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vi.

the project. The WBS as proposed by the offeror con-
verts the proposed SOW into identifiable tasks which

can be scheduled and priced for the proposal and can
later be used for tracking performance. The WBS de-
veloped for the technical proposal provides the basis
for the cost estimate and is to be used to estimate the
cost in Exhibit E to task level three (see description
in Appendix H of this PON) by cost element detail
(labor, material, overheads, other direct cost, etc.).
At this time cost information below level three is not
desired; however, the cost details to the lowest level
of the WBS may be required later and should be ready
for submission when requested. The proposed costs in
Exhibit E should be expressed in whole dollars and be
summarized into estimated costs for the total project,
and individual phase, and task.

Exhibit F: Cost-Sharing Arrangement

The purposes for this exhibit are two-fold. First is
to provide a summary of the proposed cost-share for the
project, showing the anticipated percentages and amounts
for the participants and the totals for each phase.
The second is to identify and provide information for

the cost-sharing portion of the project for each phase.
The offeror is reminded that the proposed cost-sharing
must be at least 50 percent by the offeror for the
total project and for each of the project phases as
defined in SECTION IV.2.2(d). In determining the
allowable project costs and the Government's share of
these costs, the cost-sharing policies and guidelines
discussed in SECTION VI of this PON must be adhered to.
The cost-share amounts for the exhibits should be
expressed in whole dollars. As a minimum provide the
information required in Exhibit F of Appendix G.

(b) SECTION TWO: ADDITIONAL INFORMATION

The offeror shall furnish all information requested below, if applicable. The offeror shall be responsible for subcontractor and consultant submissions.

i. Subcontracts:

In addition to a subcontract list required

by the Material Section in support of the SF 1411, the following information is required for planned subcontracts of $500,000 or more:

(1)

The number of quotations solicited and received.

(2) The cost or price analysis accomplished, including a cost element analysis by the offeror as to the allocability, allowability, and reasonableness of the

costs proposed.

(3) Names and addresses of the subcontractors tentatively selected and basis of selection, i.e., low bidder,

delivery schedule, technical competence, etc.

(4) Type of contract contemplated.

(5) Affiliations with the proposer (prime contractor), if

any.

ii. Consultants: For each consultant proposed, the following information should be supplied with the proposer's Cost Proposal:

(1) Resume.

(2) Details of what cost elements are included in the

rate, and what costs will be charged in addition to the rate.

(3) Five (5) invoices submitted to private industry that

support the proposed rate, and confirmation of payment;

or

Employment history for the previous three (3) years,

including salary and rate history, covering only

those times when the consultant worked 20 days or

more.

(4) A proposed consulting agreement between the offeror

and the consultant.

(5) A signed statement from the consultant that the pro-
posed rate is a "Most Favored Customer Rate," or the
reason it was not offered.

(6) A rate comparison from the offeror which indicates that the rate proposed is comparable to the rates of other consultants doing similar types of work. The offeror may be asked to provide the names of the other consultants used in the comparison.

(c) SECTION 3: SUMMARY OF EXCEPTIONS, DEVIATIONS AND ASSUMPTIONS

The proposer shall identify and explain any exceptions, deviations, or conditional assumptions taken with respect

to the requirements of this Cost Proposal. Any exceptions, etc., taken must contain sufficient explanation and justification to permit evaluation. All benefits to the Government shall be explained for each exception taken. Such exceptions will not, of themselves, automatically cause a proposal to be termed unacceptable, however, a large number of exceptions, or one or more significant exceptions not providing benefit to the Government may result in rejection of the proposal as unacceptable.

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