Attachment_4_ETSC_Rate_Schedule_Workbook_BOTH_LOTS.xlsx

Tab 1 - Pricing Instructions

Direct labor and all indirect costs necessary to execute the ETSC scope (for the appropriate Lot) shall be priced in accordance with (IAW) the Rate Schedule set forth in this ETSC Rate Workbook. All fully burdened ceilings rates shall be binding for the Firm Fixed Price (FFP) Contract Line Item Numbers (CLINS) and Time and material (T&M) CLINS for the length of the ETSC effective period which extends to include any Task Order (TO) or TO option period(s) that may exceed the final ETSC option ordering period. (Offerors are reminded that these ceiling costs will be used to price the Sample Task Orders for the ETSC, and will significantly impact the ETSC Total Evaluated Price calculation.)

2. PRICING AND RATES:

All ETSC FFP and T&M TOs issued shall be priced IAW the ceiling rates set forth in the ETSC Rate Schedule identified in Tab 3 of this Workbook. The fully burdened hourly rates represent ceiling rates and the Contractor may, at its discretion, elect to propose discounted hourly rates while pricing individual TOs. The ETSC Rate Schedule is not intended to be an all-inclusive Schedule to cover every possible labor category and rate necessary to fulfill the breadth of anticipated ETSC TO requirements. The ETSC Rate Schedule is intended to cover the most commonly used labor categories necessary to fulfill the more consistent requirements expected for TO execution. These rates represent the burdened labor rates for each labor category and will apply to all related direct labor hours to be applied throughout the effective period of the ETSC.

The burdened labor rates shall include all direct, indirect (fringe and overhead), general and administrative costs, other Offeror-specific applicable costs, and profit . All hourly rates are based on an average man year (IAW the Contractor’s CAS Disclosure Statement or established practices) and a 40-hour work-week. The worksheets should be completed in accordance with the ETSC Financial Supporting Documentation and Information submissions (specifically, the Disclosure Statements or Established Practices Documentation) to establish the Offeror's consistency with prior practices by the Government.

The use of uncompensated overtime is not permitted. If overtime is required for Wage Determination applicable labor categories at the TO level, overtime will be compensated IAW the Service Contract Act.

3. (POST-AWARD) TASK ORDER SPECIFIC RATES:

During the submission of TO proposals, the Contractor may elect to, or be specifically required to, propose one or more additional labor categories and rates in order to fulfill specific and unique TO requirements.

Unless specifically requested by the Government as part of an individual Task Order Request (TOR), the Contractor shall, as part of its TO proposal, provide rationale for inclusion of a proposed labor category/rate, why the existing ETSC labor category/rate, or specifically required category rate, cannot meet the requirement of the Government, and how the proposed alternate category will accomplish it.

The Contractor shall ensure that the rates proposed for all TO-specific labor categories which are subject to the Service Contract Act (SCA) comply with the minimums specified by the applicable Department of Labor (DoL) Wage Determination.

The validity and reasonableness of any proposed additional labor categories/rates will be determined on a TO-by-TO basis by the TO PCO. The Government reserves the right to determine, based on the projected need for the addition of one or more of these TO-specific labor categories, whether to incorporate these categories/rates into each of the ETSC Awardees Rate Schedule. Any additions will be incorporated via the process identified in the Additions and Adjustments Section below and formalized through bilateral modification to the basic contract.

Any fixed hourly rates for services transferred between divisions, subsidiaries, or affiliates of the prime contractor shall not be considered subcontracted effort and shall not include profit for the transferring organization but may include profit for the prime Contractor.

4. (POST-AWARD) ADDITIONS AND ADJUSTMENTS:

Throughout the effective period of the ETSC, the Contractor may request the incorporation of additional categories, if it determines that the labor categories available under the pre-negotiated ETSC Rate Schedule are not suitable for adequate performance of the contract. The Contractor shall, as part of its request, provide: a) the job description and rate(s) for each category; the rationale for inclusion of the proposed labor category/rate; b) state detailed breakdown of the rate to confirm burdened rate is compliant with pre-negotiated indirect rates and profit/fee and; c) include rationale as to why the existing ETSC labor category/rate cannot meet the requirements of the Government and how the proposed alternate labor will do so. These additional labor categories, descriptions and rates will be negotiated on a case-by-case basis. Additional labor categories/rates proposed will only be incorporated into the contracts ETSC Rate Schedule by modification if approved by the ETSC PCO.

5. PERSONNEL COVERED BY THE SERVICE CONTRACT LABOR STANDARDS:

At the individual TO level, some solutions may require, or prompt an Offeror's need for, Service Employees as defined in FAR 52.222-41. For any TO proposal which plans to use employees subject to these standards as part of its solution, the Contractor must certify that they are able to meet or exceed every applicable Wage Determination (WD) through the submission of the related pricing information. The Offeror shall consult the DoL Website: https://www.wdol.gov for wage determinations specific to a particular location, as appropriate.

When applicable, at the individual TO level, the Government will provide the Wage Determination (WD) for the locality where the work is to be performed. Any proposed TO; specific direct labor rate(s) or any direct labor rates associated with the Contractor's established and binding ETSC ceiling rates must meet or exceed the prevailing wage rate(s) established under the applicable Department of Labor (DoL) WD. Should the contractor's proposed rate(s) fall below the established WD minimum, then changes will be required to meet the WD minimum standard. These changes will be made via upward adjustments at the TO level and contract modification to the base. Compliance with established DoL WD minimums will be the only instance where the contractor may request and recieve an upward adjustment to the binding burdened ceiling rates established in the ETSC. Should an upward adjustment be made it is only applicable to the direct labor rate and fringe in accordance with the Service Contract Act.

6. OTHER DIRECT COSTS (ODCs) - OTHER RELATED ALLOWANCES:

Throughout the course of this contract, certain allowances may be afforded to the Contractor and its team members operating in contingency or austere environments. These allowances may include but not be limited to Cost of Living Allowances (COLA), Hardship, Defense Base Act Insurance and Hazard (aka Hazardous Duty, Combat, War Zone) allowances based on current U.S. Department of State Guidance.

The Department of State Standardized Regulations (DSSR) are the controlling regulations for allowances and benefits established to specifically address Government civilian compensation and are not considered an inherent entitlement afforded Government contractors, nor is it the Governments obligation to afford reimbursement for such expenses. For TOs issued under ETSC, contractor civilians assigned to foreign areas may receive the allowances and benefits in the DSSR, but shall not receive allowances and benefits in excess of those identified in the DSSR. Allowances information can be found at the State Department web site at http://aoprals.state.gov. Any uplifts are calculated using the base rate for the labor category cited and the percentages allowed for allowances.

“At the individual TO level, allowance and the associated indirect cost(s) shall be allocated to a separate Contract Line Item Number (CLIN) and shall not be incorporated into the cost for any other CLIN (i.e. Labor). The Contractor is responsible for ensuring that every applicable ETSC TO proposal contains a breakdown of all requested allowances, to include 1) the date when the DSSR allowance quote(s) was pulled from the DSSR website and the quoted allowable amount(s), 2) detailed rationale for the use of the proposed allowance(s), 3) the proposed individual allowance cost(s) (in U.S. $), and 3) a detailed explanation of the methodology used to derive this individual cost(s).”

Profit is not allowed on Other Direct Costs (ODCs) under T&M or Cost TO line items. Contractor proposed Allowances will be priced as an ODC via a separate and distinct Cost CLIN and will be reimbursed based upon actuals only. Any handling fee associated with allowances, along with the rationale for its application and methodology of its development, shall be disclosed as part of the this Rate Schedule Workbooks initial base contract proposal submission. Authority to determine if any proposed Allowances (above and beyond those explicitly stated above) are reasonable and allowable resides with the individual TOCO. This determination shall be IAW FAR Part 31, Contract Cost Principles and Procedures, and other applicable agency specific regulatory supplements.

In the event contractors must pay additional compensation to retain or obtain personnel to perform in a Hazardous Duty location, the contractor shall be entitled to equitable compensation. For the purposes of this contract, basic compensation is meant to be 40 hours per week, although OCONUS personnel may be required to work beyond the basic 40 hour work week (see ETSC Base PWS Section 2.2.3). OCONUS allowances may only be applied to basic compensation, up to the first 40 hour period of the OCONUS work week. Additionally, contractors may not combine Danger Pay with Difficult to Staff Incentive Differential if the total exceeds 35 percent of an employees basic compensation (limited to maximum 40 hours per week). See DSSR 650 and 5 U.S.C. 5928.

If, during the course of TO performance, the need to pay Danger/Hazardous Duty (Danger and Post Hardship) arises, the contractor shall promptly notify the cognizant TOCO and COR for further guidance. Prior approval by the TOCO is required before any equitable adjustment in price will be made.

DEFENSE BASE ACT (DBA) INSURANCE

The DBA provides workers' compensation protection to civilian employees working outside the United States on US military bases or under a contract with the U.S. government for public works or for national defense. Federal law requires all U.S. government contractors and subcontractors to secure workers' compensation insurance for their employees working overseas.

At the individual TO level, DBA insurance and any associated indirect cost(s) shall be identified via a separate and distnict Cost CLIN and shall not be incorporated into the cost for any other CLIN (i.e. Labor). The Contractor is responsible for ensuring that every applicable ETSC TO proposal contains a breakdown of the direct and indirect cost(s) associated with the DBA insurance.

7. PROGRAM MANAGEMENT COSTS:

ETSC base contract program management support costs should be clearly identified within each Sample TO or TO for the ETSC. Future costs for program management identified within ETSC TO proposals must be cited in accordance with the Awardees prenegotiated allocation methodology. This program management support cost covers ETSC contract-level management and reporting requirements and, if required, travel costs for meetings/conferences associated with the contract-level management of the ETSC.

Tab 2 - Labor Trace Matrix

Tab 3 - ETSC Rate Schedule

IAW 52.217-9

*For definition see ETSC base PWS 1.5

The Contractor shall provide the source(s) and detailed rationale utilized to determine the proposed Labor Escalation Rate.

Tab 4 - Rate Build-Up Table

ETSC

ANNUAL BURDENED RATE BUILD UP-TABLE

ETSC

ANNUAL BURDENED RATE BUILD UP-TABLE

INSTRUCTIONS: The Contractor shall provide the burdened rate build-up for each ETSC Labor Rate Schedule category utilizing the labor rates (unburdened) and indirects (including profit) proposed in Tables 1 and 2 of Tab 3 of this Workbook. A separate build-up shall be included for each labor category for the base and each out year (see sample fill-in above). Per L.6.3.1, the Contractor shall incorporate as many rows and columns as necessary in order to complete this Table.

The Contractor shall ensure that all rates reported in its annual burdened rate build-up are in accordance with the proposed rates and escalations identified in Tab 3, Tables 1 and 2 of the ETSC Rate Schedule. If, due to proprietary restrictions of a major subcontractor, reporting of a burdened rate build-up cannot be accomplished in the consolidated ETSC Rate Schedule Workbook, then the Prime shall annotate, "PROPRIETARY RATE - See Subcontractor [Subcontractor Name] Workbook" to ensure adequate traceability.

The contractor shall annotate in the Table any proposed labor category additions or exceptions reflected in the "Labor Trace Matrix" and "ETSC Rate Schedule" (See L.6.3.2).