20171025_WPNY_Thermal_Industry_PPC.pdf

DEFENSE LOGISTICS AGENCY

AMERICA’S COMBAT LOGISTICS SUPPORT AGENCY

WARFIGHTER FIRST

Industry Pre-Proposal Conference

U.S. Army Garrison West Point, NY

SPE600-15-R-0807

Thermal Distribution & Production Systems

October 25, 2017

WARFIGHTER FIRST

Agenda

• Purpose of the Request for Proposal (RFP)

• RFP Contents

• Review solicitation

• Sections B through M

• Milestones

• DLA Energy POCs

Purpose of the RFP

Privatize the Thermal Production and Distribution (Thermal) Systems at U.S. Army Garrison West Point, New York (if economical)

• Convey utility system infrastructure

• Acquire system(s) via utility services contract (FAR Part 41)

• Maximum 50-year contract

• Privatization is subject to approval of conveyance decision

• Provide Right to Access/Easement

Notes:

1. Purchase of the commodity is not included in the RFP

2. Selection of offeror will be based on best-value tradeoff determination

3. Government reserves the right not to award the contract

RFP Contents

• Section B - Supplies or Services and Prices/Costs

• Section C - Description/Specifications/Work Statement

• Section D - Packaging and Marking – N/A

• Section E - Inspection and Acceptance

• Section F - Deliveries or Performance

• Section G - Contract Administration Data

• Section H - Special Contract Requirements

• Section I - Contract Clauses

• Section J - List of Attachments

• Section K - Representations, Certifications, and other

Statements of Offerors

• Section L - Instructions, Conditions, and Notices to Offerors

• Section M - Evaluation Factors for Award

Review Solicitation

Section B – Services and Prices/Costs B.2.1 Schedule B-1: Regulated Tariff

• Tariff must be regulated (by a “State-Wide” public utility regulatory authority with jurisdiction over the Offeror)

• Terms must be no less favorable than those offered to similar customers

• Offerors are to provide:

– Comprehensive description of the proposed tariffs

– Describe the regulatory process

– Complete Price Data Sheets 1 through 5 (see Section B.3)

• It is acceptable to submit proposal contingent upon regulatory approval, as long as a proposed timeframe for approval is provided

B.2.2 Schedule B-2: Fixed Price Economic Price Adjustment (FPEPA)

• Inclusive monthly utility service charge (includes Operations & Maintenance (O&M) and Renewals & Replacements (R&R))

• Prices adjusted annually IAW Index

• Adjustment based on Bureau of Labor Statistics (BLS) Consumer

Price Index Urban Regional

• Adjustments applicable to monthly utility service charge only

• May submit alternate proposal utilizing different Government published index or multiple indices or take exception to RFP

• Complete Price Data Sheets 1 through 4, and 6 (see Section B.3)

Section C – Description/Specifications/Work Statement

C.1 Precedence FAR 52.215-8: any inconsistency in this solicitation shall be resolved by giving precedence in the following order:

a) The schedule (excluding the specifications)

b) Representations and other instructions

c) Contract clauses appearing in the solicitation

d) Contract clauses incorporated by reference

e) Other documents, exhibits, and attachments

f) The specifications

C.3 Requirement

• Contains general requirements applicable to the system(s)

• Performance Standards – required to adhere to specified industry standards

C.6 Access to the Utility System

• The Government:

- Provides a Right to Access/Easement to the Installation and the utility system(s)

- May restrict who, when and how many may have access to the secure areas of the Installation

- May require background investigations, including security clearances

• The Offeror is responsible for the actions of its employees, sub-contractors, and agents while on the Installation

C.7 Response to Service Interruptions/Contingencies and Catastrophes

• Procedures and provisions for handling service interruptions in the Service Interruption/Contingency and Catastrophic Loss Plan

C.8 Repair Response Procedures

• Offeror shall provide local or toll free telephone number, available 24 hours a day, 7 days a week for service requests

• Offeror shall respond accordingly depending on the type of request

• Types of Service Requests & Response Times

– Emergency (Life or Death): Immediately

– Priority 1 - Emergency (Not Life or Death): Within 30 minutes

– Priority 2 - Urgent: Within 24 hours

– Priority 3 - Routine: Within 5 calendar days

C.9 Coordination of Work

• The Offeror shall coordinate with the Contracting Officer’s

Representative (COR) at least two (2) weeks prior to commencing work

C.10 Environmental Compliance

• The Offeror shall comply with all applicable environmental laws and regulations inclusive of all Federal, State, and local laws as well as Installation-specific requirements

C.11 SDCs / Upgrades / Connections and Renewals and Replacements

• Initial System Deficiency Corrections (ISDC)/Connection Charges

– Necessary investments to ensure compliance with applicable laws, regulations or implementation of new technology

– Submitted under annual system deficiency corrections/upgrades and renewals and replacements plan

• Future System Deficiency Corrections (FSDCs)/Upgrades

– Required to comply with requirements and standards imposed by law that have changed during the contract term and will be paid subject to the availability of funds

• Renewals and Replacements

– Investments in the utility system to renew or replace system components that fail or reach the end of their useful life

C.12 Operations and Maintenance Plan / Quality Management Plan

• Establish and adhere to an Operations and Maintenance Plan

/Quality Management Plan to ensure safe and reliable operation of the system(s)

• Consistent with all applicable laws/regulations and requirements of utility-specific Attachment JA5

C.13 Operational Transition Plan

• Describes the plan for transfer of the utility systems

• Ensures continuous service from the Government to new owner

• Offeror proposes performance start date

• Includes detailed joint inventory of facilities, specialized equipment, manuals, and records

Section E – Inspection and Acceptance

• FAR 52.246-4 - Inspection of Services (Fixed Price) Section F – Deliveries or Performance

• Utility Service Contract Term – maximum of 50 years

Phase I Phase II Transition Period Contract Start Date

(Pre-performance) (Performance Period)

Contractor proposes duration of Transition Period; Transition Period begins upon execution of contract award unless a later date is specified.

Transition Period ends with the conveyance of the Utility System Infrastructure and Performance of the Utility Services Contract begins.

Section G – Contract Administration Data

• Contracting Officer’s Representative (COR)

• Submission & Payment of Invoices through WAWF

• Price Adjustments

• Accounting Procedures

• Accounting and Appropriation Data

Section H – Special Contract Requirements

• Insurance Requirements

• Government Repurchase Option – non-negotiable

• Hazardous Substances

– Must comply with all applicable laws and regulations

• Contribution in Aid of Construction (CIAC) Tax Liability

• Differing Site Conditions

• Disposition at Contract Expiration

Section I – Contract Clauses

• Federal Acquisition Regulations (FAR) Clauses Incorporated by

Reference (IBR) (Section I.2)

• Defense FAR Supplement (DFARS) IBR (Section I.3)

• Utility Services Clauses IBR (Section I.4)

• Clauses IBR: for Non-Regulated Utilities and Regulated Utilities

Offering Non-Tariff Rates (Section I.5)

• Clauses IBR: Construction Wage Rates Requirements (Section

I.6)

• Other Clauses (Section I.7)

Section J – List of Attachments, Exhibits and References

• Utility-Specific Attachment: JA5 ThermalSystems

– Installation Utility System Description and Inventory

– Specific Service Requirements

• Planning and Programming

– Current Supply Arrangements

– Monthly Submittals

– Points of Demarcation

– Government Recognized System Deficiencies

• Other Attachments

– JA38 - Federal Equivalents

– JA39 - Past Performance Information

– JA40 - Example Completion of Schedules for FP-EPA

Type Contracts

– JA41 - Wage Determinations

– JA42 - B Schedules and Price Data Sheets

– JA44 - Quality Assurance Surveillance Plan (QASP)

– JA45 - Subcontracting Plan

– JA46 - Sample Contract Table J.1-1

• Reference Documents

– JR1 - Sample Bill of Sale

– JR2 - Technical Evaluation Categories

Section K – Representations, Certifications & Other Statements of Offerors

• Identifies the North American Industry Classification System

(NAICS)

− 221330 -- Steam and Air-Conditioning Supply − Small Business size standard for NAICS is $15M

• System for Award Management (SAM) registration done online − Offeror completes annual representations and certifications electronically via the SAM website

Section L – Instructions, Conditions, and Notices to Offerors

L.2 Information to Offerors

• Site Visit (L.2.1.6)

– Initial Site Visit: October 26, 2017, 0800 local time

– Additional site visits may be available upon request

• Send request to Contracting Officer with desired dates/times

• Should provide advance notice and alternate dates and a list of components or areas you would like to visit

• Technical Library (L.2.1.7)

– Available on CD; updates will be posted in FBO

– Offerors bear responsibility for conducting due diligence when researching applicable and current laws and policies

L.3 Proposal Preparation Instructions – General L.3.1 Proposal Organization/Page Limits

Volume I—Technical…………………... Maximum 200 Pages Volume II—Past Performance….……... Maximum 50 Pages Volume III—Contract Documentation …..………... No Limit Volume IV—Price……………………………………... No Limit

L.3.2 Proposal Format

• The proposal shall not simply restate or rephrase the Government’s requirements, but rather provide a convincing rationale explaining how the offeror intends to meet these requirements

• Each volume shall be written on a stand-alone basis so that its contents may be evaluated without cross-referencing

L.3.4 Electronic Proposals

• Offerors shall submit their electronic proposals on CD-ROM or DVD disks

• Each proposal shall contain five (5) disks:

− Volumes I, III, and IV shall be submitted together on four (4) of the disks − Volume II shall be submitted on a separate disk

• No password-protected, zipped, or self-extracting files shall be used

• Offerors shall provide certified and virus-free disks

• Offerors are reminded that restrictive legends will only be given effect if and to the extent that they appear on all copies submitted

L.4 Proposal Preparation Instructions – Volume I: Technical Proposal

• Technical proposal shall describe the Offeror’s capability to provide level of utility services required by this solicitation

• It should be specific and complete in every detail

• The technical proposal shall specifically address each of the four (4) Technical Capability subfactors:

1. Service Interruption/Contingency and Catastrophic Loss Plan

2. Operations and Maintenance Plan/Quality Management Plan

3. Initial System Deficiency Corrections/Upgrades/Connections/

Renewals and Replacements Plan

4. Operational Transition Plan

L.4.1 Subfactor 1: Service Interruption/Contingency and Catastrophic Loss Plan

• Purpose: To describe procedures and provisions for responding to all service interruptions, capability to respond to emergency, urgent, and routine service calls and catastrophic loss

• Common Proposal Shortfalls

– Not complying with response/completion times

– Not complying with Installation’s excavation permit process and emergency restoration plan

– Not allowing the installation to reschedule routine outages if they adversely affect mission/operations

L.4.2 Subfactor 2: Operations and Maintenance/Quality Management Plan Purpose: To identify Offerors’ policies, practices & procedures for:

− Performance standards on Operations & Maintenance (O&M) − Quality management

The Plan will be incorporated into the contract at time of award Common Proposal Shortfalls

– Not addressing service standards for each line Item in Table L-1 of Section L.4.2.1

– Not addressing the procedures Offerors use (tests, inspections, etc.)

to ensure compliance with the service standards for each line Item in Table L-1 of Section L.4.2.1

L.4.3 Subfactor 3: Initial System Deficiency Corrections/Upgrades/Connections and Renewals and Replacements Plan

• Purpose: To describe in detail the purpose, scope, and cost of the ISDCs along with detailed description of procedures for identifying, financing, and scheduling these items

• Plan will be incorporated into the contract at time of award

• Common Proposal Shortfalls

– Not providing an Initial 5-Year plan

– Not addressing the Government’s recognized system deficiencies in the 5-Year plan

– Not providing a year-by-year, 50-year plan for Renewals &

Replacements

– Not providing a Price Data Sheet 2 without prices in the technical volume

L.4.4 Subfactor 4: Operational Transition Plan

• Purpose: provide an adequate transition period and schedule for turnover from Government to Offeror

• The plan must discuss any system condition that will require the

Offeror to accomplish work in advance of conveyance and include such work as a transition project

• Common Proposal Shortfalls

– Not Identifying the person(s) authorized to sign for the transfer of

Inventory

– Not Indicating when the joint inventory will occur

– Not allowing the required 60 days for completion of the Bill of Sale

L.5 Proposal Preparation Instructions – Volume II: Past Performance •Purpose: Offerors shall submit past performance information − As shown on Attachment JA39, Past Performance Information − References should be for at least two (2) but not more than six (6) of largest customers

• Work performed should:

− Be of similar complexity and type − Be for work performed for at least one (1) year of continuous duration − Be within last five (5) years

L.5 Proposal Preparation Instructions – Volume II: Past Performance (continued)

• Offerors shall provide a list of system acquisitions in last five (5) years that includes, at a minimum:

– Name of acquisition or project

– Brief description of Offeror or sub-contractor

– Total contract value

– Period of performance

– Principal parties involved, phone numbers and e-mail addresses

• Be of similar scope, magnitude, and complexity to the Government requirement.

• Offerors need not duplicate information provided in Attachment

JA39

L.5 Proposal Preparation Instructions – Volume II: Past Performance (continued)

• Provide written statement on status with regulatory authority to include:

– Name of authority

– Address/telephone

– Point of contact

– Discussion of any violations, penalties, or other enforcement actions taken within last five (5) years Common Proposal Shortfalls

• Inability to locate/contact references

– Phone numbers and e-mail addresses are incorrect

• Irrelevant references

– References must be relevant to each specific system and must be provided for each system on which offeror is proposing

L.6 Proposal Preparation Instructions – Volume III - Contract Documentation

• Offeror must include original signed and dated SF-33

– Acknowledge all amendments

• Representations and Certifications − Completed on-line with electronic copy in Volume III

• Complete CAS Notices and Certifications (FAR 52.230-1) provided in Section K − For Offerors subject to CAS or statement citing exemption − CAS Waiver Applicability must include justification

• Exceptions to Terms and Conditions (Matrix IAW L.6.2)

• CAS Waiver Applicability

– Include justification in proposal

L.6 Proposal Preparation Instructions – Volume III - Contract Documentation (continued)

• FAR 31 Deviation Request

– Include in initial proposal

• Other Required Information

– List of Authorized Personnel who can obligate Offeror contractually

– Submit Subcontracting Plan (Other Than Small Business)

• Include realistic goals

– Submit Socioeconomic Plan

• All Offerors must submit

• Are required to address all criterial listed in Section L.6.3.5 of RFP

L.7 Proposal Preparation Instructions – Volume IV:

Price Proposal

• Offerors shall submit a single Schedule B (B-1 or B-2)

• Volume IV shall consist of the following sections:

− Section 1: Schedule B-1 with completed Price Data Sheets 1 – 5 or Schedule B-2 with completed Price Data Sheets 1 – 4 and 6

• Offeror shall include documentation to support all price data sheets

• With no hard-coding of data and not password-protected

– Section 2: Introduction, Price Proposal and Pricing Assumptions (Pricing Assumption Matrix)

– Section 3: Accounting system, Standard Estimating Methodology

L.7.6 Schedule B-1 – Regulated Tariff(s)

• CLIN 0001: Utility Services Charge

– Applicable tariff

– Monthly Credit (as payment) for Purchase Price

• Number of months and interest rate

– Recoverable Portion of Purchase Price

• Number of months and interest rate

• CLIN 0002: ISDC/Upgrades/Connection Charges

– For non-recurring costs to bring system up to standards

– Price for each ISDC is firm fixed price

• CLIN 0003: Transition Period

– Fixed-price payment

• Price Data Sheets 1-5

Utility System: ________________

CLIN Supplies/Services Qty Unit Unit Price Total 0001 Utility Services Charge Months $ $

FP

The unit price is the Applicable Tariff(s) less the monthly credit as payment for the purchase price plus the recoverable portion of the purchase price.

Applicable Tariff $

Monthly Credit for PP $ # of Months Interest Rate %

Recoverable Portion of PP $ # of Months Interest Rate %

Unit Price $

Initial System Deficiency Corrections/ Upgrades/Connection Charges b

FFP

Transition Period

FP

0002 $ $

0003 Each $ $ a Utility system to be filled in by the Offeror. A Schedule B-1 must be completed for the utility system offered, except as specifically stated in Section L. The utility system is shown in paragraph B.1, System to be Privatized. Offerors shall provide a comprehensive description of proposed tariffs in their Price Proposals.

b CLIN 0002 is required only if the tariff provides for separate identification of initial system deficiency corrections and connection charges. If separate identification is not provided, it will be assumed the tariff rate includes these costs.

Sample of a Schedule B-1 Regulated Tariff

L.7.7 Schedule B-2 – Fixed Price with EPA

• CLIN 0001: Utility Service Charge (monthly charges for

O&M/R&R)

– Monthly Credit as Payment for Purchase Price

• Number of months and interest rate

– Recoverable Portion of Purchase Price

• Number of months and interest rate

• CLIN 0002: ISDCs/Upgrades/Connection Charges

– For non-recurring costs to bring system up to standards

– Price for each ISDC is firm fixed price

• CLIN 0003: Transition Period

– Fixed-price payment

• Price Data Sheets 1-4 and 6 a Utility system to be filled in by the Offeror. A Schedule B-2 must be completed, except as specifically state in Section L. Utility system shown in paragraph B.1, System to be Privatized.

b The offeror should enter the Utility Service Charge, as computed in Price Data Sheet 1.

Utility System: ________________

CLIN Supplies/Services Qty Unit Unit Price Total

0001 Utility Services Charge Months

FPEPA

The unit price is the Utility Services Charge less the monthly credit as payment for the purchase price (PP) plus the recoverable portion of the purchase price.

Utility Services Charge $

Monthly Credit for PP $ # of Months Interest Rate

Recoverable Portion of PP $ # of Months Interest Rate

Unit Price $

0002 Initial System Deficiency Corrections/ Upgrades/Connection Charges b

FFP

0003 Transition Period Each

FFP

Sample of a Schedule B-2 Fixed Price with EPA

L.7.8.1.1 Price Data Sheet 1

• Purpose: To indicate the monthly charge for O&M and for R&R

• Common Proposal Shortfalls

– Not indicating exactly how O&M costs (manpower, materials, transportation, supplies, etc.) were calculated

– Not explaining how the price data shown in the Price Data Sheet 2 was used to mathematically derive the monthly charge for R&R

L.7.8.1.1 Price Data Sheet 1 – Utility Services Charge

Component Monthly Charge

1. Operations and Maintenance (O&M)

2. Renewals and Replacements (R&R)

Total Utility Service Charge (to be entered into CLIN 0001 for Schedule B-1 (if applicable) and Schedule B-2)

L.7.8.1.2 Price Data Sheet 2

• Purpose: To indicate price & description of the R&R in each of the 50 years of the contract

• Common Proposal Shortfalls

– Not including each inventory line item (as referenced in Attachment JA5) in the Price Data Sheet 2 – Renewals and Replacements – 50 YEAR Plan

– Not providing a price for the Renewals & Replacements of each Inventory Line Item in each year it is replaced

– Not using attachment JA40 in completing Price Data Sheet 2

L.7.8.1.2 Price Data Sheet 2 – R&R – 50-Year Plan

L.7.8.1.3 Price Data Sheet 3

• Purpose: To indicate prices for each ISDC, each new upgrade, each new connection, and for the transition period

• Common Proposal Shortfalls

– Not including each Government recognized system deficiency that you intend to accomplish

– Not understanding that monthly payments for a specific project will not begin until specific project is complete and in service

L.7.8.1.3 Price Data Sheet 3 – ISDC/Upgrades/Connection Charges/Transition Period

Project Name

Interest Rate

Project Cost

(Current $)

Project Start

Month

First Full Month Project

Will Be In Service

Amortization Period

(Months)

Monthly Charge

Item Interest Rate Amount Amortization

Period (Months) Monthly Charge

Recoverable Portion of Purchase Price

Review Solicitation

L.7.8.1.4 Price Data Sheet 4 – Recoverable Portion of Purchase Price

• Purpose: To indicate the monthly charge for the recoverable portion of the purchase price

• Common Proposal Shortfalls

– Not realizing the Net Present Value (NPV) of the recoverable portion of the purchase cannot exceed the NPV of the purchase price

L.7.8.1.5 Price Data Sheet 5 – Proposal 50-Year Charges to the Government, Applicable Tariff a b c d e f g h i j k l m

Contract Year

Applicable Tariff less

FIT

FIT for Applicable

Tariff

Credit for Purchase

Price

Recoverable Portion of Purchase

Price

Subtotal

CLIN 0001

(b+c+d+e)

ISDC

Projects less FIT

FIT for

ISDC

Projects

Subtotal

CLIN 0002

(g+h)

Transition Charges less FIT

FIT for Transition Charges

Subtotal

CLIN 0003

(j+k)

Total Contract

Costs (f+i+l)

Nominal Nominal Nominal Nominal Nominal Nominal Nominal Nominal

1 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 3 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 5 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 6 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 7 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 8 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 9 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

10 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 11 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 12 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 13 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 14 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 15 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 16 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 17 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 18 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 19 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 20 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 21 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 22 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 23 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 24 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 25 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 26 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 27 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 28 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 29 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 30 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 31 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 32 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 33 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 34 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 35 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 36 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 37 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 38 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 39 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 40 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 41 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 42 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 43 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 44 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 45 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 46 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 47 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 48 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 49 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

Totals -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

Contract Items

CLIN 0001 - Utility Service Charge CLIN 0002 - Initial System Deficiency Corrections /

Connection Charges

CLIN 0003 - Transition Period Charges

L.7.8.1.6 Price Data Sheet 6 – Proposal 50-Year Charges to the Government, Constant 2020$

(a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) (p) (q)

Contract Year

Operations & Maintenance less FIT FIT for O&M Other Costs & Credits, Net

Non Federal Income Taxes

& Fees

Purchase Price

Recovery Purchase

Price Credit

Renewals & Replacements less FIT FIT for R&R Subtotal

CLIN 0001

ISDC Projects Amortization less FIT FIT for ISDC

Projects Subtotal

CLIN 0002

Transition Charges less

FIT

FIT for Transition Charges

Subtotal

CLIN 0003

Total Contract

Costs Real Real Real Real Nominal Nominal Real Real -- Nominal Nominal Nominal Nominal Nominal Nominal --

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Totals -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$

Contract Items

CLIN 0001 - Utility Service Charge CLIN 0002 - Initial System Deficiency Corrections / Connection Charges CLIN 0003 - Transition Period Charges

Common Proposal Shortfalls:

• Not submitting all applicable Price Data Sheets

• Not submitting proposed prices using dollars for the year of projected award (e.g., if award is projected for 2020, then proposals should be submitted in 2020 dollars

• Not indicating 50 years of proposed billing to Government in constant (real) dollars

• Not providing MS Excel workbooks with all calculations and logic intact to show how price was developed (L.7.5, L.7.8)

Section M – Evaluation Factors for Award M.1 Basis for Conveyance and Contract Award

• Award will be based on Best Value Tradeoff determination consistent with the evaluation factors and subfactors

• Government may evaluate and award without discussions, therefore, offerors are encouraged to submit their best offer as their initial offer

• The Army will make a separate and distinct conveyance decision based on OMB, DoD, and Military Service executive policy concerning utility privatization and property conveyance

• The total evaluated price will be considered as part of the Army business case analysis for conveyance purposes, as required by 10 U.S.C. § 2688

M.2 Evaluation Factors and Subfactors for Contract Award

• Proposal will be evaluated based on five (5) Factors:

– Factor 1: Technical Capability

– Factor 2: Past Performance

– Factor 3: Risk

– Factor 4: Socioeconomic

– Factor 5: Price

• Technical Capability and Risk will be evaluated at the subfactor level

M.2 Evaluation Factors and Subfactors for Contract Award (continued)

• Factor 1: Technical Capability

– Subfactor 1: Service Interruption/Contingency and Catastrophic Loss Plan

– Subfactor 2: Operations and Maintenance Plan/Quality Management Plan

– Subfactor 3: Initial System Deficiency Corrections/Upgrades/Connections and Renewals and Replacements Plan

– Subfactor 4: Operational Transition Plan

M. 2 Evaluation Factors and Subfactors for Contract Award (continued)

• Factor 2: Past Performance

• Factor 3: Risk

– Subfactor 1: Performance Risk

– Subfactor 2: Assurance of Long-Term Price and Service

Stability

– Subfactor 3: Price Risk

– Subfactor 4: Other Possible Long-Term Costs and Benefits to the United States

• Factor 4: Socioeconomic

• Factor 5: Price

M.2.1 Order of Importance for Evaluating Factors and Subfactors

• Technical Capability, Past Performance, and Risk are approximately equal in importance

• Socioeconomic is significantly less important than Technical Capability, Past Performance and Risk

• When combined, Technical Capability, Past Performance, Risk, and Socioeconomic are significantly more important than Price

M.2.1 Order of Importance for Evaluating Factors and Subfactors (continued)

• Technical Capability and Risk will be evaluated at the subfactor level

– Under Technical Capability, all sub-factors are approximately equal importance; however, a less than acceptable rating for any subfactor will result in a less than acceptable rating for the Technical Capability factor

– Under Risk, all sub factors are approximately equal in importance;

however, a high rating in any subfactor will result in a high rating for the Risk factor

Review: Evaluation Factors for Award

Evaluation Factors for Award

Technical Capability

Service Interruption/ Contingency and Catastrophic Loss

Plan

Operations and Maintenance Plan/ Quality Management Plan

Initial System Deficiency Corrections/ Upgrades/ Connections and Renewals and Replacements Plan

Operational Transition Plan

Risk

Assurance of Long- Term Price and Service Stability

Other Possible Long- Term Costs and Benefits to the United States

Price

S U B F A C T O R S

Past Performance

Price Risk

More Important

Less Important

Performance Risk

Socioeconomic

M.3 Conveyance Determination

• Once an offeror is selected, but before an award can be made, the Army determines whether conveyance of the utility system(s) will be made

• Conveyance decision is distinct and separate from the procurement decision

• The conveyance decision is made by the Army − IAW FAR 10 U.S.C. § 2688 and Office of Management and Budget

(OMB), Department of Defense (DoD), and Military Service executive policies

Milestones

U.S. Army Garrison West Point, NY

SPE600-15-R-0807

Thermal Production and Distribution Systems

Issue Request for Proposal Oct. 4, 2017 Pre-proposal Conference Oct. 25, 2017 Initial Site Visit Oct. 26, 2017

• Initial Proposals Due Jan. 31, 2018

• Contract Award Sep. 29, 2019*

*Subject to change

Contracting Officer:

Carly Dubernas Phone: (703) 617-1460 E-mail: carly.dubernas@dla.mil

Contract Specialists:

Ryan Spahr Phone: (703) 617-1462 E-mail: ryan.spahr@dla.mil

James Thompson Phone: (703) 617-1489 E-mail: james.j.thompson@dla.mil

DLA Energy POCs mailto:taina.rivera@dla.mil mailto:ryan.spahr@dla.mil mailto:james.j.thompson@dla.mil

Questions

Questions?