved in advance by the Contracting Officer’s Representative (COR).

4.2.5. If data is not available for a requested CONUS or OCONUS location, determine an appropriate linkage to an available location based on specific, consistent economic factors.

4.2.6. Provide an explanatory narrative summary of the data collection and pricing methodologies with supporting price calculation and analysis data with each deliverable. Provide detailed explanations of significant changes in data from previous year.

4.3 Weighting and Unique Conditions/Foreign Exchange Rates.

Determine expenditure weights (levels of importance) for each market basket item and major category based on Service members’ expenditures outlined in the most current BLS CES Armed Forces extract. Items and categories with larger weights will have a more significant impact on the overall COLA computation.

4.3.1. Provide item and category expenditure weights based on the non-housing expenditures captured in the CES Armed Forces extract. Expenditures for items not in the market basket should be added to the expenditures for market basket items to capture the total expenditures for all applicable items.

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4.3.2. Determine environmental factors that would alter the frequency of purchase of certain non-housing goods and services categories (e.g., meats, fruits and vegetables, clothing) for specific cold or hot weather climates. The environmental factors shall adjust category weights to account for the unique weather conditions in these areas and the increased purchase of market basket items not typical in less extreme climate conditions.

4.3.2.1. Example: Service members in Alaska must purchase additional clothing and transportation items outside of the market basket (e.g., engine block heaters, studded tires, parkas, over pants, etc.) to counter the unique climate in Alaska.

4.3.2.2. Example: Service members in many tropical climates are subject to food spoilage often have to purchase perishable items more frequently due to the unique climate in those areas.

4.3.3 Determine a consistent process to identify OCONUS locations experiencing hyperinflation and provide the list of locations and the process used to determine each location as a hyperinflation location with the annual price data deliverable.

4.3.4 Collect daily foreign exchange rates for all worldwide foreign currencies from reputable sources (e.g., DoD Community Bank, Wall Street Journal, etc.) and provide them to the Government weekly.

4.4 Data Format.

Provide analyzed data, information, and work product electronically via email to the government. Maximize technology offerings when providing data, to include leveraging the latest technology, IT solutions, and innovations. Data, information, and work product shall be provided using Microsoft Office products or other products as agreed upon by the government.

4.5 Site Visits.

Complete site visits to requested locations to resolve location-specific problems as identified by the Government. Serve as the subject matter expert for COLA price data collection and price trends at each site visit. This may include locations currently priced or locations where pricing is anticipated. For each period of performance, the maximum number of site visits to be conducted is anticipated not to exceed four. Site visits shall be scheduled within four calendar weeks of the Government’s request. Submit an Executive Summary Report no later than two calendar weeks after completing the site visit. The executive summary report shall

6 Ver: Feb 2024 detail the site’s issue(s), proposed resolution, and associated timeframe for implementation.

4.6 Ad Hoc Analysis.

Complete analyses on special topics as identified by the Government. The purpose of the analysis is to identify best practices and/or explore improvement potential in areas related to the COLA programs. The best practices and improvement potential shall be those which provide the maximum benefit to the Government. For each period of performance, the maximum number of ad hoc analyses to be conducted is anticipated not to exceed four.

4.6.1. Conduct ad hoc analysis within eight weeks after Government request.

Provide a comprehensive analysis report with details outlining the scope and goals of analysis as well as any recommendations stemming from the analysis.

4.7 Safeguarding of Information.

The Contractor and its employees shall exercise the utmost discretion in regard to all matters relating to their duties and functions. They shall not communicate to any person any information known to them by reason of their performance of services under this contract which has not been made public, except to the extent necessary to perform their required duties in the performance of the contract or as provided by written authorization of the Contracting Officer (CO). All documents and records (including photographs) generated during the performance of work under this contract shall be for sole use of and shall become the exclusive property of the Government. No article, book, pamphlet, recording, broadcast, speech, television appearance, film or photograph concerning any aspect of the work performed under this contract shall be published or disseminated through any media, to include company websites or blogs, without the prior written authorization of the CO. These obligations do not cease upon the expiration or termination of this contract. The Contractor shall include the substance of this provision in all subcontracts hereunder.

4.8 Post-Award Conference.

This meeting shall provide an introduction between the Contractor personnel and Government personnel who will be involved with the contract. The meeting shall provide the opportunity to discuss technical, management and security issues. The Post Award Conference will aid both the Government and Contractor in achieving a clear and mutual understanding of all requirements and identify and resolve any potential issues. The Contractor shall be prepared to discuss any items requiring clarification and gather information as necessary to support each deliverable.

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4.8.1. Post-Award Conference summary report should capture all pertinent notes as discussed throughout the conference and a timeline for any agreed upon deliverable.

5. DELIVERABLES

The Contractor shall provide deliverable(s) in a format mutually agreed upon by the Government and the Contractor. All deliverables will be reviewed for timeliness, accuracy, and format. If a deliverable due date falls on a weekend or holiday, the Contractor shall submit the deliverable on the last workday prior to the due date. In fulfillment of this effort, the Contractor shall provide the following deliverables to the

COR.

5.1 Market Basket Price Data.

The Contractor shall provide to the Government all price data for all market basket items for each CONUS/OCONUS duty location and the average CONUS baseline.

Deliverable submissions shall be submitted to the U.S. Government, directed to the Allowances Division and the COR, electronically, via email. Price data deliverables shall be in Excel format, tab delimited with headers, and PDF (searchable) format.

With the Excel submission, cells shall not be locked, and any relevant formula shall be displayed. Contractor will work with the Government to ensure ahead of the first deliverable that data will be formatted to allow for automatic entry into the Government’s allowances system.

5.1.1. The Contractor shall provide price data using a consistent methodology for all CONUS and OCONUS areas. When collecting prices within CONUS or OCONUS, the Contractor must select prices for products that would be purchased by typical mid-grade military personnel with three dependents (family of four).

5.1.2. The Contractor shall complete and submit to DoD the price data for all

Attachment 1 locations no later than July 15 each year. As required by law, price data in support of the CONUS COLA program must be collected by June 30 each year. If necessary, the Department may request an additional data collection for specific duty locations experiencing hyperinflation or other significant changes in economic conditions. If requested, the out-of-cycle data collection and index computation must be completed within 60 days of the Government’s request.

5.2 Market Basket Items/Categories and Weights.

The Contractor shall determine the market basket items, expenditure weights (or levels of importance) for each market basket item and major category using the most current BLS CES Armed Forces extract at the time of data collection. The market basket should be representative of Service members’ most significant annual

8 Ver: Feb 2024 expenditures and should impute weights for similar items not specifically in the market basket.

5.2.1. The Contractor must state reasons for any annual adjustments to the market basket items, major category weights and item weights.

5.3 Data Collection Summary Page.

The Contractor shall submit a Summary Page for each CONUS and OCONUS location in Excel. The summary will include all major category names, major category weights, item names and descriptions (i.e., unit and quantity), prices, and item weights. If the Contractor used information from more than one source, then the summary should include the names of all sources and an explanation of the method used to combine or integrate the findings. For the OCONUS locations, the Contractor will also include on the summary page the foreign exchange rate used to convert local prices to U.S. Dollar prices. The summary for each market basket item will include the average CONUS price for each item, average CONUS expenditure weight, CONUS price or OCONUS price.

5.4 Monthly Reporting.

The Contractor shall schedule monthly meetings with the COR and Allowances Division and provide monthly written updates to inform of upcoming deliverables.

5.5 Labor Hours.

The Contractor shall report contractor labor hours (including subcontractor labor hours) required for performance of services provided under this contract via the System for Award Management (SAM) (https://sam.gov) in accordance with DFARS 252.204-7023.

Deliverable PWS Ref. Delivery Date Post Award Conference 4.8 NLT 5 days after contract award Post Award Conference Summary 4.8.1 One week after conference

Changes to the data collection areas, if applicable

4.2.4 May 1

Market basket data for the average CONUS/OCONUS baseline

4.1 & 5.2 July 15

Market Basket Item and Category Expenditure Weights

4.1, 4.2 & 5.2 July 15

Market basket data for requested CONUS and OCONUS locations

4.3, 4.4, 5.1, & 5.3

July 15

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Deliverable PWS Ref. Delivery Date Price Indexes for each requested location

4.2.1 July 15

Explanatory Narrative Summary 4.2.6 July 15 Hyperinflation OCONUS Locations 4.3.3 July 15 Foreign Exchange Rates 4.3.4 Ongoing/Weekly Site Visit Executive Summary Report

4.5 NLT two weeks after

completion of site visit

Ad Hoc Analysis Report 4.6.1 Eight calendar weeks after COR submits request

Monthly Reporting 5.4 Ongoing/Monthly

6.0 RECORDS MANAGEMENT

6.1 Contractor shall comply with all applicable records management laws and regulations, as well as National Archives and Records Administration (NARA) records policies, including but not limited to the Federal Records Act (44 U.S.C. chs. 21, 29, 31, 33), NARA regulations at 36 CFR Chapter XII Subchapter B, and those policies associated with the safeguarding of records covered by the Privacy Act of 1974 (5 U.S.C. 552a). These policies include the preservation of all records, regardless of form or characteristics, mode of transmission, or state of completion.

6.2 In accordance with 36 CFR 1222.32, all data created for Government use and delivered to, or falling under the legal control of, the Government are Federal records subject to the provisions of 44 U.S.C. chapters 21, 29, 31, and 33, the Freedom of Information Act (FOIA) (5 U.S.C. 552), as amended, and the Privacy Act of 1974 (5 U.S.C. 552a), as amended and must be managed and scheduled for disposition only as permitted by statute or regulation.

6.3 In accordance with 36 CFR 1222.32, Contractor shall maintain all records created for Government use or created in the course of performing the contract and/or delivered to, or under the legal control of the Government and must be managed in accordance with Federal law. Electronic records and associated metadata must be accompanied by sufficient technical documentation to permit understanding and use of the records and data.

6.4 Defense Human Resources Activity and its contractors are responsible for preventing the alienation or unauthorized destruction of records, including all forms of mutilation.

Records may not be removed from the legal custody of Defense Human Resources Activity or destroyed except for in accordance with the provisions of the agency records schedules and with the written concurrence of the Contracting Officer’s Representative (COR). Willful and unlawful destruction, damage or alienation of Federal records is subject to the fines and penalties imposed by 18 U.S.C. 2701. In the event of any unlawful or accidental removal, defacing, alteration, or destruction of records, Contractor must report to the COR and the Defense Human Resources Activity Component Records Management Officer at

10 Ver: Feb 2024 dodhra.mc-alex.dhra-hq.mbx.records@mail.mil so DHRA may report promptly to NARA in accordance with 36 CFR 1230.

6.5 The Contractor shall immediately notify the COR upon discovery of any inadvertent or unauthorized disclosures of information, data, documentary materials, records or equipment. Disclosure of non-public information is limited to authorized personnel with a need-to-know in accordance with all applicable privacy, security, and information protection policies. The Contractor shall ensure that the appropriate personnel, administrative, technical, and physical safeguards are established to ensure the security and confidentiality of this information, data, documentary material, records and/or equipment is properly protected. The Contractor shall not remove material from Government facilities or systems, or facilities or systems operated or maintained on the Government’s behalf, without the express written permission of the COR. When information, data, documentary material, records and/or equipment is no longer required, it shall be returned to DHRA control or the Contractor must hold it until otherwise directed.

Items returned to the Government shall be hand carried, mailed, emailed, or securely electronically transmitted to the COR. Destruction of records is EXPRESSLY PROHIBITED unless in accordance with Paragraph (7.4).

6.6 The Contractor is required to obtain the Contracting Officer's approval prior to engaging in any contractual relationship (sub-contractor) in support of this contract requiring the disclosure of information, documentary material and/or records generated under, or relating to, contracts. The Contractor (and any sub-contractor) is required to abide by Government and Defense Human Resources Activity guidance for protecting sensitive, proprietary information, classified, and controlled unclassified information.

6.7 The Contractor shall only use Government IT equipment for purposes specifically tied to or authorized by the contract and in accordance with Defense Human Resources Activity policy.

6.8 The Contractor shall not create or maintain any records containing any non-public Defense Human Resources Activity information that are not specifically tied to or authorized by the contract.

6.9 The Contractor shall not retain, use, sell, or disseminate copies of any deliverable that contains information covered by the Privacy Act of 1974 or that which is generally protected from public disclosure by an exemption to the Freedom of Information Act.

6.10 The Defense Human Resources Activity owns the rights to all data and records produced as part of this contract. The contractor shall not include any contractor markings on deliverables created under the contract. All deliverables under the contract are the property of the U.S. Government for which Defense Human Resources Activity shall have unlimited rights to use, dispose of, or disclose such data contained therein as it determines to be in the public interest. The contractor shall not use or disclose any data or deliverables under this contract for any purposes other than performing the contract, unless expressly approved by the Government.

mailto:dodhra.mc-alex.dhra-hq.mbx.records@mail.mil

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7.0 SECURITY

7.1 Personnel Security.

Overarching security requirements are UNCLASSIFIED. Contractor and subcontractor personnel require unclassified access to DoD network(s), Information Technology (IT) systems, and Government Furnished Equipment (GFE). Contractor and subcontractor personnel must obtain, DoD credentials, (also known as the Common Access Card (CAC)) for physical and logical access to federally controlled facilities and DoD Information Systems (IS) containing Personally Identifiable Information (PII) or Controlled Unclassified Information (CUI).

7.1.1 All Contractor personnel assigned to this contract are required to obtain and maintain the appropriate background investigation (BI) and adjudication or suitability determination in accordance with DODI 5200.02-DoD Personnel Security Program (PSP).

7.1.2 The contractor/subcontractor personnel on this contract will be designated performing in Noncritical-Sensitive/Non-Sensitive positions for Unclassified access in accordance with Defense Counterintelligence and Security Agency (DCSA) and the Office of Personnel Management (OPM) investigative alignment, and DoDI 5200.02, DoDM 5200.02 and 32 C.F.R. Part 117.

7.1.3 No employee may perform under this contract or have access to information or systems under this contract until they have completed a [Tier 1 (T1)] or higher background investigation (BI) that meets the requirement or be in the process of a Personnel Security Investigation (PSI) with a minimum of interim eligibility.

7.3 Staffing.

The personnel supporting this contract who require a DHRA sponsored CAC, access to DoD network(s), DoD information systems with CUI/PII data, or DoD IT/Information Systems must be Citizens of the United States. The citizenship requirement also applies to personnel assigned or working on the contract at any remote sites.

7.4 Onboarding.

Prior to requesting access to DHRA sponsored resources (e.g., DoD credential(s), Network(s), IT systems, Information Systems (IS) or facility), the contractor must provide an official request via DHRA’s onboarding system(s)/encrypted email/DoD SAFE accompanied by a complete Defense Logistics Agency Headquarters (DLAH) Form 1728 - Request for HQC Contractor Badge and/or Information Technology (IT) Access. The DHRA Security and the Defense Logistics Agency (DLA) Personnel

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Security (PERSEC) will validate the contractor meet the requirement.

7.5 Listing of employees & Clearance Documentation.

The Contractor shall maintain a current listing of employees. Within 10 calendar days of contract award, the Contractor shall provide the COR a list of all company employees assigned to this effort. The employee list should include the following information: Contract number, employee information (full legal names), DHRA center/office, location of performance, clearance level needed (e.g., Top Secret/SCI, Top Secret, Secret or None (Position of Trust for unclassified access)), IT access level needed (privilege, authorize or other). The list shall be validated by the company and DHRA Personnel Security (PERSEC). The Contractor shall provide the COR with an updated listing when any employee’s status or information changes.

7.6 Access to Sensitive Information.

To the extent that the work under this contract requires the Contractor to have access to DoD sensitive information the Contractor shall after receipt thereof, treat such information as confidential and safeguard such information from unauthorized use and disclosure. The Contractor shall not appropriate such information for its own use or disclose such information to third parties unless specifically authorized by the Government in writing.

7.6.1 The Contractor shall allow access only to those employees who need the sensitive information to perform services under this contract and who have acknowledged that sensitive information shall be used solely for the purpose of performing services under this contract. The Contractor shall prevent its employees from discussing, divulging, or disclosing any such information to any person or entity except those persons within the Contractor’s organization directly performing the contract.

7.10 Position of Trust (POT) Requirements.

DCSA and OPM offers the Tier background investigations, Tier 1 (T1) – Tier 5 (T5) for Position of Trust determination. The T5 being the most stringent investigation and T1 being the least stringent.

7.10.1 The Government is responsible for the cost of POT or sponsor a DoD-determined equivalent background check for unclassified access.

7.10.2 The Position of Trust BI process requires the DoD Government Security Office to review each request and establish the BI sponsorship. Submit a request and list of personnel for security investigation to the DHRA Security Office point of contact(s) to be provided by the COR- NLT five (5) business days after contract award.

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7.10.3 Per DCSA a T1 meets the requirement for a Noncritical-Sensitive position. A new application for a DoD T1/T1R BI for Position of Trust determination requires FBI fingerprints check, proof of US Citizenship and a Personnel Security Questionnaire (PSQ) on the Standard Form (SF) 85 using the National Background Investigation Services – electronic Application (NBIS/eApp). The Contractor employees shall provide all requested information pursuant to the Privacy Act of 1974 when requested by the Government. The Government Security Office will provide instructions according to the individual case and Tier BI to access the eApp system. For information visit NBIS at https://www.dcsa.mil/is/nbis/

7.10.4 Reciprocity. The DHRA and DLA PERSEC will use reciprocity to the extent possible and if necessary will request re-adjudication by the DoD Consolidated Adjudications Facility (CAF) or DCSA Consolidated Adjudication Services (CAS) to support the DoD standards per Executive Order E.O 13467.

7.10.4.1 A BI equivalency will be according to the investigative alignments offered by the OPM and the DCSA here, https://www.dcsa.mil/Portals/91/Documents/pv/GovHRSec/Position_Desi gnation_Investigation_Type_Chart_Sept_2017.pdf

7.10.4.2 Reciprocity consideration includes verifying break in service longer than 24 months as a US Military, US Civilian or US Contractor from the last favorable investigation.

7.10.5 A new Position of Trust applicant under this contract must obtain at a minimum interim eligibility from DLA Security prior to the assignment and performance of their duties in support of the Government in this contract.

7.10.6 DHRA’s interim Position of Trust eligibility is sponsored by DHRA Security and approved by DLA PERSEC.

7.10.7 Eligible interim Position of Trust personnel expectations include, but are not limited to:

7.10.7.1 Comply with all personnel security requirements as specified by DHRA and DLA PERSEC;

7.10.7.2 Attain and maintain favorable FBI fingerprint results;

7.10.7.3 Comply with all investigative and adjudicative requirements, which includes responsiveness to time-sensitive requests (e.g., interview(s), additional information or clarification) from the DLA PERSEC, investigator or the adjudicative agency (DoD CAF/CAS);

7.10.7.4 Attain and maintain favorable eligibility to the designated BI.

https://www.dcsa.mil/Portals/91/Documents/pv/GovHRSec/Position_Designation_Investigation_Type_Chart_Sept_2017.pdf https://www.dcsa.mil/Portals/91/Documents/pv/GovHRSec/Position_Designation_Investigation_Type_Chart_Sept_2017.pdf

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7.11 Controlled/Restricted Areas.

The Contractor shall comply with local procedures for entry to DoD/DHRA controlled/restricted areas where Contractor personnel will work.

7.13 Pass and Identification Items. The Contractor shall ensure the pass and identification items required for contract performance are obtained for employees and non-government owned vehicles.

7.14 DoD Credentials/Common Access Card (CAC). Contractor personnel must obtain a DoD credential or CAC if they are assigned to perform work under this contract requiring access to DoD network(s), CUI/PII data, IT/Information Systems, DoD Facilities or non-DoD federally controlled facilities on behalf of the DoD on a recurring basis per DODM 1000.13, DoD Identification (ID) Cards: ID Card Life-Cycle.

7.14.1 Comply with HSPD-12 Personal Identity Verification (PIV) issuance requirements.

Be responsible for obtaining a CAC or PIV and be in ready status prior to requesting access to DoD resources such as DoD Facilities, DoD IT/Information Systems (IS).

7.14.2 CAC Applicant supporting this contract will need to meet the following requirements:

7.14.2.1 Execute, obtain/maintain a favorable FBI National Criminal History Check (fingerprint check);

7.14.2.2 Have an open Tier 1 to meet Noncritical-Sensitive role;

7.14.2.3 Be ready to provide two forms of identification (I-9 document);

7.14.2.4 Provide proof of U.S Citizenship.

7.15 Retrieving Identification Media. The Contractor shall retrieve all identification media, including vehicle passes from employees, including those who depart for any reason before the contract expires; e.g. terminated for cause, retirement, etc.

7.16 Key Control/Access Badge Control. The Contractor shall establish and implement methods of making sure all keys/badges issued to the Contractor by the Government are not lost or misplaced and are not used by unauthorized persons. The Contractor shall not duplicate any keys issued by the Government.

7.16.1 Prohibited Use. The Contractor shall prohibit the use of keys, issued by the Government, by any persons other than the Contractor’s employees and the opening of locked areas by Contractor employees to permit entrance of persons other than Contractor employees engaged in performance of contract work requirements in those areas.

7.17 Conduct while on Government Installation. The Contractor shall not assign work

15 Ver: Feb 2024 or direct its employees to access government information, systems, or installations unless the employees have and maintain the required background investigation, clearances, and authorizations.

7.18 Weapons, Firearms, and Ammunition. Contractor employees are prohibited from possessing weapons, firearms, or ammunition, on themselves or within their contractor-owned vehicle or privately-owned vehicle while on all government installations.

7.19 Reporting Requirements. Contractor personnel shall report to an appropriate authority any information or circumstance of which they are aware that may pose a threat to the security of government or contractor personnel, resources, or information.

7.22 Offboarding. Upon completion of the contract, an employee’s relocation or termination of an employee, or upon request from the COR in accordance with DHRA centers or offices security policies coordinate the employees removal from work under this contract with the COR.

7.22.1 If at any time, any Contractor personnel supporting this contract are unable to obtain/maintain an adjudicated T1 BI, the Contractor shall immediately notify the COR and coordinate removal of such a person from work under this contract and replace the individual with appropriate level background investigation knowledge, skill and ability (KSA) required to perform services.

7.22.2 As the contractor replaces employees, the contractor shall submit the outgoing employee’s installation access and return all CACs/badge(s)/identification card(s) immediately to the COR, who will turn it in to the local Installation Access Control Office or Government Security Office.

7.22.3 Submit an Off-boarding notification to the COR and the DHRA PERSEC as soon as the contractor knows an employee is leaving the contract.

7.22.4 When personnel change, provide updated personnel security list to the COR within three business days of a change.

8.0 Cybersecurity

8.1 Cyber Incident Reporting. In addition to DFARS 252.204-7012, the Contractor shall notify the DMDC Incident Response (IR) team by emailing an initial cyber incident report to dodhra.dodc-mb.dmdc.list.ir-team@mail.mil, the Contracting Officer, and the COR within one hour of discovering any cyber incident. The Contractor shall follow up with a supplemental report every 24 hours until the incident is closed.

8.2 Information System Security. The Contractor shall implement IS security protections that are appropriate for the confidentiality, integrity, and availability needs of the contract. The protections must include the administrative, technical, and physical safeguards necessary to protect all nonpublic Government data.

16 Ver: Feb 2024

9.0 GOVERNMENT FURNISHED PROPERTY/EQUIPMENT/INFORMATION

(GFP/GFE/GFI)

The Government will not provide any Government Furnished Equipment (GFE). The Government will not provide facilities, or access to facilities. The Government will provide Government Furnished Information (GFI). If the Contractor receives any GFI covered by the Privacy Act of 1974, the Contractor shall comply with all applicable safeguarding and handling requirements associated with Privacy Act information. The Government will provide the following edited versions of data files, identified as GFI:

a. Attachment 1, which lists the 10 OCONUS duty locations that require data collection through this pilot program. A full list would include duty locations where all military personnel are assigned.

9.1 The Government may distribute OCOLA rates as needed to other USG agencies and the public and will retain the right to publish the OCOLA rates; however, will not publish the price data provided by the contractor. All contract reports and findings are the property of the Government. All reports, logs, written communications, and any other documents or media generated under this contract are the property of the Government.

10.0 PLACE OF PERFORMANCE

The contractor will be expected to perform work at the Contractor’s facility or at an approved remote location.

11.0 QUALITY CONTROL

The contractor shall implement and maintain a Quality Control Plan (QCP) to ensure work performed conforms to the scope of work and meets the requirements under this PWS.

The QCP shall, at a minimum provide a method for performing inspections; identifying, correcting and preventing problems/defective service; addressing customer complaints, and improving the quality of services over the life of the contract.

12.0 QUALITY ASSURANCE

12.1. The Government reserves the right to perform inspections and surveillance to evaluate the Contractor’s compliance to the contract terms and performance of the requirements in the PWS.

12.2. Contract Discrepancy Report (CDR). In the event of unsatisfactory contractor performance, the COR or CO will issue a CDR that will explain the circumstances and findings concerning the incomplete or unsatisfactory service. The contractor shall acknowledge receipt of the CDR and respond in writing as to how he/she shall correct the

17 Ver: Feb 2024 unacceptable performance and avoid a recurrence. The Government will review the contractor's corrective action response to determine acceptability and will use any completed CDR as part of an overall evaluation of Contractor performance when determining present or future contractual actions.

13.0 ORGANIZATIONAL CONFLICTS OF INTEREST

The Contractor acknowledges that it is familiar with FAR Subpart 9.5, Organizational and Consultant Conflicts of Interest, and agrees to avoid, neutralize or mitigate such conflicts of interest in accordance with the principles set forth in the FAR. If the performance requires the Contractor (to include subcontractors) to supply technical support related to systems or projects with which the Contractor is already directly concerned, either by prime or subcontract, the Contractor shall immediately inform the Contracting Officer. The PWS may be withdrawn if a conflict is found. The Contractor shall not undertake performance of any PWS requirements which requires it to supply technical support regarding such systems until the notice is given, and written consent to proceed is issued by the Contracting Officer.

14.0 APPLICABLE DOCUMENTS

Document Web link Appendix 1 lists the DOD COLA Locations

N/A

Appendix 2 lists the items in the Overseas COLA Market Basket

N/A

Appendix 3 lists the Overseas Comparison Market Basket

N/A

15.0 PERFORMANCE REQUIREMENT SUMMARY (PRS)

15.1 Purpose. The PRS lists performance objectives for the required services the Government will surveil. The absence of any contract requirement from the PRS shall not detract from its enforceability nor limit the rights or remedies of the Government under any other provision of the contract including the clauses entitled “Inspection of Services” or “Inspection” or “Default” in the contract.

15.2 Components. The PRS states the performance objective (required service), and threshold (performance standard, accept and reject points (if applicable)) in either a qualitative or quantitative fashion for each critical success factor.

Performance Objective

PWS paragraph

Performance Standard/Acceptable Quality Level

Perform all tasks as identified in the PWS to

4.1, 4.2, 4.5, 5.2 Deliverable products shall contain required information and shall be delivered timely 100% of the time.

18 Ver: Feb 2024 collect and analyze OCONUS COLA data.

Deliverables do not require re-performance or re-work by the Contractor at least 90% of the time. For any re-performance/rework on deliverables, problems and revisions that occur are minor and resolved in a satisfactory manner.

16.0 Mandatory Training Requirements:

Contractor employees performing under this contract shall complete the following mandatory trainings within 30 calendar days of reporting for duty and annually thereafter when applicable.

1. OPSEC Awareness for Military Members, DoD Employees and Contractors IAW DoDM 5205.02, “DoD Operations Security (OPSEC) Program Manual”, dated October 29, 2020. The training is currently available at:

https://securityawareness.usalearning.gov/opsec/index.htm

2. Unauthorized Disclosure of Classified Information and Controlled Unclassified Information IAW DoDI 5200.48, “Controlled Unclassified Information (CUI)”, dated March 6, 2020. The training is currently available at:

https://securityawareness.usalearning.gov/disclosure/index.html

3. DoD Mandatory Controlled Unclassified Information (CUI) Training, Executive Order 13556, Controlled Unclassified Information and DoDI 5200.48, “Controlled Unclassified Information (CUI)”, dated March 6, 2020. The training is currently available at: https://securityawareness.usalearning.gov/cui/index.html

4. Insider Threat Awareness IAW DoDD 5205.16, “The DoD Insider Threat Program”, dated August 28, 2017. The Training is currently available at:

https://securityawareness.usalearning.gov/itawareness/index.htm

5. Privacy Act and Personally Identifiable Information IAW DoDI 5400.11, “DoD Privacy and Civil Liberties Programs”, dated January 29, 2019. The training is currently available at: https://securityawareness.usalearning.gov/piiv2/index.htm or https://public.cyber.mil/cyber-training/training-catalog/

6. IT Security Awareness IAW title 5, Code of Federal Regulations, section 930.301. The training is currently available at:

https://securityawareness.usalearning.gov/cybersecurity/index.htm or https://public.cyber.mil/cyber-training/training-catalog/

7. Counterintelligence Awareness and Reporting Training IAW DoD Directive 5240.06, “Counterintelligence Awareness and Reporting (CIAR)”, dated July 21, 2017. The https://securityawareness.usalearning.gov/opsec/index.htm https://securityawareness.usalearning.gov/disclosure/index.html https://securityawareness.usalearning.gov/cui/index.html https://securityawareness.usalearning.gov/itawareness/index.htm https://securityawareness.usalearning.gov/piiv2/index.htm https://public.cyber.mil/cyber-training/training-catalog/ https://securityawareness.usalearning.gov/cybersecurity/index.htm https://public.cyber.mil/cyber-training/training-catalog/

19 Ver: Feb 2024 training is currently available at:

https://securityawareness.usalearning.gov/cidod/index.html

8. Annual OSD Records and Information Management Training (DHA-US1369) IAW Administrative Instruction 15, “OSD Records and Information Management Program”, dated November 17, 2020. The training is currently available at:

https://jkodirect.jten.mil/

9. Antiterrorism (AT) Level 1 Training. IAW DoDI O-2000.16-V1, “DoD Antiterrorism Program Implementation” dated, November 17, 2016, Change 3, May 7, 2021. The training is currently available at: https://jkodirect.jten.mil/ (JS-US007).

The Contractor shall provide a copy of its employee(s)’ training certificates to the COR to meet the mandatory training requirements.

https://securityawareness.usalearning.gov/cidod/index.html https://jkodirect.jten.mil/ https://jkodirect.jten.mil/