SOL-OAA-17-000022_Mod_01.pdf

SECTION A - Solicitation/Contract Form

Solicitation Issuance Date: June 1, 2017 Closing Date/Time for Offeror Questions: June 12, 2017 at 12:00 PM Washington DC time Closing Date/Time for Past Performance Information: July 3, 2017 at 12:00 PM DC time Closing Date/Time for Receipt of Proposals: July 18, 2017 at 12:00 PM DC time

Subject: Request for Proposals (RFP) No. SOL-OAA-17-000022, Public Financial Management II

Dear Prospective Offerors:

The United States Agency for International Development (USAID) is seeking proposals to provide public financial management services for USAID’s Office of Economic Policy as described in the attached Request for Proposals (RFP). USAID anticipates the award of approximately 9 five-year Indefinite Delivery, Indefinite Quantity Contracts (IDIQs). USAID anticipates 3 to 4 of the contracts are set aside for award to small business concerns. The Agency reserves the right to award more or less awards than the anticipated number of contracts stated above. The incumbent(s) of the previous contracts include: Chemonics, Crown Agents, Development Alternatives Inc., Deloitte, DevTech, IBI International, International Development Group, Nathan Associates, and Pragma Corporation.

Task orders will be placed with small businesses in accordance with Section F Ordering procedures.

USAID anticipates that the maximum aggregate ordering limitation for contracts resulting from this RFP will be $475,000,000.00 over the five-year ordering period. The maximum aggregate dollar value of task orders awarded to all contractors cannot exceed this contract ceiling. This ceiling is not being subdivided among the number of awardees nor is it being multiplied by the number of awardees. There is no guarantee on the number of task orders that the successful contractors will receive or the amount of money beyond the minimum order guarantee set forth in the RFP.

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 in Section L. Failure to comply with the submission date will deem any submission unacceptable and it will not be reviewed or evaluated.

Section L of the RFP sets forth all instructions for the preparation and submission of required proposal contents, including critical dates/times for the submission of questions, and the proposal submission closing date and time. Section M states the criteria by which proposals will be evaluated. Oral explanations or instructions given before award of the contract will not be binding.

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/ Charles Jackson Contracting Officer, USAID

SECTION A - SOLICITATION/CONTRACT FORM

SECTION B - SUPPLIES OR SERVICES/PRICES

B.1 PURPOSE……………………………………………………………………….7

B.2 CONTRACT TYPE AND SERVICES…………………………………………7

B.3 MINIMUM OBLIGATED AMOUNT………………………………………….7

B.4 MAXIMUM CONTRACT CEILING…………………………………………..7

B.5 FIXED FEE CEILING (COST-PLUS-FIXED-FEE TASK ORDERS ONLY)...7

B.6 APPROVED SUBCONTRACTORS…………………………………………...8

B.7 LABOR………………………………………………………………………….8

B.8 LABOR (UNBURDENED CDR) RATE CHANGES………………………...14

B.9 INDIRECT COSTS AND ADVANCED UNDERSTANDING ON

CEILINGS……………………………………………………………………..14

SECTION C - DESCRIPTION/SPECIFICATIONS

C.1 PURPOSE……………………………………………………………………...17

C.2 BACKGROUND………………………………………………………………18

C.3 OBJECTIVES………………………………………………………………….22

C.4 STATEMENT OF WORK…………………………………………………….22

C.5 MANAGEMENT OF GRANTS UNDER CONTRACTS (GUCs)………...…31

SECTION D - PACKAGING AND MARKING

D.1 BRANDING STRATEGY, IMPLEMENTATION PLAN AND MARKING

PLAN

D.2 752.7009 MARKING (JAN 1993)…………………………………………….33

D.3 BRANDING STRATEGY…………………………………………………….33

D.4 TASK ORDER BRANDING STRATEGY AND IMPLEMENTATION

PLANS…………………………………………………………………………34

SECTION E - INSPECTION AND ACCEPTANCE

E.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY

REFERENCE

E.2 INSPECTION AND ACCEPTANCE/RESPONSIBLE OFFICIAL

SECTION F - DELIVERIES OR PERFORMANCE

F.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY

REFERENCE

F.2 PERFORMANCE PERIOD

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 FIELD SUPPORT/BUY-IN FUNDING FOR TASK ORDERS

SECTION G - CONTRACT ADMINISTRATION DATA

G.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY

REFERENCE

G.2 CONTRACTING OFFICER

G.3 CONTRACTING OFFICER’S REPRESENTATIVE (COR)

G.4 CONTRACTOR’S PRIMARY POINT OF CONTACT

G.5 PAYING OFFICE

G.6 ACCOUNTING AND APPROPRIATION DATA

G.7 CONTRACTOR'S PAYMENT ADDRESS

G.8 TECHNICAL DIRECTION/RELATIONSHIP WITH USAID

G.9 AIDAR 752.7003 DOCUMENTATION FOR PAYMENT. (NOV 1998)

SECTION H - SPECIAL CONTRACT REQUIREMENTS

H.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY

REFERENCE

H.2 AIDAR 752.7007 PERSONNEL COMPENSATION

H.3 AUTHORIZED GEOGRAPHIC CODE

H.4 DEFENSE BASE ACT

H.5 SECURITY CLEARANCE

H.6 INFORMATION SYSTEM SECURITY

H.7 EXECUTIVE ORDER ON TERRORISM FINANCING

H.8 ELECTRONIC PAYMENTS SYSTEM

H.9 SUBMISSION OF DATASETS TO THE DEVELOPMENT DATA LIBRARY

(DDL) (OCTOBER 2014)

H.10 USAID IMPLEMENTING PARTNER NOTICES (IPN) PORTAL FOR

ACQUISITION (JULY 2014)

H.11 NONDISCRIMINATION (JUNE 2012)

H.12 USAID DISABILITY POLICY - ACQUISITION (DECEMBER 2004)

H.13 ADS 302.3.4.13 GRANTS UNDER CONTRACTS (GUCS)…………………65

H.14 LANGUAGE AND MEASUREMENT……………………………………….67

H.15 LOGISTIC SUPPORT…………………………………………………………67

H.16 ORGANIZATIONAL CONFLICTS OF INTEREST: PRECLUSIN FROM

FURNISHING CERTAIN SERVICES AND RESTRICTIONS ON USE OF

INFORMATION (EVALUATION SERVICES)…………………………

H.17 ORGANIZATIONAL CONFLICTS OF INTEREST: PRECLUSION FROM

FURNISHING CERTAIN SERVICES AND RESTRICTION ON USE OF

INFORMATION (EVALUATION) (TASK ORDER CLAUSE)

H.18 ORGANIZATIONAL CONFLICTS OF INTEREST: PRECLUSION FROM

IMPLEMENTATION CONTRACT (DESIGN/IMPLEMENT)……………...68

H.19 ORGANIZATIONAL CONFLICTS OF INTEREST: PRECLUSION FROM

IMPLEMENTATION CONTRACT (DESIGN/IMPLEMENT) (TASK ORDER

CLAUSE)………………………………………………………………………68

H.20 FOREIGN GOVERNMENT DELEGATIONS TO INTERNATIONAL

CONFERENCES………………………………………………………………69

H.21 ENVIRONMENTAL COMPLIANCE………………………………………...69

H.22 MEDICAL EVACUATION (MEDEVAC) SERVICES (JULY 2007)……….69

H.23 RESTRICTIONS AGAINST DISCLOSURE (MAY 2016)…………………..70

H.24 CLOUD COMPUTING (MAY 2016)…………………………………………70

SECTION I - CONTRACT CLAUSES

I.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY

REFERENCE…………………………………………………………………..77

I.2 52.204-21 BASIC SAFEGUARDING OF COVERED CONTRACTOR

INFORMATION SYSTEMS (JUN 2016)

I.3 52.215-19 NOTIFICATION OF OWNERSHIP CHANGES (OCT 1997)……82

I.4 52.216-18 ORDERING (OCT 1995)

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

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

I.7 52.219-13 NOTICE OF SET-ASIDE OF ORDERS

I.8 52.222-35 EQUAL OPPORTUNITY FOR VETERANS (OCT 2015)………..84

I.9 52.222-36 EQUAL OPPORTUNITY FOR WORKERS WITH

DISABILITIES (JUL 2014)…………………………………………………...85

I.10 52.222-42 STATEMENT OF EQUIVALENT RATES FOR FEDERAL HIRES

(MAY 2014)

I.11 52.232-32 PERFORMANCE-BASED PAYMENTS (APR 2012)……………86

I.12 52.247-67 SUBMISSION OF TRANSPORTATION DOCUMENTS FOR

AUDIT (FEB 2007)

I.13 52.252-4 ALTERNATIONS IN CONTRACT (APR 1984)…………………...91

I.14 752.225-9 BUY AMERICAN ACT - TRADE AGREEMENTS ACT -

BALANCE OF PAYMENTS PROGRAM

I.15 752.245-70 GOVERNMENT PROPERTY - USAID REPORTING

REQUIREMENTS (JULY 1997)……………………………………………...94

SECTION J - ATTACHMENTS………………………………………………………...96

J.1 ILLUSTRATIVE TASK ORDER STATEMENT OF WORK………………..96

J.2 PROPOSAL PREPARATION CHECKLIST…………………………………96

J.3 PAST PERFORMANCE REPORT - SHORT FORM………………………...96

J.4 DD FORM 254………………………………………………………………...96

J.5 SUBCONTRACTING PLAN TEMPLATE…………………………………..96

J.6 LABOR DISTRIBUTION CHART…………………………………………..96

J.7 COST/PRICE MATRIX………………………………………………………96

SECTION K - REPRESENTATIONS, CERTIFICATIONS, AND OTHER

STATEMENTS OF BIDDERS

K.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY

REFERENCE

K.2 52.204-8 ANNUAL RESPRESENTATIONS AND CERTIFICATIONS (OCT

2016)

K.3 52.204-20 PREDECESSOR OF OFFEROR (JUL 2016)

K.4 52.209-5 CERTIFICATION REGARDING RESPONSIBILITY MATTERS

(OCT 2015)

K.5 52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS

(JUL 2013)

K.6 52.209-11 REPRESENTATION BY CORPORATIONS REGARDING

DELINQUENT TAX LIABILITY OR A FELONY CONVICTION UNDER

ANY FEDERAL LAW (FEB 2016)

K.7 52.219-1 SMALL BUSINESS PROGRAM REPRESENTATIONS

K.8 52.222-22 PREVIOUS CONTRACTS AND COMPLIANCE REPORTS

(FEB 1999)……………………………………………………………………110

K.9 52.222-35 AFFIRMATIVE ACTION COMPLIANCE (APR 1984)………...110

K.10 52.225-20 PROHIBITION ON CONDUCTING RESTRICTED BUSINESS

OPERATIONS IN SUDAN- CERTIFICATION…………………………….111

K.11 52.230-1 COST ACCOUNTING STANDARDS NOTICES AND

CERTIFICATION (OCT 2015)

K.12 52.230-7 PROPOSAL DISCLOSURE – COST ACCOUNTING PRACTICE

CHANGES (APR 2005)

SECTION L - INSTRUCTIONS, CONDITIONS AND NOTICES TO OFFERORS...116

L.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY

REFERENCE…………………………………………………………………116

L.2 GENERAL INSTRUCTIONS………………………………………………..116

L.3 DELIVERY INSTRUCTIONS……………………………………………….118

L.4 INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL

PROPOSAL…………………………………………………………………..119

L.5 INSTRUCTIONS FOR THE PREPARATION OF THE COST/BUSINESS

PROPOSAL…………………………………………………………………..123

L.6 FAR 52.233-2 SERVICE OF PROTEST (SEP 2006)

SECTION M - Evaluation Factors for Award

M.1 GENERAL INFORMATION………………………………………………...130

M.2 TECHNICAL EVALUATION CRITERIA………………………………….130

M.3 DETERMINATION OF COMPETITIVE RANGE………………………

M.4 COST/PRICE EVALUATION………………………………………………133

M.5 SOURCE SELECTION………………………………………………………134

M.6 CONTRACTING WITH SMALL BUSINESS CONCERNS……………….134

M.7 SMALL BUSINESS RESERVE……………………………………………..134

M.8 CONTRACTING WITH U.S. SMALL BUSINESS CONCERNS IN THE

MENTOR-PROTÉGÉ PROGRAM………………………………………….134

PART I – THE SCHEDULE

SECTION B - Supplies or Services/Prices

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 Public Financial Management II (PFM II). USAID Task Order Contracting Officers (TO COs) 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 an Indefinite Delivery/Indefinite Quantity (IDIQ) type contract. The Government will issue task orders that are any Cost Reimbursable type, Fixed-Priced type or any combination thereof. The Contractor must perform the services set forth in task orders at prices consistent with Section B of this contract.

B.3 MINIMUM OBLIGATED AMOUNT

The basic contract includes an initial obligation of funds in the amount of $25,000.00 to cover the minimum order guarantee USAID is required to order and the Contractor is required to furnish the minimum order amount of services.

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

B.4 MAXIMUM CONTRACT CEILING

This is a multiple award Indefinite Quantity Contract (IDIQ) with an overall ceiling price of $475,000,000.00 for Public Financial Management II (PFM II). The maximum aggregate dollar value of task orders awarded to all contractors must not exceed the contract ceiling. This ceiling is not being subdivided among the number of awardees nor is it being multiplied by the number of awardees.

B.5 FIXED FEE CEILING (Cost-Plus- Fixed-Fee Task Orders Only)

NOTE: The ceiling on fixed fee does not apply to Fixed-Priced Task Orders.

(a) For each cost-reimbursement 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. In no event, however, may the amount of fixed fee in any individual task order exceed TBD% of the task order’s estimated cost, excluding fee).

This fee ceiling is not applicable to Grants under Contracts (GUCs), if any, or other costs that have a separate fee ceiling established in the contract. The fixed fee ceiling applies to the prime contract and all cost reimbursement subcontracts.

Fees for CPIF or CPAF task order types will be negotiated by the TOCO at the time of task order award.

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

(c) Fixed Fee Payment. For any Task Order issued under this Contract, at the time of each payment of allowable costs to the contractor, the USAID paying office ordinarily pays the contractor a percentage of fixed fees that directly corresponds to the percentage of allowable costs being paid. Two exceptions to paying fixed fee in this manner apply:

(1) If the TOCO determines that this method results in paying a disproportionately higher ratio of fixed fee than the percentage of work that the contractor has completed, then the TOCO may suspend further payment of any fixed fee until the contractor has made sufficient progress to justify further payment, up to the agreed percentage.

(2) Because the clauses entitled "Allowable Cost and Payment" (FAR 52.216-7) and "Fixed Fee" (FAR 52.216-8) are incorporated into this Contract, the terms and conditions of these clauses apply after total payments of fixed fee reach eighty-five percent (85%) of the total fixed fee.

(d) Separate Fixed Fee Ceiling Applicable To Grants Under Contracts (GUCs)

(1) In no event may the amount of fixed fee (if any) applicable to GUCs in any individual task order exceed _____ percent (Offeror proposes ceiling percentage) of the task order GUC cost.

B.6 APPROVED SUBCONTRACTORS

The approved subcontractors are:

Name (To be completed at the time of award)

The TOCO may grant separate subcontract approvals for subcontractors for task orders in accordance with FAR part 52.244-2 and FAR part 44.202-2.

B.7 LABOR

(a) Central management costs will be handled through the following method:

The Contracting Officer has determined that a key (full-time) technical manager is not necessary or required to administer the basic IDIQ. Contractors will not be authorized to bill USAID directly for IDIQ management costs under this IDIQ or under task orders. Contractors must propose a centralized management structure that allows for recovery of IDIQ management costs as part of its indirect costs.

(b) The work day and work week policies and method of accounting for paid absences including holidays for the contractor and major subcontractors is set forth in Attachment J.

[Contractor’s information will be included by Contracting Officer at the time of award.]

Compensation of personnel under this contract or any resulting subcontract must be in accordance with AIDAR 752.7007 Personnel Compensation (July 2007) (See Section H.).

(c) Unburdened Ceiling Daily Rates (CDR)

(1) The task order rates must not exceed the ceiling daily rates set forth in the table below.

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 fixed for the contract period and is for a productive eight (8) hour day, and apply to all subcontractors set forth in clause 52.244-2 in Section I. If a new subcontractor is proposed for a specific task order on other than a fixed-price basis, the CDRs set forth below will apply, and the subcontract is subject to consent by the TOCO in accordance with FAR Part 44.

Actual salaries for all personnel will be negotiated under task orders and final approval is provided by the TOCO. The ceiling rates presented below do not constitute approval of final salary rates above the Contractor Salary Threshold (CST) (see ADS 302).

(2) The single unburdened ceiling daily rate for each labor category/group below represents the junior-level, mid-level, and senior level rate in each category/grouping.

One unburdened ceiling daily rate for each labor category/grouping is included in the contract to provide more flexibility under task orders.

No Labor Category Unburdened CDR (Senior- Level)

Unburdened CDR (Mid- Level)

Unburdened CDR (Junior- Level)

001 Economist $ $ $ 002 Business/Enterprise

Development Specialist

003 Information Communication Technology Specialist

004 Attorney/Legal Advisor $ $ $ 005 Contract/Grant Management $ $ $ 006 Monitoring and Evaluation/ $ $ $

Learning and Knowledge Management Specialist

007 Administrative Support $ $ $ [Note 1: The above rates indicate the ceiling for labor in year one of the ordering period. The rates shall increase in each subsequent year by applying an inflation rate of X% (to be determined at the time of award).

[Note 2: The Unburdened Ceiling Daily Rates apply to any task order(s) that are awarded under this contract.]

[Note 3: The Unburdened Ceiling Daily Rates apply to all labor (the prime contractor, subcontractor, TCNs, CCN’s, and consultant salaries). CCN and TCN labor are also governed by the local compensation plan limitations as further provided in note 3 below. ]

[Note 4: 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 shall 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 must not exceed the prevailing compensation paid to personnel performing comparable work in the cooperating country as determined by USAID and must be paid in the currency of the cooperating country.]

[Note 5: The Unburdened Ceiling Daily Rates above do not apply to Fixed-priced Task Orders.]

(3) Definition of labor categories:

001. Economist (Public Finance, International Trade, and Monetary):

The Public Finance Economist shall have expertise in the following: a) fiscal policy, including public expenditure management, e.g., tax policy and administration, budget planning and expenditure management, tax and nontax revenue forecasting and projections for fiscal analysis, and intergovernmental fiscal relations; b) public debt operations and public debt management, internal and external government debt issuance and management, debt refinancing operations at all government levels, data collections and information systems to provide central monitoring and control over debts of public entities, forecasting governments’ cash flows and borrowing requirements/debt retirement possibilities and refinancing needs, and maintaining and improving government’s creditworthiness on international exchanges.

The International Trade Economist shall have expertise and experience in analysis, assessment, recommendations for policy changes, and training with respect to all policy aspects of trade and exchange rate regimes including the following: tariff policy and schedules, non-tariff barriers, exchange rate policy, balance of payments projections and forecasting of principal sources of foreign exchange, trends of trade, the World Trade Organization (WTO), the Federation of Tax Administration (FTA), the African Growth and Opportunity Act (AGOA), as well as antidumping measures, countervailing duties, safeguards; openness of trade regime; export incentive schemes, foreign investment, and international financial flows and management of foreign trade shocks, such as commodity price booms.

The Monetary Economist shall demonstrate theoretical expertise and experience in credit and interest rate issues, measurement, monitoring and control of key monetary aggregates, structure of a banking system and its regulatory framework, bank supervision, structure and operation of the payments system, and capital and financial market development, including creation of a government securities yield curve, a liquid secondary market for government securities, an effective regulatory environment for the government securities market, surveillance of government and nongovernment financial markets.

Sector Specialist: This category includes a large and technically diverse range of industry and functional specialists (who are not otherwise specified in other labor categories) with professional credentials and domestic and foreign experience in public financial management (PFM) and related technical areas, including the following:

• Macroeconomic Policy Coordination & Planning

• National Income Accounting

• Accounting/Auditing

• International Finance

• Capital Markets Specialist

• Tax and Fiscal Federalism

• Industry Specialist

• Poverty Reduction

• Labor Economist

• Gender Analyst

• Climate Change and environment Analyst

• Investment advisor

Trade Advisor: This category includes professionals with a variety of educational and professional credentials relevant to trade areas plus domestic and overseas experience in areas such as the following: trade facilitation, logistics, customs reform, export promotion, trade policy, implementation of international and regional trade agreements, "competition policy," and general trade specialists with experience in diverse trade-related work

Financial Advisor: The advisor shall have relevant experience in capital markets development and regulation, banking sector supervision, regulation and policy reform;

international accounting and auditing standards; pension and insurance reform; corporate governance; non-banking financial institutions and instruments; leasing instruments; credit bureaus, deposit insurance and other support institutions; policy formulation for financial sector reform.

002. Business/Enterprise Development Specialist: The specialist shall have experience in areas such as: sector selection methodologies, subsector or value chain analysis, end market analysis, business enabling environment, value chain finance, market facilitation, strategies for creating competitive advantage, and strategies for upgrading, including those tailored to the very poor. The specialist shall have excellent communication (written and oral), presentation, management and interpersonal skills, as well as private-sector experience and contacts in local, regional or international markets.

003. Information Communication Technology (ICT) Specialist: The ICT specialist shall have experience related to: ICT solutions, particularly in support of e-commerce and e-government initiatives; assessing communications needs to improve knowledge-sharing;

programs and training to promote efficient and effective technologies; or developing monitoring systems to incentivize results. Developing country experience is preferable.

004. Attorney/Legal Advisor: This category includes legal professionals with JD or LLB credentials and legal and overseas experience relevant to PFM, trade, and related areas.

Some illustrative examples would include legal work experience in: analyzing/drafting legislation, administrative law, business environment and regulatory reform, business formation and dissolution, small business advisory work, bankruptcy, company law, real estate, company restructuring/mergers/divestitures, small/medium/micro-enterprise legal issues, and legal work with organizations and associations.

005. Contract/Grant Management: This category encompasses all support to contract Task

Orders, such as contract-related finance, administration, logistics, meetings, conferences, budgeting, reporting, recruitment and other contract support. Grants management requires an individual with prior grants management experience, specifically an individual who has prepared, negotiated, implemented, monitored, and evaluated grants, and who has the ability to work with domestic and mission-based acquisition/assistance staff. Prior overseas experience working with country counterparts and institutions is highly desirable.

006. Monitoring and Evaluation Specialist: The specialist shall have experience with causal model development, monitoring, impact assessment, data collection methods, and evaluation of developmental projects using a variety of methodologies, monitoring and management information systems in developing countries. Familiarity with USAID policies and procedures, Operational Plan indicators, as well as the relevant technical areas, is desired.

The individual shall demonstrate excellent skills in written and oral communication, management and analysis, as well as knowledge of sustainable and effective project management.

Learning & Knowledge Management Specialist: The specialist shall have experience in the design or delivery of training and motivating behavior change, designing and implementing cost-effective platforms with targeted outreach for knowledge-sharing, and facilitating exchange in communities of practice. The specialist shall have excellent communication (written and oral), presentation, management, and interpersonal skills

007. Administrative Support: This staffing category shall have experience in providing secretarial, logistical and operations support. They shall have experience in conducting research and obtaining documents to inform technical assistance, briefings, and reports.

They shall also have experience in coordinating logistics for travel, study tours, training and other events.

(d) 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 junior, mid, and senior-level personnel correspond to the Unburdened Ceiling Daily Rates above.

Level Academic Degree*

Approximate Years of Relevant** Work Experience

Years of Experience in Int'l Development

Relevant Regional Experience

Relevant Language Fluency

Senior Ph.D.

JD/ABD

MS/MA/MB

A BS/BA

As specified in Task Order

As specified in Task Order

As specified in Task Order

Mid-level Ph.D.

JD/ABD

MS/MA/MB

A BS/BA

As specified in Task Order

As specified in Task Order

As specified in Task Order

Junior Ph.D.

JD/ABD

MS/MA/MB

A BS/BA

Less than Bachelor’s

As specified in Task Order

As specified in Task Order

As specified in Task Order

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

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

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

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

(e) Subcontractor Rates.

The following provides guidance for various subcontracting arrangements:

(i) The Prime subcontracts with an approved subcontractor from the original IDIQ competition

The unburdened CDR’s for the prime contract apply to the subcontractor.

(ii) The Prime contracts with a new subcontractor not yet approved

The unburdened CDR’s for the prime contract apply to the new subcontractor.

(iii) Prime subcontracts with a new subcontractor not yet approved and may or may not have a different cost accounting system that only processes fully burdened rates. Further, subcontractor proposes rates that are “above” the prime IDIQ rates.

The Prime may then include in its TO proposal, (i) the fully burdened rate proposed to the Prime by the Subcontractor,(ii) allocation of the Prime’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 are above the Prime’s unburdened CDRs , the Prime must disclose the amount of the indirect costs, and the amount of the proposed profit that were added to the Subcontractor’s proposed rates. A reasonable profit will be negotiated by the TOCO for the specific TO. The CDRs of the subcontractor must not exceed the prime’s CDRs in the IDIQ contract.

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

[Ceilings are not applicable to Small Business Offerors or local organizations serving as the prime or a subcontractor. Indirect rates are only applicable to cost reimbursement task orders.]

Pending establishment of revised provisional or final indirect cost rates, allowable indirect costs must be reimbursed on the basis of the following negotiated provisional or predetermined rates and the appropriate bases for prime contractors and their major subcontractors (“major sub-contractors” are those subcontractors expected to perform at least 20% or a prominent part of the technical effort).

(To be filled in at contract award) Offeror Fringe

Rate

Overhead Rate %

Overhead Ceiling Rate%

G&A Rate %

G&A Ceiling Rate %

PRIME

MAJOR

SUBCONTRACTOR(S)

NOTE: Insert additional indirect rates as needed for all primes and major 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 major subcontractor(s).

(1) Prime Contractor:

Description Rate Base Type Period

1/ 1/ 1/ 2/ 2/ 2/ 3/ 3/ 3/

1/Base of Application:

Type of Rate:

Period:

Source:

2/Base of Application:

Type of Rate:

Period:

Source:

3/Base of Application:

Type of Rate:

Period:

Source:

(2) Major Subcontractor(s):

Description Rate Base Type Period

1/ 1/ 1/ 2/ 2/ 2/ 3/ 3/ 3/

1/Base of Application:

Type of Rate:

Period:

Source:

2/Base of Application:

Type of Rate:

Period:

Source:

3/Base of Application:

Type of Rate:

Period:

Source:

The Contractor will make no change in its established method of classifying or allocating indirect costs that impacts this contract without the prior written approval of the Contracting Officer.

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

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

NOTE: For Fixed-priced Task Orders, the overhead ceilings serve as a 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 Part 31 and the contactor’s NICRA.

SECTION C - Description/Specifications

C.1 PURPOSE

The Agency’s Bureau for Economic Growth, Education and Environment (E3) is dedicated to promoting prosperity and reducing poverty in developing and transitional countries. E3’s sector goals are to raise incomes, end hunger, protect the environment, and equip institutions and people with the knowledge and skills needed to build equitable and sustainable economies. E3 provides a global perspective, evidence-based expertise, and sustainable solutions in these sectors to accelerate the Agency’s collective impact on development outcomes.

Recently, USAID has moved towards more evidence-based programming, and E3’s Office of Economic Policy provides technical support with analytical tools to inform project design in pursuit of the Agency’s and E3 Bureau’s overall goals. [DELETED]

USAID recognizes that development outcomes are achieved and sustained through the interactions of multiple, interconnected actors. Realization of improved development outcomes results from improving the performance of multiple actors and the effectiveness of their interactions. Sustaining development outcomes depends on the ability of a local system – that interconnected set of development actors who co-produce a development outcome – to accommodate shocks and adapt to changing circumstances. This perspective, as laid out in the Agency’s Local Systems: A Framework for Supporting Sustained Development1, informs the approach to achieving sustainable development to be followed through this effort. The approach is further informed by the Agency’s Gender Equality and Female Empowerment Policy,2 which operationalizes findings of the importance of gender equality to USAID’s development outcomes.

This Public Financial Management (PFM) II IDIQ will provide support for the public sector in developing countries that USAID serves. When governments have sound, effective, transparent, gender-aware and accountable systems in place to manage public funds, there is a decrease in opportunities for corruption, inefficiencies and mismanagement. Sound public financial management systems can facilitate:

o Good governance practices;

o Access to useful, accurate public information for better decision-making; and o Systems that complement each other across governmental entities (e.g., tax collection, customs, and procurements).

Governments with such sound public financial management systems, that include transparency, accountability, and internationally-recognized standards, tend to be more stable, more credible, and better able to achieve broad-based economic growth.

USAID’s Bureau for Economic Growth, Education and Investment (E3) is initiating a Bureau-wide Indefinite Delivery Indefinite Quantity (IDIQ) mechanism as a follow-on to the existing PFM IDIQ. PFM II will address four factors which are keys to USAID’s goal of achieving broad-based equitable economic growth: (1) increasing and expanding human capacity; (2) improving the policy environment to promote efficiency and economic opportunity for all members of society; (3) sound management of institutions; and (4) good governance. Public financial management has constituted about 44 percent of the work under the original PFM IQC.

1 https://www.usaid.gov/policy/local-systems-framework 2 https://www.usaid.gov/sites/default/files/documents/1865/GenderEqualityPolicy_0.pdf

C.2 BACKGROUND

Past technical task orders have been issued for work in a broad range of countries and technical areas, including the following: Afghanistan, Bangladesh, Colombia, Djibouti, Ghana, Guinea, Haiti, Honduras, Kenya, Kosovo, Lao-DPR, Liberia, Pakistan, Tanzania, Uganda, Ukraine, Vietnam, WestBank/Gaza and RDMA.

A number of USAID/Washington Bureaus have also used the Agency IDIQs to undertake work in the PFM technical area. These Bureaus include: the Bureau for Latina America and Caribbean Countries (LAC), and the Bureau for Economic Growth, Education and Environment (E3).

Examples of past technical work include: strengthening public financial management in Latin America and Caribbean Countries (LAC) by LAC Bureau, Afghanistan trade and revenue project (ATAR) in Afghanistan, risk assessment of the government’s public financial management systems in Honduras, trade facilitation activity in Honduras, ICT and public financial management advisory service in Guinea, U.S-APEC technical assistance in APEC region, trade facilitation activity in Bangladesh, governance for inclusive growth activity in Vietnam, Lao PDR-U.S. international and ASEAN integration in Lao PDR, financial services deepening in Kenya, partnership for development in Kosovo, free trade implementation activity in Colombia, climate economic analysis for development, investment and resilience (worldwide), leadership in public financial management (worldwide), learning, evaluation and analysis (worldwide), workforce development assessment in Djibouti, assessment of Bangladesh diaspora in U.S., financial sector and private sector development in Uganda, support for privatization activity in Pakistan.

The distribution of demand among subject categories for services that PFM II provides is anticipated to be similar to past experience. Thus offerors should be prepared, by appropriate choice of proposed subcontractors and partners, to meet demand in any of the categories. The bulk of TOs issued (85.0 percent of the total amount of TO expenditures) has been in the areas of public finance and fiscal policy, trade and regional integration, and governance and legal regulatory environment. Public finance and fiscal policy accounts for 41.61 percent. This observation is one of the reasons why the newly initiated set of IDIQs will be called the PFM II IDIQs.

In addition to seeking to expand upon work undertaken under previous IDIQs, the PFM II is intended to support new agency initiatives. These may include: supporting relevant EG activities in Critical Priority Countries (Afghanistan, Jordan, Lebanon, Pakistan and West Bank/Gaza;

establishing appropriate macroeconomic and sectoral policies in countries struggling with food security; addressing underlying financial sector policy and regulatory issues in countries adversely impacted by the global financial crisis, enhancing budget formulation and execution, as well as supporting improved economic governance and anti-corruption measures; and strengthening macroeconomic, trade, and investment policies in countries seeking to compete more effectively in global markets. PFM work related to these areas may be procured through this IDIQ instrument.

This PFM II IDIQ is designed to follow the old one with a similar set of priorities based on expected demand by the field missions. USAID Missions have demonstrated a strong demand for public financial management and economic sector policy services - advisory, implementation and training - and related commodity procurements of the kind accessed through prior contracting mechanisms. USAID Missions’ demand for these services is founded on a continuing and wide-spread need for them among developing and transition countries.

One source of demand has been from conflict and post-conflict countries – states emerging from, or even still in the midst of, prolonged and/or intense internal or external conflict, whose economic policies and policy-making machinery are in need of renewal as they enter into the post-conflict phase. In such countries, there is a need and, with USAID assistance, an effective demand for high-quality, cost-effective technical advisory and training services in the economic policy and institution-building areas.

In 2015 a new global commitments toward elimination of poverty and toward adequate levels and effective use of public revenues are likely to spur increased demand among USAID partner countries for the types of services that the PFM IDIQ has offered. This set of commitments will include: a new set of ambitious Sustainable Development Goals for 2030 anticipated in September 2015, higher aspirations for raising the level of domestic revenue mobilization that donors intend to facilitate through expanded tax capacity building per the Addis Tax Initiative of July 2015; and contributions from partner countries to the financial requirements to combat and mitigate damage to their countries from global climate change. As in the case of the Millennium Development Goals of 2000, these global commitments are expected to spark the development of national-level goals and targets within partner countries that will lead them to demand the types of external assistance on their PFM systems that will improve their ability to achieve the new medium-term outcomes.

Against that background of partner-country needs and demands for technical assistance, USAID field Missions also anticipate utilizing PFM II to assess and help expand our use of host-country expenditure mechanisms, where appropriate. Under its commitments to the Paris Declaration of 2005, the Accra Agenda for Action (AAA) of September 2008,3 and the Busan Accords of 2011;

USAID has been providing increased attention to the use of such country expenditure mechanisms, consistent with USAID legislation and regulation and prudent management of fiduciary risks. Field missions will likely need to conduct further assessments of potential host-country entities and mechanisms and their associated financial controls and to assist those entities in improvement of such controls as necessary. The U.S. in 2005 endorsed the Paris Declaration on Aid Effectiveness, which called for an increase in partner country ownership, alignment of donor resources with partner country development priorities, harmonization of donor assistance, management for results, and increased accountability for development results.

What insights do the past few years’ experience with economic policy reforms and institutions afford those who would strengthen the policies and policymaking capabilities of developing and transition economies in today’s world? What do the varied experiences of these countries tell us about the economic policy, institutional and analytical capacity needs of developing and transition countries’ governments, central banks, and private sector and civil service organizations? Or about their capacities to benefit from public finance policy and management advice and training in new areas? We anticipate that offerors’ proposals will have something to say about this.

Changes in fiscal policy and revenue structure also play a role in enabling economies to become more open, for example as measured by their ratios of exports plus imports to GDP. Ample

3 One of the key agenda of the AAA is to “strengthen and use developing country systems to the maximum extent possible.” For a full text, refer to www.accrahlf.net.

evidence supports the view that trade openness is positively associated with economic freedom and economic growth. In the fiscal realm, replacement of tariffs as a revenue source with a value added tax applied to both domestically produced and imported goods and services is a factor promoting greater trade openness.

The intersection between financial sector development and macroeconomic policy concerns is as prominent now as it was at the time of the East Asian financial crisis of the late 1990s. It is clear that it should be an area of concern in the provision of macroeconomic technical assistance, training, and related commodity assistance. Substantial weaknesses in the financial regulatory framework of many countries were revealed by the events of the global financial crisis. Further, the risks demonstrated the paramount need for all countries to constantly upgrade and improve their financial regulatory frameworks and institutions to keep pace with innovation in the financial sector.

Post- and in-conflict states and their economic problems of reconstruction and development have achieved new prominence: countries torn by war and internal strife such as Afghanistan, Pakistan, Iraq, South Sudan, Somalia , Colombia, Congo, Haiti, Liberia, Nepal, Sri Lanka, and East Timor attract donor resources and concerns. Countries on the verge of tipping over into violence are a concern as well. During the past decade USAID has improved its understanding of how to perform economic growth-boosting interventions in such countries to reduce the likelihood of resumed conflict.4

Deficiencies in policy-making and implementation capabilities and in the functioning of policy-related institutions, as well as the consequences of failing to remediate the deficiencies rapidly, may be especially acute in the case of post- and in-conflict countries. Evidence from USAID supported research points to the importance of early action to identify the needs for reforms, enhanced policy, policy-making capability and institutional strengthening.

Tax and public expenditure management systems continue to be areas of priority concern in countries throughout the developing world, especially ones with low levels of per capita income and those emerging from conflict. The scope and role of government spending and involvement in the economy are issues on which it is anticipated Missions will need to focus during the next five years: public expenditure and finance and internal and external debt. Systems for safekeeping national debt, as well as systems that function to clear and settle payments related to the national debt are all attracting more attention due to the systemic risks they present. The scope for privatization of remaining state-owned enterprises may still offer significant possibilities for improvement of the fiscal situation as well as efficiency gains for the economy more broadly.

In many cases, USAID Missions have been given management responsibility for the Millennium Challenge Corporation’s (MCC) Threshold Programs and often such programs contain a heavy fiscal reform or public finance reform component, Missions have chosen to do a task order to access the technical resources needed to design or implement an MCC threshold program.

Assistance to strengthen a ministry of finance and a central bank in their respective roles in public debt management (both internal and external debt), and to help develop the central bank’s role in placing the debt on the market would fall within the purview of PFM. It is anticipated that USAID Missions will need to pay increasing attention to financial sector fragility and problems

4 “A Guide to Economic Growth in Post-Conflict Countries”, EGAT/USAID, 2009 (http://pdf.usaid.gov/pdf_docs/PNADO408.pdf ) http://pdf.usaid.gov/pdf_docs/PNADO408.pdf that may arise related to macroeconomic management capability, especially with regard to central banks’ ability to formulate and implement sound monetary policy and to effectively utilize the needed monetary tools to help maintain macroeconomic stability.

Of concern in this regard is the need to develop functional, liquid markets for government securities, so that central banks can effectively utilize the monetary tools they need. Risk management and proper regulatory oversight are needed immediately when these markets are started, and they need to grow commensurately with the government security market’s development. In some countries, especially conflict and post-conflict countries, Missions may seek to strengthen sub-national windows of central banks.

Other concerns of the fiscal and monetary authorities include exchange rate policy, “Dutch disease”, revenue stabilization funds, reserve asset diversification, and management of sovereign wealth funds. Issues that may come up include choice among exchange rate regimes such as shared currency regimes, currency boards, official dollarization, or floating. USAID has been asked in some cases to provide technical assistance to help with introduction of a new currency after a prolonged period of inflation or other circumstances warranting replacement of an old currency with a new currency.

Achieving the ambitious goals of the Post-2015 development agenda and capitalizing on the momentum generated by the July 2015 Financing for Development Conference in Addis Ababa, depends critically on high standards of macroeconomic policy performance in USAID-assisted countries. Overall, in spite of problems of adjustment to policy changes, developing countries in general continue to be receptive to the notions of basic free market oriented policies complemented by a clearly defined and effective regulatory framework, regulatory institutions, and sound macroeconomic and sectoral policies and institutions. Before the global financial crisis in 2008, improved macroeconomic performance as measured by positive real economic growth and relatively low inflation rates was achieved in many countries on a relatively durable basis. But after the crisis many countries are facing macroeconomic and sectoral policy problems and institutional weaknesses that threaten their sustained economic growth and poverty reduction.

This is especially the case in post-conflict situations and in countries where excessively populist, statist social agendas result in state ownership of industries for which private ownership would be more efficient.

Evidence persists of defective macroeconomic policies in a sizable number of countries.

Furthermore, inflation is far from uniformly low and stable among the developing and transition countries. In the last few years before the worldwide financial crisis, the economic circumstances of many developing countries have been improved by debt forgiveness and debt rescheduling on favorable terms. Mineral-rich countries and exporters of agricultural commodities have benefited from higher but more volatile commodity price booms which require application of careful macroeconomic planning and policies, framed in recognition of the cyclical tendencies in world commodity prices. The economies of those countries that are net exporters of such commodities face the possibility of real currency appreciation with “Dutch disease” effects undermining their efforts to diversify exports and to maintain competitiveness of their traditional exports.5

The global financial crisis revealed several broad failures including market discipline, financial regulation, macroeconomic…