ML20246N831

Contract: Diagnostic Evaluations, Awarded to Parameter, Inc

ML20246N831
Person / Time
Issue date:	07/07/1989
From:	Lofy R, Wiggins E NRC OFFICE OF ADMINISTRATION (ADM), PARAMETER, INC.
To:
Shared Package
ML20246N799	List: ML20246N796 ML20246N831
References
CON-NRC-26-89-289 NUDOCS 8907200050
Download: ML20246N831 (80)

Text

{{#Wiki_filter:.- - _ J 3 .w I , AWARD / CONTRACT i TsiS CONTRACT IS A CATl D ORDER a A'a' V" tJNOEH DPAS 11b CrR 3501 1 l 3

1. 6 67ir R AL i sfrne. est. ident.s NO.

J. U e EC T 4VE DA T E

4. HEQut&4 a 40N/PURCHA5E REQUE6 TiPROJLs. I NL)-

NRC-26-89-289 IJuly7.1989 RS-AED-89-289

3. 3sUEO av CCg, ;

uCMw E Rm o m ornma.a n,"' " cODEl U.S. Nuclear %gulatory Commission j Division of Ccntracts & Property Ngmt. l Washington, DC 20555 4 l

7. NAME AND ACO R ESS OF CON T A AC TO R fNo, staret. city. cpuntv. afste sna /M Codr#

' 8. O ELI V ai.R Y FOB ORIGIN QTHER tsce twlawa Parameter, Inc. S. o'scoua r roR aaOMar aAv M*.N r 13380 Watertown Plank Road Elm Grove Wisconsin 53122 NET s

10. SUBMIT IM OICES isTEM ti copses unlesa utner.

waar spectfreds ?? THE l 12 CODE 1FAClLITV CODE I ADDRESS SHO.* N IN-I } 1. sag s P T O/M A n n p ; 4

12. P o. 'DeT WILL BE MADE Sv Ste Section F.5 Herein CCDEg U.S.duclearRegulatoryComEI1 Mon Division of Accounting & Finance GOWCOM Section Washington, DC 20555

13. AUTHOR Tv 8 CR s5iNG OTHE A T*AN FULL AND OPEN COMPETi.

14. ACCOUNTING AND APPROPRI AT sCN OAT A TION:

] 10 U.S C. 23* ] 41 U S.C. 2531cH A: I I 15A. ITEM NO I 15B 5;.PPLIES/ SERVICES 15C. QUANTITY 15D. UNITl 15E NIT PRICE I '5F AMOUNT I The U.S. Nuclear Regulatory Commiss' on hereby accepts Parameter, Inc. s prooosal dated January 2,1989 as revised 4/14/89 shich afe incorporated herein by reference. Parameter, Inc.shallproviddtechnjcalassistajce to support the NRC Diagnostic Evaluttien Teams in the areas of engineering anc management analysis. This is a Cost-Plus-Fixed-Fee Requirements type contract. No fundina is oblicated at this time Funds will be oblicatea on each I I incividuallyissuedtaskorder. l ESTIMATED 15G. TOTAL AMOUNT OF CONTRACT bt$$996.369.00'

16. TABLE OF CONTENTS

~ VI I SEC. ! DESC :PTION lPAGE(Sll W ISEC-l DESCPl: TION (PAGE(S) M R T 1 - T-E SCHEDULE PART 11 - CONT R ACT CLAUSES X ! A l SCLIO Ta*;CN/CCNTP aCT :CRM i 1 X' 1 l CONTR ACT CLAUSES I 30 X ' 8 i SUPot'Ei

• R SEPVICEI AND PRICES /CCSTS I 7 PART til - LIST OF DOCUMENTS. Eb*lBITS AND OTHE R ATTACH.

X C l DESC:i: C*uSPECS /* On< STATEVENT I 9 Xl J l LIST OF ATTACHMENTS 17 i O X l D l PACr. AG '.G AND MARd.NG I 10 PART 'v - REPRESENTATIONS ANO INST RUCTIONS oaX f E i INSPEC* CN AND ACCE:TANCE l 11 K i REPRESENTATIONS.CE2* 81 CATIONS AND f OTHER STATEMENT 4 OF 7,': % l F l DELIVES ES OR PERFC:YANCE I 1p FERORS ggX i o i CcNTme.C.:.OMINISTel. TION DATA i ]g L l INSTRS. CONDS, AND NC :CES TO OFFF prWS l NX H ISPEC?As CC*;TR At*T PECUIREVENTS i p '2 e

• A i EVALUATION F ACTORS :CD AWARD I

h. CONTRACTING OFFICER Will COMPL ETE ITEM 17 OR 18 AS APPLICABL E O Z O'i COl 17. CONT R AC;";st*S NEGOTIATED AGREEMENT (Contractor as re.

18. I AWARO (Contractor is not recurresi in asin this document.t Your ment end return Turred to seen taes docu.msn ano conver an etems or perform au tne services setenpaes to assmane office.;

otter on Schcitation Numoer a

.catractor agrees to n.

enctuame the acosteons or enanoes rnace oy you wnsen acosnons or enanoes I b i f QEO :oran or otnerw se.cennt.oo anove ano on any contmuation sneets for tne are sat fortn m fuss aoove, s nereov acceptoo as to the stems usteo soove ano l cnseceration stateo me o.n. The reents ano consations ut the partees to tnis an any conimustion sneets. Tnis avvero casnsummates tne contract wnsen con. OtOZ :oxtract sna** os suo,ect to ano oovernepe or prins# 20A. NAME OF CONT RACTING OF F*CER PyD blQ. E M S-Elois J. Wiggins

m..,*aa7,gTO,i y 4 p,C.o g,.o..gEoyTguo,Aplcg 3

p.C.om;NEo

. y s Administrative Changes NRC-26-89-289 The following administrative changes are hereby made: 1.) Subsection B.2.a is completed by inserting the amount of $996,369.30. 2- ) Suuwetion B.2.b is hereby deleted entirely and substituted herewith: "The Contracting Officer will obligate funds on each individual task order issued under this contract." 3.) Section F.5 is completed as follows:

a. Project Officer (2 copies)

U.S Nuclear Regulatory Commission Coritract Number: NRC-26-89-289 Office of Analysis & Evaluation of Operational Data Division of Operational Assessment Mail Stop: MNBB 4106 Washington, DC 20555 b. Contracting Officer (1 copy) U.S. Nuclear Regulatory Commission Contract Number: NRC-26-89-289 Division of Contracts and Property Management l Contract Administration Branch Mail Stop: P-902 Washington, DC 20555 4.) Section F.6 is completed by inserting "the effective date." 5.) Section G.1 is completed as follows: CATEGORY RATE (%) COST BASE APPLICABLE i PERIOD Overhead 100 Direct Labor Refer to Fringe Benefits N/A Subparagraph b. G&A N/A of this clause 6.) Section G.2 is hereby completed by inserting the following: Dennis Allison U.S. Nuclear Regulatory Commission, AEOD M/S - MNBB 4106 Washington, DC 20555 7.) Section G.3 is hereby completed by inserting the amount of $90,000.00.

i l \\ % NRC-26-89-289 8.) Sections G.4, G.5 and G.6 are hereby deleted entirely. (See the incorporation of Sections I.7 and I.8 below) 9.) Section H.1 is completed by inserting the following names: R.A. Lofy { i R. Dean M.A. Kraus ) l 8.) The following clauses are hereby incorporated into this contract and are a;tached herewith: - I.7 Prompt Payment (52.232-25)(APR 1989) - I.8 Electronic Funds Transfer Payment Methods ] (52.232-28)(APR 1989) j - I.9 Drug-Free Workplace (FAR 52.223.6) 9.) Section J is hereby revised to include Attachment 5, (attached herewith) the Small and Small Disadvantaged Business Subcontracting Plan of 1 Parameter, Inc. Pursuant to FAR 19.705-5(5) the subcontracting plan submitted by the contractor is hereby incorporated into and made a material part of this contract. J All other terms and conditions remain unchanged. l l l l

\\ J ) I.7 PROMPTPAYMENT(52.232-25)(APR1989) Notwithstanding any other payment clause in this contract. the Government will make invoice payments and contract financint j payments under the terms and conditions specified in this clause. Payment shall be considered as being made on the day a check is dated or an electronic funds transfer is made. Definitions of pertinent terms are set forth in 32.902. All days referred to in this clause are calendar days, unless otherwise specified. (a) Invoice Payments (1) For purposes of this clause, " invoice payment" means a Government disbursement of monies to a Contractor under a contract or other authorization for supplies or services accepted by the Government. This includes payments for partial deliveries that have been accepted by the Government and final cost or fee payments where amounts owed have been settled between the Government and the Contractor. (2) Except as indicated in subparagraph (a)(3) and paragraph (c) of this clause, the due date for making invoice payments by the designated payment office shall be the later of the following two t events: (i) The 30th day after the designated billing office has received a proper invoice frem the: Contractor. (ii) The 30th day after Government acceptance of supplies delivered or services performed by the Contractor. On a final i invoice where the payment amount is subject to contract settlement actions, acceptance shall be deemed to have occurred on the effective date of the contract settlement. However., if the i designated billing office fails-to annotate the invoice with the actual date of receipt, the invoice payment due date shall be deemed to be the 30th day after the date the Contractor's invoice is dated, provided a proper invoice is received and there is no disagreement over quantity, quality, or Contractor compliance with contract requirements. (3) The due date on contracts for meat and meat food procucts, contracts for perishable agricultural commodities, contracts for dairy products, edible fats or oils, and food products prepared from edible fats or oils, and contracts not requiring submission of an invoice shall be as follows: (1) The due date for meat and meat food products, as defined in Section 2(a)(3) of the Packers and Stockyard Act of 1921 (7 U.S.C. 182(3)) and further defined in Pub. L. 98-181 to include any edible i fresh or frozen poultry meat, an perishable poultry meat food product, fresh eggs, and any perishable egg product, will be as close as possible to, but not later than, the 7th day after product delivery. ~~s m m_ m - __ mmmm_ am m _m m

I s defined in Section 1(4) of the Perishable Agricultural Commodities Act of 1930 (7 U.S.C. 499a(44)), will be as close as possible to, but not later than, the 10th day after product delivery, unless 1 another date is specified in the contract. j (iii) The due date for dairy products, as defined in Section l 111(e) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4502(e)), edible fats or oils, and food products prepared from eoible fats or oils, will be as close as possible to, but not later than the 10th day after the date on which a proper invoice has been j received. (4) An invoice is the Contractor's bill or written request for payment under the contract for supplies delivered or services I performed. An invoice shall be prepared and submitted to the designated billing officer specified in the contract. A proper invoice must include the items listed in subdivisions (a)(4)(1) through (a)(4)(viii) of this clause. If the invoice does not comply with these requirements, then the Contractor will be notified of the defect within 7 days after receipt of the invoice at the designated billing office (3 days for meat and mean food products and 5 days for perishable agricultural commod.ities, edible fats or oils, and food products prepared from edible fats or oils). Untimely notification will be taken into account in the computation of any interest penalty owed the Contractor in the manner described in subparagraph (a)(6) of this clause. (i) Name and address of the Contractor. (ii) Invoice date. (iii) C;ntract number or other authorization for supplies delivere/. or services performed (including order number and contract line itam numoer). (iv) Description, quantity, unit of measure, unit price, and extended price of supplies delivered or services performed. (v) Shipping and payment terms (e.g., shipment number and date of shipment, prompt payment discount terms). Bill of lading number and weight of shipment will be shown for shipments on Government bills j of lading. (vi) Name and address of Contractor official to whom payment is to be sent (must be the same as that in the contract or in a proper notice of assignment). (vii) Name (where practicable), title, phone number and mailing address of person to be notified in event of a defective invoice. (viii) Any other information or documentation required by other requirements of the contract (such as evidence of shipment). (5) An interest penalty shall be paid automatically by the Government, without request from the Contractor, if payment is not

,4 made by the due date and the conditions listed in subdivisions (a)(5)(1) through (a')(5)(111) of this clause are met, if applicable. An interest penalty shall not be paid on contracts awarded to foreign vendors outside the United $tates for work performed outside the United States. (i) A proper invoice was received by the designated billing office. (ii) A receiving report or other Government documentation authorizing payment was processed and there was no disagreement over quantity, quality., or contractor compliance with any contract term or condition. (iii) In the case of a final invoice for any balance of funds due the Contractor for supplies delivered or services performed, the amount was not subject to further contract settlement actions between the Government and the Contractor. (6) The interest penalty shall be the rate established by the Secretary of the Treasury under Section 12 of the Contract Disputes Act of 1978 (41 U.S.C. 611) that is in effect on the day after the due date, except where the interest pealty is prescribed by other governmental authority. This rate is re ' erred to as the " Renegotiation Board Interest Rate," ana 't is published in the Federal Register semiannually on or about 'anuary 1 and July 1. The interest penalty shall accrue daily on tl 'nvoice payment amount approved by the Government and be compounced in 30-day increments inclusive from the first day after the due date through the payment date. That is, interest accrued at the end of any 30-day period will be added to the approved invoice payment amount and be subject to interest penalties if not paid in the succeeding 30-day period. If the designated billing office failed to notify the contractor of a defective invoice within the periods prescribed in paragraph (a)(4) of this clause, then the due date on the corrected invoice will be adjusted by subtracting the number of days taken beyond the prescribec notification of defects period. Any interest penalty owed the Contractor will be based on this adjusted due date. Adjustments will be maae by the designated payment office for errors in calculating interest penalties, if requested by the Contractor. (i) For the sole purpose of computing an interest penalty that mignt be due the Contractor, Government acceptance shall be deemed to nave occurred constructively on the 7th day (unless otherwise specifieo in this contract) after the Contractor delivered the supplies or performed the services in accordance with the terms and conoitions of the contract, unless there is a disagreement over quantity, quality, or contractor compliarce with a contract provision. In the event that actual acceptance occurs within the constructive acceptance period, the determination of an interest penalty shall be based on the actual date of acceptance. The I constructive acceptance requirement does not, however, compel Government officials to accept supplies or services, perform contract administration functions, or make payment prior to

i E 4 1 (ii) The following periods of time will not be included in the determination of an interest penalty: (A) The period taken to notify the Contractor of defects in invoices submitted to the Government, but this may not exceed 7 days (3 days for meat and meat food products and 5 days for perishable agricultural commodities, dairy products, edible fats or oils, and food products prepared from edible fats or oils). (B) The period between the defects notice and resubmission of the corrected invoice by the Contractor. (iii) Interest penalties will not continue to accrue after the filing of a claim for such penalties under the clause at 52.233-1, Disputes, or for more than 1 year. Interest penalties of less than $1.00 need not be paid. (iv) Interest penalties are not required on payment delays due to disagreement between the Government and Contractor over the payment amount or other issuer involving contract compliance or on amounts temocrarily withheld or retained in accordance with the terms of the contract. Claims involving disputes, and any interest that may be payable, will be resolved in accordance with the clause at 52.233-1, Disputes. (7) An interest penalty shall also be paid automatically by the designated payment office, without request from the contractor, if a discount for prompt payment is taken improperly. The interest penalty will be calculated as described in subparagraph (a)(6) of this clause on the amount of discount taken for the period beginning with the first day after the end of the discount period through the date when the Contractor is paid. (8) If this contract was awarded on or after October 1, 1989, a penalty amount, calculated in accordance with regulations issued by the Office of Management and Budget, shall be paid in addition to the interest penalty amount if the Contractor-(i) Is owed an interest penalty; (ii) Is not paid the interest penalty within 10 days af ter the date the invoice amount is paid; and (iii) Makes a written demand, not later than 40 days after the date the invoice amount is paid, that the agency pay such a penalty. (b) Contract Financing Payments (1) For purposes of this :lause, " contract financing payment" means a Government disbursement ut enies to a Contractor under a contract clause or other authorization prior to acceptance of supplies or services by the Government. Contract financing payments include advance paymentg progress payment ( based on cost under the

l s percentage or stage of completion (32.102(e)(1)) other than those made under the clause at 52.232-5, Payments Under Fixed-Price Construction Contracts, or the clause at 52.232-10, Payments Under Fixed-Price Architect-Engineer Contracts, and interim payments on cost type contracts. (2) For contracts that provide for contract financing, requests for payment shall be submitted to the designated billing office as specified in this contract or as directed by the Contracting Officer. Contract financing payments shall be made on the (insert l l day as prescribed by Agency head; if not prescribed, insert 30th day) day after receipt of a proper contract financing request by the i designated billing office. In the event that an audit or other l review of a specific financing request is required to ensure l compliance with the terms and conditions of the contract, the l designated payment office is not compelled to make payment by the l due date specified. (3) For advance payments, loans, or other arrangements that do rot involve recurrent submissions of contract financing requests, payment shall be made in accordance with the corresponding contract terms or as directed by the Contracting Officer. (4) Contract financing payments shall not be assessed an interest penalty for payment delays. (c) If this contract contains the clause at 52.213-1, Fast Payment Procedure, payments will be made within 15 days after the date of receipt of the invoice. (End of Clause) 1.8 ELECTRONIC FUND $ TRANSFER PAYMENT METHODS (52.232-28) (APR 1989) i ?ayments under this contract will be made by the Government either by check or electronic funds transfer (through the Treasury Fedline Payment System (FEDLINE) or the Automated Clearing House (ACH)), at l the option of the Government. After award, but no later than 14 days before an invoice or contract financing request is submitted, the Contractor shall designate a financial institution for receipt of electronic funds transfer payments, and shall submit this designation to the Contracting Officer or other Government official, as directed. (a) For payment through FEDLINE, the Contractor shall provide the h following information: (1) Name, address, and telegraphic abbreviation of the financial institution receiving payment. (2) The American Bankers Association 9-digit identifying number for wire transfers of the financing institution receiving payment if the institution has access to the Federal Reserve Communications System.

1 ~ 1 (3) Payee's account number at the financial institution where funos are to be transferred. (4) If the financial institution does not have access to the Federal Reserve Communications System, name, address, and telegraphic abbreviation of the corresponds ~ financial institution through which the financial institution rr_ ? ing payment cotains wire transfer activity. Provide the telegrryaic abbreviation and American Bankers Association identifying number for the correspondent institution. (b) For payment through ACH, the Contractor shall provice the following information: (1) Routing transit number of the financial institution -eceiving payment (same as American Bankers Association identifying r.umoer useo for FEOLINE). (2) Numcer of account to which funds are to be derositec. (3) Type of deoositor account ("C" for checking, "S" for savings). (4) If the Contractor is a new enrollee to the ACH system, a " Payment Information Form," SF 3881, must be completed befcre payment can ce processed. (c) In the event the Contractor, during the performance of this contract, elects to designate a different financial institu. ion for the receipt of any payment made using electronic funds transfer procecures, notification of such change and the required information soecified above must be received by the appropriate Government official 30 days prior to the date such change is to become effective. l (d) The cocuments furnishing the information required in this clause must be cated and contain the signature, title, ano telephone numoer of the Contractor official authorized to provide it, as well as tne Contractor's name and contract number. (e) Contract:r failure to properly designate a financial institution or to provide appropriate payee bank account information may celay payments of amounts otherwise properly due. (End of Clause)

s I.9 DRUG-FREE WORKPLACE (FAR 52.223-6) (a) Definitions. As used in this clause. "Controllea substance" means a controlled substance in scheoules I througn V of section 202 of the Controlled Substances Act (21 U.S.C. 812) anc as further defined in regulation at 21 CFR 1308.11-1308.15. " Conviction" means a finding of guilt (including a plea of nolo contencere) or imposition of sentence, or both, by any judicial body chargea with the responsibility to determine violations of the Feceral or State criminal drug statutes. "Criminai crug statute" means a Federal or non-Federal criminal statute involving the manufacture, distribution, dispensing, possession or use of any controlled substance. "Orug-free workplace" means a site for the performance of work done in connection with a specific contract at which employees of the contractor are pronibited from engaging in the unlawful manufacture, distribution, dispensing, possession, or use of a controlled sucstance. "Emoloyee means an employee of a contractor directly engaged in d the performance of work under a Government contract. "Incividual" means an offeror / contractor that has no more than one emoioyee including the offeror / contractor. (b) The Contractor, if other than an individual, shall -- (1) Publish a statement notifying its employees that the unlawful manufacture, distribution, dispensing, possession, or use of a 8 controllea sucstance is pronibited in the contractor s workolace and l specifying the actions that will be taken against employees for l violations of sucn prohibition; (2) Establish a drug-free awareness program to inform suen l emoioyees about-- l l (1) The dangers of drug abuse in the workplace: (ii) The contractor 5 policy of maintaining a drug-free worreiace: (i'i) Any available drug counseling, rehabilitation, and emoioyee assistance orograms; anc ~ ._---m-n-

(3) Provide all employees engaged in performance of the contract with a cooy of the statement reautrea by subparagraph (b)(1) of this clause: (4) Notify such emoloyees in the statement recuired by sueoaragraon (b)(1) of this clause, that as a condition of continued emaioyment on this contract, the employee will -- (i) Abide ey the terms of the statement; and (ii) Notify the emoloyer of any criminal drug statute conviction for s violation occurring in the workolace no later than five (5) days after sucn conviction. (5) Notify the contracting officer within ten (10) days after receiving notice uncer subdivision (a)(4)(ii) of this clause, from an emoloyee or otherwise receiving actual notice of such conviction: (6) Within 30 days after recei~1ng notice under subcaragraoh (a)(4) of this clause of a conviction, impose the following sanctions or remedial measures on any employee who is convicted of drug abuse violations occurring in the workplace: (i) Taking accrooriate personnel action against such emaioyee, up to anc inclucing termination; or 4 (ii) Recuire such employee to satisfactorily participate in a drug abuse assistance or rehabilitation program approved for such purooses by a Federal, State, or Iccal health, law enforcement, or otner approertate agency. (7) Make a good faith effort to maintain a drug-free workplace through implementation of subearagraons (b)(1) through (b)(6) of this clause. (c) The Contractor, if an individual, agrees by award of the contract or acceptance of a purenase order, not to engage in the unlawful manufacture, distribution, dispensing, possession, or use of a controlleo substance in the performance of this contract. (d) In aedition to other remedies available to the Government, the Contractor's failure to comoiy with the requirements of paragraons (b) anc (c) of this clause may, pursuant to FAR 23.506, rencer the contractor subject to suspension of contract payments, termination of the contract for default, ano suspension or debarment. (End of Clause)

W J j $nusag' UNITED STATES o.,, 8 NUCLEAR REGULATORY COMMISSION o g wAsmNGTON. D. C. 20665 %..... / IIOV 2 5 1988 0FFERORS:

SUBJECT:

REQUEST FOR PROPOSAL NO. RS-AED-89-289 ENTITLED, " TECHNICAL i ASSISTANCE TO SUPPORT THE NRC DIAGNOSTIC EVALUATION TEAMS IN THE AREA 0F ENGINEERING DESIGN AND MANAGEMENT ANALYSIS" The U.S. Nuclear Regulatory Commission (NRC) is soliciting proposals for the project entitled above. The full scope of work anticipated is as set forth in Part I, Schedule. 3 It is our intention by this solicitation to secure the best qualified j organization available to perform this project, cost and other factors considered. Proposals for this requirement may be submitted by all concerns, i.e., large businesses, small businesses, and small businesses owned and controlled by socially and economically disadvantaged individuals. If you have indicated 1 that your organization is a small business, enclosed with this solicitation i 1 is a list of large business firms responding to the invitation in the Commerce Business Daily. Small businesses may wish to contact these firms for potential subcontracting opportunities under this requirement. The presence of a firm's name on the list in no way constitutes NRC's acceptance i l of the firm for award under this solicitation. A copy of this solicitation and all subsequent amendments have been provided to firms on this list. j i l The so1~icitation package in enclosed. If you desire to respond, your proposal should address the proposal requirements set forth in Section L of the solicitation. All proposals will be evaluated against the evaluation criteria shown in Part IV, Section M. If you have any questions concerning the requirements of this solicitation, please contact Ms. Joyce Bazin, Contract Negotiator, on (301) 492-7182 (collect calls will not be accepted). l Sincerely, 0S 8Y Patricia A. Smith, Contracting Officer Division of Contracts and Property Management

Enclosures:

1. Solicitation Package 2. List of Large Business Firms or Firms Unidentified as large or Small

) RS-AED-89-289 ) i Emprise Predictive Maintenance Services Attn: Paul Body 2 Killingworth Turnpike j Clinton, CT 06413 Southern Technical Services, Inc. Attn: Barry Smith 3 Metro Center, Suite 610 Bethesda, Maryland 20814 Management Systems Designers, Inc. I Attn: Debra M. Lee 131 Park Street, N.E. Vienna, VA 22180 Southeastern Computer Consultants, Inc. Attn: Peggy Ingram 904 Prircess Anne Street, Suite B-1 Fredericksburg, VA 22401 Risk Engineerir.2, Inc. Attn: Michele E. wt!1 ace 5255 Pine Ridge Road Golden, Colorado 80403 F&M Technical Services, Inc. Attn: Deanna Amon P.O. Box 59387 2525 Walnut Hill Lane i Dallas, Texas 75229 ICF Incorporated Attn: Jeannie Jones 9300 Lee Highway Fairfax, VA 22031-1207 Rockwell International Attn: Dolores Keim 6633 Canoga Avenue Canoga Park, CA 91303 Thermo Analytical, Inc. Attn: Stanley J. Waligora, Jr. 5635 Jefferson Street, N.E. Post Office Box 3874 Albuquerque, NM 87190-3874 ] 4 e

W RS-AED-89-289 LARGE OR UNIDENTIFIED SIZED BUSINESS O'Brien-Kreitzberg & Associates, Inc. Attn: Thomas W. Bishop 188 The Embarcadero San Francisco, CA 94105 DCCA Attn: Patricia'J. Murphy P. 0. Box 2665 Columbia, MD 21045 MAC Technical Services Company Attn: Harley Kirschenmann 12671 High Bluff Drive San Diego, CA 92130 AVCA Consulting Engineers Corporation Attn: Larry A. Grime 4334 Secor Road Toledo, Ohio 43623 Ridgaway Philips Company Attn: A. Edmund Chap 11k Springhouse Corporate Center 321 Norristown Road Springhouse, PA 19477 Rainbow Engineering, Inc. Attn: Deepak H. Bhatia 8004 Morning Lane Fortworth, TX 76123 Suprem Software Consultants, Inc. Attn: A.R. Char 3834 Tynewick Drive Silver Spring, MD 20906 Arthur D. Little, Inc. Attn: Pamela D. Galaid 25 Acorn Park Cambridge, MA 02140-2390 Predictive Maintenance Inspection, Inc. Attn: F. Scott Hoover P.O. Box 432 Madison, Alabama 35758 Sonalysts, Inc. Attn: Jane E. Goldsmith 215 Parkway North Waterford, Connecticut 06385 __ - _a

1 j i RS-AED-89-289 l Technical Resources Management Attn: Richard Boyd Suite 151 20 Argonne Plaza Oak Ridge, TN 37830 Unirex Engineering, Inc. Attn: John L. Cason 1500 Perimeter Parkway, Suite 126 Huntsville, AL 35806-1686 i Scientech, Inc. i Attn: Nancy Still I 11821 Parklawr Drive P.O. Box 2577 Kensington, MD 20895 Brooks Consulting Services Attn: James C. Brooks, Sr. P.O. Box 1046 l 131 West Main Street .j Clarksville, Arkansas 72830 l l MERIT Systems, Inc. l Attn: Donald O. Taylor 1007 Scott Avenue Bremerton, WA 98310-4886 Booz-Allen & Hamilton, Inc. I Attn: Marjorie E. Adams 1 4330 East West Highway Bethesda, MD 20814-4455 SRA Technologies, Inc. Attn: Carlos A. Portillo 4700 King Street Suite 300 Alexandria, VA 22302 i CRC Systems Incorporated i Attn: Reina M. Perry P. O. Box 701 Merrifield, VA 22116-0701 ORI, Inc. Attn: E. Renae Nelson 1375 Piccard Drive Rockville, MD 20350

1 1 ) RS-AED-89-289 ] 1 1 Peat Marwick Main & Co. Attn: Gail L. Kondo I 2001 M. Street, N.W. Washington, DC 20036 ] Quadrex Energy Services Corporation Attn: J.A. Thomas 1700 Dell Avenue l Campbell, CA 95008-6986 q Management Sciences Applications, Inc. Attn: Gary L. Smith 2191 5th Street, Suite 204 Norco, CA 91760 4 SPEC Consultants, Inc. i Attn: T.E. Paserba I Pleasant Valley Road R.D. #1, Box 510 Trafford, PA 15085 Techknow, Inc. 1 Attn: David N. Bilow 11 East Adams Street, Suite 1100 Chicago, Illinois 60603 l Nutech Attn: Norman Eng j 145 Martinvale Lane San Jose, CA 95119 Con:,ad Research Corporation Attn: Wilbur A. Steger 121 North Highland Avenue Pittsburgh, PA 15206 Franklin Research Center Attn: Renee Cohen Valley Forge Corporate Center 1 2600 Monroe Boulevard l Norristown, PA 19403 4 Stowe Engineering Corporation Attn: James E. Hall 1150 Hancock St. Quincy, MA 02169 Wackenhut Advanced Technologies Corp. Attn: Robert L. Schweizer 10530 Rosehaven Street, Suite 500 Fairfax, Virginia 22030 l h 3

o o RS-AED-89-289 - H.E.R. Enterprises Attn: Elaine D. Hughes P.O. Box 789 Rosenberg, TX 77471 NUS Corporation Attn: Bonnie B. Marshall 910 Clopper Road Gaithersburg, MD 20878 Information Systems Technology Corp. Attn: Lynn R. Jackson 5550 Sterrett Place, Suite 202 Columbia, MD 21044 Quantum Technology Attn: Melinda Maciey 830 Granklin Court Marietta (Atlanta), Georgia 30067 Columbia General, Inc. Attn: M.H. Farzin .1350 West Fifth Avenue, Suite 324' Columbus, Ohio 43212 SAIC Attn: Colleen Nagy 1710 Goodridge Drive-T-3-1 McLean, VA 22102-3799 E.R. Johnson Associates, Inc. 1 i Attn: J. Johnson 10461 White Grante Drive Suite 204 Dakton, VA 22124 Smart Business Group, Inc. H. ee, NW Washington, DC 20006 Bechtel Power Corporation Attn: Virginia B. Tortona i 15740 Shady Grove Road l Gaithersburg, MD 20877-1454 l ) Decision Analysis Corporation of VA J Attn: Charlotte Lucas 8619 Westwood Center Drive, Suite 100 Vienna, VA 22180 i 1 l I 2

RS-AED-89-289 Quadrex Energy Services Corporation Attn: Alan M. Peck 1005 Beaver Grade Road Coraopolis, PA 15108-2964 Applied Management Sciences Attn: Todd S. Tucker 962 Wayne Avenue Silver Spring, MD 20910-4486 System Automation Corporation Attn: Shoaron E. Butten 8555 Sixteenth Street Silver Spring, MD 20910 Canatom Corporation Attn: R.L. Hemmings 1401 Main Street, Ste. 506 Columbia, SC 29201-2831 Parameter, Inc. Attn: Richard A. Lofy 13380 Watertown Plank Road Elm Grove, Wisconsin 53122 Trescomp. Inc. Attn: Anthony Puccillo 636 Remington Road Schaumburg, IL 60173 Failure Analysis Associates Attn: Eugenia L. Kennedy 2225 E. Bayshore Road Palo Alto, CA 94303 Patel Engineers Attn: Ron Guthrie 3400 Blue Spring Road, NW S'uite B-3 P.O. Box 3367 Huntsville, Alabama 35810 I J ,4 e 9 4b 9

.e . se s SOLICITATION, OFFER AND AWARD OMB No. 0505-0005 Expiration Date: 05/31/88

1. TITLE:

Technical assistance to assist NRC Diagnostic Evaluation Teams

2. CONTRt.CT NO.

3. SOLICITATION NO.

4. TYPE OF SOLICITATION RS-AED-89-289 Negotiated (RFP)

5. DATE ISSUED 6.

REQUISITION / PURCHASE NO. RS-AED-89-289 11/25/88 l

7. ISSUED BY

8. ADDRESS OFFER TO All proposals should be addressed l

U.S. Nuclear Regulatory Commission as indicated in Block 7, however, l Div. of Contracts & Property Mgmt. hardcarried proposals (including l Mail Stop P-1011 Express Mail) must be delivered l Washington, DC 20555 to the address in Block 9. l NOTE: In sealed bid solicitations, " offer and offeror" mean " bid and bidder". SOLICITATION

9. Sealed offert in original and 8 copies for furnishing the supplies or l

services in thr. Schedule will be received at the place specified in Item 7, or if handcarried, in the depository located in Room 1011, 7920 Norfolk Avenue, Bethesda, Maryland 23814 until 11:00 AM local time on January 3,1989. CAUTI6N-LATE Submissions, Modifications, and Withdrawals: See Section L, Prevision No. 52.214-7 or 52.215-10. All offers are subject to all terms and conditions contained in this solicitation. 10 FOR INFORMATION CALL: A. NAME: Joyce Bazin B. TELEPHONE NO.: (301) 492-7182 (No Collect Calls)

11. TABLE OF CONTENTS PART/SECTION DESCRIPTION PART I - THE SCHEDULE A

SOLICITATION / CONTRACT FORM l B SUPPLIES OR SERVICES AND PRICES / COSTS l C DESCRIPTION / SPECIFICATIONS / WORK STATEMENT D PACKAGING AND MARKING E INSPECTION AND ACCEPTANCE F DELIVERIES OR PERFORMANCE G CONTRACT ADMINISTRATION DATA H SPECIAL CONTRACT REQ'JIREW NTS PART II - CONTRACT CLAUSES I CONTRACT CLAUSES PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS J LIST OF ATTACHMENTS PART IV - REPRESENTATIONS AND INSTRUCTIONS K REPRESENTATIONS, CERTIFICATIONS AND OTHER STATEMENTS OF OFFER 0R$ L INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFER 0RS M EVALUATION FACTORS FOR AWARD EXCEPTION TO STANDARD FORM 33 STANDARD FORM 33(REV-4-85) APPROVED BY GSA/0IRM 6/85 FAR(48 CFR) 23.214(C)

PAGE 2 SOLICITATION, OFFER AND AWARD OFFER (Must be fully completed by offeror) NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period.

32. In compliance with the above, the undersigned agrees, if this offer is accepted within calendar days (60 calendar days unless a different period is inserted by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the designated point (s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT (See Section I, Clause No. 52.232-8) 10 Calendar days 20 Calendar days 30 Calendar days

__ Calendar days

14. ACKNOWLEDGEMENT OF AMENDMENTS (The offeror acknowledges receipt of r.mendments to the SOLICITATION for offerors and related documents numbered and dated:

AMENDMENT NO DATE AMENDMENT NO DATE 15A. NAME AND ADDRESS OF OFFEROR

16. NAME AND TITLE OF PERSON DUNS Code:

Facility: AUTHORIZED TO SIGN OFFER (Type or Print) ISB. TELEPHONE NO. (Include Area Code) 15C. ( ) CHECK IF REMITTANCE ADDRESS IS DIFFERENT FROM ABOVE--ENTER SUCH ADDRESS IN SCHEDULE a i

17. SIGNATURE:

18. OFFER DATE:

AWARD (To be completed by Government)

19. ACCEPTED AS TO ITEMS NUMBERED 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION

( ) 10 U.S.C. 2304(c)( ) ( ) 41 U.S.C. 253(c)( ) J

23. SUBMIT INVOICES,~NDDRESSSHOWNINITEM25:

(4 copies unless otherwise specified)

24. ADMINISTERED BY

25. PAYMENT WILL BE MADE BY (If other than Item 7)

U.S. Nuclear Regulatory Commission Division of Accounting and Finance GOV /COM Accounting Section Weshington, DC 20555

26. NAME OF CONTRACTING OFFICER 27. UNITED STATES OF AMERICA 2B. AWARD DATE (Type or Print)

(Signature of Contracting.0fficer) IMPORTANT - Award will be made on this Form or on Standard Form 26, or by other authorized official written notice. EXCEPTION TO STANDARD FORM 33 i APPROVED BY GSA/01RM 6/85 9 ~,

dP e TABLE OF CONTENTS PAGE SOLICITATION, OFFER AND AWARD.................... 1 TABLE OF CONTENTS.......................... 3 SECTION B - SUPPLIES OR SERVICES AND PRICE / COSTS.......... 7 B1 BRIEF DESCRIPTION OF WORK (MAR 1987)............ 7 ALTERNATE I (MAR 1987) B.2 CONSIDERATION AND OBLIGATION--TASK ORDERS (MAR 1987).... 7 SECTION C - DESCRIPTION / SPECIFICATION................ 9 / WORK STATEMENT C.1 STATEMENT OF WORK (MAR 1987)................ 9 9 C.2 T RAVEL ( MAR 1987 )..................... SECTION D - PACKAGING AND MARKING.................. 10 D.1 PACKAGING AND MARKING (MAR 1987).............. 10 SECTION E - INSPECTION AND ACCEPTANCE................ 11 E.1 CLAUSES INCORPORATED BY REFERENCE............. 11 (FAR 52.252-2) (APR 1984) E.2 PLACE OF INSPECTION AND ACCEPTANCE (MAR 1987)....... 11 1 i SECTION F - DELIVERIES OR PERFORMANCE................ 12 F.1 CLAUSES INCORPORATED BY REFERENCE............. 12 (FAR 52.252-2) (APR 1984) F.2 PREPARATION OF TECHNICAL REPORTS (MAR 1987)......... 12 F.3 TECHNICAL PROGRESS REPORT (MAR 1987)............ 12 I F.4 FINANCIAL STATUS REPORT (MAR 1987)............. 13 F.5 PLACE OF DELIVERY--REPORTS (MAR 1987)........... 13 F.6 DURATION OF CONTRACT PERIOD (MAR 1987)........... 14 ALTERNATE I (MAR 1987) SECTION G - CONTRACT ADMINISTRATION DATA.............. 15 G.1 INDIRECT RATES (MAR 1987)................. 15 G.2 PROJECT OFFICER AUTHORITY (MAR 1987)............ 15 G.3 TRAVEL REIMBURSEMENT (MAR 1987).............. 17 G.4 METHOD OF PAYMENT (MAR 1987)................ 18 l G.5 PAYMENT DUE DATE (MAR 1987)................ 19 G.6 INTEREST ON OVERDUE PAYMENTS (MAR 1987).......... 19 G.7 REMITTANCE ADDRESS (MAR 1987)............... 20 G.8 TASK ORDER PROCEDURES (MAR 1987).............. 20 G.9 ACCELERATED TASK ORDER PROCEDURES (MAR 1987)........ 22 i SECTION H - SPECIAL CONTRACT REQUIREMENTS.............. 23 j H.1 KEY PERSONNEL (MAR 1987).................. 23 H.2 SAFETY, HEALTH, AND FIRE PROTECTION (MAR 1987)....... 24 H.3 DISSEMINATION OF CONTRACT INFORMATION (MAR 1987)...... 24 i H.4 PRIVATE USE OF CONTRACT INFORMATION AND DATA (MAR 1987).. 24 H.5 DRAWINGS, DESIGNS, AND SPECIFICATIONS (MAR 1987)...... 24 H.6 SECURITY (MAR 1987).................... 25 H7 CONTRACTOR ORGANIZATIONAL CONFLICTS OF INTEREST...... 27 (OMB CLEARANCE NUMBER 3150-0112) (MAR 1987) H.8 GOVERNMENT FURNISHED EQUIPMENT / PROPERTY - NONE PROVIDED.. 29 (MAR 1987) i

TABLE OF CONTENTS PAGE H.9 OTHER CONTRACTOR PERSONNEL REQUIREMENTS....... 29 PART II - CONTRACT CLAUSES..................... 30 CONTRACT CLAUSES................... 30 l SECTION I 1.1 CLAUSES INCORPORATED BY REFERENCE............. 30 l (FAR 52.252-2) (APR 1984) l 1.2 ANTI-KICKBACK PROCEDURES (FAR 52.203-7).......... 32 1 I.3 ORDERING (FAR 52.216-18) (APR 1984)............ 33 I.4 DELIVERY-ORDER LIMITATIONS................. 34 i (FAR 52.216-19) (APR 1984) I.5 REQUIREMENTS (FAR 52.216-21) ( APR 1984).......... 34 1.6 PAYMENT FOR OVERTIME PREMIUMS............... 35 (FAR 52.222-2) (APR 1984) ] PART III - LIST OF DOCUMENTS, EXHIBITS 37 AND OTHER ATTACHMENTS a SECTION J - LIST OF ATTACHMENTS................... 37 l J.1 ATTACHMENTS (MAR 1987)................... 37 f REPRESENTATIONS AND INSTRUCTIONS............ 38 PART IV SECTION K - REPRESENTATIONS, CERTIFICATIONS AND.......... 38 OTHER STATEMENTS OF OFFERORS i K.1 CONTINGENT FEE REPRESENTATION AND............. 38 AGREEMENT (FAR 52.203-4) (APR 1984) K.2 TYPE OF BUSINESS ORGANIZATION (FAR 52.215-6) (JUL 1987).. 38 K.3 AUTHORIZED NEGOTIATORS (FAR 52.215-11) (APR 1984)..... 39 K.4 PLACE OF PERFORMANCE (FAR 52.235-20) (APR 1984)...... 39 K.5 SMALL BUSINESS CONCERN REPRESENTATION........... 39 (FAR 52.219-1) (MAY 1986) K.6 SMALL DISADVANTAGED BUSINESS CONCERN............ 40 REPRESENTATION (FAR 52.219-2) (APR 1984) K.7 WOMEN-0WNED SMALL BUSINESS REPRESENTATION......... 41 (FAR 52.219-3) (APR 1984) K.8 PREFERENCE FOR LABOR SURPLUS AREA CONCERNS......... 41 (FAR 52.220-1) (APR 1984) l K.9 CERTIFICATION OF NONSEGREGATED FACILITIES......... 41 (FAR 52.222-21) (APR 1984) K.10 PREVIOUS CONTRACTS AND COMPLIANCE REPORTS......... 42 l l (FAR 52.222-22) (APR 1984) K.11 AFFIRMATIVE ACTION COMPLIANCE............... 43 (FAR 52.222-25) (APR 1984) K.12 CLEAN AIR AND WATER CERTIFICATION............. 43 i (FAR 52.223-1) (APR 1984) K.13 COST ACCOUNTING STANDARDS NOTICES AND........... 43 CERTIFICATION (NONDEFENSE) (FAR 52.230-2) (APR 1984) K.14 ORGANIZATIONAL CONFLICTS OF INTEREST (MAR 1987)...... 45 SECTION L - INSTRUCTIONS, CONDITIONS, AND NOTICES.......... 47 TO OFFER 0RS L.1 SOLICITATION PROVISIONS INCORPORATED BY.......... 47 REFERENCE (FAR 52.252-1)(APR1984) l l q f I _-______.__--___-________a

o l TABLE OF CONTENTS PAGE L.2 TYPE OF CONTRACT (FAR 52.216-1) (APR 1984)......... 48 L.3 SERVICE OF PROTEST (FAR 52.233-2) (JAN 1985)........ 48 i L.4 LEVEL OF EFFORT (MAR 1987)................. 48 - j j L.5 SUBCONTRACTING PLAN................... 48 L.6 ESTIMATED DURATION (MAR 1987)............... 49 L.7 ACCEPTANCE PERIOD (MAR 1987)................ 49 L.8 SMALL BUSINESS SIZE STANDARD AND PRODUCT CLASSIFICATION.. 49 (MAR 1987) ALTERNATE I (MAR 1987) L.9 AWARD NOTIFICATION AND COMMITMENT OF PUBLIC FUNDS (MAR 1987)49 L.10 DISPOSITION OF PROPOSALS (MAR 1987)............ 50 L.11 PROPOSAL PRESENTATION AND FORMAT (MAR 1987)........ 50 ALTERNATE I (MAR 1987) L.12 NONDISCRIMINATION BECAUSE OF AGE (FAR 22.901) (MAR 1987).. 52 j l L.13 DATA UNIVERSAL NUMBERING SYSTEM (DUNS) NUMBER (MAR 1987).. 53 SECTION M - EVALUATION FACTORS FOR AWARD.............. 54 M.1 SOLICITATION PROVISIONS INCORPORATED BY.......... 54 REFERENCE (FAR 52.252-1) (APR 1984) M.2 CONTRACT AWARD AND EVALUATION OF PROPOSALS. (MAR 1987)... 54 M.3 EVALUATION CRITERIA (MAR 1987)............... 55 t 'I 1 i 1 l I J

PAGE'6 RS-AED-89-289 0FFERORS/ BIDDERS PLEASE NOTE: An (*) means the information is to be incorporated into any resultant contract. 1 l l 1 l l l l ~ Q p 8 9 l 1

s-PAGE 7 RS-AED-89-289 Section 8 SECTION B - SUPPLIES OR SERVICES AND PRICE / COSTS B.1 BRIEF DESCRIPTION OF WORK (MAR 1987) ALTERNATE I (MAR 1987) a. Brief description of work: The contract shall provide technical expertise to assist NRC staff in performing Diagnostic Evaluations particularly, in the areas of engineering design and management analysis, b. Orders will be issued for work required by the NRC in accordance with 52.116 Ordering. The NRC reserves the right to withdraw a perpsed order at any time prior to its formal award. Only Contracting Officers of the NRC or other individuals specifically authorized under this contract.aay authorize the initiation of work under this contract. The provisions of this contract shall govern all task orders issued hereunder. (End of Clause) B.2 CONSIDERATION AND OBLIGATION--TASK ORDERS (MAR 1987) a. The total estimated amount of this contract (ceiling) for the products / services ordered, delivered, and accepted under this contract is __.. The Contracting Officer or other individual i specifically authorized under this contract may unilaterally j increase this amount as necessary for completion of orders placed I with the contractor during the contract period provided such orders are within any maximum ordering limitation prescribed under this contract. b. The amount presently obligated with respect to.this contract is The Contracting Officer may issue orders for work up to amount prenntly obligated. This obligated amount may be ) unilaterally incro sed from time to time by the Contracting ] Officer by written modification to this contract. The i obligated amount shall, at no time, exceed the contract ceiling as specified in paragraph A above. When and if the amount (s) paid and payable to the Contractor hereunder shall equal the obligated j amount, the Contractor shall not be obligated to continue ~ performance of the work unless and until the Contracting Officer shall increase the amount obligated with respect to this contract. Any work undertaken by the Contractor in. excess of the obligated amount specified above is done so at the Contractor's sole risk. c. A total estimated cost and fee, if any, will be negotiated for each task order and will be incorporated as a ceiling

PAGE 8 RS-AED-89-289 Section B in the resultant task order. The Contractor shall comply with the provisions of 52.232 Limitation of Cost for fully funded task orders and 52.232 Limitation of Funds for incrementally funded task orders, issued hereunder. ' l (End of Clause) M 1 e

D-RS-AED-89-289 PAGE 9 Section C m SECTION C - DESCRIPTION / SPECIFICATION / WORK STATEMENT C.1 STATEMENT OF WORK C. l.1 Backoround The NRC has instituted a Program of Diagnostic Evaluations at nuclear power plants. These evaluations will provide NRC senior management with an independent assessment of licensee safety performance which augments information provided by the Systematic Assessment of Licensee Performance (SALP) Program and Performance Tedicator (PI) Program and the various inspections performed by NRC Headquarters and Regional Offices. The diagnostic evaluation is independent in the sense that the administration and management of the program is independent of t5t licensing, inspection ~and enforcement process. Diagnostic evaluations cra safety performance oriented in contrast to i NRC inspections that focus on determining compliance with NRC regulations. Diagnostic evaluations will be conducted with. intensive team efforts beginning with preparation by studying background information on plant design, procedures, organization, and plant performance information and trends. This will be followed by two weeks of detailed onsite evaluation. Additional onsite evaluation and observation time may be scheduled if needed to complete the work. The team will then prepare a report of the evaluation. Some of the l preparation and most of the final report writing activities will be conducted at a central location at NRC headquarters-in Bethesda, MD. The Code of Federal Regulations 10, Part 50 " Domestic Licensing of Production and Utilization Facilities," is applicable, particularly the following l sections: l 10 CFR 50.54 - Conditions of license 10 CFR 50.55 - Conditions of operating license 10 CFR 50.57 - Issuance of operating license 10 CFR 50.59 - Changes, tests and experiments 10 CFR 50.90 - Application for amendment of license or construction permit l 10 CDR 50, Appendix A - General Design Criteria for Nuclear Power Plants 10 CFR 50, Appendix B - Quality Assurance Criteria for Nuclear Power Plants C.l.2 Contract Objectives The contracw shall provide expert technical assistance to assist the NRC Diagnostic i Evaluation Teams by providing individuals with expertise in nuclear plant engineering and engineering quality assurance and/or nuclear utility management / organization expertise. Either one or both types of expertise may be requested for a particular diagnostic evaluation. 4 u-_______--

a 6 4 ltS-AED-89-289 PAGE 9A Section C' C.l.3. Scope of Work This is a Task Order contract under which all Task Orders will be issued by the NRC Cor.. icting Officer. Task orders require varying numbers, disciplines or services end can potentially be performed at any commercial nuclear power plant in the United States. as requested the necessary. qualified personnel to The contractor shall provide, ion Team in ev,aluating the licensee in the areas assist the Diagnostic Evaluat of mechanical, electrical, instrumentation and control, civil / structural engineering and nuclear utility management / organization. Schedules for the evaluation and the specific disciplines or functional areas to be performed by the contractor will-be provided to the contractor by issuccce of individual task orders. The contractor shall provide expertise in the areas that include engineering and managerer.t/ organization and required personnel capable of accomplishing the following: I I Engineering: The licensee's engineering and technical support services f shall De evaluated. Requires personnel with expertise and experience in j the areas of systems design and analysis, inspection, modifications, testing, maintenance, technical support services, performance improvement programs and root cause analysis. The onsite evaluation shall consist of procedure / program review, document reviews (including engineering calculations), work observations and interfacing with other Diagnostic Evaluation Team members regarding safety issues or concerns identified during the evaluation. l l Manacement/ Organization: The licensee's management and organization shall be qualitatively evaluated to identify apparent strengths and weaknesses l which impact either positively or negatively on plant safety performance. Requires personnel with expertise and experience to evaluate licensee i management controls, oversight and involvement and organizational l effectiveness in the various functional areas of the plant. The contractor evaluation shall include: management policies and practices (inclucing corporate line management and support organizations) and I related influence on personnel morale, attitudes and performance; and l human resource development / utilization programs. Individuals supplied by the contractor shall be well qualified through either significant experience in evaluating management / organizational effectiveness associated with nuclear power plants or demonstrated significant successful senior management experience with a nuclear power facility. During the conduct of a typical diagnostic evaluation, the contractor shall be required to accomplish the following tasks: l Prepare for the diagnostic evaluation by a review of the overall Evaluation Plan (furnished by NRC), and a review of licensee background and technical information. The Evaluation Plan will l l l l 1

I I RS-AED-89-289 PAGE.9B Section C outline the areas to be evaluated. Personnel supplied by the contractor shall establish a specific evaluation plan for their particular assigned area based upon the guidance in the overall Evaluation Plan. The time required for this effort may vary, however, two weeks should be allotted, j Onsite and corporate reviews shall concentrate on information gathering including an examination of the licensee's activities and performance in specific areas. The " examination" shall inckde interviews with key licensee personnel at all levels, programmatic reviews and assessments, reviews of selected safety systems, and direct observations of operations. Evaluation methodologies utilized j provide input into a qulitative evaluation of licensee management controls, oversight and involvement and organizational effectiveness which are relevant to plant safety performance. This portion of the evaluation will include two consecutive weeks. Following the initial onsite and corporate evaluation period, a .' week break is scheduled. This time is used to further evaluate ano validate any observations, brief NRC management on preliminary findings and refocus or redirect the evaluation as appropriate. Ft llow-up onsite and corporate reviews shall be scheduled (as required) to firmly establish and validate root reuses, reinforce preliminary findings, e'xamine new functional areas or perform special case study evaluation of specific issue areas. Time requirements for the follow-up activity should not exceed one week. The final work product shall include the submittal of a draft report by the contractor to the NRC team leader. The format, style, level of detail and quality expected will be made known to the contractor during the preparation phase of the evaluation. Depending upon the schedule for the conduct of the diagnostic evaluation, the Contractor shall, as required, submit progress reports to the NRC team leader at regular intervals. Intervals shall be autually agreeable. C.2 Meetings and Travel Each expert assisting in a diagnostic evaluation will attend a meeting of about three days duration in Bethesda, MD for preparation activities and will spend about two weeks of onsite evaluation activities in one continuous trip to the reactor site, corporate and engineering offices followed immediately by report preparation activities in Bethesda, MD in one or two trips. When needed, a third week of evaluation will be scheduled as a separate trip to the reactor site and/or the offsite corporate and engineering offices. Each Task Order will specify any required travel to nuclear power plant sites throughout the United States, NRC offices in Bethesda, MD, NRC Regional Offices, and any other location as required for performance of work detailed in . All foreign travel must be approved in advance by the NRC on HRC Form 445 and shall be in compliance with 52.247-63 Preference For U.S. Flag Air Carriers.

. RS-AED-89-289 PAGE 9C Section C C.3 Level of Effort The exact number and scheduling of task orders cannot be determined in advance. The ccr. tractor will be compensated only for work actually ordered and performed. The anticipated total level of effort is estimated to be about 5.5 staff. rears professional labor (2080 hours / staff year). Please base your cost estimate on these hours. Please note that in order to put all offerers on an equal basis, you are also to compute your nonprofessional effort based on 400 hours of effort. Your cost proposal is to be based upon this total level of effort. However, if such requirements for diagnostic evaluation contractor services fail to materialize, such failure shall not constitute grounds for an equitable adjustment hereunder. f l l l l (End of Clause) ( l l C.4 NRC Furnished Material ) 1 The NRC will furnish plant and licensee-specific background information as appropriate, such as drawings, specifications, safety analysis reports, procedures, organization charts, event reports, administrative procedures, master work plants, strategic plans, position descriptions, performance improvement program descriptions, and organization descriptions. The NRC will also furnish regulatory documents such as regulatory guides, standard review plans and inspection procedures. (End of Clause)

PAGE 10 RS-AED-89-289 Sectien D SECTION D -' PACKAGING AND MARKING D.1 PACKAGING AND MARKING (MAR 1987) The Contractor shal; package m.?terial for shipment to the NRC in such a manner that will insure acceptance by common carrier and safe delivery at destination. Containers and closures shall comply with the Interstate Commerce Commission Regulations, Uniform Freight Classification Rules, or regulations of other carriers as applicable to the mode of transportation. On the front of the package, the Contractor shall clearly identify the contract number under which the product is being provided. (End of Clause) 1 0 4 y e .,3 L--

e s j '~ PAGE 11 RS-AED-89-289 Section E 1 I I j l SECTION E - FSPECTION AND ACCEPTANCE E.1 CLAUSES INCORPORATED BY REFERENCE (FAR 52.252-2) (APR 1984) This contract incorporates the following clauses by reference. { These clauses have the same force and effect as if they were given l in full text. Upon request, the Contracting Officer will maka their full text available. l I. FEDERAL ACQUISITION REGULATION (48 CFR CHAPTER 1) CLAUSES CLAUSE ] NUMBER DATE TITLE .l 52.246-5 APR 1984 INSPECTION OF SERVICES-- COST-REIMBURSEMENT ) E.2 PLAC'E OF INSPECTION AND ACCEPTANCE (MAR 1987) ) Inspection and acceptance of the delivers >1e items to be furnished hereunder shall be made by the Project Officer at the destination. (End of Clause) l l l 1

PAGE 12 RS-AED-89-289 Ssetion F SECTION F - DELIVERIES OR PERFORMANCE l 4 l F.1 CLAUSES INCORPORATED BY REFERENCE (FAR 52.252-2) (APR 1984) This centract incorporates the following clauses by reference. j These clauses have the same fo me and effect as if they were given ) in full text. Upon request, the Contracting Officer will make their j full text available. I. FEDERAL ACQUISITION REGULATION (48 CFR CHAPTER 1) CLAUSES j CLAUSE NUMBER DATE TITLE 52.212-13 APR 1984 STOP-WORK ORDER ALTERNATE I (APR 1984) 1 ) F.2 PREPARATION OF TECHNICAL REPORTS (MAR 1987) i At the conclusion of each diagnostic evaluation required under Section C herein, the Contractor shall submit all technical reports in I l accordance with the format, style, content and level of detail outlined in DET Guideline 3 (Attachment 3). The report shall be typewritten in smooth draft form and shall meet the schedule of Enclosure 7 to the DET Guideline 3. (EndofClause) F.3 TECHNICAL PROGRESS REPORT (MAR 1987) The Contractor shall provide a monthly Technical Progress Report to the Project Officer and the Contracting Officer. The report is due i within 15 calendar days after the end of the report period and shall identify the title of the project, the contract number, project manager and/or principal investigator, the contract period of performance, and the period covered by the report. Each report shall include the following: a. A lirting of the efforts completed during the period; milestones reached or, if missed, an explanation provided; b. Any problems or delays encountered or anticipated and recommendations for resolution; (if the recommended resolution involves a contract modification, e.g., change in work requirements, level of effort (cost) or. schedule delay, the Contractor shall submit a separate letter to the' Contracting Officer identifying the required change and estimated cost impact). O r

( s . ~ PAGE 13 RS-AED-89-289 Section F l 1 c. The Contractor shall submit evaluation plans and draft reports as required by Section C herein. d. A summary of progress to date; and e. Plans for the next reporting period. (End of Clause) F.4 FINANCIAL STATUS REPORT (MAR 1987) The Contractor shall provide a monthly Financial Status Report to j the Project Officer and the Contracting Officer. The report is due within 15 calendar days after the end of the report period and shall i identify the title of the project, the contract number, project manager i and/or principal investigator, the contract period of performance, and the period coverred by the report. Each report shall include the following for each discrete task: 1) Total Estimated Contract Amount.

2) Total Funds Obligated To Date. 3) Total Costs Incurred This Reporting Period. 4) Total Costs Incurred To Date. 5) Balance of Obligations Remaining. 6) Balance of Funds Required To Complete Contract.

b. Detail of all direct and indirect costs incurred during the reporting period for each task. c. Diagnostic evaluations are not currently billable but may become so in the future. Therefore, a standard licensee fee recovery cost report should be included in submitted reports. (End of Clause) F.5 PLACE OF DELIVERY--REPORTS (MAR 1987) The items to be furnished hereunder shall be delivered, with all charges paid by the Contractor, to: a. Project Officer (2 copies) U.S. Nuclear Regulatory Commission Contract Number: Office of,,__* Division of.__* Mail Stop: ___* Washington, D.C. 20555 b. Contracting Officer (1 copy) U.S. Nuclear Regulatory Commission Contract Number: Division of Contracts Contract Administration Branch Mail Stop: AR-2223 Washington, D.C. 20555

PAGE 14 RS-AED-89-289 Section F .j (End of Clause) F.6 DURATION OF CONTRACT PERIOD (MAR 1987) ALTERNATE I (MAR 1987) The ordering period for this contract shall commence on i will expire thirty-six months thereafter. Any orders issued curing tnis period shall be completed within the time specified in.the order, unless otherwise speified herein. (See 52.216 Ordering). 1 i (End of Clause) ] i i 1 l l 1 e _______._____._.._______o

y t RS-AED-89-289 Section G SECTION G - CONTRACT ADMINISTRATION DATA G.1 INDIRECT RATES (MAR 1987) a. Pending the establishment of final indirect rates which shall be negotiated based on audit of actual costs, the Contractor shall be reimbursed for allowable indirect costs as follows: CATEGORY RATE (%) COST BASE APPLICABLE PERIOD Overhead Fringe Benefits G&A b. The Contracting Officer may adjust the above rates as appropriate during the term of the contract upon acceptance of any-revisions proposed by the Contractor. It is the Contractor's responsibility to notify the Contracting Officer in accordance with 52.232 Limitation of Cost or 52.232 Limitation of Funds, as applicable, if such change (s) affect (s) performance of work within the established cost or funding limitations. (End of Clause) G.2 PROJECT OFFICER AUTHORITY (MAR 1987) a. The Contracting Officer's authorized representative hereinafter referred to as the Project Officer for this contract is-Name: Address: Telephone Number: b. Performance of the work under this contract shall be subject to the technical direction of the NRC Project Officer. The term " Technical Direction" is defined to include the following: 1) Technical direction to the Contractor which shifts work emphasis between areas of work or tasks, fills in details or otherwise serves to accomplish the contractual statement of work. l i t. I

PAGE 16 RS-AED-89-289 hetion G j 1 I 2) Providing advice and guidance to the Contractor in the j preparation of drawings, specifications or technical portions of the 1 i work description. 1) Review and, where required by the contract, approval of technscal reports, drawings, specifications and technical information to be delivered by the Contractor to the Government i under the contract. c. Technical direction must be within the general statement of work stated in the contract. The Project Officer does not have the authority to and may not issue any technical direction which: 1) Constitutes an assignment of additional work outside the general scope of the contract. { 2) Constitutes a change as defined in the " Changes" clause of this contract. 3) In any way causes an increase or decrease in the total estimated contract cost, the fixed fee, if any, or the time required l for centract performance. I 4) Changes any of the expressed terms, conditions or i specifications of the contract. 5) Terminates the contract or settles any claim or I dispute arising under the contract, or issue any unilateral i directive whatever. I d. All technical directions shall be issued in writing by the Project Officer or shall be confirmed by such person in writing within ten (10) working days after verbal issuance. A copy of said l written direction shall be submitted to the Contracting Officer. e. The Contractor shall proceed promptly with the performance of technical directions duly issued by the Project Officer in the manner prescribed by this clause and within such person's authority under the provisions of this clause. f. If, in the opinion of the Contractor, any instruction or direction issued by the Project Officer is within one of the categories as defined in c above, the Contractor shall not proceed but shall notify the Con'racting Officer in writing within five (5) t working days after the receipt of any such instruction or direction and shall request the Contracting Officer to modify the contract accordingly. Upon receiving such notification from the Contractor, the Contracting Officer shall issue an appropriate contract modification or advise the Contractor in writing that, in the Contracting Officer's opinion, the technical direction is within the scope of this article and does not constitute a change under the Changes Clause. g. Any unauthorized commitment or direction issued by the 4 6

s a pAGE 17 RS-AED-89-289 Section G Project Officer may result in an unnecessary delay in the Contractor's performance, and may even result in the Contractor expending funds for unallowable costs under the contract. h. A failure of the parties to agree upon the nature'of the 4 instruction or direction or upon the contract action to be taken ) with respect thereto shall be subject to 52.233 Disputes. 1. In addition to providing technical direction as defined above, the Project Officer is responsible for: 1) Monitoring the Contractor's technical progress, including surveillance and assessment of performance, and recommending to the Contracting Officer changes in requirements. 2) Assisting the Contractor in the resolution of technical problems encountered during performance. l 3) Reviewing all costs requested for reimbursement by Contractor and submitting to the Contracting Officer recommendations for approval, disapproval, or suspension of payment for supplies and services required under this contract. (End of Clause) G.3 TRAVEL REIMBURSEMENT (MAR 1987). a. Total expenditure for domestic travel shall not exceed $ without the prior approval of the Contracting Officer. b. The Contractor will be reimbursed for reasonable domestic travel costs incurred directly and specifically in the performance of this contract. The cost limitations for travel costs are i determined by the Federal Travel Regulations that are in effect on the date of the trip. These Regulations specify the daily maximum per diem rates for specific localities within the Conterminous United States (CONUS), the standard CONUS rate, the allowance for reals and incidental expenses (M&IE), the cost of travel by l privately owned automobile, and the items which require receipts. i The Contractor can obtain the Regulations from the Superintendent of l Documents, Government printing Office, Washington, DC 20402. c. When the Government changes the Federal Travel Regulations, it is the responsibility of the Contractor to notify the Contracting Officer in accordance with the Limitation of Cost clause of this contract if the Contractor will be unable to make all of the approved trips and remain within the cost and fee limitations of this contract. d. The rates for foreign travel are established by the U.S. Department of State and are listed in a publication entitled " Maximum Travel Per Diem Allowances For Foreign Areas". Copies of this publication may be obtained from U.S. Government Printing Office, Washington, D.C. 20402.

PAGE 18 RS-AED-89-289 Section G (End of Clause) G.4 METHOD OF PAYMENT (MAR 1987) a. Payment under this contract will be made by wire transfer through the Treasury Financial Communications System for each individual payment in excess of $25,000 and by Treasury check for each individual payment of.$25,000 or less. b. In the event that the Contractor's financial institution has access to the Federal Reserve Communications System, the Contractor shall #orward the following information in writing to the Contracting Officer within seven days after the effective date of the contract.

1) Name and address of organization.

2) Contact person and telephone number.

3) Name and address of financial institution.

4) Contractor's financial institution's 9-digit ABA identifying number for routing transfer of funds.

5) Telegraphic abbreviation of Contractor's financial institution.

6) Account number at Contractor's financial institution.

7) Signature and ' title of person supplying this information.

c. In the event the Contractor's financial institution does not have access to the Federal Reserve Communication System, the Contractor shall forward the following information with regard to a correspondent or alternate financial institution. The information shall be in writing and submitted to the Contracting Officer within seven days after the effective date of the contract.

1) Name and address of organization.

2) Contact person and telephone number.

3) Name and address of financial institution.

j

4) Telegraphic abbreviation of Contractor's financial institution.

5) Account number at Contractor's financial institution.

4

6) Name and address of the correspondent financial institution that has access to the Federal Reserve Communications System.

7) Correspondent financial institution 9-digit ABA e

e

4 rme n RS-AED-89-289 Section G identifying number for routing transfer of funds. J

8) Telegraphic abbreviation of correspondent financial institution.

9) Signature and title of person supplying this I

information. d. Any changes to the information furnished under this clause shall be furnished to the Contracting Officer in writing. It is the Contractor's responsibility to furnish these changes promptly to l avoid payments to erroneous bank accounts. j (End of Clause) G.5 PAYMENT DUE DATE (MAR 1987) Progress payments, if authorized under this contract, will J a. be due thirty (30) calendar days after receipt of a proper invoice I in accordance with the attached " Billing Instructions" (See Section ) J for List of Attachments). Such payments are solely for financing purposes and shall not accrue interest under the Prompt Payment Act. b. Payments subject to the Prompt Payment Act under this contract will be due 30 calendar days after the later of: I 1. The date of actual receipt of a proper invoice in accordance with the attached " Billing Instructions", or 2. The date the final deliverable products / services are accepted by the Government, or 3. The date the contract expires. c. For the purpose of determining the due date for payment and for no other purpose, acceptance will be deemed to occur 30 calendar l l days after receipt of the final deliverable product or completion of performance of all services in accordance with the terms of the contract. d. If the final product / service is rejected for failure to conform to the technical requirements of the contract, the provisions in paragraph c of this clause will apply to the new delivery of the final product / service, i (End of Clause) G.6 INTEREST ON OVERDUE PAYMENTS (MAR 1987) a. The Prompt Payment Act, Public Law 97-177 (96 STAT. 85, 31 USC 1801) is applicable to payment of the expiration invoice under this contract and requires the payment of interest to Contractors on overdue payments of the expiration invoice or improperly taken discounts.

l rmc c.u RS-AED-89-289 Section G b. Determinations of interest due will be made in accordance with the provisions of the Prompt Payment Act and Office of Management and Budget Circular A-125, Vol. 47 Federal Register 37321, August 25, 1982. Among other considerations, OMB Circular A-125 provides that: 1

1) Interest penalties are not required when payment is delayed because of a disagreement over the amount of payment or other issues concerning compliance with the terms of the contract.

2) Whenever a proper invoice is paid after the due date plus 15 days, interest will be included with the payment at the interest rate applicable on the payment date.

Interest will be computed from the day after the due date through the payment date. c. For purposes of this clause, an expiration invoice is defined as a claim submitted for costs incurred for performance through the expiration date of a Cost Type contract. (End of Clause) G.7 REMITTANCE ADDRESS (MAR 1987) If item 15C. of the Standard Form 33 has been checked, enter l the remittance address below. Name: Address: ) (End of Clause) G.8 TASKORDERPROCEDURES(MAR 1987) 4 a. Task Order Request for Proposal When a requirement within the scope of work for this contract is identified, the Contracting Officer will transmit to the Contractor a Task Order Request for Proposal which will include the following, as appropriate:

1) Scope of Work / Meetings / Travel and Deliverables.

2) Reporting Requirements.

3) Period of Performance - Place of Performance.

4) Applicable Special Provisions.

5) Technical Skills Required.

1

6) Estimated Level of Effort.

b. Task Order Proposal 1 e E 9

q g rmc. u RS-AED-89-289 Section G i l 1 By the date specified in the Task Order Request for Proposal, the Contractor shall deliver to the Contracting Officer a f written Task Order Proposal that provides the following technical and cost information, as appropriate: 1

1) Technical Proposal Centent.

j i a) A discussion of the scope of work requirements to substantiate the Contractor's understanding of the requirements of the Task Order and the Contractor's proposed method of approach to ] meet the objective of the order. b) Resumes for professional personnel proposed to be utilized in the performance of any resulting task order. Include ~l educational background, specific pertinent work experience and a i list of any pertinent publications authored by the individual. 1 c) Identification of administrative support personnel and/or facilities that are needed to assist the professional personnel in completing work on the task order. d) Identification of " Key Personnel" and the number 1 of staff hours that will be committed to completion of work on the ) Task Order. i

2) Cost Proposal.

I l The Contractor's cost proposal for each Task Order l shall be prepared using the Standard Form 1411, Contract Pricing Proposal cover sheet. A copy of the form and instructions are attached to this contract. Each Task Order cost proposal shall be fully supported by cost and pricing data adequate to establish the reasonableness of the proposed amounts. When the Contractor's estimated cost for the proposed Task Order exceeds $100,000 and the i period of performance exceeds six months, the Contractor is required to submit a Spending Plan as part of its cost proposal. Guidance for completing the Spending Plan will be provided with the Task i Order Request for Proposal. c. Task Order Award The Contractor shall perform all work described in -l definitized Task Orders issued by the Contracting Officer. Definitized Task Orders will include the following:

1) Statement of Work / Meetings / Travel and Deliverables.

I

2) Reporting Requirements.

3) Period of Performance.

4) Key Personnel.

l

5) Applicable Special Provisions.

6) Total Task Order amount.

(EndofClause) i

mut 44 RS-AED-89-289 Section G G.9 ACCELERATED TASK ORDER PROCEDURES (MAR 1987) i a. The NRC may require the Contractor to commence work before I receipt of a definitized Task Order from the Contracting Officer. Accordingly, when the Contracting Officer verbally authorizes, the Contractor shall proceed with performance of the Task Order subject to monetary limitation established for the Task Order by the Contracting Officer. 1 b. When this accelerated procedure is employed by the NRC, l the Contractor agrees to begin promptly negotiating with the ) Contracting Officer the terms of a definitive Task Order and agreet j to submit a cost proposal with supporting cost or pricing data. If j agreement on a definitized Task Order is not reached by the target l date mutually agreed upon by the Contractor and Contracting Officer, l the Contracting Cfficer may determine a reasonable price and/or fee I in accordance with Subpart 15.8 and Part 31 of the FAR, subject to Contractor appeal as govided in 52.233 Disputes. In any event, J the Contractor shall proceed with completion of the Task Orc'er, 1 subject only to the monetary limitation established by the Contracting Officer and the terms and conditions of the basic i contract. l l (End of Clause) I l l e 4 - _ _ _ - _ _.. _ _ _ _ _ _ - _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ___3

4 ' ~ rmc u RS-AED-89-289 Secticn H SECTION H - SPECIAL CONTRACT REQUIREMENTS H.1 KEY PERSONNEL (MAR 1987) a. The following individuals are considered to be essential to the successful performance of the work h oeunder. { l The Contractor agrees that such personnel shall not be removed from the contract work or replaced without compliance with paragraphs b and c hereof. b. If one or more of the key personnel for what.ever reason becomes, or is expected to become, unavailable for work under this I l contract for a continuous period exceeding 30 work days, or is expected to devote substantially less effort to the work than i I indicated in the proposal or initially anticipated, the Contractor i I shall immediately notify the Contracting Officer and shall, subject j l to the concurrence of the Contracting Officer, promptly replace such l l personnel with personnel of at least substantially equal ability and qualifications. l c. All requests for approval of substitutions hereunder must be in writing and provide a detailed explanation of the circumstances necessitating the proposed substitutions. They contain a complete resume for the proposed substitute, and other information requested by the Contracting Officer to approve or disapprove the proposed substitution. The Contracting Officer will evaluate such requests and promptly notify the Contractor of his/her approval or disapproval thereof in writing. d. If the Contracting Officer determines that:

1) Suitable and timely replacement of key personnel who have been reassigned, terminated or have otherwise become unavailable for the contract work is not reasonably forthcoming; or

2) That the resultant reduction of effort would be so

( substantial as to impair the successful completion of the contract l or the service order, the contract may be terminated by the Contracting Officer for default or for the convenience of the Government, as appropriate. If the Contracting Officer finds the Contractor at fault for the condition, the contract price or fixed i

rme v. RS-AED-89-289 Stetion H fee may be equitably adjusted downward to compensate the Government for any resultant delay, loss or damage. (End of Clause) H.2 SAFETY, HEALTH, AND FIRE PROTECTION (MAR'1987) The Contractor shall take all reasonable precautions in the performance of the work under this contract to protect the health and safety of employees and of members of the public and to minimize danger from all hazards to life and property and shall-comply with all applicable health, safety, and fire protection regulations and requirements (including reporting requirements) of the Commission and the Department of Labor. In the event that the' Contractor. fails to comply with said regulations or requirements, the Contracting Officer, may, without prejudice to any other. legal or contractual rights of the Commission, issue an order stopping all-or any part of the work; thereafter, a start order for resumption of work may be issued at the discretion of the Contracting Officer. The Contractor shall make no claim for an extension of time or for compensation or damages by reason of or in connection with such work stoppage. (End of Clause) H.3 DISSEMINATION OF CONTRACT INFORMATION (MAR 1987) The Contractor shall comply with the attached requirement of NRC Manual Chapter 3202 and 3206 (See Section J for List of Attachments) regarding publications or.any infomation, oral or written, concerning the work performed under this centract. Failure to comply with this clause shall be grounds for. termination of this contract. (End of Clause) H.4 PRIVATE USE OF CONTRACT INFORMATION AND DATA (MAR 1987) Except as specifically authorized by this contract, or as otherwise approved by the Contracting Officer, information and other data developed or acquired by or furnished the Contractor in the performance of this contract, shall be used only in connection with the work under this contract. (EndofClause) H.5 DRAWINGS, DESIGNS, AND SPECIFICATIONS (MAR 1987) j i All drawings, sketches, designs, design data, specifications, notebooks, technical and scientific data, and all photographs, negatives, reports, findings, recommendations, data and memoranda of every description relating thereto, as well as all copies of the ) foregoing relating to the work or any part thereto, shall be subject to inspection by the Commission-at all reasonable times (for which I inspection the proper facilities shall be afforded the Commission by j the Contractor and its subcontractors), shall be the property of the l 8 m

RS-AED-89-289 Section H PAGE 25 Government and may be used by the Government for any purpose whatsoever without any claim on the part of the Contractor and its subcontractors and vendors for additional compensation and shall, ' subject to the right of the Contractor to retain a copy of said material for its own use, be delivered to the Government, or otherwise disposed of by the Contractor either as the Contracting Officer may from time to time direct during the progress of the work or in any event as the Contracting Officer shall direct upon completion or termination of this contract. The Contractor's right of retention and use shall be subject to the securiity, patent, and use of information provisions, if any, of:this contract. (EndofClause) l THE REl%INDER OF THIS PAGE IS INTENTIONALLY BLANK 9 l l l I l l 1 l i I j

RS-AED-89-289 PAGE 26 Section H THIS PAGE IS INTENTIONALLY BLANK l l l / l i e# O 1 M 0 0

c RS-AED-89-289 PAGE 27 Section H H.7 CONTRACTOR ORGANIZATIONAL CONFLICTS OF INTEREST (OMB CLEARANCE NUMBER 3150-0112)(MAR 1987) a. Purpose. The primary purpose of this clause is to aid in ensuring that the Contractor:

1) Is not placed on a conflicting role because of current or planned interest (financial, contractual, organizational, or otherwise) which relate to the work under this contract, and

2) Does not obtain an unfair competitive advantage over other parties by virtue of its performance of this contract.

b. Scope. The restrictions described herein shall apply to performance or participation by the Contractor as defined in 41 CFR 20-1.5402(f) in the activities covered by this clause. c. Work for Others. Notwithstanding any other provision of this contract, during the term of this contract, the Contractor agrees to forgo entering into consulting or other contractual arrangements with any firm or organization, the result of which may give rise to conflict of interest with respect to the work bei~ng performed under this contract. The Contractor shall ensure that all employees who are employed full time under this contract and employees designated as key personnel, if any, under this contract abide by the provision of this clause. If the Contractor believes with respect to itself or any such employee that any proposed consultant or other contractual arrangement with any firm or organization may involve a potential conflict of interest, the Contractor shall obtain the written approval of the Contracting Officer prior to execution of such contractual arrangement. d. Disclosure after award.

1) The Contractor warrants that to the best of its knowledge and belief and except as otherwise set forth in this contract, it does not have any organizational conflicts of interest, as defined in 41 CFR 20-1.5402(a).

2) The Contractor agrees that if after award it discovers organizational conflicts of interest with respect te this contract, it shall make an immediate and full disclosure in writing to the Contracting Officer. This statement shall include a description of 4

I PAbt 45 RS-AED-89-289 Section H the action which the Contractor has taken or proposes to take to avoid or mitigate such conflicts. The NRC may, however,_ terminate the contract for convenience if it deems such termination to be in the best interest of the Government. e. Access to and use of information.

1) If the Contractor in the performance of this contract obtains access to information, such as NRC plans, policies, reports, studies, financial plans, internal data protected by the Privacy Act of 1974 (Pub. L. 93-579), or data which has not been released to the public, the Contractor agrees not to:

(1) Use such information for any private purpose until the information has been released to the public; (ii) Compete for work for the Commission based on such information for a period of six (6) months after either the completion of this contract or the release of such information to the public, whichever is first; (iii) Submit an unsolicited proposal to the Government based on such information until one year after the release of such information to the public, or (iv) Release the information without prior written approval by the Contracting Officer unless such information has previously been released to the public by the NRC.

2) In rddition, the Contractor agrees that to the extent it receives or is given access to proprietary data, data protected by the Privacy Act of 1974 (Pub. L. 93-579), or other confidential or privileged technical, business, or financial information under this contract, the Contractor shall treat such information in accordance with restrictions placed on use of the information.

3) The Contractor shall have, subject to patent and security provisions of this contract, the right to use technical data it produces under this contract for private purposes provided that all requirements of this contract have been met, f.

Subcontracts. Except as provided in 41 CFR 20-1.5402(h), the Contractor shall include this clause, including this paragraph, in subcontracts of any tier. The terms " contract," " Contractor," and " Contracting Officer," shall be appropriately modified to preserve the Government's rights, g. Remedies. For breach of any of the above prescriptions or for intentional nondisclosure or misrepresentation of any relevant interest required to be disclosed concerning this contract or for such erroneous representations as necessarily imply bad faith, the Government may terminate the contract for default, disqualify the Contractor from subsequent contractual efforts, and pursue other remedies as may be permitted by law or this contract. f + 9 d

RS-AEb-89-289 Section H h. Waiver. A request for waiver under this clause shall be directed in writing through the Contracting Officer to the Executive Director for Operations (EDO) in accordance with the procedures outlined in 20-1.5411. (End of Clause) H.8 GOVERNMENT FURNISHED EQUIPMENT / PROPERTY (MAR 1987) Refer to Section C.4 herein. (End of Clause) l H.9 OTHER CD TRACTOR PERSONNEL REQUIREMENTS When a task order is issued under this contract, the Contractor shall assure that there are no existing or past agrsements between any employee and the licensee for which an issue exists that might infer a real or apparent conflict of interest. Personnel performing under this contract will be required to have an annual physical examination and to provide certification ) from a physician that they are fit for duty. Personnel will be { subject to licensee fitness for duty programs, including testing for drug use and all other licensee access requirements established as a condition for unescorted access to the facility to be inspected. In addition, the Contractor shall certify to the NRC for personnel i performing under this contract, that to the Contractor's knowledge ] the personnel do not possess adverse character traits or any indication of aberrant behavior and that trustworthiness has been l determined by review of the personnel's employment record. These procedures are required in accordance with 10 CFR Part 73.55(d)(7)(i). (End of Clause) I i

YnUC JU RS-AED-89-289 Section I PART II - CONTRACT CLAUSES CONTRACT CLAUSES SECTION I I.1 CLAUSES INCORPORATED BY REFERENCE (FAR 52.252-2) (APR 1984) This contract incorporates the following clauses by reference. l These clauses have the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available. I. FEDERAL ACQUISITION REGULATION (48 CFR CHAPTER 1) CLAUSE 5 CLAUSE l NUMBER DATE TITLE 52.202-1 APR 1984 DEFINITIONS 52.203-1 APR 1984 0FFICIALS NOT TO BENEFIT 52.203-3 APR 1984 GRATUITIES 52.203-5 APR 1984 COVENANT AGAINST CONTINGENT FEES 52.203-6 JUL 1985 RESTRICTIONS ON SUBCONTRACTOR l SALES TO THE GOVERNMENT 52.204-1 APR 1984 APPROVAL OF CONTRACT 52.215-1 APR 1984 EXAMINATION OF RECORDS BY COMPTROLLER GENERAL-52.215-2 APR 1984 AUDIT -- NEGOTIATION 52.215-22 APR 1984 PRICE REDUCTION FOR DEFECTIVE COST OR PRICING DATA 52.215-23 APR 1985 PRICE REDUCTION FOR DEFECTIVE COST OR l l PRICING DATA -- MODIFICATIONS 52.215-24 APR 1985 SUBCONTRACTOR COST OR PRICING DATA [ 52.215-25 APR 1985 SUBCONTRACTOR COST OR PRICING DATA -- MODIFICATIONS 52.215-26 JUL 1986 INTEGRITY OF UNIT PRICES 52.215-30 APR 1984 FACILITIES CAPITAL COST 1 0F MONEY i 52.215-31 APR 1984 WAIVER OF FACILITIES i CAPITAL COST OF MONEY 52.215-33 JAN 1986 ORDER OF PRECEDENCE 52.216-7 APR 1984 ALLOWABLE COST AND PAYMENT j 52.216-8 APR 1984 FIXED FEE 52.219-8 JUN 1985 UTILIZATION OF SMALL BUSINESS CONCERNS AND l I 1 l 4 d _-_-_------_---__._a

PAGE 31 RS-AED-89-289 Section ! SMALL DISADVANTAGED BUSINESS CONCERNS 52.219-9 APR 1984 SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS SUBCONTRACTING PLAN 52.219-13 AUG 1986 UTILIZATION OF WOMEN-OWNED SMALL BUSINESSES 52.220-3 APR 1984 UTILIZATION OF LABOR SURPLUS AREA CONCERNS 52.222-1 APR 1984 NOTICE TO THE GOVERNMENT OF LABOR DISPUTES 52.222-3 APR 1984 CONVICT LABOR 52.222-26 APR 1984 EQUAL OP'ORTUNITY 52.222-28 APR 1984 EQUAL OPPORTUNITY PREAWARD CLEARANCE OF SUBCONTRACTS 52.222-35 APR 1984 AFFIRMATIVE ACTION FOR SPECIAL DISABLED AND VIETNAM ERA VETERANS 52.222-36 APR 1984 AFFIRMATIVE ACTION FOR HANDICAPPED WORKERS 52.223-2 APR 1984 CLEAN AIR AND WATER 52.223-3 APR 1984 HAZARDOUS MATERIAL IDENTIFICATION AND MATERIAL SAFETY DATA 52.227-1 APR 1984 AUTHORIZATION AND CONSENT 52.227-2 APR 1984 NOTICE AND ASSISTANCE REGARDING PATENT AND COPYRIGHT INFRINGEMENT 52.228-7 APR 1984 INSURANCE -- LIABILITY TO THIRD PERSONS 52.230-3 AUG 1986 COST ACCOUNTING STANDARDS 52.230-4 APR 1984 ADMINISTRATION OF COST ACCOUNTING STANDARDS 52.230-5 AUG 1986 DISCLOSURE AND CONSISTENCY OF COST ACCOUNTING PRACTICES 52.232-17 APR 1984 INTERLST 52.232-22 APR 1984 LIMITATION OF FUNDS 52.232-23 JAN 1986 ASSIGNMENT OF CLAIMS 52.233-1 APR 1934 DISPUTES ALTERNATE I (APR 1984) 52.233-3 JUN 1985 PROTEST AFTER AWARD ALTERNATE I (JUN 1985) 52.242-1 APR 1984 NOTICE OF INTENT TO DISALLOW COSTS 52.243-2 APR 1984 CHANGES -- COST-REIMBURSEMENT ALTERNATE I (APR 1984) 52.244-2 JUL 1985 SUBCONTRACTS UNDER COST-REIMBURSEMENT ANC LETTER CONTRACTS ALTERNATE I (APR 1984) 52.244-5 APR 1984 COMPETITION IN SUBCONTRACTING 52.249-6 MAY 1986 TERMINATION (COST-REIMBURSEMENT) 52.249-14 APR 1984 EXCUSABLE DELAYS 52.245-5 JAN 1986 GOVERNMENT PROPERTY (C0ST-REIMBURSEMENT, TIME-AND-MATERIAL OR LABOR-HOUR CONTRACTS) l 1 l ~

PAGE 32 RS-AED-89-289 Section I I.2 ANTI-KICKBACK PROCEDURES (FAR 52.203-7) (a) Definitions. " Kickback," as used in this clause, means any money.. fee, commission,. credit, gift, gratuity, thing of value, or compensation of any kind which-is-provided, directly or indirectly,. to any prime Contractor, prime Contractor employee, subcontractor, - or subcontractor employee for the purpose of improperly obtaining or rewarding favorable treatment in connection with a prime contract or in connectior, with a subcontract relating to a prime contract. " Person," as used in this clause, means a corporation, partnership, business association of any kind,' trust, joint-stock company, or individual. " Prime contract," as used in this clause, means a contract or contractual action entered into by the United States for the 4 purposes of obtaining supplies,-materials, equipment, or services of any kind. " Prime Contractor employee," as used in this clause, means any officer, partner, employee, or agent of a prime Contractor. " Subcontract," as used in this clause, means a contract or contractual action entered into by a prime Contractor or subcontractor for the purpose of obtaining supplies, materials. -l J equipment, or services of any kind under a prime contract. " Subcontractor," as used in this clause, (1) means any person, other than the prime Contractor, who offers to furnish or furnishes any supplies, materials, equipment, or services of any kind under a prime contract or subcontract entered into in connection with any such prime contract, and (2) includes any person who offors to furnish or furnishes supplies to the prime Contractor ur a higher-tier subcontractor. " Subcontractor employee," as used in this clause, means any officer, partner, employee, or agent of a subcontractor. (b) The Anti-kickback Act of-1986 (41 U.S.C. 51-58) (the'Act), prohibits any person from-- (1) Providing or attempting to provide or offering to provide any kickback; or-l 4 (2) Soliciting, accepting, or attempting to accept any kickback; or (3) Including, directly or indirectly the amount of any i kickback in the contract price charged by the prime Contractor to the United States or in the contract price charged by a subcontractor to a prime Contractor or a higher tier subcontractor. i ) (c)(1) The Contractor shall have in place and follow reasonable procedures designed to prevent and detect possible violations described in paragraph (b) of this clause in its own operations and- .4 i e S ,e l l

.l i PAGE 33 i RS-AED-89-289 Section I 1 direct business' relationships. (2) When the Contractor has reasonable grounds.to believe that a violation described in paragraph (b) of this' clause may have occurred, the Contractor shall promptly report in writing,the possible. violation. Such reports shall be made to the inspector t general of the contracting agency, the head.of the contracting -{ agency if the agency does not have an inspector. general, or the i Department of Justice. .(3), The Contractor shall cooperate fully with any Federal agency. investigating a possible violation described in paragraph (b) of this clause, j (4) Regardless of the contract tier at which a kickback was provided, accepted or charged under the contract in violation of paragraph (b) of'this clause, the Contracting Officer may-- (1) Offset the amount of the kickback againist any monies owed by the United States under this contract and/or (ii) direct that the Contractor withhold from sums owed the subcontractor, the amount of kickback. The Contracting Officer may order that monies withheld under subdivision (c)(4)(ii) of this clause be paid over'to the Government unless the Government has already offset those monies under. subdivision (c)(4)(1) of this clause. In the latter case, the contractor shall notify the Contracting Officer when monies are witheld. (5) The Contractor agrees to incorporate the. substance of this clause, including this subparagraph (c)(5), in all subcontracts under this contract. '1 (End of Clause) I.3 ORDERING (FAR 52.216-18)(APR1984) (a) Any supplies and services to be furnished.under this contract shall be ordered by issuance of delivery orders by the individuals or activities designated in the Schedule. Such orders may be issued from the effective date of the contract through the end of the i period of performance. (b) All delivery orders are subject to the terms and conditions of this contract. In the event of conflict between a delivery order and this contract, the contract sha11' control. (c) If mailed, a delivery order is considered " issued" when the Governmcnt deposits the order in the mail. Orders may be issued orally or by written telecommunications only if authorized in the-Schedule. i (End of Clause) .=

l PAGE 34 j RS-AED-89-289 SGetion I I.4 DELIVERY-ORDER LIMITATIONS (FAR 52.216-19) (APR 1984) (a) Minimum order. When the Government requires supplies or ** services covered by this contract in an amount of less than the Government is not obligated to purchase, nor is the Contractor obligated to furnish, those supplies or services under the contract. (b) Maximum order. The Contractor is not obligated to honor-- 1 (1) Any order for a single item in excess of (2) Any order for a combination of items in excess of (3) A series of orders from the same ordering office within days that together call for quantities exceeding the limitation in subparagraph (1) or (2) above. f i (c) If this is a requirements contract (i.e., includes the { Requirements clause at subsection 52.216-21 of the Federal i Acquisition Regulation (FAR)), the Government is not required to order a part of any one requirement from the Contractor if that requirementevceedsthemaximum-orderlimitationsinparagraph(b) above. I (d) Notwithstanding paragraphs (b) and (c) above, the Contractor j shall honor any order exceeding the maximum order limitations in paragraph (b), unless that order (or orders) is returned to the f days after issuance, with written ordering office within notice stating the Contractor's intent not to ship the item (or items) called for and the reasons. Upon receiving this notice, the l Government may acquire the supplies or services from another source. j ) (End of Clause) 1.5 REQUIREMENTS (FAR 52.216-21) (APR 1984) (a) This is a requirements contract for the supplies or services .specified, and effective for the period stated, in the Schedule. The quantities of supplies or services specified in the Schedule are estimates only and are not purchased by this contract. Except as-this contract may otherwise provide, if the Government's 3 requirements do not result in orders in the quantities described as " estimated" or " maximum" in the Schedule, that fact shall not constitute the basis for an equitable price adjustment. (b) Delivery or performance shall be made only as authorized by l orders issued in accordance with the Ordering clause. Subject to any limitations in the Delivery-Order Limitations clause or elsewhere in this contract, the Contractor shall furnish to the Government all supplies or services specified in the Schedule and called for by orders issued in accordance with the Ordering clause. The Government may issue orders requiring delivery to multiple destinations or performance at multiple locations. l

• e, b

e

e PAGE 35 RS-AED-89-289 SIction I (c) Except as tnis contract otherwise provides, the Government shall order from the Contractor all the supplies or services specified in the Schedule that are required to be purchased by the Government activity or activities specified in the Schedule. (d) The Government is not required to purchase from the Contractor requirements in excess of any limit on total orders under this contract. (e) If the Government urgently requires delivery of any quantity of an item before the earliest date that delivery may be specified under this contract, and if the Contractor will not accept an order providing from the accelerated delivery, the Government may acquire the urgently required goods or services from another source. (f) Any order issued during the' effective period of this contract and not completed within that period shall be completed by the Contractor within the time specified in the order. The contract shall govern the Contractor's and Government's rights and obligations with respect to that order to the same extent as if the order were completed during the contract's effective period; provided, that the Contractor shall not be required to make any deliveries under this contract after. (End of Clause) I.6 PAYMENT FOR OVERTIME PREMIUMS (FAR 52.222-2) (ApR 1984) (a) The use of overtime is authorized under this contract if the overtime premium cost does not exceed $0. In addition to this dollar calling, overtime is permitted only for work-- (1) Necessary to cope with emergencies such as those resulting j from accidents, natural disasters, breakdowns of production equipment, or occasional production bottlenecks of a sporadic nature; (2) By indirect-labor employees such as those performing duties in connection with administration, protection, transportation, maintenance, standby plant protection, operation of utilities, or accounting; (3) To perform tests, industrial processes, laboratory procedures, loading or unloading of transportation conveyances, and i operations in flight or afloat that are continuous in nature and cannot reasonably be interrupted or completed otherwise; or (4) That will result in lower orerall costs to the Government. (b) Any request for estimated overtime premiums that exceeds the amount specified above shall include all estimated overtime for l contract completion and shall--

PAGE 36 RS-AED-89-289 Section I (1) Identify the work unit; e.g., department or section in which the requested overtime will be used, together with present workload, staffing, and other data of the affected unit sufficient to permit the Contracting Officer to evaluate the necessity for the oycetime; (2) Demonstrate the effect that denial of the request will have J on the contract delivery or performance schedule; (3) Identify the extent to which approval of overtime would I affect the performance or payments in connection with other Government contracts, together with identification of each affected contract; and (4) Provide reasons why the required work cannot be performed by 1 using multishift ooerations or by employing additional personnel. l (End of Clause) 1 i I i l d 4

0 j -l PAGE 37 RS-AED-89-289 . Section J PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS l SECTION J - LIST OF ATTACHMENTS I J.1 ATTACHMENTS.(MAR 1987) Attachment Number Title 1 NRC Contractor Organizational Conflicts of Interest (41 CFR Part 20) 2 Billing Instructions 3 DET Guideline 3 4 Standard Form 1411 with Instructions i 1 1 ) i i e 9 __..-_.__._._______.___________________~___m_-- l

PAGE 38 RS-AED-89-289 Section K REPRESENTATIONS AND INSTRUCTIONS PART IV SECTION K - REPRESENTATIONS, CERTIFICATIONS AND OTHER STATEMENTS OF OFFERDRS K.1 CONTINGENT FEE REPRESENTATION AND AGREEMENT (FAR 52.203-4) (APR 1984) (a) Representation. The offeror represents that, except for full-time bona fide employees working solely for the offeror, the offeror-- (Note: The offeror must check the appropriate boxes. For interpretation of the representation, including the term " bona fide employee," see Subpart 3.4 of the Federal Acquisition Regulation.) (1) ( ) has, ( ) has not employed or retained any person or company to solicit or obtain this contract; and (2) ( ) has, ( ) has not paid or agreed to pay to any person or company employed or retained to solicit or obtain this contract any commission, percentage, brokerage, or other fee contingent upon or resulting from the award of this contract. (b) Agreement. The offeror agrees to provide information relating to the above Representation as requested by the Contracting Officer and, when subparagraph (a)(1) or (a)(2) is answered affirmatively, to promptly submit to the Contracting Officer-- (1) A completed Standard Form 119, Statement of Contingent or Other Fees, (SF 119); or (2) A signed statement indicating that the SF 119 was previously submitted to the same contracting office, including the date and applicable solicitation or contract number, and representing that the prior SF 119 applies to this offer or quotation. (End of Provision) K.2 TYPE OF BUSINESS ORGANIZATION (FAR 52.215-6) (JUL 1987) l The offeror or quoter, by checking the applicable box, represents ) that-- (a) It operates as ( ) a corporation incorporated under the laws of the State of , ( ) an individual, ( ) a partnership, ( ) a nonprofit organization, or ( ) a joint venture; 4 4 9

o PAGE 39 RS-AED-89-289 Section K or (b) If the offeror or quoter is a foreign entity,. it operates as i ( ) an individual, ( ) a partnership, ( ) a nonprofit organization, 1 ( ) a joint venture, or ( ) a corporation, registered for business in (country). (End of Provision) l \\ l. K.3 AUTHORIZED NEGOTIATORS (FAR 52.215-11)(APR1984) l The offeror or quoter represents that the -following persons are. authorized to negotiate on its behalf with the Government in i connection with this request for proposals or quotations: (list names, titles, and telephone numbers of the authorized negotiators). (End of Provision) K.4 PLACE OF PERFORMANCE (FAR 52.215-20) (APR 1984) (a) The' offeror or quoter, in the performance of any contract resulting from this solicitation, ( ) intends, ( ) does not intend (check applicable box) to use one or more p1 ats or facilities. located at a different address from the address of the offeror or quoter as indicated in this proposal or quotation. (b) If the offeror or quoter checks " intends" in paragraph (a) above, it shall insert in the spaces provided below the requir:J information: Name and Address of Owner Place of Performance (Street and Operator of the Plant or Address, City, County, State, Facility if Other than Offerot Zip Code) or Quoter (End of Provision) K.5 SMALL BUSINESS CONCERN REPRESENTATION (FAR 52.219-1) (MAY 1986) The offeror represents and certifies as part of its offer the, it ( ) is, ( ) is not a small business concern and that ( ) all, (-). not all end items to be furnished will be manufactured or produced by a small business concern in the United States, its territories or

PAGE 40 RS-AED-89-289 Section K possessions, Puerto Rico, or the Trust Territory of the Pacific Islands. "Small business concern," as used in this provision, means a concern, including its affiliates, that is independently owned and operated, not dominant in the field of operation in which it is bidding on Government contracts, and 9'alified as a small business under the size standards in this solicitation. (End of Provision) K.6 SMALL DISADVANTAGED BUSINESS CONCERN j REPRESENTATION (FAR 52.219-2) (APR 1984) (a) Representation. The offeror represents that it ( ) is, ( ) is not a small disadvantaged business concern. (b) Definitions. " Asian-Indian American," as used in this provision, means a United States citizen whose origins are in India, Pakistan, or Bangladesh. " Asian-Pacific American," as used in this provision, means a United States citizen whose origins are in Japan, China, the Philippines, Vietnam, Korea, Samoa, Guam, the U.S. Trust Territory of the Pacific Islands, the Northern Mariana Islands, Laos, Cambodia, or Taiwan. " Native Americans," as used in this provision, means American Indians, Eskimos, Aleuts, and native Hawaiians. "Small business concern," as used in this provision, means a concern, including its affiliates, that is independently owned and operated, not dominant in the field of operation in which it is bidding on Government contracts, and qualified as a small business under the criteria and size standards in 13 CFR 121. "Small disadvantaged business concern," as used in this provision, means a small business concern that (1) is at least 51 percent owned I by one or more individuals who are both socially and economically J disadvantaged, or a publicly owned business having at least 51 percent of its stock owned by one or more socially and economically disadvantaged individuals and (2) has its management and daily business controlled by one or more such individuals. (c) Qualified groups. The offeror shall presume that socially and i economically disadvantaged individuals include Black Americans, Hispanic Americans, Native Americans, Asian-Pacific Americans, Asian-Indian Americans, and other individuals found to be qualified l by the SBA under 13 CFR 124.1. i ^ (End of Provision) V e 4 e g 4 9

) '{ PAGE 41 j RS-AED-89-289 Section K ] K.7 WOMEN-0WNED SMALL BUSINESS REPRESENTATION (FAR 52.219-3) (APR 1984) l (a) Representation. The offeror. represents that it ( ) is, ( ) is not a women-owned small business concern. (b) Definitions. "Small business concern," as used in this provision, means a concern, including its affiliates, that is independently owned and operated, not dominate in the field of operation in which it is. bidding on Government contracts,.and qualified as a small business under the criteria and size standards in 13 CFR 121. " Women-owned," as used in this provision, means. :n11 business that is at least 51 percent owned by a woman or women who are U.S. citizens and who also control and operate the business. (End of Provision) K.8 PREFERENCE FOR LABOR SURPLUS AREA CONCERNS (FAR 52.220-1) (APR 1984) (a) This acquisition is not a set aside for labor surplus area (LSA) concerns. However, the offeror's status as such a concern may . affect (1) entitlement to award in case of tie offers or (2) offer evaluation in accordance with the Buy American Act clause of this solicitation. In order to determine whether the offeror is entitled l to a preference under (1) or (2) above, the offeror must identify, below, the LSA in which the costs to be incurred on account of manufacturing or production (by the. offeror or the first-tier i subcontractors) amount to more than 50 percent of the contract price. (b) Failure to identify the locations as specified above will preclude consideration of the offeror as an LSA concern. If the offeror is awarded a contract as an LSA concern and would not have otherwise qualified for award, the offeror shall perform the contract or cause the contract to be performed in accordanct :lth the obligations of an LSA concern. (End of Provision) K.9 CERTIFICATION OF NONSEGREGATED FACILITIES (FAR52.222-21)(APR1981) (a) " Segregated facilities," as used in this provision, means any waiting rooms, work areas, rest rooms and wash rooms, restaurants and other eating areas, time clocks, locker rooms and other storage or dressing areas, parking lots, drinking fountains, recreation or

PAGE 42 RS-AED-89-289 Soction K entertainment areas, transportation, and housing facilities provided for employees, that are segregated by explicit directive or are in fact segregated on the basis of race, color, religion, or national origin because of habit, local custom, or otherwise. (b) By the submission of this offer, the offeror certifies that it does not and will not maintain or provide for its employees any segregated facilities at any of its establishments, and that it does not and will not permit its employees to perform their services at any location under its control where segregated facilities are maintained. The offeror agrees that a breach of this certification is a violation of the Equal Opportunity clause in the contract. (c) The offeror further agrees that (except where it has obtained identical certifications from proposed subcontractors for specific time periods) it will-- (1) Obtain identical certifications from proposed subcontractors before the award of subcontracts under which the subcontractor will be subject to the Equal Opportunity clause; (2) Retain the certifications in the files; and (3) Forward the following notice to the proposed subcontractors (except if the proposed subcontractors have submitted identical certifications for specific time periods): NOTICE TO PROSPECTIVE SUBCONTRACTORS OF REQUIREMENT FOR CERTIFICATIONS OF NONSEGREGATED FACILITIES A Certification of Nonsegregated Facilities must be submitted before the award of a subcontract under which the subcontractor will be subject to the Equal Opportunity clause. The certification may be submitted either for each subcontract or for 'l subcontracts during a period (i.e., quarterly, semiannual 13 . annually). NOTE: The penalty for making false statements in offers is prescribed in 18 U.S.C. 1001. (End of Provision) K.10 PREVIOUS CONTRACTS AND COMPLIANCE REPORTS (FAR 52.222-22) (APR 1984) The offeror represents that-- (a) It ( ) has, ( ) has not participated in a previous contract or subcontract subject either to the Equal Opportunity clause of this solicitation, the clause originally contained in Section 310 of Executive Order No. 10925, or the clause contained in Section 201 of I Executive Order No. 11114; l (b) It ( ) has, ( ) has not filed all required compliance reports; and l l e e 9

RS-AED-89-289 Section K- '(c) Representations indicating submission of required compliance reports, signed by proposed subcontractors, will be obtained before subcontract awards. (End of Provision) K.11 AFFIRMATIVE ACTION COMPLIANCE (FAR 52.222-25) (APR 1984) The offeror. represents that-- (a) It ( ) has developed and has on file, ( ) has not' developed and does not have on file, at each establishment, affirmative action programs required by the rules and regulations of the Secretary of Labor (41 CFR 60-1 and 60-2), or (b) It ( ) has not previously had contracts subject to the written affirmative action programs: requirement of the rules and regulations of the Secretary of Labor. (End of Provision) K.12 CLEAN AIR AND WATER CERTIFICATION (FAR 52.223-1) (APR 1984) The Offeror certifies that-- (a) Any facility to be used in the performance of this proposed contract is ( ), is not ( ). listed on the Environmental Protection Agency list of Violating Facilities; (b) The Offeror will immediately notify the Contracting Officer, before award, of the receipt of any communication from the Administrator, or a designee, of the Environmental Protection Agency, indicating that any facility that the Offeror proposes to use for the performance of the contract is under consideration to be ' listed on the EPA List of Violating Facilities; and (c) The Offeror will include a certification substantially the-same as this certification, including this paragraph (c),'in every nonexempt subcontract. (End of Prov' ton) K.13 COST ACCOUNTING STANDARDS NOTICES AND CERTIFICATION (NONDEFENSE) (FAR 52.230-2) (APR 1984) Note: This notice does not apply to small businesses or foreign governments. (a) Any contract over $100,000 resulting from this solicitation shall be subject to Cost Accounting Standards (CAS) if it is awarded to a business unit that is currently performing a national defense

PAGE 44 RS-AED-89-289 Section K CAS-covered contract or subcontract, except when-- (1) The award is based on adequate price competition; (2) The price is set by law or regulation; (3) The price is based on established catalog or market prices of commercial items sold in substantial quantities to the general public; or (4) One of the exemptions in 4 CFR 331.30(b) applies (also see Federal Acquisition Regulation (FAR) 30.301(b)). (b) Contracts not exempted from CAS shall be subject to full or modified coverage as follows: (1) If the business unit receiving the award is currently performing a national defense contract or subcontract subject to full CAS coverage (4 CFR 331), this contract will have full CAS i coverage and will contain the clauses from the FAR entitled Cost Accounting Standards (52.230-3) and Administration of Cost Accounting Standards (52.230-4). (2) If the business unit receiving the award is currently performing a national defense contract or subcontract subject to modified CAS coverage (4 CFR 332), this cr>ntract will have modified coverage and will contain the clauses entitled Disclosure and Consistency of Cost Accounting Practices (52.230-5) and Administration of Cost Accounting Standards (52.230-4). A. Certificate of CAS Applicability The offeror hereby certifies that-- ( ) The offeror is not performing any CAS-covered national defense contract or subcontract. The offeror further certifies that it will immediately notify the Contracting Officer in writing if it is awarded any national defense CAS-covered contract or subcontract subsequent to the date of this certificate but before the date of the award of a contract resulting from this solicitation. (If this statement applies, no further certification is required.) ( ) The offeror is currently performing a negotiated national defense contract or subcontract that contains the Cost Accounting Standards clause at FAR 52.230-3. ( ) The offeror is currently performing a negotiated national defense contract or subcontract that contains the Disclosure and Consistency of Cost Accounting Practices clause at FAR 52.230-5. B. Additional Certification--CAS Applicable Offerors ( ) The offeror subject to Cost Accounting Standards further certifies that practices used in estimating costs in pricing this 8 e

PAGE 45 RS-AED-89-289 Section K-I proposal are consistent with the practices disclosed in the l Disclosure Statement where it has been submitted pursuant to CAS Board regulations (4 CFR 351). C. Data Required--CAS Covered Offerors The offeror certifying that it is currently performing a national defense contract containing either CAS clause (see A above) is required to furnish the name, address (including agency or department component), and telephone number of the cognizant Contracting Officer administering the offeror's CAS-covered contracts. i Name of Contracting Officer: Address: { Telephone Number: I 1 l (End of Provision) K.14 ORGANIZATIONAL CONFLICTS OF INTEREST (MAR 1987) I represent to the best of my knowledge and belief that: -l The award to of a contract or the modification of an existing contract does / / or does not / / involve situations or relationships of the type set forth in 41 CFR 20-1.5403(b)(1). Instructions to offerors. The following shall be included in all NRC solicitations: (1) If the representation as completed indicates that situations or relationships of the type set forth in 41 CFR 20-1.5403(b)(1) are involved or the Contracting Officer 4 otherwise determines that potential organizational conflicts exist, i l the offeror shall provide a statement in writing which describes in j a concise manner all relevant factors bearing on his representation I to the Contracting Officer. If the Contracting Officer determines { that organizational conflicts exist, the following actions may be taken: .j (1) Impose appropriate conditions which avoid such l conflicts. 1 l I l (ii) Disqualify the offeror, or (iii) Determine that it is otherwise in the best interest of the United States to seek award of the contract under the waiver provisions of 20-1.5411. l (2) The refusal to provide the representation required by 20-1.5404(b) or upon request of the Contracting Officer the facts ) a

PAGE 46 RS-AED-89-289 Section K required by 20-1.5404(c), shall result in disqualification of the offeror for award. The nondisclosure or misrepresentation of any relevant interest may also result in the disqualification of the offeror for award; or if such nondisclosure or misrepresentation is ' discovered after award, the resulting contract may be terminated. The offeror may also be disqualified from subsequent related NRC contracts and be subject to such other remedial actions provided by law or the resulting contract. The offeror may, because of actual or potential organizational conflicts of interest, propose to exclude specific kinds of work from the statements of work contained in an RFP unless the RFP specifically prohibits such exclusion. Any such proposed exclusion by an offeror will be considered by the NRC in the evaluation of proposals. If the NRC considers the proposed excluded work to be an essential or integral part of the required work and its exclusion would work to the detriment of the competitive posture of the other offerors, the proposal must be rejected as unacceptable. The offeror's failure to execute the representation required by subsection (b) above with respect to invitation for bids will be ec.'sidered to be a minor informality, and the offeror will be permitted to correct the omission. (End of Provision) l 9 g

4 PAGE 47 RS-AED-89-289 Section L SECTION L.- INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFER 0RS L.1 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (FAR 52.252-1) (APR 1984) This solicitation incorporates the following provisions by l reference. These provisions have the same force and effect as-if they were given in full text. Upon request, the Contracting Officer will make their full text available. I. FEDERAL ACQUISITION REGULATION (48 CFR. CHAPTER 1) SOLICITATION PROVISIONS I PROVISION NUMBER' DATE TITLE l 52.215-5 JUL 1987 SOLICITATION DEFINITIONS 52.215-7 APR 1984 UNNECESSARILY ELABORATE PROPOSALS OR QUOTATIONS 52.215-8 APR 1984 ACKNOWLEDGEMENT OF AMENDMENTS TO SOLICITATIONS 52.215-9 APR 1984 SUBMISSION OF OFFERS 52.215-10 APR 1984 LATE SUBMISSIONS, MODIFICATIONS, AND l WITHDRAWALS OF l PROPOSALS l 52.215-12 APR 1984 RESTRICTION ON DISCLOSURE j AND USE OF DATA l 52.215-13 APR 1984 PREPARATION OF 0FFERS l 52.215-14 APR 1984 EXPLANATION TO PROSPECTIVE- ) 0FFERORS 52.215-15 APR 1984 FAILURE TO SUBMIT OFFER i 52.215-16 APR 1985 CONTRKCT AWARD 52.222-24 APR 1984 PREAWARD ON-SITE EQUAL OPPORTUNITY COMPLIANCE REVIEW 52.222-45 APR 1984 NOTICE OF COMPENSATION FOR i PROFESSIONAL EMPLOYEES 52.222-46 APR 1984 EVALUATION OF COMPENSATION FOR PROFESSIONAL EMPLOYEES

l i PAGE 48 i RS-AED-89-289 Section L 1 i I L.2 TYPE OF CONTRACT (FAR 52.216-1) (APR 1984) i The Government contemplates award of a cost plus fixed fee requirements contract resulting from this solicitation. 1 (End of Provision) L.3 SERVICE OF PROTEST (FAR 52.233-2)-(JAN 1985) Protests, as defined in Section 33.101 of the Federal Acquisition Regulation, shall be served on the Contracting Officer by obtaining written and dated acknowledgement of receipt from. 1 i Patricia A. Smith Hand-Carried Address: U.S. Nuclear Regulatory Commission Div. of Contracts & Property Mgmt. 7920 Norfolk Avenue, Room 1011 Bethesda, Maryland 20814 Mailing Address: l U. S. Nuclear Regulatory Commission i Division of Contracts & Property Mgmt. l Mail Stop P-1011 i Washington, D.C. 20555 (End of Provision) i \\ 1 l L.4 LEVEL OF EFFORT (MAR 1987) The NRC 's estimate of the total professional effort is 5.5 staff years and the clerical effort for this project is approximately 400 staff hours for the duration of this contract. This information is advisory and is not to be considered as the sole i basis for the development of the staffing plans. For the purposes 4 of the Government estimate, 2080 hours constitutes a staff year. (End of Provision) \\ L.5 SUBCONTRACTING PLAN j Subcontracting Program Plan for Utilization of Small Business and Small Disadvantaged Business Concerns shall be submitted as a i part of the initial offer in accordance with 52.219-09 (APR 1984). (End of Provision) l .a ____.__________.__.__________m_ __.w

PAGE 49 RS-AED-89-289 Section L L.6 ESTIMATED DURATION (MAR 1987) It is estimated that the duration of the contract will be 3 years. W (End of Clause) L.7 ACCEPTANCE PERIOD (MAR 1987) Because of the time required by the Government to evaluate-proposals and make an award, offerors are instructed to specify on the SF-33 a proposal acceptance period of not less than 120 days. (End of Provision) L.8 SMALL BUSINESS SIZE STANDARD AND PRODUCT CLASSIFICATION (MAR 1987) ALTERNATE I (MAR 1987) The Standard Industrial Classification for the supplies / services described herein is 8711. The small business standard is average annual receipts of $2,500,000.00 over the past three (3) years. (End of Provision) L.9 AWARD NOTIFICATION AND COMMITMENT OF PUBLIC FUNDS (MAR 1987) All offerors will be notified of their selection or nonelection as soon as possible. Formal notification of ( nonelection for unrestricted awards will not be made until a contract has been awarded. Pursuant to the requirements of Section 15.1001(b)(2) of the Federal Acquisition Regulation, preliminary notification will be provided prior to award for small business set-aside procurement. It is also brought to your attention that the Contracting Officer is the only individual who can legally commit the Government (i.e., the NRC) to expenditure of public funds in connection with this procurement. This means that unless provided in a contract document or specifically authorized by the Contracting Officer, NRC technical personnel cannot issue contract modifications, give informal contractual commitments or otherwise bind, commit, or obligate the NRC contractually. Informal contractual commitments

• nclude such actions as:

a. Encouraging a potential Contractor to incur costs prior to receiving a contract, b. Requesting or requiring a Contractor to make changes under a contract without formal contract modifications, c. Encouraging a Contractor to incur costs under a cost-reimbursable contract in excess of those costs contractually allowable, and W -_ m__-___-__-___-__

PAGE 50 RS-AED-89-289 Section L d. Committing the Government to a course of action with regard to a potential contract, contract change, claim, or dispute. (End of Provision) L.10 DISPOSITION OF PROPOSALS (MAR 1987) After award of contract, one (1) copy of each unsuccessful r oposal will be retained by NRC's Division of Contracts. Unless return of proposals is requested by the offeror upon submission of proposal, all other copies will be destroyed. This request should appear in any cover letter accompanying the proposal. (End of Provision) L.11 PROPOSAL PRESENTATION AND FORMAT (MAR 1987) ALTERNATE I (MAR 1987) a. Proposals must be typed, printed or reproduced on letter-size paper and each copy must be legible. b. Proposals in response to this Request for Proposal must be submitted in the following three (3) separate and distinct parts: i

1) Two (2) original signed copies of this solicitation package. All applicable sections must be completed by the Offeror.

2) One (1) original and 8 copies of the " Cost Proposal" sha be submitted.

3) One (1) original and 8 copies of the " Technical and Management Proposal" shall be submitted.

c. Cost Proposal The offeror shall provide a cost proposal based on the Estimated Level of Effort. The total estimated cost proposed by tne offeror will be used for evaluation purposes only. Any resultant contract will contain an overall cost ceiling whereby individual Task Orders may be issued. The cost and fee, if any for each Task Order will be individually negotiated and will also contain a cost ceiling. l l The Offeror must utilize the Standard Form 1411, Contracting Pricing Proposal Cover Sheet, in submitting the Cost Proposal. A copy of the form and instructions are attached to this solicitation. The information must include pertinent details sufficient to show the elements of cost upon which the total cost is predicated. The Cost Proposal must be submitted separately from the Technical and Management Proposal. I O e E

PAGE 51 RS-AED-89-289 Section L d. Technica1 Land Management Proposal The Technical and Management Proposal shall not contain any reference to cost. Resource information such as data concerning labor hours, and categories, materials, subcontracts, travel, computer time, etc., shall be included in the Technical and Management Proposal so that the Offeror's understanding of the scope of work may be evaluated. The Offeror shall submit with the Technical and Management Proposal full and complete information as set forth below to permit the Government to make a thorough evaluation and a sound determination that the proposed approach will have a reasonable likelihood of meeting the requirements and objectives of this j 1 procurement. Statements which paraphrase the statement of. work without communicating the specific innovation proposed by the Offeror or i statements to the effect that the Offeror's understanding can or ] f will comply with.the statement of work may be construed as an indication of the Offeror's lack of understanding of the statement of work and objectives. The Technical and Management Proposal shall set forth as a minimum the following:

1) Discussion of the statement of work to substantiate

) the Offeror's understanding of the requirement.

2) Discussion of the proposed method of approach to meet the objective.

3) Indicate potential problem areas and the approach to be taken to resolve said areas.

4) Statements of any interpretations, requirements, or assumptions made by the Offeror.

j i

5) Discuss support personnel and facilities available.to f

assist the professional personnel.

6) Identify " Key Personnel", and for the person (s) so identified, specify the percentage of time currently committed to other projects over the course of the proposed contract period of performance.

7) Include resumes for all professional personnel to be utilized in the performance of any resulting contract.

Include educational background, specific pertinent work experience and a i list of any pertinent publications authored by the individual.

8) Describe the source of personnel required for performance of each task including those not presently employed by

I PAGE 52 RS-AED-89-289 SGetion L i the Offeror. If any of the personnel are under commitment, describe the terms of the commitment (s). Note specifically the personnel that will be employed at time of contract award.

9) If the Offeror plans to obtain consultant services, explain the need for such services. List the proposed consultants by name, describe the work they will perform under this contract, and include related past experience.

Individuals who are employees of the Contractor or of the U.S. Government are prohibited from being paid as a consultant under this contract.

10) If the Offeror plans to subcontract any of the work to be performed, list proposed subcontractors, if known, by name.

Provide a detailed description of the work to be performed by the subcontractor. and identify significant milestones and completion dates for each

11) Provide a detailed schedule for work to be performed subpart or task.

12) Project scheduling and contingency planning demonstrating a logical progression and integration of the tasks to insure completion within the performance period and without program slippage.

13) Describe the management organizational structure f

delineating areas of responsibility and authority under the proposed effort. Describe the relationship of the project organization to corporate management and to subcontractors, if any. Discuss the functions and authorities of the Project Manager.

14) Procedures to periodically review in-house organizational functions, program reviews and controls and subsequent coordination with the NRC.

15) Management controls expected to be utilized to preclude a contract cost growth.

16) The Offeror shall list any commitments with other organizations, Government and/or commercial for the same or similar effort.

(End of Provision) i L.12 ' NONDISCRIMINATION BECAUSE OF AGE (FAR 22.901) (MAR 1987) It is the policy of the Executive Branch of the Government that (a) Contractors and Subcontractors engaged in the performance of Federal contracts shall nc,t, in connection with the employment, advancement, or discharge of employees or in connection with the terms, conditions, or privileges of their employment, discriminate against persons because of their age except upon the basis of a bonafide occupational qualification, retirement plan, or statutary requirement, and (b) that Contractors and $ subcontractors, or persons acting on their behalf, shall not specify, in solicitations or 6 L-_______.m__

PAGE 53 RS-AED-89-289 Section L advertisements for employees to work on Government contracts, a maximum age limit for such employment unless the specified maximum age limit is based upon a bonafide occupational qualification, retirement plan, or statutory requirement. (End of Provision) L.13 DATA UNIVERSAL NUMBERING SYSTEM (DUNS) !"JMBER (MAR 1987) All offerors are requested to provide their DUNS number code in the box marked " code" in item 15A of SF 33. In the event the code is unknown, enter "N.A.". (EndofProvision) l l l ) I i l

I l PAGE 54 { RS-AED-89-289 Section M j f I i SECTION M - EVALUATION FACTORS FOR AWARD f l l i M.1 SOLICITATION PROVISIONS INCORPORATED 3Y l REFERENCE (FAR 52.252-1) (APR 1984) ] This solicitation incorporates the folicwing provisions by reference. These arovisions have the same force and effect as if they were giver te, full text. Upon request, the Contracting Officer will make their full text available. I. FEDERAL ACQUISITION REGULATION (48 CFR CHAPTER 1) l SOLICITATION PROVISIONS f 1 l PROVISION NUMBER DATE TITLE I None by reference l M.2 CONTRACT AWARD AND EVALUATION OF PROPOSALS. (MAR 1987) a. By use of numerical and narrative scoring techniques, proposals will be evaluated against the evaluation factors specified in the paragraph below. These factors are listed in their relative order of importance. Award will be made to the offeror (1) whose proposal is technically acceptable and (2) whose technical / cost relationship is most advantageous to the Government; and who is considered to be responsible within the meaning of Federal acquisition Regulation Part 9.1. b. Although cost will be a factor in the evaluation of proposals, technical merit in the evaluation criteria set forth below will be a more significant factor in the selection of a Contractor. Further, to be selected for an award, the proposed cost must be realistic and reasonable. c. The Government may: 1). Reject any or all offers if such action is in the l public interest. 2). Accept other than the lowest offer. 1 l 3). Waive informalities and minor irregularities in offers received. a l I

9 PAGE 55 RS-AED-89-289 Section M d. The Government may award a contract on the basis of initial offers received, without discussions. Therefore, each initial offer should contain the offeror's best terms from a cost or price and technical standpoint. e. A separate cost analysis will be performed on each cost proposal. To provide a common base for evaluation of cost proposals, the level of effort data shall be expressed in staff hours. f. In making the above determination, an analysis will be performed taking into consideration the results of the technical evaluation, cost analysis, and ability to complete the work within the Govenrment's required schedule. l (End of Provision) M.3 EVALUATION CRITERIA (MAR 1987) The following evaluation criteria will be used in the evaluation of proposals submitted in response to this RFP. The criteria are presented in decreasing order of importance. 1. Qualifications of Key Personnel (60 points) The contractor must have, or through subcontractual arrangements be able to provide, the professional staff to furnish assistance as applied to (1) engineering and quality assurance of nuclear power electrical, instrumentation plantsinthedisciplinesofmechanical(2)tolicenseemanagement and control, and civil / structural; and controls, oversight and involvement, and organizational effectiveness in the areas of industrial / organizational psychology, human resource l developrient and utilization, management policies / practices and human l factors. The contractor must demonstrate the following: a. Expert knowledge and extensive experience in nuclear plant engineering (EWR and PWR) and quality assurance as applied to inspection, operations, modifications, testing, maintenance, systems design and analysis, technical support services, plant performance improvement programs, and root cause analyses. (20 points) b. Expert knowledge and extensive experience in: 1) nuclear utility management policies, in the areas of control systems and practices (incluoing those associated with corporate / plant line and support organiznions) and human resource utilization / development; and 2) assessment methods in the areas of nuclear utility organizational effectiveness, personnel morale, attitudes, and safety performance. (20 points)

I i I RS-AED-89-289 PAGE 56 Section M j I I c. Expert knowledge and significant experience in developing and l implementing plans and procedures for inspections and evalua- ) tions of nuclear plants with significant problem histories. (5 points) d. Expert knowledge of industry codes, standards and NRC regulations applicable to the nuclear power industry. (5 ) points) e. Experience in proviCing expert technical assistance in the nuclear power field. (5 points) f. Extensive experience in middle aid /or upper management in the commercial nuch ' power field. (5 points) L 2. Understanding of Work Requirements, (15 points) a. A demonstrated understanding of the work and technical services involved including the preparation of a technical report on the results of evaluat. ion work. (10 points) j b. A demonstrated understanding of the need to respond and perform ] satisfactorily for Task Orders in a timely manner under routine circumstances, and to respond on short notice when required. (5 points) 3. ManagementCapabilities(15 points) a. A demonstrated ability to provide qualified personnel to complete assigned Task Orders satisfactorily on a timely basis, including the demonstrated ability to provide qualified i subcontractor personnel when contractor's staff personnel are ] not available or do not meet the requirements of the Task Order. (10 points) b. Capabilities, areas of expertise and related experience of the offerer's organization. (5 points) 4. Technical approach to cover the Work Statement. (10 points) j a. Methodologies for analysis of the licensee and proposed activities to cover the scope of contract Task Orders to be l performed. (10 points) l Total = 100 Points l .g 8 8 e e i

-ATTACHMENT 1 PART 20-1 -- GENERAL Subpart 20-1.54--Contractor' Organizational Conflicts of Interest P Sec. 20-1.5401 Scope and policy. 20-1.5402 De.finitions. 20-1.5403 Criteria for recognizing contractor organizational son'flicts of interest. 20-1.5404 Representation. 20-1.5405 Contract clauses. 20-1.5405-1 General contract clause. 20-1.5405-2 Special contract provisions. ~ 20-1.5406 Evaluation, findings, and contract award.. 20-1.5407 Conflicts identified after award. 20-1.5408 (Reserved) 20-1.5409 (Reserved) 20-1~.5410 Subcontractors. 20-1.5411 hiver. . 20-1.5412 Remedies. AUTHORITY: Sec. 8 Pub. L, 95-601, adding Sec.170A to Pub. L. 83-703, 68 Stat. 919, as amended (42 U.S.C. ch.14) 120-1.5401 Scope and Policy i (NRC)(a) It is the policy of the U.S. Nuclear Regulatory Comissio of interest. The NRC achieves this objective by requiring all prospective contractors to submit infomation describing relationships, if any, with organizations or persons (including those regulated by NRC) which may give rise to actual or potential conflicts of interest in the event of contract award. (b) Contractor conflict of interest determinations cannot be made automatically or routinely; the application of sound judgment on virtually a case-by-case basic is necessary if the policy is to be applied so as to satisfy the overall public interest. It is not possible to pNscribe in advance a specific method or set of criteria which would serve to identify and resolve all of the contractor conflict of interest situations which might. wise; however, examples are provided in these regulations to guide application of the policy. NRC contracting and program officials must be alert to other situations which may warrant application of this 4 policy-guidance. The ultimate test is: Might the contractor, if awarded e the contract, be placed in a position where its judgment may be biased. or where it may have an unfair competitive advantage? l (c) The conflict of interest rule contained in this subpart applies to contractors and offerors only. Individuals or firms who have other relat'ionships with NRC (e.g., parties to a licensing proceeding) ar] not covered by this regulation. This rule does not apply to the acquisition of consulting services through the personnel appointment orocess, NRC 1 7590-01 I agreementr. with other government agencies, international organizations. . or state, local or. foreign governments; separate procedures for avoiding conflicts of interest will be employed in such agreements, as appropriate. 120,1.5402 Definitions ) -(a) " Organizational conflicts of interest" means that a relationship exists whereby a contractor or prospective contractor has present or. Planned interests relatsd to the work to be pwrfomed under an NRC contract which: (1) May diminish its capacity to give impartial, technically sound, objective assistance and advice or may otherwise result in a biased work product, or (2) may result in its being given an unfair competitive advantage. (b) "Research" means any scientific or technical work involving l theoretical analysis, exploration, or experimentation. l (c)

• Evaluation activities" means any effort involving the appraisal of a technology, process, product, or po1Tcy.

i j (d) " Technical consulting and maregement support services" means internal assistance to a component of the NRC in the formulation or j administration of.its programs, projects, or policies which normally require the contractor to be given access to infomation which has not been made available to the public or proprietary information. Such 1 services typically include assistance in the preparation of program plans; and preparation of preliminary designs, specifications, or l statements of work. 1 i (e') " Contract" means any contract, agreement, or other arrangement with the NRC except as provided in Section 20-1.5401(c). l (f) " Contractor" means any person, firm, unincorporated association, joint venture, co-sponstor, partnership, corporation, affiliates thereof, I or their successors in interest, including their chief executives, directors, key personnel (identified in the contract), proposed consultants or subcontractors, which is a party to a contract with the NRC. (g) " Affiliates" means business concerns which are affiliates of ~ each other when either directly or indirectly one concern or individual controls or has the power to control another, or when a third party controls or has the power to control both (41 CFR I1-1.606-1(e)). ~ , (h)" " Subcontractor" means any subcontractor of any tier which performs work under a contract with the NRC except subcontracts for supplies and subcontracts in amounts of $10,000 or less. (1) " Prospective contractor" or " offeror" means any person, firm. unincorporated association, joint venture, partnership, corporation, or affiliates thereof, including its chief executive, directors, key personnel (identified in the proposal), proposed consultants, or subcontractors, submitting a bid or proposals solicited or unsolicited, to the NRC to obtain a contract.

I 7590-01 (j) " Potential conflict of interest" means that a factual situation ~ exists that suggests (indicates) that an actual conflict of interest may The term " potential conflict arise from award of a proposed contract. of interest" is used to signify those situations which marit investigation prior to contract award in order to ascertain whether award would give rise to an actual conflict or which must be reported to the contracting officer for investigation if they arise during contract performance. Criteria for recognizing contractor organizational I20-1.5403 conflicts of interest (a) General. Two questions will be asked in determining whether (1)Are actual or potential organizational conflicts of interest exist: there conflicting roles which might bias a contractor's judgment in (2) May the contractor be given an relation to its work for the NRC7 unfair competitive advantage based on the performance of the contract? The ultimate determination by NRC as to whether organizational conflicts of interest exist will be made in light of connon sense and good business judgment based upon the relevant facts disclosed and the work to be While it is difficult to identify and to prescribe in advance performed. a specific method for avoiding all of the various situations or relationships which might involve potential organizational conflicts of interest, NRC personnel will pay particular utention to proposed contractual requirements which call for the rendering af advice, consultation or evaluation activities, or similar activities that lay direct groundwork for the NRC's decisions on regulatory activities, future procurement, and research programs. Situations or relationships which may give rise to organizational (b) (1) The offeror or contractor shall disclose conflicts of interest. information concerning relationships which may give rise to organizational conflicts of interest under the following circumstances: Where the offeror or contractor provides advice and recommendations (i) to the NRC in a technical area in which it is also providing consulting assistance in the same arec to any organization regulated by the NRC. (ii) Where the offeror or contractor provides advice to the NRC on the same or similar matter in which it is also providing assistance to any organization regulated.by the NRC. (iii) Where the offeror or contractor evaluates its own products or services, or the products or services of another entity where the offeror or contractor has been substantially involved in their development or marketing. (iv) Where the award of a contract would otherwise result in placing the offeror or contractor in a conflicting role in wh result in an unfair competitive advantage for the offeror or contractor. - - - -

1

-) 7590-01 (2) The contracting officer may request specific infomation from an offeror or contractor or may require special contract provisions such as provided in i 20-1.5405-2 in the following circumstances: (i) Where the offeror or contractor prepares specifications which are to be used in competitive procurement of products or services covered by such specifications. J (ii) Where the offeror or contractor prepares plans for specific approaches or methodologies that are to be incorporated into competitive procurement using such approaches or methodologies. (iii) Where the offeror or contractor is granted access to infomation i not available to the public concerning NRC plans, policies, or programs I which could form the basis for a later procurement action. { (iv) Where the offeror or contractor is granted access to proprietary information of its competitors. \\ (v) Where the award of a contract might otherwise result in placing the offeror or contractor in a conflicting role in which its judgment I may be biased in relation to its work for the NRC or may otherwise j result in an unfair competitive advantage for the offeror or contractor. 3 (c) Policy application guidance. The following examples are illustrative only and are not intended to identify and resolve all i contractor organizational conflict of interest situations. (1) Example. The XYZ Corp., in response to a request for proposal (RFP), proposes to undertake certain analyses of a reactor component as called for in the I RFP. The XYZ Corp. is one of several companies considered to be technically ( well qualified. In response to the inquiry in the RFP, the XYZ Corp. I advises that it is currently performing similar analyses for the reactor manufacturer. Guidance. An NRC contract for that particular work normally would not be awarded to the XYZ Corp. because it would be placed in a position in which its judgment could be biased in relationship to its work for NRC. Since there are other well-qualified companies available, there would be no reason for considering a waiver of the policy. (2) Example. The ABC Corp., in response to a RFP, proposes to perform certain analyses of a reactor component which are unique to one 4 i type of advanced reactor. As is the case with other technically qualified companies responding to the RFP, the ABC Corp. is performing various projects for several different utility clients. None of the ABC Corp. projects have any relationship to the work called for in the RFP. Based on the NRC evaluation, the ABC Corp. is considered to be the best qualified company to perform the work outlined in the RFP. e e

7590-01 I Guidance. An NRC contract noma 11y could be awarded to the ABC Corp. because no conflict of interest exists which would motivate bias An appropriate clause would be included in j with respect to the work. ) the contract to preclude the ABC Corp. from subsequently contracting for work during the performance of the NRC contract with the private sector which could create a conflict. For example, ABC Corp. would be precluded from the performance of similar work for the company developing the l advanced reactor mentioned in the example. (3) Example. As a result of operating problems in a certain type j of comercial nuclear facility, it is imperative that NRC secure specific data on various operational aspects of that type of plant so as to assure adequate safety protection of the public. Only one manufacturer has extensive experience with that type of plant. Consequently, that company is the only one with whom NRC can contract which can develop and conduc', the testing programs required to obtain the data in reasonable time. That company has a definite interest in any NRC decisions that might result from the data produced because those decisions affect the reactor's design and thus the company's costs. Guidance. This situation would place the manufacturer in a role in

• which its judgment could be biased in relationship to its work for NRC.

Since the nature of the work required is vitally important in terms of NRC's responsibilities and no reasonable alternative exists, a waiver of the policy may be warranted. Any such waiver shall be fully documented and coordinated in accordance with the waiver provisions of this policy with particular attention to the establishment of protective mechanisms to guard against bias. (4) Example. The ABC Co. submits a proposal for a new system for l evaluating a specific reactor component's performance for the purpose of l developi..; standards that are important to the NRC program. The ABC Co., has advised NRC that it intends to sell the new system to industry onto its practicability has been demonstrated. Other companies in this l l business are using older systems for evaluation of the specific reactor component. Guidance. A contract could be awarded to the ABC Co. provided that the contract stipulates that no information produced under the contract will be used in the contractor's private activities unless such information has been reported to NRC. Information which is reported to NRC by contractors will normally be disseminated by HRC to others so as to preclude an unfair competitive advantage that might otherwise accrue. When NRC furnishes information to the contractor for the performance of contract work, it shall not be used in the contractor's private activities unless such information is generally available to others. Further, the contract will stipulate that the contractor will inform the NRC contracting officer of all situations in which the information developed under the contract is proposed to be used. l l 5

7590-01 (5) Example. The ABC Corp., in response to a RFP proposes to assemble a map showing certain seismological features of the Appalachian fold belt. In accordance with the representation in the RFP and 5 20-1.5403(b)(1)(i), ABC Corp. informs the NRC that it is presently doing seismological studies for several utilities in the Eastern United States but none of the sites are within the geographic area contemplated oy the NRC study. Guidance. The contracting officer would normally conclude that award of a contract would not place ABC Corp. in a conflicting role where its judgment might be biased. The work for others clause of 120-1.5405-1(c) would preclude ABC Corp. from accepting work during the tem of the NRC contract which could create a conflict of interest. (d) Other considerations. (1) The fact that the NRC can identify and later avoid, eliminate, or neutralize any potential organizational conflicts arising from the performance of a contract is not relevant to a determination of the existence of such conflicts prior to the award of a contract. (2) It is not relevant that the contractor has the professional reputation of being able to resist temptations which arise from organizational conflicts of interest, or that a follow-on procurement is not involved, or that a contract is awarded on a competitive or a sole source basis. 520-1.5404 Representation (a) The following procedures are designed to assist the NRC con'.racting officer in determining whether situations or relationships exist which may constitute organizational conflicts of interest with respect to a particular offeror or contractor. (b) Representation procedure. The following organizational conflicts of interest representation provision shall be included in all solicitations and unsolicited proposals for: ~ (1) Evaluation services or activities; (2) technical consulting and management support services; (3) research; and (4) other contractual situations where special organizational conflicts of interest provisions are noted in the solicitation and would be included in toe resulting contract. This representation requirement shall also app'ly to all modifications for additional effort under the contract except those issued under the " changes" clause. Pere, however, a statement of the type required by the organizational conflicts of interest representation provision has previously been submitted with regard to the contract being modified, only an updating of such statement shall be required. w ' 9

• e

q 759'0-01 l l ORGANIZATIONAL CONFLICTS OF INTEREST REPRESENTATION 1 I represent to the best of my knowledge and belief that: The award to of a contract or the modification'of an existing contract does ( ) or does not ( ) involve situations or relationships of the. type set forth in 41 CFR 520-1.5403(b)(1). (c) Instructions to offerors. The following shall be included in all NRC solicitations: (1) If the representation as completed indicates that situationr or relationships of the type set forth in 41 CFR 520-1.5403(b)(1)areinvolved,orthecontractingofficerotherwise detemines that potential organizational conflicts exist, the offeror. shall provide a statement in writing which describes in a concise manner all relevant facts bearing on his representation to the contracting officer. If the contracting officer determines that organizational (1) Impose appropriate conflicts exist, the following actions may)be taken: disqualify the offeror, or conditions which avoid such conflicts, (ii (iii) determine that it is otherwise in the best interest of the United States to seek award of the contract under the waiver provisions of, i20-1.5411. (2) The refusal to provide the representation required by i20-1.5404(b) or upon request of the contracting officer the facts required by '120-1.5404(c), shall result in disqualification of the offeror for award. The nondisclosure or misrepresentation of any relevant interest may also result in the disqualification of the offeror for award; or if such nondisclosure or misrepresentation is discovered after award, the resulting contract may be terminated. The offeror may also be disqualified from subsequent related NRC contracts and be subject to such other remedial actions provided by law or the resulting contract. (d) The offeror may, because of actual or potential organizational conflicts of interest, propose to exclude specific kinds of work from the statements of work contained in a RFP unless the RFP specifically prohibits such exclusion. Any such proposed exclusion by an offeror will be considered by the NRC in the evaluation of proposals. If the NRC considers the proposed excluded work to be an essential or integral 1 part of the required work and its exclusion would work to the detriment j of the competitive posture of the other offerors, the proposal must be l J rejected as unacceptable. (e) The offeror's failure to execute the representation required by subsection (b) above with respect to invitation for bids will be l ) considered to be a minor informality, and the offeror will be pemitted to correct the omission. 5 20-1.5405 Contract clauses 5 20-1.5405-1 General contract clause.

1 i 1 7590-01 All contracts of the types set forth in 5 20-1.5404(b) shall include the following clauses: (a) Purpose. The primary (purpose of this clause is to aid in1) Is not place ensuring that the contractor: because of current or planned interest (financial, contractual, organizational, or otherwise) which relate to the work under this contract, and (2) does not obtain an unfair competitive advantage over other parties by virtue of its performance of this contract. (b) Scope. The restrictions described herein shall apply to performance or participation by the contractor as defined in 41 CFR 5 20-1.5402(f) in the actitities covered by this clause. (c) Work for others. Notwithstanding any other provision of this contract, during the term of this contract, the contractor agrees to forego entering inte consulting or other contractual arrangements with any firm or organization, the result of which may give rise to a conflict of interest with respect to the work being perfomed under this contract. The contractor shall ensure that all employees who are employed full time under this contract and employees designated as key personnel, if any, under this contract abide by the provision of this clause. If the contractor believes with respect to itself or any such employee that any proposed consultant or other contractual arrangement with any fim or organization may involve a potential conflict of interest, the contractor shal.1 obtain the written approval of the contracting officer prior to execution of such contractual arrangement. (d) Disclosure after award. (1) The contractor warrants that to the best of its knowledge and belief and except as otherwise set forth in this contract, it does not have any organizational conflicts of i interest, as defined in 41 CFR 520-1.5402(a). (2) The contractor agrees that if after. award it discovers organizational conflicts of interest with respect to this contract, it shall make an innediate and full disclosure in writing to the contracting officer. This statement shall include a description of the action which the contractor has taken or proposes to take to avoid or mitigate such conflicts. The NRC may, however, terminate the contract for convenience if it deems such temination to be in the best interests of the government. (e) Access to and use of information. (1) If the contractor in the performance of this contract obtains access to information, such as NRC plans, policies, reports, studies, financial plans, internal data protected by the Privacy Act of 1974 (Pub. L. 93-579), or data which has not been released to the public, the contractor agrees not to: (1)Use such information for any(private purpose until the information has been released to the public; ii) compete for work for the Commission based 9 9

.__..._.__.-.______._m 9 G e ~

ot detimil ten era tub edulcni snoisivorp esehT.noitcirtser hcus yna fo doirep emit dna tnetxe eht gnidulcni,sesualc eseht fo snoitidnoc dna smret eht etaitogen na fo esu eht hguorht dezilartuen,isivorp tcartnoc laiceps etairporppa yam roreffo eht,etairporppa fI

.no 1145 1-025 htiw ecnadrocca ni reviaw a gniniatbo retf a ro dediova eb nac tcilfnoc hcus taht enimreted yam reciffo gnitcartnoc eht,tsixe tseretni fo stcilfnoc lanoitazinagro taht tcartnoc desoporp eht fo erutan eht morf denimreted si ti fI )a( .snoisivorp tcartnoc laicepS 2-5045 1-025 1145 1-025 ni [ deniltuo serudecorp eht htiw ecnadrocca ni ) ODE ( snoitarepO rof rotceriD evitucexE eht ot reciffo gnitcartnoc eht hguorht gnitirw ni detcerid eb llahs esualc siht rednu reviaw rof tseuqer A.reviaW )h( I I .tcartnoc siht ro wal yb dettimrep [ na,stroffe lautcartnoc tneuqesbus I eb yam sa seidemer rehto eusrup d,tluafed rof tcartnoc eht etanimret morf rotcartnoc eht yfilauqsid yam tnemnrevog eht,htiaf dab ylpmi ylirassecen sa snoitatneserper suoenorre hcus rof ro tcartnoc siht gninrecnoc desolcsid eb ot deriuqer tseretni tnaveler yna fo noitatneserpersim ro erusolcsidnon lanoitnetni rof ro snoitpircsorp evoba eht fo yna fo hcaerb roF .seidemeR )g( eht evreserp ot deifidom yletairporppa eb llahs ",reciffo gn'tnemnrevog .sthgir s itcartnoc smret ehT .reit yna fo stcartnocbus" dna "p,rotcartnoc" "g,tcartnoc" esualc siht edulcni llahs rotcartnoc ni,h argarap siht nidulcni, eht,)h(20451-025 RFC 14 ni dedivorp sa tpecxE .stcartnocbuS )f(. . tem neeb evah tcartnoc siht fo stnemeriuqer lla taht dedivorp sestpru;i etavirp rof tcartnoc siht rednu secudorp ti atad lacinhcet esu ot thgir e.rt,tcartnoc siht fo snoisivorp ytiruces dna tnetap ot tcejbus,evah llahs rotcartnoc ehT )3( .noitamrofni eht fo esu no decalp snoitcirtser htiw ecnadrocca ni noitamrofni hcus taert llahs rotcartnoc eht,tcartnoc siht rednu noitamrofni laicnanif ro,ssenisub,lacinhcet degelivirp ro laitnedifnoc rehto ro,)975-39.L.buP( 4791 fo tcA ycavirP eht yb detcetorp atad,atad yrateirporp ot ssecca nevig si ro seviecer ti tnetxe eht ot taht seerga rotcartnoc eht,noitidda nI )2( l l .CRN eht yb cilbup eht ot desaeler neeb ylsuoiverp sah noitamrofni hcus sselnu reciffo gnitcartnoc eht yb lavorppa nettirw roirp f tuohtiw noitamrofni eht esaeler )vi( ro,cilbup eht ot noitamrofni hcus fo esaeler eht retfa raey eno litnu noitamrofni hcus no desab tnemnrevog eht ot lasoporp deticilosnu na timbus )iii(,tsrif si revehcihw,cilbup eht ot noitamrofni hcus fo esaeler eht ro tcartnoc siht fo noitelpmoc eht rehtie retf a shtnom )6( xis fo doirep a rof noitamrofni hcus no l l l 10-0957 l l i

7590-01 on such information for a pt riod of six (6) months after either the completion of this contract or the release of such information to the public, whichever is first, (iii) submit an unsolicited proposal to the government based on such information until one year after the release of such information to the public, or (iv) release the information without prior. written approval by the contracting officer unless such information has previously been released to the public by the NRC. (2) In addition, the contractor agrees that to the extent it receives or is given access to proprietary data, data protected by the Privacy Act of 1974 (Pub. L. 93-579), or other confidential or privileged technical, business, or financial information under this contract, the contractor shall treat such information in accordance with restrictions placed on use of the information. (3) The contractor shall have, subject to patent and security provisions of this contract, the right to use technical data it produces under this contract for private purposes provided that all requirements of this contract have been met. (f) Subcontracts. Except as provided in 41 CFR 520-1.5402(h), the contractor shall include this clause, including this paragraph, in subcontracts of any tier. The terms " contract," " contractor," and " contracting officer," shall be appropriately modified to preserve the government's rights. (g) Remedies. For breach of any of the above proscriptions or for intentional nondisclosure or misrepresentation of any relevant interest required to be disclosed concerning this contract or for such erroneous representations as necessarily imply bad faith, the government may terminate the contract for default, disqualify the contractor from subsequent contractual efforts, and pursue other remedies as may be permitted by law or this contract. (h) Waiver. A request for waiver under this clause shall be directed in writing through the contracting officer to the Executive Director for Operations (ED0) in accordance with the procedures outlined in 520-1.5411. 520-1.5405-2 Special contract provisions. (a) If it is determined from the nature of the proposed contract that organizational conflicts of interest exist, the contracting officer may determine that such conflict can be avoided or after obtaining a waiver in accordance with 520-1.5411, neutralized through the use of an appropriate special contract provision. If appropriate, the offeror may negotiate the terms and conditions of these clauses, including the extent and time period of any such restriction. These provisions include but are not limited to: e

7590-01

• i (1) Hardware exclusion clauses which prohibit the acceptance of production contracts following a related nonproduction contract previously performed by.the contractor; (2) Software exclusion clauses; (3) Clauses which require the contrattor (and certain of his key

~ personnel) to avoid certain organizational conflicts of interest; and i (4) Clauses which provide for protection of confidential data and guard against its unauthorized use. (b) The following additional contract clause may be included as section (i) in the clause set forth in 5 20-1.5405-1 when it is determined l that award of a follow-on contract would constitute an organizational conflict of interest. (i) Follow-on effort. (1) The contractor shall be ineligible to participate in NRC contracts, subcontracts, or proposals therefor (solicited or unsolicited) which stem directly from the contractor's performance.of work under this contract. Furthermore, unless so directed in writing by the contracting officer, the contractor shall not perform any technical 3 l consulting'or management support services work or evaluation activities under this contract on any of its products or services or'the products or services of another firm if the contractor has been substantially involved in the development or marketing of such products or services. i (2) If the contractor under this contract prepares a complete or essentially complete statement of work or specifications, the contractor shall be ineligible to perform or participate in. the initial contractual i effort which is based on such statement of work or specifications. The contractor shall not incorporate its products or services in such statement of work or specifications unless so directed in writing by the contracting officer, in which case the restriction in this subparagraph shall not apply. (3) Nothing in this paragraph shall preclude the contractor from offering or selling its standard commercial items to the government. 5 20-1.5406 Evaluation, findings, and contract award The contracting officer will evaluate all relevant facts submitted by an offeror pursuant to the representation requirements of !20-1.5404(b) and other relevant.information. After evaluating this information i against the criteria of I 20-1.5403, a finding will be made by the contracting officer whether organizational conflicts of interest exist with respect to a particular offeror. If it has been determined that conflicts of interest exist, then the contracting officer shall either: (a) Disqualify the offeror from award, 10 D 4 _____________________.m_

.- ~ 7590-01 ~ (b) Avoid or eliminate such conflicts by appropriate measures; or (c) Award the contract under the waiver provision of 520-1.5411. 520-1.5407 Conflicts identified after award. If potential organizational conflicts of interest are identified after award with respect to a particular contractor, the contracting officer determines that such conflicts do, in fact, exist and that it would not be in the best interests of the government to terminate the contract as provided in the clauses required by 520-1.5405, the contracting officer will take every reasonable action to avoid, eliminate, or, after obtaining a waiver in accordance with 520-1.5411, neutralize the effects of the identified conflict. 520-1.5408 (Reserved) 520-1.5409 (Reserved) 520-1.5410 Subcontracts The contracting officer shall require offerors and contractors to submit a representation statement in accordance with ! 20-1.5404(b) from subcontractors and consultants. The contracting officer shall require the contractor to include contract clauses in accordance with 520-1.5405 in consultant agreements or subcontracts involving performance of work under a prime contract covered by this subsection. l 5 20-1.5411 Waiver In the first instance, determination with respect to the need to seek a waiver for specific contract awards shall be made by the contracting officer with the advice and concurrence of the program office director 1 and the Office of Executive Legal Director. Upon the recommendation of l the contracting officer, and after consultation with the Office of the General Counsel, the EDO may waive the policy in specific cases if he determines that it is in the best interest of the United States to do so. Such action shall be strictly limited to those situations in which: (l', The work to be performed under contract is vital to the NRC program; (2) the work cannot be satisfactorily performed except by a contractor whose interests give rise to a question of conflict of interest; and (3) contractual and/or technical review and supervision methods can be employed by NRC to neutralize the conflict. For any such waivers, the justification and approval documents shall be placed in the Public Document Room.

7590-01 520-1. St.12 Remedies In addition to such other remedies as may be permitted by law or contract for a breach of the restrictions in this subpart or for any intentional misrepresentation or intentional nondisclosure of any relevant interest required to be provided for this section, the NRC may debar tne contractor from subsequent NRC contracts. Dated at Washincton. D.C this 27th day of March 1979. For the Nuclear Regulatory Commission b.A.D

• l'k Samuel J. Chi 1k-4 Secretary of the Commission i

n j -9

I ATTACHMENT 2 i I / (REVISED - 7/88) BILLING INSTRUCTIONS FOR NRC COST-TYPE CONTRACTS General. The contractor shall submit vouchers for cost-reimbursement in the manner and format described herein and as illustrated in the sample voucher. Number of Copies. An origins 1 and three copies should be mailed to: US Nuclear Regulatory Commission Division of Accounting and Finance ATTN: GOV /COM Accounts Section Washington, DC 20555 Frecuency. The contractor shall submit claims for reimbursement once each month unless otherwise authorized by the Contracting Officer. Form. Claims shall be submitted in the format depicted on the attached sample. entitled " Voucher for Purchases and Services Other Than Personal." Additional copies of the form are available from the Contracting Officer. The instructions for preparation and itemization of the voucher are shown on the form. Task Orderine Contracts. The contractor shall provide detailed cost information for each task order with each invoice submission. This includes all applicable cost elements discussed in paragraphs (h) through (o) of the attached instructions, together with appropriate supporting information. Billine of Costs After Expiration of Contract. If costs are incurred during the contract period and claimed after the contract has expired, the period during which these costs were incurred must be cited. Currency. Billings may be expressed in the currency normally used by the contractor in maintaining his accounting records; payments will be made in that currency. However, the U.S. dollar equivalent for all invoices paid under the contract may not exceed the total U.S. dollars authorized in the contract. Supersession. These instructions supersede all previous billing instructions.

,4 V0UCHERS FOR PURCHASES AND SERVICES OTHER THAN PERSONAL i Payor's Name and Address (a) Contract Number U.S. Nuclear Regulatory Commission . Task Order No.' (If Applicable) Division of Accounting and Finance-ATTN: GOV /COM Accounts Section (b) Title of Project Washington, DC 20555 Payre's Name and Address (c) Voucher Number l ! (d) Date Voucher Prepared j (e) Total Estimated Cost of Contract Individual to Contact Regarding This Voucher: N (f) Total Fixed-Fee No.: thru (g) This voucher represents reimbursable costs from Amount Billed (k) Current Period (1) Inception to Date (h) Direct Costs (1) Direct Labor * (2) Fringe Benefits @ (if computed as percentace) (3) Capitalized Nonexpendable Eouipment * (4) Materials, Supplies and Noncacitalized Equi'oment * '4 (5) Premium Pav l (6) Consultants

• i (7) Travel - Domestic
• Foreion *

(8) Subcontract * (9) Other costs * * (i) INDIRECT COSTS A) Overneaa % of (IndicateTaTe) Subtotal B) General & Administrative Expense % of Cost Elements Nos. Total Costs (j) FIXED-FEEEARNED(Formula) (m) Total Amounts Claimed (n) Adjustments Outstanding Suspensions (o) Grand Totals

• (REQUIRES SUPPORTING INFORMATION.)

(SEE ATTACHED.) 7/88

INSTRUCTIONS FOR PREPARING COST INFORMATION FOR NRC CONTRACTI~ Preparation and Itemization of the Voucher. The contractor shall furnish the information set forth in the explanatory notes below. These notes are keyed to the entries on the sample voucher. l Payor's Name and Address. Address the original voucher (with 3 copies 1 to: U.S. Nuclear Regulatory Commission, Division of Accounting and Finance, ATTN: GOV /COM Accounts Section, Washington, DC 20555 Any questions regarding vouchers yet to be paid by the NRC should be addressed to the Division of Accounting and Finance (301-432-8010). Any questions regarding vouchers for which payment has been received (either in full or partially with suspensions tr disallowances) should be addressed to the Contracting Officer. Payee's Name and Address. Show the name of the contractor as it appears in the contract and its correct address. When an approved assignment has been made by the contracter, or a different payee or addressee has been designated, insert the name and address of .the payee. Indicate the individual responsible for answering any ~ questions that the NRC may have regarding the invoice (name and phone number). (e) Contract Number,- Insert the NRC contract nunber. Task Order No. (If Apolicable) - Insert the task creer number. (b) Title of Project - List the full title of the project being performee unoer this contract. (c) Voucher Number - Insert the appropriate serial number of tne voucner beginning with 001 for this contract. Contractors may also include individual internal accounting numbers in addition to the three digit number. (d) Date of Voucher - Insert the date the voucher is prepared. (e) Contract Amount - Insert the total estimated cost of the contract, exclusive of fixed-fee. (f) Fixed-Fee -Insert total fixed-fee (where applicable). (g) Billino Period - Insert the beginning and ending dates Tday, month, and year) of the period in which costs were incurred and for which reimbursement is claimed. 1

i 1 (h) Direct Costs - Insert the major cost elements. (1) Direct Labor - This consists of salaries and wages paid (or accrued) for direct performance of the contract itemized as fo11ows: Labor Labor ' lours Hours Cumulative j Category Negotiated Billed Rate Total Hours Billed (2) Frince Benefits - This represents fringe benefits applicable to direct labor and billed as a direct cost. Where a rate is used, indicate the rate. Frince j benefits included in direct labor or in other indirect cost pools should not be identified here. (3) Direct Ecuipment - For educational institutions, list each item costing $500 or more and having a life 1 expectancy of more than one year. For contractors other j than educations institutions, list each item costing $200 or more and having a life expectancy of more than one year. List only those items of equipment for which reimbursement is requested. A reference shall be made to the following (as applicable): (a) the item number for the specific piece of equipment listed in the l property schedule of the contract; (b) the Contracting l Officer's approval letter if the equipment is not covered by the property schedule; or (c) be preceded by an asterisk (*) if the equipment is below the approval level. Further itemization of vouchers shall only be i required for items having specific limitations set forth 1 l in the contract. 4 (4) Materials. Supplies, and Other Expendable Items - These are consumable materials, supplies, and equipment I other than that described in (3) above. (5) Premium Pay - This is remuneration in excess of the basic hourly rate. (Requires written approval of the Contracting Officer.)- (6) Consultant's Fee - The supporting information must incluce the name, hourly or daily rate of the consultant, and reference the NRC approval (if not specifically approved in the original contract). 2

(7) Travel - Domestic travel is travel within the United States, its territories, possessions, and Canada. It should be billed separately from foreign travel. All costs associated with each trip must be shown in the format: Date Traveler Destination Purpose Cost From To From To (8) Subcontracts - Include separate detailed breakdown of all costs paid to approved subcontractors during the billing period. (9) Other - List all other direct costs be cost element and dollar arount separately. (i) Indirect' Costs--Overhead - Cite the formula (rate and base) in effect during tne time the ccst was incurred and for which reimbursement is claimed. (j) Fixed-Fee - If the contract provides for a fixed-fee, it must be claimed at provided for by the contract. Cite the formula or method of computation. The contracter may bill for fixed-fee only up to 85% of total fee. (k) Amount Billed for Current Period - Insert the amount billed for the major cost elements, adjustments, and total amount for the period. (1) Cumulative Amount from Inceotion to Date of this Billino - Insert the cumulative amounts billed for the magor cost elements and adjusted amounts claimed during this contract. (m) Total Amounts Claimed - Insert the total amounts claimed for tne current anc cumulative periods. (n) Adjustments - This includes cumulative amounts billed that have been suspended er disallowed. (o) Grand Totals 3

q j VOUCHERS FOR PURCHASES AND SERVICES OTHER THAN PERSONAL i Payor's Name and Address (a) Contract Number NRC-10-81-624-U.S. Nuclear Regulatory Comission Division of Accounting and Finance Task Order No. (If Applicable) 002 6 ATTH:. GOV /COM Accounts Section (b) Title of Project " Study of Nuclear Waste. Washington, DC 20555 Payee's Name and Address Concepts" ABC Corporation The Nationni Bank 1 100 Main Street or Anywhere, U.S.A. (c) Voucher Number 003-Anywhere, U.S.A. A ef Corp. (d) Date Voucher Prepared 10-18-82 j Individual to contac{When Payments Assigned 1(e) Total Estimated Cost of Contract j Regarding This Voucher: $350,000.00 -] "*[."N"[$[ (f) Total Fixed-Fee 517.500.00 go, (g) This voucher represents reimbursable costs from 3/1/82 thru 3/30/82 Amount Billed (k) Current Period (1) Inception to Date (1) Direct Labor * $2.400 ts.Rnn (2) Fringe Benefits @ AD.o'., (if computed as percentace) son 1,200-(3) Capitalized taonexpenoaole Eouipment' + 5,000 8,000 (4) Materials, Supplies and j Nontacitalized Eauipment

• 2,000 4,000 J

(5) Premium Pav

,00 150 (6) Consultants

• LOG 100 (7) Travel - Domestic
• 200 700 Foreton *

(8) Subcontract

• 200 200 (9) Otner costs -

s,uuu 9.000 ta Dkect Costs w,WD 529.650 (i) If! DIRECT COSTS A) Overneae _101 of Total Direct Costs $13,600 $29,650 (Indicate Base) Subtotal $27,200 $59,300 B) General & Administrative Expense 12 of Cost Elements Nos. 1-9.A 3,264 ~6,450 Total Costs $30,464 EEE 7En (j) FIXE 0-FEE EARNED (Formula) 1,523 3,400 (m) Total Amounts Claimed $31,987 569.150 (n) Adjustments Outstanding Suspensions 1,700 1,700 (o) Grand Totals 530.287 167.450

• (REQUIRES SUPPORTING INFORMATION.)

(SEE ATTACHED.) 7/88

I.. Q $ AMPLE SLfPPORTING INFORMATION

1) Direct Labor - $2400 Labor Labor Hours Hours Cumulative Category Negotiated Billed Rate Total Hours Billed Senior Engineer I 2400 100

$14.00 $1400 975 Engineer 1500 50 $10.00 $500 465 Computer Analyst 700 100 $5.00 $500 320 TUM

3) Direct Equipment Spectrometer - General Electric (as approved in Pmperty Schedule) $5,000

4) Materials, Supplies & Other Expendable Items

$1100.00 10 Radon Tubes 9 $110.00 = $900.00 6 Pairs Electrostatic Gloves,9 $150.00 = 5Z000.00

5) Premium Pay Walter Murphy - 10 hours.9 $10.00 Per Hour = $100 (This was approved by NRC in letter dated 3/6/82.)

6) Consultants' Fee Dr. Carney - I hour 9 $100

= $100

7) Travel Date Traveler Destination Purpose Costs

'g To, From o From 3/1/82 3/6/82 William King Chicago Wash., Meeting with $200 IL DC Project Officer,

8) Subcontracts XYZ CORP.

(CPFF) Direct Labor: - 80 hours 9 $20.00 per hour = $1600.00 0/H 9 50% $800.00 = Travel - 2 Trips - Wash., DC @ $200 $400.00 = to Boston, MA Profit 9 7% $200.00 = TOTAL: I3RRORI (j) Fixed-Fee (Formula) l (5%) $350,000 X 5% = $17,500 Total Fixed Fee for this Contract' $27,200 X 5% = $1360 Fee Billed for this Period (n) Adjustments $1700 -Indicates amount withheld from voucher f001, now approved hy Contracting Officer letter 3/10/82. 1 I l l I l

~ ATTACHMENT 3 s GUIDELINES FOR THE PREPARATION OF THE DIAGNOSTIC EVALUATION TEAM REPORT I DET Guideline 3 3.1 PURPOSE To provide guidance for the preparation of the Diagnostic Evaluation i Team (DET) repcrt. 3.2 GENERAL The purpose of the diagnostic evaluation report is to document in a complete, detailed and accurate manner the results of the DET evalua-tion. This guideline describes the organization and content of the DET report and its transmittal correspondence, as well as the process to be followed in preparing the report. 3.3 DET REPORT ORGANIZATION The sections that typically appear in a DET report consist of: a. A cover page (Enclosure 1). b. A general information sheet (Enclosure 2) identifying the licensee and facility evaluated, the periods of time the evaluation was conducted, the evaluation team members and any other accompanying personnel. The report is submitted by the Team Manager and approved by the Director, AE00. c. An Executive Summary which briefly summarizes the background and purpose of the evaluation, and the overall results and conclusions. These would include the observed strengths and weaknesses, and the significant underlying causes for identified weaknesses.

2 d. A Table of Contents listing the major sections and subsections of the report (Enclosure 3). e. An Acronyms section listing in alphabetical order acronyms and abbreviations used throughout the report. f. An Introduction section which provides the background information regarding the evaluation, including the scope and objectives, evaluation methodology, plant description, and the structure of the corporate and site organizations. g. The Evaluation Results section which presents the major evaluation findings and conclusions in an abbreviated and concise fashion. Further development of specific results in each functional area is included for management-level review. This section also contains a detailed discussion of the team activities and findings regarding l the fundamental or root cause(s) of the licensee weaknesses and deficiencies. This section is consistent with the Detailed Evaluation Results section and the results and conclusions presented at the exit meeting. h. The Detailed Evaluation Results section which documents in a complete, detailed and accurate manner, the evaluation observa-tions, findings and conclusions in each functional area. Observations are the witnessing of the licensee in the performance of activities or the reviewing of documentation as it relates to I the activities of the licensee. Findings in each functional area are presented as detailed objective evidence as they relate to each observation. After the details of each observation has been developed, conclusions are derived from the findings. For weaknesses, discussions of root causes and contributory causes are developed. This section provides a direct input into the Evaluation Results section and the Diagnostic Evaluation Team Exit Meeting presentation. 4 l

3' i. The Exit Meeting section which documents the date and location of the exit meeting, the attendees, and provides a brief summary of material presented to Licensee management. This section also provides a summary of any Licensee responses to the team observations, findings, conclusions and root cause determinations. j. The Appendices which includes information that supplements the body of the report. As a minimum, the appendices should include a copy of the NRC presentation made to the Licensee at the exit meeting, the EDO memorandum directing the conduct of the diagnostic evaluation, and any other material deemed appropriate for a complete understanding of the diagnostic evaluation. 3.4 DET REPORT TRANSMITTAL DOCUMENTS A number of documents are prepared by the DET when the DET report is I forwarded to the EDO. 'These documents consist of: a. A transmittal memorandum used to forward the approved evaluation report from the Director, AEOD to the EDO. The transmittal l l memorandum typically contains three enclosures. An example of the I transmittal memorandum is provided as Enclosure 4.

b. to the transmittal memorandum is the Diagnostic Evaluation _ Report of the specific site evaluated.

The contents of this report are described in Section 3.3, DET Report Organization.

c. to the transmittal memorandum contains the EDO i

requirements for NRC staff actions resulting from the diagnostic l evaluation. This enclosure is prepared in the form of a memorandum j from the EDO to the appropriate senior NRC management.for the i action items in their area of responsibility. The enclosure to this memorandum describes each item of significance from the Evaluation Results and Detailed Evaluation Results sections of the report, the action to be taken, and the responsible Office to which the action is assigned. An example of the staff action memorandum is provided as Enclosure 5. _...______.__.__._____________.__._____m_.-.__-w

4

d. to the transmittal memorandum which is a Draft Letter to the Licensee regarding the diagnostic evaluation report.

This letter will normally be addressed to the highest level licensee manager that is contacted by the DET. An example of the letter to the licensee is provided. Enclosure 5. 3.5 DET REPORT PREPARATION PROCESS l Developing the results of the DET evaluation into a clear and concise report requires a substantial effort by all DET members. For each functional area reviewed during the diagnostic evaluation, a lead reviewer was designated. After completion of the on-site evaluation, these DET members have the responsibility to coordinate the efforts of other DET members contributing to their assigned functional area from the generation of the initial functional area report outline through approval of the final report. A diagram of the DET report review process is shown in Figure 1. Within 3 days following completion of the onsite evaluation, the team leader issues the significant milestone schedule (see enclosure 7). Within 7 days following completion of the on-site evaluation, the lead functional area reviewers shall submit to the Team Leader a functier.a1 area outline. A proper outline will state the essence of the findings, conclusions, and root causes for weaknesses in the. functional area in order in wnich it is intended to be presented in the report. It should also contain references to the evaluatirn sheet numbers generated during the on-site evaluation and it should be sufficiently detailed to facilitate report writing. The Team Leader and the ' lead functional ares reviewer should agree completely on the functional area outline. In addition to facilitating the report writing effort, the outline shall be used as the basis for generating the presentation to be used at the l DET exit meeting with the licensee. a O T

5 Within 14 days following completion of the on-site evaluation, the lead functional area reviewer shall use the approved outline to coordinate the efforts of DET members assigned to this area and submit to the Team Leader the initial draft of the Detailed Functional Area Results (Section 3 of the Diagnostic Evaluation Report). Each lead functional area reviewer will generate an acronym list for all acronyms and abbreviations use in the assigned functional area. This listing will be updated by the lead functional area reviewer as required throughout the report writing process and will be submitted to the Team Leader in alphabetical order when the Sections 2 and 3 of the report are finalized. 1 When the draft Section 3 portions of the report are complete, copies will be provided by the Team Leader to all DET members and a team meeting will be held. The purpose of the team meeting is to provide all team members the opportunity to comment on the draft Section 3, ' reviewing for completeness as well as consistency. As a result of the team meeting, the lead functional area reviewers may need to further revise their respective inputs. In addition, the lead functional area reviewers will also draft Section 2 and submit these sections to the Team Leader. i 1 Once the Team Leader and lead functional area reviewers agree on the acceptability of Sections 2 and 3, the lead functional area reviewers will provide the Team Leader with inputs to the Executive Summary, inputs to the Staff Action Item list, and their acronym list. The Team Leader will compile these inputs from all lead reviewers into a draft DET report and generate the Introduction section to the report. The Team Leader will provide the draft DET report to the Branch Chief, DEIIB; Director, Divisic< of Operational Assessment; Deputy Director, AEOD; and Director, AEOD for the management review of the report. l Comments received from the management revluw will be coordinated by the Team Leader with the assistance of the lead reviewers for any changes to be made to the DET report. _______________m____

l 'i 6 Following the management review and incorporation of any revisions, the i a DET report will be marked as a predecisional document submitted by the i I Team Manager and approved by the Director, AEOD. The Team Leader will prepare a transmittal memorandum from the Director, AE00, to the Executive Director for Operations forwarding the report. The DET report should be provided to the EDO within 45 days after the exit meeting with the Licensee. 3.6 REPORT WRITING GUIDANCE The following general and specific guidance is provided to assist all DET members in the preparation of the DET report. 3.6.1 General Principles of Writing Write to your audience. Within the DET report are several major _ sections each of which is directed to a difference audience. The D -tailed Evaluation Results section contains the level of detail of interest to first-line supervisors. The Evaluation Results section is directed toward middle ~ management interests and the Executive Summary is aimed at top-level management. Since the degree of conceptual to technical information interests varies with each of these management levels, the report sections should not be a verbatim repetition when discussing the same issue. It'should be written to the primary audience of the particular section. 4 Nwever, the Evaluation Results section and the Executive Summary should contain only information that is further discussed in the Detailed Evaluation Results section. DET concerns identified in ] the Detailed Evaluation Results section'shall be included in the ) Evaluation Results section. Write with economy. Brevity is important, but the meaning must be conveyed. ) u

7 Write to " express" instead of " impress." Difficult complex sentences filled with polysyllables will lose the reader. Good organization is essential to clear writing. Clear writing is based on clear thinking, so think and organize your thoughts before you write. 3.6.2 Report Writino Mechanics A well-organized DET report is one that: 1. Can be read and understood easily. 2. Expresses the findings, conclusions, and root causes clearly and unmistakably, in a logical and well-organized manner. 3. Has the professional tone and the data to earn the respect and confidence of the Licensee. 4. Is no longer than absolutely necessary. l Keep two all-important basic facts in mind: what needs to be said and ] l to whom it is to be said. The following paragraphs contain guidelines i i for handling the mechanics of report writing. DET members should check 1 recommended DET Reports for examples. 1. Outlines The purpose of the report writing outline is: (1) to clarify thinking, (2) to insure coverage of all points, (3) to reveal the I need for additional research, (4) to prevent duplication of text, and (5) te confirm the report organization pattern or indicate the need for revision. The outline should contain:

8 a. Section titles. b. Subject of introde: tory paragraphs of each section, All major headings within each section (topic sentences). c. d. All paragraphs headings (subheadings) under each major heading, or at least a list of subjects to be discussed under each heading. Subject of closing paragraph of each section. e. f. Title, location, and subject matter of each table, exhibit, and appendix. A report which begins with a comprehensive outline will be written better, in less time, and with less agony than one which is prepared from a sketchy report outline. 2. Headings Headings serve two purposes: (1) they indicate the organization of the report, and the scope and content of the sections; (2) they help to sustain reader interest and break the monotony of solid text. Headings should have content. They should indicate the theme of the section or paragraph briefly, clearly, interestingly. - The construction of headings should be consistent; using only one j form (words, phrases, complete sentences) throughout the section or, if possible, throughout the report. i 3. Paragraphs Each paragraph should serve a purpose -- to express and explain one idea. It should be constructed carefully to tell what the idea is end why, when, by whom and how the idea rhould be applied. Try to make every paragraph one complete word picture. O e

9 a. . Build the paragraph around a central thought. b. State the central thought in the topic sentence. The remainder of the paragraph should expand and support it. c. Avoid repetition in construction (i.e., same type of sentences, same size paragraphs). d. Avoid use one sentence paragraphs as a rule. However one sentence paragraphs can be used very sparingly for emphasis, e. Tabulate or list points to be emphasized. 4. Sentences and Wording Sentences should be grammatically correct in the first draft. The DET members should not depend either on their supervisor.or the report editor to correct their grammar. The DET members should be completely responsible for the structure as well as the meaning of the sentences. It is important to keep the following points in mind: a. Technical Terms Select these to satisfy the needs of the reader, not those of the writer. b. Overstatements Avoid unsupported assertions, unqualified findings and generalizations which may be challenged readily. c. Tone Avoid phrases or words which tend to belittle the reader's intelligence (e.g., "it is obvious," " naturally," or "of course").

10 d. Descriptive Data Use descriptive data discriminating 1y. Only descriptive material and facts sufficient'to bring out the major issues or to support conclusions should be presented. Lengthy process-or situation descriptions can easily clutter and obscure points. Omit non-essential facts and analyses. Do not describe phases of organization and procedure which are not relevant to the conclusions or root causes beyond a-general reference to their nature. Where detailed data is essential, put them in an appendix. e. Long Sentences Avoid long, unwieldy sentences. Keep them short and to the point. Alternate complex or compound sentences with short, l simple ones. 5. Grammar I The DET member is responsible for the grammatical construction and punctuation of sentences as well as for their. structure and meaning. De following are some suggestions which may be helpful in writing the DET report. a. Watch tenses; be consistent in use of verb form. Generally, the DET report will be written in past tense. 1 b. Use proper verb form with singular and plural nouns. c. Do not split infinitives and be careful of splitting verb I phrases. d. Mean it when all or never is used. l l

q i 11 l 9 l e. Do not repeat the same words over and over again; check a dictionary or thesaurus for synonyms. f. There is one best word for each place in each sentence and one best place for each word. Take the time and trouble to find them. i 1 3.6.3 Specific DET Report Guidelines The NRC Technical Writing Style Guide (NUREG-0650) should be used as a guideline for generation of DET reports. This guide provides a uniform format in preparing reports and produces consistency in documentation i procedures. Through the experience gained in preparing DET reports, the following guidance is provided specifically for the DET report: 1. A DET report coordinator shall coordinate and control all changes to the DET report after generation of the first draft.- The report coordinator maintains control over the DET report due to the receipt of inputs fcom multiple writers as well as multiple reviewers; some changes will be in disagreement with the inputs of others. The DET report coordinator normally should be the Team Leader. The DEIIB secretary shall normally make and control the i typing of revisions to the report after the first draft. 2. The DET team members providing inputs to the report should prepare their sections in the following order: l l a. Detailed Evaluation Results b. Evaluation Results c. Inputs to Executive Summary d. Inputs to Staff Action Item List

12 3. Each DET member providing input to the report should write out the full name of each acronym the first time it is used. Each member should provide the report coordinator a list of acronyms in alphabetical order used by the writer in generating each section. 4. The report should be written in terms of the team findings, conclusions, etc.; not on the basis of individual team members. 5. The DET report should describe the results of the evaluation in terms of observations, findings, conclusions, and root causes; it should not be an accounting of how time was spent in conducting the evaluation. In other words, if a functional area was reviewed and the review produced no items of positive or negative significance, the report should contain only a cursory discussion in this area. 6. Certain phrases should be avoided in writing the DET report. These include: a. "The team believes..." Instead of: The team believes that it was inappropriate and distracting I for the R0 to have to answer such telephone calls. Better written as: i Many of these telephone calls appeared to be unnecessary and distracted the R0s from their normal duties. b. "The team felt..." Instead of: \\ 0 9

13 The team felt that inadequate training in TS requirements regarding shutdown margin may also have contributed to the operator error. Better written as: 1 Inadequate training in TS requirements regarding shutdown margin may also have contributed to the operator error. ') 1 c. "The team noted..." ] j Instead of: l l The team noted that many systems had not had a valve alignment i verification performed in over 2 years. 1 ~ Bette written as: 1 The team found that many systems had not had a valve alignment verification performed in over 2 years. 7. When describing per,onnel within the Licensee's organization, l position titles should be used instead of naming the individuals in j those positions. 8. For each functional area covered in the report, the beginning. paragraphs should describe what specific areas were evaluated, the methodologies used to conduct the evaluation (i.e., observation of Licensee activities., review of documentation, etc.), and the resources the Licensee has committed to the functional area. i 9. Use " journalistic" style (i.e., put the punch line up front). For each finding generated on the evaluation sheets, the report should j describe the findings; the conclusions and any strengths or-weaknesses; and probable root causes for weaknesses in that order. l l

1 i 14 1 10. Since the diagnostic evaluation is directed toward safety performance rather than compliance issues, all items that may result in enforcement actions will be-handled by the appropriate i 1 Regional Office, and will not be described as violations in the DET J report. The one exception is when an item is determined to be a violation by mutual consent of the Licensee. 11. All references its the Evaluation Results section of the report to other sections will be described only to the level of the second 1 subsection (e.g., Section 3.1,4). i 1 l l 1 ) l l 1 i l l 1 \\ 4

t e v y ts i y u u I t n ti ot M en t r s s s o ct i ro Le ua e e ni r uc sot l c R oL c de i p a em R c i A oS ced t ti fL xu n td r eRe t ,i a ES o l cn tt d u i ro i a Aa = nx eTs m Dt t v I e rEs s N PDI n a E f o a u f m 1 r d l d ae a e tM e T. v l S u E i n = = a i d t t 3 e 6 y n 1 D 1 g o C 4 5= ( 2 1-not iu l e 2 3 t p v cn s y n n AI m i t rs o o y ) u at i i f s n M u t t f m o cmp e c c a e r xun e e t t c A ESI S S S I , i d d iv 2 3 e A 1 E n2 R R o i n t A to n ci e L 1 A 1 et m N Sc e O e s 2 g I dS m 2 a T e y n C st n a N if od M U va re F er c r, = R'D'l Ai 5 ' l H u C = eq o A t e g E aR d N ps I Ua t D g r E n op H i S mt e I ae tR L ee f y I P TM aT M s rE m DD h O C ~ n ~ C o A r 7 3 cd 9 1 Ae n r o ei ti t u ft aq il i i ac re re eR gn 'DS n [ es s no r Ga t ii lu tt ea s s et t e m l R e Mn 4 e u t ts s I e l t i e N r R a ns xr ee v oi EP t e n E iL ts e o t 3 ] en v i d cd s e Le iy t e An m n c t r a l a y ti ua u i f n i g l fL cm l a f o o t a em a t am r u ro xu v e t e c 0 Dt ES E D SM A I H Sch du1 e ! i 0 MiI t 0ne ll

1 o -) ~ J LEGEND FOR FIGURE 1 0. Team Leader issues milestone schedule. [See Enclosure 7]. 1. Lead Functional Area Reviewer submits outline to Team Leader. [ Milestone: 7 days after completion of on-site evaluation] 2. Team Leader and Lead Functional Area Reviewer agree on outline? 3. Lead Functional Area Reviewer revises outline. 4. Team Leader in consultation with Lead Functional Area Reviewer develops I exit meeting presentation. 1 5. Using approved outline, Lead Functional Area Reviewer submits initial draft of Section 3 to Team Leader; Lead Functional Area Reviewer also l generates acronym list. [ Milestone: 14 days after completion of on-site evaluation] W 6. Team Leader and Lead Functional Area Reviewer agree on Section 3? 7. Lead Functional Area Reviewer revises Section 3. 8. Team Meeting for review of all Section 3 inputs for completeness and consistency, [Milenone: 21 days after completion of onsite evaluation.] l 9. Lead Functional Area Reviewer submits revised Section 3 and draft Section 2 to Team Leader; Lead Functional Area Reviewer updates the acronym list as required. [ Milestone: 24 days after completion of onsite evaluation.] 10. Team Leader ano Lead Functional Area Reviewer agree on revised Section 3 and draft Section 2? 11. Lead Functional Area Reviewer revises Section 3 and Section 2. 12. Lead Functional Area Reviewer submits revised Section 3 and Section 2 to the Team Leader. In addition, Lead Functional Area Reviewer submits to l the Team Leader the acronym list, and inputs to the Executive Summary and the Staff Action Items. [ Milestones: 30 days after completion of onsite evaluation.] l 13. Using the inputs from each functional area, the Team Leader generates the Executive Summary and the draft letter to the Licensee forwarding the diagnostic evaluation report. 14. Usirg the Section 2 inputs from each functional area, the Team Leader i compiles the Evaluation Results section. l 15. Using the Section 3 inputs from each functional area, the Team Leader compiles the Detailed Evaluation Results section.

2 16. Using the Staff Action Item inputs, the Team Leader compiles the Staff Action Item list and generates the memorandum to responsible NRC Senior Managers. 17. Using the acronym list from each functional area, the Team Leader compiles a single acronym list 18. Team Leader generates the Introduction to the diagnostic evaluation report. 19. Team Leader assembles all sections into a complete draft Diagnostic Evaluation Report. 20. Team Leader submits draft Diagnostic Evaluation Report to the Branch i Chief, DEIIB; Director, Division of Operational Assessment; Deputy Director, AE0D; and Director, AEOD for management review. [ Milestone: 30 days after exit meeting with Licensee.] 21. Draft Diagnostic Evaluation Report approved? 22. Team Leader with assistance of Lead Functional Area Reviewers revise draft Diagnostic Evalua' sn Report. 23. Predecisional Diagnostic Eveluation Report is signed as submitted by Team Manager and approved by Director, AE0D. 24. Team Leader generates transmittal memo to EDO providing the approved Diagnostic Evaluation Report. [ Milestone: 45 days after exit meeting with Licensee) 4 1 d 4

PREDECISIONAL NOT FOR PUBLIC DISCLOSURE DIAGNOSTIC EVALUATION TEAM REPORT FOR [ SELECTED FACILITY] U.S. Nuclear Regulatory Commission Office for Analysis and Evaluation of Operational Data Division of Operational Assessment Diagnostic Evaluation and Incident Investigation Branch i I I PREDECISIONAL l l NOT FOR PUBLIC DISCLOSURE

~ OFFICE FOR ANALYSIS AND EVALUATION OF OPERATIONAL DATA DIVISION OF OPERATIONAL ASSESSMENT DIAGNOSTIC EVALUATION RE' ORT NUMBER _, Licensee: Facility: Docket No.: Onsite Evaluation: Corporate Evaluation: Exit Meeting: Team Manager: [ Deputy Team Manager:] Team Leader (s): Team Members: Submitted by: R. Lee Spessard, Team Manager Date ~ Edward L. Jordan, Director, AE00 Date l

TABLE OF CONTENTS P,aj[g EXECUTIVE SUM 4ARY....................... 1 ACRONYMS............................ iv

1.0 INTRODUCTION

I 1.1 B ac kg ro und......................... 1

1. 2 Sc ope and Obj ec ti ve s..................

2 1.? methodology...................... 2 1.4 Plant Description..................... 4 1.5 Organizational Structure.................. 4 2.0 EVALUAT',0N RESULTS....................... 8 2.1 Fajor Findings and Conclusions............... 8 2.2 specific Findings and Conclusions............. 9 2.3 Fundamental or Root cause(s) Determination......... 17 3.0 DETAILED EVALUATION RESULTS................... 20 3.1 Operations......................... 20 3.2 Maintenance........................ 29 3.3 Testing...................'...... 36 3.4 Qual i ty P ro g rams...................... 47 3.5 Eng:neering Support. 59 3.6 Management Overview. 74 3.7 Organizational Culture and Climate............. 87 4.0 EX I T ME ET I NG.......................... 97 ) i I APPENDIX A - Exit Meeting Summary l APPENDIX B - EDO Direction to DET 1 i iii Y

March 8, 1988 MEMORANDUM FOR: Victor Stello, Jr. Executive Director for Operations FROM: Edward L. Jordan, Director Office for Analysis and Evaluation of Operational Data

SUBJECT:

TRANSMITTAL OF THE DIAGNOSTIC EVALUATION TEAM REPORT FOR l MCGUIRE NUCLEAR STATION l Enclosed for your information and action, in accc, iance with NRC Manual __ l Chapter 0520, is the Diagnostic Evaluation Team's WET) assessment of the l licensee's performance at the McGuire Nuclear Station (Enclosure 1). The 1 team's report discusses the major licensee performance strengths and deficiencies and includes the team's findings and conclusions. Recommendations for NRC staff actions resulting from the diagnostic evaluatio' n at McGuire Nuclear Station are contained in Enclosure 2 for your. review. Following completion of your review and any subsequent discussions by NRC senior management, the report should be forwarded to the licensee and the Public Document Room. Until these actions are taken, the subject information is considered predecisional. A draft letter transmitting the DET's report to the licensee is contained in Enclosure 3. Thus, with this report and subsequent j appropriate briefings, the work of the McGuire DET will be completed. If I can provide any additional information or clarification regarding the DET l report, please feel free to contact me. { 6rieTeraf %Te a CD s E. D Jerdad ) Edward L. Jordan, Director Office for Analysis and Evaluation of Operational Data l

Enclosures:

1. McGuire Diagnostic Evaluation Report 2. Memorandum to NRC Offices Regarding Proposed Staff Actions 3. Draft Letter to Licensee Regarding Diagnostic Evaluation Report 9 I l l

UNITED STATES e g NUCLEAR REGULATORY COMMISSION y, l wasmucrow. o. c. 20sss sq.....,f MEMORANDlM FOR: Thomas E. Murley, Director Office of Nuclear Reactor Regulation J. llelson Grace, Regional Administrator Region II Edward L. Jordan, Director Office for Analysis and Evaluation of Operational Data FROM: Victor Stello, Jr. Executive Director for Operations

SUBJECT:

STAFF ACTIONS RESULTING FROM THE DIAGNOSTIC EVALUATION TEAM REPORT FOR McGUIRE NUCLEAR STATION An advance copy of the subject report was transmitted to you by semerandte dated March 8,1988 from Edward L. Jordan, Director, AE00. The report documents the diagnostic evaluation team efforts to identify performance strengths, deficiencies and causes, together with the findings and conclusions which fors the basis for follow g actions. The purpose of this memorandum is to identify and assign staff responsibility for generic and plant-specific actions resulting from the diagnostic evaluation at the McGuire Nuclear Station. You are requested to review the subject report and the enclosures. You should determine the actions necessary to resolve each of the recommended actions in your area of responsibility and, where appropriate, identify additional staff actions or revisions to the identified actions based on your review of the report. Based on briefings on the diagnostic evaluation results, I recognize that actions to address some of these items have already been initiated by th; staff. In view of the importance of this subject, I intend to monitor the resolution of these items via VITS. Your offices should also closely monitor and track the status of each assigned action iten until final resolution. Within 60 days, please provide a written summary of the schedule and status of each ites within your responsibility, as identified in Enclosure 1, including those that you have additionally identified. Further, I request that you prepare a written status report en the disposition of your items (and anticipated actions for uncompleted items) within 6 months. Every effort should be made to resolve these items promptly. l 1 The items in Enclosure 2 are areas for suggested follow-up that may be resolved through normal staff processes, and no written reply is requested. Routine i

.g. inspection follow-up such as additional plant inspections or potential enforcement actions are expected to be defined and implemented in the normal manner in accordance with NRC regulations and procedures. Victor Stallo, Jr. Executive Director for Operations

Enclosure:

1. McGuire Diagnostic Evaluation, Staff Actions Required 2. McGuire Diagnostic Evaluation, Areas for Suggested Follow-Up 2 9 4

'g UNITED STATES !I ~ NUCLEAR REGULATORY COMMISSION n" -j WASHINGTON. O. C. 20$$$ .a \\,,,,,, Docket'Nos. 50-369 50-370-Mr. Warren H. Owen, Executive Vice Pre'sident Engineering, Construction and Production Group . Duke Power Company Post Office Box 33189 Charlotte, North Carolina 28242 I

Dear Mr. Owen:

SUBJECT:

DIAGNOSTIC EVALUATION TEAM REPORT FOR MCGUIRE NUCLEAR STATION This letter forwards the Diagnostic Evaluation Team Report for the McGuire-Nuclear Station. The evaluation' was conducted by a team of NRC headquarters and regional evaluators with team leadership and support provided by the Office for Analysis and Evaluation of Operational Data over the period November.30 to December 11,1987 and January 4-8, 1988. As you are aware, this is a-new NRC assessment tec1 that is intended to ::revide an independent assesscent - of licensee perfomance, anc as such, its principal focus is on safety performance and not compliance with regulatory requirements. Following the conclusion of the onsite evaluation, the findings were discussed at an exit meeting with you and other company. executives and managers on January 22, 1988. The NRC effort involved an assessment of overall' plant operation and the Duke Power Company major programs for supporting safe plant operation at the McGuire-Nuclear Station. Particular attention was directed in_ the areas of engineering support, operations, maintenance, testing, quality programs, management' oversight and organization culture and climate. The team concluded that the overall performance of McGuire was a solid SALP-Category 2 with an improving trend. Although the team observed a number of I strengths in Duke's organization and programs which contributed to the-i improving trend, the team also identified some organizational and programmatic-l weaknesses, which could slow down the improvement efforts. Section 2 of the enclosed report provides the team evaluation results which include: major findings and conclusions, (2) specific findings and conclusions, and iroot: cause determinations. Section 3.of the report provides the detailed evaluation findings. Some of.these items may be potential enforcement. findings. - Any - enforcement actions will be identified by our Region II office. I This report is provided for your evaluation and use in formulating and implementing appropriate action in response to the team findings. Although-I recognize that Duke has responded in a positive and constructive manner to the -i team findings, I want to_ draw your attention to two of the most important. concerns I have after reviewing the report. The first is the limited involvement of Design Engineering in the identification and correction of I Enclosure _6

1 Mr. Warren H. Owen-equipment problems that affect safety performance. The se:snd is the potential I for reduced corporate oversite, direction and leadership fcr the operating i nuclear stations due to the competing demands with Duke's e owing outside business interests. I request that you evaluate the report and, that within 60 days of the date of l this letter, you provide my office a written response that specifically I addresses the two concerns I highlighted. Since I have di ected the NRC staff I to review and followup the more detailed findings of the e.aluation, your response to the evaluation results delineated in Section 2 of the report, although not requested, would greatly facilitate that effe.. l In accordance with 10 CFR 2.790(a), a copy of this letter end the enclosure will be placed in the NRC Public Document Room. Should you have any questions concerning this evaluation, we would be pleased i I to discuss them with you. 4 Sincerely, I I Vict.cr Stello, Jr. Executive Director for Operations j

Enclosure:

Diagt.ostic Evaluation Team Report for McGuire Nuclear i Station f l l l l ) i 4 L____________.__

MEMORANDUM FOR: Diagnostic Evaluation Team Members FROM: [ ], Team Leader

SUBJECT:

SCHEDULE OF-SIGNIFICANT MILESTONES FOR COMPLETION OF [ SELECTED SITE] DIAGNOSTIC EVALUATION REPORT The following schedule will be adhered to by all DET members to ensure timely completion and review of the DET report to meet established schedule guide-lines: 1. Lead Reviewer submits Outline [7 days after completion of to Team Leader on-site evaluation] 2. Lead Reviews submits initial [14 days after completion of draft of Section 3 to Team on-site evaluation) Leader 3. Team Meeting [21 days after completion of on site evaluation] 4. Lead Reviewer submits revised [24 days.after completion of Section 3 and initial draft on-site evaluation]- Section 2 to Team Leader 5. Lead Reviewer submits final draft [30 days after completion of' Section 3 and Section 2 to Team on-site evaluation] Leader; also submits acronym list, inputs to Executive Summary, and inputs to Staff Action Item list. 6. Team leader submits draft Diagnostic [30 days after exit meeting Evaluation Report for management with Licensee] review. 7. Issue final DET Report [4S days after exit meeting with Licensee] [ ], Team Leader __-_______________.__-_-__________m

ATTACHMENT 4 STANDARD FORM 1411 WITH INSTRUCTIONS 1. SF 1411 provides a vehicle for the offeror to submit to the Government a pricing proposal of estimated and/or incurred costs by contract line item with supporting information, adequately cross-referenced, suitable for detaileo analysis. A cost-element breakdown, using the applicable femat prescribed in 7A, B, or C below, shall be attached for each proposed line item and must reflect any specific requirements established by the Contracting Officer. Supporting breakdowns must be furnished for each cost element, consistent with offeror's cost accounting system. When more than one contract line item is proposed, summary total amounts covering all line items must be furnished for each cost element. If agreement has been reached with Government representatives on use of forward pricing rates / factors, identify the agreement, include a copy, and describe its nature. Depending on offeror's system, breakdowns shall be provided for the following basic elements of cost, as applicable: Materials - Provide a consolidated priced summary of individual material quantities included in the various tasks, orders, or contract line items being proposed and the basis for pricing (vendor quotes, invoice prices, etc.). Subcontracted Items - Include parts, components, assemblies, and services that are to be produced or performed by others in accordance with offeror's design, specifications, or direction and that are applicable only to the prime contract. For each subcontract over $500,000, the support should provide a listing by source, item quantity, price, type of subcontract, degree of competition, and basis for establishing source and reasonableness of price, as well as the results of review and evaluation of subcontract proposals when required by FAR 15.806. Standard Commercial Items Consists of items that ' offeror normally fabricates, in whole or in part, and that are generally stocked in inventory. Provide an appropriate explanation of the basis for pricing. If price is based on cost, provide a cost breakdown; if priced at other than cost, provide justification for exemption from submission of cost or pricing data, as required by FAR 15.804-3(ei. Interorganizational Transfer (at other than cost) - Explain pricing method used. (See FAR 31.205-26). Raw Material - Consists of material in a form or state that requires further processing. Provide priced quantities of items required for the proposal. Purchased Parts - Includes material items not covered above. Provide priced l quantities of items required for the proposal. l l Interorganizational Transfer (at cost) - Include separate breakdown of cost by element.

Provide a time-phased (e.g., monthly, quarterly, etc.) Direct Labor breakdown of labor hours, rates, and cost by appropriate category, and furnish bases for estimates. Indirect Costs - Indicate how offeror has computed and applied offeror's indirect costs, including cost breakdowns, and showing trends and budgetary data, to provide a basis for evaluating the reasonableness of proposed rates. Indicate the rates used and provide an appropriate explanation. Other Costs - List all other costs not otherwise included in the categories described above (e.g., special tooling, travel, computer and consultant services, preservation, packaging and spoilage and rework, and Federal excise tax on finished articles) packing,and provide bases for pricing. Royalties - If more than $250, provide the following information on separate page for each separate royalty or license fee: name and address of licensor; date of license agreement; patent numbers, patent application serial numbers, or other basis on which the royalty is payable; brief description (including any part or model numbers of each contract item or component on which the royalty is payable); percentage or dollar rate of royalty per unit; unit price of contract item; number of units; and total dollar amount of royalties. In addition, if specifically requested by the Contracting Officer, provide a copy of the current license agreement and identification of applicable claims of specific patents. (See FAR 27.204 and 31.205-37). When the offeror eiects to claim Facilities Capital Cost of Money facilities capital cost of money as an allowable cost, the offeror must submit Form CASB-CMF and show the calculation of the proposed amount (see FAR31.205-10). 2. As part of the specific information required, the offeror must submit with offeror's proposal, and clearly identify as such, cost or pricing data (that is, data that are verifiable and factual and otherwise as defined at FAR 15.801). In addition, submit with offeror's proposal any information reasonably required to explain offeror's estimating process, including; a. The judgmental factors applied and the mathematical or other methods useo in the estimate, including those used in projecting from known data; and b. The nature and amount of any contingencies included in the proposed price. 3. There is a clear distinction between submitting cost or pricing data and merely making available books,

records, and other documents without identification.

The requirement for submission of cost or pricing data is met when all accurate cost or pricing data reasonably available to the offeror have been submitted, either actually or by specific identification, to the Contracting Officer or an authorized representative. As later information comes into the offeror's possession, it should be promptly submitted to the. Contracting Officer. The requirement for submission of cost or pricing data continues to the time of final agreement on price. e e

l 0 4. In submitting offeror's

proposal, offeror must include an

index, appropriately referenced, of all the cost or pricing data and information accompanying or identified in the proposal.

In addition, any future additions and/or revisions, up to the date of agreement on price, must be annotated on a supplemental index. j 5. By submitting offeror's proposal, the offeror, if selected for negotiation, grants, the Contracting Officer or an authorized representative the right to examine those books, records, documents, and other supporting data that will permit adequate evaluation of the proposed price. This right may be exercised at any time before award. 6. As soon as practicable after final agreement on price, but before the award l resulting from the proposal, the offeror shall, under the conditions stated l in FAR 15.804-4, submit a Certificate of Current Cost or Pricing Data. 7. Headings for Submission of Line-Item Summaries: l A. New Contracts (including Letter contracts). Proposed Contract Proposed Contract Cost Elements Estimate-Total Cost Estimate-Unit Cost Reference (1) (2) (3) (4) I 'Under Column (1) - Enter appropriate cost elements. Under Column (2) - Enter those necessary and reasonable costs t. hat in offeror's judgment will properly be incurred in efficient contract i performance. When any of the costs in this column have already been l incurred (e.g., under a letter contract er unpriced order)., describe them on an attached supporting schedule. When reproduction or startup l costs are significant, or when specifically requested to do so by the Contracting Officer, provide a full identification and explanation of them. Under Column (3) - Optional, unless required by the Contracting Officer. Under Column (4) - Identify the attachment in which the information supporting the specific cost element may be found. Attach separate pages as necessary. l I t

B. ChangeOrders(modifications). Cost Of Estimated Deleted Cost of All Work Cost Work Already Net Cost To Cost Of Net Cost Of l Elements Deleted Performed Be Deleted Work Added Change Reference (1) (2) (3) (4) (5.) (6) -(7) I l l Under Column (1) - Enter appropriate cost elements. Under Column (2) - Include (1) current estimates of what the cost would have been to complete deleted work not yet performed, and (ii) the cost of deleted work already perfonned. Under Column (3) - Include the incurred cost of deleted work already performed, actually computed if

poscible, or estimated in the Contractor's accounting records.

Attach a detailed inventory of work, materials,

parts, components, and hardware already purchased, manufactured, or performed and deleted by the change, indicating the cost and proposed disposition of each line item.

Also, if offeror desires to retain these items or any portion of them, indicate the i amount offered for them. Under Column (4) - Enter the net cost to be deleted which is the estimated cost of all deleted work less the cost of deleted work already performed. Column (2) less Column (3) = Column (4). I Under Column (5) - Enter the offeror's estimate for cost of work added by the change. When nonrecurring costs are significant, or when specifically requested to do so by the Contracting Officer, provide full identification and explanation of them. Under Column (6) - Enter the net cost of change which is the cost.of work added, less the net cost to be deleted. When this result is negative, place the amount in parentheses. Column (4) less Column (5) = Column (6). Under Column (7) - Identify the attachment in which the information supporting the specific cost element may be found. Attach separate pages as necessary. l l l 4 l

C. Price Revision / Redetermination Number of Number of Redetermine-Units Units To Be Contract tion Proposal Cutoff Date Completed Completed Amount Amount Difference (1) (2) (3) (4) (5) (6) Incurred Incurred Incurred Cost-Cost-Cost-Total Estimated Cost Preproduc-Completed Work In Incurred Cost To Estimated Elements tion Units Process Cost Complete Total Cost Reference (7) (8) (9) (10) (11) (12) (13) (14) Under Column (1) - Enter the cutoff date required by the contract, if applicable. Under Column (2) - Enter the number of units completed during the period for which experienced costs of production are being submitted. Under Column (3) - Enter the number of units remaining to be completed under the contract. Under Column (4) - Enter the cumulative centract amount. Under Column (5) - Enter the offeror's redetermination proposal amount. Under Column (6) - Enter the difference between the contract amount and the redetermination proposal amount. When this result is negative, place the amount in parenthesis. Column (4) less Column (5) = Column (6). Under Column (7) - Enter appropriate cost elements. When residual inventory

exists, the final costs established under fixed-price-incentive and fixed-price-redeterminable arrangements should be net of the fair market value of such inventory.

In support of subcontract costs, submit a listing of all subcontracts subject to repricing action, annotated as to their status. Enter all costs incurred under the )ntract before Under Column (8) starting production and other nonrecurring costs (usually referred to as l startup costs) from offferor's books and records as of the cutoff date. l These include such costs as reproduction engineering, special plant l rearrangement, training program, and any identifiable nonrecurring costs such as initial rework, spoilage, pilot runs, etc. In the event the amounts are not segregated in or otherwise available from offeror's records, enter in this column offeror's best estimates. Explain the basis for each estimate and how the costs are charged on offeror's accounting records

(e.g., included in production costs as direct engineering labor, charged to manufacturing overhead, etc.). Also how the costs would be allocated to the units at their various states of contract completion. Under Columns (9) and (10) - Enter in Column (9) the production costs from offeror's books and records (exclusive of reproduction costs report.ed in Column (8) of the units completed as of the cutoff date. Enter in Column (10) the costs of work in process as determined from offeror's records-or inventories at the cutoff date. When the amounts for work in process are not available in Contractor's records but reliable estimates for them can be and enter in Column (9) the made, enter the estimated amounts in Column (10)(exclusive of reproduction differences between the total incurred costs l costs) as of the cutoff date and these estimates. Explain the basis for the estimates, including identification of any provision for experienced or I anticipated allowances, such as shrinkage, rework, design changes, etc. Furnsih experienced unit or lot costs (or labor hours) from. inception of contract to the cutoff date, improvement curves, and any other available production cost history pertaining to the item (s) to which offeror'.s proposal relates. Under Column (11) - Enter total incurred costs (Total of Columns (8), (9), and (10)). Under Column (12) - Enter those necessary and reasonable costs that in Contractor's judgment will properly be incurred in completing the remaining work to be performed under the contract with respect to the item (s) to which Contractor's proposal relates. Under Column (13) - Enter total estimated cost (Total of Columns (11) and (12)). Under Column (14) Identify the attachment in which the information supporting the specific cost element may be found. Attach separate pages as necessary. o o e s

.n o. a I .e '

1. 50LIC A T A T ION / CON T R AGT/ MODI F 4 C AT ION FonM APPROVEO o

• Cd.'JTRACT PRICING PROPOSAL COVER SHEET 3000 0116 NOTE : Th?s form es used in contreet eetions if outuniasson of toet or pricing dote is roouired. (See JrA4 f 5J084/0H l

2. NAME AND ADDRE55 OF OFFEROR (Jackade Zip codes 3A NAME AND T4TLE OF OFFEPlQR'5 POINT

38. TELEPHONE NO.

j OF CONTACT _4. TYPE OF CONTRACT. ACTION (chect) _#. NEW CONTR ACT D. LETTER CONTRACT 4 B. CHANGE ORDER E. UNPRICED ORDER . OTHER (5msty) C. PRICE REVISIONI REDETERMINATION

5. T VPE OF CONT R$ f (Chech#

6. PROPOSED COST (Aea=cs l

FFP CPFF CPIF CPAF A. COST

e. PROFIT / FEE C. TOTAL s

m FP) OTHER (speedfy) l

7. PLACEg5) AND PERIOO(5) OF PERFORMANCE l

i

8. List and reference the identificatsort. Quentity and tots; price proposed for each contract line item. A line item cost tireskdown supportmg this receo is re.

l Quired unless otherwise specified by the Contracting Officer. (continue on reweme, and shee on pasin paper. if neseenery. Use esme headinse.J A. LINE ITEM NO.

8. IDENTIFICATION C. QUANTITY D*. TOTAL PRICE E.REF.

I l 9 PROVIDE NAME. ADDRESS. AND TELEPHONE NUMBER FOR THE FOLLOWING (if spade 6 del A. CONT R ACY ADMara ST' t T4ON OFFICE B. AVOIT OFFICE E.WiLL VJU REQui AE TME USE OF ANY GOVERNMENT PROPERTY l al A. 00 YOU REQUIR E GOVERN-115. TYPE OF FINANC4NG (v one) IN THE PERF ORMANCE OF THIS WORK 7(if "Yes."adenti.'y) MENT CONT R ACT FINANCING I TO PElhFORM THIS PROPOSED ADVANCE PROGRESS {0N CT 7 (J/ "Yee." compas se PAvMENTS PAvMENTS [vES ONO O vEs O NO OuAaANTEEOLOA~a 1 i

12. MAvE YOU BEEN AW AHOED ANY CONTR ACTS OR SUSCONT RACT5 13.15 TMs5 PROPOSAL CON 5:5 TENT wtTH VOUR EST ABL15 EGO ESTo.

FOR THE SAME OR SIMILAR ITEMS WITH8N THE PA5T 3 YEARSP MATING AND ACCOUNTING PR ACTICES AND PROCEDURES ANO (If "Yes." sdentary itemie), customer (s) and conomet numeerfeff F AR PART 31 COST PRINCIPLE 57 fif "No."espammi ]NO YES NO vES

14. COST ACCOUNTING STANDARDS BOARD (CASB) DATA (Public Law 81378 as amended and FAJt PART 30)

4. WsLL THis CON. RACT ACT IGN BE EUBJECT TO CASS REGULA-5.M AVE YOU 5UBMETTED A EAEB DISCLDEURE STATEMENT i

V SON 51 (if "No." esptem in amPeness tCAs0 DS.8 or 21* (If "Yes.* speesty an proponee the offtee to suhich l esionisterd and er deerrmsasd so ne edeousses O vEs O NO O vEs NO C.HAVE YOU SEEN NOT8F#ED THAT YOU ARE OR MAV SE AN NON. O. a5 ANY ASPECT OF THIS PROPOSAL lNC6N545 TENT WlTH YOUR COMPLt ANCE WITM YOUR DISCLOSURE ETATEMENT OR COET Ot5 CLOSED PR ACTICES OR APPLICASLE COST ACCOUNTING. ACCOUNTING 57 ANDA RDSP fit " Yes." espasan an propoesi) ST ANDARD5?(Jf "Yes." sapiam in proposedJ O ve : ONO vEs O No This proposal as submitted in response to sne RFP contreet, modificatinr', etc. in item 1 and reflects our best estimates and/or actual costs as of this oste.

45. NAME e NO T 4T LE (Types

16. NAME OF F i AM

17. 54 GNAT U RE

15. OATE OF SUBM455aON NSN 7640-01 142 9645 3433 101 STANDAmp FORet 1411(10.e3)

Prestr6Dee DY OSA

• U.S. fc/EIOGENT MLIIFFING OFFICE : 11:44 0 - 421-526 (37)

FAR 44s CFR) ss. ass-stc).}}