Free Supplemental Brief - District Court of Federal Claims - federal

Case 1:03-cv-00289-FMA

Document 17

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UNDER DP4S 115 CFR

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DEFENSE LOGISTICS AGCJCY DEFENS PERSONNEL SUPPORT Cf3TER
191018636

DEFENSE PERSONNEL SUPPORT CENTER OFFER DEPOSITORY BLDG 9.4TH FLOOR. WING F 2800 SOUTH 20TH STREET PHILADELPHIA, PA 19145

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S e a l e d offtrs u:!: be recetlcdat thc Deienqc- Persn el S u port enter. .+TT\: DPSC MPO , B l i p 9 - 1 - F . unrll (hour) 7. PM toc3! t i m t ' d v r r ' . To a s s u r e prompt d e l l v e r \ , m J 1 i c 2 ofierh s h o s ! ~ ! a d d : e + s e b m : r c n l c t r a n c m l s s ~ o n . p r block -.I, and handcarr~edoffers d e l i v e r e d t c the s r e c l f l r x iocatior: set forth I D block - _ I f ,-fierlng. \ o u r replv envelopc must be p l a l n l v marked a-lth t h e solic~ta:~nn number. d31e 3n2 : : - , e s c ~ tor:F; r : r c r e : p oi oiitrs o

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FAlLURE TO SUBMIT OFFER. See Section Provision No. 5 2 . 2 1 4 - 9 o r 5 2 . 2 1 6 - 1 5 . L. When not respondingto t h e s o l c i t e t i o n w l t h n offer. a cornpleIethereverseside.fold. attia postageandmail. LATE SUBMISSbONS, MODIFICATIONS AND WITHDRAWALS:See Section L. provision No 5 2 . 2 1 4 - 7 o r 5 2 . 2 1 5 - 1 0 8 1 otfers are subject 10 all terms and conditions contained in thls solicitation. 1
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NOTICE- ANY CONTRACT AWARDED TO A CONTRACTOR WHO. AT THE TIME OF AWARD W A S SUSPENDED. DEBARRED. IMELIGIBLE RECEIPT CONTRACTS FOR OF WIT)! GOVERNMENT AGENCIES IN OR RECEIPT OF A NOTICE OF PROPOSED D E B A R M E N T F R O M A N Y G O V E R N M E N T A G E N C Y . VOIDABLE AT THE OPTION OF THE GOVERNMENT. IS

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U n i tMd d i c a lp p l y e e Su Co., 5 1 1 7 N o r t h e a s tP a r k w a y F o r to r t h , W TX 76106

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Case 1:03-cv-00289-FMA
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SOLICITATION NO.
OFFER SL`BIIITTED FOR REASOS(S) CHECKEC
CANNOT COMPLY W I T H SPECIFICATIONS CANNOT MEET DELIVERY REOU)REUENT

NOOPENPRODUCTION

C A P A C I T Y AT PLAhT

00 NOT REGULARLY MANUFACTURE ITEMS INVOLVED

OR

S E L L THE TYPE

OF

O T H E R (Sprcll,-)

WE D O M DO NOT DESIRE TO BE RETAINED ON THE MAtUNGU S T FOR FUTURE PROCUREMENT OF THE FO
NAME AND AOORESS OF `FIRM (Include zlp eode)
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NAME AND T I T L E OF S ~ C N E F

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DEFENSE LOGtSTICS AGENCY DEFENSE PERSONNEL SUPPORT CENTER AlTN: DPSC-MPO 2800 SOUTH 20TH STREET P. 0. BOX*8419 PHILADELPHIA. PA 19101-8419

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Case 1:03-cv-00289-FMA

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SOLICITATION NO. DLA120-93-R-0587

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3

GENERAL INFORMATION FOR OFFERORS

...................................

The Defense Personnel Support Center (DPSC), Directorate of Medical Materiel is establishing a "Prime Vendor" program for brand name specific and generic medical supplies. A "Prime Vendor" is a business concern that functions as a purchaser's primary source for specified classes of products. A prime vendoris responsible for the delivery of goods produced by various suppliers to the customer upon order. DPSC Medical is selecting regional prime vendors for brand name specific and generic medical supplies covering two product classes pharmaceuticals and medical/surgical items. Presently, these items are purchased locally by the military medical facilities. Each prime vendor will be the primary supplier of one of the designated product classes member hospitals in a given geographic region. Under this program, the prime vendors chosen by DPSC will furnish the participating hospitals with the majority their normal day-to-day requirements for brand name of specific and generic medical supplies. DPSC Medical will establish approximately regions covering the 22 continental United States plus Alaska and Hawaii. There will be two prime vendors per region one for pharmaceuticals and one for medical/surgical items. Each prime vendor will be responsible for supplying all of the medical items that are listed on Distribution and Pricing Agreements (see below) ordered by the participating medical facilities in the specific region.Two separate solicitations and contracts will be issued and awarded for each region for - one pharmaceuticals and one for medical/surgical items.

fo

As part of the program, are establishing "Distribution and Pricing we Agreements" (DAPA's) with pharmaceutical and medical/surgical product manufacturers. Under a DAPA, the agreement holder consents to allow prime vendors selected by DPSC Medical to distribute its products to participating hospitals and agrees that the prime vendor will be charged no more that the prices set forth in the agreement. Orders will not be directly placed against the DAPA's; they are being used only to establis pricing and to obtain the right for our prime vendors to distribute an agreement holder's products. The DAPA's will be used to facilitate "charge-back" arrangements between the agreement holders and DPSC Medical's prime vendors. It will be the responsibility of the prime vendor to establish the necessary "charge-back" arrangements with the DAPA holders. DPSC may also issue Indefinite Delivery Type Contracts (IDTC's) f o r specific productsto be distributed by the prime vendor. The prime vendor will be required to obtain these specific products fro the listed sources. The price charged by the prime to the ordering activities will not exceed that cited in the IDTC plus the offeror's negotiated distribution fee. At the time award of each prime vendor contract, DPSC will provide of the selected prime vendor a copy of all DAPA's and IDTC's either electronically or in a paper format. NOTE: THIS SOLICITATION WILL RESULT IN THE SELECTION A OF MEDICAL/SURGICAL PRODUCTS PRIME VENDOR FOR THE LONE (TEXAS/OKLAHOMA/NEW MEXICO) see Attachmentm. STAR REGION

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SOLICITATION NO. DLA120-93-R-0587 NOTICE ........."...

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Page

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CAUTION

1.

This is a Source Selection Acquisition:

Award will be based on factors other than or price alone. cost Evaluation factors f o r award are contained in DPSC Clause 52.215-9P19 EVALUATION FACTORS FOR AWARD" on page 67 . Source evaluation and selection procedures are contained in DPSC Clause 52.215-9P20 "SOURCE EVALUATION AND SELECTION PROCEDURES" on . Offerors should also familiarize themselves with the DPSC page Handbook for source selection. Copies are available upon request from the Contracting Officer. 2. DPSC Clause 52.215-9P12 "INSTRUCTIONS FOR PREPARING PROPOSALS" on pages 5-y thru 6.5 of the solicitation should be reviewed carefully prior to commencing preparation of your proposal. Proposals which do not provide the required information in the prescribed format as cited in DPSC Clause 52.215-9P12 may be excluded from further consideration. Technical proposals must be devoid of all discussions or references to price.

3 . After the closing date of the solicitation, the contracting officer may require offerors to furnish cost and/or pricing data as part of their business proposals. The necessary forms and instructions will be furnished at that time, if cost and/or pricing data is required by the contracting officer after the closing of the solicitation.

4 . In the event that an annual company or division wide subcontracting plan is submitted in response to this solicitation under an offeror's Business Proposal, offerors are reminded that the plan should cover th company's fiscal year, which must be identified. Offerors should refer to FAR 52.219-9, "SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS SUBCONTRACTING PLAN".

5. A Requirements type contract is contemplated with option to the extend the effective period of the contract for four additional one year 5 years (see periods. The total length of the contract would not exceed Clause 52.217-9P10, page 36 ) . Offers on the options are mandatory. Failure to offer on all options will result in an offer being elimina from further consideration. A determination of price reasonableness for these line items shall be made prior to award.

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DLA120-93-R-0587 SOLICITATION Page NO.
i-

_SECTION B
SCHEDULE OF SUPPLIES

3 y

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The offeror, if awarded this contract, shall be paid for each on a medical/surgical product ordered and delivered which appears DPSC Medical Distribution and Pricing Agreement (DAPA) an Indefinite or on Delivery-Type Contract (IDTC), plus the offeror's negotiated distribution fee. For an item covered bya DAPA, the prime vendor will furnish the product at the price cited on the agreement plus the offeror's negotiated distribution fee. For an item covered by an IDTC, the prime vendor will furnish the product from the source listed under the IDTC at a price which does not exceed the price set forth in the IDTC offeror's the plus negotiated distribution fee. The prime vendor shall only accept orders for and shall only furnish, under the contract, products which are a part of the DPSC Prime Vendor Program. The offeror is to insert in the spaces provided below its proposed distribution fees for both the initial 1-year contract ordering period and for each the 4 yearly option periods covering all of the medical of facilities listed on Attachment m. The distribution fee must be the same for all of the covered facilities. However, offerors may propose different fees for each of the ordering periods. Partial offers based on only some the of considered. listed facilities will not be

The evaluationof option lines does not obligate the Government to exercise any of the options. The offeror's proposed distribution fee is to be expressed as percentage ( % ) and shall be based on performance in a accordance with the contract's Statement Work. Of OFFEROR'S DISTRIBUTION FEE: PROPOSED DISTRIBUTION FEE

LINE ITEM NO.

TIME PERIOD

1

0001

INITIAL FIRST SECOND THIRD FOURTH

YEAR YEAR YEAR YEAR YEAR

0002
0003
0004
0005

OPTION OPTION OPTION OPTION

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SOLICITATION NO. DLA120-93-R-0587
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SECTION B SCHEDULE OF SUPPLIES

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I

ESTIMATED

ANNUAL REQUIREMENTS:

I

Based on a 12-month reporting period, the medical treatment facilities that will be covered by the contract locally spent an estimated $ 27,500,000.00 per year for those-typesof consumable and disposable medical/surgical products and hand-held surgical instruments covered by the proposed contract. No guarantee is given that this volume will be purchased. It should be noted that during the first of the contract year each facility will begin to reduce its existing inventory of medical/surgical products. Orders will be placed through the Prime Vendor as existing inventories are reduced to lower levels. This may effect the volume of ordering during the base ordering period.
EVALUATION OF OFFERS:

I

The

Government
(1)
(2)

will

evaluate

price

offers by:

I

Multiplying the annual estimated requirements for the base ordering period and each option period by the offeror's distribution fee for each period and then Adding the dollar figure for each year to arrive at the total cost for the distribution fee for the entire 5 years. information, refer SECTION M to
-

For

additional

clause 52.217-9P14(M).

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SOLICITATION NO. DLA120-93-R-0587 SECTION C STATEMENT OF WORK (SOW)

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I II andOnly items delivered

1. The contractor (Prime Vendor) shall provide all medical/surgical products f o r which the Prime Vendor has been authorized as a distributor under DPSC Medical's Distribution and (DAPA's) or 1 under Indefinite Delivery-Type ContractsPricing Agreementsthe contract, (IDTC's). Under the Prime Vendor shall distribute the medical/surgical products to the participating medical treatment facilities specifiedAttachment I I in on I accordance with the terms and conditions set forth in the contract. "Drop" shipments directly from the product manufacturers are prohibited. appearing on a DPSC Medical or IDTC willbe ordered DAPA under the Prime Vendor contract. The items appearing on the pricing agreements are brand name specific or generic commercial products which are identified by the manufacturer's commercial item descriptions. All items conform to the manufacturer's commercial specifications. Estimated requirements listed in Section reflect B annual estimated requirements based upon usage figures provided by the participating medical facilities.

2. Each medical treatment facility will be responsible for its own ordering of items required. At time contract award, the successful of of offeror will be furnished the name(s) individuals authorized to purchase against this contract for each facility included in this I of day contract. Orders may be placed up to and including the last the contract period for routine and emergency delivery.

Implementation Plan:

The contractor must * submit a plas to the Contracting Officer outlining how it intends implement the Prime Vendor Program at of the to each activities listed under the contract. The Government shall approve, conditionally approve or disapprove the contractor's plan 5 days within after receipt. The Government reserves the right to require additional plans if the initial submission(s) are not approved. The plans shall be submitted in accordance with the schedule cited on Attachment IV . Conversion must be accomplished within the transition period indicated below. Failure to complete the conversion within the transition period may result in the contract being declared in default. Transition Period/Commencement Schedule:

To ensure sufficient administrative time has been allowed for continuity of services at required performance levels as as well anticipated inventory levels, the Prime Vendor Program shall commence at each activity in accordance with the schedule on Attachment listed All contract costs associated with the transition period shall be borne by the contractor. Participating facilities currently maintain an inventory of stock-on-hand. The inventory will be reduced during the transition period through normal attrition. Orders will be placed with the Prime Vendor as needed as existing inventories are reduced.

x.

+

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SOLICITATION NO. DLA120-93-R-0587
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SECTION C
STATEMENT OF WORK (Continued)
5.

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The contractor shall also meet the following minimum performance requirements for each ordering activity cited in the contract:

a. Maintain, at a minimum, a 5 % monthly fill-rate for each activity. 9 Supplies shall be furnished on a4"fill-or-kill" basis. an order for If an item can not be filled by the prime vendor when ordered the reque for that particular item will be automatically "killed", i.e. cancelled unless the activity has previously approved delivery of a substitute. However, if the contractor can partially fill an order for an item, it be shall do so and in such a situation the remaining quantity will automatically "killed" unless the activity has previously approved delivery of a substitute. For the purposes this contract, the fill of rate is defined below.The fill rate will be individually calculated on a monthly basis for each participating medical facility and shall be based only on those products, ordered by a medical facility, for which the Prime Vendor has been authorized as a distributor. The Fill-Rate level will be calculated follows: as Fill-Rate
=

100%

-

Controllable Factor+ Non-Controllable Factor where the Filled Lines

(%I
Controllable Factor ( % )
=

Total

Lines Completely Unfilled1/2 Partial + Ordered Lines Total and

Non-Controllable Factor =

Manufacturers' Backordered Lines Total Lines Ordered

include any line item that Note: "Total Lines Completely Unfilled" shall is completely unfilled where 50% or more of the quantity ordered is or discrepant. Discrepant conditions are definedas follows: (i) Products delivered in error by the contractor due to mispicking; (ii) Damaged items; (iii) Unauthorized substitutions; (iv) Products whichdo not meet the expiration/shelf life dating requirements of the contract.

"Partial Filled Lines" shall include any line item, not included in th above, where the quantity delivered is less than the quantity ordered. The contractor shall receive 1/2 credit for each partially filled line. "Manufacturers' Backordered Lines" shall include all lines which are completely unfilled or only partially filled due solely to manufacturers' backorders. The contractor shall receive full credit for each line completely unfilled and 1/2 credit for each partially filled line. Conditions: Participating facilities must provide the contractor with usage information six 6 ) weeks priorto start-up. The initial 60 days ( from start-up of each particiPatina facilitv will be exempt from then S calculation. Items ordered bv a facilitv whose ae usaqe

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SOLICITATION NO. DLA120-93-R-0587

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SECTION C STATEMENT OF WORK (Continued) provided or product quantities of the most exceeding the prior day usage will be 45 recent exempt month in from the question calculation.

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b. Accept receipt of non-emergency orders on its electronic order _entry system at all times between the hours ofA.M. and 5:OO P.M, 8:OO local time, Monday through Friday.

The contractor shall accept, on a daily basis,15 individual up to delivery orders from each ordering point cited in the contract. The contractor shall package each order separately for delivery to the medical treatment facility delivery point(s) cited in the contract.

NOTE: An individual delivery order number will be assignedeach to order by the ordering activity at time of placement non-emergency of each and emergency order. Each delivery order number will include 17 characters consisting of the 13 character contract number, e.g. DLA12093-D-7012, plusa 4 character supplementary identification number, e.g. B007. The 1 3 character contract number will remain fixed the entire for term of the contract. The supplementary number will be unique for each order and may be any combination of alphas and numerics.
d. Deliver all orders for non-emerqency supplies within 24 hours of 8:OO receipt of the order. Deliveries will be made between the hours of A.M. and 5:OO P.M.,local time, Monday through Friday, excluding holidays. Orders received on a Friday will be delivered on the following Monday.

e. Deliver all o r d e r s f o r s e i within 6 hours o f receipt of the order in 100% the cases. Provide emerqency e l i v e x of d serviceoffice ordering 2 Frovide 4 hours each contractor's the of ber wlth tne telepnone representative responsiblefor providing this service. Delivery of items on an emergency basis will be by fastest possible carrier if emergency shipments are requested by the ordering activity. contractor will The provide a minimum two ( 2 ) emergency shipments per month no of at additional charge to the participating medical facility. Any additional emergency shipments requested by the ordering activity in excess of two (2) per month can be charged to the medical facility including all applicable transportation and handling costs as agreed to between the requesting medical facility and the prime vendor.
f. Accept delivery orders and invoice only for products which are part of the DPSC Prime Vendor Program. The contractor shall only deliver products which are a partthe DPSC Prime Vendor Program. of

g. Possess a fully operational on-line electronic order entry (EOE) or link system with customer access via direct dedicated dial~-Upmetnoti w i i c h e q u i r e no reprogramming on the-part of the Government. contractor's EOE system shall accommodate, either tne oraeri5g otfices' assigned 17 alpha/numeric character delivery order number in its or entirety, e.g. DLA12093D7012B007, only the final 4 alpha/numeric character supplementary identification number, e.g. B007.

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SOLICITATION NO. DLA120-93-R-0587 SECTION C
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STATEMENT OF WORK (Continued) The contractor's EOE system shall include electronic on-linean -"price and Product" cataloa listina all items tunder C Prime Vendor h w Program. If non-Program items are alsollstea, t l Gvrm-? e oener that a distinction be made between Program and non-Program items.

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NOTE: The participating ordering activities cited in the contract currently have IBM-compatible personal computers, modems and printers facilitate electronic order entry. Participating medical facilities will provide the dedicated phone linetheir expense. at

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h. If contractor-owned software and/or hardware is furnished, the contractor shall be responsible its installation and maintenance. for All such software and/or hardware shall remain the property of the contractor and will be returned at the conclusion contract. of the If Government-owned software and/or hardware is utilized by the Government, it shall be installed and maintained by the Government.

i. Furnish detailed information concerning its electronic ordering systems to the Government to facilitate the establishment of a direct interface between the contractor's electronic order entry system(s) and each ordering office's computerized materials management system. After award of the contract, it is the i ion the t o G to provide for electronic order n i o f f i c e ' s e materials management system directly into the selected urime vendor's electronic order entry system, including receipt of order confirmation. Towards that end, the Government will separately commission the servic of a systems consultant and integration firm to set up a uniform interface with the selected prime vendor's systern(s).

j. Provide an electronic order confirmation to the ordering office within two hours following transmission of the order from the participating medical facility. At a minimum, the confirmation will include item identification, quantity to be delivered, unit of issue, delivered price, and delivery order number. Additionally, if a preapproved substitute item is to be delivered, it shall be noted on t confirmation. Furthermore, all unfilledor partially filled items shall be listed. The confirmation shall be capable of being printed at the ordering office.

k. 3 a m within the "start-up" Deriod specified in the contract. The facility staff shall be provided with adequate training on the contractor's electronic order entry system. Adequate training is defined as: "Training sufficient for participating medical facility staffto use the order entry system without assistance." Training will be for a minimum employees at each facility 4 of or ordering activity. The training shall include all aspects of the contractor's electronic order entry system. A contact person and telephone number must be provided in the event additional instruction necessary.
1.
to el. av ci ht -y

Provide 2 sets of any/all existing and available training manuals,

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SOLICITATION NO. DLA120-93-R-0587 SECTION
C

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STATEMENT OF WORK (Continued) m. If contractor-owned equipment is furnished, emergency service and repair calls shall be made an on unlimited basis at additional cost to no the Government. Upon receipt of notice that any part of the contractorowned equipment is not functioning properly, the contractor shall, within 2 4 hours after notification by the Government, furnish a qualified representative to inspect the equipment and perform all repairs and adjustments necessary to restore the equipment to normal and efficient operating condition. If repairis not feasible, contractor shall provide replacement. By either repairor replacement, the participating medical facility shall not be without an on-line order entry f o r more than system 48 hours. Contractor shall not be responsible for any repairs or replacement parts necessitated by neglect of Government employees, as improper such application, maintenance, alteration, or by factors external to the or equipment such as deficiencies in air conditioning, humidity control or electrical power. Repairs necessitated by abuse, neglect, vandalism, Acts of God shall be performed under separate purchase order issued by the participating facilities and shall not be performed under this contract.
n . The prices cited in the contractor's electronic on-line "price and product" catalog shall represent the "delivered" price for each product. Only a product's delivered price shall be cited. A product's delivered price shall be computed as follows:

................................

(i) the price of the product itself, as negotiated and published in a DPSC DAPA IDTC, plus or (ii) the Prime Vendor's distribution fee, plus (iii) the applicable DPSC administrative fee. Price Product Example:
$20.00

Distribution Fee (5.0%) + 1.00 Subtotal $21.00 DPSC Administrative Fee (1.0%) + .21 PriceDelivered $21.21

The DPSC Administrative Fee is applied to the subtotal which consists o the product price plus the contractor's distribution fee. At the of time award, the Government will furnish the contractor all current and product pricing information appearing a DPSC DAPA IDTC and the current DPSC on or administrative fee. The DPSC administrative fee shall subject to be change, normallyon 1 October of each year the contract in effect. is
0. Reporting Requirements- The contractor shall provide the following reports:

( 1 ) Provide its standard monthly, quarterly, and annual report packages to each participating medical facility. Any report provided to the participating medical facility which lists pricing shall cite the of work. The reports "delivered" price as set forth in this statement must.be furnished no later than 15 calendar days following the end of the reporting period, and

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SOLICITATION NO.

DLA120-93-R-0587

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SECTION

C

STATEMENT OF WORK (Continued) (2) Provide within 15 calendar days following the end each of quarter, the following information in ASCII Single Density Format (SDF) on 3 1/2" or 1/4" double-sided, high density diskettes. 5 The data will be required for each facility covered under the contract. The information will be provided to: Contracting Officer, Prime Vendor Team, Defense Personnel Support Center, Directorate of Medical Materiel, Hospital Branch, 2800 o . 20th St., Phila., PA 19145, ATTN: DPSC-MPH S MEDICAL/SURGICAL PRIME VENDOR TEAM. The information the diskettes on will be in the following format:

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I

Position

Description DoD Activity Address Code Part Number Item Description Size Package Sizeor Order Unit Unit Price Total Units Purchased Costs of Units Purchased DAPA/IDTC number Prime Vendor Contract # W7PE78 A-074636-12 Bandage 11 x 2
12 or 1000

Example

01-06 07-25 26-46 47-62 63-69 70-77 78-89 91-99
100-112

111-123

524.32 12 6291.84 DLA120-9X-X-XXXX DLA120-94-D-XXXX

( 3 ) Monthly Fill-Rate - In accordance with the fill-rate formula cited in this SOW, the contractor shall furnish a monthly reDort to the, DPSC contractingofacer irldicatina the fill-rate percentaae for each zarticipating facility and a summary fill-rate coverinq all participatinq facrlltles. A copy of the individual facility's monthly fill-rate report shall also-be furnished to the applicable facility. The report shall include for each activity the total number of lines ordered, the total number of lines completely filled, the total number of lines completely unfilled, the total number of lines partially filled, the total number backordered lines and the calculated fill-rate. The reports shall be received by the DPSC contracting officer and individual facilities no later than 5 business days after the last day of the month being reported.

Electronicall p. r e m d e l i v e r y order to the, p a y m e n t r c o r d a n c e with the American X12 Standards, 810 transaction set. Xational Standards Institute (ANSI) >he Government requires that all electronic invoices be transmitted through a third-party network commonly known as a Value-Added Network (VAN). Each trading partner (Prime Vendor and Government) shall be responsible for the costs of its third-party network.

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Only one electronic invoice shall be submitted per delivery order. The total dollar value cited on an invoice shall be based the on solely product prices, as cited in a DAPA or IDTC, plus the contractor's DPSC distribution fee. The ordering office's assigned delivery order number consisting of 17 alpha/numeric characters, e.g. DLA12093D7012B007, shall be cited in its entirety the electronic invoice. on

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SECTION

C

STATEMENT OF WORK (Continued) Payment will be made 15 days after receiDt of a valid invoice or sucplies, whichever is later. Payihent will be made via electronic funds transfer (EFT) to the contractor's financial institution unless the contractor requests payment via check.
X12 q. Implement, within two years of contract award, ANSI standards for electronic data interchange (EDI) for all other required business documents set forth in the statement of work i.e. orders, order confirmation/exception, price and product catalog. Each trading partner (Prime Vendor and Government) shall be responsible for the costs of third-party network.

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its

r. Provide only dated/shelf life products bearing an expiration 3 I( 4 date/shelf life with at least o a s remaining upon delivery to the 6 m Government. For those produccs which have an initial expiration/shelf life of 6 months or less provideat least 7 5 % of the dating.

s. Preservation, Packaging, and Packing: Unless otherwise specified, preservation, packaging, and packing shall be to a degree of protection to preclude damage to containers and/or contents thereof under normal shipping conditions and handling and which conforms to normal commercial practices, and applicable carrier regulations involving shipment from the contractor to the receiving activity for storage and reshipment from the receiving activity. Shipping container shall be in compliance with National Motor Freight Classification and Uniform Freight Classification. Commercial marking not interfering with the clarity or positioning of required markings on containers need not be obliterated.
t. Provide product recall notification regardless level to each of participating facility and the DPSC Medical Quality Assurance Division 2800 South 20th Street, Philadelphia, PA 19.145, Attn: DPSC-MQ within 2 days of notification from the manufacturer its supplier. or

u. Accept returns under the following conditions for replacement, if the ordering activity still requires the product(s):
(1)
(2)

products were shipped in error; products were damaged in shipment; ( 3 ) products with concealed shipping damages; ( 4 ) products which are recalled (The contractor shall be responsible for handling all recalled products except when the manufacturer's policy states otherwise. If a direct recall is issued, the contractor shall forward the manufacturer's disposition instructions to the activity and the contracting officer); (5) products which do not meet the expiration/shelf life dating requirements of the contract unless otherwise authorized by the Contracting Officer or ordering activity.

The contractor shall issue an "open credit" covering any returned material. The "open credit" shall able to be utilized for any be subsequent order.

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SOLICITATION NO. DLA120-93-R-0587 SECTION C STATEMENT OF WORK (Continued)
. . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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if'

a

v. Deliver all biohazardous drugs, pharmaceuticals, and chemicals in separate container marked as a biohazard.

w. The Prime Vendor will obtain Material Safetv Data Sheets (MSDS's) and Hazard Warning Labels (HWL's) (when 29 CFR 1910-1200 applies) from suppliers upon receipt of applicable items. All MSDS's obtained will be provided to the contracting officer the ordering activities upon or request. 3 vendor will furnish the medical; facilities with all applicable MSDS's uDon initial delivery covered, of ems The prime vendor will also be responsible maintain all MSDS's to h L r s (when 29 CFR 1910-1200 applies) on file from suppliers providing hazardous material. The prime vendor shall also assure that all hazardous material is labeled correctly. Hazardous Material includes any material defined as hazardous the latest version Federal Standard 313. MSDS's must meet the of requirements of 29 CFR 1910-1200 (9)and the latest version of Fed-Std-313. Labeling shall on the item:
(1)
(2)

under

be

in

accordance

with

one

of

the

following,

depending

Federal Insecticide, Fungicide, and Rodenticide Act Federal Food, Drug, and Cosmetics Act Consumer Product Safety Act Federal Hazardous Substances Act Federal Alcohol Administration Act, if the material is no or subject to one of the above acts, the Hazard Communication Standard 29 CFR 1910-1200.

(3)
(4)

(5)
(6)

x. Packinq I l i a : A packing list/slip shall be enclosed with each shipmsnt to indicate contractor, delivery order number, date of order, itemized list of supplies included in the shipment, quantity, ordered items shipped, and delivered price.
c

To assure that all receiving activities can properly identify items requiring special handling and storage, the contractor shall annotate i packing list with the following notation: "REQUIRES SPECIAL HANDLING AND/OR STORAGE." Examples of the special handling and storage statements include the following: "STORE BETWEEN 2 degrees - 8 degrees C (35 degrees - 4 6 degrees F)"; "KEEP FROZEN"; "FLAMMABLE".
Limited unrefrigerated medical material shall indicate the maximum remaining allowable time that the material can remain unrefrigerated the timeof delivery to the receiving activity.

a

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"
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SOLICITATION NO. DLA120-93-R-0587 SECTION C

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STATEMENT OF WORK (Continued) To assure that all ControlleLwstances can be properly identified by the receiving activities the contractor shill annotate the following statement on its packing list for those orders which require Controlled Substances: "CONTROLLED REQUIRES SUBSTANCE

.............................

*

STORAGE.

'I

Contractor will enter the words "VAULT" "LIMITED ACCESS". In or accordance with federal requlations, these druas are identified bv a distinctive Controlled Substance Schedule SymbGl. This symbol appears only on the immediate container carton. "VAULT" is tobe used for or is to items bearing Symbol C-11, "LIMITED ACCESS" be used for items bearing Symbol C-111, C-IV or C-V. Use of the word "narcotics" on shipping containersor packing slip is prohibited. y. Notify each ordering office any manufacturer backordered item of which its usage reports indicate it orders.
z. Provide a substitute different brandor generic product for the or specified product ordered only with permission from the Contracting Officer or ordering activity.

of aa. A contractor's representative shall make a minimum one scheduled sales visit per month to each participating facility to discuss customer satisfaction. Additional visits may be requested at the discretion of the Contracting Officer ordering activity. or (End of Statement of Work) Special Notes Failure to perform in accordance with the terms of the contract (including fill-rate) may be cause for default in accordance Termination For Default clause of the contract. with the

Inspection and Acceptance: Government inspection and acceptance of all supplies will be performed at the receiving medical facility by an authorized Government representative. Rejected goods will be held subject to contractor's order for not more than days, after which the 15 rejected merchandise will be returned to the contractor's address at of his/her expense. Expenses incident the examination and testing to materials or supplies which have been rejected will be charged to the contractor's account. THE REQUIREMENTS DESCRIBED IN THE ABOVE CITED STATEMENT REPRESENT OF WORK THE MINIMUM NEEDS OF THE GOVERNMENT. OFFERORS SUBMIT PROPOSALS THAT MAY EXCEED THE ABOVE CITED MINIMUM REQUIREMENTS. SELECTIONTHE PRIME OF VENDOR WILL BE MADE BASED ON F FTHE WHICH DEMONSTRATES THE HIGHEST O ER PROBABILITY OF SUCCESSFUL PERFORMANCE A REASONABLE, REALISTIC PRICE AT IS WHERE TECHNICAL QUALITY MORE IMPORTANT THAN PRICE (SEE CLAUSE 52.2159P19).