PWS - DRAFT.pdf

PERFORMANCE WORK STATEMENT FOR

IN-STORE SPECIALTY DELICATESSEN AND BAKERY

RESALE OPERATIONS TO INCLUDE SUSHI (where applicable)

September 1, 2025

1. GENERAL.

1.1 Introduction. The Defense Commissary Agency (DeCA), Department of Defense (DoD), operates a worldwide commissary store system that provides quality grocery products to active-duty military personnel and retirees, members of the Reserve and National Guard, service-disabled veterans, their families, and other authorized patrons.

1.2 Scope. The Contractor shall furnish all personnel, supervision, food products and all supplies for the operation of In-Store Specialty Delicatessen and Bakery Resale Operations, Including Sushi where applicable (the “Deli Operations”) at the commissary locations and in the manner described herein. See Attachment 1 for a list of government furnished cleaning supplies, necessary to operate the Deli Operations.

1.2.1 Hours of Performance. The Contractor shall ensure employees are available to operate the Deli Operations during the hours of operation established for the locations in the Schedule of Supplies (SF Form 1449 continuation sheet). For details specific to this contract and PWS requirement see Commissary Hours of Operation, Attachment 2. A request for variation to existing operational hours in relation to sales shall be submitted through the Category Manager for coordination and final approval and notification from the Contracting Officer. The Contractor is expected to ensure that sufficient staff is available to provide timely customer service and fulfill all orders during all In-store Delicatessen and Bakery to include Sushi, where applicable, operating hours at each store location.

1.2.2 Hours of Preparation. Contractors will be allowed up to three hours' time to prepare products prior to the store’s opening for regular operational hours. A request for variation to the existing preparation hours shall be submitted to the Category Manager for coordination and final approval and notification from the Contracting Officer.

1.2.3 Business Relations. The Contractor shall successfully integrate and coordinate all activity needed to execute the requirement. The Contractor shall manage the timeliness, completeness, and quality of problem identification. The Contractor shall provide corrective action plans, proposal submittals, timely identification of issues, and effective management of subcontractors. The Contractor shall seek to ensure customer satisfaction and professional and ethical behavior of all Contractor personnel.

1.2.4 Contract Administration. The Contractor shall establish processes and assign appropriate resources to effectively administer the requirements of this contract and PWS requirement. The Contractor shall respond to Government requests for contractual actions in a timely fashion. The Contractor shall have a single point of contact responsible for contract actions and communications between the Government and the Contractor's corporate office. The Contractor shall assign work effort and maintain proper and accurate time keeping records of personnel assigned to work on the requirement. The Contractor shall seek to operate in a manner that constantly improves the service provided to the patrons while minimizing costs to the Government for items such as utilities, and Government provided supplies and equipment.

1.2.5 Records. The Contractor shall ensure sufficient records of its operations are maintained in order to meet the requirements of all DoD and DeCA directives for reporting on the performance of the Contractor operations, as required. Examples of such reports include temperature logs, product expiration date codes and others as may be required by DoD, DeCA, or other authorities.

1.2.6 Products. Thirty days prior to the start of performance, the Contractor shall submit a completed DeCAF 40-15 New Item & File Maintenance with an attached spreadsheet compatible with Excel to the DeCA Category Manager for approval and mass upload into DeCA's business systems. The DeCAF 40-15 can be found at https://corp.commissaries.com/our-agency/business-with-deca/contracting/resale-grocery-products-and-services/brand- name-resale-products. The Contractor shall ensure that the DeCAF 40-15 contains accurate and current information on Universal Product Codes (UPCs) and DeCA Product Lookup Codes (PLU) for all items sold from the Deli Operations.

1.2.6.1 The Contractor is required to obtain approval from the DeCA Category Manager prior to adding new items to its item assortment for resale. Until such time that DeCA implements new enterprise business or information systems, DeCAF 40-15 process, the Contractor shall complete and submit a paper DeCAF 40-15 to the DeCA Category Manager for approval. If the DeCA Category Manager approves the item, DeCA will add the new item and product information into the relevant DeCA information system. The Contractor shall utilize the Vendor Portal to submit subsequent price changes on all new items. The DeCA Category Manager is responsible for approving the new item, and it may be added to DeCA’s information system, if approved, prior to the Contractor displaying and offering the new item for resale. The Category Manager will use category management principles in determining whether to approve items for the assortment. If the item is approved, the Contractor will provide images as directed by the Contracting Officer or COR. The Category Manager will immediately notify the Contractor of any gap in the assortment, and the Contractor will make every effort to find item(s) to fill the relevant gap. DeCA reserves the right, throughout the performance period of this contract, to change its information or business systems without any additional charges from the Contractor. DeCA will provide appropriate training to the Contractor, as needed, if such changes are made during the contract period.

1.2.6.2 The Contractor will align their promotions with the Agency’s promotional calendar.

1.2.6.3 The Contractor shall not offer for sale products that would not pass applicable federal, state, and military inspections. Any goods or products that fail inspection shall be rejected as non-conforming.

1.2.6.4 The Contractor shall not offer for sale any products which are expired or are beyond the "sell by" or "use by" dates set by the manufacturer. In the event a bakery item does not have a manufacturer's "use by" or "sell by" date, Attachment 4, Recommended Bakery Shelf Life shall be applicable.

1.2.7 Expiration Date Codes. The Contractor shall provide expiration date codes and other codes necessary to identify in-date products on the shelf to the Commissary Officer. The Contractor is required to provide a written explanation of the code dating system to the COR for distribution to the Food Safety Inspectors within 5 days after the contract is awarded.

1.2.8 Food Recalls. In the event of a product recall by the U.S. Department of Agriculture (USDA), DeCA, or the manufacturer, the Contractor shall immediately remove all recalled items from the Deli Operations. Following the removal of the recalled product, the Contractor shall notify via email the DeCA Category Manager, Contracting Officer, and DeCA Health & Safety Directorate regarding whether any recalled product was present, and if so, the quantity removed. DeCA store management will validate the affected product has been removed.

1.2.9 Random Weight. These items are made up of bulk meats, cheeses and other items sold by weight and require additional preparation and or packaging prior to being purchased by the patron. Examples include but are not limited to sliced deli meat, cold salads, deli cheese, puddings, gelatins, salad bar, olives, etc.

1.2.9.1 DeCA PLU. To request a DeCA PLU for an item that requires a scale label, the Contractor shall provide to the DeCA Category Manager a DeCAF 40-15 with sufficient item description detail to ensure an appropriate DeCA PLU is assigned. The following product descriptions should be considered when requesting a DeCA PLU.

1.2.9.1.1 Items which are sold from the Deli Operations that become represented by a national broker under exclusive contract with the manufacturer may have their UPC codes covered with another sticker preventing the item from being scanned by the register for a specifically limited period of time as determined by the DeCA Program Manager. Written approval from the DeCA Program Manager must be obtained prior to covering the UPC code.

1.2.9.2 PLU Code. The Contractor shall ensure all products offered for sale have an industry standard manufacturer's UPC code or DeCA PLU code with product description. Products with a manufacture's UPC will not be sold with a PLU. All DeCA PLU codes shall be entered into the Government Furnished Scales and Power HQ. The Contractor shall be responsible for ensuring DeCA PLUs are loaded into the scale, until which time this function controlled at the headquarter level through the business system.

1.2.9.3 Items which are short dated may be marked down. Marked down items shall reflect a reduced price submitted to the Merchandising Specialist. No miscellaneous stickers to cover the UPC are authorized.

1.2.9.4 Non-Random Weight. These items arrive at the store pre-packaged and require no additional preparation for immediate purchase by patrons. These items have a manufacturer provided UPC code.

Examples include and are not limited to imported items, grocery items and other ethnic or regional products.

1.2.9.5 Bakery. These items require some preparation from Contractor personnel, such as thawing, addition of ingredients or final decoration. Examples include but are not limited to breads, cakes, muffins, pies and specialty items. Specialty items are wedding cakes, sheet cakes, designer cupcakes, etc., any offensive material will not be tolerated and may require adverse actions from the Contracting Officer.

1.2.9.6 Sushi. These items are primarily made up of cold rice dressed with vinegar, formed into any of various shapes and garnished especially with bits of raw seafood and vegetables, as applicable. These items will be prepared in store by trained personnel.

1.2.9.7 Ready to Heat, Ready to Eat, and Ready to Cook. These items are fully or partially prepared and provide convenience and fast alternatives to cooking restaurant food. They can be one part of a meal or a complete meal for breakfast, lunch or dinner. Examples include rotisserie chicken, side dishes, meal solutions, salad and salad bars, sandwiches, soups, pulled rotisserie chicken, cooked chicken wings, pizza, fried proteins, etc. Should the Agency develop Agency-wide recipes for these items, the Contractor will make its best effort to comply.

1.2.9.8 Sale of Same Item. From time to time, items which are from the Deli Operations, may become represented by a national broker under exclusive contract with the manufacturer. In such cases, the Commissary must obtain all of these items through the exclusive contract provided by the broker. The DeCA Category Manager will communicate the necessity to discontinue any such items. The Contractor shall discontinue selling any such item within their stock assortment within 30 days from the date of notification of the change in manufacturer exclusivity with a broker.

1.2.9 Suppliers. The Contractor's suppliers shall comply with the Country-of-Origin Labeling (COOL) requirements of the Food and Drug Administration (FDA), and be registered with the FDA for Bio Terrorism.

1.2.10 Deliveries. Delivery vehicles must be in good repair and clean. Drivers and vehicles must meet the requirements of the local installation before being allowed onto a military installation. Deliveries are subject to Government inspection before being unloaded. The Contractor may not use failure to meet any of the installation requirements or inspections as valid reason for not meeting the contract or PWS requirement.

1.2.11 New Initiatives. New initiatives by the Contractor include actions which would significantly change the appearance and offerings of the Deli Operations, or would result in a new service being provided to the patrons which may result in a request for changes to the infrastructure of the store or additional Government Furnished Equipment (GFE). Examples include but are not limited to additional or new fixtures or display cases, power, space, ventilation or other changes to the layout of the commissary floor plan.

1.2.12 The Contractor shall provide a business case for any new initiatives that it suggests to the DeCA Category Manager, for coordination through the Contracting Officer for review. The business case will detail the objectives, new equipment required, costs, and expected benefits to year over year sales growth, and how these will be measured.

1.2.12.1 The Contractor shall not proceed with any new initiatives without prior written approval from the DeCA Contracting Officer, who has sole discretion in making the decision to approve or disapprove any initiative based on the needs and best interests of DeCA and its commissary patrons.

1.2.13 Ownership of Products. Ownership of Deli Operations, products will remain with the Contractor until scanned or keyed (if not able to be scanned) at a DeCA-operated register or, in the case of products sold through e-commerce for pickup or delivery, until point-of-sale.

1.2.14 Decor. The Contractor shall acquire written or verbal (if verbal approval, Contractor must document) approval from the Commissary Officer prior to making any changes to the decor (e.g., seasonal decorations, merchandising enhancements). The Government will not reimburse the

Contractor for such items. If a Commissary develops its own merchandising or décor scheme, the Contractor will comply with those parameters.

1.2.15 Contractor Reimbursement. The Contractor and commissary store personnel shall independently reconcile sales of all items scanned through the point-of-sale system from the Deli Operations, with sales recorded on the scanning system's daily report. The contractor shall notify commissary store personnel within three business days of any discrepancies. Payment will be based on a weekly rollup of the reconciliation records by the commissary store.

1.2.16 Scales. The Contractor shall maintain current and accurate scale system product data. The Contractor shall verify and document daily the accuracy of scales using test weights. The Contractor shall not use scales that fail the accuracy test.

1.3 Mission. The Defense Commissary Agency delivers a vital benefit of the military pay system that sells grocery items at a significant savings as compared to commercial retailers, thereby enhancing quality of life and readiness.

1.3.1 Contracting Officer. The Contracting Officer is the only individual authorized to enter into, administer, change, and terminate contracts. The Contracting Officer is responsible for ensuring that all contract actions comply with appropriate laws, executive orders, regulations and other applicable procedures and approvals.

1.3.2 Contracting Officer Representative (COR). The Contracting Officer Representative is the requiring activity individual designated and authorized in writing by the Contracting Officer to perform specific technical and administrative functions in support of the contracted operation.

1.3.3 DeCA Category Manager. The DeCA Category Manager is the requiring activity individual who is responsible for identifying the requirements and managing the success of the program for Deli Operations. The DeCA Category Manager works with a team that shares the responsibility for this requirement. The DeCA Category Manager may designate a Category Management Team member as the primary point of contact for this requirement. The DeCA Category Manager, or designee, has final approval.

1.3.4 Commissary Officer. The Commissary Officer is the requiring activity individual who is responsible for overall management and operation of a commissary store to include operating within Agency policy and standards. The Commissary Officer responds to the support requirements of patrons, meets with consumer groups, and acts as the liaison for DeCA at the installation level.

1.4 Contract Performance. The Contractor shall execute its responsibilities under this contract in a manner that is consistent with the performance standards identified herein.

1.4.1 The Government shall neither supervise Contractor employees nor control the method by which the Contractor performs the required tasks. The Government will not assign tasks to, or prepare work schedules for, individual Contractor employees.

1.4.2 It shall be the responsibility of the Contractor to manage its employees and to guard against any actions that are of the nature of personal services, or give the perception of personal services. If the Contractor believes that any actions constitute, or are perceived to constitute personal services, it shall be the Contractor's responsibility to notify the Contracting Officer immediately.

2. PERSONNEL.

2.1 Contract Management. The Contractor shall establish clear organizational lines of authority and responsibility to ensure effective management of the resources assigned to each commissary store. The Contractor must maintain continuity between the support operations at each commissary store and the Contractor's corporate offices.

2.1.1 The Contractor shall provide, at all times when services are required, a designated on-site manager at each location covered by the contract who bears responsibility for the performance of all work and who has full authority to act for the Contractor on all contractual performance matters related to the daily operations at that location and for ensuring communication between the Contractor and commissary store.

2.1.2 The Contractor shall provide an adequate number of personnel possessing the customer relations skills, food handling skills, knowledge, training, licensing and certifications, and language skills needed to satisfactorily perform all work required by this contract.

2.1.3 The Contractor and the employees are responsible for following all policies, procedures, laws and regulations in effect on the military installation to include vehicle operations.

2.2 Training. The Contractor shall ensure contract personnel are trained and qualified to perform on the first day of performance and all subsequent days to support this contract and PWS requirement. The Contractor shall develop and conduct a training program for all employees that complies with the FDA Food Code. The Contractor shall maintain a list of all employees who have been trained, the type of training and date of training. This list shall be provided not later than 10 days from commencement of performance and annually thereafter to the COR for distribution to the installation medical authorities, the DeCA Area Consumer Safety Officer and the Contracting Officer. The list shall further be available for inspection at any time by Government personnel.

2.3 Removal of Personnel. The Commissary Officer or Category Manager, will contact the Contractor regarding any employee or subcontractor conduct issues, and the Contractor will establish a course of action that the Contractor will submit to the Contracting Officer for review, decision, and notification of any decision. The Contracting Officer may require removal of any Contractor personnel whose conduct is inconsistent with the best interests of the government or commissary patrons. Examples of conduct inconsistent with the best interests of the Government are: Willful destruction or mishandling of Government, patron, or vendor property; loitering; use of tobacco products in other than designated areas; unauthorized eating, grazing, or theft; acceptance of samples and gratuities; use of alcoholic beverages, illegal drugs or illegal use of controlled substances; execution of work in other than a skillful manner; displaying disruptive or unacceptable behavior (e.g., abusive, demeaning, foul or threatening language and fighting); or willful violations of safety standards by Contractor personnel. Removal of any employees for such cause will not constitute a valid basis for nonperformance of contract services or a claim for additional compensation.

2.4 The Contractor shall not employ current commissary employees without first verifying that the potential employee has obtained a written approval from the DeCA General Counsel's Office.

2.5 Security. The Contractor is responsible for ensuring all employees meet security requirements for employment within a government organization, to include National Agency Check (NAC). All Contractor personnel with access to unclassified information systems shall have at a minimum a favorable NAC.

Contractors will comply with all applicable DeCA, DOD, Military, and other regulatory guidance and instructions related to security and food defense. REAL ID will be required for all personnel where applicable.

2.6 Dress Requirements. Contractor personnel shall present a clean, well-groomed appearance at all times while performing under this contract.

2.6.1 Contractor personnel shall wear, at all times while performing on this contract, some form of professional identification, customary in industry practices, that clearly displays the employee's name and the company name.

2.6.2 Jewelry shall be kept to minimum use. Earrings should be limited to single studs, and hands should be limited to wedding bands only. Facial jewelry, such as eyebrow and nose rings, shall not be worn.

Detailed guidance is provided in DeCA Directive 40-28, Specialty Department Operations.

2.7 Contractor Employee Commissary Purchases. A Contractor employee who is an authorized commissary patron shall make no purchases during the hours the employee is working for the Contractor, except for items purchased for immediate consumption during the employee's lunch or break. The employee shall be able to provide the receipt for those items until the items are consumed.

2.8 Contractor Assistance. The Contractor shall cooperate with Governmental authorities in any administrative, civil, or criminal proceedings, including providing documentation related to employees or performance under this contract.

3. SPECIFIC REQUIREMENTS.

3.1 Year Over Year (YOY) Unit Growth. The Contractor shall use all reasonable efforts to maintain unit growth that year over year is equal to or greater than 3%.

3.2 Savings. The Contractor shall ensure that prices on each item offered at a minimum will meet or exceed a 1% savings when compared to a local grocer where applicable. This is to include random weight items and manufacture UPC items.

3.2.1 The Contractor shall ensure that the savings over retail price within the local competitive area are achieved on a daily basis. Items compared shall be the same or similar items from a commercial supermarket and or grocery operation within the local competitive area.

3.2.2 All items provided for addition to the PHQ catalog will be reviewed for savings compliance.

3.2.3 The local area is defined as within a 10-20-mile radius of the commissary store. If no competitors exist in the local area, the Contracting Officer will provide guidance on the competitive radius.

3.3 Customer Satisfaction. The Contractor shall provide high quality customer service with minimum wait times. The Contractor shall provide helpful, pleasant interactions to all patrons of the commissary and Government personnel.

3.4 Products. The Contractor shall provide a selection of products as determined by patron demand and/or current market trends and the selection will be reviewed and approved or disapproved by the DeCA Category Management team.

3.5 Reimbursement. The Contractor shall reimburse the Government for all costs incurred by DeCA to Support the Contractor’s Deli Operations under this contract. Based on current practices and billings, the required reimbursement amount shall equal Option 4. = 1.5%, or Option 5. = 2.5% of monthly gross sales revenue generated from the Deli Operations, including sale of random weight items and manufacturer UPC items. Payments shall be submitted to the Government on a monthly basis. The Contractor shall provide a detailed sales report with each reimbursement payment, identifying sales by category, location, and date. All reimbursements must be made no later than the 15th calendar day of the month following the month for which the payment is due. The Government reserves the right to audit sales records and related expenses to verify the accuracy of reimbursement calculations and ensure compliance.

3.6 Market Basket and Known Value Item (KVI) Savings. The Contractor shall ensure that daily patron savings meet or exceed 25%, based on a market basket analysis that includes Known Value Items (KVIs) and other representative items commonly purchased by commissary patrons.

3.6.1 The market basket shall consist of a representative mix of high-volume, high-frequency items, including both random weight and manufacturer UPC items, that reflect typical patron purchasing behavior. This basket shall include a subset of KVIs, which are items that patrons closely track for price comparisons and that significantly influence price perception.

3.6.2 The savings percentage shall be calculated by comparing commissary prices to the average retail prices of comparable items from at least two commercial supermarkets or grocery retailers within a 10– 20-mile radius of the commissary location.

3.6.3 If no competitors exist within the defined local area, the Contracting Officer will provide alternate guidance for determining applicable competitive pricing data.

3.6.4 The Contractor shall maintain a current list of designated KVIs and ensure these items consistently demonstrate significant savings compared to local competitors, with savings on individual KVIs meeting or exceeding competitive benchmarks.

3.6.5 The Contractor shall provide detailed documentation upon request, including item-level price comparisons, identification of KVIs, and methodology used to calculate the overall market basket savings.

3.6.6 The Government reserves the right to review and validate KVI selection and market basket methodology, and to conduct periodic independent price comparisons to verify compliance.

4. QUALITY.

4.1 Quality Control Plan (QCP). The Contractor shall provide to the Contracting Officer a QCP for their operations not later than 15 days prior to the start of performance and updated not later than 30 days in advance of each subsequent performance period, as applicable for the life of the contract.

4.1.1 The QCP shall address adherence to all applicable requirements of Federal, State and Local regulations regarding sanitation and food safety to include the FDA Food Code.

4.1.2 The QCP shall include a Hazard Analysis and Critical Control Point (HACCP) plan addressing all hot foods (e.g., rotisserie chicken, hot soups and pizza) and sushi items, where applicable.

4.1.2.1 The HACCP plan shall be updated when changes in operations occur. The HACCP plan verification procedures shall include adherence to an annual review of operations to ensure the HACCP is current and applicable to all operations.

4.1.2.2 The HACCP plan shall be routed through the DeCA Category Management Team and Area Consumer (Food) Safety Officer for compliance.

4.1.3 The QCP shall include the Government requirement for maintaining a Government furnished temperature log in accordance with food safety regulations. The logs are the property of the Government and the incumbent shall ensure the temperature logs remain with the commissary.

4.1.4 The QCP shall include the Government requirement for sushi operations where applicable to annotate the thaw date on all frozen ingredient packages utilized in the preparation of sushi. This requirement is added to the Contractor standard operation procedures and the HAACP.

4.1.5 The QCP shall address the requirement to ensure DeCA systems are updated to reflect current and accurate UPC, PLU and pricing information to include Government Furnished Equipment (e.g., scales).

4.1.6 The QCP shall ensure product is only procured from approved sources.

4.1.6.1 All products that require purchase from an approved source will require a request to the Category management team for approval and forwarding to the Contracting Officer and the Food Safety Officer for coordination of said inspection.

4.1.7 The QCP shall address training and refresher training.

4.1.8 The QCP shall address the requirements for year over year sales growth, patron savings, and product quality and customer satisfaction.

4.2 Quality Assurance Surveillance Plan (QASP). The Contractor, and not the Government, is responsible for management and quality control actions to meet the terms of the contract. The role of the Government is quality assurance to ensure contract standards are achieved.

4.2.1 The Government will inspect and evaluate the Contractor's performance to ensure services are received in accordance with requirements set forth in this contract. The Government will use a variety of surveillance methods to evaluate the Contractor's performance. The Government may unilaterally change the type and frequency of inspections, as necessary.

4.2.1.1 The COR will conduct periodic inspections, random samplings, assessments of the Contractor's QCP, and service level monitoring.

4.2.1.2 Assessment of the Contractor's QCP predominantly will be accomplished by reviewing the Contractor's inspection checklists or other documentation that identifies the areas and items inspected, the method used to inspect, the frequency of the inspection, the corrective actions taken for deficiencies identified, and the name and title of the person(s) performing the inspections. The

Government will periodically validate the Contractor's QCP as it pertains to meeting the government requirement for patron savings and year over year sales growth.

4.2.1.3 The Government will perform random price surveys to verify the Contractor is meeting the contractual patron savings. If the Contractor has not met the patron savings, the Government will immediately inform the Contractor of these findings and request the Contractor adjust the pricing to meet the patron savings.

5. ENVIRONMENTAL CONTROLS. The Contractor shall not adjust heating, ventilation and air-conditioning systems controls, unless specifically authorized to do so by commissary management personnel such as Commissary Officer, Assistant Commissary Officer or Store Manager.

6. EMERGENCY PROCEDURES.

6.1 The Contractor shall follow local commissary and installation guidance and posted plans for emergencies, such as, but not limited to, accidents, bomb threats, fire and disaster evacuations, weather emergencies, and power outages.

6.2 The Contractor shall provide a list of emergency points of contact (POC's) and telephone numbers to the Commissary Officer and Category Management Team at each commissary upon commencement of contract. The Contractor shall keep the list current at all times during the term of the contract and any changes shall be provided to the Commissary Officer and the Category Management Team prior to the effective date.

7. CONTRACT TRANSITION.

7.1 Transition. Upon notification of award to another Contractor of a follow-on contract for these operations, the incumbent Contractor shall:

7.1.1 Provide the new Contractor and Government access to the contracted operations, including all storage areas for the purpose of accessing equipment, product mix, furnishings, decor, etc.; and

7.1.2 Provide the Contracting Officer with a transition plan, no later than 15 calendar days from notification of the contract award. The transition plan shall provide at a minimum:

7.1.2.1 A list of all equipment and furnishings the incumbent intends to remove from the premises after the last day of contract performance.

7.1.2.2 A plan for the removal or sale of Contractor-owned equipment to the new Contractor coordinated with the Commissary Officer;

7.1.2.3 A list of all inventory, equipment and other items to include the terms and conditions offered to the new Contractor which the incumbent will sell or otherwise transfer to the awardee prior to midnight on the last day of performance under this contract;

7.1.2.4 A plan to conduct a joint inventory of all Government furnished equipment and supplies with the Commissary Officer;

7.1.2.5 A list of all Government equipment which requires repair or replacement;

7.1.2.6 A plan to transfer all temperature logs to the Commissary Officer on the final day of performance to include the name and contact information of the Contractor personnel who will be responsible for this action.

7.1.2.7 A plan to provide the new Contractor access to the incumbent Contractor's employees and allow for the public posting of a suitable recruitment notice at each store.

7.1.2.8 A plan coordinated with the new Contractor on actions both parties will take to ensure that the transition is seamless and transparent from the patrons' perspective.

7.2 Failure on the part of the incumbent to act according to provisions of this section will negatively impact the incumbent's past performance evaluation.

8. CONTRACTOR FURNISHED ITEMS (Contractor Equipment).

8.1 Contractor Provided Equipment - The Contractor shall furnish, install, and maintain all equipment necessary to ensure continuous, uninterrupted, effective, efficient, and high-quality Deli Operations, as outlined in this contract and the accompanying Performance Work Statement (PWS). All equipment provided must meet or exceed applicable industry standards and retail grocery expectations for deli service, food safety, and operational performance. Equipment furnished by the Contractor remains the property of the Contractor and shall be provided at no additional cost to the Government. The Contractor is solely responsible for the procurement, upkeep, repair, replacement, and personnel training for all equipment required to support these operations.

8.1.1 Equipment Maintenance and Repair - The Contractor is solely responsible for performing all preventive, routine, and corrective maintenance (including replacement, as applicable and appropriate) on Contractor-furnished equipment. This includes, but is not limited to, maintaining the equipment in proper working condition and ensuring compliance with all applicable standards and safety regulations.

Equipment shall be kept clean, safe, and functional at all times. Any repairs, replacements, or downtime due to equipment failure shall be absorbed by the Contractor at no additional cost to the Government.

8.1.2 Notification Requirements - The Contractor shall notify the Commissary Officer and Contracting Officer in writing of any equipment failures or issues that may affect operations. The notification must include the following:

• Equipment Description

• Serial Number or Bar Code (if applicable)

• Commissary Location

• Brief description of malfunction or issue

In cases where Contractor-furnished equipment affects product integrity or customer safety, the Contractor shall immediately notify the Store Administration and coordinate any required inspections.

8.2 Equipment Approval and Facility Modifications - All Contractor-owned equipment proposed for use on-site must be reviewed and approved in writing by the Commissary Officer and Contracting Officer’s Representative (COR) prior to installation. The Contractor’s request shall:

• Identify the equipment to be installed

• Identify any requested facility modifications to accommodate the equipment

The Government will evaluate the feasibility of proposed changes. If approved, the Commissary Officer will initiate any necessary facility modifications to Government property.

8.3 Responsibility and Liability - The Government will not be liable for any loss, damage, or destruction to Contractor-owned equipment, supplies, or materials stored or used on Government property due to fire, theft, accident, natural disasters ("acts of God"), or other causes, unless determined to be the result of Government negligence. The Contractor is responsible for insuring its equipment and property against such losses.

8.4 OSHA and related Compliance - All Contractor-furnished equipment shall comply with all applicable Occupational Safety and Health Administration (OSHA) laws, regulations, and standards, and all other laws, regulations, and standards. The Government reserves the right to require the immediate removal from commissary premises of any Contractor equipment that:

• Does not comply with applicable laws, regulations, and OSHA standards

• Is not used for its intended purpose

• Is determined to pose a hazard or unacceptable risk to commissary patrons, personnel, facilities, or property

8.5 Secure Storage - The Government will provide a reasonable amount of secure storage space for weekly contractor supplies, subject to availability. The Contractor shall be responsible for the security, cleanliness, and organization of their supplies within the provided space.

8.6 Product Exposure to Unsafe Temperatures - The Contractor is responsible for the proper handling, care, or disposal of its products that are exposed to unsafe temperatures.

8.6.1 Government Notification - The Government shall notify the Contractor immediately upon discovery of any Contractor product that has been exposed to unsafe temperatures.

8.6.2 Contractor Notification - The Contractor shall notify Store Management such as Commissary Officer, Assistant Commissary Officer and Store Manager, immediately upon discovery of Contractor product exposed to unsafe temperatures.

8.6.3 Military Food Inspector Coordination- In cases of temperature exposure, the Contractor shall submit a written request coordinated through Store Administration for a Military Food Inspector to inspect the affected product.

9. Claims. The Contractor shall provide when submitting a contractor claim the following: Signed Military Food Inspector (MFI) Report, DA Form 7538 VET Inspection Report, (MEDCOM Form 817), Memorandum or Statement of Record from Government personnel at the stores verifying the occurrence, Temperature logs, Government Notifications: GPLD Report or DeCA Interest Report (DIRep), (Store OPS/CORS), Pictures of the location or product loss, Equipment Work Order Report or Equipment Downtime Leger (DeCA Form 40-30), Service Call Register (DeCA Form 40-27).

10. APPLICABLE PUBLICATIONS AND DIRECTIVES. The Contractor shall comply with the following mandatory references as applicable and implemented updates or changes specified by these publications when issued. DeCA Directives (DeCADs) may be found at https://corp.commissaries.com/our-agency/official-publications/directives

• USFDA, US Public Health Service, Food Code https://www.fda.gov/food/retail-food-protection/fda-food-code

• CFR 29, Occupational Safety and Health Administration Standards (OSHA) US Department of Labor www.osha.gov

• DOD 5500-7-R, Joint Ethics Regulation www.defenselink.mil

• NSF, National Sanitation Foundation International www.nsf.org/usda TB MED 530/NAVMED P-5010-

1/AFMAN 48-147 IP

https://armypubs.army.mil/epubs/DR_pubs/DR_a/pdf/web/ARN15052_TB_MED_530_FINAL.pdf Public Health DeCAM 30-25.1.

The following publications are incorporated for advisory purposes only:

• DeCAD 30-18, Defense Commissary Agency Security Programs

• DeCAD 40-5, Grocery Department Operations

• DeCAD 40-6, Front-End Department

• DeCAD 40-28, Specialty Departments Deli, Bakery, Seafood, Plants, Etc.,

• DeCAH 20-7, The Environmental Conservation Handbook

• VETCOM, Directory of Sanitarily Approved Food Establishments for the Circular 40-1, Armed Forces Procurement http://vets.amedd.army.mil/f