GE_F138_SOW_-21_Apr_16.docx

SECTION C - STATEMENT OF WORK

SCOPE OF WORK

1.1 SCOPE AND PURPOSE: The parties shall, in accordance with the terms and conditions set forth in the contract, manage and provide the products described in this Statement of Work (SOW) incorporated herein and made a part hereof. The purpose of this effort is to provide worldwide support for consumable National Stock Numbers (NSNs), managed by DLA, that are sole source to GE (062W0) for the F138 Engine. The Contractor shall be responsible for integrated support of all NSNs through customer direct shipments to Continental US (CONUS) and Outside Continental US (OCONUS). Orders will be issued both electronically and manually in accordance with (IAW) DLAD 52.204-9001. The NSNs listed in Appendix A, constitute initial items to be included in this contract; subsequent items may be added or deleted to the contract by modification in accordance with DLAD 52.216-9006.

1.2 Addition of Items: Items may be added to this contract, by bilateral modification, as detailed in 52.216-9006. The following conditions apply to additions:

a. Items where management is provisioned to DLA that are determined sole source to GE.

b. Items that are newly developed by the contractor and therefore determined sole source to GE.

c. Items that become sole source to GE after award, even though alternate sources existed prior to award, may be added to this contract.

d. Replacements for obsolete items already on the contract may be added if GE is the sole source for the replacement items.

e. Any other items for which the contractor is the sole source and the item falls within the scope of contract requirements.

1.3 Deletion of Items: The following classes of items may be deleted from the contract:

a. Obsolete items may be deleted from the contract by bilateral modification. The Contractor will identify obsolete items as well as their replacement items if available, which may be added to the contract.

b. Competitive items, which can be obtained from sources other than the contractor, even though no alternate sources may have existed at the time of award, may be deleted by the Government by bilateral modification.

c. Upon notification of an item being determined competitive, the contractor will continue to accept orders for a period of time equal to a full unreduced Production Lead Time plus any time needed for First Article Testing if appropriate. Items may not be removed from the contract until an alternate source is qualified and the contractor is notified.

d. Deletion of items under this provision is not subject to the Termination for Convenience Provision of this contract and will not otherwise result in any liability by the Government to the Contractor.

1.3 Ordering: All Contracting Offices with the DoD are authorized to issue orders. The Aviation Supply Chain or one of its Detachments will administer the basic contract, but each activity will issue and administer its own delivery orders.

1.4 Obsolescence: When GE Aviation Military Customer Support Organization becomes aware that any NSN in the schedule either becomes obsolete or is superseded during the term of the contract, GE Aviation shall advise the Contracting Officer thereof within fifteen (15) business days of the determination of obsolescence, or of the determination to supersede the scheduled NSN.

1.5 Quality: The contractor shall maintain a quality system that addresses the elements of 1809001-ANSIIASQC Q9001, Quality Systems Model for Quality Assurance in Design, Development, Production, Installation and Servicing. The contractor's Quality System is certified to ISO 9001 by an approved ISO 9001 International Registrar. The Government reserves the right to assess the contractor's compliance to its documented quality system. The quality systems procedures, planning and all other documentation, media, and data which comprise the quality system shall be made available to the Government for their review and use. The Government reserves the right to disapprove the quality system or portions thereof when it fails to meet its intended objective.

1.6 Packaging Requirements:

The Contractor shall comply with the packaging requirement of ASTM 3951. The contractor is required to package material in accordance with Quantity Unit Pack (QUP) and the Unit of Issue (UI) specified on each delivery order.

1.7 Inspection and Acceptance Inspection: Inspection and acceptance shall be performed at origin for all items.

1.8 Place of Delivery: The contractor shall deliver directly to the location designated on each delivery order.

1.9 Early/Partial Delivery: The contractor is authorized to deliver partial quantity shipments and/or early shipments provided there is no additional cost to the Government unless otherwise approved by the Contracting Officer. However, unless the contractor is specifically directed otherwise, the partial shipments must be shipped against the delivery order with the earliest delivery date.

1.10 Period of Performance: The contract will consist of a five-year base period, followed by one - 5 year option for a total potential contract duration of 10 years.

1.11 Transportation: Consistent with contractual delivery schedules the contractor shall consolidate shipments from the same source to the same destination whenever practicable. Priority shipments will not be held for consolidation but shall be shipped immediately. The contractor shall also declare the value of the items being shipped on the Shipping Document. Shipments will be FOB Origin.

1.11.1 High Priority Transportation: High priority transportation is authorized for high priority and emergency orders if specified in the delivery order, or as designated by the Contracting Officer.

1.11.2 Transportation Records and Oversight: The contractor shall maintain comprehensive records of all shipments including the transportation control number, the date of shipment, weights, destinations, delivery order number, and transportation contract shipped against.

1.12 Pricing Methodology: Initial contract prices will be established based on the GE CF6 Propulsion System Parts Price Catalog. It is anticipated that a discount to the commercial catalog will be negotiated. The GE catalog is updated yearly, and therefore, pricing for the contract will be adjusted in accordance with the catalog update per the Economic Price Adjustment (EPA) clause FAR 52.216-2.

1.13 Performance Metrics: Metrics for the base period of this contract will be related to Customer Direct delivery performance. Performance will be tracked and a baseline established for future options and contracts. A key component of the Strategic Supplier Alliance will be the ability to effectively provide management visibility into efficiency and productivity of the contract. This requirement necessitates the creation of a meaningful set of performance measures and metrics that drive enhanced contract performance and continuous process improvement. The evolution of contract metrics will be achieved through government/contractor partnership that will determine appropriate measures based on contract objectives and performance standards.

· 1.14 Environmentally Advanced Products: GE will work with the DLA to develop mutually beneficial environment initiatives. GE, with the support of DLA, will use best efforts to implement and monitor performance of environmentally friendly goals. Cost/payback analysis will be handled on a case by case basis and will be agreed to by both parties in writing prior to implementation. If the Government identifies candidate NSNs that merit further investigation for a more environmentally friendly alternative, GE will investigate to determine if alternatives are feasible. If the alternatives are feasible, the parties will mutually determine how to proceed.

1.15 Surge and Sustainment: Surge and Sustainment requirements are waived for this acquisition.

1.16 IUID: IUID shall be implemented in accordance with the following plan for any applicable items:

(A) Phase 1 – within 30 days of contract award, the Contractor shall work with DLA to evaluate the potential to incorporate IUID for those parts identified by the USAF, and reach agreement on the IUID candidate list. Of those items that cannot be marked due to part physicality constraints (e.g., physical space limitations, surface finish, stress margins, coatings, etc.), the Contractor shall list alternative methods to meet the intent of IUID (e.g., bag and tag, etc.).

(B) Phase 2 - after the candidate list, is finalized, the Contractor shall submit implementation schedules and cost proposals in accordance with the re-opener clause in the resultant contract. These proposals will be delivered in three stages (with milestone dates below), and will identify, at a minimum, required drawing changes, vendor marking setup costs and schedules (including NRE costs), and commencement dates by which parts will be shipped with IUID markings or the applicable alternative method that meets IUID intent identified in Phase 1:

· 1st Stage: proposals will be delivered NLT 210 days after the candidate list is finalized

· 2nd Stage: proposals will be delivered NLT 360 days after the candidate list is finalized

· 3rd Stage: proposals will be delivered NLT 540 days after the candidate list is finalized

(C) Phase 3 – the Contractor shall implement IUID marking on parts as awarded based on the proposals in Phase 2.

2.1 DELIVERY

2.2 Standard and Premium Delivery: Delivery schedules will be stated on each order. In the event that the Government requests expedited delivery of all or part of the quantity on an order, the contractor will review the request and may propose a premium delivery charge for the requested quantity if necessary. The Contracting Officer will review this charge and will negotiate the charge with GE Aviation. If a mutual agreement of an expedite charge can be reached, the negotiated charge will be added through modification to the order.