Tab 09 Att 2 - OET Overview (March 2025).pdf

Bulk Bid Evaluation Model (BEM)

March 2025

WARFIGHTER ALWAYSPEOPLE PRECISION POSTURE PARTNERSHIPS

Bulk Petroleum Procurement Characteristics

• Procurement of large volumes of petroleum products

• Large dollar value contracts

• Estimated quantity with high minimum lift guarantee (75%)

• Awards on FOB Origin and FOB Destination Basis

• Extensive use of commercial distribution systems

• Distribution may be direct to point of demand or through intermediate terminal(s)

• Socio-Economic considerations (Domestic Procurements only):

• 8(a) Reservations

• HUB Zone Premium Program

• Small Business Set-asides (Price Matching)

Offer Conditions

Bid Evaluation Model (BEM)

• Optimization program (mixed-integer linear evaluation) used to find the minimum laid down cost for the procurement.

• Laid Down Cost considers:

• Offered product price

• Transportation costs

• Additive costs

• Storage/onward distribution costs

• Fixed costs

• Variable costs

• Excess throughput charges

• Offer specific evaluation factors

• Base Reference Price evaluation factors

Bid Evaluation

Model

Volume Restrictions

Multiple Transport /

Delivery Modes

Injection Capability

Tiered / Block Pricing

Either or / One before

Two

* Conditional statements must not conflict with one another (i.e., minimum award by mode exceeds overall maximum award volume)

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(Offered Price vs. Laid Down Cost)

Evaluation Visual

Requirements Base 1: 3,000,000 gallons received by TT Base 2: 3,000,000 gallons received by TT Base 3: 1,000,000 gallons received by TT

Intermediate Depot Support Available Into X by PL, out by TT to all Requirements Into Y by PL, out by TT to all Requirements

PL = Pipeline; TT = Tank Truck

Offer A

6,000,000 USG @ $2.95

Offer C

1,000,000 USG @ $2.98

Offer B

6,000,000 USG @ $3.00

Intermediate Terminal X

Intermediate Terminal Y

Requirement 3

1,000,000 USG

Requirement 2

3,000,000 USG

Requirement 1

3,000,000 USG

.28

.02 .05

.01

.02 .05.02

.04

.02

.04

.20

.23

.06

Req 1 – Offer A (total cost $3.23/gal) Req 2 – Offer A (total cost $3.15/gal) Req 3 – Offer C (total cost $3.04/gal)

Total cost: $22,180,000

Req 1 – Offer B (total cost $3.06/gal) Req 2 – Offer C (total cost $3.01/gal) Req 2 – Offer B (total cost $3.04/gal) Req 3 – Offer B(total cost $3.04/gal)

Total cost: $21,310,000 ($870,000)

Evaluated on Offered Price Only: Evaluated on Laid-Down Cost:

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Evaluation Rounds

Bid Evaluation Model (BEM)

INITIAL OFFERS

ROUND 1

INTERIM OFFERS

ROUND 2

FINAL OFFERS

ROUND 3

PRICE REDUCTION

ROUND

Minimum Cost Bid Evaluation Sheet

Minimum Cost Bid Evaluation Sheet & Laid Down Cost Report

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Minimum Cost Solution Evaluation Sheet

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Laid Down Cost Report

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Model Sequence

Small Business Set-Aside Run

HUBZone Run

8(A) Run

Base Run

Optimization Run

Final Forced Run

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Contact Information

For questions concerning the functionality of the Bulk Bid Evaluation Model (BEM) please contact:

Sean.Lucas@dla.mil

Offer Entry Tool (OET)

March 2025

What is it?

Offer Entry Tool (OET)

A web-based tool for submission of offers against DLA Energy Requests for Proposals for petroleum products

Bulk Petroleum and Direct Delivery Business Unit procurements (selection after login)

Solicitation prescribes if use of OET is required

• Obligatory for Bulk Purchase Programs:

• Inland East Gulf (IEG)

• Atlantic, European, Mediterranean (AEM)

• Western Pacific (WESTPAC)

• Rocky Mountain West Coast (RMW)

• Deep Freeze

URL: https://offerwizard.dla.mil/epst_oet/oet.html https://offerwizard.dla.mil/epst_oet/oet.html

Rounds

Offer Entry Tool

Initial Required for all OET solicitations Initial offer must be submitted prior to the published closing date/time to be eligible for later rounds

Interim Contracting Officer’s discretion There may be more than one interim round Participation is optional (previously offered data is retained if no Interim Submission) Data fields (product, mode, shipping point) locked

Final Proposal Revision Last round before Price Reduction Price Reduction Round at Contracting Officer’s discretion Only price can be changed

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Provisioning

Offer Entry Tool

Obtain a CAGE CODE

• Register at SAM.gov | Home for a CAGE code

• Your OET account is linked to your CAGE code(s)

• Multiple users per CAGE code allowed

Create an account in the Account Management and Provisioning System (AMPS) (User ID and Password for AMPS are NOT the same as for OET)

1. https://amps.dla.mil/oim

2. Click “Energy Applications” on the Browse Roles by Application Tab

3. Select “Energy OET”

4. Select “Energy OET Prod – 100”

5. Complete all information and submit request

• Username and password will be sent via email

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Administration

Offer Entry Tool

• Access

• Allow 1-2 weeks for OET access

• Account tied to your CAGE code

• DoD policy prescribes Login every 30 days per

• Do not share your username or password

• Only the Account holder can submit for reset of account/password

• Link for DoD Root Certificates available on the OET homepage

• Passwords expire every 60 days (users will be prompted to change)

• Account Settings

• Use the same company name as the one linked to your CAGE

• Select the purchase programs you’re interested in

• Use individual email (no group accounts)

• If you are not receiving emails, check your Junk mail and internal firewall setting

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Administration

• OET URL (https://offerwizard.dla.mil/epst_oet/oet.htm)

• Establish New Password (Prompted)

• Minimum 15 characters

• At least 1 Upper Case, 1 Lower Case, 1 Number, 1 Special Character

• Update/Maintain ‘My Account’ information

• Use the exact Company Name as depicted in SAM

• E-mail address for notifications

• Company size status

• Select your purchase program under Buy Selection

Offer Entry Tool

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Components

Three Primary Components/sections to OET Offer data:

1. My Account

• Update contact information

• Password Maintenance

• Business Status (i.e., Small/Large Business)

2. Offer Details (data that is sent to the Bid Evaluation Model (BEM))

• Shipping points, products, quantity and price

• Offer conditions

3. Offer Submission Package (OSP)

• Fill in clauses

• Exceptions

• Conditional Statements (take caution that conditions don’t conflict)

• Minimum / Maximum volumes may be entered, in total, by Product, Mode, and/or Shipping Point Products (Shipping points may not be tied together (see Solicitation “Section M”))

Offer Construction

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Best Practice

Offer Submission

• Real time and auto-saved

• Review Offer Submission Package

• Review Bid Package Report

• Submit Offer Package (error message if obligatory data is missing)

• Confirmation email of offer submission

Post Submission

• Enter OET... VIEW/EDIT

• VIEW allows you to view the offer, not make changes

• EDIT will un-submit your offer! You will be able to make changes, but you must submit your offer

• Do not submit a “place-holder” offer/submit best offers in the initial round

• Do not wait until the last minute to submit

• Keep OET account current (log in once every 30 days)

• Familiarize with the solicitation, clauses, and schedule

Offer Submission

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Help Desk

Contact Information

• Offer Entry Tool User Manual available @ https://offerwizard.dla.mil/epst_oet/oet.html

• If you are unable to access account is locked, contact the DLA Energy Bulk Technical Team: DESC-BTechTeam@dla.mil

• For questions concerning the functionality, contact Sean.Lucas@dla.mil

• For questions specific to the offer, please contact the Contracting Officer identified on the solicitation https://offerwizard.dla.mil/epst_oet/oet.html mailto:DESC-BTechTeam@dla.mil mailto:Sean.Lucas@dla.mil

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