SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
(Mark one)
(X) QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED
MARCH 31, 1996
OR
( ) TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE
ACT FOR THE TRANSITION PERIOD FROM _____ TO _______
Commission file number 0-439
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American Locker Group Incorporated
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(Exact name of small business issuer as specified in its charter)
Delaware 16-0338330
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(State of other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification Number)
15 West Second Street, Jamestown, NY 14701
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(Address of principal executive offices)
(716)664-9600
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(Registrant's telephone number, including area code)
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(Former name, former address and former fiscal year, if
changed since last report)
Check whether the issuer (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act
during the past 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been
subject to such filing requirements. Yes X No
---- ----
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
DURING THE PRECEDING FIVE YEARS:
Check whether the registrant filed all documents and reports
required to be filed by Section 12, 13 or 15(d) of the Exchange
<PAGE>
Act after the distribution of securities under a plan
confirmed by a court.
Yes ___ No ___ Not Applicable
APPLICABLE ONLY TO CORPORATE ISSUERS:
State the number of shares outstanding of each of the issuer's
class of common stock equity as of the latest practicable date:
May 8, 1996
Common Stock $1.00 par value - 804,196
Transitional Small Business Disclosure (check one) Yes No X
---- ---
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<PAGE>
PART I - FINANCIAL INFORMATION
ITEM 1 - FINANCIAL STATEMENTS
STATEMENTS OF CONSOLIDATED FINANCIAL CONDITION
AMERICAN LOCKER GROUP INCORPORATED AND SUBSIDIARIES
March 31, December 31,
1996 1995
--------- ------------
ASSETS
CURRENT ASSETS
Cash and cash equivalents $432,746 $1,080,487
Accounts receivable, less allowance
for doubtful accounts (1996 $139,520;
1995 $136,509) 3,868,635 3,631,234
Inventories 2,922,644 2,775,615
Notes receivable, less allowance for
doubtful notes ($139,203-1996 and 1995) 178,886 191,884
Prepaid expenses 154,960 143,978
Deferred income taxes 536,346 536,319
--------- ---------
TOTAL CURRENT ASSETS 8,094,217 8,359,517
PROPERTY, PLANT AND EQUIPMENT
Land 500 500
Buildings 495,447 496,196
Machinery and equipment 7,568,496 7,581,513
--------- ---------
8,064,443 8,078,209
Less allowances for depreciation
and amortization 6,398,066 6,331,541
--------- ---------
1,666,377 1,746,668
--------- ---------
TOTAL NON-CURRENT ASSETS 1,666,377 1,746,668
--------- ---------
TOTAL ASSETS $9,760,594 $10,106,185
========== ===========
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<PAGE>
STATEMENTS OF CONSOLIDATED FINANCIAL CONDITION
AMERICAN LOCKER GROUP INCORPORATED AND SUBSIDIARIES
March 31, December 31,
1996 1995
--------- ------------
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Demand note payable $1,050,000 $1,400,000
Accounts payable and accrued expenses:
Trade 946,972 965,432
Related party 310,621 377,214
---------- ----------
1,257,593 1,342,646
Commissions, salaries, wages and
taxes thereon 187,120 348,549
Other accrued expenses 330,851 376,643
Federal and State income taxes payable 80,497 832,458
Current portion of long-term obligations 600,000 600,000
---------- ----------
TOTAL CURRENT LIABILITIES 3,506,061 4,900,296
DEFERRED INCOME TAXES 83,635 83,609
LONG-TERM OBLIGATIONS
Long-term debt, less current portion 1,150,000 300,000
Deferred pension income 232,584 232,584
Postretirement benefits 125,630 125,630
---------- ----------
1,508,214 658,214
---------- ----------
TOTAL NON-CURRENT LIABILITIES 1,591,849 741,823
---------- ----------
TOTAL LIABILITIES 5,097,910 5,642,119
STOCKHOLDERS' EQUITY
Common stock, par value $1 per share--
authorized 4,000,000 shares, issued
818,625 shares in 1996 and 818,876
in 1995 818,625 818,625
Other capital 1,258,805 1,258,805
Retained earnings 2,692,963 2,500,351
Foreign currency translation adjustment (107,709) (113,715)
---------- ---------
TOTAL STOCKHOLDERS' EQUITY 4,662,684 4,464,066
---------- ---------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $9,760,594 $10,106,185
========== ===========
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<PAGE>
See notes to consolidated financial statements.
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<PAGE>
STATEMENTS OF CONSOLIDATED INCOME
AMERICAN LOCKER GROUP INCORPORATED AND SUBSIDIARIES
Three Months Ended March 31,
1996 1995
------------- -----------
Net sales $4,946,120 $7,080,084
Cost of products sold 3,498,708 4,702,320
---------- ----------
1,447,412 2,377,764
Selling, administrative and
general expenses 1,150,043 1,197,698
---------- ----------
297,369 1,180,066
Interest and dividend income 7,360 17,133
Other income (expense)--net 64,513 77,639
Interest expense (40,243) (59,672)
---------- ---------
INCOME BEFORE INCOME TAXES 328,999 1,215,166
Income taxes 136,387 548,401
---------- ---------
NET INCOME $ 192,612 $ 666,765
========== =========
Per share of common stock:
NET INCOME $0.24 $0.78
========== =========
See notes to consolidated financial statements.
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<PAGE>
STATEMENTS OF CONSOLIDATED CASH FLOWS
AMERICAN LOCKER GROUP INCORPORATED AND SUBSIDIARIES
Three Months Ended March 31,
1996 1995
----------- ----------
Cash flows from operating activities:
Net income $ 192,612 $666,765
Adjustments to reconcile net income
to net cash provided by
operating activities:
Depreciation and amortization 156,054 91,063
Loss on disposition of property,
plant and equipment 288 0
Change in assets and liabilities:
Notes receivable 12,998 12,606
Account receivable (237,401) 1,251,837
Income taxes (751,961) 474,370
Inventories (147,029) (885,865)
Prepaid expenses (11,009) 2,852
Accounts payable and accrued
expenses (292,248) (103,274)
---------- ---------
NET CASH (USED IN) PROVIDED BY
OPERATING ACTIVITIES (1,077,696) 1,510,354
Cash flows from investment activities:
Purchase of property, plant
and equipment (76,418) (91,553)
Proceeds from sale of property,
plant and equipment 367 0
--------- ---------
NET CASH USED IN INVESTING ACTIVITIES (76,051) (91,553)
Cash flows from financing activities:
Additional borrowing long-term debt 1,000,000 0
Net payments under line of credit (350,000) (1,200,000)
Debt repayments (150,000) (150,000)
--------- ---------
NET CASH PROVIDED BY (USED IN)
FINANCING ACTIVITIES 500,000 (1,350,000)
--------- ----------
Effect of exchange rate changes in cash 6,006 4,254
--------- ----------
Net (decrease) increase in cash (647,741) 68,801
Cash and cash equivalents at beginning
of year 1,080,487 315,684
--------- ---------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $432,746 $388,739
========= =========
Supplemental cash flow information:
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<PAGE>
Cash paid during the quarter for:
Interest $ 40,243 $ 59,672
========= ========
Income Taxes $ 860,200 $ 73,000
========= =========
See notes to consolidated financial statements.
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<PAGE>
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
AMERICAN LOCKER GROUP INCORPORATED AND SUBSIDIARIES
1. The accompanying unaudited consolidated condensed financial
statements have been prepared in accordance with instructions to
Form 10-QSB and, in the opinion of the Company, include all
adjustments, consisting of normal recurring accruals, considered
necessary for a fair presentation of such condensed financial
statements. The condensed financial statements do not include
all information and footnotes normally associated with statements
of results of operations, financial condition, and cash flows
prepared in conformity with generally accepted accounting
principles.
2. Provision for income taxes is based upon the estimated
annual effective tax rate.
3. Net income per common share is computed by dividing net
income by the weighted average number of shares outstanding,
plus, when dilutive, the common stock equivalents which would
arise from the exercise of stock options, during the periods;
818,625 shares for the three months ended March 31, 1996 and
858,876 shares for the quarter ended March 31, 1995.
4. Inventories are valued at the lower of cost or market. Cost
is determined by using the last-in, first-out method for
substantially all of the inventories.
March 31, December 31,
1996 1995
--------- ------------
Raw materials $1,707,034 $1,240,253
Work-in-process 1,498,640 1,414,994
Finished goods 991,660 1,395,058
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$4,197,334 $4,050,305
Less allowance to
reduce carrying
value to LIFO
basis 1,274,690 1,274,690
---------- ----------
$2,922,644 $2,775,615
---------- ----------
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<PAGE>
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
AMERICAN LOCKER GROUP INCORPORATED AND SUBSIDIARIES
LIQUIDITY AND SOURCES OF CAPITAL
--------------------------------
The Company continues to have adequate resources and liquidity to
maintain and expand its operations. Working capital at March 31,
1996 was $3,506,061, up slightly $46,840 over working capital of
$3,459,221 at December 31, 1995. The ratio of current assets to
current liabilities was 2.3 to 1 at March 31, 1996, as compared
to a ratio of 1.7 to 1 at December 1995. Cash used in operations
was $1,078,000 during the first three months of 1996, compared to
cash provided by operating activities of $1,510,000 for the same
period in 1995. Cash on hand and additional borrowings of long-
term debt were primarily used to pay 1995 income taxes, salaries,
and sales commissions, and build inventories. Approximately
$2,000,000 of the Company's $3,000,000 line of credit is
available to assist in satisfying future working capital needs,
if required.
The Company anticipates that its requirements for funds for
operations and capital expenditures will be provided principally
from cash generated from future operations.
FIRST THREE MONTHS 1996 VS FIRST THREE MONTHS 1995
--------------------------------------------------
First quarter 1996 sales were $4,946,000 compared to $7,080,000
in the first quarter of 1995. This was a decrease of $2,135,000
or 30.1%. Plastic locker sales in the first quarter were
$2,560,000 compared to $4,541,000 during the same period in 1995.
$1,725,000 of such plastic sales this year were the Cluster Box
Units (CBUs) compared to $3,535,000 in the first quarter of last
year, a decline of $1,810,000, or 51.2%. The sales of plastic
parcel units (NBU-P also called Outdoor Parcel Units, OPL) were
$836,000 in the first quarter of this year compared to $1,007,000
in the like quarter of last year, a decline of $171,000, or
16.9%. Sales of metal, mechanical and electronic lockers were
$2,386,000 in the first quarter of this year compared to
$2,538,000 in the like quarter of last year, a decline of
$152,000, or 6%.
Sales of plastic parcel units and other products in the first
quarter of 1996 were adversely affected by severe weather
conditions in much of the country which made outdoor installation
of such products more difficult. As previously reported, the
Company entered into a new one year contract with the United
States Postal Service (USPS) effective April 15, 1996 under which
the USPS agreed to purchase 60% of its CBU and OPL requirements
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<PAGE>
from the Company. Because orders under this contract are
received from various regional and local USPS offices, it is
difficult to predict the level of orders under this contract for
the remainder of 1996. The Company does anticipate, however,
that a second model CBU will be approved by the USPS during the
second quarter of 1996 and that a third model CBU may be approved
during the third quarter of 1996.
The first major scheduled release of CBU's was completed in the
first quarter of 1995. First quarter 1995, CBU shipments
totalled 3,633 units, compared to 1,748 units shipped in the
first quarter of 1996.
Consolidated costs of products sold as a percentage of sales was
70.7% during the first quarter of 1996 compared to 66.4% in the
quarter of 1995. Decreased gross margins are directly related to
reduced sales volumes.
Selling, general, and administrative costs for the first quarter
of 1996 compared to the same period in 1995 ($1,150,000 - 1996;
$1,198,000 - 1995), decreased 4.0%. Selling, general, and
administrative costs represented 23.3% of sales in the first
quarter of 1996, up from 16.9% of sales for the same period in
1995.
Other income net of $64,500 in the first quarter of 1996 was down
$13,000 from $77,600 recorded in the quarter of 1995, principally
due to less discounts earned from the purchase of materials for
the CBU product.
Interest expense in the first quarter of 1996 decreased $19,000
from 1995 due to a decrease in the average balance outstanding
under the Company's working capital line of credit.
PART II
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
Exhibit 10 Material Contracts
Exhibit 27 Financial Data Schedule dated March 31,
1996.
(b) The Company did not file any reports on Form 8-K
during the three months ended March 31, 1996.
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<PAGE>
SIGNATURE
-----------
In accordance with the requirements of the Exchange Act, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
AMERICAN LOCKER GROUP INCORPORATED
(Registrant)
/s/ Harold J. Ruttenberg
----------------------------------
Harold J. Ruttenberg
Chairman, Chief Executive Officer,
Treasurer and Principal Accounting
Officer
Date: May 14, 1996
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<PAGE>
Exhibit Index
Prior Filing or
Sequential Page
Exhibit No. No. Herein
----------- ---------------
10.1 Contract dated March 27, 1996 __
between the U.S. Postal Service
and American Locker Security
Systems, Inc.
27.1 Financial Data Schedule __
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EXHIBIT 10.1
U.S. POSTAL SERVICE: OFFER AND AWARD STANDARD
1. CONTRACT NUMBER 072368-96-B-0741
2. SOLICITATION NUMBER: 072368-96-A-0099
3. REQUEST NUMBER: 96-00756 4. SOC/EC: A
5. COMMODITY: 7110KN
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6. a. ISSUED BY: ACO CODE: 072368
U.S. POSTAL SERVICE
DENVER PURCHASING & MATERIALS SERVICE CENTER
3300 S PARKER RD SUITE 400
AURORA CO 80014-3500
b. FOR INFORMATION CALL:
Name: Karen S. Harris
Title: Purchasing Specialist
Tel: (303) 369-1224
(No Collect Calls)
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7. a. OFFEROR/CONTRACTOR
AMERICAN LOCKER SECURITY SYSTEMS INC
PO BOX 489
JAMESTOWN, NY 14702-0489
b. Contact Name: ROY J. GLOSSER
c. Telephone No.: (800) 828-9118
d. TIN/SSN: 16-1068506
e. Parent TIN: 16-0338330
TIN=Taxpayer Identification Number
f. Remittance Name and/or Address: (If different from
above)
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8. DELIVERY/PERFORMANCE REQUIREMENTS:
See Section C
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9. ITEMS & PRICES/GENERAL DESCRIPTION OF REQUIREMENT:
See Section A
COPY
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10. DISCOUNT FOR PROMPT PAYMENT:
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11. a. ACCEPTED AS TO ITEMS NUMBERED: 60% Items 01,02,03 &
07* (Completed by USPS)
25% Item 08 (OPL Pedestal
Only) *
b. GRAND TOTAL: $0 c. NET TOTAL:
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12. BILLING INSTRUCTIONS (Submit Invoices to):
<PAGE>
INVOICES TO BE SUBMITTED TO CREDIT CARD HOLDER PLACING
DISTRICT ORDERING OFFICIAL OR ORDER.
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13. SIGNATURES: OFFEROR/CONTRACTOR U.S. POSTAL SERVICE
/s/ Roy J. Glosser 2/21/96 Roy C. Sandusky 3/27/96
------------------- -------- ------------------ ---------
Signature Date Signature Award Date
ROY J. GLOSSER, JR. ROY C. SANDUSKY
-------------------- --------------------
Name of Person Authorized to Name of Contracting Officer
Sign Offer
VP OPERATIONS
---------------
Title
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Distribution: Original - File Copy - Contractor
Items 01-03 - Min. = 6,000, Max. = 24,000 units
Item 07 - Min. = 1,424, Max. = 21,000
Item 08 - Min. = 2, Max. = 7,500
<PAGE>
072368-96-A-0099
TABLE OF CONTENTS PAGE
U.S. POSTAL SERVICE SOLICITATION: STANDARD
U.S. POSTAL SERVICE: OFFER AND AWARD STANDARD . . . . . . . . 1
PART 1 - SCHEDULE . . . . . . . . . . . . . . . . . . . . . . . 2
SECTION A - ITEMS AND PRICES . . . . . . . . . . . . . . . . . 2
A.1 ACKNOWLEDGMENT OF AMENDMENTS (Clause
OB-199) (August 1988) . . . . . . . . . . . . . . . 4
SECTION B - SPECIFICATIONS/STATEMENT OF WORK . . . . . . . . . 5
B.1 STATEMENT OF WORK/SPECIFICATIONS (Clause
OB-7) (October 1992) . . . . . . . . . . . . . . . . 5
SECTION C - DELIVERY/PERFORMANCE . . . . . . . . . . . . . . 7
C.1 CLAUSES INCORPORATED BY REFERENCE . . . . . . . . . 7
C.2 PERIOD OF PERFORMANCE (Clause OB-12) (June 1988) . 7
Alternate III
C.3 WARRANTY (Clause 2-8) (October 1987) . . . . . . . 7
C.4 DEFINITION OF DELIVERY TERMS AND CONTRACTOR'S . . . . 8
RESPONSIBILITIES (Clause 2-9) (February 1990)
C.5 TRANSPORTATION COST ADJUSTMENT (F.O.B.
DESTINATION)(Clause OB-113) (July 1988) . . . . . . 11
C.6 ORDERING . . . . . . . . . . . . . . . . . . . . . 11
C.7 OFFICES AUTHORIZED TO PLACE ORDERS(Clause OB-40)
(September 1988) . . . . . . . . . . . . . . . . . 12
C.8 DELIVERY-ORDER LIMITATIONS . . . . . . . . . . . . 12
C.9 INDEFINITE QUANTITY (Clause 5-14)
(October 1987) . . . . . . . . . . . . . . . . . . 12
C.10 SHIPMENT CONFIRMATION REQUIREMENT . . . . . . . . . 13
C.11 REPORTS . . . . . . . . . . . . . . . . . . . . . 13
C.12 FAILURE TO DELIVER WITHIN FOURTEEN (14) . . . . . . 13
DAYS AFTER RECEIPT OF ORDER
C.13 LIQUIDATED DAMAGES . . . . . . . . . . . . . . . . 14
SECTION D - PACKAGING AND MARKING . . . . . . . . . . . . . . 15
D.1 MARKING REQUIREMENTS (Clause OB-33) (September 1988) 15
D.2 PRESERVATION AND PACKAGING (Clause
OB-32) (June 1988) . . . . . . . . . . . . . . . . 15
D.3 SPECIAL INSTRUCTIONS . . . . . . . . . . . . . . . 15
SECTION E - INSPECTION AND ACCEPTANCE . . . . . . . . . . . . 16
E.1 CLAUSES INCORPORATED BY REFERENCE . . . . . . . . 16
E.2 CERTIFICATE OF CONFORMANCE (Clause B-5)
(October 1987) . . . . . . . . . . . . . . . . . . 16
E.3 CONTRACTING OFFICER'S REPRESENTATIVE (COR) . . . . 16
(Clause OB-21) ALTERNATE I (June 1988)
E.4 DELEGATION OF INSPECTION AND ACCEPTANCE . . . . . 17
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<PAGE>
072368-96-A-0099
TABLE OF CONTENTS PAGE
Clause OB-34) (June 1988)
E.5 QUALITY ASSURANCE (Clause 2-3) (January 1991) . . . 17
SECTION F - PAYMENT AND FUNDING . . . . . . . . . . . . . . . 18
F.1 CLAUSES INCORPORATED BY REFERENCE . . . . . . . . . 18
F.2 INVOICES (Clause B-20) (June 1988) . . . . . . . . 18
F.3 PAYMENT DUE DATE (Clause OB-22) (June 1988) . . . . 19
F.4 METHOD OF PAYMENT (Clause OB-23) (June 1988) . . . 19
SECTION G - SPECIAL CLAUSES . . . . . . . . . . . . . . . . . 21
G.1 CONTRACT TYPE (Clause B-3) (February 1991) . . . . 21
G.2 ORDER OF PRECEDENCE (Clause B-29) (February 1991) . 21
PART 2 - CLAUSES AND ATTACHMENTS . . . . . . . . . . . . . . 22
SECTION H - GENERAL CLAUSES . . . . . . . . . . . . . . . . . 22
H.1 CLAUSES INCORPORATED BY REFERENCE . . . . . . . . . 22
H.2 CHANGES (Clause B-2) (October 1987) . . . . . . . 22
H.3 CLAIMS AND DISPUTES (Clause B-9) (June 1988) . . . 23
H.4 PRICING OF ADJUSTMENTS (Clause B-10) (October 1987) 24
H.5 TERMINATION FOR CONVENIENCE (Clause B-11) . . . . . 25
(October 1987)
H.6 TERMINATION FOR DEFAULT (Clause B-13) (October 1987)
27
H.7 OPTION TO EXTEND THE TERM OF THE CONTRACT . . . . 28
(Clause 2-20) (October 1987)
H.8 PRICE REDUCTION FOR DEFECTIVE COST OR PRICING DATA 29
(Clause 5-22) (July 1995)
H.9 SUBCONTRACTOR COST OR PRICING DATA (Clause 5-23) . 29
(October 1987)
H.10 QUALIFICATION REQUIREMENTS--COMPONENTS OF END ITEMS 29
(Clause OB-52) (June 1988)
SECTION I - LIST OF ATTACHMENTS . . . . . . . . . . . . . . . 31
PART 3 - SOLICITATION PROVISIONS . . . . . . . . . . . . . . 32
SECTION J - INSTRUCTIONS TO OFFERORS . . . . . . . . . . . . 32
J.1 SUBMISSION OF FINANCIAL STATEMENTS (Provision OA-27) 32
(July 1988)
J.2 TYPE OF CONTRACT (Provision 5-1) (October 1987) . 32
J.3 AMENDMENTS TO PROPOSALS (Provision OA-3)
(June 1988) . . . . . . . . . . . . . . . . . . . . 32
J.4 INSTRUCTIONS FOR THE PREPARATION OF TECHNICAL . . . 33
AND/OR BUSINESS PROPOSALS
SECTION K - SOLICITATION NOTICES AND PROVISIONS . . . . . . . 34
K.1 PROVISIONS INCORPORATED BY REFERENCE . . . . . . . 34
K.2 LABOR INFORMATION (Provision A-13) (October 1987) . 34
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<PAGE>
072368-96-A-0099
TABLE OF CONTENTS PAGE
K.3 WARRANTY INFORMATION (Provision 2-1) (October 1987) 34
K.4 NOTICE OF SMALL, MINORITY-OWNED, AND WOMAN-OWNED . 34
BUSINESS SUBCONTRACTING REQUIREMENTS
(Provision 10-1) (February 1992)
K.5 PREAWARD EQUAL OPPORTUNITY COMPLIANCE REVIEW . . . 35
(Provision 10-5) (April 1989)
K.6 POSTAWARD ORIENTATION CONFERENCE (Provision OA-5) . 35
(June 1988)
K.7 NOTICE OF PREAWARD SURVEY (Provision OA-34) . . . . 35
(June 1988)
K.8 PREQUALIFIED SOURCES OR SERVICE SUPPLIERS AND APPROVED
PRODUCTS (Provision OA-38) (June 1988) . . . . . . 36
SECTION L - REPRESENTATIONS AND CERTIFICATIONS . . . . . . . 37
L.1 TYPE OF BUSINESS ORGANIZATION (Provision A-20) . . 37
(December 1989)
L.2 PARENT COMPANY AND TAXPAYER IDENTIFICATION NUMBER . 38
(Provision A-21) (October 1987)
L.3 AUTHORIZED NEGOTIATORS (Provision A-22)
(October 1987) . . . . . . . . . . . . . . . . . . 39
L.4 PLACE OF PERFORMANCE (Provision A-23)
(October 1987) . . . . . . . . . . . . . . . . . . 39
L.5 CERTIFICATE OF INDEPENDENT PRICE DETERMINATION . . 39
(Provision 1-1) (October 1987)
L.6 CONTINGENT FEE REPRESENTATION (Provision 1-2)
(October 1987) . . . . . . . . . . . . . . . . . . 40
L.7 REGULAR DEALER/MANUFACTURER REPRESENTATION (Provision
10-2) (October 1987) . . . . . . . . . . . . . . . 40
L.8 CERTIFICATION OF NONSEGREGATED FACILITIES
(Provision 10-3) (October 1987) . . . . . . . . . . 41
L.9 EQUAL OPPORTUNITY AFFIRMATIVE ACTION PROGRAM . . . 41
(Provision 10-4) (April 1989)
L.10 BUY AMERICAN CERTIFICATE--SUPPLIES (Provision 10-7) 42
(October 1987)
L.11 CLEAN AIR AND WATER CERTIFICATION (Provision 10-9) 42
(October 1987)
SECTION M - EVALUATION AND AWARD FACTORS . . . . . . . . . . 43
M.1 EVALUATION OF PROPOSALS FOR MULTIPLE AWARDS . . . 43
M.2 EVALUATION OF OPTIONS . . . . . . . . . . . . . . 43
M.3 EVALUATION QUANTITIES -- INDEFINITE DELIVERY
CONTRACT . . . . . . . . . . . . . . . . . . . . . 43
M.4 CONTRACT AWARD AND PROPOSAL EVALUATION . . . . . . 43
M.5 ADRESSING THE TECHNICAL/MANAGEMENT EVALUATION
CRITERIA . . . . . . . . . . . . . . . . . . . . . . . . 44
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<PAGE>
072368-96-A-0099
TABLE OF CONTENTS PAGE
INSTRUCTIONS FOR QUARTERLY REPORT OF SMALL, MINORITY-OWNED, . . 1
AND WOMAN-OWNED BUSINESS SUBCONTRACTS
QUARTERLY REPORT OF SMALL, MINORITY-OWNED . . . . . . . . . . 2
AND WOMAN-OWNED BUSINESS SUBCONTRACTS
- 6 -
<PAGE>
072368-96-A-0099
Section A
PART 1 - SCHEDULE
-----------------
SECTION A - ITEMS AND PRICES
----------------------------
The contractor shall provide Neighborhood Delivery &
Collection Box Units (NDCBUs), Outdoor Parcel Lockers (OPLs),
Cluster Box Units (CBUs), and replacement pedestals as listed
below on an FOB Destination basis (for the purpose of loss);
however, contractor must pre-pay freight and add actual freight
cost as a separate line item to the CBU/NDCBU/OPL invoice. For
evaluation purposes, please insert dock price (origin) on lines
provided below. Price for CBU, NDCBU, and OPL includes box and
pedestal.
NOTE: Contractor may only complete pricing information on those
units that have been tested for compliance with Postal Service
requirements and are approved for purchase.
ITEM SUPPLIES/ QTY UNIT UNIT PRICE($) EXT. PRICE($)
NO SERVICES
01 CBU Type I
(Minimum Quantity) 3,333 Ea. 928.85 3,095,857.05 (1)
------- --------------
02 CBU Type II
(Minimum Quantity) 3,333 Ea. 1012.99 (2)
------- ---------------
03 CBU Type III
(Minimum Quantity) 3,333 Ea. 992.92 3,309,402.36 (1)
------ ---------------
Sub Total 9,806,352.60
-------------
04 NDCBU Type I
(Minimum Quantity) 1,089 Ea. NO BID
------ ---------------
05 NDCBU Type II
(Minimum Quantity) 1,884 Ea. NO BID
------ ----------------
06 NDCBU Type III
(Minimum Quantity) 2,973 Ea. NO BID
------ -----------------
Sub Total ------------------
07 OPL
(Minimum Quantity) 2,373 Ea. 229.32 544.176.36
------- ------------------
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072368-96-A-0099
Sub Total 544,176.36
-------------------
08 Replacement Pedestals 75.00
(Minimum Quantity) 12 Ea. (3)
------------------
Sub Total
------------------
Grand Total 10,350,528.96
-----------------
SEE ATTACHED PAGE 2A FOR NOTES 1, 2 AND 3
The period of performance for items 01 through 08 is for one year
after award of the contract.
OPTIONS:
The contract may be renewed, at the option of the Postal Service
for the following terms:
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072368-96-A-0099
Offeror: American Locker Security Systems
Solicitation: 072368-96-A-0099
Date: 2/23/96
CLIN: 01,02,03,07
ATTACHMENT TO PAGE 2
-----------------------
Notes:
(1) Reduce price by $72.45 per unit after a total of 20,000 Type
I and III units combined. See Schedule J4b7 for tooling
recovery detail.
(2) Reduce price by $28.58 per unit after 15,000 Type II units.
See Schedule J4b7 for tooling recovery detail.
(3) Replacement Pedestal pricing:
OPL pedestal $75.00 ea
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072368-96-A-0099
Section A
Option 1 - one year from the expiration of the original term
Option 2 - one year from the expiration of the first option term
Option 3 - one year from the expiration of the second option term
Option 4 - one year from the expiration of the third option term
provided that notice is sent, in writing, to the contractor, at
least sixty (60) days before the end of the preceding contracting
term. Vendors may request price adjustments during the sixty day
period by submitting a complete pricing proposal as described in
Section J.4. All other terms and conditions of this contract
will remain the same during any renewal term unless stated
otherwise herein.
NOTES:
Award will be made to the offeror(s) whose proposal(s)
contain(s) the combination of those evaluation criteria offering
the best overall value to the Postal Service. This will be
determined by comparing differences in the value of technical and
management features with differences in cost to the Postal
Service. In making this comparison, the Postal Service is
concerned with striking the most advantageous balance between
technical and management features and cost to the Postal Service.
The Postal Service is only obligated to purchase a combined
total of 10,000 (any combination of Items 01, 02, and 03), a
combined total of 5,946 (any combination of Items 04, 05, and
06), a total of 2,373 of Item 07, and 12 of Item 08, during the
initial period of performance. The total minimum requirement in
each classification (NDCBUs and CBUs is divided among Type I,
Type II, and Type III for evaluation purposes only.
If more than one award is made, percentages of the minimum
totals will be distributed among the successful contractors based
on Postal needs and current vendor production capabilities.
In the event Neighborhood Delivery and Collection Box Units
(NDCBUs) and Outdoor Parcel Lockers (OPLs) are removed from the
contract during the initial period of performance, it is
envisioned additional CBUs will be ordered.
Minimum and maximum quantities for part or all of the items
will be renegotiated prior to exercising each option year based
on Postal needs and the success of Postal efforts to convert from
the use of NDCBUs and OPLs to CBUs.
Maximum expected usage during the initial term of the
contract is as follows: a combined total of 40,000 for Items 01,
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072368-96-A-0099
02, and 03, a combined total of 75,000 for Items 04, 05, and 06,
a total of 35,000 for item 07, and a total of 30,000 for Item 08.
WARRANTY: The unit price includes warranty costs of providing
warranty coverage for a period of 24 (offeror to insert #) months
after delivery of the Neighborhood Collection Box Unit(NDCBU),
Outdoor Parcel Locker(OPL), or Cluster Box Unit(CBU). Provisions
of the warranty are pursuant to Section C.3, (Clause 2-8)
(October 1987) and Section K.3, (Provision 2-1) October 1987).
NOTE: SEE ATTACHED WARRANTY DESCRIPTION
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072368-96-A-0099
WARRANTY
Contractor warrants that the Cluster Box Units (CBU's) and
Outdoor Parcel Lockers (OPL's) supplied under this Contract will
be free from defects in materials and workmanship under normal
use and service for a period of two years after delivery to the
United States Postal Service. This warranty shall exclude
(i) components supplied or specified by the Postal Service
including the patron's lock, the "Arrow" lock, and the "306P"
lock; (ii) damage to CBU's/OPL's caused by abuse, misuse,
vandalism or accident; and (iii) obligations for the actual
removal of defective components and installation of replacement
components. The obligations of Contractor under this warranty
shall be limited to the repair or replacement of the defective
part at Contractor's election and expense and the delivery by
Contractor, freight prepaid, of such repaired or replacement part
to the location where the CBU/OPL was originally delivered.
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072368-96-A-0099
Section A
A.1 ACKNOWLEDGMENT OF AMENDMENTS (Clause OB-199) (August 1988)
The offeror acknowledges receipt of amendments to the
solicitation numbered and dated as follows:
Amendment Number Date Amendment Number Date
A01 1/25/96
---------------- -------- ------------------ -------
---------------- -------- ------------------ -------
---------------- -------- ------------------ -------
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072368-96-A-0099
SECTION B - SPECIFICATIONS/STATEMENT OF WORK
--------------------------------------------
B.1 STATEMENT OF WORK/SPECIFICATIONS (Clause OB-7)
(October 1992)
This is an Indefinite Quantity/Indefinite Delivery
contract implementing the "Just-In-Time" principles
described below.
Just-In-Time as used in this solicitation is defined as
a partnering relationship between the vendor and the U S
Postal Service whereby the vendor agrees to produce, store,
and deliver the requested supplies in a manner to allow
Postal facilities to order on an as-needed basis.
In this particular solicitation, the delivery
requirement is fourteen (14) days from the date the supplier
receives a request from an Ordering Official to receipt of
the equipment at the destination.
In keeping with the Postal objectives to minimize the
amount of equipment warehoused, a "Just-In-Time" delivery
proposal for this procurement shall be prepared by the
vendor (See Section J). The proposal shall include a plan
and method to distribute equipment to Postal field offices
nationwide on demand. See Section M.4 for evaluation
criteria that must also be addressed in the proposal. In
addition to the solicitation and proposal, the vendor must
submit a full Bill of Materials (e.g., materials, labor, OH,
GA & profit) for each item to be supplied.
The contractor must furnish the necessary personnel,
material, equipment, services, and facilities (except as
otherwise specified) to perform the Specifications/Statement
of Work described in this Section.
The contractor shall provide telecommunications
including facsimile machine and automated data processing
equipment for data entry and printing of electronic
information to be used for orders, reports, shipping labels
and shipment notices (post cards or similar correspondence).
The automated data processing equipment should consist of a
personal computer, keyboard, modem, printer and software,
that at a minimum, are capable of accepting ASCII files.
The Postal Service shall provide order and shipping
information from the field by mail or fax using the
One-Page Delivery Order form (see attached sample), in
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072368-96-A-0099
electronic format from a Postal Service computer, or orally
using the VISA credit card.
At the outset of the program, orders are to be placed
by the Administrative Support Office or the Growth
Coordinator in each of the eighty-five U S Postal Service
District Offices using the One-Page Delivery Order form or
orally by any authorized VISA credit card holder (in
accordance with U S Postal Service Handbook AS709, credit
card orders may not exceed $10,000).
The Postal Service may install a process to provide
order and shipping information in electronic format from a
Postal Service host computer located at Inventory Control in
Topeka, KS, or via e mail through a direct order process
using an enhanced version of the Approved Sources Delivery
Management System (ASDMS) developed by USPS Quality
Improvement. Data format will be in flat files or other
format as agreed to by the contractor and the Postal
Service.
Requestor may mix and match NDCBUs/OPLs and CBU types,
but in the event an order is in excess of 100 units, or if
one District requests in excess of 300 units in one month,
the vendor must assess his ability to supply the requested
quantity without jeopardizing the program. If it appears
the order(s) will cause a delay in shipment of any other
order under the program, the vendor must refuse the order or
coordinate with the Manager of the affected District's
Purchasing and Materials Service Center.
Vendors shall consider any and all post offices as
possible shipping destinations. At the outset of the
program, freight on all orders will be FOB Destination for
the purpose of loss; however, vendor must prepay freight and
add the actual freight cost as a separate line item on the
CBU/NDCBU/OPL invoice. A copy of the freight bill must be
attached to the invoice. The vendor is to mail invoices for
boxes and freight to the Ordering Official for certification
and payment.
As the program develops, the "pre-pay and add actual
freight" arrangement may be replaced with Government Bill of
Ladings provided to the vendor by the Postal Service. If
this occurs, the contract delivery terms will be changed to
FOB Origin.
Vendor must provide monthly reports of all orders and
shipments to those District Ordering Officials who placed
orders during the preceding month, and a summary report of
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072368-96-A-0099
all orders placed to the Contracting Officer Representative
located at the Denver Purchasing and Materials Service
Center (Section E.3).
WARRANTY: The supplies delivered under this contract
shall be warranted for the period inserted by the vendor in
the last paragraph of Section A, Items and Prices.
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072368-96-A-0099
SECTION C - DELIVERY/PERFORMANCE
--------------------------------
C.1 CLAUSES INCORPORATED BY REFERENCE
The following clauses are incorporated by reference as
if set forth in full text. The full text versions of these
clauses are available upon request. Procurement Manual
(USPS Publication 41) references are shown in parentheses.
CLAUSE
NUMBER DATE TITLE
B-6 October 1987 RECEIVING REPORTS
B-15 October 1987 NOTICE OF DELAY
B-16 October 1987 SUSPENSIONS AND DELAYS (PM B.2.1)
B-19 October 1987 EXCUSABLE DELAYS (PM B.2.1)
C.2 PERIOD OF PERFORMANCE (Clause OB-12) (June 1988)
Alternate III
The performance period and time of delivery will be
specified in each delivery/task order issued under this
contract.
C.3 WARRANTY (Clause 2-8) (October 1987)
a. The contractor warrants, for the period specified
in the Schedule, that all supplies furnished under this
contract, including packaging and markings, will be free
from defects in material or workmanship and will conform
with the specifications and all other requirements of this
contract.
b. Within the time specified ln the Schedule, the
contracting officer must give written notice to the
contractor of any breach of warranty and either -
1. Require the prompt correction or replacement
of any defective or nonconforming supplies; or
2. Retain them, reducing the contract price by an
amount equitable under the circumstances.
c. When return for correction or replacement is
required, the contractor is responsible for all costs of
transportation and for risk of loss in transit.
d. If the contractor fails or refuses to correct or
replace the defective or nonconforming supplies, the
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072368-96-A-0099
contracting officer may correct or replace them with similar
supplies and charge to the contractor any cost to the Postal
Service. In addition, the contracting officer may dispose
of the nonconforming supplies, with reimbursement from the
contractor or from the proceeds for excess costs.
e. Any supplies corrected or furnished in replacement
are subject to this clause.
f. "Supplies," as used in this clause, includes
related services.
g. The rights and remedies of the Postal Service
provided in this clause are in addition to, and do not
limit, any rights afforded to the Postal Service by any
other clause of the contract.
C.4 DEFINITION OF DELIVERY TERMS AND CONTRACTOR'S
RESPONSIBILITIES (Clause 2-9) (February 1990)
a. If the contract specifies f.o.b. destination, the
following apply:
1. F.o.b. destination. Delivery, free of expense
to the Postal Service, to the specified delivery point.
2. F.o.b. destination, within the consignee's
premises. Delivered free of expense to the Postal Service,
within the doors of the specified building, including
delivery to specific rooms when specified.
3. The contractor must:
(a) Pack and mark shipments to comply with
contract specifications or, in their absence, prepare
shipments in accordance with carrier requirements;
(b) Prepare and distribute commercial bills of
lading;
(c) Be responsible for loss or damage occurring
before receipt at the specified point of delivery;
(d) Furnish a delivery schedule and designate mode
of delivery;
(e) Bear all delivery costs to the specified point
of delivery; and
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072368-96-A-0099
(f) Deliver goods, that meet the prescribed
physical limitations of the current USPS Domestic Mail
Manual, either by its own personnel/equipment or by use of
the United States Postal Service, unless the contracting
officer grants a waiver of this requirement.
b. If the contract specifies delivered postal
facility, door, platform, or private siding, the following
apply:
1. Delivered postal facility, door, platform, or
private siding. Delivery free of expense to the Postal
Service:
(a) To the door of postal facilities having no
platforms or private siding;
(b) On the platform at postal facilities having
platforms but no private siding; or
(c) On the private siding at postal facilities
having private siding.
2. In addition to fulfilling the requirements of
the Responsibility for Supplies clause, the contractor must:
(a) Pack and mark shipments to protect the goods
from normal transportation hazards, promote prompt delivery,
and comply with packing and marking specifications of the
contract;
(b) Unload material at the door or on the platform
in the case of b.1(a) and (b) above, free of expense to the
Postal Service;
(c) Properly prepare and distribute commercial
bills of lading; and
(d) Be responsible for loss or damage occurring
before delivery to the specified delivery point.
c. If the contract specifies f.o.b. origin, the
following apply:
1. F.o.b. origin:
(a) Delivery on board the indicated type of
conveyance of the carrier (or of the Postal Service), free
of expense to the Postal Service, to the specified point
from which the shipment will be made and from which line
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072368-96-A-0099
haul transportation service (as distinguished from
switching, local drayage, or other terminal service) begins;
or
(b) Delivered by the contractor, free of expense
to the Postal Service, to any Postal Service designated
point located within the same commercial zone (as prescribed
by the Interstate Commerce Commission) as the f.o.b. point
named in the contract.
2. The contractor must:
(a) Pack and mark shipments to comply with
contract specifications or, in their absence, prepare the
shipment in accordance with carrier requirements and good
commercial practices and secure the lowest applicable
transportation charge.
(b) Order specified carrier equipment when
requested by the Postal Service. Otherwise, order
appropriate carrier equipment not in excess of capacity to
accommodate the shipment.
(c) When loaded by the contractor, load, stow,
trim, block, and/or brace shipments as required by the
carrier's rules and regulations.
(d) Be responsible for loss or damage occurring
before delivery to the carrier; and for loss or damage due
to improper packing/marking and, when loaded by the
contractor, from improper loading, stowing, trimming,
blocking, and/or bracing of the shipment.
(e) Complete the Government bill of lading
supplied by the Postal Service or, when none is supplied,
prepare a commercial bill of lading or other transportation
receipt, to show:
(1) A description of the shipment in terms of
the governing freight classification or tariff under which
the lowest freight rates are applicable;
(2) The seals affixed to the conveyance,
including the serial number on them, or other
identification;
(3) The length and capacity of cars or trucks
ordered and furnished;
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072368-96-A-0099
(4) Other pertinent information required to
effect prompt delivery to the consignee, including the
routing and the name, delivery, and postal address of the
consignee;
(5) Special instructions or annotations
requested by the Postal Service for commercial bills of
lading; for example:
(i) "To be converted to a Government
bill of lading," and
(6) The signature of carrier's agent and date
the shipment is received.
(f) Distribute the bill of lading, or other
transportation receipt, as directed by the Postal Service.
(g) Supply with each invoice a memorandum copy of
the Government bill of lading, clearly indicating the
signature of the carrier's agent, date of pickup and the
weight accepted by the carrier. If the weight is determined
by the carrier after pickup, it must be annotated on the
memorandum copy of the Government bill of lading along with
the following:
"I certify that the weight information is that obtained
from the carrier.
Signed: "
--------------------------
3. F.o.b. origin prices include delivery by the
contractor, free of expense to the Postal Service, to any
Postal Service designated point located within the same
commercial zone (as prescribed by the Interstate Commerce
Commission) as the f.o.b. point named in the contract.
4. Where delivery is to be made to points not included
under paragraph 3 above, either of the following apply:
(a) If the Postal Service has not specified
otherwise, the contractor must ship on Government bills of
lading.
(b) If the Postal Service specifies that shipment
is to be made on endorsed commercial bills of lading for
transportation charges up to $100, the contractor will be
required to prepay all transportation charges, not to exceed
$100, per shipment, as follows:
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072368-96-A-0099
(1) Delivery to the door of the specified
destination by freight or express common carriers on
articles for which store-to-door delivery is provided free,
or subject to a charge pursuant to published tariffs or
schedules filed with the Federal and/or State regulatory
bodies governing such carriers.
(2) Delivery to siding at destination if not
covered under (1) above.
(3) Delivery to the freight station nearest
destination if not covered under (1) or (2) above.
(4) The contractor must annotate the commercial
bill of lading as follows:
"Property of the United States Postal Service."
(5) The actual transportation costs, not to exceed
$100 per shipment, will be added to the contractor's invoice
as a separate item. The cost must be based on the lowest
published rate on file with the Interstate Commerce
Commission or any State regulatory body. They must be
supported by freight or express receipts marked "prepaid."
If receipts are not obtainable, annotate the invoice as
follows:
"I certify that the items identified on this invoice
were shipped prepaid and freight or express receipts in
support thereof are not obtainable:
----------------------------------------------
Name
Destination: _____________________________
Names of carriers: _______________________
Weight of shipment: ______________________
Transportation charges claimed: __________"
5. The Postal Service reserves the right to specify
the mode of transportation and routing to be employed.
C.5 TRANSPORTATION COST ADJUSTMENT (F.O.B. DESTINATION) (Clause
OB-113) (July 1988)
The contracting officer may direct a mode of
transportation different from that planned by the contractor
at time of contract award. If this directed mode results in
an increased or decreased transportation cost to the
contractor, the contractor shall make the cost adjustment to
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072368-96-A-0099
the contractor's invoice as a separate line item and support
the adjustment with the following certification:
I certify that the [check one] ( ) increased ( )
decreased transportation cost for the item(s) cover by
[enter contract number] resulted from the direction of a
mode of transportation not planned by the contractor at time
of contract award.
_______________________________________________________
Signature of Contractor's Representative Date
C.6 ORDERING
a. Supplies or services to be furnished under this
contract will be ordered by issuance of delivery orders,
electronic orders, or credit card orders during the period
and by the activities specified in the Schedule.
b. Orders may be issued in writing, orally, by fax,
electronically, or by e mail. Credit card phone orders or
orders sent by fax, electronically or by e mail are
considered received the same day if sent before 2:00 p.m.,
Eastern Standard Time. If order is sent after 2:00 p.m.
Eastern Standard Time, it will be considered received on the
following work day (Monday through Friday, excluding
holidays). The delivery time period starts on the date of
receipt at vendors place of business for orders sent by
mail.
c. All orders are subject to the terms and conditions
of this contract. If there is any conflict between a
delivery order, credit card order, fax order, e mail order,
or electronic order and this contract, the contract is
controlling.
C.7 OFFICES AUTHORIZED TO PLACE ORDERS (Clause OB-40)
(September 1988)
Supplies or services to be furnished under this
contract will be ordered by the issuance of delivery orders
from the following offices only:
The eighty-five District Offices or the ten Purchasing
and Materials Service Centers may use the One-Page Delivery
Order form to place orders. The Ordering Official from each
District will be either the Growth Coordinator or an
appointee from the Administrative Support Office. A list of
current Ordering Officials is provided as an attachment to
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072368-96-A-0099
this document. Any authorized VISA credit card holder may
place orders using the credit card.
In the event an electronic ordering process is put in
place, the Postal Service will advise the contractor of
those individuals or offices authorized to place orders.
C.8 DELIVERY-ORDER LIMITATIONS
a. The Postal Service is only obligated to purchase
the minimum quantities listed in Section A, Items and Prices
for each class of items, for example, NDCBUs, OPLs, or CBUs
(the amount awarded may be a percentage of the minimum
quantity listed if multiple awards are made).
b. Each Postal District is prohibited from ordering in
excess of 100 units in any single order, or 300 during any
monthly period without the vendor's assurance that the
Just-In-Time 14-day delivery requirement of the contract
will not be jeopardized and that acceptance of excess
quantities from one District will not prohibit other
Districts from placing orders against the contract.
c. If it is the contractor's intent not to honor an
order received, the contractor must return the order to the
ordering office within two hours after issuance, with a
faxed notice rejecting the order and providing the reason
for rejection. If the faxed order is received after 2:00
p.m. Eastern Standard time, the vendor must return the order
the morning of the following work day. The Postal Service
may then obtain the supplies from another source. If the
contractor does not return the order with a notice of
rejection as required, the contractor must honor the order
as issued and liquidated damages will apply to orders not
received in the 14-day time frame.
C.9 INDEFINITE QUANTITY (Clause 5-14) (October 1987)
a. This is an indefinite-quantity contract; the
quantities of supplies or services specified in the
Schedule are not purchased until ordered.
b. Delivery or performance must be as directed in
orders issued in accordance with the Ordering clause and the
contract Schedule. The contractor must furnish to the
Postal Service, when ordered, the supplies or services
specified in the Schedule up to and including the quantity
designated in the Schedule as the "maximum." The Postal
Service must order at least the quantity of supplies or
services designated in the Schedule as the "minimum." There
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072368-96-A-0099
is no limit on the number of orders that may be issued,
unless specified in the Delivery-Order Limitations clause or
in the contract Schedule. Orders may require delivery to
multiple destinations or performance at multiple locations.
c. Any order issued during the effective period of
this contract and not completed within that period must be
completed by the contractor within the time specified in the
order, and the rights and obligations of the contractor and
the Postal Service with respect to the order will be the
same as if the order were completed during the effective
period of the contract.
C.10 SHIPMENT CONFIRMATION REQUIREMENT
Contractor shall forward a written notice for each
shipment to the receiving site, such as a post card,
stating:
"The NDCBU/OPL/CBU that you ordered on ___________
(date), has/have been shipped by __________________
(contractor's name) on ___________ (date), via
________________ (carrier's name) against order number
_____________ (identify number), contract number
____________ (identify number). If you have not
received your shipment within 14 days of the above
date, please contact __________________ (contractor's
contact person's name), at __________ (contractor's
telephone number, for tracing or replacement."
C.11 REPORTS
The vendor must supply monthly reports of all units
ordered and all units delivered under this contract. The
reports must be sorted by District and a District report
must be mailed to each District ordering units during the
month. A summary of all units ordered and all units
delivered (also sorted by District) must be mailed to the
Contracting Officer at the Denver P&MSC. The reports must
be further sorted by Delivery Orders versus Credit Card
Orders. At a minimum, the reports must contain the
following information: order number, order date, ship date,
delivery date, delivery point, type and number of boxes
ordered, and invoice number. Reports may be completed using
the Approved Sources Delivery Management System
(ASDMS) software developed by USPS Quality Improvement, or
similar software.
C.12 FAILURE TO DELIVER WITHIN FOURTEEN (14) DAYS AFTER RECEIPT
OF ORDER
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072368-96-A-0099
The contractor's failure to deliver within fourteen
(14) days after receipt of order shall allow the Postal
Service the option of giving the order to another source or
take other appropriate action. Contractor's failure to
perform will subject contractor to the Liquidated Damages
Clause in Section C.13.
Should the Postal Service exercise the option to go to
another source for those quantities the contractor failed to
deliver within 14 days after receipt of order, the Postal
Service shall deduct those same quantities from the minimum
quantities indicated in Section A and the Postal Service
shall no longer guarantee ordering those units.
C.13 LIQUIDATED DAMAGES
a. If the contractor fails to deliver the supplies
within fourteen days after receipt of order, as specified in
this contract, the contractor must, in place of actual
damages, pay to the Postal Service $.20 per unit as
liquidated damages for each calendar day of delay.
b. The contractor will not be charged with liquidated
damages when the delay in delivery arises out of causes
beyond the control and without the fault or negligence of
the contractor, or its subcontractors or suppliers.
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072368-96-A-0099
SECTION D - PACKAGING AND MARKING
-------------------------------------
D.1 MARKING REQUIREMENTS (Clause OB-33) (September 1988)
The contractor must mark/stencil all shipping
containers as follows:
United States Postal Service (Description of
Contents) (Contract No.) (Delivery Order No., if
any) (Contractor' Name and Address)
Parenthetical part of marking requires insertion of
data by the contractor.
D.2 PRESERVATION AND PACKAGING (Clause OB-32) (June 1988)
Preservation, packing, and packaging must be in
accordance with good commercial practices to ensure delivery
at destination.
D.3 SPECIAL INSTRUCTIONS
All orders must be palletized and CBUs must be strapped
or shrink-wrapped to pallets. Delivery offices must be
notified at least 24 hours in advance of impending
deliveries.
Certain offices may have special delivery or
notification requirements. When required, Ordering
Officials will clearly mark special instructions on the One-
Page Delivery Order form.
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072368-96-A-0099
SECTION E - INSPECTION AND ACCEPTANCE
-------------------------------------
E.1 CLAUSES INCORPORATED BY REFERENCE
The following clauses are incorporated by reference as
if set forth in full text. The full text versions of these
clauses are available upon request. Procurement Manual
(USPS Publication 41) references are shown in parentheses.
CLAUSE NUMBER DATE TITLE
B-7 October 1987 RESPONSIBILITY FOR SUPPLIES
2-1 January 1991 INSPECTION--FIXED-PRICE
E.2 CERTIFICATE OF CONFORMANCE (Clause B-5) (October 1987)
a. When authorized in writing by the contracting
officer, the contractor may use a Certificate of Conformance
for supplies or services that would otherwise require
inspection. The right of inspection under the inspection
provisions of this contract is not prejudiced by this
procedure.
b. The contractor's signed certificate must be
attached to the inspection or receiving report.
c. The Postal Service has the right to reject
defective supplies or services within a reasonable time
after delivery, by written notification to the contractor.
The contractor must promptly replace, correct, or repair the
rejected supplies or services at the contractor's expense.
d. The certificate must read as follows:
"I certify that on ______________ [Contractor insert
date], the ___________________ [Insert contractor's name]
furnished the supplies or services called for by Contract
No. __________ via ___________ [Carrier] on ____________
[Identify the bill of lading or shipping document] in
accordance with all applicable requirements. I further
certify that the supplies or services are of the quality
specified and conform in all respects with the contract
requirements, including specifications, drawings,
preservation, packaging, packing, marking requirements, and
physical item identification (part number), and are in the
quantity shown on this or on the attached acceptance
document."
Date of Execution: __________________________________
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072368-96-A-0099
Signature: __________________________________________
Title: ______________________________________________
E.3 CONTRACTING OFFICER'S REPRESENTATIVE (COR)
(Clause OB-21) ALTERNATE I (June 1988)
Karen S. Harris is hereby designated the contracting
officer's representative (COR). The COR may be changed at
any time by the Postal Service without prior notice to the
contractor, but notification of the change, including the
name and address of the successor COR, will be promptly
provided to the contractor by the contracting officer in
writing.
The COR is located at: 3300 S. Parker Road Ste 400
Aurora CO 80014-3500
The COR's telephone number is: (303) 369-1224
The responsibilities and limitations of the COR are as
follows:
1. The COR is responsible for the technical
aspects of the project and technical liaison with the
contractor. The COR is also responsible for the final
inspection and acceptance of all reports and has such
other responsibilities as may be specified in the
contract.
2. The COR is not authorized to make any
commitments or otherwise obligate the Postal Service or
authorize any changes that affect the contract price,
terms, or conditions. Any contractor request for
changes must be referred to the contracting officer
directly or through the COR. No such changes shall be
made without the express prior authorization of the
contracting officer. The COR may designate assistant
CORs to act for the COR by naming them in writing and
transmitting a copy of the designation through the
contracting officer to the contractor.
E.4 DELEGATION OF INSPECTION AND ACCEPTANCE (Clause
OB-34) (June 1988)
a. The contracting officer's representative is hereby
delegated the responsibility and authority to conduct
inspection and acceptance duties for this contract.
b. Inspection by QAR at contractor's plant.
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c. Acceptance by Postal Service representative at
destination listed on One-Page Delivery Order form.
E.5 QUALITY ASSURANCE (Clause 2-3) (January 1991)
The contractor's inspection system must be in
accordance with Specification MIL-I-45208, INSPECTION SYSTEM
REQUIREMENTS, of the issue in effect on the solicitation
date. Copies of MIL-I-45208 may be obtained from the:
COMMANDING OFFICER
NAVAL PUBLICATIONS AND FORMS CENTER
ATTENTION CODE CDS
5801 TABOR AVENUE
PHILADELPHIA PA 19120-5099
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SECTION F - PAYMENT AND FUNDING
--------------------------------
F.1 CLAUSES INCORPORATED BY REFERENCE
The following clauses are incorporated by reference as
if set forth in full text. The full text versions of these
clauses are available upon request. Procurement Manual
(USPS Publication 41) references are shown in parentheses.
CLAUSE NUMBER DATE TITLE
B-22 December 1989 INTEREST (PM B.2.1)
5-1 October 1987 PAYMENT--FIXED-PRICE
F.2 INVOICES (Clause B-20) (June 1988)
a. The contractor's invoices must be submitted before
payment can be made.
b. The contractor agrees that submission of an invoice
to the Postal Service for payment is a certification that:
1. Any services being billed for have been
performed in accordance with the contract requirements; and
2. Any supplies for which the Postal Service is
being billed have been shipped or delivered in accordance
with shipping instructions issued by the contracting officer
in the quantities shown on the invoice, and that the
supplies are in the quantity and of the quality designated
in the contract.
c. To ensure prompt payment, an invoice must be
submitted for each destination and each shipment. Each
invoice must contain:
1. The contractor's name and address;
2. The contract number;
3. Any applicable task or delivery order number;
4. A description of the supplies or services and
the dates delivered or performed;
5. The point of shipment or delivery;
6. Any applicable unit prices and extensions;
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7. Shipping and payment terms; and
8. Any additional information required by the
contract.
F.3 PAYMENT DUE DATE (Clause OB-22) (June 1988)
a. Payments under this contract will be due on the
30th calendar day after --
1. The date of actual receipt of a proper invoice
in the office designated to receive the invoice; or
2. The date the deliverables are accepted by the
Postal Service, whichever occurs later.
b. For the purpose of determining the due date for
payment and for no other purpose, acceptance will be deemed
to occur on the calendar day after the date of delivery of
the deliverables ln accordance with the terms of the
contract.
c. If the deliverables are rejected for failure to
conform to the contract's technical requirements, or for
damage in transit or otherwise, the provisions of paragraph
b above will apply to the new delivery of replacement
deliverables.
d. The date of the check issued in payment or the date
of payment by wire transfer, when available, will be
considered to be the date payment is made.
F.4 METHOD OF PAYMENT (Clause OB-23) (June 1988)
a. Payments under this contract will be made either by
check to the contractor or by wire transfer, when available,
to an account in the contractor's name in a bank designated
by the contractor at the option of the Postal Service.
b. The contractor must forward the information called
for in this paragraph (b) in writing to the address
indicated in the "Billing Instructions" on the Offer and
Award page of this document not later than seven calendar
days after receipt of notice of award.
1. Full name (if practicable), title, phone
number, and complete mailing address of responsible
official(s) --
(a) To whom check payments are to be sent; and
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072368-96-A-0099
(b) Who may be contacted concerning the bank
account information requested below.
2. The following bank account information for
accomplishing wire transfers:
(a) Name, address, and telegraphic abbreviation of
the receiving financial institution.
(b) Receiving financial institution's nine-digit
American Bankers Association (ABA) identifying number for
routing transfer of funds. Provide this number only if the
receiving financial institution has access to the Federal
Reserve Communications System (FRCS).
(c) Recipient's name and account number at the
receiving financial institution to be credited with the
funds.
(d) If the receiving financial institution does
not have access to the FRCS, provide the name of the
correspondent financial institution through which the
receiving financial institution receives electronic funds
transfer messages. If a correspondent financial institution
is specified, also provide --
(1) Address and telegraphic abbreviation of
the correspondent financial institution; and
(2) The correspondent financial institution's
nine-digit ABA identifying number for routing transfer of
funds.
c. Any changes to the information furnished under
paragraph b above of this clause must be furnished in
writing at least 30 calendar days before the effective date
of the change. It is the contractor's responsibility to
furnish these changes 30 calendar days before submitting
invoices to avoid payments to erroneous addresses or bank
accounts.
d. The document furnishing the information required in
paragraphs (b) and (c) above must be dated and contain the
signature, title, and telephone number of the contractor
official authorized to provide it, as well as the
contractor's name and contract number.
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SECTION G - SPECIAL CLAUSES
----------------------------
G.1 CONTRACT TYPE (Clause B-3) (February 1991)
This is a firm fixed price contract.
G.2 ORDER OF PRECEDENCE (Clause B-29) (February 1991)
Any inconsistency in the provisions of this
solicitation, the contract awarded under this solicitation,
or a contract awarded without the issuance of a written
solicitation will be resolved by giving precedence in the
following order:
a. The Schedule.
b. The solicitation provisions and instructions.
c. Special clauses and general clauses.
d. Provisions contained in attachments or
incorporated by reference.
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PART 2 - CLAUSES AND ATTACHMENTS
--------------------------------
SECTION H - GENERAL CLAUSES
-----------------------------
H.1 CLAUSES INCORPORATED BY REFERENCE
The following clauses are incorporated by reference as
if set forth in full text. The full text versions of these
clauses are available upon request. Procurement Manual
(USPS Publication 41) references are shown in parentheses.
CLAUSE
NUMBER DATE TITLE
B-1 June 1988 DEFINITIONS (PM B.2.1)
B-8 October 1987 ASSIGNMENT OF CLAIMS (PM B.2.1)
B-14 October 1987 EXAMINATION OF RECORDS (PM B.2.1)
B-21 October 1987 CHANGE-ORDER ACCOUNTING (PM B.2.1)
B-25 June 1988 ADVERTISING OF CONTRACT AWARDS
(PM B.2.1)
B-28 October 1987 SAFETY AND HEALTH STANDARDS (PM B.2.1)
1-5 April 1993 GRATUITIES OR GIFTS (PM 1.7.8)
1-6 October 1987 CONTINGENT FEES
6-1 January 1991 BANKRUPTCY (PM 6.2.7)
7-6 October 1987 FEDERAL, STATE, AND LOCAL TAXES
10-1 December 1989 PARTICIPATION OF SMALL, MINORITY-OWNED,
AND WOMAN-OWNED BUSINESSES (PM 10.1.5)
10-2 February 1992 SMALL, MINORITY-OWNED, AND
WOMAN-OWNED BUSINESS
SUBCONTRACTING REQUIREMENTS (PM 10.1.5)
10-3 October 1987 CONVICT LABOR (PM 10.2.2)
10-8 October 1987 WALSH-HEALEY PUBLIC CONTRACTS ACT
(PM 10.2.5)
10-9 October 1987 EQUAL OPPORTUNITY (PM 10.2.7)
10-11 October 1987 EQUAL OPPORTUNITY PREAWARD CLEARANCE
OF SUBCONTRACTS
10-15 October 1987 AFFIRMATIVE ACTION FOR HANDICAPPED
WORKERS (PM 10.2.11)
10-16 July 1995 AFFIRMATIVE ACTION FOR DISABLED VETERANS
AND VETERANS OF THE VIETNAM ERA
(PM 10.2.12)
10-17 January 1991 PREFERENCE FOR DOMESTIC SUPPLIES
(PM 10.3.2)
10-19 October 1987 CLEAN AIR AND WATER (PM 10.4.2)
10-20 December 1989 DRUG-FREE WORKPLACE (PM 10.5.4)
H.2 CHANGES (Clause B-2) (October 1987)
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a. The contracting officer may, in writing, without
notice to any sureties, order changes within the general
scope of this contract in the following:
1. Drawings, designs, or specifications when
supplies to be furnished will be specially manufactured for
the Postal Service in accordance with them.
2. Statement of work or description of services.
3. Method of shipment or packing.
4. Place of delivery of supplies or performance
of services.
5. Delivery or performance schedule.
6. Postal Service-furnished property or
facilities.
b. Any other written or oral order (including
direction, instruction, interpretation, or
determination) from the contracting officer that causes a
change will be treated as a change order under this clause,
provided that the contractor gives the contracting officer
written notice stating (1) the date, circumstances, and
source of the order and (2) that the contractor regards the
order as a change order.
c. If any such change affects the cost of performance
or the delivery schedule, the contract will be modified to
effect an equitable adjustment.
d. The contractor's claim for equitable adjustment
must be asserted within 30 days of receiving a written
change order. A later claim may be acted upon - but not
after final payment under this contract - if the contracting
officer decides that the facts justify such action.
e. Failure to agree to any adjustment is a dispute
under the Claims and Disputes clause. Nothing in that
clause excuses the contractor from proceeding with the
contract as changed.
H.3 CLAIMS AND DISPUTES (Clause B-9) (June 1988)
a. This contract is subject to the Contract Disputes
Act of 1978 (41 U.S.C. 601-613) ("the Act").
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072368-96-A-0099
b. Except as provided in the Act, all disputes arising
under or relating to this contract must be resolved under
this clause.
c. "Claim," as used in this clause, means a written
demand or written assertion by one of the contracting
parties seeking, as a matter of right, the payment of money
in a sum certain, the adjustment or interpretation of
contract terms, or other relief arising under or relating to
this contract. However, a written demand or written
assertion by the contractor seeking the payment of money
exceeding $50,000 is not a claim under the Act until
certified as required by subparagraph d.2 below. A voucher,
invoice, or other routine request for payment that is not in
dispute when submitted is not a claim under the Act. The
submission may be converted to a claim under the Act by
complying with the submission and certification requirements
of this clause, if it is disputed either as to liability or
amount or is not acted upon in a reasonable time.
d. 1. A claim by the contractor must be made in
writing and submitted to the contracting officer for a
written decision. A claim by the Postal Service against the
contractor is subject to a written decision by the
contracting officer.
2. For contractor claims exceeding $50,000, the
contractor must submit with the claim a certification that -
(a) The claim is made in good faith;
(b) Supporting data are accurate and complete
to the best of the contractor's knowledge and belief; and
(c) The amount requested accurately reflects
the contract adjustment for which the contractor believes
the Postal Service is liable.
3. (a) If the contractor is an individual, the
certification must be executed by that individual.
(1) A senior company official in charge
at the contractor's plant or location involved; or
(2) An officer or general partner of the
contractor having overall responsibility for the conduct of
the contractor's affairs.
e. For contractor claims of $50,000 or less, the
contracting officer must, if requested in writing by the
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072368-96-A-0099
contractor, render a decision within 60 days of the request.
For contractor-certified claims over $50,000, the
contracting officer must, within 60 days, decide the claim
or notify the contractor of the date by which the decision
will be made.
f. The contracting officer's decision is final unless
the contractor appeals or files a suit as provided in the
Act.
g. The Postal Service will pay interest on the amount
found due and unpaid from:
1. The date the contracting officer receives the
claim (properly certified if required); or
2. The date payment otherwise would be due, if
that date is later, until the date of payment.
h. Simple interest on claims will be paid at a rate
determined in accordance with the Interest clause.
i. The contractor must proceed diligently with
performance of this contract, pending final resolution of
any request for relief, claim, appeal, or action arising
under the contract, and comply with any decision of the
contracting officer.
H.4 PRICING OF ADJUSTMENTS (Clause B-10) (October 1987)
When costs are a factor in determining any contract
price adjustment under the Changes clause or any other
provision of this contract, chapter 5 of the USPS
Procurement Manual in effect on the date of this contract
will serve as a guide in negotiating the adjustment.
H.5 TERMINATION FOR CONVENIENCE (Clause B-11) (October 1987)
a. Performance under this contract may be terminated
by the Postal Service in whole or in part whenever the
contracting officer determines that termination is in the
interest of the Postal Service. A termination may be
effected by delivery to the contractor of a notice of
termination specifying the extent of work terminated, and
the effective date of the termination.
b. Upon receipt of a notice of termination, unless
otherwise directed by the contracting officer, the
contractor must take the following actions:
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072368-96-A-0099
1. Stop work to the extent specified in the
notice.
2. Place no further orders or subcontracts for
materials, services, or facilities except as may be
necessary for completion of the unterminated work.
3. Terminate all orders and subcontracts to the
extent that they relate to the work terminated.
4. Assign to the Postal Service, as directed by
the contracting officer, all right, title, and interest of
the contractor under the orders and subcontracts terminated.
The Postal Service has the right, in its discretion, to
settle or pay claims arising out of these terminations.
5. Settle all outstanding liabilities and claims
arising out of the termination of orders and subcontracts,
with the approval or ratification of the contracting
officer. The contracting officer's decision is final for
the purposes of this clause.
6. Transfer title to the Postal Service and
deliver as directed by the contracting officer -
(a) Work in process, completed work, and
other material produced as a part of or acquired for the
work terminated; and
(b) The completed or partially completed
plans, drawings, information, and other property that, if
the contract had been completed, would have been furnished
to the Postal Service.
7. Use its best efforts to sell as directed by
the contracting officer any property of the types referred
to in subparagraph b.6 above, provided that the contractor
may acquire property under the conditions prescribed and at
prices approved by the contracting officer, and the proceeds
of any such transfer will be applied in reduction of any
payments to be made by the Postal Service to the contractor,
or be credited to the price or cost of the work covered by
this contract, or be paid in any manner directed by the
contracting officer.
8. Complete performance of the work not
terminated.
9. Take any action that may be necessary, or that
the contracting officer may direct, for protecting and
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072368-96-A-0099
preserving any property related to this contract that is in
the possession of the contractor and in which the Postal
Service has or may acquire an interest.
c. At any time, the contractor may submit to the
contracting officer a list, certified as to quantity and
quality, of termination inventory not previously disposed of
and may request the Postal Service to remove inventory items
or enter into a storage agreement covering them. Not later
than 15 days after receiving this request, the Postal
Service will accept title to the items and remove them or
enter into a storage agreement. The list will be subject to
verification by the contracting officer upon removal of the
items or, if the items are stored, within 45 days after
submission of the list.
d. After termination, the contractor must submit to
the contracting officer a termination claim in the form and
with the certification prescribed by the contracting
officer. The claim must be submitted promptly, but in no
event more than one year after the effective date of
termination, unless an extension in writing is granted by
the contracting officer. However, if the contracting
officer determines that the facts justify such action, any
termination claim may be received and acted upon at any time
after the one-year period. Upon failure of the contractor
to submit a termination claim within the time allowed, the
contracting officer may determine, on the basis of the
information available, the amount, if any, due the
contractor by reason of the termination and will pay that
amount.
e. If the contractor and the contracting officer fail
to agree on the amount to be paid to the contractor by
reason of the termination, the contracting officer will
determine the amount, if any, due the contractor and pay the
contractor the contract price for completed and accepted
supplies or services not previously paid for (adjusted for
any saving of freight and other charges) and, with respect
to all other contract work performed before the effective
date of termination, the total of -
1. The cost of such work;
2. The cost of settling and paying claims arising
out of the termination of work under subcontracts; and
3. A profit on e.1 above, determined by the
contracting officer to be fair and reasonable; but if it
appears that the contractor would have sustained a loss on
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072368-96-A-0099
the entire contract had it been completed, no profit will be
included, and an appropriate adjustment will be made
reducing the amount of the settlement to reflect the
indicated rate of loss.
f. The total sum to be paid to the contractor may not
exceed the total contract price as reduced by the payments
made and as further reduced by the contract price of work
not terminated. Except for normal spoilage, and except to
the extent that the Postal Service expressly assumed the
risk of loss, there will be excluded from the amounts
payable to the contractor under paragraph e above, the fair
value, as determined by the contracting officer, of property
destroyed, lost, stolen, or damaged so as to become
undeliverable to the Postal Service, or to a buyer.
g. Any determination of costs will be governed by the
cost principles set forth in chapter 5 of the USPS
Procurement Manual in effect on the effective date of
termination.
h. The contractor has the right of review under the
Claims and Disputes clause of any determination made by the
contracting officer under paragraph d or e above, except
that, if the contractor has failed to submit its termination
claim within the time provided in paragraph d above and has
failed to request an extension of time, there may be no
right of review.
i. In arriving at the amount due the contractor, there
must be deducted --
1. All unliquidated advance or other payments to
the contractor applicable to the terminated portion of this
contract;
2. Any claim that the Postal Service may have
against the contractor under this contract; and
3. The agreed price for or the proceeds of sale
of materials, supplies, or other things kept by the
contractor or sold and not recovered by or credited to the
Postal Service.
j. If the termination is partial, the contractor must
file with the contracting officer a request in writing for
an equitable adjustment of the price specified in the
contract relating to the continued portion of the contract.
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072368-96-A-0099
k. The Postal Service may, under the terms and
conditions it prescribes, make partial payments and payments
on account in connection with the terminated portion of this
contract whenever the aggregate of these payments is within
the amount to which the contractor is entitled.
1. Unless otherwise provided in this contract, or by
statute, the contractor, for a period of three years after
final settlement, must preserve and make available to the
Postal Service at all reasonable times at the contractor's
office, all books, records, documents, and other evidence
bearing on the costs and expenses of the contractor under
this contract and relating to the work terminated. If the
contracting officer approves, photographs, microphotographs,
or other authentic reproductions may be maintained instead
of the originals.
H.6 TERMINATION FOR DEFAULT (Clause B-13) (October 1987)
a. 1. The Postal Service may, subject to paragraphs c
and d below, by written notice of default to the contractor,
terminate this contract in whole or in part if the
contractor fails to -
(a) Complete the requirements of this contract
within the time specified in the contract or any extension;
(b) Make progress, so as to endanger performance
of this contract (but see paragraph d below); or
(c) Perform any of the other provisions of this
contract (but see subparagraph a.2 following).
2. The Postal Service's right to terminate this
contract under a.l(b) and (c) above may be exercised if the
contractor does not cure the failure within ten days (or
more if authorized in writing by the contracting
officer) after receipt of the notice from the contracting
officer specifying the failure.
b. If the Postal Service terminates this contract in
whole or in part, it may acquire similar supplies or
services or complete the work, and the contractor will be
liable to the Postal Service for any excess costs. However,
the contractor must continue the work not terminated.
c. Except for defaults of subcontractors at any tier,
the contractor is not liable for any excess costs if the
failure to perform the contract arises from causes beyond
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072368-96-A-0099
the control and without the fault or negligence of the
contractor.
d. If the failure to perform is caused by the default
of a subcontractor at any tier, and if the cause of the
default is beyond the control of both the contractor and
subcontractor, and without the fault or negligence of
either, the contractor is not liable for any excess costs
for failure to perform, unless the subcontracted supplies or
services were obtainable from other sources in sufficient
time for the contractor to meet the required delivery
schedule.
e. If this contract is terminated for default, the
Postal Service may require the contractor to transfer title
and deliver to the Postal Service, as directed by the
contracting officer, any completed supplies, partially
completed supplies, and materials, parts, tools, dies, jigs,
flxtures, plans, drawings, information, and contract rights
that the contractor has specifically produced or acquired
for the terminated portion of this contract. Upon direction
of the contracting officer, the contractor must also protect
and preserve property in its possession in which the Postal
Service has an interest.
f. The Postal Service will pay the contract price for
completed items delivered and accepted. The contractor and
contracting officer may agree on the amount of payment for
items delivered and accepted under paragraph e above for the
protection and preservation of the property. Failure to
agree will be a dispute under the Claims and Disputes
clause. The Postal Service may withhold from these amounts
any sum the contracting officer determines to be necessary
to protect the Postal Service against loss because of
outstanding claims.
g. If, after termination, it is determined that the
contractor was not in default, or that the delay was
excusable, the rights and obligations of the parties will be
the same as if the termination had been issued for
convenience.
h. The rights and remedies of the Postal Service under
this clause are in addition to any other rights and remedies
provided by law or under this contract.
H.7 OPTION TO EXTEND THE TERM OF THE CONTRACT (Clause
2-20) (October 1987)
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This contract is renewable, at the option of the Postal
Service, by the contracting officer giving written notice of
renewal to the contractor within the period specified in the
schedule. If the Postal Service exercises this option for
renewal, the contract as renewed includes this option
clause. The duration of this contract, including renewals,
may not exceed the time limit set forth in the schedule.
H.8 PRICE REDUCTION FOR DEFECTIVE COST OR PRICING DATA
(Clause 5-22) (July 1995)
a. If any price, including profit or fee, negotiated
in connection with this contract, or modification to this
contract, or any cost reimbursable under this contract, was
increased by any significant amount because:
1. The contractor or subcontractor furnished cost
or pricing data that were not complete, accurate, and
current as of the date of final agreement on price;
2. A subcontractor or prospective subcontractor
furnished the contractor cost or pricing data that were not
complete, accurate, and current as of the date of final
agreement on price; or
3. Any of these parties furnished data of any
description that were not accurate - then the price or cost
will be reduced accordingly and the contract will be
modified to reflect the reduction.
b. Any reduction in the contract price under paragraph
a above due to defective data from a prospective
subcontractor that was not awarded the subcontract will be
limited to the amount, plus applicable overhead and profit
markup, by which the actual subcontract, or the actual cost
to the contractor if there was no subcontract, was less than
the prospective subcontract cost estimate submitted by the
contractor (provided that the actual subcontract price was
not itself affected by defective cost or pricing data).
H.9 SUBCONTRACTOR COST OR PRICING DATA (Clause 5-23)
(October 1987)
a. Before awarding any subcontract or pricing any
subcontract modification, the contractor must require the
subcontractor to submit cost or pricing data whenever cost
or pricing data are required by chapter 5 of the USPS
Procurement Manual.
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072368-96-A-0099
b. If the subcontractor is required to submit cost or
pricing data under paragraph a above, then the contractor
must insert the substance of this clause, including this
paragraph b, in the subcontract.
H.10 QUALIFICATION REQUIREMENTS--COMPONENTS OF END ITEMS (Clause
OB-52) (June 1988)
a. "Qualification requirement," as used in this
clause, means a requirement for testing or other quality
assurance demonstration that must be completed before award
of subcontracts or before beginning manufacture of certain
components of end items covered by this contract.
b. If any of the end items to be acquired by the
Postal Service will contain one or more components that are
subject to a qualification requirement, the components or
their manufacturers must demonstrate their abilities to meet
the standards specified for qualification before the
contractor awards any subcontract for the components. If
the contractor plans to manufacture components, the
contractor must have demonstrated its ability to meet the
standards specified for qualification before beginning to
manufacture the components. The components need not be
qualified before the manufacture of the prototype,
preproduction model, or first article, for qualification
testing.
c. Delay resulting from the contractor's awaiting
qualification approval by the Postal Service of a component
or its manufacturer will not constitute excusable delay when
a previously qualified component could have been acquired in
time to meet the end item delivery schedule.
d. Any change in location or ownership of the plant
where a previously qualified product was manufactured
requires reevaluation of whether the standards specified for
qualification are still met. The reevaluation must be
completed before the award of any subcontract for the
components or before beginning the manufacture of the
components.
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SECTION I - LIST OF ATTACHMENTS
--------------------------------
ATTACHMENT TITLE NO OF
NO. PAGES
1. INSTRUCTIONS FOR QUARTERLY REPORTS OF SMALL, 2
WOMAN-OWNED, AND MINORITY OWNED SUBCONTRACTS
2. USPS-B-1118E, USPS SPECIFICATION 40
FOR CLUSTER BOX UNITS
3. LIST OF ORDERING OFFICIALS 11
4. SAMPLE ONE-PAGE DELIVERY ORDER FORM 1
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072368-96-A-0099
PART 3 - SOLICITATION PROVISIONS
---------------------------------
SECTION J - INSTRUCTIONS TO OFFERORS
------------------------------------
J.1 SUBMISSION OF FINANCIAL STATEMENTS (Provision OA-27)
(July 1988)
Specific reference is made to Section K, Provision A-1,
Preparation of Proposals.
For the purpose of this requirement, the term "current
financial statement" is defined as the data (including both
the Balance Sheet and Income Statement covering each of the
offeror's immediate past two fiscal years (normally the most
Annual Reports), together with an interim report to as near
the submission date as possible. These guidelines are to be
observed:
a. Statements shall be prepared in accordance with
Generally Accepted Accounting Principles.
b. Statements shall include all required notes to the
Financial Statements.
c. Statements must be certified by either a company
executive as to the accuracy and veracity of the statements,
or by an opinion statement on the fairness of the
presentation after review by independent auditors.
d. The Income Statements must incorporate or have
attached "Schedule of Cost and Goods Sold." This schedule
must reflect Direct Materials, Direct Labor, and Overhead
used to compute the cost of goods sold amount.
It may become necessary for the offeror to submit
additional financial information prior to award.
Financial information received will be treated as
confidential and will not be used for purposes other than
evaluation of financial responsibility.
J.2 TYPE OF CONTRACT (Provision 5-1) (October 1987)
The Postal Service plans to award a firm fixed price
type of contract under this solicitation, and all proposals
must be submitted on this basis. Alternate proposals based
on other contract types [_] will [X] will not be considered.
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J.3 AMENDMENTS TO PROPOSALS (Provision OA-3) (June 1988)
Any changes to a proposal made by the offeror after its
initial submittal must be accomplished by replacement pages.
Changes from the original page must be indicated on the
outside margin by vertical lines adjacent to the change.
The offeror must include the date of the amendment on the
lower right corner of the changed pages.
J.4 INSTRUCTIONS FOR THE PREPARATION OF TECHNICAL
AND/OR BUSINESS PROPOSALS
The following instructions establish the acceptable
minimum requirements for the format and the content of
proposals:
a. Technical Proposal. The technical section must
contain a detailed technical discussion and description of
the offeror's methodology to be used in accomplishing the
effort, including the rationale for the approach proposed.
It must be precise, factual, and complete and must contain
the information listed Section M.5.
b. Price Proposal
1. All price proposals for base and option years
must be accompanied by a full Bill of Materials (e.g.,
materials, labor, overhead, and general and administration
rates) for each item to be supplied by contractor.
2. All costs must be defined in the contract
pricing proposal. Subcontract costs must be defined and
accompanied by their respective contract pricing cover
sheets and supporting data.
2. Offeror must identify its cognizant Government
audit agency. If the offeror has no cognizant Government
audit agency, the details supporting the fringe benefit,
labor overhead, and general and administration rates must be
provided as part of the cost proposal. All rates must be
those anticipated to be in effect during the period of
performance of the contract.
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072368-96-A-0099
SECTION K - SOLICITATION NOTICES AND PROVISIONS
---------------------------------------------------
K.1 PROVISIONS INCORPORATED BY REFERENCE
The following provisions are incorporated by reference
as if set forth in full text. The full text of these
provisions is available from the contracting officer upon
request. Procurement Manual (USPS Publication
41) references are shown in parentheses.
PROVISION
NUMBER DATE TITLE
A-1 October 1987 PREPARATION OF PROPOSALS (PM A.2.3)
A-2 October 1987 SUBMISSION OF PROPOSALS (PM A.2.3)
A-3 October 1987 MODIFICATION OR WITHDRAWAL OF PROPOSALS
(PM A.2.3)
A-4 October 1987 LATE SUBMISSIONS AND MODIFICATIONS
OF PROPOSALS (PM A.2.3)
A-5 October 1987 ACKNOWLEDGEMENT OF SOLICITATION
AMENDMENTS (PM A.2.3)
A-6 October 1987 EXPLANATION TO PROSPECTIVE OFFERORS (PM
A.2.3)
A-7 June 1988 RESTRICTION AND USE OF DATA (PM A.2.3)
A-8 February 1992 CONTRACT AWARD (PM A.2.3)
A-9 October 1987 AWARD WITHOUT DISCUSSIONS (PM A.2.3)
A-10 October 1987 DISCOUNTS (PM A.2.3)
A-12 October 1987 POSTAL-FURNISHED PROPERTY OR SERVICES
(PM A.2.3)
A-14 October 1987 FAILURE TO SUBMIT PROPOSAL (PM A.2.3)
A-15 October 1987 PROTESTS (PM A.2.3)
K.2 LABOR INFORMATION (Provision A-13) (October 1987)
General information regarding the requirements of the
Walsh-Healey Public Contracts Act (41 U.S.C. 35-45), the
Contract Work Hours and Safety Standards Act (40 U.S.C.
327-333), and the Service Contract Act of 1965 (41 U.S.C.
351 et seq.) may be obtained from the Department of Labor,
200 Constitution Avenue, N.W., Washington, DC 20210-0999, or
from any regional office of that agency.
K.3 WARRANTY INFORMATION (Provision 2-1) (October 1987)
Offerors must submit information on any standard
commercial warranties provided for offered products. The
Postal Service will consider these warranties in determining
the most advantageous proposal, to the extent provided in
the evaluation factors.
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072368-96-A-0099
K.4 NOTICE OF SMALL, MINORITY-OWNED, AND WOMAN-OWNED BUSINESS
SUBCONTRACTING REQUIREMENTS (Provision 10-1) (February 1992)
All offerors, except small businesses, must submit with
their proposals the subcontracting plan required by the
clause entitled Small, Minority-Owned, and Woman-Owned
Business Subcontracting Requirements.
K.5 PREAWARD EQUAL OPPORTUNITY COMPLIANCE REVIEW
(Provision 10-5) (April 1989)
If the contract award will be $1,000,000 or more, the
prospective contractor and its known first-tier
subcontractors with subcontracts of $1,000.000 or more will
be subject to a preaward compliance review. In order to
qualify for award, the prospective contractor and first-tier
subcontractors must be found in compliance pursuant to 41
CFR 60-1.20.
K.6 POSTAWARD ORIENTATION CONFERENCE (Provision OA-5)
(June 1988)
The Postal Service may require the successful offeror
to attend a post-award conference. If required, it will be
scheduled and held prior to the start of contract
performance. The conference will be held at the:
DENVER PURCHASING & MATERIALS
SERVICE CENTER (P&MSC)
3300 S PARKER RD STE 440
DENVER CO 80014-3500
K.7 NOTICE OF PREAWARD SURVEY (Provision OA-34) (June 1988)
a. Offerors are advised that the Postal Service may
contact prospective contractors to determine their
capabilities to perform the work specified in this
solicitation. In addition to financial statement and credit
rating checks, the Postal Service may visit a prospective
contractor's facilities to perform reviews or may ask for
additional written information. Areas of interest in this
regard may include --
1. Performance plans;
2. Quality control plans;
3. Personnel recruitment and training plans;
4. Workload factors for manpower utilization;
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072368-96-A-0099
5. Management plan for handling peak workloads;
6. Production capability, including--
(a) Plant facilities and equipment;
(b) Purchasing and subcontracting;
(c) Labor resources;
(d) Performance record; and
(e) Ability to meet delivery schedules;
7. Environmental/energy considerations;
8. Plant safety;
9. Technical and professional abilities;
10. Accounting systems; and
11. Postal Service property controls.
b. Offerors are also advised that accomplishment of
this survey is a part of the evaluation process and is not
an indication that an offeror will receive an award.
K.8 PREQUALIFIED SOURCES OR SERVICE SUPPLIERS AND APPROVED
PRODUCTS (Provision OA-38) (June 1988)
a. This solicitation identifies supplies or services
to which a qualification requirement applies. With respect
to those supplies or services, the contracting officer
reserves the right to consider only the proposals of
offerors who appear, or whose products appear, on the
approved products list, qualified manufacturers list, or
qualified offerors list appropriate to this solicitation as
of the effective date of this solicitation.
b. Unless determined by the contracting officer to be
in the Postal Service's best interests, this procurement
will not be delayed ln order to provide an offeror the
opportunity to meet standards specified for qualification.
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072368-96-A-0099
SECTION L - REPRESENTATIONS AND CERTIFICATIONS
----------------------------------------------
L.1 TYPE OF BUSINESS ORGANIZATION (Provision A-20)
(December 1989)
The offeror, by checking the applicable blocks,
represents that it:
a. Operates as [X] a corporation incorporated under
the laws of the State of DELAWARE, [_] an individual, [_] a
partnership, [_] a joint venture, [_] a nonprofit
organization, [_] or an educational institution; and
b. Is a [X] small business concern, [_] minority-owned
business, [_] woman-owned business, [_] labor surplus area
concern, [_] educational or other non-profit organization,
or [_] none of the above entities.
c. SMALL 8USINESS CONCERN. A small business concern
for the purposes of Postal Service procurement means a
business, including an affiliate, that is independently
owned and operated, is not dominant in producing or
performing the supplies or services being purchased, and has
no more than 500 employees, unless a different size standard
has been established by the Small Business Administration
(see 13 CFR 121, particularly for different size standards
for airline, railroad, and construction companies). For
subcontracts of $50,000 or less, a subcontractor having no
more than 500 employees qualifies as a small business
without regard to other factors.
d. MINORITY-OWNED BUSINESS. A minority-owned business
is a concern that is at least 51 percent owned by, and whose
management and daily business operations are controlled by,
one or more members of a socially and economically
disadvantaged minority group, namely U.S. citizens who are
Black Americans, Hispanic Americans, Native Americans,
Asian-Pacific Americans, or Asian-Indian Americans. (Native
Americans are American Indians, Eskimos, Aleuts, and Native
Hawaiians. Asian-Pacific Americans are U.S. citizens whose
origins are Japanese, Chinese, Filipino, Vietnamese, Korean,
Samoan, Laotian, Cambodian, Taiwanese or in the U.S. Trust
Territories of the Pacific Islands. Asian-Indian Americans
are U.S. citizens whose origins are ln the Indian
subcontinent.)
e. WOMAN-OWNED BUSINESS. A woman-owned business is a
concern at least 51 percent of which is owned by a woman (or
women) who is a U.S. citizen, controls the firm by
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072368-96-A-0099
exercising the power to-make policy decisions, and operates
the business by being actively involved in day-to-day
management.
f. LABOR SURPLUS AREA. A geographical area which at
the time of award is either a section of concentrated
unemployment or underemployment, a persistent labor surplus
area, or a substantial labor surplus area, as defined in
this paragraph.
1. Section of concentrated unemployment or
underemployment means appropriate sections of States or
labor areas so classified by the Secretary of Labor.
2. Persistent labor surplus area means an area
which is classified by the Department of Labor as an area of
substantial and persistent labor surplus (also called Area
of Substantial and Persistent Unemployment) and is listed as
such by that Department in conjunction with its publication,
Area Trends in Employment and Unemployment.
3. Substantial labor surplus area means an area
which is classified by the Department of Labor as an area of
substantial labor surplus (also called Area of Substantial
Unemployment) and which is listed as such by that Department
in conjunction with its publication Area Trends in
Employment and Unemployment.
g. LABOR SURPLUS AREA CONCERN. A firm which will
perform or cause to be performed a substantial proportion of
a contract in a labor surplus area.
h. EDUCATIONAL OR OTHER NON-PROFIT ORGANIZATION. Any
corporation, foundation, trust, or other institution
operated for scientific or educational purposes, not
organized for profit, no part of the net earnings of which
inures to the profits of any private shareholder or
individual.
L.2 PARENT COMPANY AND TAXPAYER IDENTIFICATION NUMBER
(Provision A-21) (October 1987)
a. A parent company is one that owns or controls the
basic business policies of an offeror. To own means to own
more than 50 percent of the voting rights in the offeror.
To control means to be able to formulate, determine, or veto
basic business policy decisions of the offeror. A parent
company need not own the offeror to control it; it may
exercise control through the use of dominant minority voting
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072368-96-A-0099
rights, proxy voting, contractual arrangements, or
otherwise.
b. Enter the offeror's Taxpayer Identification Number
(TIN) in the space provided. The TIN is the offeror's
Social Security Number or other Employee Identification
Number used on the offeror's Quarterly Federal Tax Return,
U.S. Treasury Form 941.
Offeror's TIN: 16-1068506
-----------------------
c. [X] Check this block if the offeror is owned or
controlled by a parent company.
d. If the block above is checked, provide the
following information about the parent company:
Parent Company's Name: AMERICAN LOCKER GROUP INCORPORATED
Parent Company's Main Office Address: PO BOX 1000
No. and Street: 15 WEST SECOND STREET
City: JAMESTOWN State: NY Zip Code: 14702-1000
Parent Company's TIN: 16-0338330
e. If the offeror is a member of an affiliated group
that files its federal income tax return on a consolidated
basis (whether or not the offeror is owned or controlled by
a parent company, as provided above) provide the name and
TIN of the common parent of the affiliated group:
Name of Common Parent: ____________________________
Common Parent's TIN: ______________________________
L.3 AUTHORIZED NEGOTIATORS (Provision A-22) (October 1987)
The offeror represents that the following persons are
authorized to negotiate on its behalf with the Postal
Service in connection with this solicitation [Offeror list
names, titles, and telephone numbers of the authorized
negotiators].
H. J. RUTTENBERG, CHAIRMAN, CEO & TREASURER (800) 828-9118
-------------------------------------------
A. N. DITONTO, PRESIDENT, COO & SECRETARY "
-------------------------------------------
M. A. DITONTO, VICE PRESIDENT DEVELOPMENT "
-------------------------------------------
R. J. GLOSSER, VICE PRESIDENT OPERATIONS "
-------------------------------------------
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072368-96-A-0099
L.4 PLACE OF PERFORMANCE (Provision A-23) (October 1987)
If the offeror intends, in the performance of any
contract resulting from this solicitation, to use one or
more facilities located at addresses different from the
offeror's address as indicated in this proposal, the offeror
must include in its proposal a statement referencing this
provision and identifying those facilities by street
address, city, county, state, and ZIP Code, and the name and
address of the operators of those facilities if other than
the offeror.
L.5 CERTIFICATE OF INDEPENDENT PRICE DETERMINATION
(Provision 1-1) (October 1987)
a. By submitting this proposal, the offeror certifies,
and in the case of a joint proposal each party to it
certifies as to its own organization, that in connection
with this solicitation --
1. The prices proposed have been arrived at
independently, without consultation, communication, or
agreement, for the purpose of restricting competition, as to
any matter relating to the prices with any other offeror or
with any competitor;
2. Unless otherwise required by law, the prices
proposed have not been and will not be knowingly disclosed
by the offeror before award of a contract, directly or
indirectly to any other offeror or to any competitor; and
3. No attempt has been made or will be made by
the offeror to induce any other person or firm to submit or
not submit a proposal for the purpose of restricting
competition.
b. Each person signing this proposal certifies that--
1. He or she is the person in the offeror's
organization responsible for the decision as to the prices
being offered herein and that he or she has not
participated, and will not participate, in any action
contrary to paragraph a above; or
2. He or she is not the person in the offeror's
organization responsible for the decision as to the prices
being offered but that he or she has been authorized in
writing to act as agent for the persons responsible in
certifying that they have not participated, and will not
participate, in any action contrary to paragraph a above,
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072368-96-A-0099
and as their agent does hereby so certify; and he or she has
not participated, and will not participate, in any action
contrary to paragraph a above.
c. Modification or deletion of any provision in this
certificate may result in the disregarding of the proposal
as unacceptable. Any modification or deletion should be
accompanied by a signed statement explaining the reasons and
describing in detail any disclosure or communication.
L.6 CONTINGENT FEE REPRESENTATION (Provision 1-2) (October 1987)
a. The offeror must complete the following
representations:
1. The offeror [_] has [X] has not employed or
retained any company or person (other than a full-time bona
fide employee working solely for the offeror) to solicit or
secure this contract.
2. The offeror [_] has [X] has not paid or agreed
to pay any company or person (other than a full-time bona
fide employee working solely for the offeror) any fee,
commission, percentage, or brokerage fee, contingent upon or
resulting from the award of this contract.
b. If either representation is in the affirmative, or
upon request of the contracting officer, the offeror must
furnish, in duplicate, a completed Form 7319, "Contractor's
Statement of Contingent or Other Fees", and any other
information requested by the contracting officer. If the
offeror has previously furnished a completed Form 7319 to
the office issuing this solicitation, it may accompany its
proposal with a signed statement --
1. Indicating when the completed form was
previously furnished;
2. Identifying the number of the previous
solicitation or contract, if any, in connection with which
the form was submitted; and
3. Representing that the statement on the form is
applicable to this proposal.
L.7 REGULAR DEALER/MANUFACTURER REPRESENTATION (Provision
10-2) (October 1987)
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072368-96-A-0099
By checking the applicable block, the offeror
represents that it is a [_] regular dealer in [X]
manufacturer of the supplies offered.
L.8 CERTIFICATION OF NONSEGREGATED FACILITIES (Provision 10-3)
(October 1987)
a. By submitting this proposal, 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 lt does not and will not permit its
employees to perform 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 this contract.
b. As used in this certification, "segregated
facilities" means any waiting rooms, work areas, rest rooms
or wash rooms, restaurants or other eating areas, time
clocks, locker rooms or other storage or dressing areas,
parking lots, drinking fountains, recreation or
entertainment areas, transportation, or 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.
c. The offeror further agrees that (unless it has
obtained identical certifications from proposed
subcontractors for specific time periods) it will obtain
identical certifications from proposed subcontractors before
awarding subcontracts exceeding $10,000 that are not exempt
from the provisions of the Equal Opportunity clause; that it
will retain these certifications in its files; and that it
will forward the following notice to these proposed
subcontractors (except when they have submitted identical
certifications for specific time periods):
NOTICE
A certification of nonsegregated facilities must be
submitted before the award of a subcontract exceeding
$10,000 that is not exempt from the Equal Opportunity
clause. The certification may be submitted either for each
subcontract or for all subcontracts during a period
(quarterly, semiannually, or annually).
L.9 EQUAL OPPORTUNITY AFFIRMATIVE ACTION PROGRAM (Provision
10-4) (April 1989)
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072368-96-A-0099
The offeror, by checking the applicable block or
blocks, represents that it (1) [X] has developed and has on
file, [_] has not developed and does not have on file, at
each establishment, affirmative action programs as required
by the rules and regulations of the Secretary of Labor (41
CFR 60-1 and 60-2) and [_] has, [_] has not filed the
required reports with the Joint Reporting Committee, or
(2) [_] has not previously had contracts subject to the
written affirmative action program requirement of the rules
and regulations of the Secretary of Labor.
L.10 BUY AMERICAN CERTIFICATE--SUPPLIES (Provision 10-7)
(October 1987)
The offeror certifies that each end product, except
those listed below, is a domestic-source end product (as
defined in the Preference for Domestic Supplies clause) and
that components of unknown origin are considered to have
been mined, produced, or manufactured outside the United
States. Excluded end products [Offeror show country of
origin for each excluded end product]:
------------------------------------------
------------------------------------------
------------------------------------------
L.11 CLEAN AIR AND WATER CERTIFICATION (Provision 10-9)
(October 1987)
a. This certification applies only if (1) the offer
exceeds $100,000, (2) the offer is for an indefinite
quantity and indicates that orders for estimating quantities
will exceed $100,000 in any year, (3) a facility to be used
is listed on the EPA List of Violating Facilities because of
a criminal conviction, or (4) the contract is not otherwise
exempt.
b. The offeror (1) certifies, by checking the
applicable box, that any facility to be utilized in the
performance of the proposed contract [_] is, [_] is not,
listed on the Environmental Protection Agency List of
Violating Facilities as of the date of this proposal, and
(2) agrees to notify the contracting officer promptly if any
communication is received from the Environmental Protection
Agency before contract award indicating that any such
facility is under consideration for inclusion on the List.
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072368-96-A-0099
SECTION M - EVALUATION AND AWARD FACTORS
M.1 EVALUATION OF PROPOSALS FOR MULTIPLE AWARDS
In addition to other factors, proposals will be
evaluated on the basis of advantages and disadvantages to
the Postal Service that might result from making more than
one award (multiple awards). Individual awards will be for
the items or combination of items that result in the best
value to the Postal Service.
M.2 EVALUATION EXCLUSIVE OF OPTIONS (Provision OA 26)
(June 1988)
The Postal Service will evaluate offers for award
purposes by including only the price for the basic
requirement; i.e., options will not be included in the
evaluation for award purposes.
M.3 EVALUATION QUANTITIES -- INDEFINITE DELIVERY CONTRACT
To evaluate offers for award purposes, the Postal
Service will apply the offeror's proposed fixed-prices/rates
to the estimated minimum quantities detailed in Section A,
Items and Prices. The total evaluated quantities represent
the minimum that must be ordered under a resulting contract.
This estimate is not a representation by the Postal Service
that the estimated quantities will be all that will be
required or ordered. If multiple awards are made, the
minimum quantities shown will be distributed among the
successfull contractors based on Postal needs and contractor
production capabilities.
M.4 CONTRACT AWARD AND PROPOSAL EVALUATION
a. Award will be made to the responsible offeror whose
proposal contains the combination of those evaluation
criteria offering the best overall value to the Postal
Service. This will be determined by comparing differences
in the value of technical and management features with
differences in cost to the Postal Service. In making this
comparison, the Postal Service is concerned with striking
the most advantageous balance between technical and
management features and cost to the Postal Service. The
evaluation criteria to be used in determining which
proposal(s) offer(s) the best value to the Postal Service
are listed below in descending order of importance:
Past Performance
Production Capabilitles
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072368-96-A-0099
Current Management Capabilities
Financial Capabilities
Past Experience
b. Cost/price will be considered in the award
decision, although the award may not necessarily be made to
that offeror submitting the lowest price.
c. Subcontracting plans, if required, will be reviewed
for acceptability in the types and amounts of subcontracts
to small, minority-owned, and woman-owned business concerns,
if this solicitation results in a contract for more than $1
million ($500,000 for construction), the otherwise
successful offeror must have an acceptable Small,
Minority-owned, and Woman-owned Business Subcontracting Plan
to receive award of the contract. (See Clause 10-2, Small,
Minority-owned and Woman-owned Business Subcontracting
Requirements.)
M.5 ADRESSING THE TECHNICAL/MANAGEMENT EVALUATION CRITERIA
As required in the Statement of Work, the vendor shall
submit a "Just-In-Time delivery proposal including a plan to
meet the requirements of the solicitation that should also
address the evaluation criteria listed.
To insure that the above criteria are addressed in a
minimally acceptable fashion, the following guidelines are
provided:
a. Past Performance - Vendor should address Postal
Just-In-Time programs he/she has participated in and
describe efforts taken to achieve the goals of the program.
Vendor should provide the name and telephone number of a
Postal contact to use as a reference.
b. Production Capabilities - Vendor should assess and
describe his ability to provide the number of boxes required
in Section A, Items and Prices by providing current levels
of inventory and the maximum number of each type of box that
can be produced per month.
c. Current Management Capabilities - The vendor should
provide an organizational chart and discuss key employees to
be involved with the contract. The vendor should also
discuss his abilities to provide the telecommunications, ADP
equipment, and software required by the solicitation.
d. Financial Capabilities - The vendor must provide
documentation to affirm his ability to meet the financial
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072368-96-A-0099
requirements of this solicitation. Vendor must provide
financial statements and submit a financial plan that
demonstrates he has the working capital and/or other
resources to perform the contract.
e. Past Experience - The vendor should address any
non-Postal Just-In-Time programs he has participated in and
describe the efforts taken to achieve the goals of the
programs. Vendor should also provide references.
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<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from SEC Form
10-QSB and is qualified in its entirety by reference to such financial
statements.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> MAR-31-1996
<CASH> 432,746
<SECURITIES> 0
<RECEIVABLES> 4,326,244
<ALLOWANCES> 278,723
<INVENTORY> 2,922,644
<CURRENT-ASSETS> 8,094,217
<PP&E> 8,064,443
<DEPRECIATION> 6,398,066
<TOTAL-ASSETS> 9,760,594
<CURRENT-LIABILITIES> 3,506,061
<BONDS> 0
0
0
<COMMON> 818,625
<OTHER-SE> 3,844,059
<TOTAL-LIABILITY-AND-EQUITY> 9,760,594
<SALES> 4,946,120
<TOTAL-REVENUES> 4,946,120
<CGS> 3,498,708
<TOTAL-COSTS> 4,648,751
<OTHER-EXPENSES> 40,243
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 328,999
<INCOME-TAX> 136,387
<INCOME-CONTINUING> 192,612
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 192,612
<EPS-PRIMARY> .24
<EPS-DILUTED> .24
</TABLE>
