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Amendment 0005 to Solicitation Number SPE608-23-R-0200 1.3C Ship's Bunkers Program (SOUTHCOM)
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This contract modification pertains to Solicitation SPE608-23-R-0200, issued by the Defense Logistics Agency (DLA) Energy, and introduces critical compliance clauses related to U.S. sanctions on Russian fossil fuel activities. Specifically, Amendment 0005 adds two Defense Federal Acquisition Regulation Supplement (DFARS) clauses—252.225-7966 and 252.225-7967—that establish prohibitions against engaging in business operations with entities or individuals significantly owned or controlled by the Russian government or Russian fossil fuel companies. These clauses define key terms, outline representations that offerors must make regarding their non-involvement in Russian fossil fuel activities, and mandate flow-down requirements for all subcontractors. The clauses also specify exemptions, such as transit activities compliant with G7 price caps and actions supporting Ukraine, with restrictions extending until December 31, 2029. The solicitation emphasizes strict adherence to these sanctions-related provisions, requiring offerors to certify that they do not knowingly participate in prohibited Russian fossil fuel operations. The amendments align the contract with the mandates of the Fiscal Year 2024 National Defense Authorization Act and related sanctions policies, reflecting a strategic focus on compliance with U.S. foreign policy objectives. Aside from these clauses, other contractual elements such as scope of work, delivery schedules, evaluation criteria, and packaging requirements are either unspecified or not included in the provided documentation. The procurement process remains open with a proposal response deadline of December 8, 2025, and the primary points of contact are designated at DLA Energy’s Fort Belvoir office. Overall, the contract underscores a robust compliance framework aimed at preventing support for Russian fossil fuel enterprises, ensuring that all contractual and subcontracting activities adhere to the latest sanctions directives.
General Info
Place of Performance
Fort Belvoir, VA, USASet-Aside
Timeline
Submission Closed
Organization & Contact Information
Full Description
Amendment 0005 to Solicitation SPE608-23-R-0200
1.PURPOSE
The purpose of this amendment is to add DFARS 252.225-7966 and DFARS 252.225-7967 to Solicitation SPE608-23-R-0200.
2.ADDITION
DFARS 252.225-7966 PROHIBITION REGARDING RUSSIAN FOSSIL FUEL BUSINESS OPERATIONS—REPRESENTATION (Deviation 2024-O0006, REVISION 1) (MAR 2024)
(a)Definitions. The terms business operations and fossil fuel company have the meanings given in the252.225-7967 clause of this solicitation.
(b)Representation. By submission of an offer, the Offeror represents it is not, or that it does not knowinglyhave fossil fuel business operations with an entity or individual that is, 50 percent or more owned,individually or collectively, by—
(1)An authority of the government of the Russian Federation; or
(2)A fossil fuel company that operates in the Russian Federation, except if the fossil fuel company transportsoil or gas—
(i)Through the Russian Federation for sale outside of the Russian Federation; and
(ii)That was extracted from a country other than the Russian Federation with respect to the energy sector ofwhich the President has not imposed sanctions as of the date on which the contract is awarded.
(End of provision)
DFARS 252.225-7967 PROHIBITION REGARDING RUSSIAN FOSSIL FUEL OPERATIONS (DEVIATION 2024- O0006, REVISION 1) (FEB 2024)
(a)Definitions. As used in this clause—
“Business operations” means knowingly engaging in commerce in any form, including acquiring, developing,maintaining, owning, selling, possessing, leasing, or operating equipment, facilities, personnel, products,services, personal property, real property, or any other known apparatus of business or commerce. The term doesnot include—
(1)Any shipment subject to price caps as specified in the—
(i)“Statement of the G7 and Australia on a Price Cap for Seaborne Russian-Origin Crude Oil”, issued on December2, 2022, between member countries of that coalition; or
(ii)“Statement of the G7 and Australia on Price Caps for Seaborne Russian-Origin Petroleum Products Berlin,Brussels, Canberra, London, Ottawa, Paris, Rome, Tokyo, Washington”, issued on February 4, 2023, between suchmembers, if such shipment complies with the applicable price caps; or
(A)Actions taken for the benefit of the country of Ukraine, as determined by the Secretary; or
(B)Actions taken to support the suspension or termination of business operations for commercial activitiesduring the period beginning on the effective date and ending on December 31, 2029, including—
(1)Any action to secure or divest from facilities, property, or equipment;
(2)The provision of products or services provided to reduce or eliminate operations in territoryinternationally recognized as the Russian Federation or to comply with sanctions relating to the RussianFederation; and;
(3)Activities that are incident to liquidating, dissolving, or winding down a subsidiary or legal entity inRussia.Fossil fuel company means an entity or individual that—
(1)Carries out oil, gas, or coal exploration, development, or production activities;
(2)Processes or refines oil, gas, or coal; or
(3)Transports, or constructs facilities for the transportation of, Russian oil, gas, or coal.
(b)Prohibition. In accordance with section 804 of the National Defense Authorization Act for Fiscal Year 2024(Pub. L. 118-31), the Contractor is prohibited from entering into a subcontract or other contractual instrumentfor the procurement of products or services with any entity or individual that is known to be, or that is knownto have fossil fuel business operations with an entity or individual that is, not less than 50 percent owned,individually or collectively, by—
(1)An authority of the government of the Russian Federation; or
(2)A fossil fuel company that operates in the Russian Federation, except if the fossil fuel company transportsoil or gas—
(i)Through the Russian Federation for sale outside of the Russian Federation; and
(ii)That was extracted from a country other than the Russian Federation with respect to the energy sector ofwhich the President has not imposed sanctions as of the date on which the contract is awarded.
(c)Subcontracts. The Contractor shall insert the substance of this clause, including this paragraph (c), in allsubcontracts and other contractual instruments, including those for the acquisition of commercial products orcommercial services.
(End of clause)
3.TERMS AND CONDITIONS
Except as provided herein, all other terms and conditions of Solicitation SPE608-23-R-0200 remained unchanged and in full force and effect.
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