Procurement

1 BROOKHAVEN SCIENCE ASSOCIATES

Procurement

Dave Paveglio, Contract AdministratorNSLS-II PAC Meeting

May 25, 2007


Outline

• Procurement Staffing• Acquisition Strategy• Advance Procurement Planning• DOE Approval Requirements • Major Equipment Procurement Process• Building Construction Procurements• Procurement Challenges• Summary


Procurement Staffing

COMPLIANCE/POLICY OFFICER

Joel Pearman

PROCUREMENT MANAGERDavid E. Dale

Administrative Support: T. Stein

PROCUREMENT CONSULTANT

Barry Miller

CONTRACT ADMINISTRATOR

Construction

David Paveglio(Effective 4/1/07)

SR. CONTRACTS SPECIALIST Equipment/Construction

(Effective 10/1/07)

SR. CONTRACTS SPECIALIST

Major Equipment

George Woods

SR. BUYEREquipment/Materials

(Effective 10/1/07)

SR. BUYER Equipment/Materials

(Effective 10/1/07)


Staffing by Fiscal Year

1.1.3.5 Procurement

Category Assumptions FY07 OPC FY 07 FY08 FY09 FY10 FY11 FY12 FY13

Overall OPC Funding begins 10/1/2006

CD1 with PED funding beginning

1/2007

Labor Manager 440 1320 1760 1760 1760 1760 1760 1760

(in hrs)

Compliance Manager (Pearman) at 50% 0 660 880 880 880 880 880 440

Contracts Specialist (Paveglio)

4/1/2007 880 1760 1760 1760 1760 1760 1760

Contracts Specialist (Woods) 12/2/06 293 1173 1760 1760 1760 1760 1760 1760

Contracts Specialist starting 10/1/2007 1760 1760 1760 1760 1760

Buyer starting 10/1/2007 1760 1760 1760 1760 1760 880

Buyer starting 10/1/2007 1760 1760 1760 1760 1760

Total Hours 733 4033 11440 11440 11440 11440 11440 6600

Total FTEs 0.42 2.29 6.50 6.50 6.50 6.50 6.50 3.75

MaterialsContractor (Miller) to advise on

procurement 6250 18750 25000 25000

Materials $10K per year for the Group 3750 11250 10000 10000 10000 10000 10000 5000


Acquisition Strategy

• NSLS-II Acquisition Strategy Document • In accordance with DOE Directive M 413.3-1• DOE Approved Procurement System

• NSLS-II Project Team includes:• Dedicated Procurement Manager• Dedicated procurement support (2nd quarter FY07)• Procurement quality support

• Use of Full and Open Competition with Qualified Sources to the maximum extent possible


Procurement Strategy

Advance Procurement Planning

•Procurement Planning and Communication•Advanced Procurement Planning (SNS model) Procurements over 100k or Risk Significant

•Procurement Milestone Plans developed•Procurement schedules include consideration for procurement methods and approval requirements

•Procurement schedule and status reports to track procurement activities (SNS model)

•Close Communication with Project and Technical Staff•Communication with Procurement Counterparts from other DOE Laboratories


DOE Approval Requirements

• DOE-BHSO• Advance Notice for sole source procurements >

$100K• Buy American Act waivers > $100K• Procurements > $5M

• DOE- CH Procurements > $10M-25M• DOE-HQ Procurements > $ 25M


Major Equipment Procurement

• Major Equipment Acquisitions Time Phased to Correspond with the Project Schedule

• Procurement Strategies Established as Equipment Requirements Reach Maturity• Advanced Procurement Plans established with

Requisitioners• Major equipment acquisitions reviewed by NSLS-II Division

Directors• Close coordination during specification preparation to

identify key functional requirements


Major Equipment Procurement

• Procurements Utilize Request for Proposal “Best Value” (RFP) Method• Specifications supported by Functional Requirements• Schedule and Contractor Performance - Integral Part of

Proposal Evaluation Criteria• Evaluation criteria developed through close coordination

with Requisitioners• Procurements Publicly Announced on the

FedBizOps Website• Maximize competition• Develop New Sources


Fiscal Year 07 Major Procurements

• Description Amount RFP Award Comments

• A/E $15M 8/4/06(a) 6/29/07 on schedule

• C/M Agent $4.5M 5/07 7/07 on schedule


Fiscal Year 08 Major Procurements


• Site Clearing 2.75M 8/08 10/08 Funding ?


Fiscal Year 09 and 10 Major Procurements


• Linac 5M TBD FY09 FY 08 Planning• Storage Ring Mag 19M TBD FY09 FY 08 Planning• Vacuum System 20M TBD FY09 FY 08 Planning• Power Supplies 13M TBD FY09 FY 08 Planning• RF Cryogenics 5M TBD FY10 FY 09 Planning• Wiggler Magnets 8M TBD FY09 FY 08 Planning• Ring Building 154M 9/08 02/09 FY 07 Planning• Chilled Water 12M TBD FY09 FY 08 Planning• RF Cavities 6M TBD FY09 FY 08 Planning• Process Water 6M TBD FY09 FY 08 Planning• Compact Booster 13M TBD FY09 FY08 Planning


Conventional Construction is planned as a Request for Proposal "Best Value” procurement.

• Comparative weighing of the evaluation factors and sub-factors identified in the Request for Proposal (RFP).

• Employs a trade off process permitting award to other than the low priced offeror or to the highest technically rated offeror.

• Involves selecting the most advantageous offer based upon an integrated assessment of both non-cost/price factors, taking in their assigned relative importance.

• Greatest overall cost/performance benefit to the Project and DOE.

Conventional Construction Procurement


Draft Evaluation Criteria•Experienced Project Manager and Superintendent•Specialized large complex project experience and technical competence

•Abilities in overall project coordination and management•Past performance on contracts of similar complexity in terms of cost control, quality of work, and compliance with performance schedules;

•Experience and qualifications of proposed subcontractors•The volume of past and present workloads•Safety record better than Industry Average

Conventional Construction Procurement


Procurement ScheduleConventional Construction


Conventional Construction Schedule

• Draft Request for Proposal (RFP) 6/07-8/07• A/E Delivers Title I 10/07• Draft RFP to DOE BHSO 11/07• DOE Procurement Validation Review 1/08• Draft RFP issued to industry 3/08• Industry Feedback 4/08-5/08• A/E Delivers Title II 9/08• Finale RFP Issued 10/08• Contract Award 2/09



NSLS II Project must achieve the Critical Construction Schedule Award Date of

February 31, 2009. Progressive and parallel reviews of draft documents, Comment Resolution and team work between NSLS II Project and DOE is essential in meeting this mission critical schedule need.

November 2007•Draft Request for Proposal, Contract , Terms and Conditions and Title I Design submitted

to DOE.

January 2008•DOE Procurement Validation Team charged with reviewing Draft Procurement Documents •Team Representation:

•BHSO•DOE (CH)•DOE (HQ)



February 2008• DOE Procurement Validation Team Feedback:

Review and incorporate comments from Validation TeamIssue a Matrix indicating the comments issued and actions taken

March 2008• Draft RFP issued to prospective offerors to industry for initial feed back on Procurement

Documents.

April 2008• RFP comments received from industry• Expectations include but are not limited to the following:

Expression of interest will be known Evaluation Criteria validated Schedule Validated Project success/ feasibility validated Constructability feedback



May 2008 • Draft RFP and Industry feedback shared with A/E and CM• NSLS-II Procurement group begins final RFP development September 2008• A/E delivers final Title II DesignOctober 2008• Final RFP issued to industryNovember 2008 - December 2008• Proposals received, evaluated, firm selected and contract documents prepared for DOE.December 2008 - January 2009 • DOE reviews/approves Contract Award

February – 2009

• BSA makes award


Major Procurement Challenges

FY 07• Establishing Advance Procurement Plans for FY 07 R&D• A/E Planned Award June 29, 2007• Construction Management Planned Award July 07

FY 08• Establishing Advance Procurement Plans for FY 08 and 09• Site Clearing, Planned Award 10/08

• Completion of A/E Design, Planned completion 8/08• General Construction Ring Building Planned RFP 9/08


Summary

• Acquisition Strategy has been developed• Procurement Integrated into the Project Team

with dedicated Procurement Management • Procurement Staffing Plan established• Advance Procurement Planning Process • Procurement schedule includes consideration

of procurement methods and required approvals

• Procurement Plan for critical path conventional construction established

Procurement

Business

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