FINAL SOL-367-14-000001 AMENDMENT 1.pdf

SOLICITATION SOL-367-14-000001 AMENDMENT #1

AMENDMENT 1 -- Part I: FTF Business Literacy RFP Questions and Responses

1) There is a target of 48,000 beneficiaries trained, but the attrition rate is not the same in all districts. How should attrition be accounted for in the Business Literacy Program?

Answer: The Contractor must estimate attrition according to what would be necessary to reach the targets of the project and incorporate the expense of attrition at appropriate stages and price line items.

USAID/Nepal has estimated a 7% attrition rate at each stage of based on previous experience through the Education for Income Generation (EIG) Program and other projects.

As per RFP Section C.4.1.1.1.f:

Business Literacy Program Pre-Test 72,035 Module 1 Training materials and Test 67,322 Module 2 Training materials and Test 62,918 Module 3 Training materials and Test 58,802 Module 4 Training materials and Test 54,955 Module 5 Training materials and Test 51,360 Business Literacy Program Post-Test 51,360 Training of Trainers Manuals 2,300 Sets of Guide Books, one for each of the five Modules 2,300

As per RFP Section C.4.1.3. Activity 3

“In order to receive full price Contract payment, the Contractor must anticipate and plan for attrition or Module tests failures of approximately 7%. This means the Contractor must plan for greater numbers of trainees, printed materials, classroom materials, etc., to reach the target completion of 48,000.”

2) Could beneficiaries be school dropouts or semi-literate? Do all beneficiaries have to participate in all modules even if they are semi-literate?

Answer:

Beneficiaries can be school dropouts or semi-literate. This could be addressed in the Beneficiary Selection Criteria, which is one of the Activity 3 contract deliverables. As per RFP Section C.4.1.3, “The Contractor must develop and apply a Beneficiary Selection Criteria and criteria weighting in consultation with KISAN and the COR. Minimum required criteria includes: vulnerable groups and individuals with high poverty levels. Vulnerable individuals and groups include disadvantaged castes, youth, women, ethnic minorities, and the landless. The Contractor will prepare a rationale for additional criteria for such things as geographic equity, limited landholdings, seasonal considerations, and the degree to which the selection aligns with and complements KISAN activities.”

All beneficiaries must start with Module 1 of the training program.

3) What is the difference between the pre- and post-tests? Why are these all required to be delivered before field implementation? You are not learning from the field if you require all these tests and modules before the start of trainings.

Answer:

The contract requires several different pre- and post-tests.

Pre-and Post-Program Tests are important to determine the degree to which beneficiaries are able to recognize, read and write Nepali consonants and vowels; read and write simple sentences; recognize and write numbers from 1-100; and perform simple addition, subtraction, and multiplication in appropriate life contexts before and after receiving training.

Please refer to RFP Section C.4.1.1.1.a for more information.

Pre-and Post-Module Tests are important to determine the degree of impact the training in the respective Module has on specific beneficiary skills in the respective areas of Module instruction. Please see RFP Section C.4.1.1.1.b for more information.

As per RFP Section C.4.1.3.1.c, “In accordance with the Contract requirements, the Contractor shall conduct and grade a Business Literacy Program Pre-Test to beneficiaries prior to the commencement of Module 1 training.” As per RFP Section C.4.1.3.1.e, “In accordance with the Contract requirements, the Contractor shall conduct a Business Literacy Program Post-Test to beneficiaries following the completion of Module 5 training.

This test must be administered and graded no later than 5 days following the completion of each Module 5 training course.”

4) (i) Are management burden and overhead (e.g. rent) covered from costs?

(ii) The cost set aside for Management Burden still requires clarification. Does this cost include the cost of the Project Manager?

Answer: This will be a firm fixed price contract as stated in the “Cover Page” and RFP Sections B.2 and L.6. As a result, payments will be made in accordance to the deliverables in the RFP under Section F.4 and “ATTACHMENT 5-PRICE SCHEDULE AND PAYMENTS TERMS”. Therefore, expenses related to the project must be prepared as per RFP Section L.11 “INSTRUCTIONS FOR THE PREPRATION OF THE PRICE PROPOSAL,” which may include management burden and overhead. All expenses, such as management burden, overhead, staffing, etc., and profit must be allocated as a consolidated price for each of the contract line items. Offerors must use the Price and Payment Schedule to indicate price by respective line item.

5) How feasible is it to have 2,000 community facilitators and approximately 24 participants in classes at each beneficiary site? Some literacy classes in remote areas of Nepal have far fewer participants.

Answer: Class sizes are not scripted. Based on USAID’s past experience in similar projects, there has not been a problem in finding 20 to 25 beneficiaries per class. In USAID/Nepal’s recent previous experience for similar programs, there was a heavy demand for literacy programs and the classes were often oversubscribed.

6) (i) Are the 150 Master Trainers per year or total?

Answer: The minimum of 150 Master Trainers is the total for the life of the project. As per RFP Section C.4.1.2, “The Contractor must establish qualifications for, recruit, and employ a minimum of 150 Master Trainers and 2,000 Community Trainers.”

(ii) During free time, can the Master Trainers be mobilized for the project or other purposes, such as a Community Mobilizer?

Answer: Yes, it is allowed for Master Trainers to be mobilized for other purposes. However, Offerors must be aware and take into consideration how mobilization of Master Trainers for other purposes affects the Offeror’s price. Please note that the contract will be firm fixed price utilizing “Lowest Price Technically Acceptable” procedures (RFP Cover Page, Sections M.1.1 and M.2). As a result, the Offeror’s price plays a critical role in making an award decision to the “Lowest Price Technically Acceptable” proposal.

(iii) The RFP has estimated 150 Master Trainers to train 2,000 Community Trainers.

What is the basis for this figure of 150 Master trainers?

Answer: There is no specific, scripted correlation. The figure of a minimum of 150 Master Trainers allows the Contractor flexibility for Community Trainer training delivery.

7) Does the M&E system need to be done through KISAN or is it standalone for the

USAID/Nepal Business Literacy Program?

Answer: Yes, there is a specific M&E MIS database that is required as per RFP Section C.6.1.2. Performance-based data must be collected and tracked by the Contractor, which is the reason for requiring the M&E Plan. As per RFP Section C.6.1.2, “As a component of the M&E Plan and implementation, the Contractor must develop an information management system that will be the primary tool for monitoring program impact and progress on indicators and reporting to USAID/Nepal. This will be a new database exclusive to the activities under this contract. The database must be compatible with USAID/Nepal’s management systems in that the database includes fields of information that are required by USAID for reporting purposes.”

The Contractor is not responsible for collecting baseline data for the required indicators.

Baseline data will be collected through a separate third party mechanism. Upon completion, the baseline survey report will be provided to the Contractor.

8) How detailed should the financial breakdown be for the financial and budgeting sections and budget justifications?

Answer: Please review RFP Sections L.11.4 and L.11.8 thoroughly for information and guidance on the “financial breakdown” in the preparation of the Price Proposal.

9) (i) Is one Community Trainer required per class?

Answer: Yes, one Community Trainer is required per class. As per RFP Section C.4.1.2, “…The Contractor must employ …a minimum of 2,000 Community Trainers…”

(ii) What is the ratio of trainers and trainees??

Answer: As per RFP Section C.4.1.2, “Each Community Trainer is a long-term activity employee responsible for delivering all five modules of business literacy training to a minimum of approximately 24 beneficiaries at the Village Development Committee (VDC) level over a one year period.”

10) Regarding Gender and Social Inclusion (GESI), should staff be hired from the project’s geographic area?

Answer: Hiring staff from the same geographic area as the USAID/Nepal Business Literacy Program is not required. The Offeror’s GESI for recruitment of staff, particularly trainers, must be included as a narrative in the Management Plan draft required with the proposal (See RFP Section L.10.5, Part C and Section C.6.2).

Also, as per RFP Section C.8.5, “Contractor local staff must be fluent in Nepali, and/or other languages indigenous to Nepal, and have the appropriate qualifications and experience...”

Further, as per RFP Section L.10.8, “In carrying out this activity and its various interventions, the successful Offeror must take into consideration gender and social inclusion issues, both in its operations and in its outcomes, so that the successful Offeror will meet the objective of increasing resilience of vulnerable communities and households…

The Offeror must submit an original, thoughtful and succinct 3-page narrative describing the ways in which the Contractor will incorporate GESI into the performance of this contract. The content of this submission must include reference to how the Contractor will incorporate GESI into…:

1. Development of literacy training materials

2. Instruction of trainers

3. Recruitment of beneficiaries

4. Instruction of beneficiaries

5. Logistics of training delivery

6. Monitoring and Evaluation…”

11) What is the role of Winrock and the Knowledge-Based Integrated Sustainable

Agriculture and Nutrition (KISAN) Program in the USAID/Nepal Business Literacy Program? What are the opportunities for the USAID/Nepal Business Literacy Program implementer to obtain support from KISAN?

As per RFP Section C.5.2 (1), “A separate contract has been awarded for the implementation of Component A and B which integrates agriculture and nutrition interventions. Since Component C will target beneficiaries in the same geographic areas as the KISAN program, the Contractor must coordinate with Winrock International, the Contractor responsible for the KISAN program, to identify a list of vulnerable households and beneficiaries after award of the program. The Contractor for the KISAN program will be responsible for overall coordination of other FTF activities and will also be required to coordinate with the Contractor for the Business Literacy interventions. The KISAN program has set side office space (room[s]) for the USAID/Nepal Business Literacy Program. For better coordination between these programs in districts where the Contractor does not already have existing office space, the USAID/Nepal Business Literacy Program must co-locate its office space with KISAN offices. See Section J Attachment 14 for current KISAN program office locations for most districts. The Contractor will consult with the KISAN program to determine the locations for the other offices in the remaining districts.”

Offerors can design their projects so that benefits can be derived from KISAN and other working agencies. The USAID/Nepal Business Literacy Program is specifically designed to increase the resilience of vulnerable communities and households through skills development and to complement KISAN’s agriculture and income generation interventions.

12) (i) Are subcontracts and joint ventures allowed?

(ii) Will it add value to partner with organizations in a certain area?

Answer: Yes, subcontracts and joint ventures are allowed. Only the Offeror can determine whether partnering and subcontracting will enhance the Offeror’s competitiveness and improves its capabilities (RFP Section L.2 “Joint Ventures-Eligibility and Submission Requirements”). USAID/Nepal expects that partnerships will be necessary to carry out all project activities and reach the 20 districts. However, RFP Section H.2 “Limitation on Subcontracting to Non-Local Entities” must be adhered to.

(iii) Is there any limitation on the number of subcontractors?

Answer: Offerors must be aware and take into consideration how the number of subcontracts affects the price. Please note that the contract will be firm fixed price utilizing “Lowest Price Technically Acceptable” procedures (RFP Cover Page, Sections M.1.1, and M.2). As a result, the Offeror’s price plays a critical role in making an award decision to the “Lowest Price Technically Acceptable” proposal.

(iv) Is it allowed to include a provision for a subcontractor in the proposal if a specific entity is not identified?

Answer: No. The specific subcontractor must be identified in the proposal. Please see RFP Sections C.6.3, L.2, and L.10.3 (g). RFP Section L.10.3 (g) summarizes the requirements in Sections C.6.3 and L.2 which states, “Identification of entities tasked with the completion of the activity (i.e. Contractor, subcontractor, etc.) and descriptions of their respective roles and responsibilities.”

See also RFP Section H.2 “Limitation on Subcontracting to Non-Local Entities.”

(v) Can Government of Nepal (GON) agencies be identified as a subcontractor?

The Agency’s Automated Directives System provides policy guidance on subcontractor with host country governments. This guidance is found at ADS 303.3.3 paragraph b. of this section.

http://www.usaid.gov/sites/default/files/documents/1868/302.pdf

If an Offeror contemplates subcontracting with the GON, the Offeror must document rationale according to the following as excerpted from ADS:

b. Guidance for review of proposed subcontract awards to foreign governments.

COs should consider the following items before contracting or subcontracting with a foreign governmental organization:

(1) Audit and accounting systems. Will the organization allow access to their books and records if USAID requires an audit provision in the contract?

(2) Reasonableness of cost/price. How will the CO determine the price/cost reasonableness?

(3) Taxes. How will taxes be handled if they are required? FAR 52.229-7 and 52.229-9 address taxes under USAID contracts with foreign governments.

(4) Termination. Will the organization agree to contract termination provisions?

(5) Host country contribution. Would it be appropriate for the foreign governmental organization to provide some or all of the goods or services as part of its contribution under the Development Objective Agreement?

(6) Host country salary supplementation. As a general rule, USAID discourages salary supplements, except in very special circumstances and only with the proper justification.

(7) Clauses. In cases when a mandatory clause may not be applicable, COs must obtain Head of Contracting Agency approval for a deviation. Offerors must cite necessary deviations.

13) (i) Are subcontracts with International Consultants allowed?

Answer: Yes, subcontracts with International Consultants are allowed under this solicitation.

However, Offerors should keep in mind that subcontracts with International Consultants may result in higher price. However, RFP Section H.2 “Limitation on Subcontracting to Non- Local Entities” must be followed during the preparation of the proposal. Please note that the contract will be firm fixed price utilizing “Lowest Price Technically Acceptable” procedures (RFP Cover Page, Sections M.1.1, and M.2). As a result, the Offeror’s price plays a critical role in making an award decision to the “Lowest Price Technically Acceptable” proposal.

(ii) Any scope of involving international consultant as technical support during the preparatory phase?

Answer: Yes, International Consultants are allowed for proposal preparation. However, Offerors should keep in mind that subcontracts with International Consultants may result in higher price. Please note that the contract will be firm fixed price utilizing “Lowest Price Technically Acceptable” procedures (RFP Cover Page, Sections M.1.1, and M.2). As a result, the Offeror’s price plays a critical role in making an award decision to the “Lowest Price Technically Acceptable” proposal.

Offerors note that this RFP does not authorize any pre-award expenses that an Offeror may incur in the preparation of its proposal.

14) Is USAID/Nepal establishing the criteria for beneficiary selection of 48,000 beneficiaries among 160,000 KISAN households?

Answer: The Contractor must develop the beneficiary selection criteria. As per RFP Section C.4.1.3, “The Contractor must develop and apply a Beneficiary Selection Criteria and criteria weighting in consultation with KISAN and the COR. Minimum required criteria includes:

vulnerable groups and individuals with high poverty levels. Vulnerable individuals and groups include disadvantaged castes, youth, women, ethnic minorities, and the landless.

The Contractor will prepare a rationale for additional criteria for such things as geographic equity, limited landholdings, seasonal considerations, and the degree to which the selection aligns with and complements KISAN activities.”

As per RFP Section C.4.1.3.1.a, “Following required consultations and consistent with the requirements of the Contract, the Contractor must document its methodology, rationale and conclusions on beneficiary selection criteria. The Contractor must submit draft criteria to the

COR for review and acceptance, make changes in consultation with the COR, and submit a Final Beneficiary Selection Criteria for written COR acceptance for payment...”

As per the deliverables schedule in RFP Section F.4 and the Gantt chart in Attachment 16, the draft Beneficiary Selection Criteria is due no later than 7 months from the effective contract date and the final Beneficiary Selection Criteria is due no later than 8 months from the effective contract date.

15) How can smaller organizations network and partner with other more experienced organizations by the January 13 submission deadline?

Answer: USAID/Nepal sent the list of organizations and contact information to all prospective, registered Offerors who attended the pre-proposal conference held on December 13, 2013. Small organizations are encouraged to network with these organizations.

16) What is the value of the contract?

Answer: The value (total estimated price) of the contract will be determined through this competition. The Government’s Independent Cost Estimate cannot be disclosed to the general public. It is up to the prospective Offerors to calculate and determine its total price for performing the work described in this project.

There are three line item price ceilings provided in “ATTACHMENT 5 - PRICE SCHEDULE AND PAYMENT TERMS” under “General and Administrative Requirements” for the line items “(i) Management Burden for the line item price not to exceed $210,000; (ii) Implementation of Branding Implementation and Marking Plan and Outreach and Communications Plan for the line item price not to exceed $150,000; and (iii) M&E Plan Implementation (includes M&E Key Personnel expense) for the line item price not to exceed $210,000.”

The contract will be firm fixed price as stated in the Cover Page, RFP Section B.2, and RFP Section L.6.

17) What is the project start date?

Answer: The estimated award start date is April 2014.

18) What are the criteria for the cost development of the project?

Answer: The RFP states that the evaluation will be based on “Price” and not on cost. Price means cost plus any fee or profit. Please follow the instructions in RFP Section L.11 “INSTRUCTIONS FOR THE PREPARATION OF THE PRICE PROPOSAL” while preparing the price proposal.

19) Is there any flexibility on the figures for those not mentioned as indicators? Figures mentioned as indicators includes number of beneficiaries trained. Figures mentioned in the RFP such as number of Master trainers, number of Community trainers are not the indicators. The reason to ask this question is the number of individuals such as community trainers could be less if the trainers are used for second time community training as well.

Answer; Yes, the Offeror can propose using one Community Trainer for more than one literacy class if the classes are held at different times and locations.

The number of direct beneficiaries is what is being tracked under Indicator 4.5.2-7 (ATTACHMENT 11): "Number of individuals who have received USG supported short term agricultural sector productivity or food security training".

20) Is there any flexibility within the Gantt chart without compromising the specified start and end date of a particular activity in order to ensure the quality?

Answer: Yes, there is some flexibility on when the Contractor works on various activities.

However, the Contractor must submit the activities, tasks and deliverables according to the specific due dates in RFP Section F.4. Please also refer to the “PRICE SCHEDULE AND PAYMENT TERMS” in “ATTACHMENT 5” for additional information.

21) Having attended the pre-proposal conference and gone through the project document, we wanted to know if there is a format or template for the proposal that we are about to send?

Answer: Regarding the technical proposal format, please refer to RFP Section L.10 “INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL”. As per RFP Section L.10.d, “Each section of the technical proposal must be clearly identified according to the Table of Contents that follows:

1. Technical Proposal Cover page (limit 1 page)

2. Table of Contents (limit 1 page)

3. Part A: First Year Draft Annual Work Plan (5 pages)

4. Part B: Monitoring and Evaluation Plan Outline (limit 3 pages)

5. Part C: Management Plan (limit 4 pages)

6. Part D: Outreach and Communication Plan and Branding Implementation and

Marking Plan (limit 3 pages)

7. Part E: Past Experience and Current Capabilities (limit 4 pages)

8. Part F: Gender and Social Inclusion Summary Statement (1 page)”

Regarding price proposal format, please refer to RFP Section L.11 “INSTRUCTIONS FOR THE PREPARATION OF THE PRICE PROPOSAL”. As per RFP section L.11.f, “Each section of the price proposal must be clearly identified according to the Table of Contents that follows:

1. Price Proposal Cover page (limit 1 page)

2. Table of Contents (limit 1 page)

3. Part A: Standard Form (SF) 33 (required form provided)

4. Part B: Proposed Price, Price Schedule and Payment Terms (Section J

Attachment 5 form)

5. Part C: Representations, Certifications, and Other Statements of Offerors

(Section K.7 required form provided) and Lobbying Certification (see Attachment 8)

6. Part D: Evidence of Responsibility (exempt from page limit)

7. Part E: Letters of Commitment from Subcontractors (exempt from page limit)

8. Part F: Price Narrative for General and Administrative Requirements (4 page limit)”

22) The sequence of five modules listed in the RFP document page 10 does not correspond with the modules listed in Attachment 16 (Gantt Chart) and Attachment 5 (Price Schedule and Payment Terms). As these sequencing have relationship with budget preparation under various heading, please clarify on what is to be followed in terms of number and sequencing?

The sequence of Modules is correct in Section C.4.1.1 as follows:

1. Module 1: Literacy and Numeracy

2. Module 2: Nutrition Education

3. Module 3: Life Skills

4. Module 4: Entrepreneurial Skills

5. Module 5: Access to Finance

The required delivery sequence has been corrected in Section F.4, Attachment 2 (Sample Marking Plan Chart), Attachment 5 (Price Schedule and Payment Terms), and Attachment 16 (Gantt Chart).

Attachments 2, 5, and 16 are included in this Amendment and Offerors must use these revised attachments when submitting proposals.

23) Is any specific percentage set aside for profit and contingencies in the budget?

This is not clear in the RFP.

Answer: No. Please follow RFP Section F.4 and “ATTACHMENT 5-PRICE SCHEDULE AND PAYMENT TERMS” for the deliverables and payments for each of these deliverables under the contract. Further, please follow in the guidance in RFP Section “L.11 INSTRUCTIONS FOR THE PREPARATION OF THE PRICE PROPOSAL” while preparing the price proposal.

All costs, profit and contingencies must be incorporated in each line item in the Offeror’s price proposal, Attachment 5 – Price Schedule and Payment Terms. The Offeror is prohibited from adding line items. Alterations to the form such as adding additional line items may result in the Offeror being disqualified from consideration.

24) The RFP proposes 10 districts for the first year. What is the basis for this?

Answer: The RFP requires an aggressive implementation schedule in which training commences in a minimum of 10 districts in the first year. As noted in the deliverables table in RFP Section F.4, and the Gantt Chart (Attachment 16), by the end of 9 months from the contract effective date, Master Trainers must be trained for delivery to Community Trainers in at least 10 districts and Community Trainers trained for delivery to beneficiaries in at least 10 districts. The 16-week Module 1 course must be delivered to beneficiaries in 10 districts by no later than the end of 14 months following the effective date of the contract.

Offerors are not prohibited from proposing to accelerate the delivery schedule as per the Gantt chart which indicates the latest dates by which modules and testing must be completed.

25) The RFP solicits a certified Chartered Accountant as key personnel to look after the financial matters for the three-year period. This is rather unrealistic considering the cost factor availability of a Chartered Accountant. Can a person with extensive financial background work under the supervision of the CA?

Please clarify.

Answer: As per RFP Section C.8.1.2, “…Chartered Accountant is preferred…” and is not required for the position of Finance Manager.

26) The RFP does not mention the age for joining the literacy program – minimum and maximum age. This needs to be clarified if age factor is taken into account for the target beneficiaries.

Answer: There is no minimum or maximum age for this program. Youth, defined as ages 16-30, are considered among the vulnerable groups and target beneficiaries for this program. Offerors should consider the likelihood of attrition of the selection of beneficiaries unable to benefit from the later Modules on Entrepreneurial Skills and Access to Finance.

As per RFP Section C.4.1.3, “…The Contractor must develop and apply a Beneficiary Selection Criteria and criteria weighting in consultation with KISAN and the COR. Minimum required criteria includes: vulnerable groups and individuals with high poverty levels.

Vulnerable individuals and groups include disadvantaged castes, youth, women, ethnic minorities, and the landless...”

27) Can annexes be added to the list of documents?

Answer: Only those annexes requested by the RFP will be reviewed. Some annexes do not count against the page limit as follows:

As per Section L.10, the following documents are required for the technical proposal, but do not count toward the page limits:

Part B, M&E Plan: Logical Framework (RFP Section L.10.4) Part C, Management Plan and Key Personnel: Organizational Chart (RFP Section

L.10.4) Part C, Management Plan and Key Personnel: Key personnel supporting documents including CVs, signed letters of commitment, and references (RFP Section L.10.4)

As per RFP Section L.11, the following documents are required for the price proposal, but do not count toward the page limits:

Part D: Evidence of Responsibility (RFP Section L.11.6) Section E: Letters of Commitment from Subcontractors (RFP Section L.11.7)

AMENDMENT 1 -- Part II: Attachments to this Amendment

Due with proposal: Attachment 2 Sample Marking Plan AMENDMENT 1 (Word Version) Due with proposal: Attachment 5 Price Schedule and Payment Terms AMENDMENT 1 (Excel) Due with proposal: Attachment 16 Gantt Chart for Activities 1-3 AMENDMENT 1 (Excel) Price Proposal Checklist for Offerors (Word) Technical Proposal Checklist for Offerors (Word) Power Point Presentation from December 13, 2013