SP0600-12-R-0224_Amendment_0003.pdf

Offers must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended, by one of the following methods:

(a) By completing items 8 and 15, and returning or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGMENT TO BE RECEIVED AT THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN REJECTION OF YOUR OFFER. If by virtue of this amendment your desire to change an offer already submitted, such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

E. IMPORTANT: Contractor is not, is required to sign this document and return copies to the issuing office.

AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT 1. CONTRACT ID CODE

2. AMENDMENT/MODIFICATION NO. 3. EFFECTIVE DATE 4. REQUISITION/PURCHASE REQ. NO. 5. PROJECT NO. (If applicable)

7. ADMINISTERED BY (If other than Item 6) CODE

STANDARD FORM 30 (REV. 10-83)

Prescribed by GSA FAR (48 CFR) 53.243

FACILITY CODE

9A. AMENDMENT OF SOLICITATION

NO.

9B. DATED (SEE ITEM 11)

10A. MODIFICATION OF CONTRACT/ORDER NO.

10B. DATED (SEE ITEM 13)

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offers is extended, is not extended.

12. ACCOUNTING AND APPROPRIATION DATA (If required) copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted;

13. THIS ITEM ONLY APPLIES TO MODIFICATION OF CONTRACTS/ORDERS.

IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

CHECK ONE A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE CONTRACT ORDER NO.

IN ITEM 10A.

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, appropriation date, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(b).

C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority)

Except as provided herein, all terms and conditions of the document referenced in Item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

15C. DATE SIGNED

15A. NAME AND TITLE OF SIGNER (Type or print)

16C. DATE SIGNED

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

PAGE OF PAGES

6. ISSUED BY CODE

8. NAME AND ADDRESS OF CONTRACTOR (No., street, county, State and ZIP Code) (X)

CODE

15B. CONTRACTOR/OFFEROR

(Signature of person authorized to sign)

16B. UNITED STATES OF AMERICA

(Signature of Contracting Officer)

NSN 7540-01-152-8070

Previous edition unusable

SEE CONTINUATION PAGES

Defense Logistics Agency Energy 8725 John J. Kingman Road, Suite 4950 Ft. Belvoir, VA 22060-6222 Buyer: Regina Gable (703) 767-8466

SP0600-12-R-0224

1 18

10/16/2012

Solicitation SP0600-12-R-0224 Amendment 0003

A. This amendment provides responses to interested party questions received by the cut-off date and time of October 9, 2012, 3:00PM.

1. QUESTION: Can you please confirm if registration is required prior to the reverse auction taking place? If so, how do offerors register for the reverse auction prior to submitting our responses?

ANSWER: Yes, in the event that a reverse auction is held, registration of the reverse auction invitees would be required. Registration instructions are provided in the Reverse Auction Portal Seller’s Guide, which is posted on the Federal Business Opportunities website with the other solicitation documents.

2. QUESTION: Six attachments required to be submitted as part of the OSP are provided as separate, standalone files. Are these files – completed by the offeror – expected to be delivered in our response as standalone files?

ANSWER: Offerors may submit their offer as separate files or as one file; however, please note that Offerors submitting electronic responses to this solicitation must limit email size to 10MB for a single email. Emails over 10MB may not be delivered because of server restriction on mail size for delivery.

3. QUESTION: RFP page 10, SPECIAL NOTE #7 states: “Offerors note: The U.S. Government is tax exempt. DO NOT include any taxes in offered prices for which the U.S. is tax exempt.” Contractor will need these to present to the Afghan tax/customs authorities when importing fuel products in order to avoid being taxed on fuel bound for USG facilities in Afghanistan. Will the contractor be provided with the necessary documentation, such as agreements between the United States of America and the Islamic Republic of Afghanistan related to tax issues or diplomatic notes or any other documentation? Or, will the USG provide such documents on a mission by mission basis?

ANSWER: During contract performance, the U.S. Government, via the U.S. Embassy in Kabul, will assist with providing diplomatic notes and customs letters to contractor(s) to assist with fuel importation tax issues.

4. QUESTION: The solicitation states multiple times that the risk of loss to the fuel is with the contractor. This is understood. However what happens in case the truck gets ambushed by Terrorists and all fuel is gone/burned? Does DLA/USG consider this as a loss in truest sense of the word loss, i.e., will the carrier be charged with that value of the fuel in addition to the loss of drivers and truck? Currently in most of fuel transportation contracts (DLA and other Agencies) in Afghanistan the contractors are not charged with the value of the fuel in such cases, provided the contractor can provide sufficient evidence that the fuel/truck got blown up due to enemy activity (police-reports etc. etc.). Will the contractor be charged for the value of the fuel “lost” due to ambushes/attacks or will the USG Waive the right to do so

– if clear evidence can be provided that the “loss” incurred due to force majeure i.e. enemy attack? If yes – what amount will be charged per Gallon?

ANSWER: All line items included in the solicitation are FOB Destination. The U.S. Government will only pay for fuel that is delivered to the locations listed in the schedule. It will not pay for fuel that is not delivered for any reason, to include terrorist attacks. All fuel belongs to the contractor until such time that it is delivered to the U.S. Government.

5. QUESTION: Attachment 1 Past Performance Questionnaire has a 3 page limit. We believe this is very restrictive and will not allow us to provide a full picture of our experience, especially given the fact that this is best value. Will the government consider raising the page limitation to 20 for past performance?

ANSWER: Yes, offerors may use up to 20 pages to respond to the questions listed in Attachment 1.

However, please note that the U.S. Government will only evaluate the information that is required by the solicitation, and nothing more.

6. QUESTION: We have many pages of strong information and data, including photographs, that help make our proposal much strong, but these data are not specifically called for in the RFP/OSP. Are offerors allowed to provide a separate, standalone proposal document that includes information that we believe will make our case much stronger? This document would be in addition to the OSP and all attachments.

ANSWER: You can provide this information, but please note that the U.S. Government will only evaluate the information that is required by the solicitation, and nothing more.

7. QUESTION: Are bidders allowed to source and price fuel procured from Belarus?

ANSWER: Yes offerors may source fuel from Belarus. Please note that offerors are responsible to ensure that all subcontractors, to include fuel suppliers, are not listed on the Excluded Parties List System, which is found at https://www.epls.gov, and that these companies do not violate the Iran Sanctions Act.

8. QUESTION: The high-low average of the July 2012 Platts quotes for JET CARGOS CIF NEW is $955.614 per metric ton equates to $2.910492 per US Gallon. The solicitation states that US Gallon rate is $2.907302. Please clarify the difference between the metric ton rate and the US Gallon rate.

ANSWER: This amendment corrects the base reference price listed in Solicitation Provision B19.02, “Economic Price Adjustment (Overseas) (DLA Energy JAN 2012),” for Platts Jet Kero CIF NWE, effective August 1, 2012. The base reference price now reads $2.909730 per U.S. Gallon. The base reference price of $2.909730 was calculated by taking an average of the Platts Jet Kero CIF NWE High price of $955.8636 per Metric Ton (MT), and the Jet Kero CIF NWE Low price of $955.3636 per MT.

The resulting average of $955.6136 per MT was then divided by the Gallons per MT conversion rate of

328.42 for TS-1 jet fuel, as stated in Solicitation Provision M55, “Conversion Factors (DLA Energy MAR 2007).” This results in the base reference price of $2.909730, as stated in the solicitation. The reference prices stated for Platts Avjet FOB Med and Platts Jet Kero Arab Gulf are correct as stated in the solicitation.

https://www.epls.gov/

9. QUESTION: Can offerors propose to source petroleum products from Belarus; specifically, from the resources of the Belarusian Oil Company?

ANSWER: Please refer to the answer to Question #7.

10. QUESTION: Please comment if suitable notice will be given to the reverse auction invitees, as well as advanced training on the system to ensure all invitees have equal opportunity to provide responses.

ANSWER: Yes, in the event that a reverse auction is held, offerors who remain in the competitive range, and who are invited to participate in the reverse auction, will be given suitable notice and advanced training.

11. QUESTION: How does the government intend to establish a competitive range of offerors which will be allowed to participate in the reverse auction? It appears the Offeror Submission Package instructs offerors to fill in CLIN prices. This implies that submission of these CLIN prices will be the basis for establishing the competitive range. Is this accurate? If this is not the case, will you please clarify how the two methodologies for submitting prices (Completed CLINs in the Offeror Submission Package and a subsequent Reverse Auction process) will be used to determine an awardee?

ANSWER: The award decision will be made in accordance with the evaluation factors as set forth in Solicitation Provision M72.03-3-100, “Evaluation Factors for Best Overall Value (PC&S) (Afghanistan) (DLA Energy JUN 2006).

If the U.S. Government elects to perform a reverse auction, then the reverse auction will be used as a pricing technique during discussions to establish the final offered prices from each offeror. These prices will be used in conjunction with the evaluation factors stated in Solicitation Provision M72.03-3-100 in order to make the award decision. If the Contracting Officer does not conduct a reverse auction, award may be made on the basis of initial offers or following discussions not using reverse auctioning as a pricing technique. If the Contracting Officer decides to use on-line reverse auctioning to conduct price negotiations, the Contracting Officer will notify offerors of this decision and the provisions of DLAD 52.215-9023 will apply.

Below is the step-by-step process of the offer evaluation process:

Step 1: Offerors provide written proposals.

Step 2: DLA Energy, using the procedures stated in Solitication Provision M72.03-3-100, evaluates the sub-factors of Past Performance, Combined Technical/Risk, and Price for each offer.

Step 3: If discussions are to be held, DLA Energy establishes the competitive range.

Step 4: DLA Energy holds discussions with offerors remaining in the competitive range.

Step 5: DLA Energy determines whether or not to hold a reverse auction. If a reverse auction is held, the reverse auction will be used as a pricing technique to establish the final offered prices from each offeror remaining in the competitive range. If a reverse auction is not held, DLA Energy will request the submission of written final offered prices as it has done in the past.

12. QUESTION: Additional instruction is desired prior to participation in the actual auction. Our firm has not previously participated in a DLA Reverse Auction process; hence, we would like an opportunity to familiarize ourselves with the user interface through hands-on training. Helpful in this process would be an on-line tutorial and training auction, and an opportunity to verify with DLA that we can adequately navigate through the system (Procurex) prior to the start of the actual auction.

See the response to Question #10.

13. QUESTION: Is the 1 August 2012 reference price shown in Column VI, Paragraph(k), EPA Clause at Section B-0002 the baseline for submitting CLIN prices in response to each of the Solicitations (0224, 0225, 0229, and 0230)?

ANSWER: Offerors are responsible to formulate their own offer prices as they see fit. The base reference prices provided in Solicitation Provision B19.02 are the market prices that are published in an independent publication with which the award price will fluctuate.

14. QUESTION: Do Teaming Agreements suffice for Fuel Supplier Agreements and Subcontractor Agreements where applicable?

ANSWER: All fuel supply commitment letters must contain all elements required by Attachment 5, “Letter of Commitments Instructions.”

15. QUESTION: We stress that Platts reference will not account for localized fluctuation in the cost of transporting the fuel. It will be very difficult to “forward price” the fuel for the 24 month theoretical period of the contract (12 month base plus 12 month option period). Therefore, is it DLA Energy’s intent to hold an initial online Reverse Auction to obtain pricing for the fuel for a shorter, more predictable period (as an example 30 days); then, hold subsequent Reverse Auctions every 30 days after that?

ANSWER: To clarify, the base period for this solicitation is 24 months, not 12 months. Also, there is no 12-month option included in the solicitation. The delivery period includes a base period of 24 months and a provision to extend the contract for up to an additional 6 months. The Reverse Auction, if utilized, will only be performed prior to contract award as a pricing technique to establish the final offered prices from each offeror.

16. QUESTION: Utilizing the Reverse Auction process for the pricing discussions on a “Best Value” contract may be counterproductive. Would DLA please explain this relationship and how the “Best Value” technical ratings will be evaluated against the lowest price?

ANSWER: See the response to Question #11.

17. QUESTION: It is unclear if the reverse auction occurs after the submission of written proposals or in lieu of submitting written proposals.

ANSWER: See the response to Question #11.

18. QUESTION: We propose and request that there be several practice sessions for interested bidders prior to the actual reverse auction, in order that we might become fully familiar with the process and the responses received.

ANSWER: See the response to Question #10.

19. QUESTION: It is unclear as to how the written evaluation as described in the solicitation will be utilized in the reverse auction in a timely and efficient manner. Again, the reverse auction approach would seem to indicate that price is the most important factor in DLA Energy’s decision.

ANSWER: See the response to Question #11.

20. QUESTION: We request further clarification and instructions on how a revised offer price would be submitted and evaluated as it is our opinion that this is not totally articulated in the available documents.

ANSWER: See the response to Question #11.

21. QUESTION: We propose that the responses from all the interested participants responding to these questions be compiled and distributed to the interested parties without identifying the responding party.

We propose that any comments and/or clarifications that DLA Energy has to the vendor responses and/or questions be compiled and distributed to all vendors responding.

ANSWER: All questions from interested vendors (and DLA Energy’s responses to these questions) regarding the reverse auction process are contained within this amendment.

22. QUESTION: We propose that DLA Energy hold a webinar in order that vendors could raise questions as it relates to the reverse auction and solicitation.

ANSWER: Solicitation questions will be answered via amendments to the solicitation. A webinar will not be held.

23. QUESTION: How will DLA-E ensure everyone will get a fair opportunity in the bidding process?

i.e. Will the firm with the most experience in this type of bidding have an unfair advantage.

ANSWER: In the event that a reverse auction is held, DLA Energy will provide the same level of training to all invitees prior to the auction.

24. QUESTION: Will there be a fixed time auction or will the auction extend (i.e. 5 min – 10 min) after each bid?

ANSWER: This information will be made available to auction invitees prior to the auction in the event that a reverse auction is held.

25. QUESTION: Will there be open discussions prior to bidding?

ANSWER: As stated in FAR 52.212-1(j), the Government reserves the right to conduct discussions if later determined by the Contracting Officer to be necessary.26. QUESTION: Will the auction be part of the open discussions?

26. QUESTION: Will the auction be part of the open discussions?

ANSWER: See the response to Question #11.

27. QUESTION: How will DLA-E address time difference between Fort Belvoir and offeror offices located in other time zones for Auction closing time (i.e. Afghanistan/Europe)?

ANSWER: If held, any reverse auctions would be during the hours of 8:00am-5:00pm EST.2

28. QUESTION: According to instructions, only one person may bid. This may pose a challenge if an outage were to occur.

ANSWER: There is no limit to the number of users a seller can have with their Procurex account. The first person who registers with their account will be the Administrator by default. The Administrator can add, edit, and delete other users, including adding other Administrators. Administrators can also bid in events. A user with only "Seller" rights can bid in an auction, but can't add/edit other users.

29. QUESTION: Since the material attached is generic in nature, further clarification for how the actual auction will be conducted will be needed specific to the solicitation. i.e. Bidding increments/decrements, time window allowed to bid, number of bids allowed, automatic notification timing/frequency, etc.

ANSWER: This information will be made available to auction invitees prior to the auction in the event that a reverse auction is held.

30. QUESTION: What terms or details drive when the auction process will be engaged as opposed to drawing directly from the contract awards and/or pre-determined data?

ANSWER: The decision to hold a reverse auction will depend on what is in the Government’s best interest.

31. QUESTION: What is the contingency plan in the event a contractor “low-bids” just to obtain the work and cannot perform? Does it auto-default to the second lowest bidder or go for re-bid?

ANSWER: Since this question is speculative, and involves many variables as to why a potential awardee could not perform, and the status of any remaining offers in the competitive range, there is no definitive answer to this question at this time.

32. QUESTION: Is the 3,000,000 USG reserve requirement a redundant figure? Example: if a company bids on the reserve requirement on all three solicitations and wins all of them, would that company’s total reserve requirement be 9,000,000 USG or just 3,000,000 USG total.

ANSWER: The 3,000,000 USG reserve requirement is a separate requirement for each of the solicitations.

33. QUESTION: We would like to send proposal on Fuel Provision, required by Defense Energy Support Center under solicitation SP0600-12-R-0224. For fuel quality management, we need further details on Solicitation Provision C-16 (C16.26-14 & C16.11) which is not available in solicitation document neither on any other open source. Please reply with the details or attach document for Provision Clause B and C.

ANSWER: This amendment corrects the solicitation SP0600-12-R-0224 and adds Solicitation Provision C16.26-14.

34. QUESTION: SP0600-12-R-0224 (Only) Items – “101-KDN (Sourced North) and 101-KDP (Sourced Pakistan) – DIESEL FUEL (SPEC GOST 305-82) OR PAD DIESEL FUEL. PRODUCT

SHALL CONFORM TO THE WINTER DIESEL SPECIFICATION AS STATED IN CLAUSE

C16.26-14.” The Clause C16.26-14 is not in the solicitation. Request that the contracting officer clarify whether C16.26-14 was inadvertently left out of the solicitation or whether it was not supposed to be referenced. Need to know what edition of 305-82 is required since it too like the 10227 (TS-1) it has revised editions.

ANSWER: This amendment corrects the solicitation SP0600-12-R-0224 and adds Solicitation Provision C16.30.

35. QUESTION: A PAD specification was not provided. Request that the contracting officer clarify whether there is a specific PAD specification or whether this is covered under C16.26-14.

ANSWER: This amendment corrects the solicitation SP0600-12-R-0224 and adds Solicitation Provision C16.30.

36. QUESTION: SP0600-12-R-0224 (Only): 101-KDN (Sourced North) and 101-KDP (Sourced Pakistan) – DIESEL FUEL (SPEC GOST 305-82) OR PAD DIESEL FUEL. PRODUCT SHALL

CONFORM TO THE WINTER DIESEL SPECIFICATION AS STATED IN CLAUSE C16.26-14.

101-PGP (Sourced Pakistan) - UNLEADED, AUTOMOTIVE GASOLINE NSN 9130-01-526-4844, OR (GOST R 51105-97, GRADE REGULAR WITH MINIMUM RESEARCH OCTANE NUMBER

OF 92 OR GOST R 51866-2002). No clauses for diesel and gasoline where provided under Section C- Description/Specifications/Performance Work Statement. Request that the contracting officer clarify whether C-0004 (C16.09-5) was inadvertently added in lieu of specification clauses for diesel and gasoline.

ANSWER: This amendment corrects the solicitation SP0600-12-R-0224 and adds Solicitation Provision C16.18-25.

37. QUESTION: SP0600-12-R-0224 (Only): Page 15 Solicitation – Reference Pricing for Diesel and Unleaded, CLINs 101-KDN, 101-PGN, 101-KDP, 101-PGP all reference JET KERO in columns III and IV. Please clarify if this is correct? If so, how would this effect Diesel and Unleaded pricing using Jet pricing as a reference? (JET KERO base price fluctuates differently from Diesel and Unleaded fuels base price)

ANSWER: The Reference Pricing for Diesel and Unleaded, CLINs 101-KDN, 101-PGN, 101-KDP, 101-PGP all reference JET KERO in columns III and IV is correct

38. QUESTION: All Subject Solicitations (0224, 0225, 0229, 0230)

Request contracting officer clarification on C16.11.100 (b)(2) Kinematic Viscosity (KV): TS-1 Fuel shall have the following viscosity limits at 40 degrees Celsius: 1.0mm2/s (minimum) and 4.1mm2/s (maximum). Extrapolation of GOST 10227 Kinematic Viscosity (KV) data points at -40 degrees Celsius and 20 degrees Celsius shall be used to determine the KV value at 40 degrees Celsius. The KV 40 degree Celsius value must fall within the APC ground use limits to be acceptable for ground use.

GOST 10227-86 requires under TS-1 (#3) Kinematic Viscosity at 20C and -20C but not -40C. Thus data points should be 20C and -20C to determine the viscosity at 40C.

ANSWER: The viscosity should be extrapolated from 20C and -20C, not -40C as stated in the clause.

Amendment 0002 corrects and replaces Solicitation Provision C16.11.100 to state the correct extrapolation temperatures as 20 deg C and -20 deg C.

39. QUESTION: The solicitations indicate the US Government is Tax Exempt and bidders should not include taxes in the offers. Will the contractor performing under these solicitations also be exempt from paying taxes?

ANSWER: Offerors are responsible to determine their own tax exemption status.

40. QUESTION: Is the US Government taking any action to ensure the Afghan Government does not impose taxes on these contracts?

ANSWER: The U.S. Embassy in Kabul engages as necessary with the Afghan Government to promote the interests of the U.S. Government. Offerors are responsible for their own communications and relationships with the Afghan government.

41. QUESTION: Will the US Government reimburse contractors should the Governments of Afghanistan and/or Pakistan impose and force contractors to pay unforeseen taxes post-award?

ANSWER: See Solicitation Provision FAR 52.229-6, “ Taxes -- Foreign Fixed-Price Contracts (JUN 2003),” for the definition and treatment of after-imposed taxes.

42. QUESTION: Belarus Fuel suppliers (1) Belarusian Oil Trading House (BELOIL), and (2) Naftan are presently in the Excluded Parties List. Will DLA make exceptions to allow bidders to source fuel from these companies?

ANSWER: No exceptions will be made to allow contractors to source from any individuals or companies listed on the Excluded Parties List System (EPLS). See the response to Question #7 for a link to the EPLS website.

43. QUESTION: The solicitations prohibit the use of private, armed security. Presently, multiple destinations in southern Afghanistan require the support of Private Security Companies due to the heightened security risk. In the event the Government of Afghanistan cannot provide security services, and these services are required post-award, will the US Government allow contractors to incorporate both costs and security services, through contract modifications, to the affected routes?

ANSWER: The Afghan Government does not allow for private armed security companies to operate. It effectively nationalized the function, creating the current Afghan Police Protection Force (APPF). The APPF operates under the Afghan Ministry of Interior (MoI). In alignment, DLA Energy solicitations/contracts do not allow for the use of private armed security companies. DLA Energy, however, does notify potential offerors/awardees that should they find the need for armed private security, they may work through the MoI to arrange for APPF coverage.

44. QUESTION: Do you accept partial bid from the contractors under these four solicitations?

ANSWER: Offers for any quantities less than those stated in the solicitation schedule (B1.05-2) will be evaluated unfavorably. As stated in Solicitation Provision M72.03-3-100, “Evaluation Factors for Best Overall Value (PC&S) (Afghanistan) (DLA Energy JUN 2006),” Offerors are informed that they must provide supply commitments for 100 percent of the quantity listed in the solicitation schedule. Even if awarded less than 100 percent of the quantity stated in the schedule, the awardee must be prepared to deliver 100 percent of the quantity listed in the solicitation schedule (or more) during contract performance.

45. QUESTION: How do you expect delivery into Tukmenbasy or Pakistan?

ANSWER: As stated in Solicitation Provision B1.05-2, “Supplies to be furnished (OVERSEAS PC&S) (PORTS INTERNET APPLICATION) (DLA ENERGY JAN 2012) . Please refer to method of delivery.

46. QUESTION: Can we cross those countries by rail or truck?

ANSWER: As stated in Solicitation Provision B1.05-2, “Supplies to be furnished (OVERSEAS PC&S) (PORTS INTERNET APPLICATION) (DLA ENERGY JAN 2012). Please refer to method of delivery.

47. QUESTION: Are Turkmenbasy or Pakistan Safe-World-Ports

ANSWER: Please refer to Solicitation Special notes.

48. QUESTION: Does this amendment negate the changes made on October 11th when a new OSP was added to the FBO site? Can you confirm that we should continue to reference the OSP provided in Amendment 0001 as the final document?

ANSWER: The amendment 0002 of the subject solicitation, which was posted on October 15, 2012 corrects the attachments which have the incorrect solicitation number.

49. QUESTION: Amendment 0002 makes changes to the reference numbers on the 5 attachments, two of which were adjusted in Amendment 0001, however the Amendment 0002 includes the original versions of attachment 3 and attachment 5. Would DLA like us to respond to the requirements for attachments 3 and 5 as stipulated in Amendment 0001 or Amendment 0002?

ANSWER: The amendment 0002 of the subject solicitation, which was posted on October 15, 2012 corrects the attachments which have the incorrect solicitation number.

***END OF QUESTIONS AND ANSWERS***

B. This amendment revises and replaces the following solicitation documents:

i. Attachment 1, “Past Performance Questionnaire” is revised to increase the page limitation as addressed in the response to Question #5. Attachment (1), as revised, is provided as a separate attachment to Amendment 0002.

ii. Solicitation B19.02, “Economic Price Adjustment (Overseas) (DLA Energy JAN 2012)” is revised to reflect the change addressed in the response to Question #8, and is stated in full text as follows:

B-0002 B19.02 ECONOMIC PRICE ADJUSTMENT (OVERSEAS) (DLA ENERGY JAN 2012)

(a) WARRANTIES. The Contractor warrants that--

(1) The unit prices set forth in the Schedule do not include allowances for any portion of the contingency covered by this contract provision; and

(2) The prices to be invoiced hereunder shall be computed in accordance with the provisions of this contract.

(b) DEFINITIONS. As used throughout this contract provision, the term--

(1) Award price means the unit price offered by the Contractor and set forth opposite the item in the Schedule.

(2) Reference price means the market price, this is either published in an independent publication or supplied by the Contractor, with which the award price is to fluctuate. The reference price should be a market price for the same or similar product(s) as the item being purchased.

(3) Date of delivery means--

(i) FOR TANKER OR BARGE DELIVERIES.

(A) F.O.B. ORIGIN. The date and time vessel commences loading;

(B) F.O.B. DESTINATION. The date and time vessel commences discharging;

(ii) FOR PIPELINE DELIVERIES. The date and time product commences to move past the specified f.o.b. point;

and

(iii) FOR ALL OTHER TYPES OF DELIVERIES. The date product is received.

(c) ADJUSTMENTS. The prices payable under this contract shall be the award price increased or decreased by the amount, determined according to the following formula, that the reference price shall have increased or decreased, to and including the date of delivery.

(1) The amount of increase or decrease in the award price shall be based on the same number of cents, or fraction thereof, that the reference price increases or decreases per like unit of measure.

(2) The reference price with which the award price for the listed item is to fluctuate (and which is more fully defined in the Table below) is-- [ ] (i) The low price published in ________________________________________________________.

(Name of publication)

[ X ] (ii) The average of the prices published in _________PLATTS OILGRAM__________________ (Name of publication)

[ ] (iii) The established price posted by_________________________________________________ and (Name of company) published in _________________________________________________________ (name of publication)

(3) COMMERCIAL. For price adjustments utilizing commercial publications such as Platts Oilgram, etc., the reference price in effect on the date of delivery shall be that item’s reference price that is in effect for the dates in the Table below. If an effective date is not cited in a publication, then the date of publication shall apply. An increase or decrease in any reference price published in a trade price service or in a commercial journal shall apply only to deliveries made on or after the effective date of such trade price service or commercial journal. In the event of a holiday for which an effective date is not used, the latest effective price(s) prior to the effective date shall be used. NOTE: Platts issues corrections to its published prices on a regular basis. Platts posts corrections to its website (www.platts.com) for its subscribers. If a correction to a reference price is found on the Platts website, all of the items that use that reference price will be corrected. DLA Energy will correct any other reference prices, as notice of the correction is received. DLA Energy will work with the pricing services to determine the appropriate price, whenever an offeror or contractor can show that the price referenced should be reviewed.

(4) NONCOMMERCIAL (NOTIFICATION). For price adjustments utilizing a reference price indicator other than commercial publications such as Platts Oilgram, the Contractor shall notify the Contracting Officer of any changes in the reference price in writing within 15 calendar days from the date thereof.

(i) INCREASES. Any increase in unit price as a result of an increase in reference price shall apply only to deliveries made on or after the date of receipt by the Contracting Officer of a written notification from the Contractor of such increase.

However, the prices payable under this contract shall in no event exceed the Contractor’s posted or established selling price in effect on the date of delivery for the product supplied in the form of delivery made at the point of delivery. Also, no notification incorporating an increase in a contract unit price shall be executed pursuant to this contract provision until the increase has been verified by the Contracting Officer.

(ii) DECREASES. If the Contractor fails to notify the Contracting Officer of any decrease in the reference price, within the allotted 15 day period, such decrease shall apply to all deliveries made on or after the effective date of such decrease. However, if any overpayment is made to the Contractor as a result of the Contractor’s failure to give timely notice to the Contracting Officer of any decrease in the established price, the Contractor shall be charged interest on such overpayment from the date of the overpayment to the date of reimbursement by the Contractor for the overpayment in accordance with the Disputes paragraph of the CONTRACT TERMS AND CONDITIONS – COMMERICAL ITEMS clause of this contract.

(5) Where the reference price is the Contractor’s established price (see (c)(2)(iii) above), the Contractor warrants that the product selected is one for which, except for modification required by the specifications of this contract, the Contractor has an established price. Such price is the net price after applying any applicable standard trade discounts offered by the Contractor for its catalog, list, or schedule price. The Contractor further warrants that, as of the current date, any differences between the unit prices of the line items identified in the Schedule and the Contractor's established price for like quantities of the nearest commercial equivalents of such contract items are due to compliance with contract specifications and to compliance with any requirements that this contract may contain for preservation, packaging, and packing beyond standard commercial practice.

(d) MODIFICATIONS. Any resultant price changes shall be provided via notification through contract modifications and/or postings to the DLA Energy web page at http://www.desc.dla.mil under the heading Vendor Resources and then Product Price Adjustments.

(e) FAILURE TO DELIVER. Notwithstanding any other conditions of this contract provision, no upward adjustment shall apply to product scheduled under the contract to be delivered before the effective date of the adjustment, unless the Contractor’s failure to deliver according to the delivery schedule results from causes beyond the Contractor’s control and without its fault or negligence, within the meaning of the Excusable Delays and Termination for Cause paragraphs of the CONTRACT TERMS AND CONDITONS – COMMERCIAL ITEMS clause of the this contract in which case the contract shall be amended to make an equitable extension of the delivery schedule.

(f) UPWARD CEILING ON ECONOMIC PRICE ADJUSTMENT. The Contractor agrees that the total increase in any contract unit price pursuant to these economic price adjustment provisions shall not exceed 375 percent of the award price, except as provided hereafter:

http://www.platts.com/ http://www.desc.dla.mil/

(1) If at any time the Contractor has reason to believe that within the near future a price adjustment under the conditions of this contract provision will be required that will exceed the current contract ceiling price for any item, the Contractor shall promptly notify the Contracting Officer in writing of the expected increase. The notification shall include a revised ceiling the Contractor believes is sufficient to permit completion of remaining contract performance, along with appropriate explanation and documentation as required by the Contracting Officer.

(2) If an actual increase in the reference price would raise a contract unit price for an item above the current ceiling, the Contractor shall have no obligation under this contract to fill pending or future orders for such item, as of the effective date of the increase, unless the Contracting Officer issues a contract modification to raise the ceiling. If the contract ceiling will not be raised, the Contracting Officer shall so promptly notify the Contractor in writing.

(g) REVISION OF REFERENCE PRICE INDICATOR. In the event—

(1) Any applicable reference price is discontinued or its method of derivation is altered substantially;

(2) The reference price is an average of published or posted prices, and any one price ceases to be published or posted;

(3) The reference price is published in a trade price service or commercial journal and such publication ceases to publish said reference price or changes its method of quoting prices; or

(4) The Contracting Officer determines that the reference price consistently and substantially failed to reflect market conditions— the parties shall mutually agree upon an appropriate and comparable substitute for determining the price adjustment described hereunder.

The contract shall be modified to reflect such substitute effective on the date the indicator was discontinued, altered, or began to consistently and substantially fail to reflect market conditions. If the parties fail to agree on an appropriate substitute, the matter shall be resolved in accordance with the Disputes paragraph of the CONTRACT TERMS AND CONDITIONS – COMMERCIAL ITEMS clause of this contract.

(h) CONVERSION FACTORS. If this contract provision requires quantity conversion for economic price adjustment purposes, the conversion factors for applicable products, as specified in the CONVERSION FACTORS contract provision, apply unless otherwise specified in the Schedule.

(i) EXAMINATION OF RECORDS. The Contractor agrees that the Contracting Officer or designated representatives shall have the right to examine the Contractor’s books, records, documents, or other data the Contracting Officer deems necessary to verify Contractor adherence to the provisions of this contract provision.

(j) FINAL INVOICE. The Contractor shall include a statement on the final invoice that the amounts invoiced hereunder have applied all decreases required by this contract provision.

(k) TABLE.

I II III IV V VI VII

Name of If company - Reference Max Price company/ name of product; Method of price payable under publication If publication - delivery as of this contract (identify heading under applicable 1 AUG 2012 (includes any Item No. by number which reference Location where to the (date) tax included (listed from (c)(2) price is published reference price reference (exclude in the award items) above) and name of product is applicable price all taxes price .

102-ST1 PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

103-TS1 PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

103-TSA PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

104-TS1 PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

104-TSA PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

105-TS1 PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

105-TSA PLATTS AVJET FUEL FOB MED CARGO $2.847241 See Paragraph (f) above

Below CLINs shall be sourced from the Northern Distribution Network:

101-KDN PLATTS JET KERO CIF NWE CARGO $2.909730 See Paragraph (f) above

101-PGN PLATTS JET KERO CIF NWE CARGO $2.909730 See Paragraph (f) above

110-TSN PLATTS JET KERO CIF NWE CARGO $2.909730 See Paragraph (f) above

112-TSN PLATTS JET KERO CIF NWE CARGO $2.909730 See Paragraph (f) above

Below CLINs shall be sourced from Pakistan:

101-TS1 PLATTS JET KERO ARAB GULF CARGO $2.731537 See Paragraph (f) above

101-KDP PLATTS JET KERO ARAB GULF CARGO $2.731537 See Paragraph (f) above

101-PGP PLATTS JET KERO ARAB GULF CARGO $2.731537 See Paragraph (f) above

NOTE: Product prices will escalate monthly based on the average of high and low assessments contained in the Platt’s publication of each month in which deliveries are made. Therefore, the effective price for the period of the 1st through the 30th /31st will be the average of the high and low assessments for the previous month’s assessments posted on the 1st of each month. Saturdays and Sundays shall be considered as Platt’s non-publication days. If assessments are not posted by Platt’s during the period that delivery was made due to a holiday or another occurrence, only the posted assessments for that period will be used in the calculation.

iii. Solicitation Provision C16.11.100, “Turbine Fuel, Aviation (TS-1) (First Grade) With or Without Fuel System Icing Inhibitor (FSII), Corrosion Inhibitor/Lubricity Improver (CI/LI), and Static Dissipater Additive (SDA) (DLA Energy AUG 2012)” is revised to reflect the change addressed in the response to Question #33. The new C16.11.100, as revised, is provided in full text below:

C-0003 C16.11.100 TURBINE FUEL, AVIATION (TS-1) (FIRST GRADE) WITH OR WITHOUT FUEL SYSTEM

ICING INHIBITOR (FSII), CORROSION INHIBITOR/LUBRICITY IMPROVER (CI/LI), AND

STATIC DISSIPATER ADDITIVE (SDA) (DLA ENERGY AUG 2012)

(a) TS-1 aviation turbine fuel shall conform to the requirements of the English language version of GOST 10227-86, Specification, Fuels for Jet Engines, Revised Edition, September 2009, with Amendment Numbers 1, 2, 3 and 4 as published by IHS/Global (see paragraph (d) below) as modified below:

(1) Notwithstanding the provisions contained in any notes or revisions to GOST 10227-86, any deviations from the norm for the required grade must be agreed to by the DLA Energy Contracting Officer in writing.

(2) TS-1 aviation turbine fuel is designated using the Cyrillic “TC-1” in the IHS document.

(b) SPECIFICATION DEVIATIONS/MODIFICATIONS

(1) Flash Point: Additized TS-1 Fuel shall have a minimum flash point of 32 degrees Celsius in accordance with

GOST 6356-75.

(2) Kinematic Viscosity (KV): TS-1 Fuel shall have the following viscosity limits at 40 degrees Celsius: 1.0mm2/s

(minimum) and 4.1mm2/s (maximum). Extrapolation of GOST 10227 Kinematic Viscosity (KV) data points at -20 degrees Celsius and 20 degrees Celsius shall be used to determine the KV value at 40 degrees Celsius. The KV 40 degree Celsius value must fall within the APC ground use limits to be acceptable for ground use.

(c) ADDITIVE REQUIREMENTS (The Contractor shall furnish and inject the following additives, as required by contract or contract line item). Additives shall not be premixed with other additives before injection into the fuel so as to prevent possible reactions among the concentrated forms of different additives.

(1) Corrosion Inhibitor/Lubricity Improver (CI/LI) additive(s), in accordance with MIL-PRF-25017H Amendment 1, dated 4 Aug 2011, shall be added of the type and concentration cited within the Qualified Products Database (QPD). To locate this information: (1) Go to the ASSIST QuickSearch website (URL https://assist.daps.dla.mil/quicksearch/), (2) type "QPL-25017" in the Document ID field and press the submit button, (3) click the QPL-25017 search result under Document ID, and (4) click the "Qualification" link located in the upper right side of the webpage to be directed to QDS-25017.

Only the following CI/LI additives are approved for shipment to North Atlantic Treaty Organization (NATO) countries:

https://assist.daps.dla.mil/quicksearch/

CI/LI

CONCENTRATION,

GRAMS/CUBIC METER

Innospec Fuel Specialties, LLC DCI-4A 9 – 24 Innospec Fuel Specialties, LLC DCI-6A 9 – 15 Afton Chemical, Hitec 580 15 – 22.5 Nalco Co, Nalco 5403 12 – 22.5 Nalco Co, Nalco 5405 11 – 11 Baker Petrolite, Tolad 4410 9 – 22.5 Baker Petrolite, Tolad 351 9 – 24 Dorf Ketal Chemicals, Unicor J 9 – 22.5 Spec-Aid 8Q22 9 – 24

(2) Fuel System Icing Inhibitor (FSII) Diethylene Glycol Monomethyl Ether (DiEGME), in accordance with MIL-

DTL-85470B, dated 15 June 1999, shall be added at a concentration of 0.10 - 0.15 volume percent.

(3) The following electrical conductivity additive is approved: Stadis® 450 marketed by Innospec Fuel Specialties

LLC (formerly Octel Starreon LLC), Newark, DE 19702.

(4) Metal Deactivator (MDA) shall not be used unless the supplier has obtained written consent from the Contracting

Officer.

(d) The Contractor shall notify the DLA Energy Contracting Officer immediately in writing of any later revisions to GOST

10227-86 that may affect the availability of fuel conforming to the requirements of this contract.

(e) IHS/GLOBAL CONTACT INFORMATION.

IHS/GLOBAL

15 INVERNESS WAY EAST

ENGLEWOOD, CO 80112

UNITED STATES OF AMERICA

COMMERCIAL PHONE: (303) 397-2740

TOLL FREE PHONE: (877) 413-5184

INTERNET: http://www.global.IHS.com E-MAIL: global@IHS.com.

(f) REPORTS. The Contractor shall submit a copy of the latest full specification analysis from the supplying refinery for each batch of product lifted. Either Russian or English versions of this analysis are acceptable. This documentation shall be submitted to the following address:

ATTN: DLA ENERGY-QT, ROOM 2843

DEFENSE LOGISTICS AGENCY ENERGY

8725 JOHN J. KINGMAN ROAD

FORT BELVOIR VA 22060-6222

iv. Solicitation Provision C16.26-14, “Fuel Oil, Diesel (Ghost 305-82) Summer (L) and Winter (Z) Grades (PC&S) (Eurasia) DLA Energy MAR 2008)” is added and provided in full text below:

C-0006 C16.26-14 FUEL OIL, DIESEL (GOST 305-82) SUMMER (L) AND WINTER (Z) GRADES (PC&S) (EURASIA)

(DLA ENERGY MAR 2008)

(a) The diesel fuel oil shall conform to the requirements of GOST 305-82 Specification Diesel Fuel, Second Edition, dated August 1983, with Amendment 1, approved April 1983, as modified below.

(1) The Contractor shall submit an English language version of the GOST 305-82 specification to the DLA Energy Contracting Officer as part of their offer submission package and the Contractor shall be required to provide fuel conforming to this version of the specification. In the event of a dispute, this English language version of GOST 305-82 shall govern.

(2) Notwithstanding the provisions contained in any notes or revisions to GOST 305-82, any deviations from the norm for the required grade must be agreed to in writing by the DLA Energy Contracting Officer http://www.global.ihs.com/ mailto:global@IHS.com

(3) The Contractor shall immediately notify the DLA Energy Contracting Officer in writing of any later revisions to GOST 305-82 that may affect the Contractor’s ability to supply fuel conforming to the requirements of this contract.

(b) Where GOST 305-82 provides for multiple courses of action, DLA Energy’s choice of options is provided below. For seasonal variations in specification, fuel must meet the specification applicable to the date the fuel is delivered.

(1) The solidification (pour) point shall not exceed the maximum acceptable values for the moderate climate zone. The fuel offered and delivered shall meet the following Seasonal Solidification (Pour) Point requirements as stated below:

Solidification (Pour) Point, oC GOST 20287-74 Amd P5.2 March 1 to October 31 (Grade L, Summer Diesel, Moderate Climate Zone) Max. -10 November 1 to February 29 (Grade Z, Winter Diesel, Moderate Climate Zone) Max. -25

(2) The cloud point shall not exceed the maximum acceptable values for the moderate climate zone. The fuel offered and delivered shall meet the following Seasonal Cloud Point requirements as stated below:

Cloud Point, oC GOST 6356-75 March 1 to October 31 (Grade L, Summer Diesel, Moderate Climate Zone) Max. -5 November 1 to February 29 (Grade Z, Winter Diesel, Moderate Climate Zone) Max. -15

(3) The flash point shall not be lower than the minimum acceptable values for general purpose diesel engines.

(4) Diesel fuel oil complying with either fuel type I (0.2) or fuel type II (0.5) limits for percent mass fraction of sulfur is acceptable.

(c) WORKMANSHIP AND APPEARANCE REQUIREMENT. The fuel shall be clear and bright and free of visible water and particulates at 25 degrees Celsius or ambient temperature, whichever is higher, per ASTM D 4176, procedure 1. If the sample has no visible particulates, but is otherwise not “clear and bright” and/or contains free water per ASTM D 4176, procedure 1, then the product must meet the requirements of ASTM D 2709, 0.05 percent volume of water and sediment, maximum. If the sample fails ASTM D 4176, procedure 1, because it contains visible sediment or particulate matter, then the product must meet the requirement of IP 415 or ASTM D 6217, 24 milligrams per kilogram, maximum.

(d) REPORTS. The Contractor shall submit a copy of the latest full specification analysis from the supplying refinery for each batch of product lifted. Either English or Russian versions of this analysis are acceptable. This documentation shall be submitted to--

ATTN: DLA ENERGY-QT, ROOM 2954

DEFENSE LOGISTICS AGENCY ENERGY

8725 JOHN J. KINGMAN ROAD, SUITE 4950

FORT BELVOIR VA 22060-6222

v. Solicitation Provision C16.30, “Fuel Oil, Diesel (Afghanistan/Pakistan) (Overseas Bulk) (DLA Energy MAR 2005)” is added and provided in full text below:

C-0007 C16.30 FUEL OIL, DIESEL (AFGHANISTAN/PAKISTAN) (OVERSEAS BULK) (DLA ENERGY MAR 2005)

Produc…