Section H_TIPSS-4 ITS A0007.doc

SOLICITATION NUMBER TIRNO-09-R-00012

PART I – THE SCHEDULE

SECTION H – SPECIAL CONTRACT REQUIREMENTS

SOLICITATION NUMBER TIRNO-09-R-00012

PART 1 – THE SCHEDULE

SECTION H – SPECIAL CONTRACT REQUIREMENTS

TABLE OF CONTENTS

H.1

PERFORMANCE-BASED ACQUISITION………………………………………H-3

H.2

INFORMATION TECHNOLOGY ACCESSIBILITY SECTION 508…………H-3

H.3 SMALL BUSINESS SIZE STATUS……………………………………………….H-9

H.4

EARNED VALUE MANAGEMENT (EVM)

COMPLIANCE…………………………………………………………….….….....H-10

H.5

CAPABILITY MATURITY MODEL INTEGRATION (CMMI)……….…......H-11

H.6

ENTERPRISE LIFE CYCLE (ELC)…………..………….………………...........H-14

H.7 FEE ON TASK ORDERS………………………………….……………………....H-15

H.8 LIMITATION OF COST OR FUNDING………………….…………………..…H-15

H.9

INDIRECT RATE CHANGE NOTIFICATION……………….…….………......H-15

H.10

STANDARD WORK DAY………………………………………….….……..........H-15

H.11

GOVERNMENT FURNISHED ITEMS…………………………...…….….…….H-15

H.12 CONTRACTOR RESPONSIBILITY FOR ASSIGNED SPACE,

EQUIPMENT AND SUPPLIES…………………………………..…….....…..…...H-16

H.13 ROLLING ADMISSIONS..…………………………………………..……….……H-15

H.14 SOFTWARE MAINTENANCE……………………………………..……..………H-16

H.15 PURCHASING SYSTEM…………………………………………………….….…H-16

H.16 ORGANIZATIONAL CONFLICT OF INTEREST AND LIMITATION

ON FUTURE CONTRACTING……………………………………………………H-17

H.17 OBSERVANCE OF LEGAL HOLIDAYS AND EXCUSED ABSENCE…. .…..H-19

H.18 PUBLICITY…………………………………………………………………………H-19

H.19 SUBSTITUTION OF CORPORATE

AND TASK ORDER LEVEL KEY PERSONNEL…………………………………H-20

H.20 IDENTIFICATION OF CONTRACTOR EMPLOYEES ………………….……H-21

H.21 GENERAL LIABILITY………………………………………………….…………H-21

H.22 PERSONAL IDENTITY VERIFICATION.………………………………………H-22

H.23 IRS SECURITY REQUIREMENTS…………………………………….…………H-22

H.24 PRE-POST AWARD CONFERENCES/MEETINGS……..………………….…..H-28

H.25 ACCESS TO PROPERTY ………………………………..…………………….…..H-29

H.26 IRS REQUIREMENTS FOR SYSTEMS ACCESS……....…………..…….…….H-30

H.27 CONTRACTOR-FURNISHED ITEMS……………………..…….……….………H-33

H.28 EXCESSIVE PASS-THROUGH COSTS..………………………………………...H-33

H.29 HBCUs AND MIs……….………..…………………………………………….…...H-34 H.30

INDIRECT COST RATE CEILINGS……………………………………………...H-35

H.31

SMALL DISADVANTAGED BUSINESS PARTICIPATION……………………H-35

H.32

JOINT VENTURES/TEAMING ARRANGEMENTS……………………………..H.35

H.33 LABOR CATEGORIES ………………………….…………………………………H-35

H.1 PERFORMANCE BASED ACQUISITION (PBA) METHODOGY

Performance based acquisition methodology will be applied to task orders issued under this contract to the maximum extent practicable. This methodology shall be considered for applicable requirements. To achieve the best result of PBA, the following information is established to provide a baseline effort; however, PBA includes but not limited to:

(a) Requirements that define the work in measurable, mission-related terms;

(b) Performance standards (i.e., quality, quantity, timeliness) tied to the performance requirements;

(c) Performance outcome (i.e., reports, system performance, documents) tied to the performance requirements; and

(d) Monitoring methods (i.e., Quality Assurance Surveillance Plan, monitoring plan) to describe how the contractor’s performance will be measured against the performance standards.

In addition, contracting officers will ensure IRS Procurement Policies and Procedures are followed as well as other applicable guidance. The official PBA website is http://acquisition.gov/comp/seven_steps/index.html.

H.2 INFORMATION TECHNOLOGY ACCESSIBILITY SECTION 508

All task orders issued under the TIPSS-4 contract will be applicable to Section 508 Compliance, under Section 508 of the Rehabilitation Act Amendments of 1998, and the Architectural and Transportation Barriers Compliance Board’s Electronic and Information Technology (EIT) Accessibility Standards at 36 Code of Federal Regulations Part 1194. Federal agencies, when developing, procuring, maintaining or using EIT are required to ensure that EIT products and/or services provide access to both Federal employees and members of the public with disabilities. Federal employees and members of the public with disabilities must have access to and use of information and data comparable to those without disabilities.

The contracting officer shall apply the applicable Internal Revenue Services Acquisition Procedures (IRSAP) to comply to each task order.

The following IRSAP clauses are applicable for Section 508 and will be applied at the task order level:

H.2.1 IRSAP - 1052.239-9008 Section 508 Information, Documentation, and Support (SEP 2006)

In accordance with 36 CFR 1194, Subpart D, the electronic information technology (EIT) products and product support services furnished in performance of this contract shall be documented to indicate the current conformance level with Section 508 of the Rehabilitation Act of 1973, per the 1998 Amendments, and the Architectural and Transportation Barriers Compliance Board’s Electronic and Information Technology Accessibility Standards. At no time during the performance of the award shall the level of conformance go below the level of conformance in place at the time of award. At no additional cost, the contractor shall provide information, documentation, and support relative to the supplies and services as described in Section J, Attachment 7. The contractor shall maintain this detailed listing of compliant products for the full contract term, including all forms of extensions, and shall ensure that it is current within five calendar days after award and within three calendar days of changes in products being utilized as follows:

(a) Product support documentation provided to end-users shall be made available in alternate formats upon request, at no additional charge.

(b) End-users shall have access to a description of the accessibility and compatibility features of products in alternate formats or alternate methods upon request, at no additional charge.

(c) Support Services for products shall accommodate the communication needs of end-users with disabilities.

[End of clause]

H.2.2 IRSAP - 1052.239-9009 Section 508 Conformance (SEP 2006)

Each electronic and information technology (EIT) product and/or product related service delivered under the terms of this contract, at a minimum, shall conform to the applicable accessibility standards at 36 CFR 1194 at the level of conformance specified in Section J, Attachment 7.

The following technical standards have been determined to be applicable to this contract:

1194.21, Software applications and operating systems.

__(a) __(b) __(c) __(d) __(e) __(f) __(g) __(h)

__(i) __(j) __(k) __(l)

1194.22, Web-based intranet and internet information and applications.

__(i) __(j) __(k) __(l) __(m) __(n) __(o) __(p)

1194.23, Telecommunications products.

__(i) __(j) __(k)

1194.24, Video and multimedia products.

__(a) __(b) __(c) __(d) __(e)

1194.25, Self contained, closed products.

__(i) __(j)

1194.26, Desktop and portable computers.

__(a) __(b) __(c) __(d) The standards do not require the installation of specific accessibility-related software or the attachment of an assistive technology device, but merely require that the EIT be compatible with such software and devices so that it can be made accessible if so required by the agency in the future.

The following functional performance criteria (36 CFR 1194.31) apply to this contract:

_x__

(a) At least one mode of operation and information retrieval that does not require user vision shall be provided, or support for assistive technology used by people who are blind or visually impaired shall be provided.

_x_

(b) At least one mode of operation and information retrieval that does not require visual acuity greater than 20/70 shall be provided in audio and enlarged print output working together or independently, or support for assistive technology used by people who are visually impaired shall be provided.

_x_

(c) At least one mode of operation and information retrieval that does not require user hearing shall be provided, or support for assistive technology used by people who are deaf or hard of hearing shall be provided.

_x_

(d) Where audio information is important for the use of a product, at least one mode of operation and information retrieval shall be provided in an enhanced auditory fashion, or support for assistive hearing devices shall be provided.

_x_

(e) At least one mode of operation and information retrieval that does not require user speech shall be provided, or support for assistive technology used by people with disabilities shall be provided.

_x_

(f) At least one mode of operation and information retrieval that does not require fine motor control or simultaneous actions and that is operable with limited reach and strength shall be provided.

[End of clause]

H.2.3 IRSAP - 1052.239-9010 SECTION 508 SERVICES (SEP 2006)

All contracts, solicitations, purchase orders, delivery orders and interagency agreements that contain a requirement for services, which will result in the delivery of a new or updated electronic and information technology (EIT) item/product, must conform to the applicable provisions of the appropriate technical standards in 36 CFR 1194, Subpart B, and functional performance criteria in 36 CFR 1194.31, Subpart C, unless an agency exception to this requirement exists.

The following technical standards and provisions have been determined to be applicable to this contract:

1194.26, Desktop and portable computers.

__(a) __(b) __(c) __(d) The standards do not require the installation of specific accessibility-related software or the attachment of an assistive technology device, but merely require that the EIT be compatible with such software and devices so that it can be made accessible if so required by the agency in the future.

The following functional performance criteria (36 CFR 1194.31) apply to this contract:

__x_

(a) At least one mode of operation and information retrieval that does not require user vision shall be provided, or support for assistive technology used by people who are blind or visually impaired shall be provided.

__x_

(b) At least one mode of operation and information retrieval that does not require visual acuity greater than 20/70 shall be provided in audio and enlarged print output working together or independently, or support for assistive technology used by people who are visually impaired shall be provided.

__x_

(c) At least one mode of operation and information retrieval that does not require user hearing shall be provided, or support for assistive technology used by people who are deaf or hard of hearing shall be provided.

_ x_

(d) Where audio information is important for the use of a product, at least one mode of operation and information retrieval shall be provided in an enhanced auditory fashion, or support for assistive hearing devices shall be provided.

_ x_

(e) At least one mode of operation and information retrieval that does not require user speech shall be provided, or support for assistive technology used by people with disabilities shall be provided.

_ x_

(f) At least one mode of operation and information retrieval that does not require fine motor control or simultaneous actions and that is operable with limited reach and strength shall be provided.

[End of clause] H.2.4 IRSAP - 1052.239-9011 - Section 508 Accessibility of Electronic and Information Technology (100% Compliance) (SEP 2006) Each Electronic and Information Technology (EIT) product or service furnished under this contract shall comply with the Electronic and Information Technology Accessibility Standards (36 CFR 1194). If the contracting officer determines any furnished product or service is not in compliance with the contract, the contracting officer will apply the remedies described under FAR 52.246-2, Inspection of Supplies – Fixed Price.

The following technical standards and provisions have been determined to be applicable to this contract:

1194.26, Desktop and portable computers.

__(a) __(b) __(c) __(d)

The standards do not require the installation of specific accessibility-related software or the attachment of an assistive technology device, but merely require that the EIT be compatible with such software and devices so that it can be made accessible if so required by the agency in the future.

The following functional performance criteria (36 CFR 1194.31) apply to this contract:

_ x_

(a) At least one mode of operation and information retrieval that does not require user vision shall be provided, or support for assistive technology used by people who are blind or visually impaired shall be provided.

__x_

(b) At least one mode of operation and information retrieval that does not require visual acuity greater than 20/70 shall be provided in audio and enlarged print output working together or independently, or support for assistive technology used by people who are visually impaired shall be provided.

_x__

(c) At least one mode of operation and information retrieval that does not require user hearing shall be provided, or support for assistive technology used by people who are deaf or hard of hearing shall be provided.

_x__

(d) Where audio information is important for the use of a product, at least one mode of operation and information retrieval shall be provided in an enhanced auditory fashion, or support for assistive hearing devices shall be provided.

_x__

(e) At least one mode of operation and information retrieval that does not require user speech shall be provided, or support for assistive technology used by people with disabilities shall be provided.

_x__

(f) At least one mode of operation and information retrieval that does not require fine motor control or simultaneous actions and that is operable with limited reach and strength shall be provided.

[End of clause]

H.3 SMALL BUSINESS SIZE STATUS

In accordance with FAR Subpart 19.301-2 Small Business size status will be re-evaluated as follows:

(1) Within 30 days of an approved contract novation

(2) Within 30 days of a merger or acquisition where a novation agreement is not required

(3) No more than 120 days prior to the end of the fifth year of the contract

(4) No more than 120 days prior to exercising any option after the fifth year of the contract

However, if small businesses that certify as other than small may continue to participate on this contract and compete in the large business size status.

All Small Business awardees will be required to submit a Recertification Status Report per Section F.12.

H.4 EARNED VALUED MANAGEMENT (EVM) COMPLIANCE

(a) The Department of the Treasury has established two EVM thresholds to define the level of reporting required (these conditions will be applied at the Task Order level when the Government’s requirement includes a development, modernization, and/or enhancement effort):

Note: For the current solicitation, the Government will evaluate offers received on the basis of the contractor and its subcontractor(s) Self-Validation or Comprehensive Plan, ANSI/EIA Standard-748A, Full and Core criteria.

“Full” EVM reporting – 32 ANSI criteria. See Section J.13 (Appendix B), Treasury EVM Guide, for criteria.

“Core” EVM reporting – 10 ANSI criteria. See Section J.13 (Appendix C), Treasury EVM Guide, for criteria.

“Self-Validation” EVMS – (Full and Core) Shall be documented in accordance with the National Defense Industrial Associated (NDIA) Earned Value Management Systems Intent Guide – Appendix A. See Section J.14.

(b) Treasury has established thresholds and conditions IT investments must meet to be considered “major”. In accordance with OMB Circular A-11, the contractor shall utilize an EVMS on Task Orders identified as “major acquisitions” with Development, Modernization, and Enhancement (DME). This includes prototypes and tests to select the most cost effective alternative, the acquisition requirements, and any developmental modification or upgrade work done during the Operational/Steady State. When EVM is required, it will be applied at the Task Order level regardless of contract type. As outlined in AB No. 09-01, EVMS, the following Treasury thresholds apply to DME costs at the Contract Line Item (CLIN) level for performance based Task Orders and to DME costs at the Task Order for non-performance based contracts:

TABLE No. 1

EVMS Validation/-Acceptance

(Contractor)

(IBV)/IBR (Core) Treasury and Bureau Surveillance*

* In accordance with Bureau Annual Surveillance Strategy

· 1/CFA – Cognizant Federal Agency (See FAR 42.003)

Regardless of the threshold value or competitive review (current solicitation or TO solicitation), any EVMS developed by the contractor shall not be billed to the IRS as a direct cost. The IRS will reimburse the contractor for its share of the allocable and allowable indirect costs.

(c) Definitions

Development, Modernization, and Enhancement (DME) – is the portion of an IT investment/project which deals with developing and implementing new or enhanced technology in support of an agency’s mission – a change to an existing system that adds new functionality, hardware and software purchases and installation support for increasing capacity of an existing system, and new releases of Commercial-Off-The-Shelf (COTS) products. Examples: A change to an existing system that adds new functionality. This is defined as new features and capabilities that could not be performed using the system previously.

Earned Value Management requirements - are criteria that the contractor must implement to ensure that the contractor’s self validated EVMS is capable of producing earned value management data.

(d) EVM compliance must be maintained throughout the period of performance of this contract.

(1) The appropriate level of EVMS validation and surveillance is to be conducted on an annual basis or as required. Copies of annual validation and/or surveillance findings (and any associated corrective action requirements and results) will be provided to the IRS Contracting Officer within 10 business days of contact with/from the (CFA or Government representative). Should a vendor’s EVMS standing be suspended or revoked by the (CFA or Government representative) or impacted due to a company reorganization (including mergers and buy-outs), the Government reserves the right to review the circumstance and determine if the vendor should remain in the contract and/or work on current or new task orders with DME requirements.

(2) All EVMS monthly reporting must conform to Government deadlines in order for the Service to support the OMB IT Dashboard reporting requirements.

(3) If the Government finds anything deficient from the EVMS monthly reports, a correction plan must be developed within 5 business days and approved by the Government to correct data and mitigate risks. All corrections to EVMS reporting will be implemented by the next monthly reporting period or as agreed to by the project manager and IRS Contracting Officer to meet time sensitive deadlines for OMB IT Dashboard reporting.

(4) Any change of subcontractors after award of the base contract must be evaluated and comply with all EVMS guidelines and all other policies before issuance of a task order.

H.5 CAPABILITY MATURITY MODEL INTEGRATION (CMMI)

It is mandatory that all contractors awarded task orders for any activity related to software development for the IRS shall comply with the IRS policy for Capability Maturity Model® Integration (CMMI®)-SW or CMMI-DEV Level 2 compliance. All tasks that fall within the software development life cycle shall at minimum comply with Level 2 of the staged or continuous representation of CMMI for Software Engineering (CMMI-SW) or CMMI for Development (CMMI-DEV).

The following Internal Revenue Service Acquisition Procedures (IRSAP) is applicable to CMMI:

H.5.1 IRSAP 1052.239-9005 Software Development Prerequisite (JAN 2006) a.

Definitions. As used in this clause,

1. “Appraisal Requirements for CMMI®” (ARC) means a framework that defines the requirements considered essential to appraisal methods intended for use with Capability Maturity Model Integration (CMMI) models. ARC defines a set of typical applications of appraisal methods called appraisal method classes and allocates requirements to each class. Thus, a particular appraisal method may be declared to be an ARC Class A, B, or C appraisal method.

2. “CMM IntegrationSM ” (CMMI) means an integrated CMM model that encompasses the key elements for enterprise-wide process improvement. The CMMI model includes the disciplines of Software Engineering (SW), Systems Engineering (SE), Integrated Product & Process Development (IPPD), and Supplier Sourcing. In Version 1.2 these became the CMMI-DEV constellation.

3. “CMM Confirm” means an evaluation by the IRS of evidence provided by the offeror to support its CMMI-SW or CMMI-DEV maturity or capability level.

4. “Continuous representation” means a model structure wherein capability levels provide a recommended order for approaching process improvement within each specified process area.

5. “Equivalent staging” means a target staging, created using the continuous representation that is defined so that the results of using the target staging can be compared to the maturity levels of the staged representation.

“On-site” means the Software Engineering Institute (SEI) appraisal phase in which an appraisal team conducts extensive interviews at the organization's software development facility or the location of the organization's software development projects. Some portions of the on-site may include teleconferencing or telephone interviews of personnel at remote locations.

6. “Post-award Current Software Capability Rating” means the CMMI-SW or CMMI-DEV maturity or capability level determined by an appraisal for which the commencement date of the appraisal on-site occurred within the 18 months immediately preceding the due date of the initial PARM submittal for a given year.

7. “Pre-award Software Capability Rating” means the CMMI-SW or CMMI-DEV maturity or capability level determined by an appraisal for which the commencement date of the Standard CMMI Appraisal Method for Process Improvement (SCAMPISM), ARC Class A on-site occurred within the 36 months immediately preceding the proposal due date.

8. “Process Appraisal Review Methodology” (PARM) means the methodology employed by the IRS to review, monitor, and verify contractor CMMI-SW or CMMI-DEV maturity or capability levels during the period of performance of the contract, task order, delivery order, interagency agreement, or blanket purchase agreement (BPA).

9. “Software Capability Rating” means the CMMI-SW or CMMI-DEV Level achieved as a result of a SCAMPI, ARC Class A, or other appraisal method conducted according to the Class A Appraisal Requirements for CMMI, ARC Class A, latest version.

10. “Software development” means any activity, in whole or in part, that is part of a software life cycle.

11. “Software life cycle” means the period of time that begins when a software product is conceived and ends when the software is no longer available for use. The software life cycle typically includes the following phases: concept, requirements, design, implementation, test, installation and checkout, operation and maintenance, and retirement.

12. “Staged representation” means a structure wherein attaining the goals of a set of process areas establishes a maturity level; each level builds a foundation for subsequent levels.

13. “Standard CMMI Appraisal Method for Process Improvement” (SCAMPI), ARC Class A means an SEI-approved appraisal method based on the full set of Class A ARC requirements, latest version. A SCAMPI, ARC Class A is conducted by an appraisal team and led by an SEI-authorized SCAMPI Lead AppraiserSM.

14. “SCAMPI Lead Appraiser” means an individual authorized by SEI to lead a team in conducting a SCAMPI; authorization is substantiated by a Lead Appraiser

Identification number.

15. “Verify” means an evaluation of evidence provided by the contractor to support its CMMI-SW or CMMI-DEV maturity or capability level, which is conducted by the IRS in accordance with the PARM after award of a contract, BPA, task order, delivery order, or interagency agreement.

a. Contractors performing software development for the IRS as required under this contract shall have, and maintain at all times during performance, a CMMI-SW or CMMI-DEV Level 2 or higher maturity or capability rating. Detailed information about the CMMI-SW or CMMI-DEV models may be obtained from the Software Engineering Institute (SEI), Carnegie Mellon University, Pittsburgh, PA 15213-3890. The web site is www.sei.cmu.edu/cmmi/.

b. The CMMI-SW or CMMI-DEV maturity or capability rating shall be current and shall be substantiated by a SCAMPI, ARC Class A, latest version.

c. As a condition of award, the IRS reserves the right to review and confirm the CMMI-SW or CMMI-DEV maturity or capability levels of offerors. As a further condition of award, the IRS reserves the right to conduct a SCAMPI, ARC Class A.

d. After award and throughout the period of performance, the IRS reserves the right to review, monitor, and verify the contractor’s CMMI-SW or CMMI-DEV maturity or capability levels in accordance with the Process Appraisal Review Methodology (PARM). The IRS further reserves the right to conduct an independent appraisal of the contractor, including a SCAMPI, ARC Class A.

e. On an annual basis, the contractor shall substantiate its current software maturity or capability rating by submitting documentation in accordance with the PARM.

f. The IRS will perform a review annually to verify the contractor's compliance with its contractual CMMI-SW or CMMI-DEV requirements.

g. The contractor shall include the terms of this clause in all subcontracts for software development under this contract.

[End of clause] H.5.2 IRSAP 1052.239-9006 Software Development Prerequisite-Supplement

(JAN 2006)

It is understood that the subcontractor does not have a CMM Integration for Software Engineering (CMMI-SW) or CMM Integration for Development (CMMI-DEV) Level 2 or higher rating. The IRS has approved the subcontractor’s participation in the [insert name of IRS software development project], using the prime contractor’s CMMI-SW or CMMI-DEV Level 2 or higher processes. The prime contractor is responsible for the planning, management, and performance of the software development project according to its documented processes, utilizing subcontractor resources as mutually agreed between the prime contractor and subcontractor. The subcontractor, in performing agreed task assignments for the software development project, shall comply with the prime contractor’s direction.

[End of clause]

H.6 ENTERPRISE LIFE CYCLE (ELC)

In accordance with Internal Revenue Manual (IRM) 2.16.1, the guidance and authority for ELC will apply to all major, non-major and other-small projects. The ELC is the approach used by IRS to manage and implement business change and information systems initiatives. In addition, it provides the direction, processes, tools, and assets necessary to accomplish business change in a consistent and repeatable manner.

The objectives of the ELC are to:

a. Enhance chances for successfully achieving the desired business change

b. Standardize the approach for managing and governing business change, and supporting information system projects and programs throughout IRS; and

c. Help ensure project and program success by reducing risk and ensuring compliance with applicable internal and external standards and mandates.

H.7

FEE ON TASK ORDERS

Contracting officers at the task order level will exercise their authority to negotiate a fee for individual requirements in the best interest of the Government.

H.8

LIMITATION OF COST OR FUNDING

Task orders issued under this contract may be fully funded or incrementally funded. Each task order will state the applicable clauses given the funding method determined by the Contracting Officer.

H.9 INDIRECT RATE CHANGE NOTIFICATION

The contractor shall submit notification to the TIPSS Contracting Officer and Contracting Officer’s Technical Representative within five working days of proposing any rate change to the designated Government audit agency or of receiving any rate change approval affecting cost or price proposed or incurred under this contract. The contractor agrees to insert this notification requirement in all first-tier subcontracts.

H.10

STANDARD WORK DAY

A standard work day is defined as any eight hours of productive labor during the core business hours of 7:00 A.M. through 5:00 P.M., Monday through Friday. Performance may be required beyond the normal standard work day, and if so, information will be specified within the applicable task order.

H.11

GOVERNMENT FURNISHED ITEMS

All Government furnished items will be identified in individual task orders, as applicable. If any given task order issued under this contract requires work to be performed on the Government's site, the Government will provide office work space, office automation equipment, telephones, and furniture for contractor personnel, unless authorized by the Contracting Officer to deviate from this requirement.

H.12

CONTRACTOR RESPONSIBILITY FOR ASSIGNED SPACE, EQUIPMENT, AND SUPPLIES

If, due to the fault or neglect of the contractor, its agents or employees, damage occurs to any Government property, equipment, or stock or supplies during the performance of this contract, the contractor shall be responsible for such loss or damage and the Government, at its option, may either require the contractor to replace all property or to reimburse the Government for the full value of the lost or damaged property.

The contractor is responsible for maintaining all Government provided assigned space(s) in a clean and orderly fashion during the course of this contract. All telephones at the Government’s site are for conducting official Government business only.

In addition Contracting Officer will follow the guidance provided by IRT 08-23 Providing Government Space for Contractors.

H.13 ROLLING ADMISSIONS

The Government reserves the right to determine whether it be appropriate to announce a competition for the purpose of adding additional IDIQ contractors. Periodically, the Government will review the customers’ requirements, small business growth, industry consolidations/mergers, and changes in the market place or advances in technology, general economic conditions or other reasons. Based on this, if it is in the best interest of the Government, the Base Contract Contracting Officer may initiate a new competition to add new contractors to the “Base Contract”.

H.14 SOFTWARE MAINTENANCE

If software maintenance is ordered through the issuance of individual task orders, the contractor shall provide, a detailed plan for software maintenance, including, software license and maintenance support, preventive and remedial maintenance services, and technical support. The contractor shall provide personnel who are experienced and qualified to perform the required services in accordance with original software manufacture practices and software standards. Additional requirements will be further defined at the task order level.

H.15

PURCHASING SYSTEM

The contractor shall notify the Contracting Officer, in writing, if there is any change in the status of its approved purchasing system and provide the reason(s) for the change. Documentation shall be submitted for Contracting Officer consent in accordance with FAR Part 44, Subcontracting Policies and Procedures.

H.16

ORGANIZATIONAL CONFLICT OF INTEREST AND LIMITATION

ON FUTURE CONTRACTING

H.16.1 IRSAP 1052.209‑9000--ORGANIZATIONAL CONFLICT OF INTEREST

NOTIFICATION (MAR 2008)

a. The CO has determined there is a conflict or a potential for an organizational conflict of interest associated with the performance of work for this requirement. Accordingly, the attention of prospective offerors is invited to FAR Subpart 9.5, Organizational Conflicts of Interest.

b. The nature of this conflict is (Description to be determined at the task order level).

c. The offeror warrants that, to the best of his/her knowledge and belief, there are no relevant facts or circumstances which could give rise to an Organizational Conflict of Interest (OCI), as defined in the Federal Acquisition Regulation (FAR) Subpart 9.5, or that he/she has disclosed all such relevant information. Offerors are advised that misrepresentation of the facts or failure to provide the information requested by the CO may cause the removal of their proposal from further consideration for award.

d. An offeror who believes that the performance of work under the contract may cause an OCI shall provide in its proposal to the Government a plan to mitigate the OCI. The plan will be evaluated to determine whether or not the plan effectively mitigates the potential conflict of interest such that the full scope of work contemplated by this solicitation can be performed by the offeror. The Director, Procurement, or designee, will then evaluate the mitigation plan and, if the plan is satisfactory, may grant a waiver to the offeror in accordance with FAR 9.503.

e. Restrictions on the performance of work for this requirement and/or work on future contract requirements are set forth in the Internal Revenue Service Acquisition Procedures (IRSAP) clause at 1052.905-9001 entitled Organizational Conflicts of Interest. The terms of the Organizational Conflict of Interest clause included in this solicitation are not _x__ subject to negotiations.

(End of Provision)

H.16.2 IRSAP 1052.209‑9001—ORGANIZATIONAL CONFLICTS OF INTEREST

(MARCH 2008)

(a) Purpose: The purpose of this clause is (1) to ensure that the contractor is not biased because of conflicting roles in financial, contractual, organizational, or other interests which relate to the work to be performed under this contract, and (2) to ensure the contractor does not obtain any unfair competitive advantage over other parties as a result of its work under this contract.

(b) Scope: The restrictions described herein shall apply to performance or participation by the contractor and any of its affiliates or their successors in interest (hereinafter collectively referred to as the "contractor") in any activities related to this contract. The term contractor includes the prime contractor, subcontractors, mentors, joint-ventures, consultants, or any others acting in a similar capacity.

(c) Reporting: The contractor shall immediately report to the CO any conflicts or potential conflicts that arise during the performance of work under this contract, including those that may surface at the subcontract level. Once reported, the CO may terminate the contract for convenience if such an action is in the best interest of the Government. However, should there be any misrepresentation of facts in reporting an OCI or a potential OCI, at the prime or subcontract level, or a complete failure to report such, the CO may impose the remedies provided in subparagraph (f) of this clause.

(d) Restrictions: (The CO shall list appropriate restrictions for the particular acquisition. Listed below are three sample restrictions.)

(1) The contractor shall not be eligible to participate in Internal Revenue Service contracts, subcontracts, or proposals which stem directly from the contractor's performance of work under this contract, for a period of years after the completion of this contract.

(2) The contractor shall not perform any advisory or assistance services work under this contract for a period of ___2____ years, unless directed to do so by the CO, if the contractor has been or is substantially involved in the developing or marketing of its products or services or the products or services of another firm.

(3) If, under this contract, the contractor prepares a statement of work or specifications to be used in competitive acquisitions, the contractor shall be ineligible to perform or participate, in any capacity, in any acquisition which is based on said statement of work or specification for a period of ____2____ years.

(e) Subcontracts: The contractor shall include a clause, substantially similar to this clause, including this subparagraph, in all subcontracts (including purchase/delivery orders), teaming arrangements, and/or other agreements calling for the performance of work related to this contract unless exempted in writing by the CO.

(f) Remedies: For breach of any of the above restrictions or for nondisclosure or misrepresentation of any facts required to be disclosed concerning this contract, including the existence of an actual or potential organizational conflict at the time of or after award, the IRS may terminate the contract for default, disqualify the contractor from subsequent related efforts, and pursue such other administrative remedies as may be permitted by law or other terms and conditions of this contract.

(End of Clause) H.17

OBSERVANCE OF LEGAL HOLIDAYS AND EXCUSED ABSENCE

(a) Government personnel observe the following holidays:

New Year's Day Inauguration Day (when applicable) Martin Luther King Day

Presidents’ Day Memorial Day

Independence Day

Labor Day

Columbus Day Veterans Day

Thanksgiving Day

Christmas Day

(b) In addition to the days designated as holidays, the Government observes the following days:

Any day designated by Federal Statute

Any day designated by Executive Order Any day designated by the President’s Proclamation

(c) It is understood and agreed between the Government and the contractor that observance of such days by Government personnel shall not otherwise be a reason for an additional period of performance, or entitlement of compensation except as set forth within the contract. In the event the contractor's personnel work during the holiday, they may be reimbursed by the contractor;

however, no form of holiday or other premium compensation will be reimbursed either as a direct or indirect cost, other than their normal compensation for the time worked. This provision does not preclude reimbursement for authorized overtime work if applicable to this contract.

(d) When the Government grants excused absence to its employees, assigned contractor personnel may also be dismissed. The contractor agrees to continue to provide sufficient personnel to perform critical tasks already in operation or scheduled, and shall be guided by the instructions issued by the Contracting Officer or the Contracting Officer’s Technical Representative.

H.18

PUBLICITY

In accordance with IRSAP Clause 1052.203-9000, the following information is applicable to this contract:

NEWS RELEASES AND ADVERTISEMENTS (JUN 2005)

The Contractor, or anyone acting on behalf of the Contractor, shall not refer to the equipment or services furnished pursuant to the provisions of this contract in any news release or commercial advertising, or in connection with any news release or commercial advertising, without first obtaining explicit written consent to do so from the Contracting Officer. Should any reference to such equipment or services appear in any news release or commercial advertising issued by or on behalf of the Contractor without the required consent, the Government shall consider institution of all remedies available under the provisions of 31. U.S.C. 333 and this contract. Further, a violation of this provision may be considered during the evaluation of past performance in future competitively negotiated acquisitions.

(End of Clause)

H.19

SUBSTITUTION OF CORPORATE AND TASK ORDER LEVEL KEY

PERSONNEL

Individuals identified as Corporate Level Key Personnel that are accepted for this contract are expected to remain dedicated to this contract. Individuals identified as Task Order level Key Personnel, and are accepted, shall remain dedicated to each Task Order. However, in the event that it becomes necessary for the offeror to replace any of the individuals designated as key personnel, the contractor shall request such substitutions in accordance with the information listed below:

(a) All substitutes must have qualifications at least equal to those of the person being replaced;

(b) All appointments of key personnel shall be approved by the Contracting Officer, and no substitutions of such personnel shall be made without the advance written approval of the Contracting Officer;

(c) Except as provided in paragraph (d) of this clause, at least 30 days (60 days if security clearance is required) in advance of the proposed substitution, all proposed substitutions of key personnel must be submitted in writing to the Contracting Officer, including the information required in paragraph (e) of this provision;

(d) Where individuals proposed as key personnel become unavailable between the submission of the final proposal revisions and contract award because of sudden illness, death or termination of employment, within 5 days following contract award, the contractor shall notify the Contracting Officer in writing of such unavailability and who will be performing, if required, as the temporary substitute. Within 15 days following contract award, the contractor shall submit in writing to the Contracting Officer, proposed substitutions for the unavailable individuals;

(e) Request for substitution of key personnel must be provided in a detailed explanation of the circumstances necessitating substitution, a résumé of the proposed substitute, and any other information requested by the Contracting Officer to make a determination as to the appropriateness of the proposed substitute's qualifications. All résumés shall be signed by the proposed substitute and his/her formal (per company accepted organizational chart) direct supervisor or higher authority; and

(f) The Contracting Officer shall promptly notify the contractor in writing of his/her approval or disapproval of all requests for substitution of key personnel. All disapprovals will require resubmission of another substitution within 15 days by the contractor.

H.20

IDENTIFICATION OF CONTRACTOR EMPLOYEES

During the period of this contract, the rights of ingress and egress to and from any office for contractor representatives shall be made available as deemed necessary by the Government. All contractor employees whose duties under this contract require their presence at any Government facility shall be clearly identifiable by a distinctive badge furnished by the Government. In addition, corporate identification badges will be worn on the outer garment at all times. The obtaining of the corporate identification badge is the sole responsibility of the contractor.

All prescribed information shall immediately be delivered to the IRS Security Office, unless otherwise identified, for cancellation or disposition upon the termination of the employment of any contractor personnel. All on-site contractor personnel shall abide by security regulations, applicable to that site.

H.21 GENERAL LIABILITY

Reference Section I – Clause 52.228-7, “Insurance – Liability to Third Persons”. The contractor shall secure, pay the premiums for and keep in force until the expiration of this contract, and any renewal thereof, adequate insurance as provided below, such insurance to specifically include liability assumed by the contractor under this contract.

(a) The contractor is required to show evidence of bodily injury liability insurance coverage written on the comprehensive form of policy of at least $500,000 per occurrence.

(b) The contractor is required to show evidence of property damage liability insurance coverage written on the comprehensive form of policy of at least $100,000 per occurrence.

(c) Workman’s compensation insurance as required by law of the State.

Each policy of insurance shall contain an endorsement that any cancellation or material change in the coverage adversely affecting the Government’s interest shall not be effective unless the insurer or the Contractor gives written notice of cancellation or change, as required by the Contracting Officer (CO). A certificate of each policy of insurance shall be furnished to the CO with 10 days after notice of award certifying, among other things, that the policy contains the aforementioned endorsement.

The insurance company providing the above insurance shall be satisfactory to the Government. Notices of policy changes shall be furnished to the CO. The substances of this clause shall be made to flow down to any subcontractors.

H.22 PERSONAL IDENTITY VERIFICATION OF CONTRACTOR PERSONNEL

Contracting Officer will ensure contractor personnel compliance in accordance with IRS HSPD-12 PIV Procedures Manual located at Section J-12.

H.23 IRS SECURITY REQUIREMENTS

H.23.1 IRSAP 1052.204-9000 SECURITY SCREENING REQUIREMENTS FOR

ACCESS TO SENSITVE BUT UNCLASSIFIED SYSTEMS

OR INFORMATION (MAR 1998)

(a) In addition to complying with any functional and technical security requirements set forth in the schedule and elsewhere in this contract, the Contractor shall request that the Government initiate personnel screening checks and provide signed user nondisclosure agreements, as required by this clause, for each contractor employee requiring staff-like access, i.e., unescorted or unsupervised physical access or electronic access, to the following limited or controlled areas, systems, programs and data: List areas, systems, programs and data.

(b) The Contractor shall submit a properly completed set of investigative request processing forms for each such employee in compliance with instructions to be furnished by the Contracting Officer or his/her designated representative.

(c) Depending upon the type of investigation necessary, it may take up to several months to complete complex personnel screening investigations. At the discretion of the Government, background screening may not be required for employees with recent or current favorable Federal Government investigations. To verify the acceptability of a non-IRS, favorable investigation, the Contractor shall submit the forms or information needed, according to instructions furnished by the Contracting Officer.

(d) When contractor employee access is necessary prior to completion of personnel screening, each contractor employee requiring access may be considered for escort access. The Contractor shall promptly submit all requests for approval for escort access to the Contracting Officer or his/her designated representative so as not to endanger timely contract performance.

(e) The Contractor shall ensure that each contractor employee requiring access executes any nondisclosure agreements required by the Government prior to gaining staff-like access. The Contractor shall provide signed copies of the agreements to the Site Security Officer (SSO) for inclusion in the employee's security file. The name and location of the SSO shall be provided by the Government after contract award. Unauthorized access is a violation of law and may be punishable under the provisions of Title 5 U.S.C. 552a, Executive Order 12356; Title 5 U.S.C. 7211 governing disclosures to Congress; Title 10 U.S.C.1034, as amended by the Military Whistleblower Protection Act governing disclosure to Congress by members of the military; Title 5 U.S.C. 2302(b)(8) as amended by the Whistleblower Protection Act governing disclosures of illegality, waste, fraud, abuse or public health or safety threats; the Intelligence Identities Protection Act of 1982 (50 U.S.C. 421 et seq.) governing disclosures that could expose confidential Government agents; and the statutes which protect against disclosure that may compromise the national security, including Sections 641, 793, 794, 798, and 952 of Title 18, United States Code, and Section 4(b) of the Subversive Activities Act of 1950 (50 U.S.C. Section 783(b)) and other applicable statutes.

(f) The Contractor shall notify the Contracting Officer's Technical Representative (COTR) or the Site Security Officer no later than the end of the day of the termination for cause of an authorized employee's access. The Contractor shall notify the COTR no later than ten days after an authorized employee no longer requires access for any other type of termination. Verbal notifications shall be confirmed in writing within thirty days.

[End of clause] H.23.2 IRSAP 1052.224-9000 (c) DISCLOSURE OF INFORMATION SAFEGUARDS (NOV 2005) In performance of this contract, the contractor agrees to comply with and assume responsibility for compliance by his/her employees with the following requirements:

(1) All work shall be performed under the supervision of the contractor or the contractor's responsible employees.

(2) Any return or return information made available in any format shall be used only for the purpose of carrying out the provisions of this contract. Information contained in such material shall be treated as confidential and shall not be divulged or made known in any manner to any person except as may be necessary in the performance of the contract.

Inspection by or disclosure to anyone other than an officer or employee of the contractor shall require prior written approval of the Internal Revenue Service. Requests to make such inspections or disclosures should be addressed to the IRS Contracting Officer.

(3) All returns and return information will be accounted for upon receipt and properly stored before, during, and after processing. In addition, all related output shall be given the same level of protection as required for the source material.

(4) The contractor certifies that the data processed during the performance of this contract shall be completely purged from all data storage components of his/her computer facility and no output will be retained by the contractor at the time the IRS work is completed. If immediate purging of all data storage components is not possible, the contractor certifies that any IRS data remaining in any storage component will be safeguarded to prevent unauthorized inspection or disclosure.

(5) Any spoilage or any intermediate hard copy printout which may…