Compressed Gases and Cylinders RFP SPE4A615R0340

Upon evaluating the offerors' final proposal revisions, it became obvious that two ambiguities in the solicitation must be addressed. This amendment is being issued to address those ambiguities and to reopen discussions with the offerors.

First, DLA Aviation is removing the following language from Section M, Section 3(A), Factor(2)(1): "In arriving at a best value decision, the Government reserves the right to give positive consideration for performance in excess of threshold requirements, up to the objective requirements. No further positive considerations will be given for performance in excess of the objective requirements." DLA Aviation did not identify which requirements were "threshold" and which requirements were "objective," therefore the language identified above simply created confusion.

Second, DLA Aviation did not clearly identify which estimated annual demands (EADs) it would utilize when evaluating the offerors refurbishment pricing for purposes of calculating an offeror's total evaluated price (TEP). DLA Aviation is now providing you with Schedule B21, which reflects the actual number of cylinders (by NSN) refurbished in any manner, during the last calendar year of performance under the present contract. DLA Aviation is now providing Schedule B21, Refurbishment EAD. This schedule includes only the NSNs in the solicitation that, are, in fact capable of refurbishment. For those cylinders that were refurbished in any manner during the last calendar year of performance under the present contract, the actual number of cylinders (by NSN) have been provided. For those NSNs capable of refurbishment, but were not refurbished during the last calendar year, DLA Aviation listed an EAD of 1. To account for the fact that every action listed on B15, Refurbishment & Disposal Services & Pricing, will not occur during every refurbishment, a factor of .3 will be applied when calculating the refurbishment portion of the TEP. To be clear, Schedule B21 is provided for evaluation purposes only. An offeror shall not assume that this is an indication of refurbishments/disposals that will actually occur under the contract. Schedule B22 is included to provide an example of the refurbishment/disposal evaluation.

To clarify this ambiguity and to better articulate how an offeror's TEP will be calculated, Section M, Section 3(C) has been updated to reflect the following changes:

Total Evaluated Price. A TEP will be calculated for evaluation purposes only and used to assist in determining the best value to the Government. The TEP will be calculated as follows:

Material Pricing: All items to be priced in SOW Attachment 1 of the RFP, at the quantities stated. The total material price will be evaluated by multiplying proposed pricing times the estimated annual demand times 9 (rather than 10 to account for the transition period).

Management Fee and Throughput Fee will be evaluated by adding the fee offered for each year to arrive at a ten-year value.

Cylinder Refurbishment Fees will be evaluated by multiplying the EADs at Schedule B21 times the offeror's proposed prices times a factor of .3 to arrive at an extended amount for year one of the contact. Any proposed escalation factor will be applied to contract years two (2) through ten (10). All 10 years will be added to arrive at a total estimated price for refurbishment/disposal.

The Transition Fee will be added to the evaluated Management Fee, Throughput Fee, and Cylinder Refurbishment Fees to arrive at a 10-year total service fee.

The 10-year total service fee will be added to the material pricing to arrive at an offeror's final TEP for purposes of evaluation.

Offerors are advised that the evaluation of item prices shall not obligate the Government to award each item.

A copy of Section M containing the above changes has been attached.

The following changes have been made to the SOW:

Section 6.7.4.1 Delivery has been changed to add:

E: Empty cylinders in Condition Code A shall not be shipped /issued to CONUS customers if their Hydrostatic expiration date (requalification date) is due within 30 days.

F: Empty cylinders in Condition Code A shall not be shipped /issued to OCONUS customers if their Hydrostatic expiration date (requalification date) is due within 180 days.

MSDSs (Material Safety Data Sheet) are no longer accepted. All mentions of MSDSs have been removed from the following sections:

2.0, Government Responsibilities, Section C

6.2, Safety Data Sheets

6.4, Electronic Submission of SDS Data Set - Requirements

A copy of the SOW containing the above changes has been attached.

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