1 Johnson Space Center RFP Pricing WebEx Advance Technology and Integration Contract (ATIC) Volume III, Price Proposal Overview July 25, 2013 Wally Khan Cost/Price Analyst

2 Agenda Streamlined Procurement Team (SLPT) –Pricing Process Government Resource Estimate (GRE) Workbook Templates Overview –Technical Resources Summary Template (TRST) –Subcontracting Arrangement Information (SAI) – Total Compensation Templates – TC (a) – (e) Common Errors

3 The SLPT Pricing Process What does the SLPT do with your price proposal: For those Offerors who are determined to be “Acceptable” or “Potentially Acceptable” under the Technical Acceptability Factor per Section M.3: –Read all narrative portions of the Price Volume –Verify consistency between Price Volume and Technical Acceptability Volume

4 The SLPT Pricing Process (Continued) –Perform price analysis (and may perform cost analysis) of proposed IDIQ prices and the Fully Burdened Labor (FBL) Rates If the FBL rates proposed in Section B of the model contract differ from the FBL rates used in the developing the proposed price, the FBL rates in Section B will take precedence for evaluation purposes –In accordance with FAR (a)(1), cost analysis may be appropriate to establish the reasonableness of proposed prices –Present the results of price analysis, and cost analysis (if applicable), to the Source Selection Authority (SSA) for selection purposes

5 Government Resource Estimate (GRE) What is the GRE? –Government’s best estimate of resources (FTE and skill mix) and Non-Labor Resources (NLR) that may be required to perform all the Task Order (TO) requirements –Grass roots estimate, not budgetary GRE are provided to Offerors (Section L, Table L-4, L-5 and L-6) to assist in assessing the general overall scope of the contract –Labor and Non-Labor GRE for TO 1, TO 2 and TO 3 are provided for Contract Year 1 –Cumulative Labor FTEs by Skill Mix (Historical SLCs with current GRE for CY 1) The GRE is not intended to influence the Offeror’s proposed estimates. Offerors shall develop their own estimates that are: –Consistent with Offeror’s Technical and Management Approach

6 Workbook Templates Price and Other Workbook (Section L, Attach L-03) -Technical Resources Summary Template (TRST)* -Subcontracting Arrangement Information (SAI)* -Total Compensation Templates – TC(a) through TC(e)** *Required of Prime Only **Required of Prime and each Major Subcontractor (with estimated annual contract value of $500K or more)

7 Common Errors Price Proposals with omissions: –Lack of price narrative to assist the SLPT in determining the reasonableness of the Offeror’s proposed price –Some major subcontractors fail to provide their proposed incumbency retention percentage(s) as required in specific RFP template(s) Logic Issues –Inconsistent content within the cost proposal Failure to follow template instructions: –Using hard numbers instead of formulas where appropriate –Placing Fully Burdened Labor Rates where Direct Labor Rates are Required

8 Lack of consistency between different areas of the proposal: –Technical/Management –Price –Section B of the Model Contract Common Errors (Continued)

Price Proposal Overview Questions? 9