Europe and Central Asia Preproposal Conference- 2-3-09.pdf

DSCP SubsistenceDSCP Subsistence Europe & Central AsiaEurope & Central Asia PrePre--Proposal ConferenceProposal Conference

SPM300SPM300--0707--RR--00040004

3 February 20093 February 2009

SignSign--InIn

Mute all cell phones and pagersMute all cell phones and pagers

No cameras, video taping or recording devicesNo cameras, video taping or recording devices

Hold all questions to the end of the presentationHold all questions to the end of the presentation

Questions can be written and submitted during Questions can be written and submitted during break or asked verballybreak or asked verbally

Solicitation Language & Amendments supersede Solicitation Language & Amendments supersede prepre--proposal conference discussionsproposal conference discussions

Conference Ground Rules Conference Ground Rules

Participation GuidelinesParticipation Guidelines

AgendaAgenda

WhatWhat’’s News New

Contract ClausesContract Clauses

Manufacture Pricing Agreements (MPAs)Manufacture Pricing Agreements (MPAs)

Statement of Work (SOW) Key Points Statement of Work (SOW) Key Points

Solicitation ProvisionsSolicitation Provisions

Remember ToRemember To

QuestionsQuestions

WhatWhat’’s News New

Zone III: Central Asia

Zone I: Army MWR & AF NAF

Performance Period

Market Basket size

Redefined Categories

Pre-Set Units of Measure (UOM)

Monthly price changes vs. Bi-weekly price changes

Rebate / discount language

Product Price definition

Unit Price language

Manufacturer Pricing Agreements (MPAs)

Fill Rate minimum: 97.5%

Synchronized Pre- Deployment Tracker (SPOT)

DTS relationship – Claims portion

Defense Base Act (DBA)

Audit language

Food Show language

No substitutes on purchase orders

Technical factors & order of importance

IPR by DSCP HCA

Government reserves the right to award one to three contracts

Addendum to FAR 52.212-4: Contract Terms and Conditions-Commercial Items (Zone III only)

• DFARS 252.225-7040 Contractor Personnel Authorized to Accompany U.S. Armed Forces Deployed Outside the United States

• DFARS 252.225-7043 Antiterrorism/Force Protection for Defense Contractors Outside the United States

• Contractor Personnel in the United States Central Command Area of Responsibility (Deviation 2007-O0010)

• Register for a SPOT account at http://www.defenselink.mil/bta/products/spot.html.

http://www.defenselink.mil/bta/products/spot.html

Login to SPOT 6.1

Login to SPOT using my AKO

Login to SPOT using my CAC or DoD Approved Certificate

Login to SPOT using my user name and password New User? Register

Registration is required to access SPOT. REGISTRATION CANNOT BE COMPLETED UNTIL A

DESIGNATED ORGANIZATIONAL SPONSOR SENDS AN APPROVAL MAIL TO

SPOT.REGISTRATION@US.ARMY.MIL.

For information on SPOT registration and contractor personnel Letters of Authorization (LOAs), please visit https://www.us.army.mil/suite/kc/12559209. You must have an

Army Knowledge Online (AKO) address to visit this website.

FAQs

How do I register for an AKO Account?

How do I register for a CAC or DoD Approved Certificate?

How do I obtain a SPOT username and password?

For more information, please contact the SPOT helpdesk at SPOT@technisource.com or

(717) 506-1368

6.1.16.127 https://spot.altess.army.mil/default.aspx

FAR 52.228-3 WORKERS COMPENSATION

INSURANCE (DEFENSE BASE ACT) (APR

1984)

The Contractor shall

• (a) provide, before commencing performance under this contract, such workers’ compensation insurance or security as the Defense Base Act (42 U.S.C. 1651, et seq.) requires and

• (b) continue to maintain it until performance is completed. The Contractor shall insert, in all subcontracts under this contract to which the Defense Base Act applies, a clause similar to this clause (including this sentence) imposing upon those subcontractors this requirement to comply with the Defense Base Act.

Defense Transportation System Defense Transportation System

(DTS)(DTS)

Mandatory by Law from CONUS

Offerors should contact Customer Service, DDC New Cumberland @ (800) 456-5507

Carrier will be responsible to the transportation

Shipping instructions / TCMD requirements identified

PV responsible for detention charges… direct relationship to the Ocean Carrier

The Gov’t has no liability for late delivery or damage to goods in transit… direct relationship to the Ocean Carrier

USTRANSCOM carrier contract USC 05’ is available @ http://www.sddc.army.mil/public/Doing+Business+with+SDDC

Foreign IssuesForeign Issues

Berry Amendment Compliance RequiredBerry Amendment Compliance Required

10 U.S.C. Section 2533a and the provisions of DFARS Clause 252.225.7012. For detailed information, please refer to DFARS

225.7012 and FAR 25.103 or contact the Contracting Officer.

Zone III exemption (Contingency Zone)

Berry Amendment Berry Amendment ExceptionException

DFARS 225.7002-2(f)(1)

(f) Acquisitions of food, specialty metals, or hand or measuring tools—

(1) In support of contingency operations

What is an MPA?

MPAs are agreements between DSCP and manufacturers to set FOB Origin /point of manufacture “pricing” for products used with the Subsistence Prime Vendor program for OCONUS Prime Vendor distributor contracts

Product price changes will be no more frequent than monthly

Price changes will be effective the first Monday of any given month

FOB Origin / point of manufacture is a Company’s established FOB Point(s)

More MPA Info

Who?

MPAs are available to any manufacturer or private label holder

Between DSCP and manufacturer or private label holder

Why?

Allow DSCP & it’s customers transparent visibility of the actual FOB Origin product price

Allow DSCP to focus on distribution pricing in the Subsistence Prime Vendor contracts

Transparency in product pricing will affect product selection in the future

Where?

In any contract with the delivered price definition stating FOB Origin / point of manufacturer pricing

Initial roll-out will be in OCONUS; CONUS plan not yet formulated

More MPA Info

When?

MPA priced products will be used when an MPA is available

Manufacturers refusing to obtain MPAs for their products “may” have those products excluded from the DOD catalog

The PV contract dictates when an MPA will be used

How?

When an MPA priced product is available the DSCP Subsistence Prime Vendor is required to use the MPA priced product

NAPA discounts do not apply when the MPA price is used in the Subsistence Prime Vendor contract

The DSCP LSN stock number is used for either the NAPA program or for the MPA, but not both at the same time on the same catalog

5 year total contract period

Estimated dollar values

Guaranteed minimum - 15% of the estimated contract total dollar value per contract period

Fill Rate min = 97.5%

Delivery requirements

Shelf Life requirements

Product sourcing

Ramp up

PV back-up support

Surge and Sustainment

Rebates/Discount Language

SOWSOW

Core ElementsCore Elements

Base Period (24 Mos) Option 1 (18 Mos) Option 2 (18 Mos) Zone Total Zone I 42,491,764.26$ 31,868,823.20$ 31,868,823.20$ 106,229,410.66$ Zone II 50,146,777.44$ 37,610,083.08$ 37,610,083.08$ 125,366,943.60$ Zone III 16,838,104.32$ 12,628,578.29$ 12,628,578.29$ 42,095,260.90$ Total 109,476,646.02$ 82,107,484.57$ 82,107,484.57$ 273,691,615.16$

All Land Based customers

48 hours after order placement

Navy

3-12 days after order placement

Primarily Zone II

T-AFS (Re-Supply ships)

No later than 36 days after order placement

Remote Areas; Offeror will propose lead times

FF&V

Zone I & II DSCPE BPAs

Zone III PV supports

Delivery RequirementsDelivery Requirements

Shelf Life RequirementsShelf Life Requirements

Annual pack items, including seasonal items, products will be from the latest seasonal pack available, unless approved in advance by the Contracting Officer.

Freshest product available

Within manufacturer’s original shelf life period

Must be identified with readable “best when used by date,” etc. markings, indicating guaranteed freshness

Chilled products shall not be frozen by the PV in an attempt to extend shelf-life (unless otherwise approved by KO)

Shelf life > 90 days

No product shall be delivered with <30 days manufacturer’s original shelf-life remaining (unless given approval via customer)

Shelf life < 90 days

No product shall be delivered with <5 days manufacturer’s original shelf life remaining (unless given written approval via customer)

NOT DSCP’s policy to grant shelf-life extensions

However, may be authorized on a limited case basis

All product must originate from approved sources

Berry Amendment Compliance Required

Contingency Zone exception

Offeror expected to provide all items in the Schedule of Items

Inability to do so may affect overall rating

Some items are brand specific (customer driven)

Domestic product preference

Product SourcingProduct Sourcing

Ramp UpRamp Up

Follow-on contract

120 day ramp-up… time-phased transition schedule

Incumbent PV will remain principle source of support

Key milestones (days prior to contract start-up)

60 days: functional catalogs, distribution systems

30 days: in full support of customer… base period begins when first order is placed

Gov’t reserves the right to phase in customer ordering points

SOW SOW

PV BackPV Back--Up SupportUp Support

Offerors are required to perform as a potential back-up PV.

The designation to act as a backup to any or all customers in both Zones will be executed by a bilateral modification. The appropriate distribution fees will be negotiated as necessary.

For ZONE I & ZONE II -- the offeror awarded the contract for Zone I will become a back-up supplier for Zone II and/or the offeror awarded the contract for Zone II will become a back-up supplier for Zone I

The ZONE I supplier will also serve as a back-up for

ZONE III.

Surge & SustainmentSurge & Sustainment

CAPABILITY ASSESSMENT PLAN (CAP) –The contractor must address the amount of increased demands that can be handled for surge (first 15 days) and identify the length of time the contractor would require to ramp up.

The contractor must indicate the length of time this increased pace could be sustained (at least six months or longer). The readiness capability plan should describe and/or include all aspects of their supply chain management.

This Readiness Plan should also include a plan of action if SPV facility is damaged or otherwise not able to conduct normal operations.

Select the document entitled “Subsistence Solicitation SPM300- 07-R-0004” on https://spiders.dla.mil https://spiders.dla.mil/Spiders/Main/Main_List_Documents.asp

Rebate/Discount LanguageRebate/Discount Language

Provides transparency to all rebates and discounts

Contractor shall employ commercial methods

Instructions for identification in Business Proposal

PV will provide a monthly report identifying any and all discounts, rebates, allowances or other similar economic incentives or benefits given to any other customer, and the amount passed on to the Government, for each item ordered under this contract

KO or authorized representative shall have the right to examine & audit (FAR 52.215-2 (a))

FAR 52.212-3: Offeror Representations & Certifications-Commercial Items

Offeror Certifications… fill-ins

Addendum to FAR 52.212-3

Additional certifications… fill-ins

• 252.225-7000 Buy American Act--Balance of Payments Program

Certificate

As prescribed in 225.1101(1)

225.872-1 lists Qualifying countries

225.502(c)(i)(A) – only qualifying country end products are exempt from application of evaluation factor.

• Place of performance, etc.

Additional provisions

DFARS 252.212-7000: Offeror Representations and Certifications - Commercial Items

More fill-ins

There’s at least one fill-in in the SOW (Full Food Service Management & Food Preparation)

ReviewReview

Maximum of three awards, however, Government reserves the right to make one award for all three zones, as necessary to support the zones if it is in the government’s best interest

Options… In addition to the base periods, there will be two 18 month available option periods of which the offeror must agree to accept if invoked at time of proposal.

Indefinite Quantity Contracts (IQCs)… provide for an indefinite quantity within stated limits, of specific supplies or services to be furnished during a fixed period

Addendum to FAR 52.212-1: Instructions to Offerors - Commercial Items

Para (a) thru (k) adds/changes/deletes

• Period of acceptance of offers: 120 days

Additional instructions

• Proposal preparation

• Submission requirements

Submission RequirementsSubmission Requirements Reference Addendum to 52.212Reference Addendum to 52.212--11

All information to be submitted in writing

Technical and Cost or Price Proposals must be prepared separately

For the offeror’s submitting proposals on all zones technical and cost or price information pertaining to each zone should be separately bound, and clearly labeled as to vendor, zone, volume title, and copy number

A SIGNED and COMPLETED SOLICITATION must accompany the technical and cost or price proposals in its entirety, as well as any amendments, if applicable

Ensure all clauses that require a response are completed

Source Selection Method Source Selection Method SSP & Instruction/EvaluationSSP & Instruction/Evaluation

Technical factors I. Experience / Past Performance (sub-factors A and B are of equal importance to each other and sub-factors C and D are of equal importance to each other; sub-factors A and B are more important than sub-factors C and D) A. Experience B. Past performance C. Socioeconomic D. AbilityOne support

II. Distribution System Capability / Quality Assurance (sub-factors are of equal importance) A. Distribution & resources B. Quality control & assurance procedures C. Inspection & sanitation procedures D. Supplier selection procedures

III. Customer Support (sub-factors are of equal importance) A. Customer service approach B. Ordering system C. Product availability / technical description

IV. Surge & sustainment V. Force protection VI. Socioeconomic considerations VII. AbilityOne support VIII. DLA Mentoring Business Agreement

Source Selection MethodSource Selection Method

Weighting

Factor I is more important than II

Factor II is more important than III

Factor III is more important than Factor IV

Factor IV is more important than Factor V

Factor V is more important than Factors VI, VII and VIII

Factors VI, VII, and VIII are socioeconomic factors and of equal importance to each other

For Factor I, sub-factors A and B are of equal importance to each other and subfactors C and D are of equal importance to each other, however, subfactors A and B are more important than factors C and D

The subfactors listed under Factor II are considered to be of equal

The subfactors listed under Factor III are considered to be of equal

Technical factors significantly more important than cost or price

Rationale

Award must be to a competent supplier capable of meeting the needs of customers by delivering a wide variety of commercial food products through efficient distribution practices and providing the necessary product support and systems integration required by those customers

FAR 52.212-2: Evaluation -commercial items

Addendum to FAR 52.212-2

Para (a) is hereby expanded to read as follows:

• However, when proposals become more equal in technical merit, the evaluated cost or price becomes more important.

Para (d) added… source selection & evaluation procedures

Submission RequirementsSubmission Requirements Reference Addendum to 52.212Reference Addendum to 52.212--11

Offerors may provide additional technical information that will enhance the proposal

Overly elaborate proposals that contain information not pertinent to this acquisition are not desired

Failure to provide the information requested may render the proposal unacceptable, and may lead to a rejection of the offer

The Government reserves the right to verify any information presented in the Technical and Cost or Price Proposals

The written technical proposal must demonstrate the offeror’s ability to meet the Government's requirements as set forth in the solicitation

Business (Cost/Price) Proposal factors

Aggregate distribution prices

Aggregate pricing

• Total amount of the schedule of items

Weighting

Above evaluation criteria is listed in descending order of importance

Even though the aggregate totals will be used as the evaluation factors for the Business (Cost/Price) Proposal, individual line items will be evaluated, and individual outliers will be identified

Oral presentations will not be conducted

All timely proposals will undergo a technical and business evaluation

If discussions are conducted, the Contracting Officer will make a competitive range determination based on the evaluations and submit to the source selection authority for approval

Failure to Provide a Comprehensive Technical, Price or Socio Economic Proposal, may render the Proposal unacceptable and may lead to rejection of the offer.

Contract Pricing LanguageContract Pricing Language

Contract Unit Price = Product Price + Distribution PriceProduct Price + Distribution Price

The contract unit price is the total price (in U.S.

currency) that is charged to DSCP per unit for a product delivered to the Government

Multiple Unit Prices for the same item are not permitted

Product Price:

• The product price will be derived in one of two manners for this solicitation:

1) through the use of DSCP’s Manufacturers Price Agreements (MPAs); or

2) through the use of commercial pricing. When a DSCP MPA is available, the MPA price shall be used for the product price. When a DSCP MPA is not available, the Product Price shall be limited to the original manufacturer’s or grower’s price for product. The Product Price shall be based on FOB Origin/Point of Manufacture. In addition, the Product Price shall exclude all costs that are required to be covered in the distribution price, including but not limited to, all transportation, broker and dealer costs and fees; and it shall exclude all costs that are required to be covered in the distribution price

• Exception 1: Airfreight transportation charges may be included in the product price when the following conditions apply:

• (i) The product is listed in category #53–Prime Vendor Fresh Fruits & Vegetables (FF&V) (ZONE III ONLY) and

• (ii) It is necessary for the product to be flown into the local market of Europe and Central Asia from a foreign country because the local supply is unavailable or insufficient to meet demand requirements.

• Exception 2: A CONUS-based manufacturer’s pricing which is a national commercial price inclusive of transportation costs to a Distribution Point shall be supported by documentation and may be considered by the Government to be the product price on a case by case basis, upon concurrence of the contracting officer

Distribution Price:

defined as a firm fixed price and offered as a dollar amount, which represents all elements of the unit price, other than the product price includes the PV’s projected general and administrative expenses, overhead, profit, packaging/marking/labeling costs, all Non Point of Manufacturer fees (CONUS and OCONUS Broker, Dealer, Subcontractor and Fresh Fruit and Vegetable Consolidation Point fees) including, but not limited to procurement, storage, consolidation, pallets, palletizing and distribution work shall remain fixed for the base period of the contract, and is subject to any agreed option period adjustments excludes DTS Ocean Shipping Costs referenced below

Prospective Price RedeterminationProspective Price Redetermination

General. The product price for non-Manufacturer Pricing Agreements (MPAs) items stated in this contract shall be periodically redetermined.

Price redetermination periods- no less than 30 days –in increments of 30 days.

Data submission requirements.

Price redetermination- negotiation between DSCP and PV

Contract modifications. Negotiated redetermination of prices shall be evidenced by a bilateral modification to this contract, which is signed by the Contractor and the Contracting Officer.

Disagreements. If the Contractor and the Contracting Officer fail to agree upon redetermined prices for any price redetermination period by the last Friday of the month, the Contracting Officer shall make the determination whether to delete the item(s) from the catalog.

Price Reduction. Notwithstanding the above, DSCP will accept contractor-offered price reductions at any time.

PricingPricing

Line Line ItemItem Stock NumberStock Number Item DescriptionItem Description U/IU/I

Estimated Estimated 2 Year2 Year

QuantityQuantity Comm Comm

Inv Y/NInv Y/N

Specif. Specif.

Unit Unit

Match Match

Y/NY/N

Invoice Invoice or or

Quote Quote

I/QI/Q UOMUOM

11 89058905--0101--E09E09--04580458

BEEF, CUBED STEAK, BEEF, CUBED STEAK,

FZN, TENDERIZED, FZN, TENDERIZED,

44--6 OZ EA, 53 LB/CS, 6 OZ EA, 53 LB/CS, LBLB 11,220 11,220 YY YY II CSCS

Invoice / Quote Invoice / Quote UOM Delvd $ UOM Delvd $ UOMUOM

Distrib. Price Distrib. Price Category #Category #

UOM Base UOM Base Distr. Price Distr. Price

UOM UOM

Option 1 Option 1 Distr. % Distr. % Change Change

UOM Option 1 UOM Option 1 Distr. Price Distr. Price

UOM UOM

Option 2 Option 2 Distr. % Distr. % Change Change

UOM UOM

Option 2 Option 2

Distr. Price Distr. Price

$ 40.00 $ 40.00 5353 22 $ 4.50 $ 4.50 5.00%5.00% $ 4.73 $ 4.73 5.00%5.00% $ 4.96 $ 4.96

UOI Base UOI Base Dist. Price Dist. Price

(DIP)(DIP)

UOI Prod. UOI Prod.

PricePrice UOI Base Unit PriceUOI Base Unit Price

Base Period Base Period Dist. Price Dist. Price (DIP) Total(DIP) Total

Base Period $ Base Period $ TotalTotal

$0.09$0.09 $.75$.75 $.84$.84 $1,009.80$1,009.80 $9,424.80$9,424.80

LSN Item D escr. Pkg Siz e Un its p er Purch Pack

Q ualifications

Schedule of ItemsSchedule of Items

Zone I GFM items Zone I GFM items –– Distribution Fees onlyDistribution Fees only

Quote SampleQuote Sample

Remember To:Remember To:

Request attachments from Contracting Officer, and use the provided spreadsheets for submission of pricing information

Fill in, and sign SF 1449 as required

Sign, and return any/all amendments

Return one completed copy of the solicitation per zone

Prepare and return six copies of the Technical Proposal, and two copies of the Price Proposal per zone

Submit the Price Proposal on the formatted spreadsheets (attachment 1) in accordance with the instructions in the solicitation, and submit hard copies, as well as a copy on

CD

Remember To:Remember To:

Submit manufacturer’s invoices for every item listed in the Schedule of Items

NOTE: a manufacturer’s quote is acceptable, but an invoice is preferable. The invoice submitted must be dated within thirty (30) days of the solicitation issue date

Refer to solicitation for actual requirements

Submit a list of CONUS and OCONUS “Distribution Points” or “Places of Performance” that will directly support the proposed customers. Warehouses functioning as backups should be designated as such

Check for accuracy on Business Proposal

Submit a Subcontracting Plan if your firm is a large, domestic business

Submit best offer

Sue Bonanno, Program Manager

(215)737-7542 assunta.bonanno@dla.mil

Tina Frederico, Contracting Officer

(215)737-4545 tina.frederico@dla.mil

Teresa Jiménez, Acquisition Specialist

(215)737-3629 teresa.jimenez@dla.mil

Fax: (215)737-4356

Acquisition POCsAcquisition POCs mailto:assunta.bonanno@dla.mil mailto:tina.frederico@dla.mil mailto:teresa.jimenez@dla.mil

Questions & AnswersQuestions & Answers