A22_01_TE_1-2_PRS_Description_RG_(7_Apr_16).doc

Technical Exhibit (TE) 1-2

PERFORMANCE REQUIREMENTS SUMMARY (PRS) DESCRIPTION

Directorate of Public Works (DPW)

Roads and Grounds Maintenance Fort McCoy, Wisconsin

1 General: The Performance Requirements Summary lists the work sections, standards, and minimum requirements for acceptable quality, Government surveillance method, and consequences of unacceptable performance. The intent of surveillance is to evaluate the contractor’s performance and schedule evaluations based on the Government’s requirement in the PRS, i.e. scheduled work, service orders, and the Contractor’s completed work. The PRS contains only those requirements where satisfactory results are key to mission accomplishment. Requirements not included in the PRS remain subject to separate quality assurance evaluations under the "Inspection of Services" clause of this contract.

2 Performance Requirements Summary Table: The PRS Tables included in the PWS paragraph sections provide the following information:

2.1 PRS number: A PRS Number associated with the work section.

2.2 Performance Work Statement number: A number associated with the PWS section.

2.3 Performance Standard: States the required standard for each section and used to measure performance.

2.4 Acceptable Quality Level (AQL): Specifies the percentage of performances of the task that must meet or exceed the prescribed standards within a given period, or per a given number of performance.

2.5 Method of Surveillance: The Method used to evaluate the Contractor‘s performance.

2.6 Reduction in Payment (RIP) or Impact on CPARS: Describes the consequences of unsatisfactory performance.

3 Surveillance Methodology and Measuring Performance: The Government will use the PRS tables from the PWS to measure contract performance on a monthly basis, by using one of the methods described below.

3.1 Random Sampling: This is usually the most appropriate method for monitoring recurring tasks, and uses a randomly selected sample size taken from a given lot size, with an equal chance of being observed during the rating period. When the surveillance method is listed as random, the sample size is determined by a percentage of the lot size and generated randomly. The Acceptable Quality Level is listed in the PRS table as a percentage. The allowable deficiency or number of defects is, (zero or the difference between AQL and the resulting percentage of sampled deficiencies.), equals the allowable number of defects; fractions are rounded up to the next whole number.

3.1.1 For example: When the AQL is 95%, the number of allowable deficiencies = 5% of the sampled lot, and when the results of sampling is 95% accepted, the sampled lot is 5% deficient, thus the lot is considered acceptable. More than 5% deficiency represents a deficient lot for the PRS evaluated.

3.2 One Hundred Percent Inspection: All outputs of a particular service. This method is preferred for highest risk areas where consequence of a failure is high and there is likelihood of personnel injury or property damage, when the services performed occur infrequently, or when the output is small. When the surveillance method is listed as 100% Inspection, the Lot Size and Sample size are the same, and the Acceptable Quality Level is listed in the PRS table as a percentage. The allowable deficiency or number of defects is, (zero or the difference between 100 and the AQL, and that percentage multiplied by the number of samples) equals the allowable number of defects; fractions are rounded up to the next whole number.

3.2.1 For example: When the AQL is 95%, the number allowable deficiencies is (100% – 95% = 5%) and (5% X 100 samples = 5 deficiencies). Six deficiencies represent a deficient lot for the PRS evaluated.

3.3 Periodic/Planned Sampling: Inspects part of the activities monitored, and uses a predetermined plan for inspecting work established using subjective judgment and analysis. This method is used for tasks when specific services must be monitored due to individual importance, to identify a trend of poor performance, with small lot samples, or when 100 percent inspection is not required or not practical.

When the surveillance method is Periodic or Planned, the sample size is a percentage of the lot size and generated randomly. The Acceptable Quality Level is listed in the PRS table as a percentage. The allowable deficiency or number of defects is, (zero or the difference between AQL and the resulting percentage of sampled deficiencies.) equals the allowable number of defects; fractions are rounded up to the next whole number.

3.3.1 For example: When the AQL is 95%, the number of allowable deficiencies = 5% of the sampled lot, and when the results of sampling is 95% accepted, the sampled lot is 5% deficient, thus the lot is considered acceptable. More than 5% deficiency represents a deficient lot for the PRS evaluated.

3.4 Validated Customer Complaint: This method uses customer awareness and satisfaction. This method is not necessarily a valid method of surveillance and generally cannot be used to reduce payments, but used as an indicator for areas where surveillance should be conducted or intensified. In situations where customer satisfaction is an established performance standard, customer complaints are used to determine trends.

When the surveillance method is a customer complaint, the sample size is either 100 percent or a percentage of the lot size and generated randomly. The Acceptable Quality Level is listed in the PRS table as a percentage. The allowable deficiency or number of defects is, (zero or the difference between AQL and the resulting percentage of sampled deficiencies.) equals the allowable number of defects; fractions are rounded up to the next whole number.

3.4.1 For example: When the AQL is 95%, the number of allowable deficiencies = 5% of the sampled lot, and when the results of sampling is 95% accepted, the sampled lot is 5% deficient, thus the lot is considered acceptable. More than 5% deficiency represents a deficient lot for the PRS evaluated.

4 Performance Reporting: Services listed in the PRS tables will be acceptable when the number of recorded deficiencies does not exceed the Acceptable Quality Level.

4.1 Unacceptable Performance: Services listed on the PRS will be unacceptable when the number of recorded deficiencies exceeds the Allowable Quality Level. Once a deficiency is identified, the deficiency remains, regardless of correction.

4.2. Response to Concerns Noted by the Government: When the COR brings concerns to the Contractor, the Contractor shall respond in the format required by the COR.

4.3 Performance Assessment Report (PAR): The report evaluates performance against the PRS requirement, and respectively allows the contractor to evaluate and/or correct deficiencies within the performance period. Per FAR Part 46, the QAE will record “Defects”, unsatisfactory contractor performance directly related to the PRS requirements, including but not limited to, deficiencies in materials, faulty equipment operation, and substandard contractor QC and safety.

4.4 Customer Complaint: When a Customer is dissatisfied with the quality of service, the QAE will forward the Customer Complaint to the Contractor for response. The Contractor will reply in writing by the required date explaining the cause of the deficiency and corrective actions.

4.5 Contract Discrepancy Report (CDR): When performance is unsatisfactory and does not meet the contracted requirements, including Quality Control, Safety, and AQL of services, the Government will issue the Contractor a CDR. The Contractor shall respond to the CDR by the required date explaining the cause and corrective actions The Contracting Officer will evaluate the Contractor‘s response and determine an appropriate measure of consequence as described in the PRS.

4.6 Re-performance: The Contractor may be required to re-perform all deficient work. Promptly notify the Contractor of the deficient work that requires re-performance; Re-performance of deficient work is accomplished at no cost to the Government. The Government will add a re-inspection fee for the second and any subsequent inspection(s) at a rate of $100.00 per inspection as part of the reduction in payment. Re-performed work shall comply with the same requirements as initial work.

4.7 Payment Reductions: When the Contractor fails to meet contract requirements of those services listed on the PRS. The Contractor will be subject to the Reduction in Payment. There will be no credit for re-performance. Calculations for a Reduction in Payment for services not conforming to the contract occur prior to invoicing.

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