SECTION B  _______________________________________________________


SUPPLIES OR SERVICES AND PRICE

   
1.  General_Information:  This section is prepared by the DPW 

Performance Work Statement writer.  The section contains a brief 

description of the supplies or services; e.g. line item number, 

national stock number or part number.  If applicable, the title or 

name identifying the supplies or services and quantities are also 

entered in this section. Optional Form 336 (OF 336) may be used if 

available.  


     NOTE_TO_WRITER:  For more detailed information, see 
          Part 10, "Specifications, Standards, and other Purchase 
          Descriptions," Part 42, "Contract Administration," and Part 
          53, "Forms" of the FAR.


2.  Instructions: 


    a.  SECTION B - Supplies or Services and Prices/Costs of a 

contract are usually referred to as the "Bid Schedule."  This 

schedule is used to establish contract unit prices and is used as a 

basis for establishing reductions to payments in the event a 

Contractor fails to perform.  Prices for a service can be extremely 

difficult to define and measure.  A service may have a few or many 

separate tasks which must be performed in order to accomplish the 

requirement.  Due to the difficulties in measuring costs, service 

contract solicitations normally require only a bottom-line price.  
   
This bottom-line price is used as a basis in cost comparisons.  In 
 
an Invitation for Bid (IFB), a prospective Contractor is required to





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submit only a bottom line price, if that bottom-line price includes 

the provision of all specified requirements.  When a breakout of 

costs is required for contract administration purposes, the PWS 

writer should provide the Contracting Officer with a recommended 

method for such breakout, based on minimum functional requirements.  

The PWS writer should recommend a bid schedule that itemizes costs 

to determine how reductions can be made; e.g., replacing specific 

air conditioning units, heat pumps, air handlers, (specify size), 

thermostates, breaker panels, and etc.  The PWS writer should 

use the numbering system described in DFARS Subpart 4.71, as 

illustrated in this guide.  If this numbering system is not used, a 

system that indicates line and subline designations may be adequate 

since the DOC will transfer the information to standard forms.  


 
    b.  The Contracting Officer is responsible for determining the 

type of contract to be used (e.g., fixed-price or cost-plus).  For 

Real Property Maintenance Activities (RPMA), success in contracting 

will depend heavily on the writing skills of the PWS writer.  

However, the DPW staff must be prepared to give the Contracting 

Officer prompt and complete support, including assistance in price 

negotiations.  


    c.  For any services contract, the PWS writer should include 

the following bid schedule information:


         (1)  A brief description of the service(s) being acquired;


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         (2)  Any provision for the quantity of work or frequency 

              of performance;




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Information contained in SECTIONS C, D, E, and F, relating to 

specific line items, should be sufficiently referenced in SECTION B 

to ensure that potential bidders will not omit any item of cost.  

SECTION B should, therefore, establish a mechanism for complete and 

thorough pricing.  


    d.  If ongoing service contracts are to be included in the 

solicitation upon their expiration, then the "units" column should 

reflect the correct number of intervals that the selected service 

is to be provided.  Further, seasonal services such as preventive 

maintenance on A/C systems/operations should not be spread over a

full year.  Such items should be defined in the "units" column 

only for the appropriate periods of performance.  This will assist 

in preventing potential performance problems for work not performed, 

or performed during inappropriate times and conditions.  Estimated 

requirements (nonrecurring work ordered only as needed) must be 

forecast as accurately as possible in the bid schedule.  


    e.  Unit costs should include all applicable overhead and 

profit.  Requirements may be priced on a variety of unit rates 

(e.g., linear feet, air-conditioner size, cooling towers (type and 



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size) ventilating systems (type and size) dependent upon the 

services required.  The PWS writer should determine the best 

pricing method to meet the installation's need.  The Contracting 

Officer will, in most instances, include standard clauses 

concerning limitations on ordering and possible adjustments for 

contract prices, based on percentages of increase or decrease from 

estimated quantities, or other unforeseen conditions or 

circumstances.  


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    f.  Potential Contractors should be furnished with or directed 

to historical data that may be reviewed and copied if desired.  

This data may either be provided in SECTION B or may be provided 

as an attachment.  If lengthy, an attachment can be used and 

referenced in SECTION J.  Historical information is normally public

information that should be provided to all potential bidders.  The 

historical information should cover a three (3) year period if 

available.  The PWS writer should identify nonrecurring or 

infrequent items of work by category or function if possible.  

Bidders should be cautioned that historical information is provided 

only as an aid and may not reflect the true costs that a Contractor 

will encounter.  Failure to caution Contractors in this way may 

lead to claims against the Government.  

         g.  The Contractor's responsibilities and the work level 

definitions contained in SECTION H should not be identified to 

either the Davis/Bacon or Service Contract Acts.  Work levels are 

developed only to show a clear and concise method to separate 


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functions and the costs of performing work and to insure that the 

successful Contractor cannot pick or choose work to be performed. 


    h.  The PWS writer should identify all facilities and equipment 

that will be operated and maintained under the contract, including 

known projected changes.  The PWS writer should specify frequencies 

of operation and maintenance where applicable.  Also, the PWS 

writer should define, to include any limitations, work 

authorization documents used in local installation procedures.  

Nonrecurring or intermittent work may be projected as a percentage 




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factor against total contract price.  Bidders should be required to 

project their own labor to perform recurring operations except for 

those functions that are estimated by the writer in the indefinite 

delivery portions of the contract.  Information of this type that 

has been widely distributed without protection normally should not 

be withheld from any bidder.  Any information identified as 

potentially exempt from public review should be marked "FOR 

OFFICIAL USE ONLY".


    i.  Bidders should be cautioned that volume of work histories 

should not influence bids since such work might not be awarded to 

the Contractor in the same quantities.


3.  Example:  Following is a partial example of a bidding 



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schedule for A/C and refrigeration plants and systems services.  

It should be modified as needed to meet installation requirements.  




























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