SPE30017R0023.pdf

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL ITEMS

OFFEROR TO COMPLETE BLOCKS 12, 17, 23, 24, & 30 1000053354

1. REQUISITION NUMBER

2. CONTRACT NO. 3. AWARD/EFFECTIVE

DATE

4. ORDER NUMBER

SPE300-17-R-0023

5. SOLICITATION NUMBER

2017 JUL 04

6. SOLICITATION ISSUE

DATE

Amanda Quaile PHPHBB6

a. NAME

Phone: 215-737-7807

b. TELEPHONE NUMBER (No Collect calls)

2017 AUG 07

8. OFFER DUE DATE/

LOCAL TIME

9. ISSUED BY CODE SPE300

DLA TROOP SUPPORT

DIRECTORATE OF SUBSISTENCE

700 ROBBINS AVENUE

PHILADELPHIA PA 19111-5096

USA

10. THIS ACQUISITION IS 50UNRESTRICTED OR SET ASIDE: % FOR:

SMALL BUSINESS

HUBZONE SMALL

BUSINESS

WOMEN-OWNED SMALL BUSINESS

(WOSB) ELIGIBLE UNDER THE WOMEN-OWNED

SMALL BUSINESS PROGRAM

8 (A)

SERVICE-DISABLED

VETERAN-OWNED

SMALL BUSINESS

311991NAICS:

500SIZE STANDARD:

11. DELIVERYFOR FOB DESTINA-

TION UNLESS BLOCK IS

MARKED

12. DISCOUNT TERMS

13a. THIS CONTRACT IS A

RATED ORDER UNDER

DPAS (15 CFR 700)

13b. RATING

14. METHOD OF SOLICITATION

RFQ IFB RFP

15. DELIVER TO CODE 16. ADMINISTERED BY CODE

17a. CONTRACTOR/ CODE

OFFEROR

FACILITY

CODE

TELEPHONE NO.

18a. PAYMENT WILL BE MADE BY CODE

17b. CHECK IF REMITTANCE IS DIFFERENT AND PUT SUCH ADDRESS IN

OFFER

18b. SUBMIT INVOICES TO ADDRESS SHOWN IN BLOCK 18a UNLESS BLOCK

BELOW IS CHECKED

19.

ITEM NO.

20.

SCHEDULE OF SUPPLIES/SERVICES

21.

QUANTITY

22.

UNIT

23.

UNIT PRICE

24.

AMOUNT

See Schedule

(Use Reverse and/or Attach Additional Sheets as Necessary)

25. ACCOUNTING AND APPROPRIATION DATA 26. TOTAL AWARD AMOUNT (For Govt. Use Only)

27a. SOLICITATION INCORPORATES BY REFERENCE FAR 52.212-1, 52.212-4. FAR 52.212-3 AND 52.212-5 ARE ATTACHED. ADDENDA ARE ARE NOT ATTACHED

27b. CONTRACT/PURCHASE ORDER INCORPORATES BY REFERENCE FAR 52.212-4. FAR 52.212-5 IS ATTACHED. ADDENDA ARE ARE NOT ATTACHED

28. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN

COPIES TO ISSUING OFFICE. CONTRACTOR AGREES TO FURNISH AND

DELIVER ALL ITEMS SET FORTH OR OTHERWISE IDENTIFIED ABOVE AND ON ANY

ADDITIONAL SHEETS SUBJECT TO THE TERMS AND CONDITIONS SPECIFIED

29. AWARD OF CONTRACT: REF. OFFER

DATED . YOUR OFFER ON SOLICITATION

(BLOCK 5), INCLUDING ANY ADDITIONS OR CHANGES WHICH ARE

SET FORTH HEREIN, IS ACCEPTED AS TO ITEMS:

30a. SIGNATURE OF OFFEROR/CONTRACTOR 31a. UNITED STATES OF AMERICA (SIGNATURE OF CONTRACTING OFFICER)

30b. NAME AND TITLE OF SIGNER (Type or Print) 30c. DATE SIGNED 31b. NAME OF CONTRACTING OFFICER (Type or Print) 31c. DATE SIGNED

SEE SCHEDULE

7. FOR SOLICITATION

INFORMATION CALL:

SEE SCHEDULE

91PAGE 1 OF

03:00 PM

STANDARD FORM 1449 (REV. 2/2012)

Prescribed by GSA - FAR (48 CFR) 53.212

AUTHORIZED FOR LOCAL REPRODUCTION

PREVIOUS EDITION IS NOT USABLE

SEE ADDENDUM

EDWOSB

32a. QUANTITY IN COLUMN 21 HAS BEEN

ACCEPTED, AND CONFORMS TO THE CONTRACT, EXCEPT AS NOTED:RECEIVED INSPECTED

COMPLETE PARTIAL FINAL

STANDARD FORM 1449 (REV. 2/2012) BACK

36. PAYMENT

PARTIAL FINAL

20.

SCHEDULE OF SUPPLIES/SERVICES

21.

QUANTITY

22.

UNIT

23.

UNIT PRICE

24.

AMOUNT

19.

ITEM NO.

32b. SIGNATURE OF AUTHORIZED GOVERNMENT

REPRESENTATIVE

32c. DATE 32d. PRINTED NAME AND TITLE OF AUTHORIZED GOVERNMENT

REPRESENTATIVE

32f. TELEPHONE NUMBER OF AUTHORIZED GOVERNMENT REPRESENTATIVE

32g. E-MAIL OF AUTHORIZED GOVERNMENT REPRESENTATIVE

33. SHIP NUMBER 34. VOUCHER NUMBER 35. AMOUNT VERIFIED

CORRECT FOR

37. CHECK NUMBER

38. S/R ACCOUNT NO. 39. S/R VOUCHER NUMBER 40. PAID BY

42a. RECEIVED BY (Print)

41b. SIGNATURE AND TITLE OF CERTIFYING OFFICER 41c. DATE

42c. DATE REC'D (YY/MM/DD) 42d. TOTAL CONTAINERS

41a. I CERTIFY THIS ACCOUNT IS CORRECT AND PROPER FOR PAYMENT

32e. MAILING ADDRESS OF AUTHORIZED GOVERNMENT REPRESENTATIVE

42b. RECEIVED AT (Location)

CONTINUED ON NEXT PAGE

BLOCK 8 (Continued):

OFFER DUE DATE/ LOCAL TIME: August 7, 2017 at 3:00PM EASTERN STANDARD TIME

BLOCK 9 (Continued):

ALL OFFERS/MODIFICATIONS/WITHDRAWALS MUST BE PLAINLY MARKED ON THE OUTERMOST ENVELOPE WITH THE SOLICITATION

NUMBER, CLOSING DATE, AND TIME SET FOR THE RECEIPT OF OFFERS.

SEND MAILED OFFER TO:

DEFENSE LOGISTICS AGENCY

DLA TROOP SUPPORT

POST OFFICE BOX 56667

PHILADELPHIA, PA 19111-6667

DELIVER HANDCARRIED OFFER, INCLUDING DELIVERY BY COMMERCIAL CARRIER TO:

DLA TROOP SUPPORT

BUSINESS OPPORTUNITIES OFFICE

BLDG. 36, SECOND FLOOR

700 ROBBINS AVENUE

PHILADELPHIA, PA 19111-5092

NOTES:

(1) All hand carried offers are to be delivered to the Business Opportunities Office between 8:00 a.m. and 5:00 p.m., Monday through Friday, except for legal federal holidays as set forth in 5 USC 6103. Offerors using a commercial carrier service must ensure that the carrier service “hand carries” the package to the Business Opportunities Office specified above for hand carried offers prior to the scheduled opening/closing time.

Package must be plainly marked ON THE OUTSIDE OF THE COMMERCIAL CARRIER’S ENVELOPE with the solicitation number, date, and time set forth for receipt of offers as indicated in Block 8 of the Standard Form 1449.

(2) Examples of “hand carried” offers include: In-person delivery by Contractor, Fed Ex, Airborne, UPS, DHL, Emery, other commercial carrier, USPS Express Mail and USPS Certified Mail.

(3) Contractors intending to deliver offers in-person should be advised that the Business Opportunities Office (Bid Room) is located within a secured military installation. In order to gain access to the facility, an escort may be required. The escort will be an employee of the Bid Room. The following are telephone numbers for the Bid Room: (215) 737-8511, (215) 737-9044, (215) 737-7354, (215) 737-0317, or (215) 737-8566. It is the offeror’s responsibility to ensure that the offers are received at the correct location at the correct time.

Please allow sufficient time to complete delivery of hand carried offers. Since the length of time necessary to gain access to the facility varies based on a number of circumstances, it is recommended that you arrive at the installation at least one hour prior to the time solicitation closes to allow for security processing and to secure an escort.

NOTE: THIS IS A SUGGESTION AND NOT A GUARANTEE THAT YOU WILL GAIN ACCESS TO THE BASE IF YOU ARRIVE ONE HOUR

BEFORE THE OFFER IS DUE.

(4) Facsimile and e-mail offers are not acceptable forms of transmission for submission of initial proposals or revisions to initial proposals submitted in response to this solicitation. As directed by the Contracting Officer, facsimile and e-mail may be used during discussions/negotiations, if discussions/negotiations are held, for proposal revision(s), including Final Proposal revision(s).

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SPE300-17-R-0023

BLOCK 17A. (Continued):

OFFERORS: SPECIFY

CAGE CODE: __________________________

FAX NUMBER __________________________

EMAIL ADDRESS________________________

COMPANY POC: ________________________

PHONE #: _____________________________

BLOCK 17B. (Continued):

Remittance will be made to the address that the vendor has listed in the System for Award Management Database. (www.sam.gov). Offeror’s assigned DUNS Number:

(If you do not have a DUNS number, contact the individual identified in Block 7a of the SF 1449 or see 52.212-1, Instructions to Offerors – Commercial Items (paragraph j) for information on contacting Dun and Bradstreet.)

BLOCKS 19-24 (Continued):

SEE SCHEDULE OF ITEMS (ATTACHMENT 1)

AUTHORIZED NEGOTIATORS:

The offeror represents that the following persons are authorized to negotiate on its behalf with the Government in connection with this request for proposal. Please list names, titles, e-mail addresses, and telephone numbers for each authorized negotiator.

PAGE 4 OF 91 PAGESCONTINUATION SHEET REFERENCE NO. OF DOCUMENT BEING CONTINUED:

Form

TECHNICAL REQUIREMENTS

THIS DOCUMENT INCORPORATES TECHNICAL AND/OR QUALITY REQUIREMENTS (IDENTIFIED BY AN ‘R’ OR AN ‘I’ NUMBER IN SECTION B) SET FORTH IN FULL TEXT IN THE DLA MASTER LIST OF TECHNICAL AND QUALITY REQUIREMENTS FOUND ON THE WEB AT: http://www.dla.mil/HQ/Acquisition/Offers/eProcurement.aspx. FOR SIMPLIFIED ACQUISITIONS, THE REVISION OF THE MASTER IN EFFECT ON THE SOLICITATION ISSUE DATE OR THE AWARD DATE CONTROLS. FOR LARGE ACQUISITIONS, THE REVISION OF THE MASTER IN EFFECT ON THE RFP ISSUE DATE APPLIES UNLESS A SOLICITATION AMENDMENT INCORPORATES A FOLLOW-ON REVISION, IN WHICH CASE THE AMENDMENT DATE CONTROLS.

CAUSTION NOTICE

THE CONTENT AND STRUCTURE OF SOLICITATION SPE300-17-R-0023 IS NEW. PLEASE READ CAREFULLY BEFORE

SUBMITTING YOUR OFFER.

This solicitation consist of two Groups: Group 1 (Troops) and Group 2 (Schools). Group 1 is being issued as Small Business set-aside (50%) acquisition under full and open competition procedures using NAICS is 311991 and size standard is 500. Group 2 (Schools) is being issued as unrestricted. It contains three (18-month) tier periods. The length of the contract is 54 months (4.5) years including all tiers.

The awardee will be required to have a computer system capable of accepting delivery orders and processing Electronic Data Interchange (EDI) transactions. This contract will require the contractor to have electronic commerce/electronic data interchange EC/EDI capabilities.

All contractors who choose to conduct business with the Department of Defense must now be registered in the System of Award Management (SAM) database. In addition, we encourage all vendors who receive contract awards as a result of this solicitation to access the “Dynamic Small Business Search” feature of SAM to identify potential suppliers and teaming partners for this initiative. You may go to the System of Award Management at www.sam.gov and click on the “Dynamic Small Business Search” button. When making your procurement decisions we encourage your consideration of local business as a means to nurture small business and local economies.

All contractors who receive awards as a result of this initiative are encouraged to utilize the SBA SUBNet database to assist them in further identifying additional small business sources of supply. Vendors may post notices of sources sought for teaming partners and subcontractors on future contracts. Small business can review this web site to identify opportunities in their area of expertise. You may access the SBA PRONet database through the SBA Website at: www.sba.gov.

In this proposal submission all offerors are required to provide invoices, on all lines in the Schedule of Items, to substantiate pricing. For more information, see section XXXV, para. D, item 2.

CONTRACTOR CODE OF BUSINESS ETHICS (FEB 2012)

FAR Part 3.1002(a) requires all government contractors to conduct themselves with the highest degree of integrity and honesty.

Contractors should have a written code of business ethics and conduct within thirty days of award. To promote compliance with such code of business ethics and conduct, contractors should have an employee business ethics and compliance training program that facilitates timely discovery and disclosure of improper conduct in connection with government contracts and ensures corrective measures are promptly instituted and carried out. A contractor may be suspended and/or debarred for knowing failure by a principal to timely disclose to the government, in connection with the award, performance, or closeout of a government contract performed by the contractor or a subcontract awarded there under, credible evidence of a violation of federal criminal law involving fraud, conflict of interest, bribery, or gratuity violations found in title 18 of the United States Code or a violation of the False Claims Act. (31 U.S.C. 3729- 3733)

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http://www.sba.gov/

If this solicitation or contract includes FAR clause 52.203-13 - CONTRACTOR CODE OF BUSINESS ETHICS AND CONDUCT; the contractor shall comply with the terms of the clause and have a written code of business ethics and conduct; exercise due diligence to prevent and detect criminal conduct; promote ethical conduct and a commitment to compliance with the law within their organization;

and timely report any violations of federal criminal law involving fraud, conflict of interest, bribery or gratuity violations found in title 18 of the United States Code or any violations of the False Claims Act. (31 U.S.C. 3729-3733). When FAR 52.203-13 is included in the contract, contractors must provide a copy of its written code of business ethics and conduct to the contracting officer upon request by the contracting officer.

Rapid Gate, Defense Biometric Identification System (DBIDS) Requirement and/or Other Security Programs

Many bases may require enrollment in either RapidGate or the Defense Biometric Identification System (DBIDS). Both RapidGate and DBIDS manages access to Department of Defense (DoD) installations and will not allow entry without clearance. During the contract start-up/ implementation period, the Contractor must contact all customer locations to determine whether enrollment in RapidGate, DBIDS, or another security program is required for access to each location. If RapidGate, DBIDS, or other security enrollment is required, the Contractor must take all necessary steps to obtain this in time for the start of performance under this contract. Failure to have clearance may result in a vendor being turned away from the base and being unable to complete delivery.

The Contractor is responsible for any costs associated with RapidGate, DBIDS, and/or other security program enrollment and must ensure that a RapidGate or DBIDS enrolled driver is available for all deliveries. We currently estimate that RapidGate enrollment will cost about $250 per company and $200 per enrolled employee for 1 year of access to multiple locations, but the cost of RapidGate or other security enrollment may vary, so the Contractor should contact RapidGate to determine its own costs. If more than one driver is required, RapidGate or DBIDS enrollment must be obtained for each driver. Note that enrollment can take several weeks, so an awardee that is not already enrolled must begin enrollment at the time of award notification at the latest. If difficulty or delay in enrollment in RapidGate or DBIDS is encountered during the start-up/implementation period, the Contractor MUST contact RapidGate, DBIDS, and/or the Security Officer at the applicable customer locations to resolve any issues with processing RapidGate, or DBIDS enrollment so that the Contractor will be able to deliver as required.

Please note that RapidGate and/or the Defense Biometric Identification System (DBIDS) is currently a requirement for access to some military bases; however, these and other locations may require enrollment in other security programs now or at some time in the future.

In this event, the contractor is responsible for obtaining all required enrollments and clearances for each of their drivers as soon as they receive notice of such a requirement.

For additional information regarding RapidGate and DBIDS, including enrollment instructions, please visit their websites at www.rapidgate.com and http://dbids.dmdc.mil/DBIDS

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http://www.rapidgate.com/ http://dbids.dmdc.mil/DBIDS

CHECKLIST - DID YOU REMEMBER TO ????

[ ] Fill in Block 17a, of 1449?

[ ] Fill in Block 17A. Continued, on page 4?

[ ] Cite remittance address in SAM and DUNS Number, Block 17B.

[ ] Sign Block 30a, name in Block 30b, and date in Block 30c.?

[ ] Sign and return any/all amendments?

[ ] Return one (1) COMPLETE & SIGNED copy of the solicitation?

[ ] Fill out all certifications and representations in solicitation or submit a copy of ORCA Registration?

[ ] Submit prices for every item listed in the Schedule of Items (Attachment 1), and save it to a CD?

[ ] Fill out Vendor Name & CAGE Code for Excel Spreadsheet cell “D2” for Group 1 and “E2” for Group 2 in Attachment 1?

[ ] Submit Distribution Prices for Troop Tier one Excel Spreadsheet cell “H7”, and Tier 2 Excel Spreadsheet cell “M7”, and

Distribution Prices for School Tier one Excel Spreadsheet cell “I7”, and Tier 2 Excel Spreadsheet cell “N7” in Attachment 1?

[ ] Submit a list of distribution centers / warehouse locations that will directly support the proposed customers? Warehouses that function as backups should be designated as such?

[ ] Checked box stating you intend or do not intend to use one or more facilities as a place of performance under 52.215-6 Place of Performance?

[ ] Save and submit solicitation and all attachments to a CD?

[ ] Submit proof of Perishable Agricultural Commodities Act (PACA) License

[ ] Submit required information about financial arrangements under which you receive money from your suppliers?

CAUTION: The above checklist is for convenience purposes only. This list is not intended to be all-inclusive. Offerors are responsible for carefully reviewing the entire Solicitation to ensure proper submission of all required information.

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STATEMENT OF WORK (SCOPE)

I. INTRODUCTION

A. DLA Troop Support intends to enter into an Indefinite Quantity Contract (IQC) contract with a commercial firm to supply a full-line of USDA No.1 or better Fresh Fruit and Vegetable (FF&V) products to DoD (Troop) and Non-Department of Defense (USDA School) customers and Shell Eggs (if required) located in Virginia (land) zone. The rating of USDA No. 1 or better is subject to what is actually called for in the schedule of items. The schedule of items ultimately controls the specific quality rating per item and the generic language of "U.S. Grade 1 or better" only speaks to the bare minimum requirement.

B. This solicitation consists of one (1) zone and two (2) groups in the Virginia (land) area. Group 1 will consist of DoD customers to include Troop customers. Group 2 will consist of Non-DoD (USDA School) customers. The Government intends to make one (1) award for each Group based on the technically acceptable offer with the lowest aggregate evaluated price ("lowest price technically acceptable" or "LPTA"). In its LPTA evaluation of offerors' pricing, the Government will incorporate a weighting factor to the distribution-pricing component of the overall evaluated price. Please refer to page 50 (FAR 52.212-2 Evaluation - Commercial Items (Oct 2014) for additional information. In the event that one offeror is the awardee for more than one Group, the award for more than one Group may be issued under a single contract.

Offerors shall submit their best proposal for each Group independently due to the Government’s right to make separate awards for Groups 1 and 2. Offerors are required to offer on all items in the Schedule of Items for each Group; failure to do so may result in exclusion from award consideration.

C. This solicitation is issued as a Small Business Set-Aside (50%) basis for the Troop (Group 1) portion and unrestricted on the School (Group 2) portion. It utilizes the Lowest Price Technically Acceptable Source (LPTA) Selection Plan. See 52.212-2 Evaluation – Commercial Items.

D. As part of this selection process, the Agency will incorporate a weighting factor in its evaluation. Said factor will apply to the Distribution Price component only of the overall Contract Unit Price. Please refer to FAR 52.212-2 contained in this Solicitation for additional information about how each offeror’s price, and price components, will be evaluated.

E. Any award made against this solicitation will result in an Indefinite Quantity Contract (IQC) Fixed Price with Economic Price

Adjustment-Actual Material Costs for Subsistence Delivered Price Business Model. An IQC will provide for an indefinite quantity, within stated limits, of specific supplies or services to be furnished during a fixed period, with deliveries to be scheduled by placing orders with the contractor (reference FAR 16.504 (a)).

II. EFFECTIVE PERIOD OF CONTRACT

A. Each resultant contract is for a total of 4.5 years, (three) 18-month tier periods. Tier period one will commence on the effective date of the contract.

B. The first tier period of the resultant contract, and the second and third tier period under that contract, will not exceed 18 months each. The total length of the contract will not exceed fifty-four (54) months, or 4.5 years.

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III. TIERS

A. The 4.5-year contract period is divided into three 18-month tier periods. Each tier affords offerors an opportunity to provide different Distribution Prices as defined in the EPA provision. Each Distribution price offered must be expressed as a dollar value (up to two decimal places) and NOT a percentage. If an offeror submits the latter, it will not be accepted. If an offeror fails to provide a Distribution Price for any of the tiers, the Contracting Officer will assume that it is the offeror’s intention that no change in Distribution Price was meant after the most recent preceding tier period that included a Distribution Price.

For instance, if an offeror proposes a Distribution Price for Tier 1 of $3.00 and fails to propose anything for Tier 2 or Tier 3, the Contracting Officer will interpret that omission as meaning that the $3.00 Distribution Price pertains to all three (3) tiers.

B. Although different distribution prices may be offered for each tiered period, the distribution prices will be firm-fixed and, thus, not subject to change during a tiered period. Contract deliveries may fall outside of the tier effective periods (i.e. an order placed during Tier 1 may be delivered during Tier 2). Prices will be based on the time an order is placed, not when an order is delivered. For example, if an order is placed during Tier 1, but delivery is made during Tier 2, then the prices in effect for that order will be the Tier 1 prices.

IV. ESTIMATED DOLLAR VALUE / GUARANTEED MINIMUM / MAXIMUM

A. The following chart includes the 18-month estimate (1st tier period), 54 months (i.e. 4.5 years) estimated dollar values, the guaranteed 10% minimum dollar values, and the 250% maximum dollar values for each group. The guaranteed minimum values and the maximum values, although based on estimates, are firm dollar amounts calculated as a percentage of the estimated dollar values. The guaranteed minimum dollar value constitutes the Government’s legal ordering obligation under the contract. In addition, the Government may place, and the contractor must fill, additional orders above the guaranteed minimum dollar value, not to exceed the maximum dollar value.

Virginia (land) Zone

18 – Month Estimate (1st Tier)

4.5 Year

Estimate

(Total Including all Tiers)

10%Min (4.5 Years)

250% Max (4.5 Years)

Group 1 (DOD) $6,162,114.69 $18,486,344.07 $1,848,634.41 $46,215,860.10

Group 2 (School) $19,033,670.91 $57,101,012.73 $5,710,101.27 $142,752,531.83

Total $25,195,785.60 $75,587,356.80 $7,558,735.68 $188,968,392.00

“18 Month Estimate” refers to the Government’s good faith estimate of the requirement for the first tier period.

The total minimum contract dollar value is $7,558,735.68 The maximum contract dollar value is $188,968,392.00

V. REQUIREMENTS

A. Start-up-Period: The Contractor’s startup period will take place prior to the first order and is included in the first 18-month tier period. The Contractor shall submit a proposed implementation schedule to the Contracting Officer within fifteen (15) days after award highlighting the steps that will be taken to implement a fully functional distribution account, including all EDI transactions for all customers covered by this solicitation. An additional thirty (30) days will be granted for actual implementation. No more than forty-five (45) days after award will be permitted for each contractor to have fully functional distribution accounts in place for all customers.

VI. CATALOGS

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Offerors will be required to maintain electronic catalogs that list all items available to the customers covered under this solicitation. Each item in the catalog shall contain the corresponding national or local stock number, Government item description, packaging characteristics, unit of issue and unit price.

A. Catalog Maintenance

1. New Items

(a) Prior to commencement of the first order, DLA Troop Support, the customer and the vendor will collaborate to identify items not found in the Schedule of Items, which are to be added to the ordering catalog. Neither the vendor nor customer is permitted to add a new item to the catalog without initiating a new item request to the Contracting Officer.

(b) After ordering commencement, if a customer desires to order a Fresh Fruit and Vegetable (FF&V) item that is not part of the ordering catalog, the contractor will be allowed a maximum of twenty (20) days to source the item, obtain a stock number from DLA Troop Support (if required) and add the item to the ordering catalog via an 832 catalog transaction. These items should then become a permanent part of the contractor’s inventory, dependent upon availability, after the Contracting Officer’s determination of fair and reasonable pricing. The contractor shall utilize the Contracting Officer-provided form when requesting all item approvals (additions and/or changes). The form is mandatory and is Attachment 2.

(c) The successful awardee shall assume the responsibility of introducing new produce items to the customers, as well as showing cost effective alternatives to their current choices.

2. Catalog Pricing

(a) Schedule of Items Pricing: Items priced in the Schedule of Items (See Attachment 1) will be included in the ordering catalog following award. Schedule of Items will be determined fair and reasonable prior to award. The final proposed price for each item in the Schedule of Items will be the catalog price during the first week of customer ordering.

(b) Catalog Price Changes: Once an item is listed on the ordering catalog, the contracting officer will make on-going price reasonableness determinations. In accordance with the Economic Price Adjustment – Actual Material Costs for Subsistence Delivered Price Business Model, contractors are permitted to request a weekly EPA for items found on the catalog. For each item the vendor is requesting a price change, the contracting officer will conduct a separate price reasonableness determination. The item will be removed from the catalog until a fair and reasonable price can be determined by the Contracting Officer.

(c) Catalog Additions: Before an item is added to the catalog vendors are required to submit to the contracting officer a request of proposed catalog additions (See Attachment 2). The request shall include the stock number, Government item description, proposed unit price with a corresponding supplier invoice or quote (note: quotes permitted in very limited circumstances as approved by the Contracting Officer, e.g. Contractor never purchased item before or stale prices due to seasonality, etc.), and the previously agreed-upon distribution price. The request is due by 9:00 AM Eastern Time (ET) (standard or daylight as applicable) on the Monday prior to inclusion of the Wednesday catalog updates. The contracting officer will review the catalog addition request and upon determining the price fair and reasonable will contact the contractor to indicate acceptance. The contractor shall then include the item on Wednesday’s catalog update. Should the proposed price fail to be determined fair and reasonable, the contracting officer will conduct negotiations with the vendor. If after negotiations the proposed pricing still cannot be determined fair and reasonable, then the item will not be added to the catalog.

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(d) Pricing Requirements: The final negotiated contract fixed unit price for each item delivered to all customers shall be in effect for a minimum of all orders issued during the first ordering week (from Sunday at 12:01 AM through the following Saturday until midnight). The prices shall remain in effect for all subsequent ordering weeks except as otherwise adjusted in accordance with the Economic Price Adjustment – Actual Material Costs for Subsistence Delivered Price Business Model.

3. Rebates/Discounts and Price-Related Provisions

(a) The contractor shall employ prevailing commercial methods in the pursuit of discounts, rebates, allowances or other similar economic incentives or benefits, for the customers supported under this contract, throughout the period of performance. All NAPA discounts, food show discounts, early payment discounts (except as identified in paragraph (b) herein), and other discounts, rebates, allowances, economic incentives programs, financial arrangements, or other benefits, which ultimately reduce the Contractor’s price paid for products supplied under any contract resulting from this solicitation or which are otherwise attributable to products sold under any resulting contract, that are received by the contractor shall be passed to the Government via a reduced catalog price. Any rebates, discounts, etc. that cannot be applied as an up-front price reduction must be submitted via check payable to the U.S. Treasury, with an attached itemized listing of all customer purchases by line item, including contract number, call number, purchase order number and contract line item number (“CLIN”).

Instructions for identifying discounts, rebates, allowances or other economic incentives or benefits that shall be provided to the Government or retained by the contractor are set forth in the submission requirements in the Business Proposal/Pricing and in the Reports section of the Statement of Work.

(b) The contractor may retain Early Payment discounts that meet the following conditions:

(i) The Early Payment discount is an incentive to encourage payment earlier than the normal payment due date;

(ii) The Early Payment discount is consistent with commercial practice;

(iii) The Early Payment discount is routinely given by the manufacturer, grower/shipper, private label holder, or redistributor to their customers, other than the Contractor, at the same discount rate and under the same conditions as provided to the Contractor;

(iv) The Early Payment Discount is not established, requested, or negotiated for the purpose of avoiding giving DLA Troop Support a lower cost or application of a rebate/discount resulting in a higher invoice price;

(v) The Early Payment discount is no more than 2 percent of the manufacturer’s, grower/shipper’s, private label holder’s, or redistributor’s invoice and the early payment is required within 10 days to obtain the discount; and

(vi) The contractor actually made the required payment within the time period required to receive the discount.

(c) Upon request the contractor shall provide to the Government any invoices, quotes, or agreements relevant to the delivered price component for existing catalog items, for any new items being added to the catalog, and for requested price changes to existing catalog items. The contractor must include detailed payment terms on each invoice or quote used to substantiate delivered price, including any applicable discounts or rebates. If there are no payment terms associated with the document, the contractor must annotate it with “No payment terms.”

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(d) The government may require the contractor to submit invoices and other documentation from all subcontractor tiers and/or any supplier or person in the delivered price supply chain, to substantiate all discounts, rebates, allowances, economic incentives, or other benefits. If the Contracting Officer determines, after reviewing an invoice or other documentation, that a discount, rebate, allowance or other economic incentive or benefit should have been passed on to the Government and not retained by the Contractor the Government shall be entitled to a prospective delivered price reduction for the item(s) in question and a retroactive refund in the amount of the resultant overcharges, inclusive of interest.

Similarly, if price verifications reveal any instance of overcharging for product for any reason, the Government will be reimbursed for the amount in question, inclusive of interest. If it is discovered that the Contractor undercharged for product and said undercharges were not the result of the Contractor’s own fault or negligence in managing its ordering catalog(s), the Government will reimburse the Contractor accordingly. The Contracting Officer, and/or his/her authorized representative(s), shall have the right, up to twice a year or more as determined necessary by the Contracting Officer, to examine and audit a statistically significant sample of the Contractor's records relevant to its pricing under the contract, including the existence and proper accounting of rebates, discounts, etc. and permissible exceptions thereto as identified above in paragraph (b) of this section, as well as any other factors influencing Delivered Price. The Government may review/audit the Contractor’s electronic purchasing system to confirm that the Delivered Price of a product sold at a given time to a DLA Troop Support customer is accurate. Should the Government identify evidence of incorrect pricing, or should other pricing issues arise, the Government reserves the right to conduct more frequent and extensive reviews/audits. During contract performance, failure on the part of the Contracting Officer to identify non-compliance with this provision or to challenge the Contractor’s erroneous interpretation of said provision shall not constitute a defense or alter the Government’s entitlement to any of the aforementioned rebates, discounts, etc. or any other remedies afforded by this section, the contract as a whole, or other applicable laws and regulations.

VII. DOMESTIC NON-AVAILABILITY DETERMINATION – FRESH FRUITS AND VEGETABLES

A. A Class Domestic Non-Availability Determination (DNAD) for Federal Supply Class 8915, Fresh Fruits and Vegetables (FF&V), dated 16 May 2008 was approved and is in effect for the DLA Troop Support/DLA Produce Long-Term Contracts.

This DNAD establishes a limited Berry Amendment waiver to the requirements of DFARS 252.225-7012, Preference for Certain Domestic Commodities, which is applicable to this solicitation. As a result of the DNAD, non-domestic FF&V may be supplied under this contract when domestic FF&V of satisfactory quality and sufficient quantity cannot be procured as and when needed at US market prices. This determination will remain in effect until these circumstances have changed and the DNAD is formally rescinded.

B. The instant DNAD as applied affects Government contracts supporting Department of Defense customers (i.e. Troops) only.

C. Notwithstanding this DNAD, the USDA requires that fresh produce supplied via its Federal Entitlement for the USDA School

Lunch Program must be from a domestic source. Therefore, the aforementioned DNAD does not impact or negate the Government’s requirement for domestic produce in its contracts supporting Non-Department of Defense customers (i.e.

Schools and Tribes).

VIII. ADDITION OF NEW CUSTOMERS

A. Adding Customers within the Contract’s Geographic Distribution Region/Zone:

1. After contract award, there may be instances when new customers request support of their fresh produce requirements. Additional DoD and/or Non-DoD federal government customers that request DLA Troop Support

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produce support may be added to the contract without any new acquisition or competition process, if the customer(s) is/are within the geographic distribution region/zone covered by this contract.

2. The decision as to whether a potentially new customer is within the contract region or zone and, thus, will be added to the contract without further competition and at the existing contract prices, shall be the sole decision of the DLA Troop Support Contracting Officer.

3. Pursuant to the above, the Contracting Officer will instruct the contractor to include the customer(s) at the effective contract prices applicable to that distribution zone/region.

B. Adding Customers outside the Contract’s Geographic Distribution Region/Zone:

1. This provision applies to the following customers:

(a) A new DoD or Non-DoD federal customer that is deemed by the Contracting Officer to be outside the contract’s geographic distribution region/zone.

(b) An existing DoD or non-DoD federal customer that is deemed by the Contracting Officer to be outside the contract’s geographic distribution region/zone but has been previously supported on a separate contract covering a d geographic distribution region/zone.

2. The customers described in paragraph B.1., above, and their produce requirements, may be added to any contract resulting from this solicitation as follows:

(a) In the judgment of the Contracting Officer, the customer(s) at issue is/are located in an area that is considered adjacent or proximal to the geographic distribution region/zone of the resulting contract. In a circumstance where the customer is located in an area that is adjacent or proximal to multiple existing produce contracts, the decision of which contract is most satisfactory to the Government for purposes of adding the customer(s) will be the sole decision of the Contracting Officer, taking into consideration numerous factors, including but not limited to those contained in this provision. Further, to that end, it is the Contracting Officer’s sole decision as to which existing contractors available in the aforementioned region/zone(s) will be solicited for the support of the customer(s).

(i) The Contracting Officer will request complete price proposals to support the subject new customer(s), to include distribution and delivered prices. Prior to any customer being added to the resulting contract, the Contracting Officer shall determine all proposed prices to be fair and reasonable. To this end, negotiations may be required in which the same processes and procedures contained within the instant solicitation may be employed.

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(b) In the judgment of the Contracting Officer, the customer(s) at issue is/are not located in an area adjacent or proximal to the geographic distribution region/zone of the resulting contract, and/or the anticipated customer requirement is insubstantial, the customer(s) will not be added.

C. Under no circumstance may the resulting contract’s maximum dollar value be exceeded with the addition of any customer(s) and its respective produce requirements.

IX. CUSTOMER SERVICE

A. Military, USDA School Lunch Program and other Non-DoD and DOD activities have periodic food menu boards, and other types of meetings, which the vendor may be required to attend. At these meetings, the customers not only review their internal business practices, but the offeror can utilize this forum to show new products, demonstrate produce preparation, and provide nutritional information.

B. Vendors shall provide at least one (1) full time Customer Service representative to maintain continuous contact with all of the ordering activities. The name of the representative and the phone number, mobile phone number, beeper number, email address, or any other method of communicating with the representative, shall be furnished to the customer after award.

C. The vendor shall assume the responsibility of introducing new food items to the customers, as well as to show cost effective alternatives to their choices.

D. Since many of our customers only have access to the Government phone network, it is strongly preferred that a toll free number be provided.

X. VALUE ADDED SERVICES

A. Market Forecast: The vendor is required to provide the customer and the contracting officer with a weekly produce market forecast bulletin on Friday, which outlines for the following week information regarding supply availability, product quality, associated growing areas, price trends, weather conditions, and handling tips.

XI. ORDERING SYSTEMS

A. Subsistence Total Order & Receipt Electronic System (STORES): DOD customers will order using the Subsistence Total Order and Receipt Electronic System (STORES) catalog. The vendor is responsible for establishing and maintaining the STORES catalog.

1. Accessed via the Internet, STORES is the Government’s translator/ordering system that is capable of accepting orders from any of the Services, i.e. Army, Air Force, Navy, or Marines, individual ordering systems and translating them into an Electronic Data Interchange (EDI) format. In addition, this information is passed to DLA Troop Support for the purposes of contractor payment and customer billing.

2. Customers will be able to order all of their requirements through STORES. The System will transmit orders to the vendor and DLA Troop Support.

3. The awardee shall be required to interface with STORES and must be able to support the following EDI transactions:

810 Electronic Invoice 820 Payment Voucher Information

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832 Catalog (Outbound - Vendor to DLA Troop Support) 850 Purchase Order 861 Receipt 997 Functional Acknowledgement

Note: A complete description of these transaction sets is included in the “EDI Implementation Guidelines” and can be found at http://www.dla.mil/TroopSupport/Subsistence/Doing-Business-with-Sub/STORES/, click STORES and EDI Requirements.

4. The vendor shall have access to the Internet and be able to send and receive electronic mail (email).

5. Unit prices must be formatted not more than two (2) places to the right of the decimal point in all ordering catalogs.

Standard rounding methods must be applied. For example, a price of $2.215 or higher must be rounded up to $2.22 and a price of $2.214 or lower must be rounded down to $2.21.

6. Vendors are required to utilize the Government’s item descriptions on all electronic ordering catalogs (832 transmissions) as well as on its invoices, delivery ticket to customer and 810 invoice transaction set.

7. The vendor will utilize the DLA Troop Support invoice reconciliation process, or other such systems as may become available, to the maximum extent, towards the goal of correcting invoices early and facilitating the payment process.

8. In the event the STORES system or the vendors interface is not operational, the vendor must provide alternate ways for the customer to order (e.g., by fax by phone, pick up orders, etc.)

9. Public Key Infrastructure (PKI)/ External Certificate Authorities (ECA) Certificates: The Department of Defense

(DoD) Public Key Infrastructure (PKI) Certificate will be required for all DoD users. A DoD PKI certificate will be required for all contractors. The requirement for PKI certificates is implemented in accordance with DoD security policy promoting secure electronic transactions.

(a). Obtaining a PKI certificate:

(i) Contractors who do not work on-site at a Department of Defense facility may purchase a DoD PKI certificate from one of three External Certificate Authorities (ECAs). The ECAs are vendors who provide digital certificates to DoD’s industry partners who are using their own equipment or working in non – Governmental facilities. Certificate prices range from $99 - $115 per certificate per year, with volume discounts at some ECAs. A list of ECAs is available at https://www.daas.dla.mil/daashome/pki_contacts.asp.

(ii) Each contractor must fully comply with the DoD requirement to implement PKI in order for our information systems to remain secure and viable.

B. Fresh Fruits and Vegetable Order Receipt System (FFAVORS WEB): Non-DoD customers (USDA

School customers) will utilize the Fresh Fruit and Vegetable Order Receipt System (FFAVORS) Web catalog. The successful awardee will be provided a User ID and password to Log in and receive orders through FFAVORS Web, a web-based ordering system. The vendor is responsible for establishing and maintaining the FFAVORS WEB catalog in accordance with Attachment 4.

1. Accessed via the Internet. FFAVORS WEB is the Government’s ordering system for USDA Customers. It is capable of accepting orders from the schools and tribal reservations.

2. Customers will be able to order all of their requirements through FFAVORS WEB. The system will transmit orders to the vendor and DLA-Troop Support.

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SPE300-17-R-0023

http://www.dla.mil/TroopSupport/Subsistence/Doing-Business-with-Sub/STORES/ https://www.daas.dla.mil/daashome/pki_contacts.asp

3. In the event the FFAVORS WEB system is not operational, the vendor must provide alternate ways for the customer to order (e.g., by fax, by phone, pick up orders.)

4. In the event the FFAVORS WEB system or the vendors interface is not operational, the vendor must provide alternate ways for the customer to order (e.g., by fax by phone, pick up orders, etc.)

XII. ORDER PLACEMENT, LEAD TIME, and ADJUSTMENTS/CANCELLATION OF ORDERS

A. The minimum order requirement for any resultant contract is $150.00. This requirement shall be based on the aggregate total of orders for a specific delivery date to all customers located within a particular military base or delivery location.

B. Troop Customers shall place their orders to accommodate at a minimum a “skip day” delivery. For example, an order placed on September 1 would have a required delivery date of September 3. Orders may be placed with longer lead-time not to exceed 10 days in advance of the requested delivery date; however, the minimum lead-time is “skip-day”. See Attachment 3 for specific delivery information for Troop customers.

C. School Customers shall place their orders to accommodate a 4-day lead time. For example, an order placed on

Monday, September 1 would have a required delivery date of Friday, September 5. See Attachment 3 for a listing of the schools.

D. All invoice pricing will be based upon the unit price at time of order by the customer(s). For example, for any item ordered on a Friday to be delivered the following week, pricing will be based upon the Friday price, regardless of whether the unit price for that item changed as part of the weekly catalog update.

E. Once submitted through the applicable electronic ordering system (i.e. STORES or FFAVORS), an order may be cancelled by a customer up to 24 hours before scheduled delivery via written notification to the Contractor and the Contracting Officer. Within less than 24 hours from delivery, an order may be cancelled by mutual agreement between the customer and the Contractor. In the event of an act of God, such as extreme weather, the specific situation regarding a cancelled delivery will be dealt with in an equitable manner by the Contracting Officer, who has the ultimate authority and discretion to resolve said issues.

F. For procedures discussing adjustments to orders, refer to Attachment 4 & 5 (STORES and FFAVORS manuals).

XIII. ITEM AVAILABILITY

A. Vendors must have access to items in sufficient quantities to fill all ordering activity requirements. All supplies shall be furnished on a “fill or kill” basis. Partial shipments are acceptable if the customer is notified in advance and agrees to the partial shipments; however, the unfilled quantity is to be reported as not-in-stock (NIS). Offerors are required to have procedures for handling NIS situations. The contractor is required to stipulate timeframes in which the NIS item will be identified to the customer prior to delivery, in order that a substitute item may be requisitioned via a new order. Only substitutes of comparable description, quality, and price may be offered to the customer.

B. Vendors shall notify the customer within 24 hours of order placement of the non-availability of any item. Vendors shall offer the customer a substitute of equal or higher quality and at an equal or lower cost, or advise them of the not-in-stock position of the item. Substituted product shall not be delivered without prior consent by the customer. Substituted items must be noted as such on the invoice.

XIV. PACKAGING, REPACKAGING, PACKING, LABELING AND MARKINGS

A. All labeling, packaging and packing shall be in accordance with good commercial practice. Shipping containers shall be in compliance with the National Motor Freight Classification and Uniform Freight Classification Code.

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B. To ensure that the carrier and the receiving activity properly handle and store items, standard commercial precautionary markings such as “KEEP REFRIGERATED” shall be used on all cases when appropriate.

C. Protection during inclement weather is required. All products that are susceptible and sensitive to temperature must be protected by any means to prevent damage.

D. For some items, DLA customers, particularly School and Tribal Reservations, may require smaller pack sizes than are commonly available in the commercial marketplace. Such items are included in the instant Schedule of Items and may be added at a later date during contract performance. It is incumbent on the Contractor to determine how it will supply these items in accordance with the required pack sizes. In so doing, the Contractor may decide to split cases and repackage product at its own facility. If this course of action is selected by the Contractor, it is important to note that any projected costs associated with repackaging and splitting of cases must be included in the Contractor’s Distribution Price. Under no circumstances will a Contractor be permitted to include such costs in its Delivered Price component.

XV. DELIVERY INSTRUCTIONS

A. Vendors shall ensure all products are delivered in sanitary trucks that are of a commercially acceptable standard. All delivery trucks must be equipped with a lift gate to expedite the offloading of products. Trucks shall maintain proper temperatures, as determined through standard commercial practices. Deliveries shall be F.O.B.