PWS_(MHE)_-_FBO.docx

PERFORMANCE WORK STATEMENT (Revised)

Maintenance and Repair of Material Handling Equipment (MHE) for USFK

1. GENERAL:

This is a non-personnel service contract to provide Maintenance and Repair of Material Handling Equipment located at multiple United States Forces Korea (USFK) installations throughout Korea peninsula. The Government will not exercise any supervision or control over the contract service providers performing the services herein. Such contract service providers shall be accountable solely to the Contractor who, in turn is responsible to the Government.

1.1. Description of Services/Introduction: The contractor shall provide all personnel, equipment, supplies, facilities, transportation, tools, materials, supervision, and other items and non-personal services necessary to perform repair and maintenance of Material Handling Equipment (MHE) as defined in this Performance Work Statement (PWS) except for those items specified as government furnished property and services.

1.2. Background: In order to alleviate the problems associated with challenging situation, maintenance and repair service is required to provide professional logistical support to requiring units and agencies. This contract maintenance will afford the USFK units ability to program maintenance and establish continuity while maintaining in Korea Theater of Operations (KTO).

1.3. Objectives: The contractor shall repair and maintain inoperable Material Handling Equipment (MHE) to keep in good working condition.

1.4. Scope of Work: The Contractor shall provide Inspection, Maintenance, Repair, Replacement of Parts and Test of Material Handling Equipment manufactured by Korean company. Painting service and MHE manufactured in overseas shall not be covered under this contract. All work under this contract shall be accomplished in accordance with commercial service manuals and parts manuals. The commercial service manuals and parts manuals shall be acquired by the contractor. This contract will not cover Air Force, Navy, Marine and Special Operation Command Korea.

1.5. Period of Performance: The period of performance shall be for one (1) year Base period and four (4) 12-month option years. The Period of Performance reads as follows:

1.6. Place of Performance: Basically, all requirements under this contract shall be performed at the Government unit maintenance facility or at the site where the MHE is located except when it is impossible to repair inoperable MHE at the Government unit maintenance facility due to nature of repair. Inoperable MHE shall be repaired at the contractor’s repair facility when the nature of repair does not allow for the MHE to be repaired at the Government unit maintenance facility, on the spot or Government unit maintenance facility is not available. If Material Handling Equipment is required to be repaired at the Contractor’s repair facility, the contractor shall obtain approval from Quality Assurance Specialist at Defense Contracting Management Agency (DCMA) via a written email or certain document prior to transportation of the MHE to the contractor’s repair facility.

1.7. Type of Contract: This is Requirement-type contract with a Firm Fixed Price (FFP).

1.8. Quality Control Plan: The Contractor shall meet the minimum quality standards.

1.8.1. Service Quality: The contractor shall develop and maintain an effective Quality Control Program (QCP) to ensure services are performed in accordance with this PWS. The contractor shall develop and implement procedures to identify, prevent, and ensure non-recurrence of defective services. The contractor's quality control program is the means by which he assures himself that his work complies with the requirement of the contract. The QCP shall be submitted as part of the proposal and will be technically evaluated by the Government to ensure proper QCP performance at the phase of the award of the contract. QCP shall indicate the following things: Address overall project management and administration.

1.8.1.1. Describe a method acceptable to the Government of identifying deficiencies in the quality of service performed under this contract before the level of performance becomes unacceptable and address processes for corrective actions without dependence upon Government direction.

1.8.1.2. Establish an inspection system covering all services required by this contract. This plan shall specify areas to be inspected on unscheduled basis and the title of the individual who will do the inspection.

1,8.1.3. Contain specific quality control techniques and standards for contract services identified in the Performance Requirements Summary (PRS) and Inspection of Services Clause list. The quality control methods shall be comprehensive and adaptable to the reporting systems of the QCP. Control measures must be specified and metrics developed to ensure accurate program monitoring.

1.8.1.4. Require documentation of all contractor quality control inspections and corrective actions to be maintained by the contractor throughout the term of this contract. Inspection documents and the corrective action taken shall be made available to the Contracting Officer or designated representative.

1.8.2. Applicability of Quality Control Plan (QCP): The QCP shall be used by the contractor to collect data, evaluate and document performance against standards associated with each specific requirement for each MHE. Performance is measured by assessing the required workload quantity in terms of quality and timeliness. The contractor shall identify what items the contractor will inspect under its comprehensive Quality Control (QC) for each task listed in the PRS table.

1.9. Quality Assurance: The government will evaluate the contractor's performance under this contract In Accordance With (IAW) the Quality Assurance Surveillance Plan (QASP). This plan is primarily focused on what the Government must do to ensure that the contractor has performed IAW the performance standards. It defines how the performance standards will be applied, the frequency of surveillance, and the minimum acceptable defect rate(s).

1.10. Warranty:

1.10.1. Warranty Period: Warranty period for maintained and repaired Material Handling Equipment (MHE) shall be for six (6) months from the date the MHE is returned to service. Warranty shall apply to only parts and works addressed in DA Form 2404 at the time of repair.

1.10.2. Re-Performance and Cost: Under this warranty provision, the contractor shall re-perform work, rectify or remedy any defects, deficiencies or inadequacies. The contractor shall bear all costs incurred as a result thereof including transportation for pick-up and delivery of the MHE.

1.10.3. Warranty Coverage: Warranty does not apply to the following things.

• Improper or negligent storage, operation, maintenance, modification or repair by the Government

• Combat damage

• Acts of God

• Failure by the Government to perform prescribed maintenance

• Misuse or abuse by the Government

1.11. Hours of Operations:

1.11.1. Hours of Operation: The Contractor shall have a responsibility for conducting business, between the hours of 0800 – 1700, Monday through Friday except U.S. Government legal holidays or when the Government facility is closed due to local or national emergencies, administrative closing, or similar Government directed facility closings.

1.11.2. Holidays:

U.S. Government legal holidays and ROK Government legal holidays are as follows:

U.S. Government legal holidays

1 January (New Year’s Day) 3rd Monday, January (Dr. King’s Birthday) 3rd Monday, February (President’s Day) Last Monday, May (Memorial Day) 4 July (Independence Day) 1st Monday, September (Labor Day) 2nd Monday, October (Columbus Day) 11 November (Veterans Day) 4th Thursday, November (Thanksgiving Day) 25 December (Christmas Day)

ROK legal holidays

1 and 2 January (New-year) Lunar New Year (31 December 1 and 2 January on the Lunar Calendar) 1 March (Independence Movement Day) 1 May (Labor Day) 5 May (Children’s day) Buddha’s Birthday (8 April on the Lunar Calendar) 6 June (Memorial Day) 17 July (Constitution Day) 15 August (Liberation Day) Chu-Suk (14, 15, and 16 August on the Lunar Calendar) 3 October (National Foundation Day) 25 December (Christmas Day)

1.12. Contractor Qualifications:

1.12.1. Prime Contractor: The work shall be performed by the prime contractor and cannot be subcontract out.

1.12.2. Relevant Experience: The Contractor shall have at least two (2) years of experience within the last five (5) years in maintenance and repair of Material Handling Equipment.

1.12.3. Contractor’s Registration and Certification: The contractor shall possess the following Registration and Certification issued by Republic of Korea (ROK) Government or ROK local Government.

1.12.3.1. Business Registration (사업자등록증)

1.12.3.2. Registration of Construction Equipment Maintenance and Repair (All types, or Forklift) [건설기계종합정비업 (전기종, 혹은 지게차)].

1.12.3.3. Certificate of Facility Registration for Construction Equipment Maintenance and Repair (All types, or Forklift) [건설기계종합정비업 (전기종, 혹은 지게차) 공장등록증명서]

1.12.4. Contractor’s Personnel Qualification:

1.12.4.1. Contract Manager (CM): The contractor shall provide a CM who has minimum two (2) years of prior experience performed as a CM with operations involving maintenance and repair of MHE within the last five (5) years. The CM shall have good English communications skills without repeated explanation by a Government representative.

1.12.4.2.Technician: The Contractor’s technician shall have a license of a construction equipment maintenance technician (건설기계정비기능사) issued by ROK government, and have at least two (2) years of prior experience for maintenance and repair of MHE.

2. DEFINITIONS AND ACRONYMS:

2.1. Definitions: None

2.2. ACRONYMS:

3. GOVERNMENT FURNISHED ITEMS AND SERVICES: N/A

4. CONTRACTOR FURNISHED ITEMS AND RESPONSIBILITIES:

The contractor shall furnish all necessary consumables, replacement parts and all other resources to perform maintenance and repair of inoperable MHE service upon receipt of delivery orders.

4.1. Genuine Parts and Fabricated Parts: The Contractor Furnished Material shall be genuine but may be fabricated in case that replacement parts are not available due to disconnection of production of the MHE and other unavoidable circumstances. The contractor shall indicate on replacement part cost estimate whether replacement parts are genuine or fabricated.

4.2. Recycled Parts and Salvage Parts: Recycled parts and salvage parts shall not be used.

4.3. Logistics Cost Sharing (LCS) funds Requirement: All necessary consumables, replacement parts, and all other resources to perform this contract shall be hundred (100) % made in Korea.

4.4. Contractor’s Acquired Parts:

4.4.1. Pre-Priced Repair Parts (Exhibit Line Item Number (ELIN)): The price for the replacement parts shall follow the price schedule in the Appendix D- Exhibit Line Items (Pre-Priced Repair Parts).

4.4.2. Un-Priced Parts:

4.4.2.1. The Contractor shall submit three (3) vendor quotes to the Quality Assurance Specialist at Defense Contract Manager Agency (DCMA) and 19th ESC. The quote shall include part manufacturer, part description and part number of the defective component being replaced and the estimated cost of the new item. The contractor shall provide material for the Government to verify the reasonableness of the price such as copy of published price in the information on Commodity Price (ICP) book and/or commercial market price list and/or other document along with the quote as much as possible.

4.4.2.2. The Contractor shall provide a copy of tax invoice (세금계산서) for purchased part to DCMA along with invoice for payment.

4.5. Technical Manual: Contractor shall acquire commercial service manuals and parts manuals necessary for maintenance and repair of MHEs.

4.6. Transportation of MHE: The Contractor shall provide transportation of MHE required for repair to the Contractor’s facility if the MHE is required to be repaired at the Contractor’s facility.

5. SPECIFIC TASKS:

5.1. Pre-Shop Analysis and Cost Estimate:

5.1.1. The contractor shall perform a technical inspection and pre-shop analysis on inoperable Material Handling Equipment (MHE) to determine the extent of maintenance and repair required. The contractor shall prepare a cost estimate for the work including estimated man-hours by work category and work description. DA Form 2404 (Equipment Inspection and Maintenance Work Sheet) per MHE will be utilized to document all requirements under application of repair work. All deficiencies and defects found shall be recorded on DA Form 2404 in Appendix C-Equipment Inspection and Maintenance Worksheet. If subsequent to the contractor's performance of technical inspection and pre-shop analysis for MHE, the Government determines that repair will be performed, and then the Contracting Officer will issue a delivery order which includes the Contractor's costs for maintenance and repair.

5.1.2. The Contractor shall submit a completed DA Form 2404 per MHE to the U.S. Government Quality Assurance (QA) specialist at Defense Contract Management Agency (DCMA) for verification of necessary repair and maintenance work and man/hour determination within five (5) working days after pick-up of Material Handling Equipment.

5.1.3.The U.S. Government QA specialist shall submit a verified DA Form 2404 per Material Handling Equipment to the Requiring Activity identified below for preparation of Purchase Request Commitment (PR&C), DA Form 3953 within three (3) working days after receipt of DA Form 2404 from the Contractor. The Contractor shall start repair work only upon the issuance of a Delivery Order (DD Form 1155) by the Contracting Officer.

Requiring Activity is as follows:

5.1.4. Travel cost of Contractor’s personnel for inspection shall be included in Contract Line Item (CLIN) 0001, 1001, 2001, 3001, and 4001, Inspection and Pre-Shop Analysis. Government will not separately pay travel cost of Contractor’s personnel for inspection.

5.2. Pick-Up and Delivery of Material Handling Equipment: The Requiring Activity will prepare Purchase Request and Commitment (PR&C), DA Form 3953 for pick-up and delivery of the MHE by the contractor after QA specialist at DCMA determines that the MHE shall be repaired at the Contractor’s repair facility and send the PR&C to DCMA for issuance of delivery order. The contractor shall pick up and transport Material Handling Equipment required for repair to the contractor’s repair facility within three (3) working days after receipt of the Delivery Order and shall deliver the repaired Material Handling Equipment to using unit after final test. The contractor shall provide all transportation, labor and equipment for loading and unloading of Material Handling Equipment. The contractor shall make arrangement with using unit representative before pick-up and delivery.

5.2.1. Transportation Cost: Transportation cost for CLIN 0002, 1002, 2002, 3002, and 4002 shall be calculated using short ton mile as following formula:

Short Ton Mile X Unit Price (Short Ton Mile: Weight [Ton] of MHE X Distance [Mile])

5.2.1.1. Weight means weight of MHE itself, not capacity of MHE. The contractor shall provide a copy of specification published by MHE manufacturer including weight of MHE itself for Government’s verification.

5.2.1.2. The distance means mileage from the address of contractor’s repair facility to the address the nearest to installation where inoperable MHE is placed and in reverse. The distance retrieved from the following website shall be utilized for calculation of mileage. The contractor shall provide address to use for retrieval from internet website.

http://www.naver.com

Addresses of the following installations shall follow the addresses depicted in Appendix B- Historical Data of Driving Distances for Transportation of MHE and Repair Frequency by Location of MHE.

Camp Casey, Camp Hovey, Camp Coiner, Camp South Post, K-16 Air Base, Camp Humphrey, Sunghwan (AD #3), Jaecheon (AD #5), Gwanchon (AD #6), Youngdong (AD #8), Jeonui (AD #11), Gimcheon DRMO, Camp Carroll, and Camp Walker.

5.2.1.3. Cost for loading and unloading will be included in the transportation cost.

5.2.1.4. Transportation cost shall be applicable only when a vehicle carries MHE. i.e. Transportation cost shall not be applicable when the vehicle goes to pick up MHE and comes back after repaired MHE being returned to service.

5.3. Contractor shall perform repair and maintenance of defective MHE in accordance with commercial service manuals and part manuals published by manufacturers

5.4. Final Test: The contractor shall conduct final test to ensure that the maintained and repaired MHE is in a good, safe, and properly functioning condition before delivery.

5.5. Record of Maintenance and Repair History:

The contractor shall record maintenance and repair of each MHE by serial and make/model number. The purpose of the record is for the Government to track down how much maintenance and repair cost incurred on each MHE and how often the same MHE is repaired. The contractor shall provide the record to the Requiring Activity upon Government’s request. The record shall contain at least the following items:

• MHE serial number

• Manufacturer

• Model

• Delivery order number

• Award of delivery order date

• Award amount

• Pick-up and delivery date

• Pick-up and delivery location

• Description of performance by line items

• Description of replacement parts including part number

• Price of each repair part

6. APPLICABLE DOCUMENTS: None

7. CONTRACT REQUIREMENT DELIVERY LIST (CDRL):

DA Form 2404, 5.1.1 5.1.2

8. PERFORMANCE REQUIREMETNS SUMMARY (PRS):

8.1. The contract performance requirements are summarized in performance objectives that relate directly to mission essential items. The performance threshold briefly describes the minimally acceptable levels of service required for each requirement.

8.2. The PRS and the contractor's QCP provide information on contract requirements, the expected level of contractor performance and the expected method of government validation and confirmation of services provided. These thresholds are critical to mission success. Procedures as set forth in the FAR 52.212-4 (a), Contract Terms and Conditions - Commercial Items, Inspection/Acceptance, will be used to remedy all deficiencies. The QA or designated representative will conduct the inspections, and any deficiencies are to be provided to the contractor in writing.

8.3. PRS

Para Performance Threshold

Surveillance

All deficiencies and defects found shall be recorded on DA Form 2404. Contractor shall prepare a completed DA Form 2404 per Material Handling Equipment to the QA for verification of necessary repair and maintenance work and man-hours determination within 5 days of receipt of items.

at no additional charge within 5 days after the 1st due date 100% inspection by DCMA QA

at no additional charge within 3 working days after the 1st due date 100% inspection by DCMA QA

Contractor shall perform repair and maintenance work for MHE IAW commercial service manuals and part manuals.

at no additional charge 100% inspection by DCMA QA

Contractor shall perform test IAW commercial service manual

at no additional charge 100% inspection by DCMA QA

Contractor shall record history of maintenance and repair of MHE

at no additional charge 100% inspection by DCMA QA

9. APPENDIX:

Appendix A - List of MHE Model

Appendix B- Historical Data of Driving Distances for Transportation of MHE and Repair Frequency by Location of MHE.

Appendix C-Equipment Inspection and Maintenance Worksheet

Appendix D- Exhibit Line Items (Pre-Priced Repair Parts).

10. CONTRACTOR MANAGEMENT REPORTING (CMR): The Office of the Assistant Secretary of the Army (Manpower & Reserve Affairs) operates and maintains a secure Army data collection site where the Contractor shall report ALL Contractor manpower (including subcontractor manpower) required for performance of this contract. The Contractor shall completely fill in all the information in the format using the following web address https://Contractormanpower.army.pentagon.mil. The required information includes: (1) Contracting Office, Contracting Officer, Contracting Officer’s Representative (COR); (2) Contract number, including task and delivery order number; (3) Beginning and ending dates covered by reporting period; (4) Contractor's name, address, phone number, e-mail address, identity of Contractor employee entering data; (5) Estimated direct labor hours (including sub-Contractors); (6) Estimated direct labor dollars paid this reporting period (including sub-Contractors); (7) Total payments (including sub-Contractors); (8) Predominant Federal Service Code (FSC) reflecting services provided by Contractor (and separate predominant FSC for each sub-Contractor if different); (9) Estimated data collection cost; (10) Organizational title associated with the Unit Identification Code (UIC) for the Army Requiring Activity (the Army Requiring Activity is responsible for providing the Contractor with its UIC for the purposes of reporting this information); (11) Locations where Contractor and sub-Contractors perform the work (specified by zip code in the United States and nearest city, country, when in an overseas location, using standardized nomenclature provided on website); (12) Presence of deployment or contingency contract language; and (13) Number of Contractor and sub-Contractor employees deployed in theater this reporting period (by country). As part of its submission, the Contractor shall provide the estimated total cost (if any) incurred to comply with this reporting requirement. Reporting period shall be the period of performance not to exceed 12 months ending September 30 of each government fiscal year and must be reported by 31 October of each calendar year. Contractors may use a direct XML data transfer to the database server or fill in the fields on the website. The XML direct transfer is a format for transferring files from a Contractor’s system to the secure website without the need for separate data entries for each required data element at the website. The specific formats for the XML direct transfer may be downloaded from the website.