Attachment J 2.docx

Section c - Performance Work Statement (PWS) The Defense Logistics Agency (DLA) is a United States (U.S.) Department of Defense (DoD) agency that provides worldwide logistics support for the missions of the Military Departments and the Unified Combatant Commands under conditions of peace and war.

In support of DLA’s mission, the Defense Distribution Center (DDC) is a combat support organization providing a single, unified material distribution system for DoD under DLA management. The DDC mission is to provide an integrated pipeline that sustains our Armed Forces around the world with innovative and tailored logistics services that are ever improving in terms of cost, timeliness and relative value. The DDC vision is to provide best value, competitive distribution services to the war fighter around the world, around the clock. The DDC responsibilities include receipt, storage, issue, packaging, and worldwide transportation of all items placed under its accountability by the DLA and the military services. The DDC also performs distribution services that are unique to a particular customer.

The DDC currently has Distribution Depots located throughout the world that store four million stock numbers in over 200 million square feet of storage space and process over 32 million transactions annually. DLA’s standard automated system for distribution processing of DoD materials is the Distribution Standard System (DSS).

The Defense Logistics Agency (DLA) requires the establishment of a Contractor-Owned/Contractor-Operated (COCO) storage and distribution capability within Kuwait. This storage and distribution capability will be identified as Defense Distribution Depot Kuwait (DDKS), and provide support to all operations within the CENTCOM Area of Responsibility (AOR). The storage and distribution capability will facilitate timely delivery of supplies and material to service members, decreasing delivery time and increasing readiness and capabilities of US Forces.

E. The primary mission will be to perform receipt, storage (to include stock readiness functions), issue functions, and cross-docking and/or transshipment operations in support of CENTCOM customers.

F. The PWS details the requirements associated with warehouse and distribution operations performed in the Defense Distribution Depot Kuwait SWA (DDKS) and consists of the following Sections that should be read as a single interrelated document:

Section C-1, General Conditions and Requirements Section C-2, Definitions and Acronyms Section C-3, Government-Furnished Property (GFP), Systems, Training and Support Services Section C-4, Contractor-Furnished Facilities, Equipment, Material, Training, and Support Services Section C-5, Specific Tasks Section C-6, Applicable Directives, Publications, Instructions, Forms and Reports Section C-7, Technical Exhibits (TEs)

Throughout the contract, the term “Contractor” includes subcontractors.

- General Conditions and Requirement This Section provides general information relating to the conditions of operation and general requirements relating to the warehouse and distribution services performed in Kuwait, SWA (DDKS).

SCOPE OF WORK

The Contractor shall perform warehouse and distribution operations requirements using DSS as set forth in this contract (DSS is written in the English language). The Contractor shall provide all management, personnel, supervision, facilities, security, materials, tools, equipment, transportation, any other items and services not government-furnished (as specified in Section C-3, Government-Furnished Property (GFP), Systems, Training and Support Services).

The primary mission is to plan, program, manage, and execute efficient and effective receiving, storage, inventory, packaging, Care of Supplies in Storage (COSIS), stock control, stock selection, issue processing, packing, shipping, and distribution of repair parts/secondary items in support of CENTCOM customers. In addition to the distribution services, the contractor operates a theater consolidation and shipping point (TCSP) entering theater.

The Contractor will make available to the Government for review historical records, reports, data, environmental surveys, inspection reports, regulatory agency reports, notices of violation or noncompliance, current or discontinued permits, titles, deeds, and other real property records, aerial photographs, and other documents to determine the potential for past/present contamination of real property that's to be occupied by DLA operations.

The Contractor shall make available to the Government for review the following information relevant to the property to be occupied by DLA operations during any site visit to the subject property: (1) information describing hazardous substance sources, migration pathways, and human and environmental receptors; (2) data relating to the varieties and quantities of any hazardous substances which may have been stored, used, or released. Releases shall be reported to the KO or designee within 12 hours(3) historic aerial photography for the proposed site to determine past practices which may have caused hazardous substance releases; (4) information which will allow definition of the condition of real property.

General Operating Conditions Interactions with Other Government Organizations The Contractor’s primary interaction with the Government shall be through the Continuing Government Activity (CGA). The Mission and Functions Statement for the CGA is available in the Technical Library. The CGA will be located at DDKS and will:

Perform all Contracting Officer’s Representative (COR) functions.

Perform quality assurance evaluations of the Contractor’s performance.

Provide the primary interface between the Contractor, local customers and the DDC.

Provide interface between the Defense Enterprise Computing Center (DECC), DLA J-6N, and the Contractor.

The Contractor shall interface with and support owners/Inventory Managers, Inventory Control Points (ICPs), other Material Distribution Activities, and DLA Primary Level Field Activities and other customers as needed to accomplish the contract requirements.

duty hours A. The Contractor shall perform all services and support 24 hours a day, 7 days a week including official holidays. The Contractor shall process Customer material release orders regardless of time or day, or when they are received.

key personnel A. The Contractor’s key personnel shall be U.S. Expatriates; shall be fluent in speaking, reading, and writing the English language. The following are the requirements for Key Personnel:

1. Site Manager and Alternate Site Manager. The Contractor shall designate both a primary and an alternate Site Manager who have full authority to act for the Contractor on all matters relating to Contractor operations. As a minimum, the Site Manager and Alternate Site Manager shall each possess a degree in Distribution Management or Business Management (minimum Bachelor’s Degree) and at least five years of experience in Distribution Management, or at least ten years of progressive management experience in distribution operations similar in size and complexity to the operation offered in this contract. Experience shall include as a minimum three (3) years experience using automated warehouse management systems within the past five (5) years. The Site Manager and Alternate Site Manager shall possess the knowledge and skills required to plan, control, manage, and be responsible for the successful completion of the work; provide overall supervision for the Contractor employees to include, but not limited to, planning and managing the contract professionally, ensuring that work is scheduled properly to obtain maximum use of resources; ensuring that accurate and timely reports are provided; effective supervision to prevent inefficient or wasteful methods in the performance of services ordered; ensure cost saving factors and quality controls are used to ensure work is performed as scheduled and at a fair and reasonable cost.

2. Traffic Manager. Experience shall include three (3) years in the traffic management area and using automated warehouse management and/or transportation systems within the past five (5) years. Capable to manage such tasks as program planning, program evaluation, and technical advisory assignments that require application of advanced knowledge of traffic management principles and technical traffic functions.

3. Inventory Manager. Experience shall include three (3) years in the inventory control area and using automated warehouse management and/or inventory systems within the past five (5) years. Capable to manage such tasks as program planning, program evaluation, and technical advisory services such as establishing and maintaining inventory control procedures.

4. Warehouse Manager(s). Experience shall include as a minimum three (3) years experience using automated warehouse management systems within the past five (5) years and operating warehouse functions. Capability to operate a warehouse management system and other Government-Furnished Data Systems to conduct research, resolve error conditions, respond to computer output instructions, etc.

5. Quality Control Manager. Experience shall include three (3) years in the quality control area and using quality systems within the past five (5) years. Capable to manage such tasks as program planning, program evaluation, identifying and resolving quality issues, and technical advisory services such as evaluating systems, analyzing data, establishing quality control procedures.

6. Supply Systems Analyst(s). Experience shall include as a minimum three (3) years experience using automated warehouse management systems within the past five (5) years. Capability to analyze transactions/data to determine problem area; determine the feasibility of consolidating, eliminating, or expanding interrelated supply systems functions; provides the impact of new/proposed changes to the system/regulations; coordinates with functional users to resolve operational and procedural problems; researches functional problem area. Knowledge of a broad range of supply program relationships in order to conduct studies, reviews and investigations.

7. Supply Technician. Experience shall include as a minimum three (3) years experience using automated warehouse management systems within the past five (5) years. Capability to perform aspects of technical supply management work (e.g., inventory management, storage management, cataloging, and property utilization) related to depot, local, or other supply activities.

8. Hazardous Material Handling Specialist(s). Capability to receive, issue, and process hazardous material. Requires successful completion of OSHA compliance training and Hazardous Materials Preparer Certification IAW Defense Transportation Regulation (DTR) Part II, Cargo Movement, Chapter 204-7, Training, DLAI 4145.3 Preparing Hazardous Material for Military Air Shipment, and DLAD 5025.30, DLA One Book, Hazardous Material (HAZMAT) Training for Packaging and Transportation Personnel Process Guidance prior to the beginning of full performance. (See TE 4.1, Contractor Furnished Training).

9. Traffic Management Specialist(s). Experience shall include one (1) year in distribution and/or traffic management area. Knowledgeable with data entry on a word processor. Capable to perform such tasks as program planning, program evaluation, and technical advisory assignments that require application of basic knowledge of traffic management principles and technical traffic functions. Additionally, a minimum of three Traffic Management Specialists (one per shift) shall be Hazardous Material Certified. (See TE 4.1, Contractor Furnished Training).

B. Upon notification, the Site Manager or Alternate Site Manager shall be available to meet in person with Government personnel within one hour during normal duty hours and within two hours outside of normal duty hours. The Contractor shall provide the names and telephone numbers (to include mobile telephone and pager, as applicable) of the primary and alternate Site Managers, in writing at the start of phase-in period. In the event of the replacement of the primary and/or alternate Site Manager, the Contractor shall notify the KO or designee, in writing, of such replacement and provide the name(s) and telephone number(s) at least 15 calendar days prior to a planned replacement and within 24 hours following an unplanned replacement. See DLAD 52.237-9001, Contractor Personnel Changes and Key Personnel Requirements.

C. IAW DoDI 3020.41, Contractor Personnel Authorized to Accompany the US Armed Forces and DFARS 252.225.7040 Contractor Personnel Authorized to Accompany the US Armed Forces Deployed Outside the United States, personnel who are U.S. Expatriate Contractor employees deploying to the CENTCOM AOR shall process through a Deployment Center prior to traveling to the AOR. Arrangements for transportation and travel to the Deployment Center are the responsibility of the Contractor. The KO or designee will provide a Letter of Authorization (LOA) for each Contractor employee validating his or her contractual employment prior to the Contractor reporting to a Deployment Center. The Contractor shall coordinate directly with the Deployment Center to schedule attendance.

D. Normal procedure is for the Contractor personnel to deploy directly from the Deployment Center to the required theater through one of several available APODs on military chartered aircraft. Upon arrival in theater, Contractor personnel process through a Joint Reception Center (JRC). The JRC will validate personnel accountability, ensure that specific designated operational area entrance requirements are met, and brief Contractor personnel on theater-specific policies and procedures.

Security A. The Contractor shall ensure the physical security of all Government personnel, property and equipment furnished for the performance of this contract as well as the accountable inventory in this contract is secured and protected against theft and/or sabotage or other acts constituting illegal destruction, during the length of the contract IAW DoD 5200.08-R and DLAI 5710.1, Physical Security Programs. The Contractor shall have and maintain a thorough knowledge of and comply with all DoD, DLA and other applicable regulatory guidance/policy to maintain and enhance security of the operation. The Contractor shall establish and maintain a security education plan to ensure that all employees know and understand regulations and policy that pertain to physical, information and personnel security. The Contractor shall make this plan available to the government for periodic review. The Government will not be responsible in any way for damage to the Contractor's supplies, materials, equipment, and property or to contractor’s employees' personal belongings that are damaged or destroyed by fire, theft, accident, or other disaster.

B. The Contractor shall report to the KO or designee or designee any suspected, alleged, or actual criminal incidents, which violate public law, DoD, DLAD, or may have an adverse effect on the DLA mission IAW DLAD 5025.30 (DLA One Book Chapter Reporting of Criminal Incidents).

C. The Contractor shall develop specific procedures for identification (ID) and control of all visitors to warehousing and administrative areas and submit to the KO or designee for approval. The Contractor’s procedures shall include the following:

Positive methods of establishing the authority for admission of visitors, as well as any limitations concerning access.

Positive identification of visitors by means of personal recognition, visitor security badge, visitor permit, or other identifying credentials. The Contractor shall contact the employee, supervisor, or officer in charge to ascertain the validity of the visit.

D. The Contractor shall establish and maintain a key control program IAW DLAI 5710.1, Physical Security Program. The Contractor will be responsible for adhering to established guidance and controls.

E. All vehicles staged within the vicinity of operations must adhere to standards established in accordance with DoDI 2000.16, DoD Antiterrorism Standards and DLAI 5710.1, DLA Physical Security Program. All Contractors entering DoD locations to perform the requirements of this contract shall conform to all Government Force Protection Measures and are subject to such vehicle searches as may be deemed necessary to ensure that no violation occurs.

personnel Investigation requirements The Homeland Security Presidential Directive 12 (HSPD-12) dated 27 Aug 2004 has established new Credentialing Standards for contractors who require either physical access to a US controlled installation or access to government information technology (IT) systems. All positions involving computer activities require a minimum IT III category eligibility. The Government performs Personnel Security Investigations (PSI) to establish that applicants or incumbents either employed by the Government or working for the Government under contract are suitable for the job and/or are eligible for a public trust or sensitive position. The process for completing the background check requirements is time consuming, with cases of the checks taking up to five (5) months or longer, and the Government recommends that the Contractor begin the process as soon as contract award as possible.

To attest to the trustworthiness of DOD contractors and sub-contractors (U. S. Citizens, host-nation, and third country national (TCN) personnel) the Contractor shall ensure compliance with all CENTCOM/local commander access control requirements for vetting of trustworthiness and issuance of any access control credentials. The Contractor shall initiate background check requirements for all Third Country National (TCN) Contractor employees IAW TE 1.2, DSS and DDKS IT Security/Background Check Functional Requirements. The Contractor’s background check shall include the following:

1. Search against the Federal Bureau of Investigation (FBI) Terrorist List

2. Search against Office of Foreign Control (OFAC) List

3. Search of Foreign Nationals Sanctions List

4. Search on all U.S. Federal/State/Local Fugitive List

5. Search of local law enforcement criminal records in TCN’s country of citizenship/origin

6. Search against the European Union Terrorism List The Contractor shall maintain a log of the status of the background checks and provide to the KO or designee bi-weekly during the phase-in period. The Contractor shall review all background check documentation for completeness and provide the final background check investigation documentation for each employee IAW TE 1.2, DSS and DDKS IT Security/Background Check Functional Requirements to the KO or designee upon completion of the investigation. The Contractor shall submit a Contractor Investigative Request (CIR) and a DD Form 2875 (See CIR and System Authorization Access Requests document in Technical Library) with the completed investigation documentation. (see paragraph C-1.4.1 Personnel Investigation Requirements).

Citizens of the ten countries listed below are prohibited access to the Depot and its geographically separate facilities unless the Depot Commander and Commander, US Army Central (USARCENT) Command, grant an exception. The Contractor shall maintain Letters of Exception with an approved Kuwaiti Criminal Investigation Division (CID) background investigation documentation package in the recipient’s file.

The Contractor shall follow the following procedures when hiring U.S. Citizens or Expatriates:

Each Contractor employee shall complete an SF 85P, Questionaire for Public Trust Position, using the Office of Personnel Management (OPM) website, http://www.opm.gov (Federal Forms/Standard Forms) or the Electronic Questionaire for National Security Positions (e-QIP).

The Contractor shall submit a hardcopy of the form with the employee’s original signature and date, and two fingerprint cards (FBI Form, FD 258) to the KO or designee who will forward them to the DDC Security Office.

The SF 85P, fingerprint cards are submitted with the Contractor Investigative Request (CIR) annotating the appropriate designation and a DD Form 2875 (paragraph C-1.4.9, Information System Security).

DoD Common Access Card (CAC)/Access Identification Badge (ID Badge) The Government will provide contractor employees who are Expatriates (EXPATS) a DoD Common Access Card (CAC) and other Contractor employees will receive a Token Card for access to the Government IT network. Upon favorable review and initiation of the PSI to establish the suitability of an employee for the job and the approval for temporary IT access pending final adjudication of the PSI, the Contractor shall submit to the KO or designee a request for the DoD CAC (see Section 1.4.1, Personnel Investigation Requirements) and/or Token Card.

The Contractor shall provide all Contractor employees with an Access and/or ID Badge. The badges shall identify employees by name and with a photograph, and show that they are employees of the Contractor. The badges shall be displayed on the outer clothing at all times while working on the facility and while performing duties associated with this contract outside the facility.

The Contractor shall safeguard CAC/ID Badges furnished to them. Contractor employees shall not share CAC/ID Badges. Each Contractor employee shall wear the ID Badge conspicuously on his/her outer clothing above the waist at all times while working on the installation. Personnel may be challenged and removed from the work area or denied access to the installation if the ID Badge is not worn.

In the event that a Contractor employee damages or loses his or her CAC, Token Card, and/or ID Badge, the Contractor shall report the lost or damaged CAC and/or ID Badge within two (2) working hours of damage or loss to the KO or designee who will arrange for a replacement CAC or ID Badge. A temporary ID Badge will be issued to be used for an eight to ten (8-10) working day waiting period until a new permanent ID Badge is issued. The Contractor shall return all Government-Furnished CAC or Token Cards to the Government either within one (1) working day of the completion of the contract or upon termination of an individual’s employment, whichever comes first. Contractor personnel failing to return their Government CAC are subject to criminal charges under United States Code (USC) Title 18, Chapter 1, Section 499 and 701. The Contractor shall collect and destroy all ID badges when contractor employees are no longer employed by the Contractor.

Information system security The Contractor shall request Information Technology (IT) eligibility for an employee requiring access/passwords to DSS as identified in TE 1.2, DSS and DDKS IT Security/Background Check Functional Requirements and for access to other government-furnished data systems identified in TE 3.5, GF Data Systems. All positions involving computer activities require a minimum IT III category eligibility. (IT eligibility categories are defined in the Technical Library) The Contractor shall submit a Contractor Investigative Request (CIR) and a DD Form 2875 (See CIR and System Authorization Access Requests document in Technical Library). The Government will grant access once the background checks are completed (see paragraph C-1.4.1, Personnel Investigation Requirements). IT II eligibility is for positions that involve a degree of access other than data entry. The requirement for IT II eligibility is addressed in TE 1.2, DSS and DDKS IT Security/Background Check Functional Requirements for DSS Access.

All Contractor personnel provided with access to government-furnished computers and systems shall observe security policies and procedures as provided by the KO or designee. The Contractor shall notify the KO or designee within 12 hours when, for reasons of personnel resignation, reassignment, termination, or completion of portions of the contract, Contractor personnel no longer require access to government systems.

The Contractor shall observe all copyright agreements. In the interest of protecting government systems from computer viruses, the Contractor shall not use public domain software nor shall Contractor personnel download software from public bulletin boards or Internet websites. The Contractor shall use only commercial off-the-shelf (COTS), Contractor-developed, or government-furnished software in performance of the contract requirements. Should the introduction of a computer virus or malicious destruction of computer software, stored information, or hardware result from the use of public domain software or from software taken from a public bulletin board or Internet website, the Contractor shall be required to repair the damage and incur all costs at no expense to the Government and without impact on delivery schedules.

Contact of a suspicious nature Contractor personnel who have been contacted under suspicious circumstances shall report that contact immediately, either verbally or in writing, to their supervisor who shall report it within two hours to the KO or designee for action. Key contacts for reporting purposes are defined as:

Contact with an individual (regardless of nationality) that suggests to the Contractor employee that an intelligence gathering or terrorist organization may have targeted him/her for possible intelligence exploitation.

A request by anyone (regardless of nationality) for illegal or unauthorized access to classified or unclassified sensitive information.

Contact with a known or suspected intelligence officer from any country.

Contact with a foreign diplomatic establishment, other than country of origin, whether in the U.S. or abroad, for personal or official reasons. Certain Contractor personnel in positions designated as “sensitive” by the Government may also be required to inform their chain of command in advance of the nature and reason for contacting a foreign diplomatic establishment or travel to countries on the State Department list whose interests’ may be adverse to the United States.

Additionally, Contractor personnel who have information about activities pertaining to espionage, terrorism, unauthorized technology transfer, sabotage, sedition, subversion, spying, treason, unauthorized release of classified or unclassified controlled information, or unauthorized intrusions into automated information systems shall report that information immediately to the KO or designee for action.

Safeguarding information The Contractor shall not allow access or disclosure of information regarding the operations of this contract to any government agency, non-government agency, or individual unless specifically authorized by the KO or designee. The Contractor shall provide documents and files to the KO or designee within one hour of receipt of the authorized request. All files are the property of the Government and the Contractor shall turn all files over to the KO or designee at the completion or termination of this contract.

The Contractor may be required to access data and information that is proprietary to a government agency/contractor or that is of such nature that its dissemination/use other than as specified in this contract would be adverse to the interests of the Government or others. The Contractor and its personnel shall not divulge or release data or information developed or obtained under performance of this contract except to government personnel who are authorized to receive the information or upon written approval of the KO or designee. The Contractor shall not use, disclose, or reproduce proprietary data that bears a restrictive legend other than as specified in this contract.

Disclosure of information regarding operations and services of the Depot to persons not entitled to receive it, or failure to safeguard any information that may come into the Contractor’s control in connection with work under this contract, may subject the Contractor, its agent, or its employees to criminal liability under USC Title 18, Crimes and Criminal Procedure, Part I, Crimes, Chapter 37, Espionage and Censorship, and Sections 793, Gathering, Transmitting or Losing Defense Information. Neither the Contractor nor its employees shall disclose or cause to be disseminated any information concerning the operations of the activity which could result in, or increase the likelihood of, the possibility of a breach of the Depot’s security or interrupt the continuity of the Depot’s operation.

force protection The Contractor will make every effort to comply with the unclassified force protection procedures as presented in the USCENTCOM Operations Order 05-02 (Antiterrorism Guidance, dated June 16 2008 and DoD O-2000.12-H, DoD Antiterrorism Handbook dated February 9, 2004. This guidance will be available from the KO or designee. The buildings will conform to standards listed in UFC 4-010-01, DoD Minimum Antiterrorism Standards for Buildings, UFC 4-012-01, Security Engineering: Entry Control Facilities/Access Control Points. An Antiterrorism Vulnerability Assessment of the facility will be conducted and the contractor shall be responsible for funding and implementation of all recommendations for antiterrorism enhancements.

The contractor shall comply with physical security requirements outlined in DLAI 5710.1, DLA Physical Security Program. Specific areas of concern for physical security include:

Site Layout and Construction, Barriers, Entry Control Points, Security Forces, Individual Protective Measures, Physical Security for Government personnel.

legal compliance A. Notwithstanding any other provision of this contract, the Contractor shall comply with all U.S. and Host Nation laws in the performance of this requirement. In the case of conflict, the Contractor shall identify the conflict to the Contracting Officer. In the absence of specific direction from the contracting officer, the Contractor shall comply with the more stringent requirement.

B. The Contractor shall be familiar with environmental standards and requirements which apply to the location where performance is to take place. At a minimum, the Contractor shall comply with the Environmental Final Governing Standards for United States Forces in the State of Kuwait (prepared by the United States Army Central Command on Behalf of the United States Command the DoD Environmental Executive Agent for the State of Kuwait) Dated March 2001. The Contractor will immediately notify the Government, through the Contracting Officer’s representative, should it receive any communications from any Governmental or non-Government organization indicating that the facility or any operations at the facility are a violation of any environmental law or regulation or is the basis for liability to any person or entity, and will cooperate in the same manner and to the same extent as for the Preliminary Baseline Survey (PEBA). (See paragraph C-3.4, Preliminary Environmental Baseline Survey) The Contractor understands that fines and penalties for violations of environmental laws and regulations is not an allowable cost.

electrostatic discharge (ESD) and Radioactive material A. The following information is provided in the event the Contract receives ESD or radioactive material.

electrostatic discharge (ESD) A. DDKS may receive ESD in the course of the performance of the requirements. The Contractor shall establish, implement and document an ESD Control Program and process Electrostatic Discharge Sensitive (ESDS) items IAW MIL-STD 1686, Electrostatic Discharge Control Program for Protection of Electrical and Electronic Parts, Assemblies and Equipment (Excluding Electrically Initiated Explosive Devices). The Contractor may use the following Military Handbooks as guidance in the performance of the requirements identified in MIL-STD 1686.

MIL-HDBK 263, Electrostatic Discharge Control Handbook for Protection of Electrical and Electronic Parts, Assemblies, and Equipment (Excluding Electrically Initiated Explosive Devices) (Metric) MIL-HDBK 773, Electrostatic Discharge Protective Packaging radioactive material A. In the event Radioactive Material is received, the Contractor shall contact the KO or designee for instructions. (See Radioactive Materials Procedures in the Technical Library).

PHASE-IN

The Phase-in Plan/Period encompasses a total of six (6) months after contract award. The requirements for the first 60 days of the phase-in period are stated as the Start-Up period for 60 days from contract award. The requirements for the remaining four (4) months are stated as the Phase-In period. It is anticipated the six (6) month period will not exceed February 28, 2011.

The Contractor shall provide a Phase-In Plan for all activities to include labor categories, equipment, material and supply to perform the start-up and phase-in requirements identified. The Contractor shall provide a Phase-In Plan with a detailed description of the approach, assumptions, actions, and timeline (Plan of Action and Milestones (POAM), to include all start-up and phase-in requirements and clearly outlines the actions and timeline to be completed to begin receiving stock transfers, other receipts and issues of materiel 60 days from the effective date of the contract. The Government will deploy up to 30 Government personnel to perform the DSS transactional functions during the phase-in period to augment the Contractor workforce to process material. The Government support will begin draw down upon the completion of DSS training anticipated to be NLT January 15, 2011 and total withdraw NLT January 31, 2011.

The Phase-in Plan of the successful offeror, as proposed or negotiated, will be incorporated into the terms and conditions of the contract. The Contractor shall participate in a start-up and phase-in period during which the contractor shall execute the accepted Phase-In Plan. The beginning of full performance is anticipated to begin March 1, 2011. TE 1.1 illustrates the Government’s timeline for phase-in activities.

The Phase-In Plan shall include the technical approach for all activities to include labor categories, equipment, material and supply to perform the phase-in requirements identified in the following paragraphs.

hiring actions A. The Contactor phase-in plan shall detail the approach to be used to hire qualified personnel to include the approach to conducting background checks IAW Section C-1.4.1, Personnel Investigation Requirements.

B. The Contractor shall have completed all required hiring actions for the leadership and any other functions deemed appropriate by the Contractor functions to complete start-up activities within 10 days of contract award. NLT 60 days after contract award, the Contractor shall complete all required hiring actions for personnel who will comprise the DSS Cadre Training Team. The Contractor’s proposal shall identify the number and position that will comprise the DSS Cadre Training Team to cover the DSS functional areas (Functional Areas are listed in TE 3.6, Government Furnished Training).

C. The Contractor shall complete all other hiring actions required to the receipt of material beginning November 1, 2010. All completed personnel hiring actions include obtaining required Personnel Investigation Requirements IAW C-1.4.1, Personnel Investigation Requirements.

training actions A. The Government will provide training IAW TE 3.6, Government Furnished Training. The Contractor’s Phase-In plan shall identify the approach to be used to complete training requirements IAW TE 3.6, Government Furnished Training and TE 4.1, Contractor Furnished Training and any assumptions or actions the Contractor required the Government to perform. The Contractor shall identify in the plan the number of personnel who will complete the training in TE 3.6 and TE 4.1 during phase-in and describe in detail their approach to training the remaining Contractor employees. The Contractor’s plan shall include a breakout of each training course and identify each position to receive the specified training along with a schedule for completing training prior to and after the beginning of full performance.

B. The Government will provide DSS Training to the Contractor’s DSS Cadre Team. The Contractor’s DSS Cadre Team shall complete DSS training for the Contractor’s workforce for those positions identified in TE 1.2, DSS and DDKS IT Security/Background Check Functional Requirements for DSS Access.

government-furnished property A. Government-Furnished Property (GFP) is identified in TE 3.1, MHE Equipment, TE 3.2, Miscellaneous Equipment; and TE 3.3, Office Equipment. TE 3.4 IT Equipment identifies the type of IT equipment the Government will furnish, the quantities will be determined following completion of a Site Survey. The Government will make the IT Equipment available during the phase-in to complete the DSS Implementation and Training. The Government will make all other GFP available to the Contractor beginning the seventh month of the base period. The KO or designee will coordinate transfer to and acceptance by the Contractor. For the first six months of the contract, (60 day Start up and 120 day Phase In) the Contractor shall identify and furnish all equipment necessary to meet the requirements of the PWS, since a complete inventory of GFP will not be provided until the seventh month of base period). (See Section C-4.3, Contractor Furnished Equipment) B. The Contractor shall perform a joint inventory of the GFE with Government personnel once GFE becomes available.

start up warehouse preparation, Stock transfer and receipt of materiel requirements A. The Contractor phase-in plan shall detail the approach to be used during start-up (first 60 days after contract award) to have indoor and outdoor space prepared to start receiving material for processing beginning 60 days after contract award IAW the requirements in Section C-5.

B. The Contractor shall include their proposed planographs for all storage space (indoor and outdoor). The planographs shall include all storage and support areas, and shall incorporate columns; stair wells; elevator shafts; offices; break areas; washrooms; fire, personnel and cargo doors; electrical panels; battery charging areas; structural loss; and support spaces. The Contractor shall utilize existing drawing conventions and include general notes blocks to show building or bay dimensions, gross square feet (GSF), Aisles, Structural Loss and Support space. The general notes block shall also include Net Square Feet (NSF) and Attainable Cubic Feet (ACF) for bin, rack and bulk space. The Contractor shall label each storage area or row with dimensions, NSF and ACF. The Contractor shall identify and label all other areas with the appropriate text, including aisles and operational areas C. The Contractor shall complete the following within the first 60 days from the effective date of the contract in order to start receiving materiel:

1. Install warehouse storage aids to facilitate the performance of the requirements in C-5, Distribution Services and Performance Requirements to accommodate types and quantities of the material listed in TEs 1.3, 1.4, 1.5 and 1.6. Rack locations shall accommodate 40” X 48” pallets and bin locations shall accommodate 1 to 10 cubes to support storage requirements.

2. Complete warehouse location markings for bin, rack and bulk storage locations IAW Section C-5.3.1, Storage General Requirements.

D. Beginning 1 November 2011, the Contractor shall be notified through the Distribution Standard System (DSS) of the type and quantity of material released for transportation/receipt to the Contractor’s location. The Contractor shall coordinate the number of trucks and/or containers to be staged for PWC/Agility to load by date and time to facilitate the movement of stock from the current location (PWC/Agility) to the contractor facility. The Government estimates 20 forty foot equivalent unit (FEU) to be loaded, transported and unloaded per day beginning November 1, 2010 through February 19, 2011. TEs 1.3, 1.4, 1.5, and 1.6 provides information for approximately 40,000 NSNs to include weight and cube data and estimated quantities anticipated to be receipted into the Contractor’s facility during the 120 day phase-in period. It is anticipated that approximately 50% to 80% of the quantities per NSN will initially transfer and if needed a second stock transfer order will move the remaining quantity later in the phase-in period.

E. The Contractor shall have sufficient manpower to start processing material November 1, 2010. Section L provides the Government estimate for the level of effort associated with the phase-in period. This is for guidance purposes only, and does not prohibit the Contractor from proposing different labor categories or number of hours. The initial workload will have abnormally low receipt documents (stock transfer orders) with larger than normal quantities per line for the actions. The Government estimates approximately 30-50 receipt documents a day to accompany the estimated 20 FEU per day. In addition to the requirements identified in C-5.2, Receiving, the Contractor shall perform a kind, count and condition (KCC) visual inspection of all material on all stock transfer orders and quantities prior to receipting materiel into DSS and stowing. Once materiel is receipted and stowed, the Contractor shall be prepared to perform the requirements identified in C-5.3 through C-5.8. Additionally, it is anticipated that once stock transfer orders are stowed and available for issue, the Contractor shall process Material Release Orders (MROs) IAW the requirements in C-5.5, Issue and TE 5.1, Acceptable Performance Levels (APLs).

F. The Contractor shall submit a Location Survey Schedule to perform location surveys IAW Section C-5.4.1.4, Location Surveys, beginning the seventh (7th) month after contract award to September 30, 2011.

start-up requirements for Information Technology (IT) Infrastructure Implementation A. The Contractor phase-in plan shall detail the approach to be used during start-up to have IT infrastructure prepared to install Government Data Systems and have the capability to start receiving material for processing beginning 60 days after contract award IAW the requirements in Section C-5.

B. The Government will provide the Contractor a site plan identifying LAN infrastructure requirements based on the Contractor’s proposed site layout (planographs) and distribution activities. The Contractor shall install the IT Infrastructure IAW the site plan and Section C-4.2.1 Contractor Furnished Facilities, paragraph C following NLT 30 days after contract award.

C. The Contractor shall provide three (3) DSS Training areas to accommodate 15 students and instructor. The Government will require these training areas to train Contractor employees during the phase-in period. The Contractor shall provide the required network connections to the Government controlled LAN.

start up and phase-in reports During the phase-in period, the Contractor shall provide a weekly written report to the KO or designee on the status of the tasks outlined in the Phase-In Plan. The Contractor shall complete all tasks required under the Phase-in Plan and provide the KO or designee with a detailed final report outlining all tasks accomplished five working days prior to the conclusion of the phase-in period.

The Contractor shall prepare and submit a weekly summary of hiring actions, completed and pending, to the KO or designee.