SPE60222R0707 Questions and Answers 2.pdf

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Western Pacific & Middle East Bulk Petroleum Purchase Program (WESTPAC)
Solicitation number
SPE602-22-R-0707
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This document contains questions and answers regarding Solicitation Number SPE602-22-R-0707 from the Defense Logistics Agency Energy for the Western Pacific and Middle East Bulk Petroleum Purchase Program. The solicitation seeks annual bulk petroleum supplies of Naval Distillate (F76), Turbine Fuel Aviation (JP5), and Turbine Fuel Aviation (JA1), some of which requires additives, with delivery from January 1, 2023 through December 31, 2023. Supplies are to be delivered by tanker, shallow draft tanker, tanker truck, railcar, and pipeline to locations in the Western Pacific and Middle East regions. The questions and answers provide clarification on issues such as transfer of title, product quality testing requirements, procedures for properties that cannot be tested locally, evaluation of pricing factors, establishment of a competitive range, and requirements for specific fuel types and delivery locations.

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WESTPAC SOLICITATION SPE602-22-R-0707

QUESTIONS & ANSWERS #2

1. Q: Where does the transfer of title take place? E.g. offloading into vessel or offloading into the port?

A: For tankers, please see F52 TANKER DEMURRAGE AND LOADING CONDITIONS (DLA ENERGY JAN 2012)(g). For Barges/shallow draft tankers, please see F15 BARGE AND/OR SHALLOW DRAFT TANKER DEMURAGE AND LOADING CONDITIONS (DLA ENERGY JAN 2018)(g).

2. Q: What is the validity of the product quality test results (e.g. 2 or 3 months)?

A: The supplier is required to sample/perform an A level test before acceptance of new materiel and after establishment of a new batch. If a single batch of fuel happens to sit for longer periods of time, it would need to be tested every 6 months. Please see QAP E1

CONTRACTOR INSPECTION RESPONSIBILITIES (SEP 2013).

3. Q: Given that no local laboratory in the island of Guam has the capability to perform the full “Test A” requirements (for JETA1), what mitigating process could we put in place to get an exemption (or waiver approved)? Alternatively, if no waiver is obtained, fuel samples would have to be flown off-island which would be more costly and time consuming (at least 7 days or more depending on flight restrictions during the pandemic).

Properties that can’t be tested locally are as follows:

• Sulfur Mercaptan

• Doctor Test

• Smoke Point

• Naphthalene

A: If properties cannot be tested locally, the offeror should submit an exception request with their initial offer to allow sufficient time for it to be evaluated.

4. Q: Can you please explain how the evaluation factor fully adjusts the difference between the reference prices?

A: The evaluation factor is calculated by finding the difference between each escalator’s price on the Base Reference Date and that escalator’s 12 month average. The 12 month average is calculated by averaging the reference price (prior 10 day average) for the full 12 months preceding the base reference date (12/20 – 11/21). Then, the difference between the uncommon escalator's BRP and 12 month average is subtracted from the difference between the "default" escalator's BRP and 12 month average to find the evaluation factor for the uncommon escalator. That value is then applied to the offer price of the offer using the uncommon escalator. Offers based on "default" escalators do not receive an evaluation factor. Applying the evaluation factor to uncommon escalators allows DLA Energy to evaluate offers based on the relationship the uncommon escalator and the default escalator for a 12 month period, as opposed to the difference between the escalators on a single day (the base reference date). Please see B19.34 ECONOMIC

PRICE ADJUSTMENT (OVERSEAS BULK) (DLA ENERGY JAN 2012), M3.03

EVALUATION OF OFFERS WHERE ALTERNATE ESCALATORS ARE USED

(BULK) (DLA ENERGY JUN 2021), and Slide 35 of the pre-proposal conference for more information.

5. Q: Will offerors be removed from evaluation after the first and second round of bidding?

A: The Contracting Officer reserves the right to establish a competitive range. Please see Solicitation Note 19 FAR 52.212-2, FACTOR 1: TECHNICAL ACCEPTABILITY and

FAR 52.212-1 INSTRUCTIONS TO OFFERORS–COMMERCIAL ITEMS (NOV

2021)(g).

6. Q: Will a recording of the Pre-proposal conference be posted online?

A: DLA Energy will not be posting a recording of the conference; however, the slides with all relevant information have been posted to sam.gov.

7. Q: Are there any plans to provide any benefits/credits for biofuels in the future?

A: DLA Energy does not anticipate any benefits or credits for biofuels at this time.

8. Q: Do you expect to issue any other amendments before initial offers are due?

A: There is a high likelihood that another amendment(s) will be issued. The timing of the potential amendment(s) may occur either before or after the solicitation due date/time.

Offerors are advised to check www.sam.gov frequently for any updates.

9. Q: Is there any plans to push back initial offers due date?

A: DLA Energy does not anticipate any changes to the time and date initial offers are due. If any changes are made, they will be posted as an amendment to www.sam.gov.

10. Q: Is there an escalator DLA Energy prefers we use?

A: There is no preferential escalator. Please see B19.34 ECONOMIC PRICE

ADJUSTMENT (OVERSEAS BULK) (DLA ENERGY JAN 2012).

11. Q: Are parcel sizes listed in US Gallons or Barrels?

A: For each line item, the total quantity solicited is in US Gallons, while parcel sizes are listed in Barrels.

12. Q: How can we tell if an end location requires additives?

A: The location will be marked as “Y” for FSII, CI, SDA on the schedule listed in B1

SUPPLIES TO BE FURNISHED (BULK) (DLA ENERGY JAN 2012).

13. Q: Can you please advise if there is any minimum parcel size for items?

A:. Please consult the schedule under B1 SUPPLIES TO BE FURNISHED (BULK) (DLA ENERGY JAN 2012) for any min/max parcel size restrictions on each item.

http://www.sam.gov/ http://www.sam.gov/

14. Q: For delivery methods, is there a preferred method?

A: Each item under the schedule in B1 SUPPLIES TO BE FURNISHED (BULK) (DLA ENERGY JAN 2012) lists their transportation modes of receipt and incoterms. Offerors should consult each item to determine the accepted modes of receipt.

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