SOO HPH (26 Aug 20) v2.pdf

STATEMENT OF OBJECTIVES – HYDRAZINE FUEL

26 August 2020

1. SCOPE OF REQUIREMENT: The Defense Logistics Agency Energy (DLA Energy), as the Department of Defense (DoD) Integrated Materiel Manager (IMM) for Aerospace Energy products and related services, requires production of Hydrazine fuels and stated services, in support of National Defense and the U.S. Space Program. The contractor shall provide all production related facilities, raw material, supplies, management, tools, storage, equipment, and labor necessary for the manufacture of Hydrazine, and FOB origin delivery into Government provided containers. The Government’s estimated quantities, which are an aggregate of all DLA customer requirements, are shown in the schedule.

2. PRODUCT PRODUCTION: HPH (9135-01-232-1852), each container shall meet the requirements of Performance Specification Propellant, Hydrazine, MIL-PRF- 26536G, High Purity Grade dated 11 July 2017, and the following additional requirements:

a. The specification shall be modified to include the following requirements:

i. 0.04 ppm Cadmium (Cd) as determined by Inductively Coupled

Plasma (ICP)

ii. 0.02 ppm Tin (Sn) as determined by ICP

iii. 0.03 ppm Silicon (Si) as determined by ICP

iv. Non detectable toluene (GC-FID method in Appendix E)

3. FACILITY AND OPERATIONS: It is critical that all DLA customers have a reliable and dependable supply of hydrazine. The contractor is responsible for delivering hydrazine as ordered, in accordance with the specification and additional factors above, as well as the terms and conditions of the contract. To meet these requirements, DLA anticipates funding the recoupment of certain facility and overhead expenses incurred by the contractor for maintenance and operational activity.

a. MAINTENANCE AND FACILITY FEE: DLA orders for hydrazine take precedence over the contractor’s other operations. The Contractor shall maintain plant production capabilities for hydrazine identified in the schedule for the duration of this contract. In consideration for expenses associated with maintaining production capabilities and requisite qualified workforce in a ready state to fulfill production orders, DLA intends to reimburse the contractor for maintenance and other expenses to insure operational readiness. The proposed maintenance and facility fee shall include fixed costs such as manpower, maintenance of equipment and facility, insurance, taxes, overhead, indirect labor (wages), shipping documentation, packaging and labeling, container management, general & administrative, profit, utilities (not directly consumed in production). Contractor shall provide Material Handling Equipment (MHE) for loading and unloading containers listed herein. The maintenance and facility fee, as defined for purposes of this procurement, DOES NOT include any variable costs associated with the production of hydrazine products. These variable costs, to include, but not limited to, raw material or other material, natural gas, electricity, and direct labor shall be included in the contractor’s proposal as product costs. Payment of maintenance and facility fee will commence on 1st day of the month following award. Fee shall be paid in equal monthly payments at the end of each month.

4. PRODUCT COSTS: Offered prices shall include all variable and incremental costs associated with production of high purity hydrazine except for labor, which shall be included in the maintenance and operational fee.

5. CONSIDERATIONS FOR USE: DLA requires exclusive use of all production capabilities and facilities funded under this requirement. Any sales or distribution of products beyond those ordered by DLA shall be coordinated in advance with the DLA Contracting Officer. If approved, DLA Contracting Officer will negotiate a reduction in the unit price of appropriate line item and Monthly Maintenance Facility Fee as consideration for the use of the facility.

6. DELIVERY ORDERS: The Government shall order product by issuance of delivery orders by the DLA Contracting Officer. Product shall be produced and available for delivery into Government-provided conveyances in accordance with paragraph ”Production/Storage” unless a later date is otherwise stated on the delivery order.

7. PRODUCTION/STORAGE: The government anticipates issuing one delivery order for the estimated annual requirement for HPH at the start of the contract and the beginning of each following option year if awarded. The intent is to allow the contractor to schedule the production runs in the most economical manner. The contractor shall be capable of producing the annual estimated quantity of hydrazine within the 12-month annual contract period. In the event there are product needs which are not identified in the annual requirement, the DLA Contracting Officer will issue a separate delivery order.

The Contractor shall produce and have ready for delivery the product ordered outside of the annual requirement within 30 days of order unless otherwise specified in the delivery order. Government ordered quantities will be delivered into Government provided containers and staged at the contractor facilities until DLA schedules the shipment for pick-up. DLA intends pick up all filled containers within 30 days of filling.

a. The contractor shall store empty containers pending fill, filled containers pending scheduled pick up, and empty containers with residue pending cleaning. The anticipated maximum number of containers requiring storage is estimated at 80 this may include MC338 trailers. Costs associated with product and container storage shall be included in the maintenance and facility fee.

b. The Contractor shall have the capability to perform non-routine lab analysis on products in accordance with product specifications on any container with usable product. The contractor shall have the capability to transfer usable product between containers as directed by the DLA Customer Account Specialist.

These non-routine analysis and product transfers are consider part of routine services included in the maintenance and facility fee.

c. In addition to the reports required elsewhere within this contact, one copy of a

Certificate of Analysis for each sample required by the specification shall be emailed to tech.prop@dla.mil submitted as an attachment to the applicable Wide Area Work Flow (WAWF) invoice for new production.

8. DISTRIBUTION SERVICE: The contractor shall be capable of filling the containers listed below, analyzing the product IAW applicable specification, and preparing the containers for shipping IAW applicable Local, State and Federal requirements.

Shipments shall be scheduled in accordance with DD Form 1149 issued by the Customer Account Specialist. Contractor shall provide Material Handling Equipment (MHE) for loading and unloading containers listed herein.Contractor shall comply with 49 CFR in the preparation of shipping documents and any federal, state, county and/or local required transportation forms. This includes palletizing drums.

a. GPTU: After filling, GPTU shall be pressurized with gaseous helium to 25 ± 10 psig. The annular space between the inner and outer tank shall be pressurized with gaseous nitrogen or helium to 7 ± 3 psig (refer to NASA checklist OMI Q3861 Appendix B for loading, Appendix C for unloading as contained in Attachment 27).

b. Cylinders (4BW): Cylinders shall be pressurized with nitrogen or helium to 25 ±

10 psig or in accordance with customer requirements (e.g. 85 ± 10 psig) (refer to checklist #17 for loading and checklist #18 for unloading). The filling pressure and the blanketing gas required shall be stipulated on the DD Form 1149 or the Delivery Order. Cylinders are shipped under DOT Exemption 11173.

c. UN Portable Tank (T50): Tank shall be pressurized with nitrogen or helium to

25 ± 10 psig or in accordance with customer requirements (e.g. 85 ± 10 psig) (DLA checklist for loading and for unloading). The filling pressure and the blanket pressure can be up to 65 psi ± 10 or specified on the Delivery Order Cylinders are shipped under DOT Exemption 14318.

d. Palletized Drums: Air and moisture shall be purged from a drum prior to loading with dry nitrogen to a dew point of < 0 °F. Drums shall not be pressurized after filling but purged with nitrogen during the filling operation. (refer to checklist #15 for loading and checklist #16 for unloading as contained in Attachment 22).

Drums are shipped under DOT Exemption 11077. All Government identification and markings shall be removed from all drums designated for Foreign Military Sales (FMS). All drums must be properly palletized IAW industry and DOT standards for shipment prior to acceptance and/or shipment by DLA Energy.

mailto:tech.prop@dla.mil

e. Bulk trailers designed to DOT Specification MC338 cargo tanks capable of holding about 2,500 gallons.

f. DLA Energy reserves the right to add additional container configurations, to include bulk containers, which are to be determined. Requirements for such containers will be identified and coordinated with the Contractor prior to inclusion.

9. CONTAINER CLEANING: It is the Governments intent to provide containers clean and ready to fill. However on occasion, containers will arrive with residue hydrazine. Containers with minimal amounts of product considered unusable for testing, shall be emptied, properly cleaned by the Contractor, and made ready for refill.

Contractor is responsible for verifying each container is clean prior to filling. The Contractor shall have disposal procedures in place for residual, unusable product, and residuals created during cleaning and disposal process. Prior to disposing of usable product, the Contractor shall obtain approval from the DLA Customer Account Specialist.

a. General procedure for washing cylinders that last contained HPH: Cylinder is to be filled with demineralized water through the liquid port to overflowing out the vapor port for 30 minutes. A sample of the rinse water at the end of the rinse cycle will be analyzed for particulates and residual hydrazine. Particulates will be measured using the particulate method detailed in MIL-PRF-26536G .

Hydrazine will be measured using a HACH meter and the method recommended by the manufacturer. The results will be reported as follows:

Particulates mg/L 1.0 max Hydrazine ppm 1 max Nitrogen will be used to pressurize the water out of the cylinder by applying pressure through vapor port and draining water through liquid port. After empty, cycle purge the cylinder 3 times then nitrogen sweep for a minimum of 6 hrs.

Check for dryness and purge further if necessary.

b. In the event a container is out of certification for filling, contractor shall notify DLA Energy Contract Specialist for instructions. These cleaning and disposal services are consider part of routine services included in the maintenance and facility fee.

10. CONTAINER MAINTENANCE: On occasion, a container may need minor maintenance in the form of installing new valves, plugs, seals, caps, other soft goods, or other minor needs to be deemed safe and in serviceable condition. The Contractor shall be capable of properly installing Government-provided replacement parts to ensure containers are delivered in a serviceable and satisfactory condition. The Contractor shall have the capability to update or change container identification plate information as directed by DLA. Container maintenance and related services are consider part of routine services included in the maintenance and facility fee.

a. VALVE PRESSURE/LEAK TEST: The valve and valve body (to include valve seating and packing) shall be bubble tight when tested at approximately 25%, 50%, 75%, 100% and 150% of the maximum allowable working pressure (MAWP) of the vessel onto which it is to be installed (not to exceed 1.5 times the valve's pressure rating). Leak test in both the forward and reverse direction.

If leakage is not detected for at least one minute, the valve passes the pressure/leak test. If the valve passes the pressure/leak test, clean the valve's wetted flow path to level 100A in accordance with specification KSC-C-123J or equivalent and reinstall. If the valve fails the pressure/leak test, please contact the DLA Energy Contracting Officer for instructions.

11. SHIPPING PREPARATION: The Contractor shall be capable of filling the DOT- 4BW containers, analyzing the product IAW applicable specification, and preparing for shipping IAW the Clause entitled PACKAGING AND MARKING REQUIREMENTS.

Contractor shall comply with CFR 49 in the preparation of shipping documents and any federal, state, county and/or local required transportation forms. Cylinders are shipped under DOT-SP 11173 or DOT-SP 11580. Contractor shall complete the DLA Energy Transportation Checklist No. 17, provided by DLA Energy Transportation Specialist for each shipment of filled containers and maintain an original copy for two years (Sample attachment titled: Inspection Checklist for Hydrazine Cylinders (DOT-4BW) at Shipping Activities). Container shipping preparation and related services are consider part of routine services included in the maintenance and facility fee.

a. LOAD, BLOCK AND BRACE: Contractor shall use all best efforts to prevent damage during shipment of containers by ensuring blocking and bracing is in compliance with CFR 49.

12. GOVERNMENT PROPERTY RECORDS AND REPORTING: Pursuant to FAR 45.5, as incorporated in the Clause entitled GOVERNMENT PROPERTY, the Contractor shall protect and safeguard all government equipment. Documentation and reports required under this paragraph are consider part of routine services included in the maintenance and facility fee.

a. The Contractor shall provide a monthly inventory report of all Government containers on hand providing container type, serial number, condition, and product quantity contained.

b. The Contractor shall provide digital photographs of containers upon request.

Photos will be used to determine container condition and for accountability purposes.

c. Every batch should have a “follower” of paperwork indicating batch #, date of manufacture, and assay data taken that remains with each container until is removed from Contractor facility. Contractor shall retain duplicate copies of paperwork for the life of this contract and provide upon request.