ATTACH.Amendment_3.pdf

Amendment III contains four sections.

Section I, provides a reminder to potential offerors.

Section II provides changes to the Statement of Work (SOW).

Section III provides answers to questions which were submitted in reference to Amendment I.

Section IV, provides the questions and answers submitted during the Government Owned Contractor Operated (GoCo) Facility tour in Busan, Korea on March 16, 2016.

NOTE: The answers in section III and IV of Amendment III are provided for clarification purposes only and do not change the solicitation requirements. In the event of any discrepancy between the answers provided in Amendment III and the solicitation documents, the solicitation documents will take precedence.

Section I:

All Offerors: Please be sure you carefully read the proposal submission instructions and requirements that are stated on pages 1 & 2 of the Statement of Work (SOW).

Section II:

1. On page 29 of the Solicitation Attachment 1, Statement of Work, replace the first paragraph as follows:

** The contracting officer may, on a case by case basis, accept a CONUS based manufacturer/grower/private label holder’s product pricing which is a national priced.

National Pricing is further clarified as a CONUS based manufacturer, grower or private label holder’s product price, inclusive of transportation costs to a SPV CONUS distribution point. In general, the Contracting Officer will consider national pricing only for items that are sold nationally, have comparable commercial sales, and when the manufacturer/grower/private label holder’s commercial practice is to offer pricing only on a nationally priced basis (i.e. a fixed price that is f.o.b. destination to any CONUS location). The contracting officer has the sole discretion to determine whether to accept national pricing, and the contracting officer’s decision whether to accept national pricing will be final.

2. On page 92 of the Solicitation Attachment 1, Statement of Work, replace paragraph

vi. as follows:

vi. The contractor shall forward two (2) copies of the delivery ticket/invoice with the shipment. The authorized Government receiving official will use the delivery ticket/invoice as the receipt document. One (1) copy of the signed and annotated delivery ticket/invoice will serve as the acceptance document. No invoice may be submitted for payment until acceptance is verified.

Section III:

1. Please understand that there will be cost difference between the following two freight definitions for the "STANDARD FREIGHT"; 1. Freight from 3rd Party Manufacturer (Co- Packer) to the Private Label Holder's Main Distribution Warehouse 2. Freight from the Private Label Holder's Main Distribution Warehouse to any CONUS Distribution Point (for example: Prime Vendor's consolidation point).

If "the private label holder commercial price per unit to the Contractor, exclusive of standard freight" means No. 2 above, we can source-load our containers at the private label holder's main distribution warehouse just as if we source-load from any manufacturer's manufacturing plant.

If "the private label holder commercial price per unit to the Contractor, exclusive of standard freight" means both No. 1 and No. 2, we will still need to cover the freight described on No. 1 above although we load the ocean shipping containers from the private holder's main distribution warehouse and this would not be considered as source loading.

And it will become an additional cost factor for PV's.

It would be appreciated if you would clarify the definition of the STANDARD FREIGHT on DLAD 52.216-9065, paragraph (b)(3).

DLA Troop Support’s Response: The intent of the product price business model is to establish catalog prices using product prices that are exclusive of standard freight charges.

Standard freight, generally, refers to the transportation charge for delivery from the manufacturer/grower/private label holder or redistributor to the subsistence prime vendor contractor or its subcontractor. Offerors must include any costs associated with standard freight in its proposed distribution price. Offerors are reminded that distribution price is defined as “the firm fixed price portion of the Contract unit price…[and that ] distribution price is the only method for the Contractor to bill the Government for all aspects of contract performance other than product price, including but not limited to, the performance requirements of [the] Statement of Work (SOW).”

Section IV:

1. How are the material (UGRs) disposed of, assuming they were unserviceable do to no-fault of the contractor?

DLA Troop Support Response: See Amendment I, page 33 number 2.

2. How many employees does USFI currently have running this GOCO?

DLA Troop Support Response: It is each offeror’s responsibility to determine appropriate staffing levels to satisfy the requirements in the SOW.

3. Is internet service covered (provided by the government) in building S-1355 (Office space) in support of EDI transactions?

DLA Troop Support Response: Information related to the GOCO facilities are outlined in the MOA between the J-4 Headquarters, United States Forces Korea (USFK) and DLA Troop Support Philadelphia. This MOA will be provided to offerors upon request.

4. Does the Veterinary Command inspect the GFM at the GOCO?

DLA Troop Support Response: Public Health Command (formerly VETCOM) may inspect Government Furnished Material (GFM) at the GOCO warehouse.

5. Do the GFM (UGR-As) that are managed by the contractor include delivery to end user/customer?

DLA Troop Support Response: The contractor is responsible to store, maintain and deliver the GFM managed in the GOCO.

6. Will the racking system inside Warehouse 15 be available to the future SPV?

DLA Troop Support Response: It is anticipated that the existing racking system will remain with the GOCO and be available for use.