RFP_SOL-OAA-12-000128.pdf

Date Issued: January 6, 2014 Questions Due: Jan. 24, 2014, 5:00PM EST Past Performance Due: Feb. 19, 2014, 5:00PM EST Closing Date: March 5, 2014, 11:00 AM EST

Subject: Request for Proposals Number SOL-OAA-12-000128 USAID Global Health Supply Chain Program

The United States Agency for International Development (USAID) is seeking proposals to provide services for USAID’s Global Health Supply Chain Program as described in the attached Request for Proposals (RFP).

This procurement is being conducted through full and open competition for which the procedures described in FAR PART 15 of the Federal Acquisition Regulation (FAR), will apply. Proposals will be accepted from private for-profit firms, not-for-profit organizations, non-governmental organizations (NGOs) including universities, research organizations, professional associations, and relevant special interest organizations. USAID encourages proposals from potential new partners. The successful Contractor must have or establish its management office for this IDIQ in the Washington metropolitan area.

USAID anticipates the award of one Single Award Indefinite Delivery, Indefinite Quantity contract (IDIQ) for a five (5) five-year period as a result of this RFP. USAID anticipates that the maximum ordering limitation of the contract resulting from this RFP will be $9,500,000,000.00 ($9.5 Billion) over the 5-year ordering period. The maximum aggregate dollar value of task orders awarded to the contractor cannot exceed this contract ceiling. There is no guarantee on the number of task orders that the successful contractor will receive or the amount of money beyond the minimum order guarantee set forth in the RFP. The North American Industry Classification System (NAICS) code for this solicitation is 541611. The authorized geographic code for the prime contractor of this procurement is 937. However, the prime contractor will have an authorized geographic code of 935 for the sub-procurement of commodities and services in support of this award.

This IDIQ combines two existing IDIQ’s that will be expiring, The Supply Chain Management Systems (SCMS) contract and DELIVER contract. The current incumbent(s) of the previous two contracts are The Partnership for Supply Chain Management and John Snow, Inc. and they are authorized to submit a proposal under this RFP.

USAID also anticipates issuing three (3) initial Task Orders upon award of an IDIQ Contract.

Each Task Order Statement of Work is attached to this RFP and will have a separate award number and budget. The three task orders will be for 1) HIV/AIDS, 2) The President’s Malaria Initiative (PMI) and 3) Family Planning.

Please refer to Section L for information regarding proposal requirements. Offerors should take into account the expected delivery time required to submit proposal packages in person as set forth in Section L, and they are responsible to ensure that proposals are received at USAID by

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)

NEGOTIATED (RFP)

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, 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, the offeror will 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: Email

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)

1 N/A 147

SOL-OAA-12-000128

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U.S. AGENCY FOR INTERNATIONAL DEVELOPMENT

OFFICE OF ACQUISITION AND ASSISTANCE

M/OAA/GH SA-44 Building 301 4th Street, SW.

WASHINGTON, DC 20547

See Section L

See Section L

Paul Burford (202) 567-5303

GHcommodityIDIQ@usaid.gov

X 1

X

X

X

X

X

X

X

X

X

X

X

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$.00

Christopher J. Egaas

Contracting Officer mailto:GHcommodityIDIQ@usaid.gov

ACRONYMS

PART I - THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICE/COSTS

B.1 PURPOSE

B.2 CONTRACT TYPE AND SERVICES

B.3 MAXIMUM CONTRACT CEILING

B.4 MINIMUM ORDER GUARANTEE

B.5 CEILING ON FIXED FEE

B.6 APPROVED SUBCONTRACTORS

B.7 LABOR

B.8 LABOR (UNBURDENED CDR) RATE CHANGES

B.9 INDIRECT COSTS AND ADVANCED UNDERSTANDING ON CEILINGS

B.10 COST REIMBURSABLE

SECTION C:

STATEMENT OF WORK

C.1 STATEMENT OF WORK

C.2 OBJECTIVE 1: GLOBAL COMMODITY PROCUREMENT AND LOGISTICS

C.3 OBJECTIVE 2: SYSTEMS STRENGTHENING

C.4 OBJECTIVE 3: GLOBAL COLLABORATION

SECTION D – PACKAGING AND MARKING

D.1 AIDAR 752.7009 MARKING (JAN 1993)

D.2 BRANDING policy

D.3 PACKAGING AND PACKING PROVISIONS

SECTION E – INSPECTION AND ACCEPTANCE

E.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

E.2 INSPECTION AND ACCEPTANCE

E.3 RESPONSIBLE OFFICIAL

SECTION F - DELIVERIES OR PERFORMANCE

F.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

F.2 PERIOD OF PERFORMANCE

F.3 PLACE OF PERFORMANCE

F.4. PERFORMANCE STANDARDS

F.5 REPORTS AND DELIVERABLES OR OUTPUTS

F.6 ORDERING PROCEDURES

F.7 TASK ORDER ADMINISTRATION

F.8 KEY PERSONNEL

F.9 AUTHORIZED WORK WEEK

F.10 AIDAR 752.7005 SUBMISSION REQUIREMENTS FOR DEVELOPMENT EXPERIENCE

F.11 AIDAR 752.242-70 PERIODIC PROGRESS REPORTS (OCT 2007)

SECTION G – CONTRACT ADMINISTRATION DATA

G.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

G.2 PAYMENT AND VOUCHERS

G.3 CONTRACTING OFFICER

G.4 CONTRACTING OFFICER’S REPRESENTATIVE (COR)

G.5 CONTRACTOR’S PRIMARY POINT OF CONTACT

G.6 PAYING OFFICE

G.7 ACCOUNTING AND APPROPRIATION DATA

G.8 CONTRACTOR'S PAYMENT ADDRESS

G.9 TECHNICAL DIRECTIONS / RELATIONSHIP WITH USAID

SECTION H – SPECIAL CONTRACT REQUIREMENTS

H.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

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

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

H.4 AIDAR 752.7007 PERSONNEL COMPENSATION (JUL 2007)

H.5 ADDITIONAL REQUIREMENTS FOR PERSONNEL COMPENSATION

H.6 INFORMATION SYSTEM SECURITY

H.7 DEFENSE BASE ACT (DBA) INSURANCE

H.8 AUTHORIZED GEOGRAPHIC CODE

H.9 LOGISTIC SUPPORT

H.10 LANGUAGE REQUIREMENTS

H.11 NONEXPENDABLE PROPERTY PURCHASES & INFO. TECHNOLOGY RESOURCES

H.12 EXECUTIVE ORDERS ON TERRORISM FINANCING

H.13 FOREIGN GOVERNMENT DELEGATIONS TO INTERNATIONAL CONFERENCES

H.14 INTERNATIONAL TRAVEL APPROVAL AND NOTIFICATION REQUIREMENTS

H.15 USAID DISABILITY POLICY (DEC 2004)

H.16 COMPLIANCE WITH SECTION 508 OF THE REHABILITATION ACT

H.17 ORGANIZATIONAL CONFLICTS OF INTEREST:

H.18 LOGISTIC SUPPORT GOVERNMENT FURNISHED FACILITIES OR PROPERTY

H.19 RIGHT TO PROCURE FROM OTHER SOURCES

H.20 REPORTING OF FOREIGN TAXES (JULY 2007)

H.21 NONDISCRIMINATION (June 2012)

H.22 SUBCONTRACTING PLAN AND THE SF 294

H.23 SMALL DISADVANTAGED BUSINESS (SDB) PARTICIPATION PROGRAM TARGET

H.24 SUBCONTRACTING CONSENT

H.25 CONSCIENCE CLAUSE IMPLEMENTATION……………………………………………….……….80

H.26 CONDOMS……………………………………..……………………………………………….……….80

H.27 PROHIBITION ON THE PROMOTION OR ADVOCACY OF THE LEGALIZATION OR PRACTICE

OF PROSTITUTION OR SEX TRAFICCKING………………………………………………………..81

PART II – CONTRACT CLAUSES

SECTION I – CONTRACT CLAUSES

I.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

I.2 52.203-13 CONTRACTOR CODE OF BUSINESS ETHICS AND CONDUCT

I.3 52.216-18 ORDERING (OCT 1995)

I.4 52.209-9 UPDATES OF PUBLICLY AVAILABLE INFORMATION REGARDING

RESPONSIBILITY MATTERS (JUL 2013)

I.5 52.216-19 ORDER LIMITATIONS (OCT 1995)

I.6 52.216-22 INDEFINITE QUANTITY (OCT 1995)

I.7 52.217-8 OPTION TO EXTEND SERVICES (NOV 1999)

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

I.9 52.232.99 PROVIDING ACCELERATED PAYMENT TO SMALL BUSINESS……………………..92

I.10 52.232-12 ADVANCE

PAYMENTS……………………………………………..……………………..924

I.11 52.232-12 ADVANCE PAYMENT – ALTERNATE II MAY 2001…………………………………

PART III – LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS

SECTION J - LIST OF ATTACHMENTS

PART IV – REPRESENTATIONS AND INSTRUCTIONS

SECTION K – REPRESENTATIONS, CERTIFICATIONS & OTHER STATEMENTS OF OFFERORS. 103

K.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY REFERENCE

K.2 52.204-8 annual representations and certifications (Jul 2013)

K.3 52.209-7 INFORMATION REGARDING RESPONSIBIITY MATTERS (JUL 2013)

K.4 52.230-1 COST ACCOUNTING STANDARDS NOTICES AND CERTIFICATION (MAY 2012)

K.5 52.230-7 PROPOSAL DISCLOSURE – COST ACCOUNTING PRACTICE CHANGES

K.6 INSURANCE - IMMUNITY FROM TORT LIABILITY

K.7 MENTOR-PROTÉGÉ PROGRAM

K.8 AGREEMENT ON, OR EXCEPTIONS TO, TERMS AND CONDITIONS

K.9 AUTHORIZED NEGOTIATORS

K.10 DATA UNIVERSAL NUMBERING SYSTEM (DUNS) NUMBER

K.11 CONTRACTOR PURCHASING SYSTEM REVIEW

K.12 PROPERTY ADMINISTRATION SYSTEM REVIEW

K.13 SIGNATURE

SECTION L - INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS

L.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY REFERENCE

L.2 GENERAL INSTRUCTIONS

L.3 SERVICE OF PROTEST

L.4 DELIVERY INSTRUCTIONS

L.5 INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL

L.6 TECHNICAL PROPOSAL INSTRUCTIONS

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

SECTION M - EVALUATION FACTORS FOR AWARD

M.1 GENERAL INFORMATION

M.2 EVALUATION CRITERIA

M.3 EVALUATION OF THE COST/BUSINESS PROPOSAL

M.4 DETERMINATION OF COMPETITIVE RANGE

M.5 SOURCE SELECTION

ACRONYMS

ACT Artemisinin-based Combination Therapy APS Annual Program Statement ARV Antiretroviral CDC Centers for Disease Control CHAI Clinton Health Access Initiative CPFF Cost-Plus-Fixed-Fee CDR Ceiling Daily Rate DIFD Department for International Development (United Kingdom) FFP Firm-Fixed-Price GFATM Global Fund for AIDS, Tuberculosis and Malaria GH Global health GMP Good Manufacturing Practice ITN Insecticide Treated Net KPI Key Performance Indicator LLIN Long-lasting insecticide treated net NGO Non-governmental organization IPTp Intermittent preventive treatment for pregnant women IDIQ Indefinite Delivery, Indefinite Quantity contract PMI President’s Malaria Initiative QA Quality Assurance RFTOP Request for Task Order Proposal RDT Rapid Diagnostic Test SOW Scope of Work SKU Stock Keeping Unit TO Task Order TOCOR Task Order Contracting Officer’s Representative USAID United States Agency for International Development USG United States Government WHO World Health Organization

PART I - THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICE/COSTS

B.1 PURPOSE

The purpose of this contract is to provide services that fall within the Scope of Work (SOW) specified in Section C for USAID’s Global Health Supply Chain Program. USAID Task Order Contracting Officers (TOCOs) will request the work through the issuance of task orders during the ordering period as specified in Section F of the contract.

B.2 CONTRACT TYPE AND SERVICES

This is a Single Award Indefinite Delivery Indefinite Quantity contract (IDIQ) utilizing individual task orders to provide technical services. The Government will issue task orders that are either Cost-Plus-Fixed-Fee (CPFF) (term or completion) or Firm-Fixed-Price (FFP) or a combination thereof.

USAID intends to issue three (3) Task Orders, Task Order 01, Task Order 02 and Task Order 03 upon award of this IDIQ. These task orders will provide services under tasks further described in Section J.1, Section J.2 and Section J.3. Subsequent Task Orders will be solicited separately.

B.3 MAXIMUM CONTRACT CEILING

This is a Single Award IDIQ with an overall ceiling price of $9,500,000,000.00. The maximum aggregate dollar value of the task orders awarded cannot exceed this contract ceiling.

B.4 MINIMUM ORDER GUARANTEE

The minimum order guarantee for this contract is $25,000. USAID is required to order and the contractor is required to furnish the minimum order amount of services. The initial obligation is expected to be applied towards the first task order issued along with the award of the basic contract.

Following this initial obligation, individual task orders will obligate funds to cover the work required under each task order.

B.5 CEILING ON FIXED FEE

(a) For each CPFF task order issued under this IDIQ, the TOCO and Contractor agree to negotiate a set dollar amount for fixed fee. In negotiating the fixed dollar amount for fee, the TOCO must consider the policies and factors for establishing fee in FAR 15.404-4 as well as any applicable USAID policy on establishing a fixed fee amount and any additional considerations received to include a Letter of Credit. In no event, however, may the amount of fixed fee in any individual task order exceed _____ percent (Offeror proposes ceiling percentage) of the task order’s estimated cost, excluding fee. The fee ceiling applies to the prime contractor and any subcontractor.

Note: The ceiling on fixed fee does not apply to Firm-Fixed-Price (FFP) Task Orders.

(b) The Total Estimated Cost-Plus-Fixed-Fee for each task order must be negotiated in accordance with the terms of the IDIQ contract.

(c) Fee will not be applied to the cost of commodities.

(d) No fee on fee is authorized. Primes that are represented in Joint Ventures and are also proposed as subcontractors are authorized to propose fixed fee under either the prime contract or the subcontract, not both.

B.6 APPROVED SUBCONTRACTORS

[FAR clause 52.244-2, SUBCONTRACTS is incorporated in Section I, below is the fill in for paragraph (j) for this clause.]

Name Cage Code

B.6 (a) RESOURCE ORGANIZATIONS

TOCO’s may grant separate subcontract approvals for subcontractors not listed above for task orders in accordance with FAR part 52.244-2 and 44.202-2.

B.7 LABOR

(Only applicable to cost type task orders)

Central management costs will be handled through the following method:

The Contractor can bill USAID directly for key personnel performing IDIQ management costs under task orders.

B.7 (a) Unburdened Ceiling Daily Rates (CDR)

(1) The Unburdened Ceiling Daily Rates apply to all labor (the prime contractor, subcontractor, TCNs, CCN’s, and consultant salaries) on cost-type task orders. CDRs do not apply to fixed-priced task orders. Additional requirements and approvals under the contract still apply to labor costs, including, but not limited to:

a. AIDAR 752.7007 Personnel Compensation (July 2007) (See Section H.),

b. Approval of subcontractors under FAR Part 42,

c. Approval of any final salary rates above the Contractor Salary Threshold (CST) (see

ADS 302), and

d. Rules requiring that CCN and TCN labor comply with the local compensation plan limitations, as further provided below.

(2) Approved labor rates for all labor will be negotiated under task orders at equal to, or lower than, the CDRs. Final approval of labor rates is provided by the TOCO. The Government shall not be obligated to pay any daily rate that exceeds the ceiling daily rates set forth in the table below.

(3) Each CDR for personnel listed below is “unburdened” and must only include salary costs or consulting rates of the individual providing the services. The CDR for employees must not include the following:

• Payroll costs (fringe benefits, FICA, allowances, differentials, etc.);

• Indirect Costs applicable to labor; and

• Profit or fee, if any.

The CDRs set forth below are valid for the IDIQ Period of Performance, and are for a productive eight (8) hour day. The CDRs apply to all subcontractors under the contract, including those set forth in Section B.6 and new subcontractors proposed for specific cost-type task orders.

(4) The unburdened ceiling daily rates for each labor category/group below represent the mid-level and senior-level rate in each category/grouping. Two levels of unburdened ceiling daily rates for each labor category/grouping is included in the contract to provide more flexibility under task orders. If junior-level personnel are required under task orders, they must be proposed at rates below the mid-level unburdened ceiling daily rate.

No. Illustrative Labor Category/Grouping Unburdened Ceiling Daily Rates (Senior)

Unburdened Ceiling Daily Rates (Mid-

Level) IDIQ Project Director $ N/A TO Manager $ N/A Financial Manager $ $ Procurement Manager $ $ Systems Strengthening Manager $ $ Management Information Systems Manager $ $ Subject Matter Experts (e.g. Supply Chain

Advisors)

Administrative Support Specialists $ $

(5) Definition of labor categories/grouping:

**To be inserted **

(6) Locally Hired National Personnel or Other Non-U.S. Expatriate Rates

All locally hired national personnel and other non-U.S. expatriates must be paid in accordance with AIDAR 722.170.

Salaries for individual locally-hired personnel and other non-U.S. expatriates under this contract and any resulting subcontract must be in accordance with AIDAR 752.7007, Personnel Compensation (July 2007), and should be based upon a combination of factors including the prevailing compensation paid to personnel performing comparable work in the cooperating country as determined by USAID and consideration of the individual's education, work experience, and recent relevant salary history.

Unless otherwise authorized by USAID, the compensation for CCN and TCN labor shall not exceed the prevailing compensation paid to personnel performing comparable work in the cooperating country as determined by USAID and shall be paid in the currency of the cooperating country.

B.7 (b) Minimum Qualifications

In order to perform the statement of work set forth in Section C, the Contractor must provide personnel that meet the minimum education and experience requirements set forth below. These minimum qualifications for mid-level and senior personnel correspond to the Unburdened Ceiling Daily Rates above.

*Highest degree obtained should be related to work being performed.

** Experience should be related to the work being performed.

Education + Experience Requirements

Level Academic Degree* AND Years of Relevant Work Experience**

Mid

Ph.D. 4

JD/ABD 5

MS/MA/MB 6

BS/BA 8

Less than BS/BA 10

Senior

Ph.D. 8

JD/ABD 10

MS/MA/MB 12

BS/BA 15

Less than BS/BA 20

***Relevant Work Experience is required for the levels indicated.

NB: Language fluency, relevant regional experience, and international development experience requirements will be specified in individual task orders.

B.7 (c) Subcontractor Rates.

(1) The Unburdened Ceiling Daily Rates apply to all subcontractor labor on cost-type task orders.

(2) For subcontractors with a cost accounting system that only processes fully burdened rates, the Contractor may include in its TO proposal, (i) the fully burdened rate proposed to the Contractor by the subcontractor, (ii) allocation of the Contractor’s indirect costs in accordance with established accounting practices, and (iii) a reasonable profit. If the rates proposed to USAID, inclusive of the Prime’s allocable indirect costs and a reasonable profit, exceed the contract’s unburdened CDRs , the Contractor must disclose the amount of the indirect costs and the amount of the proposed profit that were added to the subcontractor’s proposed rates. The TOCO will negotiate reasonable labor rates using that information.

B.8 LABOR (UNBURDENED CDR) RATE CHANGES

The labor rates are fixed for all contract years; however, the Contractor may submit a proposal reducing the labor rates and/or indirect rates at any time during the life of this contract. The Government will review these proposals and determine if the revised rates are realistic and in the best interests of the Government. If the rates are accepted, the Government will modify the contract by incorporating the new rates into the contract.

B.9 INDIRECT COSTS AND ADVANCED UNDERSTANDING ON CEILINGS

(Only applicable to CPFF Task Orders)

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 for prime contractors and their subcontractors.

Offeror Fringe Rate

Overhead Rate %

Overhead Ceiling Rate%

G&A Rate %

G&A Ceiling Rate %

PRIME (Insert Name) Base of Application Source: (insert) Period: (insert)

SUBCONTRACTOR(S) (

Name (s)

Base of Application

Source: (insert) Period: (insert)

NOTE: Insert additional indirect rates as needed for all primes and subcontractors in the above table.

*Special Note: The un-shaded columns in the indirect cost table are the current approved indirect cost rates for the prime and subcontractor(s).

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.

Reimbursement for indirect costs shall be at final negotiated rates, but not in excess of ceiling rates specified above.

The Government shall not be obligated to pay any additional amount associated with indirect costs above the ceiling rates established in the contract. This advance understanding shall not change any monetary ceiling, cost limitation, or obligation established in the contract.

NOTE: For Fixed-priced Task Orders, the overhead ceilings serve as the basis for negotiation only.

Note: Contractors are allowed to recoup indirect costs (OH, G&A, etc.) as other direct costs if it is part of the contractor’s usual accounting procedures, consistent with FAR 31 and the contactor’s NICRA.

B.10 COST REIMBURSABLE

(Only applicable to CPFF Task Orders)

The U.S. dollar costs allowable must be limited to reasonable, allocable, and allowable costs determined in accordance with FAR 52.216-7, Allowable Cost and Payment, and FAR 52.216-8, Fixed Fee, if applicable: AIDAR 752.7003, Documentation for Payment; OMB Circular 1-21, Cost Principles for Educational Institutions and OMB Circular A-122, Cost Principles for Non-profit organizations.

[END OF SECTION B]

SECTION C:

STATEMENT OF WORK

C.1 STATEMENT OF WORK

C.1.1. Introduction

The United States Agency for International Development (USAID) is the U.S. Government’s (USG’s) principal implementing organization for international development assistance. The purpose of this Indefinite Delivery, Indefinite Quantity Contract (IDIQ) is to do the following:

• To serve as the primary vehicle through which USAID will procure and provide health commodities for all USAID health programs, including but not limited to, HIV/AIDS, Malaria, Family Planning, and Maternal & Child Health (see Section J.8 for an illustrative commodity list).

• To provide systems strengthening technical assistance to improve supply chain management and commodity security in partner countries.

The contractor must establish and maintain a Project Management Office in the Washington, DC Metropolitan Area.

This IDIQ will serve the needs of USAID as well as other entities, including but not limited to other USG agencies, partner country governments, Non-Governmental Organizations (NGOs), and other donors. Initially, USAID anticipates awarding TOs (TO) in conjunction with this IDIQ for family planning, HIV/AIDS and malaria.

C.1.2. Background

USAID is headquartered in Washington, D.C. and maintains USAID Missions in more than 75 countries across the globe. USAID/Washington is comprised of five geographic bureaus and four functional bureaus. The five geographic bureaus are as follows:

• Africa

• Asia

• Europe

• Eurasia, Latin America and the Caribbean

• Middle East

The four functional bureaus are as follows:

• Bureau for Global Health (GH)

• Bureau for Economic Growth, Education and Environment

• Bureau for Democracy, Conflict, and Humanitarian Assistance

• Bureau for Food Security

The work described in this Statement of Work (SOW) falls under the cognizance of the Bureau for Global Health (GH). GH has the overarching goal of improving human health and their portfolio includes programs that represent the commitment of the USG to prevent suffering, save lives, and create a brighter future for families across the globe. Successful implementation of USG health programs in partner countries is dependent in part on an uninterrupted supply of health commodities.

Procurement of Health Commodities. Procurement of health commodities has been a focus of USAID GH for over 30 years. Since 2005, USAID has procured and delivered more than 4,300 different products valued at $2.4 billion and has provided more than $700 million in systems strengthening technical assistance in more than 50 countries. These activities support USAID GH’s vision, “a world where people lead healthy, productive lives and where mothers and children survive and thrive”.

Currently, three Offices in GH procure health commodities for USAID programs and Presidential Initiatives globally. They are the:

• Office of Health, Infectious Diseases and Nutrition (HIDN). HIDN manages a diverse portfolio. It is responsible for managing the Bureau for Global Health’s activities in child health, maternal health, neonatal health, and infectious diseases such as tuberculosis, malaria, avian influenza, and neglected tropical diseases, and for providing technical leadership in each of these areas. The activities also include programs in nutrition/micronutrients, food security, health policy and health systems strengthening, and child survival and health grants with NGOs as well as in monitoring, reporting, and performance management. USAID’s major malaria program, the President’s Malaria Initiative (PMI) is implemented out of the HIDN office.

• Office of HIV/AIDS (OHA). OHA provides HIV/AIDS technical leadership for USAID and has primary responsibility for leading USAID’s efforts within the U.S.

President’s Emergency Plan for AIDS Relief (PEPFAR). This responsibility entails the following: ensuring the technical integrity of Agency and Mission strategies;

providing global technical leadership on the full range of issues related to HIV/AIDS prevention, care, and treatment; managing numerous research and field support programs; and monitoring and reporting on the impact of the Agency’s HIV/AIDS program.

• Office of Population and Reproductive Health (PRH). PRH provides strategic direction, technical leadership and support to USAID Mission programs in population, voluntary family planning, and reproductive health. It manages programs that advance and apply state-of-the-art technologies, expand access to quality services, promote healthy behaviors, broaden contraceptive availability and choices, strengthen policies and systems to address family planning and reproductive health needs, and improve data collection and use.

Systems Strengthening Technical Assistance. In addition to the procurement of health commodities, these three offices provide systems strengthening technical assistance to strengthen partner country supply chains and increase commodity security. There is a fourth office that does not procure health commodities but also provides technical assistance in supply chain management and commodity security. This office is called the Office of Health Systems http://www.pmi.gov/ http://www.pepfar.gov/

(OHS). OHS works across the Agency’s entire portfolio of global health and is responsible for technical leadership and direction in health systems strengthening. The Office focuses on health policy, quality assurance, workforce policy, pharmaceutical management and standards, and information monitoring, and evaluation.

Existing GH Health Commodity Procurement and Systems Strengthening Technical Assistance Mechanisms. The GH Bureau currently uses two contract mechanisms and various implementing partners to procure and deliver health commodities (numbers 1 and 2 below), and GH uses four contract mechanisms to provide systems strengthening technical assistance to strengthen supply chain management and commodity security (numbers 1 through 4 below).

These mechanisms are described below.

1. USAID | DELIVER PROJECT. The USAID | DELIVER PROJECT (DELIVER) is a single-award IDIQ. The prime contractor is John Snow, Inc. (JSI). The DELIVER team also has the following primary members: 3i Infotech; Abt Associates; The Center for International Health and Development at Boston University School of Public Health; Crown Agents Consultancy, Inc.; FHI 360; Fuel Logistics Group (Pty) Ltd.; The Manoff Group, Inc.; MAP International; PATH; UPS Supply Chain Solutions; and U.S. Pharmacopeia. The USAID | DELIVER PROJECT provides global procurement and delivery of health commodities for non-PEPFAR programs as well as providing supply chain technical assistance.

2. Supply Chain Management System (SCMS). SCMS is a single-award IDIQ. The prime contractor is the Partnership for Supply Chain Management, a non-profit consortium of 13 organizations led by John Snow Inc. Research & Training Institute and Management Sciences for Health (MSH). Other partners in the non-profit consortium include: Booz Allen Hamilton, Crown Agents USA, Inc., The Manoff Group, MAP International, North-West University, Northrop Grumman, RTT, UPS Supply Chain Solutions, Voxiva, and 3i Infotech. As part of PEPFAR, SCMS provides global procurement and delivery of health commodities to HIV/AIDS programs around the world, as well as providing systems strengthening technical assistance.

3. System for Improved Access to Pharmaceuticals (SIAPS). The SIAPS project is a cooperative agreement implemented by Management Sciences for Health (MSH) with four core partners, Accreditation Council for Pharmacy Education (ACPE), Harvard University, Logistics Management Institute (LMI) and University of Washington.

Specialized resource partners include Africa Medical and Research Foundation (AMREF), Ecumenical Pharmaceutical Network, Results for Development (R4D), RTT Group, Village Reach, and William Davidson Institute. The SIAPS project aims to ensure the availability of quality-assured pharmaceutical products and effective pharmaceutical services needed to achieve desired health outcomes by applying systems-strengthening approaches and principles of country ownership, integration of health programming, sustainability, and improved performance metrics. The activities under this project will not be folded under the GH Supply Chain Program.

4. Promoting the Quality of Medicines (PQM) – The PQM program is a cooperative agreement that is implemented by the United States Pharmacopoeia (USP). This cooperative agreement works to strengthen quality assurance mechanisms at the http://deliver.jsi.com/dhome http://scms.pfscm.org/scms http://www.msh.org/global-presence/siaps.cfm http://www.usp.org/global-health-impact-programs/promoting-quality-medicines-pqmusaid country level. This is accomplished by improving medicines quality control laboratories and systems for monitoring the quality of medicines in the marketplace and by collaborating with worldwide efforts to combat counterfeit and substandard medicines. The latter includes support for regional initiatives to develop regulatory capacity, sharing of information on product quality, and developing improved tools and approaches to detect counterfeit and substandard medicines. PQM is working as well to expand the pool of World Health Organization (WHO) prequalified manufacturers of second line TB medicines. The activities under this project will not be folded under the GH Supply Chain Program.

For additional information regarding the scope and scale of commodity procurement, refer to Section J.9 for detailed historical transaction procurement and logistics data for SCMS and DELIVER for FY2011-2012. For additional information regarding the scope and scale of technical assistance, refer to the project websites listed above or refer to USAID’s Development Experience Clearinghouse (DEC), which has been updated with periodic reports from projects listed above.

USAID is restructuring its existing portfolio of projects related to health commodity procurement and systems strengthening technical assistance related to supply chain management and commodity security. A diagram of the new portfolio of projects is illustrated in Figure 1 below.

Figure 1: USAID Global Health Supply Chain Program

The Global Health Supply Chain Program includes the following awards:

• Single Award IDIQ for Commodity Procurement and Systems Strengthening technical assistance: The DELIVER and SCMS IDIQs are being consolidated into a single award IDIQ. This IDIQ will provide a comprehensive array of services for USG health commodity procurement nd related systems strengthening technical assistance encompassing the different elements of a comprehensive supply chain (e.g.

quantification/forecasting, procurement, transportation, warehousing, and information systems). The single award IDIQ contractor must coordinate with contractors under the multiple award IDIQ and contractors/awardees/grantees under the multiple supply chain assistance mechanisms (IDIQ, cooperative agreements, and grants) to ensure technical assistance efforts are complementary and not duplicative. Quality assurance services for the single award IDIQ will be provided by the Quality Assurance award, except in instances that are defined in Section C.2.3.

• Multiple Award Systems Strengthening IDIQ: This IDIQ will provide technical assistance to improve the availability of health commodities. At least one award will be a small business set aside with a target of two small business awards. Contractors under this multiple award IDIQ must coordinate with the single award IDIQ and awardees/grantees under the multiple systems strengthening assistance mechanism(s) to ensure technical assistance efforts are complementary and not duplicative.

• Single Award IDIQ for HIV Rapid Test Kit: The Rapid Test Kit IDIQ will have the responsibility for the procurement and shipment of HIV rapid test kits (RTKs) to designated destinations/stakeholders for use in host country programs. This IDIQ will be a small business set aside. Quality assurance services for this award will be provided by the Quality Assurance award.

• Multiple Awards for Specialized Supply Chain Assistance: These awards are anticipated to be made through annual program statements (APS) to invite and encourage organizations with specialized capabilities. One APS will seek capabilities for research, innovation and evaluation, and access to the state-of-the-art in supply chain management from academia as well as the private, commercial, and other sectors. Another possible APS will be for organizations in the "global south" with demonstrated capabilities in supply chain management, assistance, and/or training, to support local capacity building, and provide for South-to-South assistance and access to regional specializations. Other awards may be made in areas of specialization (e.g., management information system, Information Technologies) if there is sufficient demand from field. Grantees and awardees under this mechanism must coordinate with the single award IDIQ and multiple award IDIQ to ensure technical assistance efforts are complementary and not duplicative.

• Quality Assurance Award: The Quality Assurance (QA) award will promote the effectiveness and efficiency of USAID QA services by combining and coordinating QA activities across health elements. This activity will provide independent, essential, comprehensive quality assurance/control services covering the different health elements in the Bureau. The QA award must provide QA services for commodities purchased under the single award IDIQ (except as defined in the single award IDIQ) as well as the single award IDIQ for laboratory supplies. The HIV/AIDS and family planning TOs will be required to obtain all quality assurance services from the USAID Quality Assurance contractor, unless otherwise directed by

USAID.

• Business Intelligence and Analytics Award: The Business Intelligence and Analytics (BI&A) award is expected to collect and integrate data from multiple partner systems and generate reports and alerts based on established thresholds. By embedding BI&A into existing process applications, USAID's control, management, and ownership of information will be enhanced to facilitate information sharing and coordination across health elements within the Bureau's Supply Chain Program. The Business Intelligence (BI) award must collect data from all partners under the Global Health Supply Chain Program.

C.1.3. Overview of Objectives

This Single Award IDIQ for “Health Commodity Procurement and Systems Strengthening Technical Assistance” is intended to be awarded to a single prime contractor. This IDIQ aims to improve the availability of health commodities and systems strengthening technical assistance through the three (3) objectives and various sub-objectives listed in figure 2 and further detailed in this IDIQ statement of work.

Figure 2: Health Commodity Procurement and Systems Strengthening Technical Assistance

C.2 OBJECTIVE 1: GLOBAL COMMODITY PROCUREMENT AND LOGISTICS

The contractor must implement a global procurement and logistics program that is compliant with Federal regulations and USAID policies and procedures that is cost-effective, high-performing, transparent, and flexible and provides the best value for the USG. Detailed requirements of these activities are described below and in this IDIQ’s corresponding TOs.

This IDIQ is primarily to serve the global procurement and logistics needs of USAID. However, USAID may direct the contractor to procure and distribute health commodities on behalf of other governments, NGOs and other entities. Multiple TOs are expected to be issued against this IDIQ, with multiple TO Contracting Officer Representatives (TOCORs) from differing Offices within the USAID GH Bureau and Missions. Initially, three TOs will be awarded with the IDIQ, for three Offices within the USAID GH Bureau: family planning, HIV/AIDS and malaria.

C.2.1. Health Commodity Procurement

The contractor must have procurement policies and procedures that are fully compliant with all applicable USG contracting laws and regulations, including the Federal Acquisition Regulation (FAR), USAID Acquisition Regulation (AIDAR), USAID’s internal Automated Directives System (ADS) policies and procedures, Office of Management and Budget (OMB) circulars, Code of Federal Regulations (CFR), Executive Orders (EO) and other regulations that apply.

This activity includes, but is not limited to, the following elements:

C.2.1.1. Health Commodity Strategic Sourcing

• Ensure, via a continuous, structured strategic sourcing process, that commodity procurement operations are acquiring health commodities. At the TO level, USAID will identify for which product categories this process is required, the frequency with which it must be undertaken, and when in the life of the contract it must occur.

• This strategic sourcing process must, at a minimum, take into account:

i. the current and projected state of the supplier base, customer locations and volumes, changes to QA protocol and changes in supplier QA status, risks to continuous supply, and storage and transport cost considerations.

ii. the emergence of new health commodities and/or new suppliers.

iii. the emergence of other health priorities and/or unforeseen events.

• Maintain the flexibility to manage commodity transitions in the phase-out of existing commodities and the introduction of new commodities as per applicable guidelines.

• Where appropriate, in-country or regional suppliers and/or African-based suppliers of commodities must be considered as part of this strategic sourcing process.

C.2.1.2. Health Commodity Selection

Criteria for health commodity selection will be based on technical input from USAID, other USG agencies, and other experts as designated with respect to dimensions such as quality and efficacy. This list of products is referred to as “Illustrative List of Commodities” as described in Section J.8.

http://www.acquisition.gov/far/ http://www.usaid.gov/pubs/ads/ http://www.usaid.gov/pubs/ads/

C.2.1.3. Health Commodity Procurement and Subcontractor Management

The contractor is responsible for soliciting and administering health commodity and other product and services subcontracts as required through the solicitation, evaluation, negotiation, award, management, and administration of supply subcontracts, under USAID technical guidance and in compliance with USG contracting rules. The contractor will be responsible for securing competitive bids through open source tenders or, where sole-source or limited source procurement is required, the contractor must assist the USG in securing the appropriate waivers by preparing necessary documentation for the waiver requests, and must be responsible for developing sole source justification documentation when the situation warrants a sole-source subcontract. As directed by the TO Contracting Officer’s Representative (TOCOR), the contractor will provide subcontracts for USAID review or for review by third-parties to identify further opportunities for securing best value for USG funds. The contractor is responsible for the proper procurement to ensure compliance with Government policy when subcontracting and provide adequate protection of the Government’s interests. The contractor must have either an approved purchasing system as defined in FAR 44.101 or have a procurement management system that is capable of efficient and transparent processing of all procurement transactions utilizing, but not limited to, the following sub-components:

• Acquisition at fair and reasonable prices representing the best value to the Government;

• Maximization of price competition;

• Minimization of procurement lead times and purchasing related administrative costs;

• Maintenance and compliance with pricing policies and techniques to ensure certified cost and pricing data or data other than certified cost or pricing data is obtained when applicable;

• Utilization of management control systems including internal audit procedures, benchmarking and continuous self-assessment;

• Ensuring adequate file documentation sufficient to establish proper procedures were followed;

• Utilization of only those subcontractors determined to be responsible while taking measures to minimize subcontract performance risk;

• Performing and utilizing market research;

• Avoidance of conflict of interest in the procurement process, either real or perceived

• Maintenance of the highest ethical and professional standards in the procurement process;

• Proper policies and procedures in place to maximize utilization of small business concerns when applicable;

• Utilization of appropriate contract types;

• Compliance with Cost Accounting Standards in the award of subcontracts

The Government may require the contractor to submit to a Contractor Purchasing System Review in order to evaluate the efficiency and effectiveness with which the contractor spends Government funds while ensuring compliance with government laws and policies and to provide a basis leading to the potential approval of the contractor’s purchasing system.

C.2.1.4. Commodity Procurement Risk Management

The contractor must maintain contingency plans and product risk profiles to mitigate the most likely risks affecting the constant and reliable flow of health commodities. Likely risks that affect this constant and reliable flow of health commodities may include, but are not limited to:

• production delays

• disruption of raw material and component supplies

• problems with manufacturing capacity

• extreme changes in supply or demand of products

• long lead times

• theft

• reduced accuracy of forecasting and planning

• registration and customs delays

The contractor must have a supplier risk strategy that helps mitigate risks to the continuous flow of commodities to customers. Product categories (e.g. lab consumables, cold chain products) requiring contingency plans and product risk profiles will be specified at the TO level. The contractor must continuously monitor potential problems affecting the supply of health commodities, proactively communicate the risks posed by the problems, and propose solutions that address the problems.

C.2.1.5. Health Commodity Supplier Forecasting

The contractor must maintain and communicate current and accurate order forecasts to its suppliers for all health commodities. Product categories with this requirement and the required frequency of submittal will be specified at the TO level. At a minimum, these forecasts should take into account and link to the following:

• Current stock-on-hand

• Min/max stocking policies by item

• Demand forecasts developed at both the global and country level

All historical commodity supplier forecasts must be maintained in an analyzable form such as a single spreadsheet, and the forecasts must be comparable to actual orders placed with suppliers for each review period.

C.2.1.6. Health Commodity Customer Demand Forecasting

The contractor must work with appropriate in-country partners to forecast the customer demand for health commodities, identifying the type, quantity, and timing of those commodities to be procured under this mechanism. USAID will specify at the TO level which product categories require customer demand forecasting and at what frequency. Where appropriate, the contractor must coordinate with other entities procuring the same commodities to improve the customer demand forecast accuracy and coordinate the commodity procurement and supply planning.

The health commodity customer demand forecasting accuracy must be tracked across the life of the contract, over time and across commodities and countries. All historical commodity supplier forecasts must be maintained in an analyzable form such as a single spreadsheet, and the forecasts must be comparable to actual orders placed by customers for each review period.

C.2.1.7. Product Registration

The contractor must identify suppliers that meet global and/or country registration requirements for the health commodities procured under this contract. While compliance with country registration requirements and other registration requirements remains the responsibility of the suppliers, the contractor may be called on to facilitate the product registration process by articulating to both the supplier and the country drug regulatory authority, the particular need for a product by USAID programs in-country. At the TO level, for health commodities requiring country registration, the contractor must maintain a current and accurate database of the products registered in each country.

C.2.1.8. Health Commodity Supplier Performance Management

The contractor must track supplier performance through use of supplier performance scorecards.

The criteria used in the scorecard must be consistent and comparable across multiple years of the contract and across the variety of commodities and suppliers. Metrics for the score card include, but are not limited to, the following:

• percentage of on-time supplier deliveries as defined at the TO level

• supplier defect rate

• supplier order cycle time

• percentage of delivered orders as expected and documented

C.2.1.9. Performance Management and KPIs

Performance management is critical to the timely and affordable delivery of public health products including family planning, reproductive health and other health products. The Contractor will be responsible for defining, measuring and tracking KPIs and is expected to adjust operational procedures to meet established performance and cost-effectiveness goals, as set forth by the USAID.

Both input and output KPIs must be captured by the Contractor and used to measure operating efficiency. These may include but are not limited to operational expenditure, headcount, growth and customer satisfaction. The Contractor must propose additional and/or alternative operating efficiency metrics specific to public health supply operations and distribution as part of this IDIQ and its TOs.

Common supply chain KPIs must be captured by the Contractor and used to measure supply chain performance.