Tab_12_SPE4AX-16-R-0004_Bearings_RFP_Questions_rev_01142016.docx

January 14, 2016

SPE4AX-16-R-0004 Unrestricted Bearings Solicitation Questions

1. As per M.2.4 of the solicitation, a reference to a costing factor of 10% is made in the service fee example. What is the Defense Logistics Agency (DLA) service fee that a potential awardee will be based against when DLA reviews customer direct (CD) offers?

DLA Response: Please review Section M, Evaluation for Basis of Award, beginning on page 48 of the solicitation in its entirety, specifically M.1.1, which states the following:

“M.1.1 Evaluation Factors: For the purposes of award, offers will be evaluated based on the following factors. If a proposal is not found technically acceptable, the proposal will not be considered. The lowest price technically acceptable (LPTA) source selection process will be utilized to assess proposals for a best value award decision in accordance with Federal Acquisition Regulations (FAR) 15.101-2. Each proposal will be evaluated based on three factors; technical, past performance and price. Offeror(s) must quote a minimum of 50% of items to be evaluated. If 50% of the items are quoted, the non-price factors (technical and past performance), will be evaluated and considered acceptable or unacceptable. Each offer will be evaluated to determine it provides a sound, compliant approach which demonstrates an understanding and capability to execute the requirements of the Statement of Work (SOW) thereby indicating a high probability of success. If a proposal is technically acceptable, price will be the determining factor. If a proposal is technically unacceptable, the entire proposal will not be considered.

Offers will be evaluated and awarded on a line-by-line basis. Offers received on a CD basis and include a fee for supply chain management services will be evaluated once the LPTA source selection process is completed for each line item. If an offeror provides a fee for supply chain management services, those fees will be evaluated only for the population of items for which that offeror has been identified as technically acceptable with the lowest evaluated unit price. The supply chain management fee will be compared to the Government costs as outlined in the business case analysis (BCA) (see note below). The unit prices plus supply chain management service fees must demonstrate savings to the Government. If savings are not present the Government will award on a DLA direct (DD) basis."

Note: For any CD offers received, a BCA will be completed only for the population of items for which that offeror has been identified as technically acceptable with the lowest evaluated unit price. The results of the BCA for the identified population will be the basis for evaluation for the proposed supply chain management fee.

2. What are the DLA production lead-time (PLT) requirements for DD offers?

DLA Response: The PLT requirements for DD offers are provided in Attachment 1, DD Data, of the solicitation in column F.

3. When a potential offeror proposes a CD offer, will the items be “cherry picked” and awarded against a DD award or will the CD offer stand alone?

DLA Response: Please refer to Sections M.1.1 and M.2.4 of the solicitation. Offers will be evaluated on a line-by-line basis regarding unit price (whether DD or CD) assuming the 50% quote minimum has been met and the offers are found to be technically acceptable. As shown in the example provided in M.2.4, Cost / Price Proposal for CD Services, the unit prices proposed (alone, without taking into consideration any service fee proposed) will be evaluated for lowest price. If a CD offer is shown to have the lowest evaluated price for any items the proposed service fee will then be evaluated against a BCA conducted specifically for that population of items.

Example: One DD offer is received from ABC, Inc. and one CD offer is received from DEF, Inc. Both meet the 50% quote minimum and are technically acceptable. Each contract line item number (CLIN) has an estimated annual quantity (EAQ) of 1 each.

ABC, Inc. quoted $100.00 for CLIN 1, $250.00 for CLIN 2 and $500.00 for CLIN 3.

DEF, Inc. quoted $125.00 for CLIN 1, $225.00 for CLIN 2 and $450.00 for CLIN 3. Service fee proposed of 10%.

ABC, Inc. has the lowest evaluated price for CLIN 1.

DEF, Inc. has the lowest evaluated price for CLINs 2 and 3.

Proposed service fee equals $22.50 and $45.00 for a total of $67.50. The Government costs outlined in the BCA equal $55.00. Savings equal $17.50. CLINs 2 and 3 will be awarded to the CD offeror.

4. What is the migration plan for items to be awarded which are currently on existing LTCs?

DLA Response: Any migration plans that may needed will be developed closer to the time of award the details of which will be dependent upon the circumstances surrounding the identified item(s).