preproposal_meeting_24032014.docx

March 24, 2014 Minutes of the Pre-Proposal Conference held on March 13, 2014 Present: Paul Stenseth (Contracting Officer), Mubanga Chileshe, Ethel Mwanaumo, Patrick Makanya, Chileshe Musonda, representatives from various Oil companies Introduction

The Contracting Officer welcomed all attendees and introduced the Embassy staff.

Discussion of the Solicitation Package

The following sections of the solicitation were highlighted:

1. The Contracting Officer went through the objectives of the solicitation, highlighting the closing date, statement of work and the fact that no VAT will be charged.

2. Also highlighted was the evaluation criteria which he said they should pay attention to as they prepare their proposal since they would be evaluated based on this.

3. He also mentioned that this solicitation has a price adjustment clause which would apply only if unit price was adjusted by the Government of Zambia.

4. Contractors were encouraged to register for Duns Number and to be registered in SAM. Those requiring assistance were requested to contact the embassy. The solicitation has information on SAM registration.

5. The requesting office recommended that fuel be loaded in Lusaka to avoid challenges with fuel levels when offloading.

6. The contractors were then taken outside to see the location of the tanks. The requesting office explained to them the amount of fuel bought each time they order and how they measure the levels. This is stated below in the questions and answers.

Questions:

The attached questions were asked during the meeting, no written questions were received by the deadline of March 19, 2014 as set in the meeting:

1. Can you please clarify how VAT will be paid. What about other taxes like the Excise duty and Road levy?

Answer – The Embassy will provide a letter for Zambia Revenue Authority (ZRA). Excise duty and Road levy should be included but not stated separately.

2. Do we need register before we submit the proposal?

Answer: The government requires all contractors engaging in business with them to be registered. This will apply to the winning company. So registration can be done upon award. SAM registration is not part of the evaluation criteria.

3. What are your credit terms?

Answer: Payment will be made within 30 days from date receipt of a proper invoice or delivery and acceptance, whichever is later, (See FAR 52.232-25). This will take longer if the invoice is not accurate or it is delivered at a wrong address. It is the contractor’s responsibility to ensure that the invoice is received by the right office as indicated in the solicitation.

4. How are shortages determined?

Answer: They are determined by dipping and checking the levels manually.

5. What is your acceptable loss?

Answer: The Embassy normally buys 59000 liters of fuel at every instance. We only pay for quantities received.

6. The minimum order quantity stated in the solicitation, is it correct?

Answer: Yes it is. This is the amount of fuel we will ensure to buy when the contract is awarded per contractor.

7. How will you ensure that each contractor is responsible for their service if you will award to more than one contractor?

Answer: US Embassy will not make multiple awards.

8. Do you do a tender opening session after closing of solicitation?

Answer: No

9. What type of gas oil do you use? Is it low sulphur or high sulphur gas oil?

Answer: The Embassy uses high sulphur diesel

10. In regards to the contract to supply to fuel, a company is required to be financially sound. What exactly do you mean by this.

Answer: The awarded company should have enough finances to sustain the contract in such a way that they do not request for advance payments from the US Government. Please note that the US Government does not make advance payments to contractors.

Conclusion

The meeting concluded at 12:00 hours.