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Anonymous 2010

First task order negotiation

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The Air Force requires that we obligate the first task order at the time of the award of the master IDIQ. We are working a SABER award that utilizes RSMeans as the Unit Price Guide. Does anyone see any issues if we state that we are not using the first task order project in the evaluation and will instead negotiate the task order line items and quantities with the selected awardee?

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2 hours ago, Anonymous 2010 said:

Does anyone see any issues if we state that we are not using the first task order project in the evaluation and will instead negotiate the task order line items and quantities with the selected awardee?

I presume that you are in the process of awarding the SABRE contract and that your question pertains to the award process. Is that correct? If so...

Negotiate when? Prior to award or after award?

Issues with what? The evaluation process or the obligation of funds?

Why do you mention your use of RS Means? How is it relevant to your question?

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On 2/9/2017 at 9:19 AM, Vern Edwards said:

I presume that you are in the process of awarding the SABRE contract and that your question pertains to the award process. Is that correct? If so...

Negotiate when? Prior to award or after award?

Issues with what? The evaluation process or the obligation of funds?

Why do you mention your use of RS Means? How is it relevant to your question?

We would have to negotiate prior to award of the basic because the Air Force requires the first task order to be awarded at the same time as the master IDIQ.

Issues with only negotiating the first task order line items and quantities with the master IDIQ awarded and not all offerors.

RSMeans is relevant in that we are not using a bid schedule of identified line items and we won't have apples to apples comparison of line items or prices in the IGE and proposal like you would using a bid schedule.

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Anon, how does this process comply with the requirement to  "include cost or price to the Federal Government as an evaluation factor that must be considered in the evaluation of proposals"?

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Anon2010, do the offerors propose a multiplier coefficient or coefficients to be applied to the RS Means estimating database for each year or option of the contract?  I'm guessing that, when you include a seed task order, each offeror would develop its own material and labor takeoffs and price them IAW RS Means and its own labor rates then apply the proposed coefficient to determine a price for the task.  Is that correct?  

Edit: I read the IGI5336.9201, Chapter 3. It suggests having the competitors propose a sliding scale of coefficients, based upon the size of the task and normal vs overtime work, etc. It suggests either using an updated RS Means or other cost estimating database annually, with static coefficients, or establishing separate coefficients for each year of the contract with no updates to the database. The database is also localized for the applicable site. 

It RECOMMENDS using a sample task order "to be awarded later" under the contract.  Competitors will individually perform quantity takeoffs and apply the coefficient factors to determine the price of the task. I assume that this helps the AF to visualize the effect of at least the first year's proposed coefficient(s) on the project price for price comparison purposes. 

Unless another policy applies, the sample task with binding quantities and price is only a recommendation in the IG.

At any rate the process uses binding coefficients, which ought to partially answer Retreadfed's question. 

I can see some real advantages to using binding sample task vs. negotiating the first task after award.  Regardless, the organization should have skilled estimators and negotiators for subsequent task order negotiating  

Are you still engaged here, Anon?  

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