Q A_DOCUMENT_SOL-514-15-000003_January_26 _2015.docx

SOL-514-15-000003 - Rural Financial Services (RFS)

QUESTIONS & ANSWERS DOCUMENT

January 26, 2015

TECHNICAL

1. Are there any data available on the rates of loan repayments of financial intermediaries operating in the designated areas for the last years available?

This is part of the contextual information that potential bidders will need to gather and analyze to enrich their technical proposal.

2. What have been the annual costs per $ lent and per $ outstanding loan portfolio of the main financial intermediaries operating in the area?

This is part of the contextual information that potential bidders will need to gather and analyze to enrich their technical proposal.

3. What have been the actual lending interest rates (nominal and real) applied by the main financial intermediaries in the target implementation areas in the last years.

This is part of the contextual information that potential bidders will need to gather and analyze to enrich their technical proposal.

4. Is there any experience in introducing Hybrid financial products in the target implementation areas (e.g. a combined product of loan and put option on the selling price of the product, such as coffee, to ensure high rate of loan repayments and a more stable income to growers).

This is part of the contextual information that potential bidders will need to gather and analyze to enrich their technical proposal.

5. Is there any attempt/experience in introducing weather insurance based on objective criteria (e.g. indemnity paid when rainfall in a well-defined area is substantially below the region's annual average and the premium paid reflects real actuarial values).

This is part of the contextual information that potential bidders will need to gather and analyze to enrich their technical proposal.

6. RFS expected results under Component 2 include by year 5 of the contract at least 85% utilization rate of the USAID DCA guarantees in rural areas targeted by RFS. USAID anticipates signing a number of DCA agreements with PFIs, can USAID provide the estimated total value of the DCA agreements?

USAID is currently assessing the Colombian market in order to determine the size of the DCA guarantee. This information is not available yet. For further information about USAID DCA guarantees please visit the following link http://www.usaid.gov/what-we-do/economic-growth-and-trade/development-credit-authority-putting-local-wealth-work.

7. Could USAID please clarify the difference between the 12 MOUs signed under Component 1 and the 8 MOUS signed under Component 2? Does USAID expect the implementer to establish a total of 20 MOUs?

At least 12 MOUs in Component 1 and at least 8 MOUs in Component 2 are results expected as stated in the Solicitation. MOUs in Component 1 are related to activities implemented in order to strengthen the intermediation capacity of Financial Intermediaries. MOUs in Component 2 are related to the agreements established to implement incentive and challenge grants.

8. M.3 Evaluation Factors, Sub-Factor I. Technical Approach, states that in its review of the case study, the Government will evaluate how the offeror proposes to manage risk, among other factors. Does risk refer to risk for the PFIs, or implementation risks such as security? Should the offeror address both in its case study?

Offerors should address security and financial risks in marginalized areas as well as any other risk identified by the offeror as deemed appropriated based on its own research and technical approach.

9. Component 1 indicates that memoranda of understanding will be signed with 12 PFIs, and Component 2 calls for memoranda of understanding to be signed with eight PFIs. Could USAID please clarify the difference in purpose between these two sets of memoranda?

See answer to question 7.

10. Does USAID anticipate that there may be memoranda of understanding with the same or with different PFIs under Component 1 and Component 2?

Depending on the type of activities and the level of specifics in the MOUs, they can be signed with the same entity for components 1 and 2.

11. Would USAID please advise whether the Equity Finance Program is a current or anticipated program, and would USAID please describe the scope of work of the program?

At this point USAID can only disclose what is stated in the solicitation “The selected Contractor will coordinate closely with the USAID’s Equity Finance Programs”

12. Can USAID please explain what it means by Expected Result #3 (ref. Section C.4.3, p. 23), “A system to leverage medium and long-term resources for financial intermediation is in place”? Is this proposed “system” a public system? Or could the word “system” be replaced by either “mechanism” or “methodology”? Further, are the medium and long-term resources envisaged under this result meant to be financed with public resources?

It is a system that already exists but needs improvement; it channels public and private resources. This is part of the contextual information that potential bidders will need to gather and analyze to enrich their technical proposal.

13. Considering the uncertainty of where RFS will be able to implement, and thus how many municipalities will be reached, would USAID consider reducing the result of disbursing $500 million over the life of the program, and can USAID clarify if this amount is for loans only, or includes the mobilization of other financial services included in this RFP as well?

The $500 million target includes mobilization of a variety of formal financial services and not only credit. This target is conservative given the difficulties observed in potential municipalities that will benefit from RFS. USAID does not plan to reduce it. The RFP will be amended to read as follows: “At least 200,000 new clients in marginalized rural areas of Colombia with a total mobilization of at least $500 million in formal financial services”. This language will be amended in all sections accordingly.

14. The evaluation criteria in Section M, p. 110 state that the offeror will be evaluated on their approach to achieving 5 results:

However, grouped under higher level results (Improved Rural Financial Intermediation, Reduced Barriers to Rural Financial Services, Modernized Financial Environment, etc.), Section C includes additional results (under Results and Deliverables), including the effective use of formal financial products by rural clients, creation of a system to leverage medium and long-term resources for financial intermediation, and creation of new capital markets instruments. We understand the latter (capital markets instruments) to be distinct from the ten new financial products and services that the offeror is meant to design for new formal financial sector clients in selected rural areas. Would USAID please:

a. Confirm that the target for new capital markets instruments is separate from the target of 10 new financial products and services for clients in underserved areas?

Yes it is different. Capital markets instruments are mentioned in Component 3 which is related to windows of opportunity for specific regulatory changes whereas the 10 new financial products/services are related to components 1 and 2.

b. Clarify the results against which the offeror's proposal will be evaluated and provide a draft logical framework?

The overall results against which the offeror’s proposal will be evaluated are listed in section M of the solicitation, which encompass the specific results listed under each component in section C. The logical framework is not available. However, in order to clarify, components 1 and 2 have been split up from an operational point of view having component 1 focused on technical assistance and component 2 focused on the two types of grants. In terms of purpose, both components aim at strengthening the financial intermediation capacity to service rural entrepreneurs, advance and incorporate new and innovative products that respond to market demand and extend the frontier of formal financial services.

CONTRACTUAL

1. What is TBD?

It means “To be determined”.

2. Section H.7 (page 48) states that salary ranges for all the professional positions in this contract will be established based on market value. However the same clause later states that all Cooperating Country Nationals (CCNs) and Third Country Nationals (TCNs) salaries must not exceed the Local Compensation Plan (LCP).

Further on, Section L.4 (pages 90-91) voices concerns about the pay of professional employees stating that “it is…in the Government’s best interest that professional employees…be properly and fairly compensated.” This section requires offerors to submit a total compensation plan setting forth salaries and fringe benefits proposed for professional employees who will work under the contract.

Please confirm that salaries for CCNs and TCNs are not limited to the LCP as provided in Attachment 4 of the RFP, and that offerors are to submit salaries in line with their proposed total compensation plan.

Salaries for CCNs and TCNs are limited to the LCP unless approved by the Mission Director. In accordance with AIDAR 722.170, 722.170(a), Employment of third country nationals (TCN’s) and cooperating country nationals (CCN’S), “it is USAID policy that cooperating country nationals (CCN’S) and third country nationals (TCN’s), who are hired abroad for work in a cooperating country under USAID-direct contracts, generally be extended the same benefits, and be subject to the same restrictions as TCN’s and CCN’s employed as direct hires by the USAID Mission. Exceptions to this policy may be granted either by the Mission Director or the Assistant Administrator having program responsibility for the project.” (TCN’s and CCN’s who are hired to work in the United States shall be extended benefits and subject to restrictions on the same basis as U.S. citizens who work in the United States.)

Furthermore, AIDAR 722.170, 722.170(b) Compensation states that “Compensation, including merit or promotion increases paid to TCN’s and CCN’s may not, without the approval of the Mission Director or the Assistant Administrator having program responsibility for the project, exceed the prevailing compensation paid to personnel performing comparable work in the cooperating country as determined by the USAID Mission. Unless otherwise authorized by the Mission Director or the Assistant Administrator having program responsibility for the project, the compensation of such TCN and CCN employees shall be paid in the currency of the cooperating country.

3. Section L.12 g.i, (page 102) states that the Contractor should budget for the field presence of 18 Colombian staff members. The number of local positions seems ambitious given the government total estimated amount for this project and the large plug figure for grants (30% of the ceiling); and it does not allow for staffing flexibility across the life of the five-year project. Will USAID please revise this requirement and give offerors flexibility in the number of proposed positions?

Thank you. The RFP will be amended to remove this language. Offerors are free to propose the number of positions they deem appropriate to accomplish the goals of this program.

4. The Budget Template attachment (3) lists detailed budgets for each of the components in which total line items are inclusive of fixed fee. However CLIN 5 is Fixed Fee. Please confirm that the summary budget should reflect totals by components exclusive of fee.

Yes. CLIN 5 (Total Fixed Fee) must be equal to the sum of fixed fees by components which must be clearly stated in the detailed budgets.

5. In the Excel version of the budget may offerors present the CLINS’ detailed budgets in separate tabs rather than present them all in a single tab?

All offerors are required to use the attachment as provided for summary purposes. However, offerors are free to provide additional spreadsheets with more details by CLIN.

6. Please confirm that a cover/submission letter will not count toward the 40-page limit.

Section L.10 (4) specifies which documents do not count towards the page limitation. If the offeror decides to submit additional documents, they will be considered part of the 40-page limit.

7. Our subcontracting reports for the past several years total more than 800 pages and comprise more than 10 electronic files of at least 5 MB each. Instead of submitting these large electronic files, many of which are available on the eSRS, may offerors submit 10 to 15 relevant SF 294 forms that are not duplicated on the eSRS?

The RFP does not require offerors to submit these files if they were submitted to eSRS. Section L.11, page 100 states “To supplement the narrative summary in (A), provide a list of the contracts for which you submitted subcontract reports to eSRS (FAR 52.219-9(d)(10) over the past three years and a copy of any similarly recent subcontracting reports if they were not submitted to eSRS”.

8. Section L.11 states that offerors must include specific titles and LOE for positions included in the staffing plan. Section C.5 states that personnel for three non-key positions must be identified in the proposed staffing plan. Kindly confirm that offerors should follow the guidance in Section L.11 and only identify personnel for the key personnel positions.

Thank you. Personnel for the three non-key positions will not need to be identified in the proposed staffing plan. That paragraph of section C.5 will be amended to read as follows: “Although not key personnel, USAID expects to see the following positions identified in the contractor’s proposed staffing plan”

9. L.10 Proposal Format and Content of the Cost/Business Proposal (5) states that the Cost/Business proposal is not page limited; however, it is to be strictly limited to the sections listed on page 96. This list does not include Section B.3 & Section B.4, which are blank and usually filled in by the Offeror. Can USAID clarify if it wants these sections filled out and included in the Cost proposal?

Section B.3 and B.4 will be filled with the information of the winning offeror at the time of award. This information is available to USAID through the information requested in section L.10(5).

10. L.12. Instructions for the Preparation of the Cost/Business Proposal (g)(i) Salary and Wages, states “the contractor should budget for field presence of 18 Colombian staff members”. Please define “field presence”.

Please see the answer to question No. 3.

11. L.12. Instructions for the Preparation of the Cost/Business Proposal (g)(xiv) Other Direct Costs, states “Offerors must reflect costs for environmental compliance implementation and monitoring”. Could USAID clarify if it is required that these costs be shown under ODCs, or if they can fall under labor costs?

It depends on the offeror’s proposal and approach. Sometimes offerors decide to only include an environmental expert in their labor costs to ensure environmental compliance, but some other offerors decide not only to include the position, but also costs associated to the monitoring piece in ODCs to ensure compliance with sections H.26.5a.

12. Attachment 3. In the budget template provided in attachment 3, there is no line item for grants. Should grants be budgeted as a separate CLIN or included under CLIN 2 as they fall under component 2?

Grants must be included under CLIN 2 as they fall under component 2. Offerors can use the line item “subcontracts” for this purpose and edit the heading to read “Subcontracts/Sub grants”.

13. Attachment 4. Will USAID please provide a fixed exchange rate to be used, to ensure parity among offerors?

The following language will be included in section L.12 through an amendment to the solicitation: “For the purpose of the cost proposal, offerors must budget using an exchange rate of COP 2,000/USD.”

14. Would the Government raise the definition of a major subcontractor to 20% of the proposed budget?

No, the Government will maintain the definition and as required on Section L.11, “The offeror (including all partners of a joint venture) must provide performance information for itself and each major subcontractor (one whose proposed cost exceeds US$1,000,000.00) of the offeror’s total proposed cost.”

15. In addition to the annexes to the technical proposal listed in RFP section L.10(4), may we include other annexes that present relevant information?

No, other annexes may not be included. USAID will evaluate all offers based on the information requested in the RFP.

16. Since the submission of past performance questionnaires (Attachment 2) is not within the manageable control of the offeror, would USAID please confirm that offerors will not be penalized if forms are not submitted by the time indicated by March 5, 2015?

Past Performance is an evaluation factor and as stated in Section M. 2, “If the offeror has no relevant past performance, it will be rated as “neutral’”. Use of the past performance questionnaire is a recommendation and offerors will not be penalized if forms are not submitted by March 5, 2015. However, independently of the past performance questionnaire, offerors ARE required to provide the list requested in section L under Past Performance (page 99), so that the Technical Evaluation Committee can evaluate past performance.

17. Page 39, Section F.4.A.r states that the contractor must submit “A clear policy on how the contract intends to determine appropriateness and strategic use of different kinds of mechanisms, as applicable: sub-contracts, in-kind grants (including any cash components of in-kind grants), other than in-kind grants, technical assistance, direct distribution of goods and services, and training.” This suggests that USAID intends to have an activity fund that goes beyond grants under contract, which includes subcontracts, training, and short-term technical assistance. Would USAID please confirm that the intention of the $2 million Incentive fund and the $5 million Challenge fund is to allow the contractor to select the most appropriate mechanism to achieve the desired project objectives?

As required in section L.12 INSTRUCTIONS FOR THE PREPARATION OF THE COST/BUSINESS PROPOSAL, (15) Rural Financial Services(RFS) Grants Fund Estimate, the $7M is a set amount for Grants under Contract. However, the offeror is free to allocate additional funds within the Total Estimated Cost for other mechanisms as deemed appropriate based on its technical approach.

18. On page 38, under (q), the RFP and resulting contract requires the contractor to submit a field staffing plan with “names of all personnel and subcontractors (if applicable); position descriptions; and a schedule for hiring and fielding staff.” Additionally, the “Contractor must inform the COR in writing of changes to the field staffing plan throughout the life of the contract.” Based on FAR 16.306 (d) (1), a CPFF completion form describes the scope of work by stating a definite goal or target and specifying an end product.” Given that the contractor is required to complete and deliver the specified end product (output), it is important that USAID provide the contractor the flexibility and authority to make management and staffing decisions to ensure completion of the work. The required staffing plan and subsequent approvals suggest management control of inputs on USAID’s part where the RFS contract requires outputs. Would USAID clarify the intention of such a staffing plan in light of this being listed as a Cost Plus Fixed Fee (CPFF) completion contract?

Section F.4.A(q) of the RFP will be amended to read “Field Staffing Plan”. The purpose of this requirement is to inform the COR rather than to request approval.

19. Page 96 states that an environmental compliance and management summary is required in the cost notes. Can USAID confirm that this requirement is relevant, given the scope of work that focuses on financial services?

The Foreign Assistance Act of 1961, as amended, Section 117 requires that the impact of USAID’s activities on the environment be considered and that USAID include environmental sustainability as a central consideration in designing and carrying out its development programs. Section H.26 of the RFP refers to the Initial Environmental Examination approved for this program and the different determinations based on illustrative anticipated activities. Offerors are required to include their approach to achieving environmental compliance both in the technical proposal (as part of the draft initial work plan) and in the cost proposal (per Section L.12(2)g.x.). If it is not applicable please clarify why in your proposal.

20. L.9 (2) on page 93 states that local organizations without established overhead rates should budget their indirect rates as direct costs. However L.12 (3) on page 104 indicates that an indirect cost rate can indeed be proposed for subcontractors without a NICRA as long as the required documentation listed in this section is submitted. We respectfully request that USAID allow offerors to budget an indirect rate provided that it is substantiated per the instructions on page 104 so as to better facilitate the inclusion of local organizations.

In accordance with what is established in the recently published chapter of the Code of Federal Regulations (2 CFR 200.414(f)), any non-Federal entity that has never received a negotiated indirect cost rate may elect to charge a de minimis rate of 10% of modified total direct costs (MTDC) which may be used indefinitely. However, as described in §200.403 Factors affecting allowability of costs, costs must be consistently charged as either indirect or direct costs, but may not be double charged or inconsistently charged as both. If chosen, this methodology once elected must be used consistently for all Federal awards until such time as a non-Federal entity chooses to negotiate for a rate, which the non-Federal entity may apply to do at any time.

21. Would USAID please provide a U.S. dollar-to-Colombian peso exchange rate so all offerors can budget consistently for Colombian and international costs?

Please see the answer to question No. 13.

22. On page 96, Section L.10(4)(i) indicates that letters of commitment from subcontractors are to be included in the technical proposal. On page 106, Section L.12(9), Letters of Commitment (Subcontractors), indicates that letters of commitment from subcontractors are to be included in the Cost/Business proposal. Can USAID please clarify if letters of commitment from subcontractors should be included in the technical proposal, in the cost/business proposal, or in both?

As required in section L, Letters of commitment from subcontractors must be included in both the technical and cost/business proposals.

23. On page 99, Section L.11, Past Performance, can USAID clarify if offerors must include information on five recently performed contracts for the offeror and five for each major subcontractor?

The offeror must provide performance information for itself and each major subcontractor (one whose proposed cost exceeds US$1,000,000.00).

24. On page 102, Section L.12(2)(g)(i), Salary and Wages, includes a requirement to “budget for field presence of 18 Colombian staff members.” Would USAID please consider removing this requirement to allow offerors the flexibility to propose the most appropriate staffing plan that supports the proposed technical approach?

Please see the answer to Question No. 3.

25. On page 107, Section L.12(11), Information to Support Consent to Major Subcontractors, the section title indicates that this information is for “major subcontractors” but the text refers to “proposed subcontractors.” Would USAID please clarify if information to support consent to subcontract is required for proposed major subcontractors only or for all proposed subcontractors?

The offeror must provide performance information for itself and each major subcontractor (one whose proposed cost exceeds US$1,000,000.00). The text in Section L.12(11) of the RFP will be amended to read as follows: “The offeror must address each of the elements in FAR 44.202-2 in order for proposed major subcontractors to be considered by the contracting officer for consent of subcontractors to be granted with the initial award.”

26. The list of sections to be included in the technical proposal in L.10 (4) (page 96) includes a section entitled “Management Plan Approach and Capability.” Would USAID please clarify this requirement, since such a section is not listed in the instructions for the components of the technical approach on pages 97-99 and is not mentioned in the evaluation criteria?

Thank you. The RFP will be amended to remove this requirement.

27. RFP Section C.3.3 (page 15) indicates that “a gender and vulnerable populations strategy must be due in draft along with the first annual work plan draft.” Can USAID please clarify whether this gender and vulnerable populations strategy should be included in the Draft Initial Annual Work Plan that will be submitted as an Annex to the technical proposal?

Yes, the gender and vulnerable populations strategy must be submitted along with the draft initial annual work plan as an Annex to the Technical Proposal.

28. Will the Organizational Chart as required on p. 98 of the RFP count against the page 40-page limit?

Yes. In accordance with Section L.10(4)d. it must be part of the “staffing plan”.

29. RFP Section L.10.(4) (p. 96) lists a section called “Management Plan Approach and Capability,” however the instructions in Section L.11 of the RFP (p. 98), as well as the evaluation criteria in Section M.3 (p. 111) identify a section called “Organizational Capacity”. Can USAID please confirm that the title that Offerors should use for this section is “Organizational Capacity”?

Please see the answer for question 26.

30. RFP Section L.10.(5) (p. 96) requires Offerors to submit an Approach to Achieving Environmental Compliance and Management as part of their cost proposals. Are we correct in our assumption that the information required in RFP Section L.12.(2)g.x (p. 103) will be sufficient to meet this requirement for the cost proposal, and that the information as required in Section H.26.6a-6c (p. 62) should be included as part of the Draft Initial Annual Work Plan (or as an additional annex to the technical proposal)?

Please see the answer for question 19.

31. RFP Section L.11 (p. 98) indicates that Offerors must include information that shows the English language abilities of the Chief of Party. Can USAID provide any details about what type of information Offerors should provide in order to demonstrate these English language capabilities? Additionally, should Offerors include this information in the Letter of Commitment or in the Key Personnel and Staffing Plan section of technical proposal?

Offerors are encouraged to submit the information they deem appropriate to show the English language abilities of the proposed COP. This information must be included in the Key Personnel and Staffing plan section in order to be evaluated.

32. Would USAID please confirm that past performance information concerning Performance in Using Small Business as required in RFP Section L.11 (p. 99-100) can be included in the Annex on Institutional Past Performance?

Confirmed. As stated in section L.11 (p. 99)this is not applicable if the prime offeror is a local organization.

33. RFP Section L.11 (p. 99) requires Offerors and major subcontractors to list up to five recent and relevant performed or on-going contracts or orders to demonstrate past experience. May Offerors and major subcontractors include programs implemented through cooperative agreements or other funding mechanisms in this list?

Yes, USAID/Colombia will accept relevant experience in implementing Cooperative Agreements or other funding mechanisms. That part of section L.11 of the RFP will be amended to read as follows: “1. List in an annex to the technical proposal information on up to five (5) recent (within the past 3 years) performed contracts, on-going contracts, cooperative agreements, or grants as a prime or as a major sub-contractor, sub-awardee, team or consortium member that demonstrate past experience in carrying out tasks similar in content, magnitude and complexity to this requirement.

34. RFP Section L12.(2).g.i. (P.102) specifies that “the contractor should budget for field presence of 18 Colombian staff members”. Could USAID explain how the number 18 was estimated? Since this is a CPFF contract, the number of employees should be proposed by a contractor based on contractor’s estimate on how many people are needed to implement the SOW.

Please see the answer to question No. 3.

35. Please update Exhibit 1. Identification of principal geographic code numbers (RFP p. 114) with the new codes as per 22 CFR 228.

Thank you. Exhibit 1 of the RFP will be amended to reflect the following language per 22 CFR 228.03.

IDENTIFICATION OF THE AUTHORIZED PRINCIPAL GEOGRAPHIC PROCUREMENT CODES

(a) USAID has established principal geographic codes which are used by USAID in implementing instruments. This regulation establishes a presumptive authorized principal geographic code, Code 937, for procurement of commodities and services unless otherwise specified in the implementing instrument. Code 937 is defined as the United States, the cooperating/recipient country, and developing countries other than advanced developing countries, and excluding prohibited sources. USAID maintains a list of developing countries, advanced developing countries, and prohibited sources, which will be available in USAID's Automated Directives System, ADS 310.

(b) For purposes of procurements under the authority of the Development Fund for Africa, 22 U.S.C. 2293 et seq.; for any waivers authorized under Subpart D of this regulation; and if otherwise designated in an implementing instrument, the authorized principal geographic code shall be Code 935, any area or country but excluding prohibited sources.

(c) For purposes of procurements under the Support for Economic and Democratic Development of the Independent States of the Former Soviet Union, 22 U.S.C. 2295b, the authorized principal geographic codes are Code 937 and Code 110 (New Independent States).

(d) Additional principal geographic codes may be added to this section if authorized by Congress.

36. Section B.2 refers to this contract as a CPFF completion type contract. There is further reference in I.6 related to cancellation under multi-year contract. Also, in section B.6, there is language regarding “if the Government cancels the requirements for services in subsequent program years…”. There doesn’t seem to be a base period, option(s) period or program years in the RFP. Can USAID please provide?

The resulting award will be a multiyear contract with no base period or options.

37. Section B.4 covers indirect rates. Usually there is a subsequent section (like Section B.5) for Indirect Ceilings. However, in the budget instructions (L.12.2.g.xiv) bidders must propose an indirect ceiling, which seems a bit contradictory. Can USAID make it clearer in the proposed contract language?

There was no intention to include ceilings on indirect rates at the RFP stage. Language on indirect ceilings will be included at contract award depending on the winning offeror’s proposal.

38. In reviewing the RFP documents, we don’t see a section for Payment of Fixed fee (pursuant FAR 52.216-8). Will language be added to final contract language, which differs from the proposed contract language of the RFP?

Section B.3 will be completed at the time of award.

39. In the proposed contract language of Section B, there doesn’t seem to be a proposed CLIN budget, but looking at the budget template, the summary page has 5 CLINS (4 components + 1 fixed fee). Can USAID confirm this will be the budget structure and amend Section B to include the CLIN budget?

Yes, thank you. At the time of award, an additional section will be included in section B to reflect the contract components.

40. Can USAID please confirm that key personnel must be 100% LOE (Section C.5 Key Personnel)?

Yes.

41. In section H.7.d (under Personnel Compensation) the percentage of salary increases left at “TBD.” Can USAID clarify to assist with budgeting?

This section will be filled out at contract award as a result of negotiations. Offerors are free to propose an escalation rate that they deem appropriate to make their proposal realistic and competitive.

42. In Section H.25.B, it is written USAID may be less significantly involved when grants are “small” and are incidental to the contractor’s technical activities. Can USAID clarify what the dollar value of “small”?

This value will be determined at contract award.

43. There is reference to an IEE being completed, but it wasn’t attached to the solicitation. Would assume there is sufficient information/guidance in the RFP to prepare environmental planning requirements of the proposal (cost and technical).

The results of the Initial Environmental Examination (IEE) were included in section H.26 of the RFP.

44. In regards to Past Performance, the RFP requests up to five recent performed contracts or on-going contracts of similar content, magnitude and complexity (pg. 99). Would USAID evaluate Cooperative Agreements that are of similar content, magnitude and complexity?

Please see the answer to question 33.

45. Page 96 states that LOCs from subcontractors should be included as annexes to the technical proposal while page 106 states that they must be included in the Cost/Business proposal. Can USAID clarify where to include LOCs from subcontractors should be?

Please see the answer to question 22.

46. Pages 96 and 98 state that Individual LOCs for key personnel should be included as technical annexes while page 106 states that they must be included in the Cost/Business proposal along with Biographical Data Sheets. May we include personnel resumes, biodata sheets and Individual LOCs in the technical annexes only?

No. Please follow the instructions of the RFP.

47. Should offerors include up to 5 PPRs for itself and up to 5 for each major subcontractor or no more than 5 total?

Up to 5 past performance information reports per organization.

48. Pages 96 and 107 reference the cost proposal item “Adequate Security Costs Documentation.” Are security costs to be incorporated into the budget only or does USAID wish to receive a separate document addressing security costs?

Security costs must be incorporated in the budget (excel format), but offerors must detail all proposed security cost elements as required in section L.10(5)a to “allow the Contracting Officer to perform a cost realism analysis of proposed security costs” (pg.107).

49. Pages 96 and 107 reference the cost proposal item “Other Price and Cost Detail Instructions.” Does USAID expect to receive a document addressing this item and if so, how should this document be structured?

This information is to be reflected in the budget.

50. Page 96 refers to an “Approach to Achieving Environmental Compliance and Management.” Could USAID confirm that this item is required in the cost proposal and provide guidance as to what it should include?

Please see the answer to question 19.

51. Page 96 refers to an “Offeror Compensation Plan.” Could USAID confirm that this item is required in the cost proposal and provide guidance as to what it should include?

Yes, it is required per sections L.4 and L.10(5)p. The offeror’s compensation plan sets forth salaries, fringe and any other benefits proposed for the professional employees who will work under the contract.

52. In regards to the cost template, can USAID clarify whether the table labeled “Budget-Summary Cost Sheet: Subcontracts Dollar Cost” on the third tab of the Budget Template is required for each subcontractor, or is one table summarizing all subcontractor costs sufficient?

In accordance with section L.12(2)e., summary cost work sheets are required for the prime and all subcontracts.

53. In regards to the cost template, the “Subcontracts” sheet lists “Direct Long-Term Labor (Local)” (Line 5) and “Direct Short-Term Labor (Local)” (Line 7), therefore, Line 8, “Local Staff”, seems redundant. Could USAID please clarify?

Thank you. This format will be amended to eliminate Line 8 “Local Staff”

54. What is the line spacing required for this proposal?

Single. Section L.10(3)ii. of the RFP will be amended to reflect this.

55. Would USAID please confirm that the narrative summary of organizations' use of small business concerns over the last three years, referenced on pp. 99-100 under PAST PERFORMANCE, (d)(3)(A), can be included as an annex to the Technical proposal, and is not included in the 40 page limit?

Yes, within the institutional past performance section and will not count towards the 40 page limitation.

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