B.07.01 HU POL Slide Deck 2Mar23 Full version rev1.pdf

PRE-PROPOSAL CONFERENCE

EDI POL INCREASE CAPACITY

KECSKEMET AIR BASE,

HUNGARY

W912GB23R0011

Presented by:

U.S. Army Corps of Engineers Europe District 1 March 2023

1. Cellular phones on silent mode

2. Raise your hand if you want to speak

3. Avoid sidebar discussion

4. No technical discussion will be held in this forum

5. No pictures, video, recording

GROUND RULES AND PROCEDURES

AGENDA

Welcome / Introductory Remarks

Contracting Overview

U.S. Procurement Law & Overseas Contracting

POL increase capacity Project Overview

Q&A Session / Closing Remarks

USACE TEAM INTRODUCTIONS

Richard Leroy Project Manager

Chris Brackett Contracting Officer

Lorraine Laurente Contract Specialist

Matthew Marosek B&V Project Manager

Regina Schowalter Office of Counsel

Information Provided During the Pre-proposal Conference

Any remarks or explanations provided during this presentation today are for general information and will not change the terms and conditions of any resultant solicitation or subsequent contract.

DISCLAIMER

U.S. Army Corps of Engineers

Mission: USACE provides vital engineering solutions, in collaboration with our partners, to secure our Nation, energize the economy, and reduce risks of disasters.

QUESTIONS?

PROCUREMENT MATTERS

CHRIS BRACKETT

CONTRACTING OFFICER

LORRAINE LAURENTE

CONTRACT SPECIALIST

• Procurement Timeline

• Registration and ID Numbers

• System for Award Management

• General Submission Information

• Pre-Proposal Inquiries & ProjNet

• Phase One Proposal Instructions

• Phase Two Proposal Instructions

• Debriefings

OVERVIEW

• Contractors may ask questions during this Pre-Proposal Conference and Site Visit; however, those questions should also be submitted in writing in ProjNet Bidder Inquiry.

• These slides and sign-in sheets will be posted to sam.gov.

QUESTIONS DURING CONFERENCE AND SITE

VISIT

PROCUREMENT TIMELINE

Phase I – Determines most highly qualified.

• RFP includes no technical details

• Requires a non-price proposal

• Requires no price proposal

Phase II – One single awardee selected amongst most highly qualified from Phase I.

• Selected Offerors will be notified.

• Requires another non-price proposal

• Requires a price proposal

Two Phase Design Build (DB) Selection Procedures

REGISTRATIONS & IDENTIFICATION NUMBERS

System Description Website General Timeline

CAGE /

NCAGE

Commercial and Government Entity (CAGE) Code

NATO Commercial and Government Entity (NCAGE) Code https://eportal.nspa.na to.int/AC135Public/Ca geTool/home https://eportal.nspa.na to.int/AC135Public/Do cs/US%20Instructions %20for%20NSPA%20 N

7 – 11 business days

SAM System for Award Management (SAM) is a registration database required for all US Federal Government Contracts. It is also a web-based portal which allows vendors to review U.S. Contract Opportunities https://www.sam.gov/ 2 weeks to go active

The CAGE or NCAGE code is a required piece of data for registering in the System for Award Management (SAM).

• What is a CAGE Code? The Commercial and Government Entity (CAGE) Code is a unique identifier assigned to suppliers to various government or defense agencies, as well as to government agencies themselves and also various organizations.

• How does your company obtain a CAGE Code? If you are a vendor located inside the United States, one can be obtained by visiting: https://cage.dla.mil/

• What is an NCAGE Code? The NATO Codification System (NCS) was established in 1954. In order to differentiate between the U.S. and NATO systems, CAGE was referred to as NATO COMMERCIAL and GOVERNMENTAL ENTITY CODE (NCAGE) in the NCS community.

• How does your company obtain an NCAGE Code? If you are a vendor located outside the United States, one can be obtained by visiting https://eportal.nspa.nato.int/AC135Public/default.aspx

CAGE AND NCAGE CODE

What is a UEI Number? The Unique Entity ID is a 12-character alphanumeric identifier used in SAM.gov and other federal government systems as a way to identify a unique entity.

• It has taken the place of DUNS.

• If you want to apply for federal awards as a prime awardee, you need a registration.

How does my firm obtain a UEI number? Go to http://www.sam.gov to obtain a UEI number at no cost.

UNIQUE ENTITY ID

• All contractors must register and maintain an active SAM entity registration in order to be eligible for contract awards, as required by the solicitations provision: FAR 52.204-7 SAM and contract clause FAR 52.204-13 SAM Maintenance

• Contractors are required to update SAM registration ANNUALLY.

• In order to eligible for the contract award resulting from this solicitation, Offerors are advised to take immediate action to ensure your SAM entity registration is current and/or will be current at the time of proposal receipt by this contracting office.

• How does your company register in SAM? Go to:

https://www.sam.gov/SAM/pages/public/loginFAQ.jsf

• For Help with SAM, Contact the Federal Service Desk: www.fsd.gov

Live Chat or Web form or via Phone U.S. Calls: 866-606-8220 (toll free) International Calls: 334-206-7828 Hours of Operation: Monday - Friday 8 a.m. to 8 p.m. US Eastern Time

SYSTEM FOR AWARD MANAGEMENT

• All Requests for Proposal (RFP) documents and amendments are posted at the sam.gov website https://sam.gov

• Web URL is: https://sam.gov/opp/a350d9324b774e47816c8ca5ab661216/view

• The solicitation Number is W912GB23R0011

• It is the Offeror’s responsibility to check the website for any amendments.

SOLICITATIONS & AMENDMENTS

Electronic Proposals.

All proposals shall be submitted electronically via email to lorraine.q.laurente@usace.army.mil and christopher.brackett@usace.army.mil.

File Size Limitations.

Offerors are advised not to exceed 10MB file size due to email server restrictions.

Break files down into smaller sections and deliver in separate emails if needed.

See RFP for further instructions.

GENERAL PROPOSAL SUBMISSION INFORMATION

File Names. Each filename shall begin with the solicitation number, followed by the word “RESPONSE”, followed by your firm’s name, and finally a brief file description. EXAMPLES:

(1) “W912GB23R0011 RESPONSE Firmname Volume I.pdf”

(2) “W912GB23R0011 RESPONSE Firmname Volume I Part 1.pdf”

(3) “W912GB23R0011 RESPONSE Firmname Volume I Part 2.pdf”

File Organization, Formatting, and other instructions.

Although hard copies are not accepted, each file shall be clearly indexed, and logically assembled.

Proposals shall be in the English language.

Proposals shall be organized and titled so that the proposal follows the order and format of the evaluation factors.

Files shall be submitted in their native format, or if in pdf format, shall be in searchable text.

Further detailed instructions in the RFP (font size, etc.)

GENERAL SUBMISSION INFORMATION (CONT)

Reference Section 00 21 00 Instructions

Upload Completion & Deadline Interested parties shall submit responses no later than the date specified on solicitation document. (watch for amendments!)

The time & date of proposal receipt will be the upload completion / delivery time & date recorded of email receipt on the Government’s server.

Do not assume that electronic submission will occur instantaneously. Large files (e.g. 10MB or more) will take some time to upload. Offerors should time their upload effort with prudence by not waiting until the last few minutes—this will allow for unexpected delays in the transmittal process and troubleshooting.

Pay special attention to stated proposal deadlines. Late proposals in nearly all cases will not be considered.

GENERAL SUBMISSION INFORMATION (CONT)

Offerors shall submit inquiries via “Bidder Inquiry” in ProjNet at www.projnet.org\projnet. See the solicitation for ProjNet registration instructions.

Bidder Inquiry Key:

ZRF7C3-52BAY5

Bidder Inquiries will be closed to new inquiries TEN calendar days before the proposal due date in order to appropriately respond and amend the solicitation, if necessary.

PRE-PROPOSAL INQUIRIES VIA PROJNET

Select USACE

Enter Email

Summary.

The Government Source Selection Team (SST) will evaluate proposals according to the factors listed below. Offerors are required to provide data addressing all stated factors in a clear and understandable format. Proposals that do not clearly address all factors may be considered unacceptable and may not receive further consideration.

Non-Price Factors.

Factor 1: Past Performance

Factor 2: Management Approach

PHASE ONE SPECIFIC PROPOSAL INSTRUCTIONS

VOLUME I, NON-PRICE

Factor 1, Past Performance.

Completed CPARS records and/or completed PPQs for projects completed by the Offeror

(or the Offeror’s key teaming partner or design subcontractor)

Maximum of ten (10) projects, with at least two construction projects and two design projects.

Factor 2, Management Approach.

An Organizational chart.

A narrative limited to 20 pages.

READ THE RFP INSTRUCTIONS VERY CAREFULLY!

VOLUME II, ADMINISTRATIVE MATTERS

Executive Summary A cover letter including all of the exact information stated in the RFP, to include any JV or teaming arrangements.

Completed Solicitation Form (and amendments).

A completed SF 1442 and a completed SF 30 for each solicitation amendment.

SAM Registration, Representations & Certifications.

A completed clause FAR 52.204-8(d).

A copy of their current “Entity Registration” in the System for Award Management (SAM)

A copy of their current “FAR & DFARS Report” that demonstrates all their completed representations and certifications as recorded at www.sam.gov.

General.

The SST will evaluate the non-price proposals in order to determine the most highly qualified Offerors from Phase ONE. Offerors are cautioned to put forth their best efforts for the Phase ONE submission, and to furnish all information clearly to allow the Government to determine their performance capability. Offerors should not assume that they will have an opportunity to clarify or correct anything in their proposal after submitting it in response to Phase ONE. However, the Government reserves the right to allow proposal corrections, if deemed necessary to determine the most highly qualified Offerors to shortlist for Phase TWO. The Contracting Officer, independently exercising prudent business judgment, will select the most highly qualified Offerors and request that only those Offerors submit phase TWO proposals.

Relative Importance of the Evaluation Factors.

Of the non-price factors (Factors 1-2), Factor 1 - Past Performance is approximately equal to Factor 2

– Management Approach.

PHASE ONE EVALUATION APPROACH

Summary.

The Government SST will evaluate proposals according to the factors listed below. Offerors are required to provide data addressing all stated factors in a clear and understandable format. Proposals that do not clearly address all factors may be considered unacceptable and may not receive further consideration.

Non-Price Factors. (PHASE TWO)

Factor 3: Technical Approach

Factor 4: Design Approach

Factor 5: Price

PHASE TWO SPECIFIC PROPOSAL INSTRUCTIONS

PHASE TWO IS ONLY FOR THOSE FIRMS INVITED FROM PHASE ONE!

VOLUME I, NON-PRICE

Factor 3, Technical Approach.

A narrative limited to 20 pages.

A schedule prepared in Primavera P6 (submitted in native XER and PDF format).

Factor 4, Design Approach.

A narrative limited to 3 pages.

VOLUME II, PRICE AND ADMINISTRATIVE MATTERS

Completed Solicitation Form (and amendments).

A completed SF 1442 and a completed SF 30 for each solicitation amendment.

VOLUME II, PRICE AND ADMINISTRATIVE MATTERS (continued)

Completed Price Schedule (Evaluation Factor 5).

Including completion of all contract line items (CLINs).

An Offeror that fails to submit a complete price proposal may be considered unacceptable.

Bank Letter of Assurance (BLA) or Bid Bond equivalent to 10% of the proposed price.

The BLA must include all of the substantive portions of the sample provided in the RFP

Attachment.

SAM Registration, Representations & Certifications.

A completed clause FAR 52.204-8(d).

A copy of their current “Entity Registration” in the System for Award Management (SAM)

A copy of their current “FAR & DFARS Report” that demonstrates all their completed representations and certifications as recorded at www.sam.gov.

General. The SST will evaluate each Phase TWO proposal utilizing the approach described exactly in the RFP.

Phase ONE evaluation ratings will continue into Phase TWO. During Phase TWO evaluations, no revisions to Phase ONE proposals will be allowed, unless the Contracting Officer decides it is in the best interest of the Government to hold discussions.

Trade-off Process (FAR 15.101-1) Phase TWO evaluations will follow the Best Value Tradeoff Process for Source Selection in accordance with FAR 15.101-1. This process permits tradeoffs among price and non-price factors. Award will be made to the single Offeror that is most advantageous to the Government based upon an integrated assessment of the proposals received. It may be in the best interest of the Government to award to other than the lowest priced offeror or other than the highest technically rated offeror.

Relative Importance of the Evaluation Factors. Of the non-price factors, Past Performance (Factor 1), Management Approach (Factor 2), Technical Approach (Factor 3), and Design Approach (Factor 4) are approximately equal in importance; and all non-price factors (Factors 1-4), when combined, are approximately equal in importance to price (Factor 5).

PHASE TWO EVALUATION APPROACH

Non-Price Factors:

Factor 1 – Past Performance (PHASE ONE) Factor 2 – Management Approach (PHASE ONE) Factor 3 – Technical Approach (PHASE TWO) Factor 4 – Design Approach (PAHSE TWO)

Price Factor:

Factor 5 – Price – (PHASE TWO)

What is a Debriefing?

A Debriefing under FAR Part 15 is an opportunity for an offeror to better understand the basis for an agency’s selection decision.

Debriefings give you a chance to hear from the agency regarding:

the evaluation process;

how your proposal was evaluated in relation to the evaluation criteria;

what was successful in your proposal;

what was lacking in need of improvement in your proposal; and reasonable responses to relevant questions about whether the source selection procedures were followed.

Offeror must submit a debriefing request to USACE within 3 calendar days after notification of exclusion from the competitive range or contract award.

DEBRIEFINGS

FINAL COMMENTS / REMINDERS

• Offerors with technical inquiries shall submit their inquiries via “Bidder Inquiry” in ProjNet at www.projnet.org\projnet. Bidder Inquiry Key:

ZRF7C3-52BAY5

• You may be disqualified for submitting a proposal that does not meet all of the requirements.

• Proposals must be submitted electronically via email to lorraine.q.laurente@usace.army.mil and christopher.brackett@usace.army.mil.

Lorraine Laurente Contract Specialist Phone: +49 611 9744 2775 Email: lorraine.q.laurente@usace.army.mil

Christopher Brackett Contracting Officer Phone: +49 611 9744 2931 Email: christopher.brackett@usace.army.mil

POINTS OF CONTACT

U.S. PROCUREMENT LAW &

OVERSEAS CONTRACTING

MS. REGINA SCHOWALTER

OFFICE OF COUNSEL

• US Procurement Regulations and Important Clauses

• Prime Contractor Project Management

• US Contracting Officers

• Joint Ventures, Teaming Agreements, Key Subcontractors, Affiliates

• Defense Base Act Insurance

• Taxes and VAT

• Bonding Requirements

• Questions

OVERVIEW

Contracts are awarded and executed under United States Procurement laws and regulations.

Federal Acquisition Regulation (FAR) http://acquisition.gov

Defense FAR Supplement (DFARS) http://acquisition.gov

Army FAR Supplement (AFARS) http://acquisition.gov

U.S. PROCUREMENT LAW AND REGULATIONS

DFARS 252.233-7001

This contract shall be construed and interpreted in accordance with the substantive laws of the United States of America. By the execution of this contract, the Contractor expressly agrees to waive any rights to invoke the jurisdiction of local national courts where this contract is performed and agrees to accept the exclusive jurisdiction of the United States Armed Services Board of Contract Appeals and the United States Court of Federal Claims for the hearing and determination of any and all disputes that may arise under the Disputes clause of this contract.

CHOICE OF LAW (OVERSEAS)

DISPUTES AND CLAIMS REGULATIONS

41 United States Code (U.S.C.) Chapt. 71 -Contract Disputes

FAR Subpart 33.2, Disputes and Appeals

FAR 52.233-1, Disputes

In contract specifications:

The contractor agrees to indemnify and save harmless the United States Government against all claims and suits of whatsoever nature arising under or incidental to the performance of this contract by any subcontractor against the United States Government. The Contractor further agrees to waive his rights to bring suit or other legal action against the United States Government, except as provided in the Disputes clause of this contract and in the United States Federal Statutes.

IMMUNITY FROM LEGAL PROCESS

• The U.S. Government is very concerned that laborers on our projects receive working conditions and wages in accordance with Host Nation laws and regulations

• “Compliance With Local Labor Laws,” provides that contractors must comply with all host nation labor laws and regulations including laws and regulations relating to hours of work and compensation.

• Be aware that this applies to subcontractors as well as the prime contractor – the prime contractor is responsible for ensuring that all workers on the project are properly paid, regardless of whether the workers are employed directly by the prime contractor, principal subcontractor or subcontractors at any tier.

• The Government will always hold the prime responsible.

COMPLIANCE WITH LOCAL LABOR LAWS

• The U.S. Government contracts are with the prime contractors.

• USACE expects the prime contractor to actively manage the project and ensure the work meets contract requirements and the U.S. Government will hold the prime contractors responsible for contract execution.

• When issues arise, the U.S. Government deals with primes, not subcontractors.

PRIME CONTRACTOR PROJECT MANAGEMENT

The Solicitation Specifications Binder covers contractor responsibilities and obligations:

– Adequately manning and staffing the project.

– The contractor assumes the risk and cost of obtaining the necessary labor to execute the project.

– The U.S. Government will not compensate you if labor turns out to be more expensive than you expected. This is true even if the reason for the added expense is a change in the host nation (HN) laws/regulations that increases your labor cost.

– The U.S. Government cannot influence the HN regarding visas or work permits and may not provide any assistance.

PRIME CONTRACTOR PROJECT MANAGEMENT (CONT.)

U.S. CONTRACTING OFFICERS

• The U.S. acts through warranted Contracting Officers (KOs).

• Contracting Officers are assisted by Administrative Contracting Officers (ACOs) and Contracting Officer’s Representatives (CORs) acting within the bounds of authority delegated to them by the Contracting Officer.

• Only a warranted Contracting Officer (or designated ACO) may provide direction to a contractor on a U.S. Government contract.

• What is a change to the contract?

A condition or requirement that is different from what you agreed to perform

• Who can authorize?

Only the Contracting Officer

• What do you do if you think a contract change has occurred or has been directed?

Inform the Contracting Officer in writing

CHANGES TO THE CONTRACT

43JOINT VENTURES, TEAMING AGREEMENTS, KEY

SUBCONTRACTORS, AFFILIATES

• What if the Prime is a host nation company with a lot of experience, but no or very little experience with the U.S. Government or the U.S. Department of Defense?

• What if the Prime has a lot of U.S. Department of Defense experience, but no or little experience working in the Host Nation?

– To be more competitive in terms of experience, applicants often form Joint Ventures (JVs). In JVs, the two (or more) companies become the Prime and the Government deals directly with the designated point of contact for the JV. Each JV member must agree to be jointly and severally liable to the US Government and responsible for all work performed (liability and responsibility for work is not tied to the members’ contributions as far as the US Government is concerned).

JOINT VENTURES

If submitting a proposal as a joint venture (JV), the experience and past performance for each joint venture member will be considered for the joint venture entity. JVs shall submit the following:

– A legally binding JV agreement signed by an authorized officer from each of the firms comprising the JV.

– Shall identify the chief executive of each entity identified

– Shall be translated into English

– Shall include a detailed statement outlining, in terms of percentages, which JV member is responsible for what aspects of the project, the relationship of the JV in terms of ownership/capital contribution, profit/loss sharing; and which party has overall control, etc.

– Note: The Contract will provide that JV members are jointly and severally liable for any obligations under the contract. The JV Agreement should also state this.

JOINT VENTURES See Request for Proposal (RFP) for exact Instructions

- If forming a JV is not an option, contractors may receive credit for the experience, past performance and capabilities of a teaming partner (i.e., a subcontractor, formal teaming partner or an affiliate) but only if the proposal includes a Commitment Letter with the substantive terms of the Solicitation attachment. Do not add or delete any terms to that attachment. The Government must be able to assess the past experience of the teaming partner, so at least one of the 5 projects you submit for past performance and experience should include a relevant and recent past project for that team member.

-The Commitment Letter or proposal must explain the major or critical aspects of the work to be performed by each team member (to include identification of team members, and a full description of roles and responsibilities of team members). The “credit” given will depend on the nature and extent of the proposed participation of the teaming partner.

TEAMING ARRANGEMENTS & LETTERS OF

COMMITMENT

RFP ATTACHMENT 5 - COMMITMENT LETTERS

LETTER OF COMMITMENT SAMPLE

See Solicitation SECTION 00 22 16 Evaluation Factors for Award

If an Offeror wishes to be credited with the past performance of a subcontractor, team member, or affiliate (defined in FAR 2.101), the appropriate Letter of Commitment below must be completed with all information required, signed by authorized representatives of all parties and submitted with the proposal. Offerors should select the appropriate Commitment Letter sample from the following alternatives as applicable:

- Alternative 1 Subcontractor Commitment

- Alternative 2 Team Member Commitment

- Alternative 3 Affiliate Commitment

ALTERNATIVE 1 – KEY SUBCONTRACTORS

(PRIME CONTRACTOR LETTERHEAD)

US Army Corps of Engineers (Insert Date) Europe District Konrad Adenauer Ring 39, Box 7 ATTN: Contracting Officer 65187 Wiesbaden, Germany

Subject: Letter of Commitment for Solicitation No. XXXXXXXXXXX, Project Name

In the event that Prime Contractor X is awarded a contract under the subject solicitation, Prime Contractor X commits to using Subcontractor Y as a subcontractor for the services described in this Letter of Commitment and Subcontractor Y agrees to perform as a subcontractor to Prime Contractor X for those services.

ALTERNATIVE 1 – KEY SUBCONTRACTORS, CONT. 1

Prime Contractor X will perform as the prime contractor while Subcontractor Y will perform the following services as a subcontractor under the resultant contract:

(Describe the work to be performed by the subcontractor, e.g., electrical, mechanical, civil, etc.)

Prime Contractor X may be credited with the experience, expertise and/or past performance of Subcontractor Y as they relate to the services described in this Letter of Commitment.

In the event that Prime Contractor X is awarded the resultant contract, another firm cannot be substituted for Subcontractor Y without prior written approval of the contracting officer. Approval or disapproval of a substitute subcontractor is a matter within the sole discretion of the Contracting Officer, considering such factors as whether the contracting officer considers the proposed substitute to be equally qualified and the substitution to be in the best interests of project execution.

In approving a substitution, the contracting officer may impose such conditions on the substitution as the contracting officer deems appropriate in the exercise of his/her sole discretion.

In the event Prime Contractor X is not awarded a contract under the subject solicitation, this Letter of Commitment is null and void.

Signatures: ______________________ __________________ John D. Prime Hans Richard Authorized Representative Authorized Representative Prime Contractor X Subcontractor Y Title Title

ALTERNATIVE 1 – KEY SUBCONTRACTORS, CONT. 2

(PRIME CONTRACTOR LETTERHEAD)

US Army Corps of Engineers (Insert Date) Europe District Konrad Adenauer Ring 39, Box 7 ATTN: Contracting Officer 65187 Wiesbaden, Germany

Subject: Letter of Commitment for Solicitation No. XXXXXXXXXX, In the event that Prime Contractor X is awarded a contract under the subject solicitation (Contract), Prime Contractor X commits to using Team Member Y for the services or other contributions described in this Letter of Commitment and Team Member Y commits to perform such services or to make such contributions in furtherance of Prime Contractor X's performance of the Contract.

Prime Contractor X will perform as the prime contractor while the Team Member Y will

ALTERNATIVE 2 - COMMITMENT WITH TEAM MEMBER

ALTERNATIVE 2 - COMMITMENT WITH TEAM MEMBER, CONT. 1

perform the following services or make the following contributions in furtherance of Prime Contractor X's performance of the Contract:

(Describe the type[s] of contributions and services to be performed by Team Member Y, e.g., electrical, mechanical, civil, design, services; or the specific equipment or types and quantities of Team Member Y personnel who will be committed to work on this Contract.)

Prime Contractor X may be credited with the experience, expertise and/or past performance of Team Member Y to the extent they relate to the services or contributions described in this Letter of Commitment.

In the event that Prime Contractor X is awarded the Contract, another firm cannot be substituted for Team Member Y without prior written approval of the contracting officer. Approval or disapproval of a substitute firm is a matter within the sole discretion of the Contracting Officer, considering such factors as whether the contracting officer considers the proposed substitute to be equally qualified and the substitution to be in the best interests of project execution.

ALTERNATIVE 2 - COMMITMENT WITH TEAM MEMBER, CONT. 2

In approving a substitution, the contracting officer may impose such conditions on the substitution as the contracting officer deems appropriate in the exercise of his/her sole discretion.

In the event Prime Contractor X is not awarded the Contract, this Letter of Commitment is null and void.

John D. Prime Hans Richard Authorized Representative Authorized Representative Prime Contractor X Team Member Y

ALTERNATIVE 3 – AFFILIATES

(PRIME CONTRACTOR LETTERHEAD)

US Army Corps of Engineers (Insert Date) Europe District Konrad Adenauer Ring 39, Box 7 ATTN: Contracting Officer 65187 Wiesbaden, Germany

Subject: Letter of Commitment for Solicitation No. XXXXXXXXXX, In the event that Prime Contractor X is awarded a contract under the subject solicitation (Contract), Prime Contractor X commits to using Affiliate Y for the services or other contributions described in this Letter of Commitment and Affiliate Y commits to perform such services or to make such contributions in furtherance of Prime Contractor X's performance of the Contract.

• During Source Selection, prime contractors can receive credit for the experience of an “Affiliate.” The term “Affiliate” is defined in the U.S. regulations, but typically it refers to a parent corporation or a “sister” company (both subsidiaries of the same parent corporation.)

• If the prime wants to rely on the experience of an Affiliate, a Letter of Commitment is required demonstrating a firm commitment that the Affiliate will participate meaningfully in terms of roles and responsibilities in the performance of the contract. This commitment letter must be signed by authorized representatives of both the prime and its Affiliate.

AFFILIATES

ALTERNATIVE 3 - AFFILIATES, CONT. 1

Prime Contractor X will perform as the prime contractor while the Affiliate Y will perform the following services or make the following contributions in furtherance of Prime Contractor X's performance of the Contract:

(Describe the type[s] of contributions and services to be performed by the Affiliate Y, e.g., electrical, mechanical, civil, design, services; or the specific equipment or types and quantities of affiliate personnel who will be committed to work on this Contract. There must be sufficient detail provided here about Affiliate Y's contributions to the Contract effort to enable the Government to assess if the Affiliate Y's participation will be meaningful enough to warrant crediting Prime Contractor X with the experience, expertise and/or past performance of Affiliate Y).

Prime Contractor X may be credited with the experience, expertise and/or past performance of Affiliate Y to the extent they relate to the services or contributions described in this Letter of Commitment.

In the event that Prime Contractor X is awarded the Contract, another firm cannot be substituted for Affiliate Y without prior written approval of the contracting officer. Approval or disapproval of a

ALTERNATIVE 3 - AFFILIATES, CONT. 2

substitute firm is a matter within the sole discretion of the Contracting Officer, considering such factors as whether the contracting officer considers the proposed substitute to be equally qualified and the substitution to be in the best interests of project execution.

In approving a substitution, the contracting officer may impose such conditions on the substitution as the contracting officer deems appropriate in the exercise of his/her sole discretion.

In the event Prime Contractor X is not awarded the Contract, this Letter of Commitment is null and void.

John D. Prime Hans Richard Authorized Representative Authorized Representative Prime Contractor X Affiliate Y

TEAMING AGREEMENTS, KEY SUBCONTRACTORS

& AFFILIATES

• The ability to get “credit” for such teaming arrangements has its limits, however. Past performance is still a factor and reliance on Teaming Arrangements for past performance and experience does not relieve the Offeror of its obligation to demonstrate its own past performance and experience on the portions of the contract it will perform or manage.

• Also, whether the teams have worked together before successfully will be considered (this is true for new JV’s as well). If there is no prior experience together, be sure to address in the Management factor why that will not present any risk to successful performance.

• Since the U.S. Government will rely on the past experience of JV members, teaming partners, key subcontractors, key personnel and Affiliates in deciding which proposal offers the best value, the inability or failure to use those same entities or personnel in the manner proposed could result in a termination of the contract after award.

• In general, substitutions are not guaranteed. The Contracting Officer must determine if the substituted entity or person is comparable to the entity or person proposed in terms of experience and capabilities. If they are not, the Contracting Officer has the discretion to decline the proposed substitution.

WHAT IF A SUBSTITUTION IS NEEDED?

• Hungary has a waiver from compliance with DBA insurance requirements for workers who are covered by Hungarian

“COMPULSORY WORKERS’ COMPENSATION LAWS.”

• A copy of the terms of the Hungary waiver can be found at:

https://www.dol.gov/agencies/owcp/dlhwc/dbawaivers/dbawaivers

• This waiver does NOT apply to US citizens, lawful residents of the US, or employees hired in the US or to anyone not covered by Hungary’s compulsory workers’ compensation laws.

DEFENSE BASE ACT (DBA) INSURANCE

• For such employees, reference the RFP FAR Clause 52.228-3 Worker's Compensation Insurance (Defense Base Act) JUL 2014.

• The DBA covers persons employed at US defense bases overseas.

The DBA is designed to provide medical treatment and compensation to employees of defense contractors injured in the scope and course of their work for the U.S. Government.

• DBA insurance is commercially available from carriers and self-insured employers authorized by the Department of Labor (DOL). The DOL table of authorized carriers and self-insured employers is available at http://www.dol.gov/owcp/dlhwc/lscarrier.htm.

DEFENSE BASE ACT (DBA) INSURANCE, CONT.

• For construction work performed in the US, typically the US Government requires 100% Performance and Payment bonds issued by approved US surety companies (See FAR 52.228-15)

Those approved surety companies are often unwilling to bond projects outside of the US. If specifically allowed in the RFP (which it is here), a Bank Letter of Assurance (BLA) and after award a Bank Letter of Guarantee (BLG) may be submitted instead of the 100% performance and payment bonds.

• Other surety alternatives are also available as set forth in the RFP

Note: If a Joint Venture (JV), the Bank Letter of Assurance must cover the JV, not just one member of the JV.

BONDING REQUIREMENTS

VAT EXEMPTIONS AND REIMBURSEMENT

Pursuant to the Agreement on Defense Cooperation Between the Government of the United States of America and the Government of Hungary, this project is exempt from Hungarian Value Added Taxes (VAT).

United States contractors (non-Hungarian individuals and legal entities that are under contract or subcontract to the U.S. Government) when working solely for the purpose of supporting the U.S. Government in Hungary shall not be subject to any form of income or profits tax by the Hungarian Government.

U.S. contractors may utilize both the VAT exemption and reimbursement processes outlined in the RFP.

Hungarian contractors that do not meet the definition of a U.S. contractor are to utilize the VAT reimbursement procedures outlined in the RFP.

QUESTIONS?

PROJECT OVERVIEW:

INCREASE POL CAPACITY

MATT MAROSEK

A/E BLACK & VEATCH PROJECT MANAGER

KECSKEMÉT AIR BASE SITE OVERVIEW

General Scope

This is a Design-Build Project, the Contractor is responsible for the design and construction of an operational jet fuel storage facility using conventional design and construction methods in support of

EDI.

The facility must be compatible with applicable Host Nation, NATO, UFC, Department of Defense (DoD), and Air Force design standards.

Local materials and construction techniques shall be used unless required by another standard.

Design and construction will include two cut-and-cover fuel storage tanks, each on separate existing POL sites on the base (A & B)

The project scope also includes design and construction of all applicable support facilities including a POL operations building (site A), incoming fuel supply pipeline protection, site development, utilities and connections, lighting, lightning protection, repaving and road modifications, storm drainage connections, landscaping, and signage.

Surveys

Topographic Survey

Geotechnical Investigation

UXO Survey

All Additional Surveys required for permitting

Any Additional Surveys required for design

Design Submittals

Concept Design (35% Design Submission)

Interim Design (65% Design Submission

Final Design (95% Design Submission)

Corrected Final Design (100% Design Submission)

All Permits required for surveys, design, construction, etc.

As Built Drawing Submittal

Site A – Base

• 1900 m3 (1,900,000 L) cut-and-cover fuel storage tanks

• Fuel Piping

• Operations Building

• Concrete Access Pad

• Fire Protection System

• Supporting Utilities and Infrastructure

• Grading and Drainage

Site B - Base

• 1900 m3 (1,900,000 L) cut-and-cover fuel storage tank

• Fuel Piping

• Road Pavement

• Fire Protection System

• Supporting Utilities and Infrastructure

• Grading and Drainage

Option 1 Increase tank capacity to

(2) 2,500 m3 tanks

Option 2 Repave damaged roads on

POL site B

Repave the damaged roads in POL site B

Design for this option shall be included in the base contract.

Option 3 Provide Fuel Necessary for Commissioning

Provide pricing for the necessary amount of fuel to perform the commissioning of the new tanks including transportation to site and all other applicable costs.

Option 4 Dispose of Fuel Necessary for Commissioning

Provide pricing to remove the potentially contaminated fuel used to perform the commissioning of the new tanks including transportation off site and all other applicable costs.

Option 5 Dispose of Contaminated

Soil – 10 CM

Provide pricing for excavation and relocation of 10 cubic meters of contaminated soil to any location within base.

Option 6 Dispose of Contaminated

Soil – 10 CM to 100 CM

Provide unit pricing for excavation and relocation of 10 cubic meters of contaminated soil to any location within base.

USACE/U.S. GOVERNMENT

SPECIFIC REQUIREMENTS

1. Construction Quality Management Course

2. Safety

3. CPM Schedule & Payments

4. Resident Management System (RMS)

Course developed in partnership with Associated Builders and Contractors (ABC) and the Associated General Contractors

(AGC)

Details:

• Instructs Contractor Superintendents, Quality Control (QC) Staff, and Foreman in construction quality control and how it relates to Owner quality assurance (QA)

• Describes the QC/QA system successfully used by USACE

• Required prior to commencement of construction. [Refer to §01 45 00]

USACE CONSTRUCTION QUALITY MANAGEMENT (CQM) COURSE

Registration:

https://www.nau.usace.army.mil/Business-With-Us/CQM/

Upcoming Courses:

April 20-21, 2023 July 19-20, 2023 (Weds / Thurs) Oct 19-20, 2023

The course is now being offered through University of North Florida and there is a $250 fee for course attendance. For other questions regarding registration or course information please email CENAU-EC- CQM@usace.army.mil.

CONSTRUCTION QUALITY MANAGEMENT COURSE (CONT.)

SITE SAFETY AND HEALTH

Engineer Manual (EM) 385-1-1 USACE Safety & Health Requirements Manual:

http://www.publications.usace.army.mil/USACE- Publications/Engineer-Manuals/

USACE Specifications:

• 01 35 26 Safety and Health Occupational Requirements

• 01 45 01 USACE Quality Control

• 01 45 01.01 Additional Quality Control Personnel

PROJECT SCHEDULE (SECTION 01 32 01 )

The schedule is the basis for determining contract earnings during each update period and therefore the amount of each progress payment.

Activity cost loading must be reasonable and without front-end loading. Provide additional documentation to demonstrate reasonableness if requested by the Contracting Officer.

PAYMENTS

FAR 52.232-5 Payments under Fixed-Price Construction Contracts Monthly Invoices An itemization of the amounts requested, related to the various elements of work required by the contract covered by the payment requested.

A listing of the amount included for work performed by each subcontractor under the contract.

A listing of the total amount of each subcontract under the contract.

A listing of the amounts previously paid to each such subcontractor under the contract.

Additional supporting data in a form and detail required by the Contracting Officer.

RESIDENT MANAGEMENT SYSTEM (RMS)

• Comprehensive contract administration software used for ALL construction contracts.

• E.g. Submittals, schedules, pay estimates, contract modifications

CPM SCHEDULE, PROGRESS PAYMENTS AND RMS

The Resident Management System (RMS) is the contract administration programs designed by Resident Engineers. The systems provide an efficient method to plan, schedule, and control all aspects of construction.

Support and tutorials:

RMS Support Center YouTube Channel:

https://www.youtube.com/channel/UC_ID-JmaZgePmlrb2zdUOqg

RMS 3 Contractor Mode User Manual:

https://rms.usace.army.mil/datafiles/rmsdocwebsite/files/RMS3CM.pdf

Download RMS 3.0 Contractor Launcher:

https://rms.usace.army.mil/datafiles/rmsdocwebsite/files/RMSLauncherSetupKtr25.exe

Installing RMS 3.0 Contractor Mode https://rms.usace.army.mil/datafiles/rmsdocwebsite/files/Installing%20RMS%203.pdf

RESIDENT MANAGEMENT SYSTEM (RMS)

CONCLUSION /

FINAL REMINDERS

• Dates: 2 March Wednesday

• Time: 0930-1200 hrs *please arrive ahead of schedule

• Attendees: USG and KTRs

• Location: Kecskemet Air Base

• GPS coordinates: 46.9086°N 19.7528°E

PRE-PROPOSAL SITE VISIT

PRE-PROPOSAL SITE VISIT

FINAL COMMENTS / REMINDERS

Offerors with technical inquiries shall submit their inquiries via “Bidder Inquiry” in ProjNet at www.projnet.org\projnet.

Bidder Inquiry Keys: ZRF7C3-52BAY5.

• You may be disqualified for submitting a proposal that does not meet all of the requirements.

• Proposals must be submitted via RFP instructions.

Authorized point of contact

Lorraine Laurente Contract Specialist Email: lorraine.q.laurente@usace.army.mil

Chris Brackett Contracting Officer Email: christopher.brackett@usace.army.mil

POINTS OF CONTACT

Reference Section 00 00 00 - Procurement and Contracting Requirements

THANK YOU!