Amendment_0002_attachment_M24.03-3_Revision_Approved.pdf

M24.03-3 EVALUATION OF OFFERS INVOLVING F.O.B. TANKER LOADING

(Atlantic/European/Mediterranean) (DLA ENERGY DEC 2017)

(a) Transportation will be considered in the evaluation of all origin offers unless the solicitation specifically indicates otherwise in the Schedule. The transportation rate will be based on a nominal size U.S. flag tanker of approximately 30,000 Deadweight Tons (DWTs) and will be inclusive of time charter hire. The transportation rate will be an estimated market rate based on either market information, published prices, actual rates paid by the Government, or any combination thereof. This evaluation rate will be expressed as a daily rate for U.S. flag time charter costs.

DLA ENERGY will use evaluation rates along with mileage from Source Points to Destination Points, then to DFSP Rota (Voyage Termination) to compute the transportation rates. This applies to all products. This rate will then be added to the offered price per gallon to determine the evaluated price.

(b) DLA Energy will not evaluate offers for JP5, JP8, JA1, or F76 on the basis of a two-product load.

(c) For JP5/JP8/JA1/F76. The following procedures will be followed in applying transportation freight rates to offers in the evaluation process:

(1) 235,000 barrels of product will be considered sufficient to fully utilize vessels 30,000 DWT and over.

In the initial evaluation, every offer will be evaluated with this full tanker rate.

(2) All offers that evaluate as the lowest laid down cost in the initial evaluation are verified that a full tanker parcel size as stated in (c)(1) above has been offered. In the event an offeror limits its offer to individual tanker liftings of less than 235,000 barrels, the offer will be evaluated on the basis of:

(i) a single-port load plus shifting charges if it is determined that the same product will be available in the same port area,

(ii) the least expensive two-port loading rate if it is determined that the same product will not be available in the same port area but will be available in another port in the same geographical area under this solicitation, or

(iii) total vessel freight rate prorated over the maximum parcel size offered if there are no other products offered for tanker loading in the same geographical area. The additional costs represented by the shifting charge or the two-port loading will be assessed for evaluation purposes against such offer on a prorated basis per gallon on the quantity indicated by the offeror as the maximum lifting.

(3) EXCEPTIONS:

i. The following destinations due to draft limitations or delivery restrictions cannot receive fully loaded vessels up to 30,000 DWTs and will be evaluated on a two-port discharge or restricted maximum parcel size as stated in B1 of the solicitation in barrels:

(d) If an offeror takes exception to paragraph (e) of the DELIVERY AND ORDERING PERIODS contract text by refusing to accumulate pro rata to equal maximum parcel size offered, then the evaluated volume will be the pro rata volume corresponding to that portion of the offer that evaluated low in the initial evaluation.

JP8 JA1 F76 JP5

TNPs NIPs