SOL_-_72052718R00001_Pro_Bosques_RFP.pdf

Issuance Date: December 27, 2017 Questions Due Date: January 11, 2018 Questions Due Time: 14:00, Lima Local Time Closing Date: March 1, 2018 Closing Time: 14:00, Lima Local Time

Subject: Request for Proposals (RFP) No.SOL-72052718R00001

USAID/PERU – SECURING A SUSTAINABLE, INCLUSIVE AND PROFITABLE

FOREST SECTOR PROGRAM (PRO-BOSQUES)

The United States Agency for International Development (USAID) is seeking proposals from U.S.

or non-U.S. non-profit or for-profit organizations to achieve the objectives set forth in the attached Request for Proposals (RFP). USAID anticipates awarding one cost-plus-fixed-fee (CPFF) type term form contract with a period of performance of 5 years. The North American Industry Classification System (NAICS) code for this acquisition is 541990. The authorized geographic code is 937.

The purpose of PRO-BOSQUES is to manage forest resources to conserve biodiversity and reduce carbon emissions, uphold the bilateral trade agreement, increase competitiveness and combat illegal logging-related security threats.

The estimated cost range for this procurement is $23.0 to $24.5 Million. Revealing the estimated cost of the contract does not mean that Offerors should necessarily strive to meet the maximum amount estimated. Offerors must propose costs that are realistic and reasonable for the work described in the proposal to accomplish the statement of work. The most effective approach for achieving the expected results is encouraged and award will be made to the Offeror whose proposal offers the best value to the Government considering technical and cost factors (see Section M).

USAID encourages participation, to the maximum extent possible, of small business concerns in this activity as a prime or subcontractor. USAID also encourages proposals that include teaming arrangements – prime contractors and subcontractors – with regional or local members.

This procurement will be conducted under full and open competition procedures, pursuant to Part 15 of the Federal Acquisition Regulation (FAR) (48 CFR Chapter 1). Please refer to Section L for information regarding proposal requirements. Offerors should take into account the expected delivery time required by the proposal transmission method they choose, and they are responsible for ensuring proposals are received at USAID by the due date and time as specified on the cover page. Faxed proposals are not acceptable, nor will they be reviewed or evaluated.

Section L of the RFP sets forth all instructions for the preparation and submission of required proposal contents. Section M states the criteria by which proposals will be evaluated.

USAID/Peru Securing a Sustainable, Inclusive and Profitable Forest Sector Program (PRO-BOSQUES)

SOL-72052718R00001

Proposals are due in accordance with the above. Late proposals will not be accepted in accordance with FAR 15.208. ONLY ELECTRONIC SUBMISSION at the following address:

limasolicitations@usaid.gov will be accepted for receipt of proposals. Faxes are not acceptable.

Any questions regarding this RFP are to be submitted in writing via e-mail to limasolicitation@usaid.gov by the date and time specified above. Oral instructions or explanations given before the award of the contract resulting from this solicitation shall not be binding. Offerors must NOT submit questions to any other USAID staff. Answers to all questions received will be provided in writing. When submitting requests for clarification please make reference to the specific RFP as follows:

Subject: SOL-72052718R00001 USAID/PERU – SECURING A SUSTAINABLE, INCLUSIVE AND PROFITABLE FOREST SECTOR Program (PRO-BOSQUES)

Reference: SOL Section ___, paragraph ___, page ___

This RFP in no way obligates USAID to award a Contract nor does it commit USAID to pay any cost incurred in the preparation and submission of a proposal. Award of a Contract under this RFP is subject to availability of funds and other internal USAID approvals.

This RFP can be viewed and downloaded from www.fedbizopps.gov. USAID bears no responsibility for data errors resulting from transmission or conversion processes. Further, be aware that amendments to solicitations are occasionally issued and will be posted on the same website from which you downloaded the solicitation. USAID advises to regularly check the above website for amendments.

Sincerely, /S/ Bruce Gelband Regional Contracting Officer mailto:limasolicitations@usaid.gov

ABBREVIATIONS

AAPD Acquisition & Assistance Policy Directive ADS Automated Directives System AIDAR Agency for International Development Acquisition

Regulation ARA Regional Environmental Authority AREP Amazon Regional Environment Project AWP Annual Work plan BMZ Federal Ministry of Economic Cooperation and

Development BYE Biodiversity and Enterprises CCGAP Climate Change Gender Action Plan CCR Central Contractor Registration CDC Community Development Coordinator

CFM Community Forest Management CFR Code of Federal Regulation CITE Center for Technological Innovation CO Contracting Officer COP Chief of Party CPFF Cost-Plus-Fixed-Fee COR Contracting Officer’s Representative CSO Civil Society Organization CV Curriculum Vitae D&B Dun and Bradstreet, Inc.

DBA Defense Base Act DCA Development and Credit Authority DCOP Deputy Chief of Party DEC Development Experience Clearinghouse DUNS Data Universal Numbering System EFT Electronic Funds Transfer EIA Environmental Investigation Agency EMA Environmental Management Approach FA Finance Administrator FAR Federal Acquisition Regulation GAO General Accounting Office GDA Global Development Alliance GHG Greenhouse Gases GIZ German International Cooperation GOP Government of Peru GTF Forest Transport Guide HSPD-12 Homeland Security Presidential Directive-12 IDE Spatial Data Infrastructure IDER Regional Spatial Data Infrastructure IEE Initial Environmental Evaluation IO Indigenous Organization IT Information Technology

LFFS Forestry and Wildlife Law MAFS Synchronized Forestry Production Method MC-SNIFFS Control Module of the National Forest and Wildlife

Management Information System MEDEVAC Medical Evacuation MEF Ministry of Economy and Finance MEL Monitoring, Evaluation and Learning MINAGRI Ministry of Agriculture MINAM Ministry of Environment MINCUL Ministry of Culture M/IRM Office of Information Resource Management NTFP Non Forest Timber Products ODI Office of Democratic Initiatives, USAID/Peru OECD Organization for Economic Cooperation and

Development OMB Office of Management and Budget ORCA Online Representations and Certifications Application OSINFOR Forestry and Wildlife Resource Oversight Agency OU Operating Unit PDF Portable Document Format PIV Personal Identity Verification PMP Performance Management Plan PNFFS National Forest and Wildlife Policy PPF Permanent Production Forest PRODUCE Ministry of Production PSGC International Quality Management Program PTPA Peru Trade Promotion Agreement PWS Performance Work Statement RFP Request for Proposals RMP Rapid Mobilization Plan SAR South America Region SERFOR Peruvian Forest And Wildlife Service SNIFFS National Forest and Wildlife Management Information

System SOW Statement of Work SUNASS National Superintendent of Sanitation Services TDC Conditional Direct Transfers TOC Theory of Change TIN Taxpayer Identification Number US United States of America USAID United States Agency for International Development USAID/W USAID Washington ISFS United States Forest Service USG United States Government VFN Veeduria Forestal Nacional

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1. THIS CONTRACT IS A RATED ORDER RATING PAGE OF PAGES

UNDER DPAS (15 CFR 700)

2. CONTRACT NUMBER 3. SOLICITATION NUMBER 4. TYPE OF SOLICITATION 5. DATE ISSUED 6. REQUISITION/PURCHASE NUMBER

SEALED BID (IFB)

7. ISSUED BY CODE 8. ADDRESS OFFER TO (If other than Item 7)

NOTE: In sealed bid solicitations "offer" and "Offeror" mean "bid" and "bidder".

9. Sealed offers in original and _____________________________ copies for furnishing the supplies or services in the Schedule will be received at the place specified in Item 8, or if handcarried, in the depository located in until local time _______________________ (Hour) (Date)

CAUTION - LATE Submissions, Modifications, and Withdrawals: See Section L, Provision No. 52.214-7 or 52.215-1. All Offers are subject to all terms and conditions contained in this solicitation.

A. NAME B. TELEPHONE (NO COLLECT CALLS) C. E-MAIL ADDRESS

AREA CODE NUMBER EXT.

(X) SEC. DESCRIPTION PAGE(S) (X) SEC. DESCRIPTION PAGE(S)

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

A SOLICITATION/CONTRACT FORM I CONTRACT CLAUSES

B SUPPLIES OR SERVICES AND PRICES/COSTS PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

C DESCRIPTION/SPECS./WORK STATEMENT J LIST OF ATTACHMENTS

D PACKAGING AND MARKING PART IV - REPRESENTATIONS AND INSTRUCTIONS

E INSPECTION AND ACCEPTANCE

F DELIVERIES OR PERFORMANCE

G CONTRACT ADMINISTRATION DATA L INSTR., CONDS., AND NOTICES TO OFFERORS

H SPECIAL CONTRACT REQUIREMENTS M EVALUATION FACTORS FOR AWARD

K

REPRESENTATIONS, CERTIFICATIONS AND OTHER

STATEMENTS OF OFFERORS

NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period.

12. In compliance with the above, the undersigned agrees, if this offer is accepted within _180____ calendar days (60 calendar days unless a different period is inserted by the Offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the designated point(s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT 10 CALENDAR DAYS (%) 20 CALENDAR DAYS (%) 30 CALENDAR DAYS (%) CALENDAR DAYS (%)

(See Section I, Clause No. 52-232-8)

14. ACKNOWLEDGEMENT OF AMENDMENTS AMENDMENT NO. DATE AMENDMENT NO. DATE

(The Offeror acknowledges receipt of amendments to the

SOLICITATION for Offerors and related documents numbered and dated:

CODE FACILITY

16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER 15A. NAME AND

ADDRESS

OF OFFEROR

(Type or print)

15B. TELEPHONE NUMBER 17. SIGNATURE

18. OFFER DATE

AREA CODE NUMBER EXT.

15C. CHECK IF REMITTANCE ADDRESS IS DIFFERENT FROM

ABOVE - ENTER SUCH ADDRESS IN SCHEDULE

19. ACCEPTED AS TO ITEMS NUMBERED 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION: 23. SUBMIT INVOICES TO ADDRESS SHOWN IN ITEM

(4 copies unless otherwise specified) 10 U.S.C. 2304(a) ( ) 41 U.S.C. 253(c) ( )

24. ADMINISTERED BY (If other than Item 7) 25. PAYMENT WILL BE MADE BY CODE CODE

26. NAME OF CONTRACTING OFFICER (Type or print) 27. UNITED STATES OF AMERICA 28. AWARD DATE

IMPORTANT - Award will be made on this Form, or on Standard Form 26, or by other authorized official written notice.

(Signature of Contracting Officer)

(REV. 9-97)

10. FOR INFORMATION CALL:

11. TABLE OF CONTENTS

STANDARD FORM 33

SOLICITATION, OFFER AND AWARD

SOLICITATION

OFFER (Must be fully completed by Offeror)

AWARD (To be completed by Government)

SOL-72052718R00001

REGIONAL OFFICE OF ACQUISITION AND ASSISTANCE (ROAA)

USAID/PERU

DOSUSAID

3230 Lima Place Washington, DC 20521-3230

See Section L

Electronic Submissions Only – see Block 10.C and Section 1400EST March 1, 2018

Amy Larsen 511-618-1292 limasolicitations@usaid.gov

See Attached Table of Contents

X

X

X

X

X

X

X

X

X

TBD TBD

_ _ See Section G.5

FINANCIAL MANAGEMENT OFFICE

DOS/USAID

3230 LIMA PLACE

Washington, DC 20521-3230

Unit 70206

Jamala Ukwa, Supervisory Regional Contracting Officer

REQ-527-17-000103

X NEGOTIATED (RFP)

SOL-72052718R00001

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TABLE OF CONTENTS

SECTION B – SUPPLIES OR SERVICES AND PRICE/COSTS 5

B.1 PURPOSE

B.2 CONTRACT TYPE

B.3 ESTIMATED COST, FIXED FEE, AND OBLIGATED AMOUNT

B.4 PRICE SCHEDULE

B.5 FIXED FEE

B.6 INDIRECT COSTS (DEC 1997)

B.7 CEILING ON INDIRECT COST RATES

B.8 COST REIMBURSABLE

B.9 MULTI-YEAR CONTRACT

SECTION C - STATEMENT OF WORK 8

C.1 TITLE

C.2 PURPOSE

C.3 BACKGROUND

C.4 SCOPE OF WORK

C.5 IMPORTANT CONSIDERATIONS

SECTION D - PACKAGING AND MARKING 22

D.1 AIDAR 752.7009 MARKING (JAN 1993)

D.2 BRANDING AND MARKING POLICY

D.3 BRANDING STRATEGY

SECTION E - INSPECTION AND ACCEPTANCE 24

E.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

E.2 INSPECTION AND ACCEPTANCE

E.3 QUALITY ASSURANCE SURVEILLANCE PLAN (QASP)

SECTION F - DELIVERIES OR PERFORMANCE 26

F.1. NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

F.2. PERIOD OF PERFORMANCE

F.3. PLACE OF PERFORMANCE

F.4. TECHNICAL DIRECTION AND DESIGNATION OF RESPONSIBLE USAID OFFICIALS . 26

F.5. PERFORMANCE STANDARDS

F.6. KEY PERSONNEL

F.7. REPORTS AND OTHER DELIVERABLES

F.8 GOVERNMENT - FURNISHED PROPERTY

F.9 PREMIUM PAY

F.10 AIDAR 752.242-70 PERIODIC PROGRESS REPORTS (OCT 2007)

F.11 AIDAR 752.7005 SUBMISSION REQUIREMENTS FOR DEVELOPMENT EXPERIENCE

DOCUMENTS (SEPT 2013)

SECTION G - CONTRACT ADMINISTRATION DATA 44

G.1 CONTRACTING OFFICER'S AUTHORITY

G.2 TECHNICAL DIRECTION AND RELATIONSHIP WITH USAID

G.3 ACCEPTANCE AND APPROVAL

G.4 PAYMENT AND INVOICES

G.5 AIDAR 752.7003 DOCUMENTATION FOR PAYMENT (NOV 1998)

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G.6 ACCOUNTING AND APPROPRIATION DATA

G.7 CONTRACTOR’S PRIMARY POINT OF CONTACT

SECTION H - SPECIAL CONTRACT REQUIREMENTS 48

H.1 LANGUAGE REQUIREMENTS

H.2 CONTRACTOR’S STAFF SUPPORT AND ADMINISTRATIVE AND LOGISTICS

ARRANGEMENTS

H.3 AUTHORIZED GEOGRAPHIC CODE

H.4 AUTHORIZED WORK WEEK

H.5 EXECUTIVE ORDER ON TERRORISM FINANCING

H.6 FOREIGN GOVERNMENT DELEGATIONS TO INTERNATIONAL CONFERENCES (JAN

2002)

H.7 CONSENT TO SUBCONTRACT

H.8 SUBCONTRACTING PLAN REPORT FOR INDIVIDUAL CONTRACTS AND SUMMARY

CONTRACTING REPORT

H.9 DEFENSE BASE ACT INSURANCE AND SERVICES

H.10 NONDISCRIMINATION (JUNE 2012)

H.11 USAID-FINANCED THIRD-PARTY WEB SITES (NOVEMBER 2017)

H.12 CONFERENCE PLANNING AND REQUIRED APPROVALS (AUGUST 2013)

H.13 USAID IMPLEMENTING PARTNER NOTICES (IPN) PORTAL FOR ACQUISITION (JULY

2014)

H.14 SUBMISSION OF DATASETS TO THE DEVELOPMENT DATA LIBRARY (DDL)

(OCTOBER 2014)

H.15 ENVIRONMENTAL COMPLIANCE (22 CFR 216)

H.16 PERSONNEL COMPENSATION (JUL 2007)

H.17 ADDITIONAL REQUIREMENTS FOR PERSONNEL COMPENSATION

H.18 ELECTRONIC PAYMENTS SYSTEM (JULY 2014)

H.19 EXCHANGE VISITORS AND TRAINING

H.20 DISCLOSURE OF INFORMATION

H.21 NON-EXPENDABLE PROPERTY PURCHASES

H.22 SOURCE AND NATIONALITY REQUIREMENTS (FEB 2012)

H.23 SUBCONTRACTING PLAN AND THE SF 294 – SUBCONTRACTING REPORT FOR

INDIVIDUAL CONTRACTS AND SF 295 – SUMMARY CONTRACTING REPORT

H.24 CONFLICT OF INTEREST

H.25 LOGISTIC SUPPORT

H.26 GENDER CONSIDERATION

H.27 INHERENTLY GOVERNMENTAL AND CLOSELY ASSOCIATED FUNCTIONS

H.28 PROHIBITION OF ASSISTANCE TO DRUG TRAFFICKERS

PART II - CONTRACT CLAUSES 65

SECTION I - CONTRACT CLAUSES

PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS 85

SECTION J - LIST OF ATTACHMENTS

PART IV - REPRESENTATIONS AND INSTRUCTIONS 86

SECTION K - REPRESENTATIONS, CERTIFICATIONS AND OTHER STATEMENTS OF

OFFERORS

K.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY REFERENCE

K.2 52.204-8 ANNUAL REPRESENTATIONS AND CERTIFICATIONS (NOV 2017)

K.3 INSURANCE - IMMUNITY FROM TORT LIABILITY

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K.4 52.209-5 CERTIFICATION REGARDING RESPONSIBILITY MATTERS (OCT 2015)

K.5 52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS (JUL 2013)

K.6 K.5 52.209-11 REPRESENTATION BY CORPORATIONS REGARDING DELINQUENT

TAX LIABILITY OR A FELONY CONVICTION UNDER ANY FEDERAL LAW (FEB 2016)94

K.7 52.215-6 PLACE OF PERFORMANCE (OCT 1997)

K.8 52.222-21 PROHIBITION OF SEGREGATED FACILITIES (APR 2015)

K.9 52.222-22 PREVIOUS CONTRACTS AND COMPLIANCE REPORTS (FEB 1999)

K.10 52.222-25 AFFIRMATIVE ACTION COMPLIANCE (APR 1984)

K.11 K.9 52.227-15 REPRESENTATION OF LIMITED RIGHTS DATA AND RESTRICTED

COMPUTER SOFTWARE (DEC 2007)

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

(OCTOBER 2015)

K.13 52.230-7 PROPOSAL DISCLOSURE--COST ACCOUNTING PRACTICE CHANGES

(APR 2005)

K.14 AUTHORIZED NEGOTIATORS

K.15 SIGNATURE

SECTION L - INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS 101

L.1 52.252-1 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (FEB 1998)101

L.2 FAR 52.216-1 TYPE OF CONTRACT (APR 1984)

L.3 FAR 52.233-2 SERVICE OF PROTEST (SEPT 2006)

L.4 GENERAL INSTRUCTIONS TO OFFERORS

L.5 SUBMISSION/DELIVERY INSTRUCTIONS

L.6 INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL

L.7 INSTRUCTIONS FOR THE PREPARATION OF THE COST/BUSINESS PROPOSAL ... 109

L.8 INSTRUCTIONS FOR THE PREPARATION OF BRANDING AND MARKING PLANS .. 116

SECTION M - EVALUATION FACTORS FOR AWARD 118

M.1 GENERAL INFORMATION

M.2 TECHNICAL EVALUATION CRITERIA

M.3 COST/PRICE EVALUATION

M.4 DETERMINATION OF COMPETITIVE RANGE

M.5 SOURCE SELECTION

M.6 CONTRACTING WITH SMALL BUSINESS CONCERNS

ATTACHMENT J.1 - PAST PERFORMANCE QUESTIONNAIRE 122

ATTACHMENT J.2 - USAID FORM 1420-17 123

ATTACHMENT J.3 - MODEL SUBCONTRACTING PLAN OUTLINE 124

ATTACHMENT J.4 – TEMPLATE FOR THE BRANDING IMPLEMENTATION PLAN FOR

CONTRACTS 128

ATTACHMENT J.5 – TECHNICAL FRAMEWORK 138

ATTACHMENT J.6 – USAID’s AMAZON VISION 142

ATTACHMENT J.7 – CERTIFICATION REGARDING TRAFFICKING IN PERSONS

COMPLIANCE PLAN 144

ATTACHMENT J.8 – AMAZON VERDE BILATERAL GENDER ANALYSIS 145

ATTACHMENT J.9 – STATEMENT OF WORK: Results, Objectives, Tasks, Sub-tasks, Expected Outcomes and Illustrative Indicators 158

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PART I - THE SCHEDULE

SECTION B – SUPPLIES OR SERVICES AND PRICE/COSTS

B.1 PURPOSE

The purpose of this contract is to provide services described in the Statement of Work (SOW).

The contractor will support the strengthening of Peru’s forest sector, focusing on strengthening forest governance through forest control and monitoring tools, promoting private sector engagement through sustainable forest management and improved business practices, and fostering market inclusiveness through supporting the participation of forest-dependent communities in the forest sector.

The overall goal of this contract is to provide the pillars for sustainability, legality, inclusivity, and profitability that are necessary support Peru’s forest sector.

B.2 CONTRACT TYPE

This is a Cost-Plus-Fixed-Fee (CPFF) completion-type contract. For the consideration set forth below, the Contractor shall provide the performance requirements described in Section C and the deliverables or outputs described herein.

B.3 ESTIMATED COST, FIXED FEE, AND OBLIGATED AMOUNT

(a) The estimated cost for the performance of the work required hereunder, exclusive of fixed fee, if any, is: $ TBD. The fixed fee, if any, is $ TBD. The estimated cost plus fixed fee, if any, is $ TBD.

(b) Within the estimated cost plus fixed fee (if any) specified in paragraph (a) above, the amount currently obligated and available for reimbursement of allowable and allocable costs incurred by the Contractor (and payment of fee, if any) is $ TBD. The Contractor must not exceed the aforesaid obligated amount in accordance with the Limitation of Funds Clause, FAR 52.232.22.

(c) Funds obligated hereunder are anticipated to be sufficient through TBD.

B.4 PRICE SCHEDULE

Description Base Contract (USD)

Total Estimated Cost

Direct Costs

Indirect Costs

Fixed-Fee

Total Estimated Cost Plus Fixed Fee

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B.5 FIXED FEE

Payment of fixed fee will be made upon receipt of a proper invoice and shall directly correspond to the percentage of allowable costs being paid. In accordance with FAR 52-216-8, Fixed Fee, the CO will withhold 15% of the total fee or $100,000, whichever is less until the required awards conditions under the reference clause have been met.

B.6 INDIRECT COSTS (DEC 1997)

The contract clause entitled “Allowable Cost and Payment (JUN 2013)”, FAR 52.216-7, specifies that the indirect cost rates shall be established for each of the Contractor’s accounting periods which apply to this contract. Pending establishment of revised provisional or final indirect cost rates, allowable indirect costs shall be reimbursed on the basis of the following negotiated provisional or predetermined rates and the appropriate bases:

Description Rate Base Type Period 1/ 1/ 1/ 2/ 2/ 2/ 3/ 3/ 3/

1/Base of Application:

Type of Rate: Provisional Period:

2/Base of Application:

Type of Rate: Provisional Period:

3/Base of Application:

Type of Rate: Provisional Period:

B.7 CEILING ON INDIRECT COST RATES

Ceilings are not applicable to Small Businesses.

(a) For each of the Contractor’s accounting periods during the term of this contract, the parties agree as follows:

(1) The distribution base for establishment of final overhead rates is _______________.

(2) The distribution base for establishment of final G&A rates is

(b) The Contractor will make no change in its established method of classifying or allocating indirect costs without the prior written approval of the contracting officer.

(c) Reimbursement for indirect costs will be at final negotiated rates, but not in excess of the following ceiling rates for each fiscal year:

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Indirect Cost Type FY 18 FY 19 FY20 FY 21 FY 22 FY 23 (Contractor’s FY)

1. [TBD]________ _____ _____ _____ _____ _____ _____

2. [TBD]________ _____ _____ _____ _____ _____ _____

3. [TBD]________ _____ _____ _____ _____ _____ _____

(d) The government will not be obligated to pay any additional amount on account of indirect costs above the ceiling rates established in the contract. This advance understanding will not change any monetary ceiling, cost limitation, or obligation established in the contract.

B.8 COST REIMBURSABLE

Allowable costs shall be limited to reasonable, allocable and necessary costs determined in accordance with FAR 52.216-7, Allowable Cost and Payment (JUN 2013), FAR 52.216-8, Fixed Fee (June 2011), if applicable, and AIDAR 752.7003, Documentation for Payment (NOV 1998).

In addition, the requirement and conditions concerning estimated cost and funding apply as detailed in FAR 52.232-22, Limitation of Funds (APR 1984).

B.9 MULTI-YEAR CONTRACT

This contract is considered non-severable, and is therefore a multi-year contract as defined in FAR 17.103. Consequently, this contract is subject to the requirements of FAR 17.106. This is a CPFF type term form contract where the Contractor is authorized to be reimbursed for all costs which are allowable in accordance with FAR 52.216-7, “Allowable Costs and Payment.”

The Contractor will not incur any costs which would have been amortized over the life of the contract should the contract be cancelled in accordance with FAR 52.217-2. Therefore, the cancellation ceiling established pursuant to FAR 17.106-1(c)(1) for each program year is $0.00.

[END OF SECTION B]

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SECTION C - STATEMENT OF WORK

C.1 TITLE

The title of this project is: USAID Securing a Sustainable, Profitable and Inclusive Forest Sector in Peru

The Spanish version of the title is: USAID Promoción de Bosques Sostenibles, Rentables e Inclusivos

The short title is: PRO-BOSQUES

C.2 PURPOSE

The purpose of this Contract is to support the strengthening of Peru’s forest sector, focusing on strengthening forest governance through forest control and monitoring tools, promoting private sector engagement through sustainable forest management and improved business practices, and fostering market inclusiveness through supporting the participation of forest-dependent communities in the forest sector.

The Contract will strengthen the forest sector as a means to sustainably manage forest resources to conserve biodiversity, and reduce carbon emissions, uphold the bilateral trade agreement, increase competitiveness and combat illegal logging related security threats. This Contract will provide the pillars for sustainability, legality, inclusivity, and profitability that are necessary to meet the goals of USAID/Peru’s Amazonia Verde Project and supporting Peru’s interests in the forest sector. For the purposes of this contract, a “sustainable, legal, inclusive, and profitable forest sector” refers to a Peruvian forest sector that balances the ecological, economic and socio-cultural pillars of forest management while complying with Peru Forestry and Wildlife Law.

This Contract is one of two implemented under the USAID/Peru’s five year Forestry Program, which is part of the Amazonia Verde Project, and has the purpose to “Strengthen Forest Sector Governance.” The Forestry Program seeks to achieve three specific objectives: 1) Support capacity building and implementation of sustainable forest management policies and practices;

2) Increase production and efficiency in the use of forest resources by private sector and civil society; and 3) Support indigenous people and other communities to benefit from the sustainable management of forest lands. The PRO-BOSQUES Contract will contribute with support to monitoring and enforcement to objective 1 in addition to being primarily responsible for objectives 2 and 3 of the Forestry Program. The second contract under the Forestry Program will be implemented through an Interagency Agreement with the United States Forest Service (USFS), and will be primarily responsible for objective 1. Both activities are expected to closely coordinate implementation. As needed, USAID will help to facilitate engagement between the two Activities, among other implementing partners. See Annex A for more information about USAID’s Environment program and others.

C.3 BACKGROUND

Over half of the Peruvian landscape is covered by Amazon forests and waters. These forests contain some of the world’s most important biodiversity and carbon. Globally, 20% of

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Page | 9| greenhouse gases (GHG) emissions come from cutting tropical rain forests and, in Peru, forest conversion accounts for about 51% of its GHG emissions. Although 90% of the timber being cut is for domestic use, one of the main destinations for the high value wood is the United States.

According to a World Bank study from 2012, an estimated 80% of Peru’s timber is logged illegally. This illegal logging contributes to forest degradation, losses to the Peruvian treasury due to tax evasion and non-payment of required fees. It has also been linked to other illicit activity such as illegal mining and drug trafficking, and to major criminal networks. Little of the profit from illegal logging accrues to those engaged in harvesting. An Environmental Investigation Agency (EIA) report noted that loggers get $70 per cubic meter for mahogany, but that by the time it reaches the importer, prices increase by 5,200%, to $3,710 per cubic meter.

Illegal logging can be an extremely profitable and low risk income generating activity.

The US 2008 Lacey Act Amendment bans commerce in illegally sourced plants and their products -including timber, wood, and paper products. The Act requires importers to declare the country of origin of harvest and species name of all plants contained in their products (a provision that is currently being phased in). It also establishes penalties for violations of the law, including forfeiture of goods and vessels, fines, and jail time. Prior to the passage of the Lacey Act Amendment, U.S. companies lost roughly US $1 billion each year, due to being undercut by cheap illegal timber imports. The U.S. Forest and Paper Industry estimates that illegal logging produces up to 10% of global wood products, depressing global timber prices by 7-16% and costing U.S. firms at least $460 million per year. It is currently estimated that illegal timber imports into the United States threaten more than 370,000 American jobs in the domestic wood industry.

The Peru Trade Promotion Agreement (PTPA) has a Forest Governance Annex that requires Peru to ensure that appropriate environmental standards apply to products traded with the U.S.

In the last nine years, with the backing of the PTPA, Peru has put in place the basic building blocks of a sector. In 2011, Peru enacted a new Forestry and Wildlife Law (LFFS, in Spanish), and in September 2015 the government issued regulations to implement this LFFS, following extensive consultation with civil society and the endorsement of indigenous peoples representing 52 ethnic groups. Peru has gained a lot of ground since the creation of the Ministry of Environment (MINAM) in 2008, the Ministry of Culture (MINCUL) in 2010, and the Peruvian Forest and Wildlife Service (SERFOR) in 2014. The Government of Peru (GOP) has made great strides in improving the Peruvian forest sector including: the development of a National Forestry Inventory; an update of its Timber Inventory in permanent production forests (PPF); the development of technical norms and procedures to support the LFFS regulations;

the final methodology for forest zoning, the launch of the Forest Development Executive Roundtable; and the development of a new timber tracking system (MC-SNIFFS) in the Amazon Corridor (Loreto-Ucayali-Huánuco-Lima), which meets a significant obligation under the PTPA; however, there is still significant work to be completed.

Many challenges remain in the GOP including the adoption of institutional arrangements and procedures for the full implementation of the MC-SNIFFS, insufficient staffing at various government authorities, and inadequate information leading to weak forest governance. For example, regional governments have the legal and administrative functions to manage the forestry sector within their jurisdictions, but they do not have sufficient budgets to fulfill their roles and take decisions. Moreover, vulnerable populations including women and indigenous are not incorporated in decision making, science and technology utilization is lacking, and there

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Page | 10| are perceived risks in new markets for sustainable timber and non-timber forest products due to informal extraction.

Recent reports by the Organization for Economic Cooperation and Development (OECD) indicate that demonstrating the economic benefits of new, sustainable, and efficient practices encourages compliance with legal frameworks and supports job creation on the formal market.

For example, sustainably harvesting forest resources nets significantly more profit and employs more local people than small-scale agriculture and ranching combined. Introducing new technologies and fostering the creation of enabling conditions to increase production and efficiency in the use of forest resources will minimize pressures. To see sweeping changes, engaging private sector is an important step and tool for leveraging development assistance.

Indigenous communities are one of the largest land holders in Peru, managing an estimated

13.6 million hectares of forested lands, which means 17% of the whole Peruvian Amazon.

Despite their large stake, they continue to face threats on their lands and livelihoods. The lack of coherent regulatory frameworks, political will, and enforcement capacity, facilitate the continuation of this destruction and degradation. Lack of land titling leading to land insecurity disproportionately impacts indigenous peoples of the Amazon and significantly reduces their rights and ability to protect forested lands. Development and implementation of Life Plans and Community Forest Management (CFM) has been identified by the LFFS1 to support Indigenous Communities to secure their rights and resources, and improve their well-being, by contributing to forest conservation. Life Plans are a long-term management document that acknowledges the right of indigenous societies to their own territory and culture, while also being formally recognized by the government in national and regional development efforts. CFM is seen as the planned use of different types of forest by local populations; among them, indigenous communities. Promotion of CFM with indigenous groups is a central recommendation from the evaluation of a prior USAID forest activity. This sustainable forest management approach may include both timber and Non-Timber Forest Products (NTFP) development, identified by the Life Plan. Agroforestry models might be promoted in areas where traditional agriculture is taking place.

C.4 SCOPE OF WORK

The contractor must provide all personnel, equipment, tools, materials, supervision, and other items and services necessary to perform services described hereunder to the standards defined in this contract.

C.4.1. OBJECTIVE 1: Strengthen Monitoring and Enforcement in the Forest Sector to increase legal timber for international and domestic use

According to the current forest regulations, Peru’s National Forest and Wildlife Management Information System (SNIFFS) is the primary system to manage forest resources and, as such, is of national interest. This system was designed to integrate several modules based on the sector’s priorities and availability of information. The Contractor shall support the implementation of the SNIFFS as a means to meet the GOP forest sector goals.

1 CFM has been defined by the LFFS (articles 9, 10, and Annex 1) as the set of activities aimed at the sustainable use and conservation of forest ecosystems carried out by indigenous peoples, native communities, peasant communities, and riverine populations or other local populations. CFM is characterized by the diversification of uses, with timber, non-timber, wildlife and other purposes, under individual or collective business models in association with companies.

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The Control Module of the National Forest and Wildlife Management Information System (MC- SNIFFS, in Spanish) was the first module developed with the support of USAID to strengthen monitoring and control of the forest sector through a formalized chain of custody system. The MC-SNIFFS is an operating system developed in coordination with SERFOR by Synergy International Systems (Synergy)2 through an open competition under USAID’s Peru Bosques Contract (closed December 2016). Synergy is the legal owner of the source codes of the operating system, IDM™3, and any structural changes at that level must be done by Synergy.

SERFOR, though, can use the source codes’ built-in features to customize and administer the MC-SNIFFS, based on IDM. The platform is sophisticated and at the same time flexible enough to allow SERFOR administering and performing modifications to MC-SNIFFS either using IDM configurations or MC-SNIFFS source code (e.g. data entry forms, custom and project-specific modifications, etc.). Under this contract, USAID will continue to strengthen SERFOR’s capacity to utilize MC-SNIFFS to improve monitoring and control of the forest sector. That means to provide support to the Core Team of SERFOR’ Information and Technology (IT) Office in order to resolve system issues that may arise when users interact while using the software application. General users might propose new modifications or improvements to the system that must be analyzed and resolved by SERFOR's team, progressively. The contract will ensure that SERFOR is administrating the system by developing procedures and protocols for its full implementation within the regions, accessing public funds to keep the system working, and improving the capacity of professionals for the efficient implementation and management of the MC-SNIFFS. The contract will also provide technical assistance to regional and local authorities, as well as private users in order to gain knowledge to use the system as the only way to register and approve management documents for each type of "enabling titles" (concessions, native communities, private lands, etc.), and to emit forest transport guides (GTF) to allow the transportation of legal wood. The continued support of the MC-SNIFFS in Amazon Timber Corridors will contribute to supporting the purpose of this Contract, upholding the Forestry and Wildlife Law and meeting Peru’s commitments under the PTPA.4

In addition to MC-SNIFFS, the Contractor shall support other control and monitoring tools that will strengthen the management of forest resources, such as “Community Control and Oversight” activities5 to promote the involvement of indigenous communities in monitoring and surveillance of their territories. Indigenous Organizations (IOs) at national and sub-national levels recognize and promote “Community Control and Oversight” activities as the best way to involve local communities in monitoring and management of forest resources and territories.

However, there are limited financial resources to implement such actions, like organization and planning, capacity building, recognition by local authorities and access to public funds. There are some efforts in Amazon regions, but big challenges remain. Thus, the Contract will support the core structure to scale up, enhance, and secure sustainability of existing initiatives.

USAID/Peru considers the implementation of the following tasks, at a minimum, as critical for attaining this objective.

2 https://www.synisys.com/ 3 IDM™ is a COTS (Commercial-Off-The-Shelf) platform, meaning it is commercially available, based on Java software running on the IIS Web server and a database backend MS SQL Server. The platform is based on a tiered architecture: an application server middle-tier, server RDBMS database back-end tier, and a front-end thin-client tier HTML5. All communication between levels is supported by the HTTP / HTTPS protocols.

4 USAID will provide basic overview training of the MC-SNIFFS system to the implementer of the contract through the existing partnership with the software’s developer, Synergy Inc.

5 One example of Community Control and Oversight activities is the Veeduría Forestal, promoted by one National Indigenous organization, AIDESEP. http://www.aidesep.org.pe/programas-nacionales/veeduria-forestal-nacional-vfn/ http://www.aidesep.org.pe/programas-nacionales/veeduria-forestal-nacional-vfn/

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Task 1.1. The Contractor shall assist GOP forest agencies and users to improve forest governance at national level through the implementation and use of the National Forest and Wildlife Management Information System (SNIFFS).

The following is a non-exhaustive list of technical assistance services required from the Contractor:

● Sub Task 1.1.1: Technical assistance to SERFOR and other national and regional

Peruvian authorities will be provided to fully implement and operate MC-SNIFFS focusing on all Amazon regions in Peru.6

₋ Conduct needs assessment/baselines in SERFOR to define internal capacities to manage the MC-SNIFFS at national level, as well as the baseline of legal timber harvest and transport.

₋ Identify and assess all Amazon timber corridors to implement the MC-SNIFFS.

₋ Work with SERFOR and Regional Environmental Authorities (ARA, in Spanish) to develop complementary norms for implementing the MC-SNIFFS.

₋ Identify and support GOP entities to establish institutional arrangements that allow the interconnection and interoperability among the MC-SNIFFS web platform and other governmental systems, resulting in a better coverage of control and monitoring of timber production and commercial flows. Some examples of governmental entities to work with are National Superintendent of Sanitation Services (SUNASS), Forestry and Wildlife Resource Oversight Agency (OSINFOR), Ministry of Production (PRODUCE), Peruvian Marine, and Police.

₋ Strengthen data and information gathering and exchanging processes necessary for the use of the MC-SNIFFS.

₋ With MC-SNIFFS in place, support the forest authorities to streamline and improve efficiency of their Control Post network throughout the country.

● Sub Task 1.1.2: Technical assistance to SERFOR to conceptualize and assess the design and implementation of other SNIFFS modules such as: Inventory, Forest Cadaster, Trade Promotion, and Knowledge Management.

₋ Jointly with SERFOR, develop a plan and analysis of options for GOP funding for the additional modules.

₋ Take into account national and regional Spatial Data Infrastructure (IDE, in Spanish) initiatives to complement SNIFFS.

Expected Outcomes for Task 1.1

a. By the end of year 3, 100% of existing management documents from ‘Title Holders’7

(Títulos Habilitantes) are registered in the MC-SNIFFS.

b. By the end of year 4, 100% MC-SNIFFS’ users in Amazon regions trained.8

6 Amazon regions can be: Loreto, Ucayali, San Martín, Amazonas, Huánuco, Junín, Pasco, Madre de Dios, Cusco and Puno.

7 For this Activity, Title Holders include: Concessions of Permanent Production Forests (BPP), Private Lands and Native Communities in Amazon regions (Loreto, Ucayali, Madre de Dios, Amazonas, San Martín, Huánuco, Junín, Pasco, Cusco, and Puno).

8 MC-SNIFFS’ users are: regional and local forest authorities, forest regents, all concessionaires, at least 50% of all sawmills owners of first timber transformation, and at least 50% of all indigenous local federations that represent indigenous communities with harvesting plans approved (DEMA) in Amazon regions such as Loreto, Ucayali, Madre de Dios, Amazonas, San Martín, Huánuco, Junín, Pasco, Cusco, and Puno.

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c. By the end of year 5, 100% of primary Forest Transportation Guide (GTF, in Spanish)9 in Amazon regions10 is emitted through the MC-SNIFFS.

d. By the end of year 3, two other modules of the SNIFFS designed with the support of this Contract.

Illustrative Indicators for Task 1.1

● Percentage of ‘Title Holders’ registered and controlled by the MC-SNIFFS, including timber’ volumes.

● Number of ‘Title Holders’ along timber corridors using the MC-SNIFFS after receiving

USG-supported training related to the system.

● Improvement in the performance of Peruvian forestry agencies in the adoption and implementation of SNIFFS: Institutional Capacity Index increased (EG.13-2).

Task 1.2. The Contractor shall assist indigenous organizations scale up, expand, and operationalize ‘community control and oversight’ to support independent management of indigenous territories.

The following is a non-exhaustive list of technical assistance services required from the Contractor:

● Sub Task 1.2.1: The Contractor shall work with national and sub-national IOs to improve the network of “community control and oversight” in the Peruvian Amazon to be recognized by the forest authorities.

● Sub Task 1.2.2: The Contractor shall collaborate with GOP agencies (i.e. OSINFOR, SERFOR, MINCUL, ARA, etc.), and national and sub-national IOs to implement and consolidate ‘community control and oversight’ activities at national and sub-national levels.

● Sub Task 1.2.3: Jointly with the selected national and sub-national IOs, the Contractor shall support them to develop strategic planning documents and processes to ensure the sustainability of national and regional ‘community control and oversight’ activities in priority regions11.

● Sub Task 1.2.4: The Contractor shall institutionalize, enhance, and secure sustainability of a training program for ‘community control and oversight’, considering technical and organizational needs and existing efforts.

Expected Outcomes for Task 1.2

a. By the end of year 5, 100% of targeted regional and local authorities of Loreto and

Ucayali include budget in their annual planning to implement ‘community control and oversight’ activities, in coordination with the selected subnational IOs.

9 GTF: official document emitted by the Regional Government to allow the transportation of timber along the national territory.

MC-SNIFFS will replace the emission of manual GTF by the digital ones.

10 Amazon regions include: Loreto, Ucayali, Madre de Dios, Amazonas, San Martín, Huánuco, Junín, Pasco, Cusco and Puno.

11 Priority regions for this contract include the Peruvian Amazon Regions. For the purposes of this activity, implementation will begin in Ucayali and Loreto but can expand to others.

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b. By the end of year 4, at least 12 indigenous communities in Loreto and Ucayali are organized and implementing ‘community control and oversight’ activities, formally recognized by forest authorities.

c. By the end of Year 2, a Training Program for ‘community control and oversight’ is in place and being implemented.

Illustrative Indicators for Task 1.2

● Amount of public investment leveraged and committed by regional and local authorities to support ‘community control and oversight’ activities.

● Number of indigenous communities implementing ‘community control and oversight’ activities supported by local IOs.

● Number of Indigenous People receiving USG supported training related to ‘community control and oversight’ activities (EG.13-1).

Task 1.3. The Contractor shall provide technical assistance to national and subnational government entities12 to effectively carry out forest governance responsibilities.

The following is a non-exhaustive list of technical assistance services required from the Contractor:

● Sub Task 1.3.1: The Contractor shall design and implement a training program jointly with the Amazon regional and local governments to improve their capacities to access and manage public funding to effectively carry out forest governance.

● Sub Task 1.3.2: The Contractor shall partner with the Ministry of Economy and Finance (MEF) to access public funds to improve forest governance, including the full operation of the MC-SNIFFS nationally and the permanent operation of “Community Control and Oversight” activities.

Expected Outcomes for Task 1.3

a. By the end of year 3, SERFOR, regional and targeted local forest authorities of Loreto and Ucayali are implementing a training program for their employees, as well as a tool for monitoring forest governance capacities and implementation of duties, in order to improve their capacities to access and manage public funding to meet needs of forest governance.

b. By the end of year 3, SERFOR and targeted regional and local authorities secure financial resources for the full implementation of the MC-SNIFFS in Amazon regions.

Illustrative Indicators for Task 1.3

● Number of national, regional and local authorities receiving USG supported training related to Forest Governance (EG.13-1).

● Amount of public investment leveraged and committed by national and sub-national authorities for the implementation of the MC-SNIFFS.

● Capacity building index for subnational forest authorities of priority regions.

12 Government entities shall be the Ministry of Economy and Finance, Ministry of Culture and Ministry of Agriculture, and their related agencies. Planning and Budget offices within each sector and subnational governments are expected to be involved.

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C.4.2. OBJECTIVE 2: Private Sector Engagement in Forest Sector Activities through the increase of efficiency in the use and transformation of forest resources in order to reduce deforestation rates and illegal logging.13

Catalyzing the private sector in forestry investments is a critical step to sustainability and a strong formal forest sector. Identifying the demand and markets for legal wood is a critical step to support systemic change. USAID seeks to leverage the various sources of technical expertise, investment and market opportunities in order to stimulate the forest sector and advance sustainable growth. By doing so, Peru will achieve sustainable forestry, a strong formalized sector and increased investments while reducing threats to biodiversity and greenhouse gas emissions from land use change.

To meet the Contract’s purpose of a sustainable, profitable, and inclusive forest sector, the Contractor shall support the adoption of efficient management practices to improve productivity (can include improvement of forests management in the field and quality management practices in sawmills), seek private sector engagement opportunities using various tools to focus its efforts on initiatives that promote the sourcing of legal wood, increase the access to existing markets and promote new markets (both, national and international) that support value-added transformation, and advocate for inclusive participation of vulnerable populations that will provide positive incentives to remain within the licit system. Demonstrating the economic benefits to adopting new, sustainable practices will encourage adoption and adherence to the regulatory framework, as a means of increasing competitiveness of business operations.

USAID/Peru considers the implementation of the following tasks, at a minimum, as critical for attaining this objective:

Task 2.1. The Contractor shall provide technical assistance to forest title holders and forest sawmills in priority regions to increase sustainability, legality, inclusivity, and profitability in the forest sector.

The following is a non-exhaustive list of technical assistance services required from the Contractor:

● Sub Task 2.1.1: Technical assistance to forest title holders to promote sustainable and inclusive forest management.

₋ Promote and improve best management practices and tools in at least 50% of

Concessions of Permanent Production Forest (PPF) and Private Lands existing in priority Amazon regions, related to the technical and administrative aspects of the forest management and business. Internal traceability must be addressed as well as other methods that reduce the impacts of harvesting tropical forests.

● Sub Task 2.1.2: Support improved management of at least 30% of existing timber sawmills in priority regions to enhance environmental, economic, and social conditions and raise competitiveness.

13 This Activity is expected to comply with FY 2016 Act, Sec. 7060(c)(2)(d), which requires that funds appropriated for biodiversity programs shall not be used to support or promote the expansion of industrial scale logging or any other extractive activity into areas that were primary/intact tropical forest as of December 30, 2013

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₋ Build administrative, accounting and financial capacities within forestry operations to improve production efficiency and commercialization processes.

₋ Improve internal traceability of transformed wood.

● Sub Task 2.1.3: Collaborate with GOP institutions such as CITE Madera and CITE Forestal to promote use of technological innovation by forest concessions and sawmills.

● Sub Task 2.1.4: Provide technical assistance to at least four (04) Local Authorities and

Communities in priority regions to officially establish and manage “Local Forests”,14 per the Forestry Regulations, securing public funds for sustainability.

Expected Outcomes for Task 2.1

a. By the end of year 4, At least four (04) municipalities are managing Local Forests.

b. By the end of year 5, 100% of selected ‘Forestry Title Holders’15 in the regions…