Pre-Soliciation Conference Industry Questions_Responses_Part V.pdf

1 | P a g e

12-Oct-22

Pre-Solicitation Conference Questions & Responses – Part V T-6A Texan II Avionics Replacement Program (ARP)

OVERVIEW QUESTIONS (General, Document Access, etc.):

1) Because the 2nd Draft RFP did not come out until 3 weeks after initially planned, will the original Final RFP proposed release date be extended by 3 weeks?

Response: An updated Draft RFP has been posted. Please continue to monitor www.SAM.gov for updated information. The Final RFP may be posted during the 1st quarter of FY23.

2) If there is a Continuing Resolution, can the Final RFP be released?

Response: The Final RFP can be released, but a contract cannot be awarded under CR. It is still the USG’s intent to award the contemplated contract 4th quarter FY23.

SMALL BUSINESS QUESTIONS:

1) 3.18.2 Subcontract Management. The Contractor shall ensure the following requirements are met IAW FAR 52.219-14, Limitations on Subcontracting: 1) Does not make sense- b) Supplies (other than procurement from a non-manufacturer of such supplies) – The Prime Contractor shall perform work for at least 50 percent of the cost of manufacturing the supplies, not including the cost of materials. 2) Impossible to comply with for small companies - All pertinent data right clauses imposed on the Contractor shall be flowed down to Subcontractor(s) and become part of the subcontract

Response: FAR Clause 52.219-14(Deviation 2021-O0008)(e)(2), Limitations on Subcontracting, states: “By submission of an offer and execution of a contract, the Contractor agrees that in performance of a contract assigned a NAICS code for supplies (other than procurement from a nonmanufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of material, to subcontractors that are not similarly situated entities . Any work that a similarly situated entity further subcontracts will count towards the prime contractor’s 50 percent subcontract amount that cannot be exceeded.”

Cost of materials is defined in 13 C.F.R. 125.1:

DEPARTMENT OF THE AIR FORCE

AIR FORCE LIFE CYCLE MANAGEMENT CENTER

TINKER AIR FORCE BASE OKLAHOMA

2 | P a g e o Cost of materials means costs of the items purchased, handling and associated shipping costs for the purchased items (which includes raw materials), commercial off-the-shelf items (and similar common supply items or commercial items that require additional manufacturing, modification or integration to become end items), special tooling, special testing equipment, and construction equipment purchased for and required to perform on the contract. In the case of a supply contract, cost of materials includes the acquisition of services or products from outside sources following normal commercial practices within the industry

Please note that SOW 3.18.2 will be updated to correct the current language to match FAR Clause 52.219-14 in the final RFP.

Also, the information addressed in a Govology article at https://govology.com/limitations-on-subcontracting-for-manufacturers-compliance-in-four-steps/ is very helpful in understanding the requirements of 52.219-14.

In addition, SBA has issued a class waiver of the nonmanufacture rule for NAICS 336411, waiving the requirement for the small business nonmanfacturer to supply the end item of a small business manufacturer, processor, or producer. Therefore, with the waiver in place, a small business nonmanufacturer can supply the end item of a large business manufacturer. FAR 19.505(b)(4)(iv) requires the contracting officer to provide potential offerors with written notification of any class or individual waivers in the solicitation. Therefore, this notification will be issued in the final RFP.

2) When apportioning the amount of small business content, do services need to be included in the calculation? Or are only supplies used to calculate 50% or more going towards small business?

Subcontracting, states: “When a contract includes both supplies and services, the 50 percent limitation shall apply only to the supply portion of the contract.”

Therefore, this clause for a supply contract applies only to the supply portion of the contract, not services.

Also, the information addressed in a Govology article at https://govology.com/limitations-on-subcontracting-for-manufacturers-compliance-in-four-steps/ is very helpful in understanding the requirements of 52.219-14.

3) What evaluation does the Government plan to conduct to ensure that offerors comply with the requirements in FAR 52.219-14, Limitations on Subcontracting, that would prohibit small business offerors from subcontracting more than 50% of the amount they are paid by the Government for contract performance—including any required hardware subcontracts—unless those subcontracts are to similarly situated small businesses?

Contractor agrees that in performance of a contract assigned a NAICS code for supplies (other than procurement from a nonmanufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of material, to subcontractors that are not similarly situated entities .” Compliance to this clause is either: By the end of

3 | P a g e the base term of the contract and then by the end of each subsequent option period; or by the end of the period of performance period for each order issued under the contract. The Final RFP will specify compliance per FAR Clause 52.219-14(f)(1). Per GAO case D&G Support Services, LLC, B-419245, B-

419245.3 (Jan. 6, 2021), “a small business’s proposal does not need to affirmatively demonstrate compliance with the “LoS” on Subcontracting. Instead, compliance is presumed, unless the proposal “on its face” should lead the procuring agency to conclude that the small business will not comply.” Please see link: https://smallgovcon.com/gaobidprotests/limitations-on-subcontracting-compliance-presumed-unless-proposal-clearly-shows-otherwise/

Also, the information addressed in a Govology article at

4) Given the extensive hardware procurement required to perform the proposed SOW, much of which may only be available from other than small businesses, will the Government conduct an independent evaluation of offerors ability to satisfy the requirements of FAR 52.219-14, Limitations on Subcontracting?

Contractor agrees that in performance of a contract assigned a NAICS code for supplies (other than procurement from a nonmanufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of material, to subcontractors that are not similarly situated entities .” Compliance to this clause is either: By the end of the base term of the contract and then by the end of each subsequent option period; or by the end of the period of performance period for each order issued under the contract. The Final RFP will specify compliance per FAR Clause 52.219-14(f)(1). Per GAO case D&G Support Services, LLC, B-419245, B-

419245.3 (Jan. 6, 2021), “a small business’s proposal does not need to affirmatively demonstrate compliance with the “LoS” on Subcontracting. Instead, compliance is presumed, unless the proposal “on its face” should lead the procuring agency to conclude that the small business will not comply.” Please see link: https://smallgovcon.com/gaobidprotests/limitations-on-subcontracting-compliance-presumed-unless-proposal-clearly-shows-otherwise/

Also, the information addressed in a Govology article at https://govology.com/limitations-on-subcontracting-for-manufacturers-compliance-in-four-steps/ is very helpful in understanding the requirements of 52.219-14.

In addition, SBA has issued a class waiver of the nonmanufacture rule for NAICS 336411, waiving the requirement for the small business nonmanfacturer to supply the end item of a small business manufacturer, processor, or producer. Therefore, with the waiver in place, a small business nonmanufacturer can supply the end item of a large business manufacturer. FAR 19.505(b)(4)(iv) requires the contracting officer to provide potential offerors with written notification of any class or individual waivers in the solicitation. Therefore, this notification will be issued in the final RFP.

4 | P a g e

5) SOW 3.18.2 and DRFP FAR Clause 52.219-14 reference both Services and Supplies under Limitations on Subcontracting. However, the SOLICITATION/CONTRACT (Standard Form 1447) has the FA8106-22-R-004 opportunity listed as “SUPPLIES” only under NAICS 336411 (Item 10. Items to be purchased.) Please clarify the distinction between services and supplies with respect to subcontracting by the Prime for the T-6

ARP.

Response: This is determined by the NAICS code identified on the SF 1447, which in this case is a supply NAICS. Therefore, the supply portion of the clause is applicable. FAR Clause 52.219-14(Deviation 2021-O0008)(e)(2), Limitations on Subcontracting, states: “When a contract includes both supplies and services, the 50 percent limitation shall apply only to the supply portion of the contract.”

Therefore, this clause for a supply contract applies only to the supply portion of the contract, not services.

Please note that SOW 3.18.2 will be updated to correct the current language to match FAR Clause 52.219-14 in the final RFP.

6) SOW 3.18.2 and DRFP FAR Clause 52.219-14. Specifically, how will avionics hardware be apportioned with respect to the 50% of contract value requirement for the Small Business Prime?

Contractor agrees that in performance of a contract assigned a NAICS code for supplies (other than procurement from a nonmanufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of material, to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count towards the prime contractor’s 50 percent amount that cannot be exceeded.” Offeror is responsible for determining allocation of material in their proposal.

Cost of materials is defined in 13 C.F.R. 125.1:

o Cost of materials means costs of the items purchased, handling and associated shipping costs for the purchased items (which includes raw materials), commercial off-the-shelf items (and similar common supply items or commercial items that require additional manufacturing, modification or integration to become end items), special tooling, special testing equipment, and construction equipment purchased for and required to perform on the contract. In the case of a supply contract, cost of materials includes the acquisition of services or products from outside sources following normal commercial practices within the industry

Also, the information addressed in a Govology article at https://govology.com/limitations-on-subcontracting-for-manufacturers-compliance-in-four-steps/ is very helpful in understanding the requirements of 52.219-14.

7) SOW 3.18.2 and DRFP FAR Clause 52.219-14. Specifically, how will avionics software

Business Prime?

5 | P a g e

Contractor agrees that in performance of a contract assigned a NAICS code for supplies (other than procurement from a nonmanufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of material, to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count towards the prime contractor’s 50 percent amount that cannot be exceeded.” Offeror is responsible for determining allocation of material in their proposal.

Cost of materials is defined in 13 C.F.R. 125.1:

o Cost of materials means costs of the items purchased, handling and associated shipping costs for the purchased items (which includes raw materials), commercial off-the-shelf items (and similar common supply items or commercial items that require additional manufacturing, modification or integration to become end items), special tooling, special testing equipment, and construction equipment purchased for and required to perform on the contract. In the case of a supply contract, cost of materials includes the acquisition of services or products from outside sources following normal commercial practices within the industry

Also, the information addressed in a Govology article at

8) SOW 3.18.2 and DRFP FAR Clause 52.219-14. Specifically, how will be COTS software

Business Prime?

Response: FAR Clause 52.219-14(Deviation 2021-O0008)(e)(2), Limitations on Subcontracting, states: “By submission of an offer and execution of a contract, the Contractor agrees that in performance of a contract assigned a NAICS code for supplies (other than procurement from a nonmanufacturer of such supplies), it will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of material, to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count towards the prime contractor’s 50 percent amount that cannot be exceeded.” Offeror is responsible for determining allocation of material in their proposal.

Cost of materials is defined in 13 C.F.R. 125.1:

o Cost of materials means costs of the items purchased, handling and associated shipping costs for the purchased items (which includes raw materials), commercial off-the-shelf items (and similar common supply items or commercial items that require additional manufacturing, modification or integration to become end items), special tooling, special testing equipment, and construction equipment purchased for and required to perform on the contract. In the case of a supply contract, cost of materials includes the acquisition of services or products from outside sources following normal commercial practices within the industry

Also, the information addressed in a Govology article at

6 | P a g e

OTHER CONTRACTUAL QUESTIONS:

1) Draft RFP Section B Narrative, Section B, item C (Page 3 of 102). Draft RFP Section B, item C, on page 3 of 102, requires the following: "In response to this Request for Proposals (RFP), the offeror shall prepare and submit certified cost or pricing data and supporting attachments in accordance with Table 15-2 of FAR 15.408. Further, the offeror shall (1) utilize the DFARS 252.215-7009, Proposal Adequacy Checklist (PAC), in pre-submission proposal quality reviews, and (2) furnish the completed checklist as part of their proposal submission." However, FAR 15.403-1 Prohibition on obtaining certified cost or pricing data (10 U.S.C. 2306 A and 41 U.S.C. CHAPTER 35) specifies that the contracting officer shall not require certified cost or pricing data to support any action when the prices agree upon are based on adequate price competition. Therefore, please remove this requirement from the Final RFP.

Response: The requirement for certified cost and pricing data will not be removed. However, this requirement is only applicable if the Contracting Officer determines that there is insufficient information available to determine price reasonableness and none of the exceptions in FAR 15.403-1 apply.

2) Draft RFP/Section I, Contract Clauses. Please add clause FAR 52.249-14 Excusable Delays to Section I Contract Clauses.

Response: Per FAR 49.505(b), FAR Clause 52.249-14 Excusable Delays, shall be inserted in solicitations and contracts for supplies, services, construction, and research and development on a fee basis, when a cost-reimbursement contract is contemplated. As this effort is contemplated as a Firm-Fixed Price contract, this clause will not be included in the Final RFP or possible resulting contract.

3) Draft RFP/Section I, Contract Clauses. Please add clause FAR 52.216-4 Economic Price Adjustment-Labor and Material to Section I Contract Clauses.

Response: Per FAR 16.203-4(c), FAR Clause 52.216-4 Economic Price Adjustment-Labor and Material, shall be inserted in solicitations and contracts when all of the conditions of FAR 16.203-4(c)(i)-(iv). The USG team has reviewed the conditions listed and determined that not all the conditions have been met. Therefore, this clause will not be included in the Final RFP or possible resulting contract.

4) Draft RFP/Section I, Contract Clauses. Section L.5.3.6 indicates that the Service Contract Labor Standards apply to this requirement and requires a table in the Price Volume to conform offeror job categories to the applicable SCLS Wage Determination.

Additionally, the provision at 52.222-48 is not checked as applicable or included in Section I. Therefore, please add associated contract clauses to Section I such as FAR.52.222-41, 52.222-42, and 52.222-43 or 52.222-44, as applicable and as prescribed in 48 CFR § 22.1006.

7 | P a g e

Response: Per FAR 22.1003-1, this subpart does not apply to individual contract requirements for services in contracts not having as their principal purpose the furnishing of services. As the principal purpose of this effort is supply with embedded services, the Service Contract Labor Standards does not apply.

Therefore, Section L 5.3.6 will be corrected to remove this requirement.

5) Draft RFP/Section I, Contract Clauses. This program poses considerable cash flow challenges. Since the contract is set aside for small business concerns, please add FAR clauses 52.232-28 Invitation to Propose Performance-Based Payments and 52.232-32 Performance-Based Payments to Section I Contract Clauses.

Response: The Final RFP will include FAR Clause 52.232-16, Progress Payments to address cash flow issues.

6) SOW (RFP Appendix A)/SOW 6.2 Aircraft Induction. SOW 6.2: Reference "aircraft shall be managed under the GFR/GGFR approved Contractor procedures": Please add DFARS 252.228-7001 to the contract clauses.

Response: DFARS Clause 252.228-7001 will be included in the final RFP.

7) DRAFT RFP II/ Section B and Section E. DISCUSSION: Inspection and Acceptance for Kit/Material CLINs are typically performed at Origin by facility delegated DCMA representatives. Those representatives open boxes, sample piece parts, etc. However, in this solicitation, Inspection and Acceptance are listed as Destination.

RECOMMENDATION: Recommend changing the place of Inspection and Acceptance to Origin and specifying the FOB location for the following CLINs: 0017, 0020, 0022, 0023, 1022, and 1023.

Response: It is the USG intent that kits are to be shipped to a military/DoD base, where they will be inspected and accepted by the USG COR. It is not the USG’s intent for DCMA to conduct inspection and acceptance of kits at origin.

8) DRAFT RFP II and Pricing Matrix/ 'Section B Minimum/Maximum, revised CLIN structure, annual BEQs in Pricing Matrix. DISCUSSION: Based on the Section B Minimum/Maximum narrative, we understand that the Government will issue Delivery Orders to acquire all requirements. However, the Government's ordering intent is unclear.

Using CLIN 0022 as an example, the Government could issue a single delivery order for the total planned quantity of aircraft production kit buys that are scheduled for delivery in the base period (i.e., 442 AC kits). Or, given that the Pricing Matrix has been designed to obtain pricing for each year, the Government could intend to break up the buy into delivery orders issued annually (i.e., 120 AC kits in each year). Or the Government could intend to issue delivery orders for smaller quantities of kit buys (i.e., 10-20 AC kits). QUESTION:

Can the Government explain its contemplated ordering approach?

Response: The SOW Appendix B provides a notional production planning schedule. However, as the contemplated contract is an Indefinite Delivery and

8 | P a g e

Indefinite Quantity (IDIQ) type contract, this approach allows flexibility for the USG schedule and funding availability.

TECHNICAL QUESTIONS:

1) SOW (RFP Appendix A)/SOW 3.21.4 Cybersecurity. SOW 3.21.4: Is the Information System Security Manager (ISSM) the USAF ISSM for the program?

Response: Yes, that is correct.

2) SOW (RFP Appendix A)/SOW 4.6 Base Site Survey. SOW 4.6: Will a Base Site Survey be conducted at each of the 5 locations where multiple aircraft/ATD will be modified?

Response: Yes, that is correct. This has been updated to SOW Section 4.7. The awardee will be required to complete this prior to aircraft installation.

3) General\FAA Type Certificate Number A00009WI. Can the Government provide a complete listing of the aircraft OEM serial numbers?

Response: The awardee will be provided the information after contract award.

4) The Computer Cyber requirements, Supplier Performance Risk System (SPRS) for bidders is extraordinarily steep. (NIST 800-171 compliance remains via contract clause referencing DFARS 252.204-7012).

Response: The Supplier Performance Risk System (SPRS) “...is the authoritative source to retrieve supplier and product Performance Information (PI) assessments for the DoD acquisition community to use in identifying, assessing, and monitoring unclassified performance.” Although NIST 800-171 compliance remains, DFARS 252.204- 7012 ensures the following:

o Cyber incident reporting requirement o Malicious software o Access to additional information or equipment necessary for forensic analysis o Subcontracts submitting a request to vary from a NIST SP 800-171

Therefore, any deviation from DFARS 252.204-7012 would require notification to the USG with justification on how the system will be protected from any known threats and would require approval from the USG prior to proceeding.

5) SOW (RFP Appendix A)/SOW 10.0 Technical Orders (Aircraft Only). SOW 10.0 Technical Orders: Will the Government provide the Contractor editable source data and graphics for the current aircraft configuration?

Response: It is not the USG’s intent to provide the information as described.

9 | P a g e

6) Does the Program Systems Model need to include original cockpit hardware that interfaces with the new ARP scope components?

Response: The ARP Program Systems Model consists of all modelling and digital artifacts within the scope of the ARP modification. This includes the internal and external interfaces.

7) Is the Program Systems Model modelling requirement only applicable for the ARP modification scope, or to include original cockpit hardware models as well?

Response: The ARP Program Systems Model does not include components outside of ARP scope. The ARP Program Systems Model does not include replaced components.

8) Does the ATD Program Systems Model need to fully simulate the functions and behaviors of the cockpit components, avionics systems, and additional cockpit control logic paths in an interactable digital environment?

Response: Yes, the ATD Program Systems Model does need to fully simulate the functions and behaviors of the cockpit components, avionics systems, and additional cockpit control logic paths in an interactable digital environment.

9) We would like to get confirmation on the temperature requirement on Page 18, Table 3 of the ARP SRD. Could the government confirm the “High Operating” temperature? It is above the DO-160G and MIL-STD-810H, we understand that avionics may be designed for higher values, but it’s showing that it’s only tested to the spec requirements.

Response: This is currently under review; any updated information will be added to the SRD prior to release of the Final RFP.

10) DRAFT RFP II and SOW/ Section B CLIN 0013 and SOW 5.12.6. The SOW states, "After successful completion of ASIL testing, three (3) A-Kits and B-Kits will be ordered for the kit proof and the Val/Ver installations. These kits will be referred to as the Kit Proof, the Val/Ver, and the Spare." However, CLIN 0013 lists a quantity of 2 installs. Is this correct or should CLIN 0013 have a quantity of 3?

Response: No, the quantity for CLIN 0013 remains 2 and is the mock-up kit for PT-406 and the Physical Prototype for the prototype install at Randolph AFB, TX.

CLIN 0017 is the CLIN for the Kit Proof, the Val/Ver, and the Spare order.

11) SOW/ 'SOW 6.0 Aircraft Modification Requirements (Aircraft Only). DISCUSSION:

SOW 6.0 states: "The Contractor’s CFT shall perform all maintenance IAW FAA regulations..." QUESTION: Do any of the aircraft to be modified currently have an "N" number? Will any of aircraft have "N" numbers assigned to them after the modification?

10 | P a g e

Response: DoD aircraft rarely have “N” numbers assigned. None of the T-6A aircraft have “N” numbers assigned.

12) SOW 6.5 Post Installation (Aircraft Only). SOW 6.5 states: "The Contractor shall perform the Operational Checkout IAW STC installation requirements". Is an in-flight Operational Checkout required or just a Ground Operational check out?

Response: The USG will fly an FCF after receipt of an ARP modified aircraft. Per SOW 6.6: “The Contractor shall deliver with each modified aircraft, a completed FAA Form 8130-31, and copies of any USG approved Requests for Deviation that are specific to that aircraft. The Contractor shall transfer possession of the aircraft back to the USG via DD Form 1149 for acceptance. The Contractor shall coordinate with the USG Representative for inspection and acceptance and release of the aircraft. If the USG experiences problems with a newly ARP modified aircraft, the Contractor shall provide services to remedy the problem as directed by the USG.”

13) General\FAA Type Certificate Number A00009WI. Can the Government provide a complete listing of the aircraft OEM serial numbers? The successful offeror will be required to prepare a Supplemental Type Certificate (STC) for this modification. The STC must list the OEM serial number for each and every aircraft modified.

Response: The awardee will be provided the information after contract award.

14) As noted in Draft RFP II, Section M, paragraph 2.2.4, as a part of the evaluation of Factor 1 Technical, Subfactor 4: Schedule, the Government will review the proposal for proof of Associate Contractor Agreements, subcontract agreements, or Letters of Intent with specified OEMs, component vendors, CLS provider, and integrator. Can the Government please post -- as soon as possible -- the contact information (e.g., name, title, phone number, email address) for the relevant points of contact in the following organizations:

Pratt & Whitney Chelton Cobham Delaware Resource Group Extant Aerospace Honeywell L3Harris General Electric Scientific Research Corporation

Response: The USG does not possess or intend to publish a list of POCs requested.