SOL-615-12-000004 Amendment 1.pdf

Issue Date: February 29, 2012

Q & A Closing Date: March 15, 2012

Closing Date: April 16, 2012

Closing Time: 0800 Nairobi Time

Subject: Request for Proposal (RFP) # SOL-615-12-00004 Kenya Feed the Future

Innovation Engine Amendment 1

The United States Government, represented by the U.S Agency for International Development to

East Africa (USAID/East Africa), is seeking a Contractor to provide program services, venture capital services, and management consulting services in Kenya as stipulated in Section C of the subject RFP.

USAID received a number of questions from interested parties. Based on these questions, and the subsequent answers, we have amended the RFP. Below is a list of the major changes.

The contract type for Contract Line Item Numbers (CLINs) 001, 002, 101, 102, 201 and

202 is now a fixed-price incentive fee. Section B.9 has been amended to reflect the change.

We have amended the requirement for submitting a Performance Management Plan

(PMP). The requirements for submitting the PMP are outlined in Section L.

We are now using the monthly report required in Section F as evidence of performance for invoicing under CLINs 001, 101, and 201.

The minimum qualifications for the key personnel have been amended.

Offerors are now only required to submit fully burdened rates for one labor category with four sub-categories. Please see Section B.6 and L for the new submission requirements.

We have clarified the requirement for submitting past performance in Section L.

We have increased the page limit to 30.

The above list is not all inclusive. The entire list of questions and answers is included as a separate document with the amended solicitation. We understand that this is an unusual type of award and that it requires extended time in order to adequately prepare a proposal. Therefore, we have extended the closing date of the RFP to 0800 Nairobi time, April 16, 2012. We are also allowing a second round of questions. For the second round, questions must be submitted to

Michael Capobianco and John May via e-mail at mcapobianco@usaid.gov and jamay@usaid.gov no later than 0800 hours Nairobi time, March 26, 2012. Our answers will be posted for all

Offerors by March 30, 2012.

Proposals must be received electronically on or before the closing date stipulated above to provide the services and deliverables specified in the below RFP. Proposals must be sent via e-mail attachments to mcapobianco@usaid.gov and jamay@usaid.gov by the closing date and must conform to all requirements outlined in Section L. The USAID reserves the right to award mailto:mcapobianco@usaid.gov mailto:jamay@usaid.gov mailto:mcapobianco@usaid.gov mailto:jamay@usaid.gov

PART I - THE SCHEDULE 6

SECTION B - SUPPLIES OR SERVICES AND PRICE/COSTS 6

B.1. PURPOSE 6

B.2. CONTRACT TYPE 6

B.3. OBLIGATED AMOUNT 6

B.4. PRICE SCHEDULE 6

B.5. PERIOD OF PERFORMANCE 7

B.6. LABOR CATEGORIES AND BURDENED RATES 7

B.7. SHORT-TERM TECHNICAL ASSISTANCE (STTA) ORDERING 7

B.8. PAYMENT AND INVOICING 7

B.9. INCENTIVE FEE 8

B.10. PROHIBITION ON PROFITING FROM INVESTING IN INNOVATIONS 9

SECTION C - DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK 10

C.1. BACKGROUND 10

C.2. PROGRAM GOAL, OBJECTIVES AND EXPECTED RESULTS 10

C.3. CORE REQUIREMENTS 11

C.4. SHORT TERM TECHNICAL ASSISTANCE 14

C.5. KEY PERSONNEL 14

C.6. GEOGRAPHIC AREAS 16

C.7. ROLE OF USAID 16

C.8. GRANTS UNDER CONTRACT (GUCs) 17

C.9. PERFORMANCE MANAGEMENT PLAN AND EVALUATIONS 17

SECTION D - PACKAGING AND MARKING 19

D.1. 752.7009 MARKING (JAN 1993) 19

D.2. BRANDING POLICY 19

D.3. MARKING AND BRANDING STRATEGY 19

SECTION E - INSPECTION AND ACCEPTANCE 21

E.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE 21

E.2. INSPECTION AND ACCEPTANCE 21

SECTION F - DELIVERIES OR PERFORMANCE 22

F.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE 22

F.2. PLACE OF PERFORMANCE 22

F.3. REPORTING REQUIREMENTS 22

F.4. CONTRACT DATA REQUIREMENTS LIST 24

F.5. 752.242-70 PERIODIC PROGRESS REPORTS (OCT 2007) 26

SECTION G - CONTRACT ADMINISTRATION DATA 27

G.1. 752.7003 DOCUMENTATION FOR PAYMENT (NOV 1998) 27

G.2. ADMINISTRATIVE CONTRACTING OFFICE 28

G.3. CONTRACTING OFFICER‘S REPRESENTATIVE (COR) 28

G.4. TECHNICAL DIRECTIONS/RELATIONSHIP WITH USAID 28

G.5. PAYING OFFICE 30

G.6. INVOICING INSTRUCTIONS 30

G.7. CONTRACTOR‘S PRIMARY POINT OF CONTACT 30

G.8. ACCOUNTING AND APPROPRIATION DATA 30

SECTION H - SPECIAL CONTRACT REQUIREMENTS 31

H.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE 31

H.2. 752.225-70 SOURCE AND NATIONALITY REQUIREMENTS (FEB 2012) 31

H.3. 752.7004 EMERGENCY LOCATOR INFORMATION (JUL 1997) 31

H.4. 752.7005 SUBMISSION REQUIREMENTS FOR DEVELOPMENT EXPERIENCE

DOCUMENTS (JAN 2004) 32

H.5. INSURANCE AND SERVICES 33

H.6. 752.228-70 MEDICAL EVACUATION (MEDEVAC) SERVICES (JULY 2007) 34

H.7. AUTHORIZED GEOGRAPHIC CODE 34

H.8. LANGUAGE REQUIREMENTS 34

H.9. 752.228-9 CARGO INSURANCE 35

H.10. 752.7012 PROTECTION OF THE INDIVIDUAL AS A RESEARCH SUBJECT (AUG

1995) 35

H.11. 752.7034 ACKNOWLEDGMENT AND DISCLAIMER (DEC 1991) 35

H.12. EXECUTIVE ORDER ON TERRORISM FINANCING 36

H.13. FOREIGN GOVERNMENT DELEGATIONS TO INTERNATIONAL CONFERENCES

(JAN 2002) 36

H.14. REPORTING OF FOREIGN TAXES 36

H.15. USAID DISABILITY POLICY - ACQUISITION (DECEMBER 2004) 37

H.16. HOMELAND SECURITY PRESIDENTIAL DIRECTIVE -12 37

H.17. ORGANIZATIONAL CONFLICT OF INTEREST 38

H.18. 752.7032 INTERNATIONAL TRAVEL APPROVAL AND NOTIFICATION

REQUIREMENTS (JAN 1990) 38

H.19. ENVIRONMENTAL COMPLIANCE 39

H.20. GRANTS UNDER CONTRACT APPROVAL FORMAT 39

H.21. DISCLOSURE OF INFORMATION 39

PART II - CONTRACT CLAUSES 41

SECTION I - CONTRACT CLAUSES 41

I.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE 41

I.2. 52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS (JAN 2011) 43

I.3. 52.227-23 RIGHTS TO PROPOSAL DATA (TECHNICAL) (JUN 1987) 43

I.4. 52.232-25 PROMPT PAYMENT (OCT 2008) 44

I.5. 52.217-8 OPTION TO EXTEND SERVICES (NOV 1999) 47

I.6. 52.217-9 OPTION TO EXTEND THE TERM OF THE CONTRACT (MAY 2000) 47

I.7. 52.232-32 PERFORMANCE-BASED PAYMENTS (AUG 2010) 47

I.8. 52.243-7 NOTIFICATION OF CHANGES (APR 1984) 51

I.9. 752.7101 VOLUNTARY POPULATION PLANNING ACTIVITIES (JUN 2008) 53

I.10. COMMUNICATIONS PRODUCTS (OCT 1994) 55

PART III LIST OF ATTACHMENTS 56

SECTION J - LIST OF ATTACHMENTS 56

PART IV REPRESENTATIONS AND INSTRUCTIONS 57

SECTION K - REPRESENTATIONS, CERTIFICATIONS, AND OTHER STATEMENTS 57

K.1. NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY REFERENCE57

K.2. 52.204-8 ANNUAL REPRESENTATIONS AND CERTIFICATIONS (FEB 2012) 57

K.3. INSURANCE - IMMUNITY FROM TORT LIABILITY 59

K.4. AGREEMENT ON, OR EXCEPTIONS TO, TERMS AND CONDITIONS 59

K.5. 52.204-3 TAXPAYER IDENTIFICATION (OCT 1998) 59

K.6. 52.209-5 CERTIFICATION REGARDING RESPONSIBILITY MATTERS (APR 2010) 61

K.7. 52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS (FEB 2012) 62

K.8. 52.215-6 PLACE OF PERFORMANCE (OCT 1997) 63

K.9. 52.219-22 SMALL DISADVANTAGED BUSINESS STATUS (OCT 1999) ALTERNATE

I (OCT 1998) 64

K.10. 52.222-18 CERTIFICATION REGARDING KNOWLEDGE OF CHILD LABOR FOR

LISTED END PRODUCTS (FEB 2001) 65

K.11. 52.227-15 STATEMENT OF LIMITED RIGHTS DATA AND RESTRICTED

COMPUTER SOFTWARE (MAY 1999) 65

K.12. 52.230-1 COST ACCOUNTING STANDARDS NOTICES AND CERTIFICATION (JUNE

2000) 66

K.13. COMPLIANCE WITH VETERANS EMPLOYMENT REPORTING REQUIREMENTS 69

K.14. SIGNATURE 69

K.15. AGREEMENT ON OR EXCEPTIONS TO, TERMS AND CONDITIONS 69

SECTION L - INSTRUCTIONS TO OFFERORS 70

L.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE 70

L.2. 52.215-1 INSTRUCTIONS TO OFFERORS – COMPETIVE ACQUISITION (JAN 2004) 70

L.3. 52.233-2 SERVICE OF PROTEST (SEP 2006) 74

L.4. GENERAL INSTRUCTIONS TO OFFERORS 75

L.5. SUBMISSION/DELIVERY INSTRUCTIONS 75

L.6. INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL 76

L.7. INSTRUCTIONS FOR PREPARATION AND SUBMISSION OF THE COST PROPOSAL77

SECTION M - EVALUATION FACTORS FOR AWARD 80

M.1. NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY REFERENCE80

M.2. GENERAL INFORMATION 80

M.3. EVALUATION CRITERIA 80

M.4. EVALUATION OF PAST PERFORMANCE 81

M.5. COST EVALUATION 81

M.6. DETERMINATION OF COMPETITIVE RANGE AND CONTRACT AWARD 81

M.7. SOURCE SELECTION 81

ATTACHMENT 1: BACKGROUND 83

ATTACHMENT 2: TARGET GEOGRAPHIC REGIONS 92

ATTACHMENT 3: USAID/KENYA FEED THE FUTURE RESULTS FRAMEWORK 94

ATTACHMENT 4: ILLUSTRATIVE INDICATORS 95

ATTACHMENT 5: KNOWLEDGE MANAGEMENT AND LEARNING 97

ATTACHMENT 6: KFIE FREQUENTLY ASKED QUESTIONS 99

PART I - THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICE/COSTS

B.1. PURPOSE

The purpose of this contract is to provide technical assistance as described in detail in Section C, Statement of Work.

B.2. CONTRACT TYPE

This is a hybrid contract consisting of Fixed-Price Incentive Fee (FPIF), Firm-Fixed Price (FFP), and

Firm-Fixed Price Level-of-Effort (FFP-LOE) contract line item numbers (CLINs). For the consideration set forth below, the Contractor shall perform the work detailed in Section C and provide the deliverables, results or outputs described in Section F in accordance with the performance standards specified in

Section E.

B.3. OBLIGATED AMOUNT

TBD

B.4. PRICE SCHEDULE

CLIN Description Type Price

CLIN 001

Core Services as described in Section

C.3 and all other services called for which are not separately priced. FPIF

CLIN 002 Award Fee FPIF

NTE figure to be inserted by USAID.

CLIN 003

Short Term Technical Assistance as described in Section C.4. FFP-LOE

NTE figure to be inserted by USAID.

CLIN 004 Grants Under Contract FFP $1,200,000

CLIN 101 Option Year 1 for CLIN 001. FPIF

CLIN 102 Option Year 1 for CLIN 002. FPIF

NTE figure to be inserted by USAID.

CLIN 103 Option Year 1 for CLIN 003. FFP-LOE

NTE figure to be inserted by USAID.

CLIN 201 Option Year 2 for CLIN 001. FPIF

CLIN 202 Option Year 2 for CLIN 002. FPIF

NTE figure to be inserted by USAID.

CLIN 203 Option Year 2 for CLIN 003. FFP-LOE

NTE figure to be inserted by USAID.

B.5. PERIOD OF PERFORMANCE

The period of performance (POP) for this contract is three base years plus two, one year options. If an option is exercised, the POP for CLIN 004 will automatically be extended to match the POP of the option period.

B.6. LABOR CATEGORIES AND BURDENED RATES

The following labor categories and fully-burdened daily rates apply only to orders off of CLINs 003, 103, and 203.

Consultant Category Base Period Rate Option Year 1 Rate Option Year 2 Rate

Senior Level Expatriate

Junior Level Expatriate

Senior Level Local

Junior Level Local

B.7. SHORT-TERM TECHNICAL ASSISTANCE (STTA) ORDERING

Once an applicant is accepted for any stage, per Section C, the Contractor shall prepare and submit a proposal for STTA to be provided to the applicant. The STTA proposals shall be prepared using the labor categories in Section B.6, provide the estimated type and amount of STTA which is needed to move the applicant to the subsequent stage, provide justification for the estimated type and amount of STTA, and shall be FFP-LOE type orders. Other direct costs such as travel may be included as needed in the orders.

The start date of the STTA order shall govern which CLIN (003, 103, or 203) the order belongs to, e.g. if an order starts during the POP for CLIN 003 but ends during the POP for CLIN 103, the order shall belong to and be invoiced against CLIN 003.

Proposals for STTA shall be submitted to the Contracting Officer‘s Representative (COR) for review and approval. The COR shall have authority to approve STTA orders subject to the following restrictions:

All orders must utilize the labor categories and be within the specified rates in Section B.6.

The total amount of all STTA orders may not exceed the NTE amount for CLIN 003, 103, or 203 during the respective periods of performance.

Any STTA order falling outside of the above restrictions must be approved, in writing, by the Contracting

Officer. The Contractor shall not start any work on any STTA order until it has been approved in accordance with the procedures above.

B.8. PAYMENT AND INVOICING

a. For CLINs 001, 101, and 201, the Contractor shall invoice on a monthly basis.

b. For CLINs 002, 102, and 202, the Contractor shall invoice according to the incentive fee plan detailed in Section B.9.

c. For CLINs 003, 103, and 203, the Contractor shall invoice once the agreed upon LOE has been expended and an order complete.

d. For CLIN 004, the Contractor shall invoice on a monthly basis for the grants awarded during the specified month. If no grants have been awarded during the month, the Contractor need not submit an invoice. When submitting an invoice, the Contractor shall provide evidence of the awarded grant.

e. When submitting an invoice, the Contractor must clearly identify which CLINs are being invoiced against and separate the associated costs.

B.9. INCENTIVE FEE

CLINs 002, 102, and 202 are Fixed-Price Incentive Fee line items. A board consisting of the COR, Innovation Fellow, and other USAID staff, shall be the board which determines whether an innovation meets the stage criteria identified below. The board shall then provide the CO with the information necessary to determine the amount of the incentive fee, per the below guidelines, to be granted to the

Contractor for the period under review. The amount of the incentive fee is set per the below schedule.

The CO shall make a determination on incentive fee 6 months after contract award and every 6 months afterwards.

The below table outlines the incentive fee the Contractor shall receive for each applicant which meets the stage criteria for the next applicable stage.

Stage Incentive Fee Amount

Graduation

For each applicant that successfully meets the criteria for the subsequent stage, the Contractor shall be awarded the set amount from the above table. The amount is all-or-nothing. The amount shall be put into the incentive fee pool (CLIN 002, 102, and 202) and the Contractor shall invoice not more frequently than every 6 months. A detailed description of how the incentive fee operates is below.

CONTRACT MECHANICS DIAGRAM: INPUTS:

= FAILED INNOVATION = NOT SELECTED Contractor USAID

Stage 1: A B C D E F GUC & STTA

Stage 2: A C D F G STTA only FOG

Stage3: A C F G H STTA only Grant

Graduation: A G Nil Nil

In the diagram above, the Contractor has already identified many potential innovations, and USAID has given the green light for six (A-F) as Stage 1 recipients of Short Term Technical Assistance

(STTA) and a Grant Under Contract (GUC) (illustratively $50K each).

B and E [red Xs] fail to be a successful innovations (for whatever reason: organizational failure, unsuccessful concept, etc.) and do not advance to meet the stage criteria for being a ―successful‖ innovation.

A, C, D, F are considered successful and the Contractor receives the incentive fee, amount specified above, for their advancement to Stage 2; G is a newly-identified innovation that meets the requirements for a Stage 2 and is funded by a Fixed Obligation Grant (FOG); D met the Stage 2 threshold, but for whatever reason, USAID has decided not to fund it [blue X].

A, C, F, and G advance to Stage 3, and the Contractor receives the incentive fee for each one.

However, USAID only decides to fund A and G further [C and F have blue Xs). H is a new innovation that is accepted at a Stage 3 level

H [red X], however, fails to be a viable innovation that moves on to be considered graduated (for whatever reason); the Contractor does not receive an incentive fee for this innovation. A and G do meet the stage criteria for Graduation, and the Contractor receives the incentive fee for each one.

It is possible that an innovation could be identified by the Contractor at a higher stage and be referred to USAID for funding, and not need STTA from the Contractor:

o In this case, the Contractor still receives an incentive fee should the innovation advance to the next stage.

If an innovation that receives STTA meets the objective criteria to be considered ―at the next stage‖, the Contractor receives the appropriate incentive fee even if USAID doesn‘t decide to fund the innovation further.

Stage Criteria

To be inserted at time of award.

B.10. PROHIBITION ON PROFITING FROM INVESTING IN INNOVATIONS

For the duration of this contract, the Contractor, including parent organizations, subsidiaries, and affiliates, are prohibited from investing in any of the applicants or innovations selected to participate in as per Section C of this contract.

[END OF SECTION B]

SECTION C - DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

C.1. BACKGROUND

USAID/Kenya seeks a Contractor to implement the Kenya Feed the Future Innovation Engine (KFIE).

KFIE is designed to identify, foster, and bring to scale innovative private sector solutions to persistent poverty and food insecurity.

Poverty and malnutrition in Kenya is the combined result of low agricultural productivity, high population growth, a variety of cultural challenges accelerating urbanization, unpredictable climate change, degradation of natural ecosystems and habitats, poor governance and inadequate infrastructure.

As of 2009, 17.8 million Kenyans (46%) lived in poverty. Female-headed households in particular experience lower income and higher poverty incidences. Two million children under 5 are stunted and between 1.5 and 2 million Kenyans require food aid each year.

Although Kenya‘s challenges are daunting, its agricultural sector shows considerable potential. Presently, Kenya‘s agricultural sector employs over 75% of the workforce, directly and indirectly accounting for roughly 51% of Kenya‘s GDP. In addition, the agricultural sector has the capacity for significant growth if irrigation, road, agricultural input, finance, and extension constraints can be addressed.

KFIE is intended to harness the power of innovative private sector approaches to leverage resources and integrate new approaches to agricultural solutions, thereby accelerating efforts to address poverty and food security needs in Kenya. USAID intends to build local capacity through KFIE, including directly supporting beneficiaries of KFIE through separate awards.

C.2. PROGRAM GOAL, OBJECTIVES AND EXPECTED RESULTS

Program Goal: To harness innovation for cutting-edge results through private sector strategies with the potential to generate significant measurable increases in household income and/or nutrition in selected agricultural value chains: maize, dairy, horticulture, and staple food crops such as sorghum and millet.

Program Objectives:

1. To systematically test, cultivate, and adapt high-impact innovations which further the objectives of the USAID/Kenya Feed the Future (FTF) Strategy and promote equal opportunities for women, youth, and other vulnerable groups (Refer to Attachments 1 and 3)

2. To support broad adoption of innovative approaches across target populations in the Kenya FTF regions (Refer to Attachment 2) and throughout Kenya where possible.

3. To generate sustainable and scalable private sector solutions to further FTF goals (Refer to

Attachment 3)

4. Where appropriate, to identify and promote innovations with the potential for cross national and/or global adoption, which may also be eligible for USAID/Washington Development Innovation

Ventures (DIV) support

5. To identify and support Kenyan for-profit and not-for-profit entities in the agricultural value chain to enable the development and adoption of high-impact innovations.

USAID expects that the Kenya FTF Innovation Engine will:

Select promising innovations, illustratively: 24 innovations for Stage 1, 10 innovations for Stage 2, and 4 innovations for Stage 3 over the life of KFIE (Refer to Attachment 1 for explanations of the stages of the innovation model).

Coach and cultivate selected innovations to support their development and adoption.

Apply evidence-based testing to determine movement from one stage to another.

Leverage USAID resources with other public and private resources to grow innovations to scale, establishing a sustainable and scalable model to meet program goals.

Identify potential innovations for the USAID/Washington DIV where they will be considered for multi-country dissemination.

Benefit local Kenyan institutions by cultivating and broadly disseminating innovative practices.

Results in the targeted regions and population will include:

Increased adoption of innovative agricultural technologies and practices

Improved agricultural productivity

Improved agricultural markets

Increased private sector investment in agriculture and nutrition-related activities

Increased agricultural value chain on- and off-farm employment

Increased resilience of vulnerable communities and households

Improved access to diverse and quality foods

Improved nutrition-related behaviors

Improved use of maternal and child health and nutrition services

Expanded access to fresh, processed, and nutritionally enhanced food

C.3. CORE REQUIREMENTS

C.3.1 General Contract Requirements

The Contractor shall:

Create and implement a management structure to identify innovations in the target geographic areas/value chains/populations described in Attachments 1 and 2. In doing so, the Contractor shall utilize a competitive process approved by USAID. However, the Contractor‘s efforts shall not be limited to these means. The Contractor shall use its expertise to proactively identify promising innovation investment opportunities, with the priority of identifying innovations that can progress quickly through the stages or begin at later stages.

Develop an operations manual, including procedures for selecting innovations, to be approved by

USAID.

Apply market research analysis to help determine market demand for an innovation, and the degree to which the innovation meets that demand (Refer to Attachment 1). That is:

o The Contractor shall utilize the ―innovation measurement scale‖, submitted in its proposal dated TBD and hereby incorporated into the contract, to make a determination of a project‘s

―innovativeness‖ with respect to (illustratively):

Increased Cost-Benefit and/or Cost Effectiveness outcomes;

Effort minimization and or maximum/optimal outcomes;

Efficiency/Efficacy gains; and o In evaluating potential projects for support, the Contractor shall conduct an analysis to:

Determine the level of demand for the innovation; and

Determine the probability that it will be widely adopted and the factors that limit and/or enable widespread adoption.

Develop relationships with the private sector that result in business linkages between KFIE recipients and more established private sector agriculture sector entities.

Develop relationships with financial institutions that can result in access to finance for KFIE recipients.

Select promising Stage 1 innovations for development and propose them for USAID‘s review and approval (refer to Section C.7 and C.8).

Provide technical input to USAID/Kenya for the selection of promising Stage 2 and 3 innovations for development, based upon the criteria for each stage (refer to the description of stages and criteria in

Attachment 1).

Manage a process to sub-grant resources to Stage 1 recipients (refer to Section C.8).

Develop and maintain a website (and as appropriate other web and mobile-based ICT platforms such as social networking applications). The KFIE website must:

o Solicit participation of potential innovative approaches from the broader public;

o Be used as a platform for exchange between KFIE recipients;

o Showcase the innovations under development that further Feed the Future goals;

o Assist with public dissemination of KFIE quarterly reports and information products such as newsletters, bulletins, ―Success Stories‖, etc. prepared by the Contractor that describe KFIE activities, lessons learned, and experiences.

In coordination with USAID/Kenya, proactively seek support for KFIE from other development partners and the GOK, including non-traditional development partners such as foundations and social venture capital funds and the private sector.

Participate in and provide logistical support (e.g. arranging for conference facilities, coordinating participant arrival and check-in, arranging for necessary equipment) for proposed ―Solution Seeking‖ or ―Matchmaking‖ sessions, as described in Section C.7.

Be cognizant of the efforts of the Government of Kenya (GOK) in the agricultural sector, including its Agriculture Sector Development Strategy (ASDS) and Medium Term Investment Plan (MTIP), and bear these efforts in mind when considering innovations for support and promotion.

Working with the GOK Agriculture Sector Coordination Unit (ASCU) innovation fund, support a national agricultural innovation stakeholder forum, including sharing best practices in the targeted

FTF regions, illustratively through meetings on an annual basis.

Incorporate a knowledge management and learning plan to effectively and quickly reintegrate lessons learned into the program, as described in Attachment 5.

In accordance with the Annual Work Plan, the Contractor shall produce quarterly reports and information products for public distribution in compliance with USAID Branding and Marking requirements.

Coordinate with other USAID/Kenya programs and other donors in the agricultural sector, make an effort to complement and inform these activities, and bear these efforts in mind when considering innovations for support and promotion.

Actively promote and champion the adoption of innovations by the beneficiaries of the KFIE program, with sustainability and local ownership as guiding principles.

Complete rigorous and comprehensive assessments of selected innovations at each stage, based upon the criteria in Section B.9. Assessment reports shall be targeted and concise (illustratively a maximum of twenty pages). Assessments shall include design, data collection, data validation, analysis, and results for innovations at all stages to support the evidenced-based decision making process, including randomized controlled trials when feasible. The evidence-based decision making process is the process by which USAID determines whether to move an applicant from its current stage to the next applicable stage. Data collection shall include gender and youth data as described in sections C.3.3 and C.3.4. The Contractor shall provide the assessment reports when justifying that an applicant has satisfied all the criteria to move to the next stage.

USAID/Kenya anticipates providing direct support to innovators at Stages 2 and 3, including but not necessarily limited to grants; monetary assistance provided by the KFIE Contractor is therefore limited to

Stage 1 innovations.

Submit assessments to USAID for independent certification in accordance with Section C.7.

Certification shall be required for the design, data collection and validation, and analysis and results phases for all assessments performed on the innovations.

Work with Innovation Fellows by allowing Fellows access to information and innovation activities to support the evidenced-based decision making process, as well as research design and execution (refer to Section C.4)

C.3.2 Illustrative Activities/Innovations

The Contractor shall support the identification, testing, and scaling of innovative approaches that support agricultural production, market incentives, better nutrition, and increased household income.

Illustratively, these innovations/activities may include, but not be limited to:

Identifying agricultural crop varieties that are disease, pest, and drought tolerant, especially for alternative crops suitable for adoption by the very poor.

Encouraging adoption of improved crop varieties (including nutrient dense varieties such as lentils and orange-fleshed sweet potatoes) and agricultural technologies.

Catalyzing private sector manufacture of fortified complementary foods to address the nutritional needs of pregnant women and newborns that promotes access by rural women.

Promoting local-level processing of fortified foods that are easily accessible and affordable to rural women.

Promoting improved feeding practices and positive change in nutrition behaviors, especially targeting women.

Reducing transaction costs to enable the very poor to access markets, including ―last-mile‖ extension services, collection centers, and application of information and communications technology (ICT) to more efficiently disseminate agricultural information.

Buying down the risks of providers to develop, test and/or market new services or products, including but not limited to training and/or technical assistance in safety standards, quality standards, productivity techniques, and/or new financial services.

Selecting and/or co-financing infrastructure, technologies, and other capital goods, which could include market and transportation infrastructure, storage methods and facilities, irrigation, processing, and/or packaging technologies.

Spurring on-farm and off-farm employment through facilitating processing, agribusiness, and value-added small enterprises.

Catalyzing social innovations that reduce gender inequalities in agricultural production and income

(e.g. labor-saving technologies, linking women to extension and markets, promoting farming as a family business with an emphasis on positive gender relations in the family unit, innovations that secure women‘s access and rights over productive resources, etc.)

Facilitating public-private investments in the animal feed industry, value-added opportunities in regional markets, contract farming, and other opportunities as they arise.

The above list is illustrative in nature and is not all encompassing; the Contractor shall use its expertise to identify as many activities as is practical.

C.3.3 Incorporating Gender in KFIE Implementation

USAID/Kenya‘s FTF Strategy notes that inequitable access to the factors and benefits of agricultural production by women is an underlying cause of poverty. The roles of women and men and their relative power affect who-does-what within the home and outside, who controls what resources, and who benefits from the work done. USAID believes that developing strategies and building these differences into the design and implementation of KFIE innovations will help lessen their intensity, resulting in not just better performance but also contributing to great social equity and equality. In this regard, for each innovation selected for assistance, the Contractor shall:

Complete a concise gender analysis of target populations in the FTF focus regions to aid planning and design of gender-sensitive innovations (illustratively one page).

Where appropriate, promote innovations that reduce gender inequalities.

Collect gender-disaggregated data and monitor gender impacts of innovations at all Stages.

C.3.4 Incorporating Youth in KFIE Implementation

Over 67% of the under- and unemployed in Kenya are young girls and boys aged between 15-30 years

(defined as youth by the GOK). Youth can become active in many roles in the value chains: for example, as traders, processors or BDS providers. The dairy – and particularly the horticultural – sectors are the most attractive to youth due to the high returns of investment compared to lower value crops such as maize, sorghum, and millet. Additionally, horticulture is very attractive due to relatively low barriers to entry and shorter production cycles. As the value chains become more competitive, there will be increased job opportunities generated by increased private sector investment. In this regard, for each innovation selected for assistance, the Contractor shall:

Complete a concise youth analysis of target populations in the FTF focus regions to aid planning and design of youth-sensitive innovations (illustratively one page).

Where appropriate, promote innovations that enhance youth participation.

Collect data and monitor youth impacts of innovations at all Stages.

C.4. SHORT TERM TECHNICAL ASSISTANCE

This section of the SOW represents CLIN 003, 103, and 203. When properly ordered per Section B.7 and in accordance with the approved order statement of work, the Contractor shall:

Provide hands-on technical and managerial assistance and mentoring to recipients to develop their innovations, increasing the likelihood of eventual success. Assistance shall include providing technical expertise in (illustratively) agronomy, marketing and distribution, processing, quality assurance, packaging, trade, information and communication technologies, etc. at the producer/entrepreneur level.

Provide organizational and financial management capacity building as required to potential Stage 2 and 3 recipients to support USAID‘s ability make grants as transition awards, in accordance with

ADS 303.3.6.6 b(3).

Capacity building includes inter alia assessing the entity to determine areas of weakness; designing and implementing corrective actions to address areas of concern, and; monitoring and reporting actions taken. Capacity development should strengthen the entity‘s organizational sustainability

(such as corporate governance) and financial sustainability.

Assist in the development of marketing and distribution strategies for selected innovations.

The Contractor, through providing STTA, shall assist the applicants in meeting the stage criteria for advancement into the next stage.

C.5. KEY PERSONNEL

The following positions have been designated as key personnel and are essential to the work being performed under this task order. Prior to replacing any of these individuals, the Contractor shall notify both the Contracting Officer and the COR reasonably in advance and must submit written justification

(including proposed substitutions) in sufficient detail to permit evaluation of the impact on the program.

No replacement shall be made by the Contractor without the written consent of the Contracting Officer.

Chief of Party

The Chief of Party (COP) shall be responsible for overall management of the contract. S/he shall be the lead person for the Contractor. USAID envisions a COP with a venture capital mindset and a private sector background.

Minimum Qualifications:

Master‘s degree Business Administration or another relevant field or a Bachelor‘s degree and 5 additional years of experience in the below areas.

At least 7 years‘ experience in venture capitalism or other relevant experience.

At least 10 years‘ experience working overseas.

Engagement Manager

The Engagement Manager shall be responsible for conducting initial assessments of applicants at all stages, determining what type and how much technical assistance is needed for each innovation (per sections C.3.1 and C.4), submitting proposals for the identified technical assistance (per section B.7), and managing short-term technical assistance orders.

Master‘s in Business Administration or relevant field or a Bachelor‘s degree and 5 additional years of experience in the below areas.

At least 7 years‘ experience in management/financial consulting, venture capitalism, or other relevant field.

Native Kiswahili preferred.

Assessment and Evaluation Specialist

The Assessment and Evaluation Specialist shall be responsible for the design and oversight of experiments and other rigorous evidence based assessments.

Ph.D. in relevant field or Ph.D. candidates that have obtained a Master‘s degree and can demonstrate possession of the skills and abilities necessary to perform the work.

Five years‘ experience conducting rigorous, evidence-based assessments, or similar studies.

Grants and Operations Manager

The Grants and Operations Manager shall be responsible for managing and executing the GUCs program.

In addition to managing the grants program, USAID suggests that the Grants and Operations Manager leads operations, finance, accounting, and ensures compliance with USAID regulations for the project.

Masters in accounting, finance, or similar degree or a Bachelor‘s degree and 5 additional years of experience in the below areas.

Five years‘ experience managing grants programs.

Five years in finance/accounting.

Five years‘ experience in compliance on a large complex development programs.

Agricultural Innovation Specialist

The Agricultural Innovation Specialist shall be responsible for leading agricultural efforts for the project.

USAID envisions a private sector oriented Agricultural Innovation Specialist who can envision and implement solutions to adopting improved agricultural practices.

Graduate degree in a relevant field or a Bachelor‘s degree and 5 additional years of experience in the below areas.

At least 7 years‘ private sector agricultural or similar experience.

C.6. GEOGRAPHIC AREAS

The Contractor shall primarily perform the requirements of this SOW in the two geographic sub-regions identified as High Rainfall Zone 1 (HR1) and Semi-Arid Zone 2 (SA2) targeted by the Feed the Future

Strategy which contain the greatest number of rural poor, highest poverty density, lowest income households, highest number of malnourished children, and highest percentage of female heads of households (Refer to Attachment 2). Geographic focus areas may change over time, though workload will remain the same. Innovations from any part of Kenya will be considered.

C.7. ROLE OF USAID

USAID will be actively engaged in the development and execution of the activities outlined in this SOW and in the Attachments. Specifically, USAID will:

If refinements to the stage criteria are needed after award, work collaboratively with the Contractor to refine criteria that defines Stage 1, Stage 2, and Stage 3 innovations, as well as the criteria for an innovation‘s successful ―graduation‖ (i.e., widespread adoption and self-sufficiency).

Based on proposed Stage 1 innovations from the Contractor as outlined in C.3.1 approve Stage 1 innovations for support from the Contractor.

Propose at its discretion other non-USAID participants (such as representatives of DIV, the GOK, and other experts and stakeholders) to participate in the selection process innovations at any stage.

Provide and support Innovation Fellow(s) and other resources independent of the Contractor to support the evidenced-based decision making process.

o Innovation Fellows will:

Engage in both the research design and execution related to the assessments of innovations;

Be a resource for the Contractor in terms of offering technical advice in the implementation of experimental designs;

Review, provide suggestions, and interpret the results of experiments conducted by the

Contractor on innovations; and, Monitor experiments and data collection and support verification of assessment design, data collection, analysis, and results.

o Offerors are not expected to budget for Innovation Fellows nor provide space for them in their offices.

Directly support Stage 2 and 3 recipients through grants or any other appropriate mechanism.

Apply innovations identified and tested by the KFIE into the broader Feed the Future Strategy under implementation by USAID and its partners.

Facilitate coordination with other USAID innovation initiatives, such as the activities of DIV.

Possibly host (assisted by the Contractor) one or more ―Solution Seeking‖ or ―Matchmaking‖ sessions that bring together USAID staff including Innovation Fellows, researchers, academic and other development professionals to discuss the greatest opportunities and potential innovative solutions for food security in Kenya.

Conduct external evaluations of the Kenya Feed the Future Innovation Engine, including a mid-term evaluation that includes a report on options for sustainability.

Provide an independent ―certification‖ of the design, data collection and validation, and analysis and results phases for assessments performed on innovations by the Contractor at all stages to support the evidenced-based decision making process. USAID shall provide the certification or require changes within 14 days after receipt of a request for certification from the Contractor.

Solicit support for the KFIE from other development partners, including non-traditional development partners such as foundations and social venture capital funds.

The Contractor shall work with the USAID Contracting Officer‘s Representative (COR) for the KFIE activity. The Contractor's team leader, or his/her designee, will communicate regularly with the USAID

COR on a monthly basis. On an as-needed basis, the staff composition of the meetings will be determined by the COR and the Contractor to reflect the special nature of the meetings; for example, instances where the Contractor's financial manager and other USAID staff will need to be in attendance.

C.8. GRANTS UNDER CONTRACT (GUCs)

The Contractor will make grants to Kenyan Stage 1 recipients, as described above (Section C.3.1) pursuant to ADS 302.3.4.8 (Grants Under Contract).

Use of the GUCs procedure is subject to specific approval by USAID and must meet certain conditions, not all of which are summarized herein. The

Contractor may be required by USAID to develop a grants procedure manual, approved by the USAID

Contracting Officer, for the administration of GUCs. USAID must be significantly involved in establishing selection criteria for GUCs and must approve the actual selection of grant recipients. In addition, USAID will retain the right to terminate grants unilaterally.

C.9. PERFORMANCE MANAGEMENT PLAN AND EVALUATIONS

The Contractor‘s Performance Management Plan submitted as per Section F, is hereby incorporated by reference into the contract.

As noted above (Section C.7) USAID/Kenya intends to conduct one or more external evaluations of the overall KFIE activity, including a mid-term evaluation. (This should not be confused with evaluations described in Attachment 1 that determine the success of supported activities through the various Stages.)

It is intended that grant funds can be used in flexible and creative ways, such as to leverage other mechanisms including buying down the risk of other funders; however, grant funds must be remitted to the Stage 1 recipient and no other party.

These evaluations are intended to document progress as well as make recommendations to increase the efficiency and effectiveness of KFIE. While the Contractor is not responsible for the conduct of this evaluation, the Contractor shall provide information to the evaluation team.

[END OF SECTION C]

SECTION D - PACKAGING AND MARKING

D.1. 752.7009 MARKING (JAN 1993)

(a) It is USAID policy that USAID-financed commodities and shipping containers, and project construction sites and other project locations be suitably marked with the USAID emblem. Shipping containers are also to be marked with the last five digits of the USAID financing document number. As a general rule, marking is not required for raw materials shipped in bulk (such as coal, grain, etc.), or for semi-finished products which are not packaged.

(b) Specific guidance on marking requirements should be obtained prior to procurement of commodities to be shipped, and as early as possible for project construction sites and other project locations. This guidance will be provided through the cognizant technical office indicated on the cover page of this contract, or by the Mission Director in the Cooperating Country to which commodities are being shipped, or in which the project site is located.

(c) Authority to waive marking requirements is vested with the Regional Assistant Administrators, and with Mission Directors.

(d) A copy of any specific marking instructions or waivers from marking requirements is to be sent to the Contracting Officer; the original should be retained by the Contractor.

D.2. BRANDING POLICY

The Contractor shall comply with the requirements of the policy directives and required procedures outlined in USAID Automated Directive System (ADS) 320.3.2 ―Branding and Marking in USAID Direct

Contracting‖ (version from January 8, 2007) at http://www.usaid.gov/policy/ads/300/320.pdf; and USAID

"Graphic Standards Manual" available at www.usaid.gov/branding, or any successor branding policy.

As per 320.3.2 Branding and Marking in USAID Direct Contracts, USAID policy is to require exclusive branding and marking in USAID direct acquisitions. ―Exclusive Branding‖ means that the program is positioned as USAID‘s, as showcased by the program name (e.g., ―The USAID/Basic Education

Program‖). ―Exclusive Marking‖ means Contractors may only mark USAID-funded programs, projects, activities, public communications, and commodities with the USAID Standard Graphic Identity and, where applicable, the host-country government or ministry symbol or another U.S. Government logo.

It is USAID‘s policy that Contractors‘ and subContractors‘ corporate identities or logos must not be used on USAID-funded program materials.

D.3. MARKING AND BRANDING STRATEGY

The Contractor shall submit a branding and marking plan no later than 30 days after award. The plan must be in accordance with ADS 320.3.2. The plan must be submitted to the COR for approval.

Anticipated elements of marking plan: Deliverables to be marked, include products, equipment and inputs delivered; places where program activities are carried out; external public communications, studies, reports, publications and informative and promotional products; and workshops, conferences, fairs, media related activities and any such events. Publications authored by Contractors or other non-USAID employees must include the following disclaimer on the title page: ―The author‘s views expressed in this publication do not necessarily reflect the views of the United States Agency for International

Development or the United States Government.‖ Threats and restrictions to the security of the program http://www.usaid.gov/policy/ads/300/320.pdf http://www.usaid.gov/branding need to be identified and assessed in order to request any necessary exception from the marking requirement in accordance with ADS 320.3.2.

USAID‘s web page contains the electronic version of the Graphic Standards Manual that is compulsory for all Contractors. Marking under this contract shall comply with the ―USAID Graphics Standards

Manual‖ available at http://www.usaid.gov/branding/acquisition.html.

[END OF SECTION D]

http://www.usaid.gov/branding/acquisition.html

SECTION E - INSPECTION AND ACCEPTANCE

E.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

The following contract clauses pertinent to this section are hereby incorporated by reference (by Citation

Number, Title, and Date) in accordance with the clause at FAR "52.252-2 CLAUSES INCORPORATED

BY REFERENCE" in Section I of this contract. See FAR 52.252-2 for an internet address (if specified) for electronic access to the full text of a clause.

NUMBER TITLE DATE

FEDERAL ACQUISITION REGULATION (48 CFR Chapter 1)

52.246-4 INSPECTION OF SERVICES—FIXED PRICE AUG 1996

E.2. INSPECTION AND ACCEPTANCE

USAID inspection and acceptance of services, reports and other required deliverables or outputs shall take place at:

USAID/Kenya c/o American Embassy

United Nations Avenue, Gigiri

Nairobi

Kenya or at any other location where the services are performed and reports and deliverables or outputs are produced or submitted. The COR listed in Section G has been delegated authority to inspect and accept all services, reports and required deliverables or outputs.

[END OF SECTION E]

SECTION F - DELIVERIES OR PERFORMANCE

F.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

The following contract clauses pertinent to this section are hereby incorporated by reference (by Citation

BY REFERENCE" in Section I of this contract. See FAR 52.252-2 for an internet address (if specified)

52.242-15 STOP-WORK ORDER AUG 1989

52.242-17 GOVERNMENT DELAY OF WORK APR 1984

F.2. PLACE OF PERFORMANCE

The place of performance under this contract is Kenya.

F.3. REPORTING REQUIREMENTS

The Contractor shall submit the following outputs to the USAID/Kenya COR or his/her designate. Each of the reports shall be submitted electronically using Microsoft Word, Excel, or PowerPoint software. All reports shall be written in English. All reports are subject to approval by the USAID/Kenya COR.

Written reports will be in the form of regular reports (as described below) as well as ad hoc written reports for which content and length will be determined jointly by the USAID/Kenya COR and the

Contractor.

F.3.1 Monthly Progress Report

The Contractor shall submit a short monthly progress report with progress highlights and upcoming activities. This report shall document evidence of the Contractor‘s performance of the requirements of

Section C and serve as basis for monthly invoicing (illustratively 2-5 pages).

F.3.2 Quarterly Progress Report

The Contractor shall submit a concise Quarterly Progress Report no later than thirty days (30) following the end of each calendar quarter. The reports shall be limited to twenty pages and reflect the structure of the Annual Work Plan and the PMP, and address at least the following points:

Activities completed under each planned intervention

Activities to be undertaken in the following quarter

Outputs accomplished and results realized in the quarter

Achievements of the quarter (and cumulative to date) as defined by the PMP

Aggregate outputs accomplished and results realized since project inception

Budget execution, clearly showing actual versus planned expenditures, and a forecast of the expenditures for the remainder of the project

Discuss and propose solutions to issues or problems that are affecting the delivery or timing of interventions, or the achievement of results of this project

Electronic and hard copies of all reports, success stories, and other relevant documents prepared during the quarter (to be submitted as attachments)

F.3.3 Annual Work Plan

For the purpose of the Annual Work Plan, ―Annual‖ is defined according to the U.S.

Government fiscal year: i.e. October 1 st to September 30 th . Within thirty (30) days after award, the

Contractor shall submit and finalize – with input from the USAID COR – an Annual Work Plan for year one; or if the commencement of work is during the course of the fiscal year, the initial work plan shall cover the period from 45 days after award to the end of September for that year. Subsequent full year

Work Plans are due October 1 st ; the USAID COR shall approve, in writing, the Work Plan by October th . This work plan shall be based around a Gantt chart and shall include clear tasks, milestones, outputs, counterparts involved, and resources used to accomplish the objectives.