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COMMERCE BUSINESS DAILY ISSUE OF JANUARY 21,2000 PSA#2520

NAVY CONSUMABLE INVERTORY SUPPLY SYSTEM The following is a Request for Comment (RFC). This synopsis is for information and planning purposes only, and does not constitute a Request for Proposal. The intent of this RFC is to afford industry an opportunity to comment on the draft statement of objectives located on the Fleet and Industrial Supply Center (FISC) Norfolk world wide web-site: http:www.nor.fisc.navy.mil/contracts/solicitations/default.htm. The government will be receptive to any alternative recommendations, ideas and comments which would result in limiting unnecessarily constrained requirements (currently practiced in the government), realizing cost savings, while highlighting potential technical or contractual problem areas easily resolved by adopting industry's best practices. Comments are solicited regarding the following Statement of Objectives (SOO): I. Section A -- OBJECTIVES: A.1 The U. S. Navy is examining its existing system by which consumable parts/supplies, in support of various Navy systems, are provided to Shore Intermediate Maintenance (SIMA) sites. The projected result of this procurement is the re-invention of the Navy Consumable Inventory supply system. Assistance is being sought from industry to accomplish the following primary objective: "The objective of this acquisition is to establish a "3PL" (Third Party Logistics) contract for the provision of consumable parts/supplies in support of various Navy weapons systems. A new contract with a single provider of consumable inventory parts/supplies will be established to provide such parts to all CONUS Navy Shore Intermediate Maintenance (SIMA) sites. The successful contractor/organization will establish an innovative, more efficient, and more cost effective method of providing Logistic parts support for all CONUS Navy Shore Intermediate Maintenance (SIMA) sites, and potentially the entire U.S. Navy." Comments from industry on any of the provisions within this SOO are solicited. Receipt of comments should not be construed as a vehicle for presenting a specific approachor product intended to be proposed but as an opportunity to improve an eventual solicitation package. A.2 Other stated objectives and expected outcomes of this requirement are as follows: (a) An increase in availability of consumable parts/supplies with a reduction in lead times for Navy customers. In particular, an increase in the "1st day" availability of parts. What methodology will ensure this type of availability? (b) Third (3rd) party ownership of the entire consumable inventory until consumption by the Navy. The successful contractor/organization will provide Total Logistics Management including: anticipating customer needs, forecasting customer parts/material requirements, purchasing, and inventory control, storage and distribution. Partnerships are encouraged, but not required. How will this be implemented and tracked? (c) A reduction of Navy investment in unused/surplus parts and supplies. Potentially, a transfer of ownership of current Navy-owned consumable parts/supplies. What procedures would beused to transfer inventory? (d) A significant reduction of time required by the Navy to accomplish its maintenance, overhaul and repair mission by streamlining processes and improving supply availability. (e) A significant improvement in the areas of: parts support, maintenance time, repair rates, and operational availability. What order of magnitude could be expected? (f) Fulfilling the goal of a 100 percent fill rate associated with each "lead time category" outlined in paragraph B.2 herein. A 100 percent fill rate means that the specific consumable item (in the quantity required) is available to the mechanic or artisan each and every time within the timeframe specified for each category. How will the 100 percent fill rate be maintained and tracked? (g) The reduction of total logistics costs for the Navy activities to be supported hereunder. (h) The establishment of a reliable direct industry surge and sustainment capability (see paragraph B5). II. Section B -- REQUIREMENTS: B.1 The consumable supplies to be provided will include items under the following Federal Supply Classes (FSCs): 31 -- Bearings; 34 -- Metal Working Machinery; 40 -- Rope, Cable, Chain and Fittings; 43 -- Pumps and Compressors; 45 -- Plumbing, Heating and Sanitation Equipment; 47 -- Pipe, Tubing, Hoses and Fittings; 48 -- Valves; 51 -- Hand Tools; 53 -- Hardware and Accessories; 59 -- Electrical and Electronic Equipment; 61 -- Electric Wire and Power Distribution Equipment; 62 -- Lighting Fixtures and Lamps; 79 -- Cleaning Equipment and Supplies; 81 -- Containers, Packing and Packing Supplies; and 93 -- Non-Metallic Fabricated Materials. All materials are commercial and have commercial item descriptions. B.2 Lead time categories: The consumable parts/supplies shall be classified into several categories relating to lead time requirements, including: (a) Bench stock (Pre-Expended Bin -- PEB) stock supplies to include some "never out" items; Bench stock items consist of spare parts and industrial hardware stored near or at the point of use, which mechanics and artisan employ in the maintenance, overhaul and repair of aviation and related weapons systems. (b)"Priority Stock" supplies with rapid required delivery (lead times varying from 1 hour to 3 days). (c) "3 day or more" lead time supplies. The actual consumable items (NSNs) and their corresponding category will be determined by the individual Navy activity to be supported based on historical data. B.3 The Government requires that the contract type proposed by the contractor (in accordance with the "Contract Type" technical factor) be one which incorporates price/fee incentives which are directly related to performance evaluations, and the meeting of specific performance goals by the awardee (for example: fill rate requirements or other goals to be specified by the Government). The contract will have a base period of performance of one year with four (4-year) option periods. B.4 Contract implementation will be phased in as follows: (a) PhaseI -- Implementation of the resultant "3PL" contract at the initial implementation sites (to be identified by the Government). (b) Phase II -- Gradual expansion (as dictated by the Government) of the "3PL" contract to support all CONUS SIMA Navy sites. B.5 Industrial Readiness -- Surge. Contractor will be prepared at all times during performance of the resultant contract to respond to surges in demand for parts resulting from war, national emergency or international turmoil which are above and beyond the demand for routine depot maintenance. The contractor will meet increased demand requirements for indefinite periods of time as dictated by military readiness needs. This is a critical objective which is difficult to define and predict. What provisions are in place to ensure surge demand can properly be met. Subsequent solicitations will be synopsized prior to release. Eligibility in participating in future acquisitions does not depend on response to this notice. The Government will not critique a potential offeror's comments and the RFC should not be used by offerors to market their products/services. The Govenment does not intend to pay for the information solicited and will not recognize any costs associated with submission of this RFC. Proprietary information is not being solicited. Information considered proprietary, if any, should be identified as such. Responses to this synopsis should be submitted in writing to Nicole Carnicky or Marlene Chambley at the above listed address or via facsimile (757) 443-1424 or (757) 443-1414. RFC should be submitted no later than 18 February 2000. E-MAIL: Click here to reach the Contracting officer or Contract, Marlene_K_Chambley@nor.fisc.navy.mil or Nicole_D_Carnicky@nor.fisc.navy.mil. Posted 01/19/00 (W-SN416931).

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