JP-10_Pre-Prop_Charts_Amend_0002.pdf

WARFIGHTER FOCUSED, GLOBALLY RESPONSIVE SUPPLY CHAIN LEADERSHIP

DEFENSE LOGISTICS AGENCY

AMERICA’S COMBAT LOGISTICS SUPPORT AGENCY

WARFIGHTER SUPPORT ENHANCEMENT STEWARDSHIP EXCELLENCE WORKFORCE DEVELOPMENT

DLA Energy Aerospace Energy

23 July 2013

High Density Synthetic Hydrocarbon

(JP-10) &

Priming Fluid 1 (PF-1)

Pre-Proposal Conference

WARFIGHTER FOCUSED, GLOBALLY RESPONSIVE SUPPLY CHAIN LEADERSHIP

• Welcome/Introductions

• General Discussion of Request for Proposal (RFP)

• Review Schedule B, Delivery & RFP clauses

• Section L- Proposal Format and Content & Pricing

• Section M – Evaluation of Commercial Items

• Procurement Schedule

• Additional Questions and Answers

• Closing

Todays’ Agenda

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Defense Logistics Agency Energy

Mission:

Vision:

Values:

Our Customers First Choice for Energy Solutions

To Provide the Department of Defense and Other Government Agencies with Comprehensive Energy Solutions in the Most Efficient and Economical Manner Possible!

• People

• Service

• Excellence

• Innovation

• Trust

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Introductions

• DLA Energy Aerospace Energy Team

– Jessie Hamilton, Customer Account Specialist (CAS)

– Andy Avila, CAS Supervisor

– Linda Minazzi, Transporter

– Dave Pamplin Quality Assurance

– Jim Young, Quality Assurance

– Rod Fischer, Chief, Customer Support Branch

– Ken Grams, Chief, Customer Operations

– Keith Harvey, Contract Specialist/Contracting Officer

– Barb Peterson, Contracting Officer

– Damon Moore, Deputy Chief, Supplier Operations

– Sharon Murphy, Chief, Supplier Operations

– Doug Smith, New Chief, Supplier Operations

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• This is a Request for Proposal – a negotiated procurement, discussions may/may not be held

• Commercial Item – FAR Part 12

• 100% Small Business Set-Aside

• Firm Fixed Price

• Requirements Type Contract – Amounts listed on the RFP are best estimated quantities

• Five year multiyear contractor with first four months for

Facility Preparation/Modification/Retrofit for Production and DFSP Storage Facility

• Period of Performance: 1 Sep 2013 – 31 Aug 2018 with Contract Full Performance: 20 January 2014

General Solicitation Information

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• Manufacturing Qualification Testing

– CLIN 0001 Pre-Production Sample of JP-10 consisting of four one-gallon samples

– CLIN 0002 JP-10 First Article Test Batch consisting of 6000 gallons

• Procedures for Manufacturing Qualification are Covered in Clause E0005 E45.01.100 Manufacturing Qualification Requirements, Attachment 1, Page 9-10 of 25

Section B - The Schedule

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• Pre-Production Sample of JP-10 (without FSII)

– 21 days after contract award four 1-gallon samples from pilot plant or hand blend

– Samples analyzed by Contractor & submitted to Gov’t Lab

– Must meet MIL-DTL-87107E to proceed to plant retrofit

– May request waiver if previous sample submitted

• First Article Approval

– 90 days after contract award, 6,000 gallon batch of JP-10

– Same sampling process as Pre-Production Sample

– If sample passes analysis at Gov’t lab, the Contractor shall be notified to invoice for First Article Batch

– If sample fails, CO may authorize resample

– Repeated failure may result in plant mod’s or termination

• Full Scale Production & Storage – 20 January 2014

CLAUSE E45.100 MANUFACTURING

QUALIFICATION REQUIREMENTS

• Product CLINs

– 0003-0007 JP-10 (Bulk)

– 0008-0012 Drumming of Government-owned JP-10

– 0013-0017 Blending Bulk PF-1 from Government-owned JP-10

– 0018-0022 Blending & Drumming of PF-1 from Government-owned JP-10

Section B - The Schedule (cont)

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• JP-10 Specification: MIL-DTL-87107E dtd 1/12/12

• RFP Attachment #3

• Table I provides chemical and physical requirements

• PF-1 Specification: MIL-DTL-87173B dtd 2/13/98

• RFP Attachment #4

• Table I provides chemical and physical requirements

PRODUCT SPECIFICATION

REQUIREMENTS

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• Production batches and shipments sampled in accordance with clause E0001 E1.13.100 CONTRACTOR INSPECTION RESPONSIBILITIES Attachment 1, Pages 3-5 of 25

• E1.13.100 Clause also contains other technical requirements

• Conveyance inspection pre-load requirements

• Component materials of construction

• Loading line filter/separator

PRODUCT SPECIFICATION

REQUIREMENTS

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• CLIN 0023-0027 Monthly Facility Fee (MFF)

– Contractor shall perform Bulk Storage and Distribution services of Government-owned JP-10 while maintaining product on-spec at all times in accordance with

CLAUSE I0003 I116.100 RESPONSIBILITY FOR

GOVERNMENT-OWNED JP-10, Attachment 1, Page 15 of 25

– The MFF should include providing and maintaining the minimum of two storage tanks with a total capacity of at least 130,000 gallons and storage of 170 drums.

– Contractor shall maintain accountability and control of Government product and comply with all requirements stated in Clause I0004 I119.03 INVENTORY

CONTROL RECORDS AND SYSTEM OF RECORDS

AT CONTRACT DEFENSE FUEL SUPPORT POINTS,

Attachment 1, Pages 16-19 of 25

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• CLIN 0028-0032 Injection of Fuel System Icing Inhibitor (FSII)

– Into JP-10 or PF-1 individual shipments when requested by the Contracting Officer

– FSII shall conform to MIL-DTL-85470B dated 15 Jun 1999

– FSII shall be provided by the contractor (can be procured through Federal Supply System)

– The required concentration range for finished blend is for either JP-10 or PF-1 is .10% to .15% by volume

– Contractor shall maintain records evidencing the homogeneous blending of all line-injected additives using meter or tank gauges or testing at intervals.

– Testing will be verified based on a representative shipment sample

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• Type of Shipments

• FOB Origin

– Delivery into Government-provided Bulk Trailers

– Delivery into Government-provided ISO containers

– Delivery into Contractor-provided 55 gallon Drums

• How We Order

• Bilateral Delivery Orders with Priority Rating under

Defense Priorities and Allocations System

• 30 Calendar days after Issuance for Bulk JP-10 and

7 Calendar days for JP-10 Drumming

• 15 Calendar days after Issuance for PF-1 Bulk and

21 Calendar days for PF-1 Drumming

DELIVERY

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• Seals Requirements

• Bulk shipments shall have tamper indicating devices in accordance with CLAUSE D0002 D-15 CONTRACTOR SEAL REQUIREMENT, Attachment 1, Page 2 of 25

– Drum shipments shall have cap seals in accordance with CLAUSE D0004 D-14 DRUM REQUIREMENTS, added by Amendment 0001.

• Pallet Requirements

– Drummed orders shall be palletized in accordance with

CLAUSE D0001 D-10 PACKAGING REQUIRMENTS,

Attachment 1, Page 2 of 25

– Domestic shipments shall be in compliance with MIL- HDBK- 774 per CLAUSE D0003 D20 PALLET REQUIREMENTS FOR DOMESTIC SHIPMENTS, Attachment 1, Page 2 of 25

– OCONUS shipments shall have pallets in compliance with European Union requirements

DELIVERY

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• CLAUSE L0003 L2.35.100 PROPOSAL FORMAT AND

CONTENT (JP-10/PF-1)(AEROSPACE ENERGY)(DLA

ENERGY JUL 2013), Attachment 1, Page 21-22 of 25

• Technical and Management Capability Legibility, clarity and coherence are important. Proposal narrative will be evaluated in accordance with Section M evaluation criteria.

Offeror should provide narrative that describes their actual methodology to be used for accomplishing each of the stated sub-factors.

Do not merely reiterate the requirements of the solicitation.

Proposal narrative should be specific, concise and straightforward description of work to be accomplished.

With the exception of Past Performance, evaluators can only evaluate based on the Technical merit of what is written in the Technical and Management proposal.

Offerors shall identify any technical, schedule or cost risks associated with their proposals and describe how they will resolve or avoid the identified risks.

Section L –Instructions To Offerors

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• Past Performance

– The offeror will list all relevant contracts and subcontracts

(completed or in progress) for the last five years from DLA Energy as well as from other Government agencies or the private sector on Attachment 7, Contractor Performance Data Sheet.

– Offerors are required to explain what aspects of the contracts are deemed relevant to the proposed effort.

– This information is required of the offeror and all subcontractors, teaming partners, and/or joint venture partners proposed to perform any and all relevant aspects of the proposed effort the offeror considers critical to overall successful performance.

• Price Proposal

– Fill out Schedule B of the Solicitation Document

Section L –Instructions To Offerors

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• Follow the additional instructions for allocation of costs provided in Amendment 0001

• Allocation of Costs by CLIN shall be:

- MANUFACTURING QUALIFICATION TESTING,

- CLIN 0001 – Pre-Production Sample is Not Separately Priced

- CLIN 0002 – FA Test Batch this CLIN shall include all developmental costs and associated capital asset costs for the preparation/retrofit/modification of the contractor’s plant/facility relevant to production of the FA quantity and/or any capital asset costs necessary to becoming a Defense Fuel Support Point (DFSP).

Offerors (cont)

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- CLINs 0003-0007 JP-10 BULK

- These CLINs shall include all variable and incremental costs to produce a gallon of JP-10 including production labor and any escalation in costs from year to year.

- CLINs 0008-0012 JP-10 DRUM

- These CLINs shall include all variable and incremental costs to drum a gallon of Government-provided JP-10 excluding production labor, and any escalation in costs from year to year.

- CLINs 0013-0017 PF-1 BULK

- These CLINs shall include all variable and incremental material costs and any escalation in costs from year to year to produce a gallon of PF-1 using Government-provided JP-10 excluding production labor. All labor costs for mixing the PF-1 are to be included in CLIN 0006 Monthly Facility Fee.

WARFIGHTER FOCUSED, GLOBALLY RESPONSIVE SUPPLY CHAIN LEADERSHIP

- CLINs 0018-0022 PF-1 DRUM

- These CLINs shall include all variable and incremental material costs, drumming costs and any escalation in costs from year to year to produce a gallon of PF-1 using Government-provided JP-10 excluding production labor. All labor costs for mixing the PF-1 are to be included in CLIN 0006 Monthly Facility Fee.

- CLIN 0023-0027 MONTHLY FACILITY FEE (MFF)

- The MFF cost is fixed and shall include all costs associated with depreciation of capital assets including maintenance. The MFF should include the cost for providing, and maintaining the minimum of two storage tanks with a total capacity of at least 130,000 gallons and 170 drums as required in the Statement of Objectives; all distribution costs, all labor costs for mixing/producing the PF-1 and performing DFSP related duties; all overhead costs and profit

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– CLIN 0028-0032 INJECTION OF FUEL SYSTEM

ICING INHIBITOR (FSII) INTO JP-10/PF-1

– Proposed price shall include Contractor-provided FSII and all costs associated with proportionally injecting FSII into fuel shipments as well as performing FSII content verification testing.

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M0001 M2.14 EVALUATION - COMMERCIAL ITEMS

Attachment 1, Page 21-22 of 25

• Lowest Priced, Technically Acceptable Source Selection process

• Based on Evaluation of Non-Cost Factors

1) Technical and Management Capability

2) Past Performance

• After Non-Cost Factors are met, proposal is determined “technically acceptable” and eligible for award.

• Award will then be made to lowest laid-down price. Since FOB Origin, the estimated cost of transportation from vendor fill point to customer locations for estimated deliveries stated in Attachment 6 - Customer List will be added to total, overall evaluated price.

Section M – Evaluation

Volume 1: Technical and Management Capability

– Manufacturing process design

– Quality control

– Product storage and handling

– Plant/facility development and maintenance management

– Operations management

– Past Performance

Volume 2: Price

Section M – Evaluation Commercial Items

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• The proposal acceptance period is 120 days from the closing date of the RFP

• The Contracting Officer (CO) is the sole point of contact for this acquisition. Address any questions or concerns you may have to the CO or the Contract Specialist. Written requests for clarification may be sent to the CO at the address or email address located in Block 9 of the SF 1449.

• All questions and answers will be included in an Amendment to the RFP and posted on FedBizOpps.

Other Pertinent Information

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• An Amendment 0002 will be forth coming:

– Providing the questions and answers submitted in writing and at this Pre-Proposal conference

– Providing the slides from the Pre-Proposal conference

– For any changes as a result of this Pre-Proposal conference or other corrections, as needed

• Please SIGN and RETURN all amendments with your offer.

• DO NOT WAIT until the last five minutes of closing to send your offers.

• All files sent must be smaller than 10MB or they will be rejected by the system.

• Please stay in contact by email. We will provide info as soon as we know it.

Other Pertinent Information

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• 13 Aug 13: RFP Closes for Initial Offers

• 27 Aug 13: Open Discussions/Pre Award

Surveys

• 06 Sep 13: Close Discussions

• 20 Sep 13: Award Contract

• 15 Oct 13: Pre-production Samples Due

• 20 Dec 13: First Article Due

• 20 Jan 14: Full Scale Production & Storage

MFF Payments Start

Tentative Procurement Schedule

DEFENSE LOGISTICS AGENCY

AMERICA’S COMBAT LOGISTICS SUPPORT AGENCY

27 WARFIGHTER SUPPORT ENHANCEMENT STEWARDSHIP EXCELLENCE WORKFORCE DEVELOPMENT 27