DECONSTRUCTING THE FEDERAL BID CRITICAL SUCCESS FACTORS IN WORKING WITH THE FEDERAL GOVERNMENT

Transcription

1 DECONSTRUCTING THE FEDERAL BID CRITICAL SUCCESS FACTORS IN WORKING WITH THE FEDERAL GOVERNMENT

2 ELIZABETH PERRIN FOUNDER, FEDERAL HOSPITALITY SOLUTIONS

3 Agenda Determining the customer s meeting needs An overview of the federal solicitation process Understanding how this process differs from a corporate RFP How to address each item before you respond to the bid Make sure you have all addressed all of the requirements included in the bid How to submit bid responses

4 BEFORE YOU RESPOND TO A BID

5 Your RFP Requirements Has the customer received all approvals? Determine if this a single event or part of a larger program? What is a fixed requirement? Mandatory Training? Dates? Location? Set Asides?

6 Budget Do they have sleeping rooms for attendees? Can they serve food and/or beverages? Can they pay meeting room rental? What are their audio visual requirements? Can you bundle these purchases?

7 THE FEDERAL SOLICITATION

8 The Corporate RFP Process Additional items may be added to contract during the course of the event. Business is Awarded Hotel receives bid through CVENT, Active Network, etc Customer and Hotel have conversations to review prices, terms, and conditions Hotel Salesperson reaches out to meeting planner to discuss specifics Hotel Submits Bid This is the normal normal sales process for corporate or association customers at the hotels you work with. They have an open door for clarifications, two way dialogue, and multiple opportunities to modify their statement of work. They are also able to go back to their customer after their bid is submitted for a best and final round of negotiations.

9 The Federal Procurement Process The federal procurement the rules a very simple: The bid is the bid, all questions must be submitted in writing and responses will be posted for all interested parties to see. Your vendor must submit their best and final offer the FIRST TIME. No One may not alter the statement of work during the event without written authorization from your contracting officer. Publish an RFP via a Government Procurement Portal Hotel Respond to RFP with Best and Final Offer Bid Is Awarded to Best Technically Acceptable Offer

10 Lets Look at an Federal RFP How do your customers requirements look in an RFP? As a vendor, how does this differ from a corporate RFP?

11 Firm

12 General Description Defines the type of contract Firm Fixed Price Cost-reimbursement Contracts Incentive Contracts Indefinite Delivery Contacts Time and Materials Contacts Labor-Hour Contracts Sealed Bidding Negotiation

13 Firm Fixed Price Contracts A firm-fixed-priced contract provides for a price that is not subject to any adjustment on the basis of the contractor's cost experience in performing the contract. This contract type places upon the contractor maximum risk and full responsibility for all costs and resulting profit or loss. It provides maximum incentive for the contractor to control costs and perform effectively and imposes a minimum administrative burden upon contracting parties

14 The Law There are Strict Legal Requirements with federal contracts. The one major difference between commercial & government contracting is the latter's strict legal requirements, which offer "little wiggle room. The two main repositories of legal requirements are the Federal Acquisition Regulation (FAR) and Competition in Contracting Act (CICA). The FAR is the "bible of government contracting and should be kept on your PC or desktop at all times to read when you do not understand a clause or provision. The Competition in Contracting Act (CICA) is what makes government contracting attractive to businesses. The law spells out the requirements of full and open competition, though it rarely happens.

15 Firm Fixed Contracts Limited Profits fees are allowed to be earned on federal government contracts. Cost type contracts place curbs on fees being: Research & Development -15 percent fee Architectural & Engineering - 6 percent fee Cost-plus Fixed Fee up to 10 percent fee The bulk of all other awarded contracts Firm Fixed priced by arrangement where there is no official profit limit, but competition usually limits profits to less than 15%.

16 Terms and Conditions in Federal Contracts The Termination for Convenience clause, referred to as a T4C which is rarely seen in the commercial sector except for some construction contracts is a clause allows the government to end a contract at any time for convenience. The Changes Clause which is virtually unheard-of in commercial contracts, allows the government to unilaterally change a contract at any time and for any reason. These clauses are of great SURPRISE to firms entering into government contracts, and they can cause great loss of anticipated revenue. The recent SEQUESTRATION by Congress caused these clauses to be invoked.

17 General Description, continued Defines any set asides Small Business Minority Women Owned Service Disabled Defines utilization of BPA s, GWAC s or IDIQ opportunities

18 Firm

19 This statement of work 6. Deliverables b. The facility shall provide lodging based on the following schedule: # persons # rooms Arrival Departure Total Students * 3/20/2013** 3/30/ # persons # rooms Arrival Departure Total d Instructors /23/2013 3/30/ *Students will be lodged 2 persons per room. *Staff will be lodged 1 person per room and will require parking space for a rental car for each instructor. The facility shall provide lodging based on the following schedule: **Students will be arriving in their own vehicles and will require parking for person passenger vans c. All lodging shall also include onsite breakfast, lunch, and dinner and will accommodate any special dietary requirements of the individuals. d. The facility shall have open grassy areas near the lodging and training areas for use of physical training daily of 200 students e. The facility shall provide seventeen (17) classrooms with the ability to hold 55 students in 3 classrooms and 35 students in 14 classrooms, with internet access for students and instructors to access training material and the internet. e. Access to classrooms will begin daily at 7:00 am and close at 10:00 pm from March 24-30, 2014.The facility shall provide office supplies, desks, chairs, internet access, markers, Audio and projectors able to run off a laptop, notepads, pens, pencils, paper, copier usage for minimal usage, and signage to direct students within the building or buildings. f. The facility shall provide a room with access to, or in the vicinity of, a loading dock with secure storage for receiving, storing instruction materials arriving the March 20th and the resending of excess materials through the shipping pickup on March 31st.

20 A Closer Look. In the statement of work, do you see any glaring omissions? A ballroom for 400 with a screen, projector, and no microphone? Now is the time to ensure accuracy You can t add it later without written approval

21 Firm

22 The Contract Clauses may not. SECTION 5 CONTRACT CLAUSES. 5.1 FAR Clauses OFFEROR REPRESENTATIONS AND CERTIFICATIONS-- COMMERCIAL ITEMS (NOV 2013) An offeror shall complete only paragraph (b) of this provision if the offeror has completed the annual representations and certifications electronically via If an offeror has not completed the annual representations and certifications electronically at the System for Award Management (SAM) website, the offeror shall complete only paragraphs (c) through (o) of this provision. (a) Definitions. As used in this provision-- "Economically disadvantaged women-owned small business (EDWOSB) concern" means a small business concern that is at least 51 percent directly and unconditionally owned by, and the management and daily business operations of which are controlled by, one or more women who are citizens of the United States and who are economically disadvantaged in accordance with 13 CFR part 127. It automatically qualifies as a women-owned small business eligible under the WOSB Program. "Forced or indentured child labor" means all work or service-- (1) Exacted from any person under the age of 18 under the menace of any penalty for its nonperformance and for which the worker does not offer himself voluntarily; or (2) Performed by any person under the age of 18 pursuant to a contract the enforcement of which can be accomplished by process or penalties. "Inverted domestic corporation", as used in this section, means a foreign incorporated entity which is treated as an inverted domestic corporation under 6 U.S.C. 395(b), i.e., a corporation that used to be incorporated in the United States, or used to be a partnership in the United States, but now is incorporated in a foreign country, or is a subsidiary whose parent corporation is incorporated in a foreign country, that meets the criteria specified in 6 U.S.C. 395(b), applied in accordance with the rules and definitions of 6 U.S.C. 395(c). An inverted domestic corporation as herein defined does not meet the definition of an inverted domestic corporation as defined by the Internal Revenue Code at 26 U.S.C

23 Manufactured End Product & Buy American Act Certificate Did you know? The federal government needs to understand where your vendors obtained the products used to service your event. Your contracting officer will have the best understanding of vendor sourcing requirements I recommend that properties insert a clause to state something along the following lines: All products utilized to service this event shall be/have been sourced within the United States. Due to seasonal availability, some produce sourced locally may have been imported as required to provide the highest quality possible to our customers.

24 Executive Order The Executive Order (E.O 11246) prohibits federal contractors and subcontractors and federallyassisted construction contractors and subcontractors that generally have contracts that exceed $10,000 from discriminating in employment decisions on the basis of race, color, religion, sex, or national origin. It also requires covered contractors to take affirmative action to ensure that equal opportunity is provided in all aspects of their employment. I strongly recommend you check with your Human Resource team to validate each box you check on a federal RFP!

25 The FAR Certifies the hotel offers these services to non-governmental customers and are provided to the general public. Stipulates that the services will be furnished at prices that are, or are based on, established catalog or market prices. Agrees that all employees paid under this contract are in compliance with federal labor standards, and that no wage or benefit was raised by the company for an individual employee to work on a government contract.

26 Read, Read, and Read again The FAR applies to each branch of the federal government. It is then up to each branch to further strengthen (but never loosen) the rules as they see fit. Your RFP response from any vendor may be automatic or generic to all federal bids. To ensure your bid meets your department s regulations, please read each line of every bid response!

27 Reading Responses View and read each response and corresponding attachments. If your property offers package pricing, understand how this offering can be tailored to the federal traveler. 1) Master Bill 2) EPO room, remainder to master 3) EPO room and food, remainder to master

28 Reading Responses If the dates in the RFP were not available at your property, make sure you respond and let the contracting officer know what dates they have open as an alternative. It may help to offer incentives or better price for the planner if they are able to have flexible dates If the RFP stated the requirement for a specific room type, but your feel a different room would be better suited for the group, offer both and include charts, pictures, graphics to showcase the property s ability to meet your group s needs.

29 Reading Responses. Most bids are submitted electronically. Hotels showcase their property by including electronic brochures, images, capacity charts, and any informational documents they can to personalize or showcase their offering. As site visits may be limited moving forward, this is a great opportunity to view their information. If you don t open the attachments, you may miss a great opportunity for your group.

30 Questions?