Long-Term Storage and Vendor-Managed Inventory (VMI) Services for Government-Owned Microelectronics

1. Scope of Requirement

DLA Weapons Support is conducting market research to identify potential sources capable of providing comprehensive Vendor-Managed Inventory (VMI) storage, management, packaging, and distribution (including packaging and shipping to third party integrator) for Government-Owned, serialized microcircuits.

Management of inventory includes execution of full suite of Electronic Data Interchange (EDI) ANSI X.12  transactions and maintenance of data in the Procurement Integrated Enterprise Environment (PIEE), including the Government Furnished Property (GFP) Module and/or Item Unique Identification (IUID) Registry.  Management also includes delivering Contract Data Requirement List items such as annual inventory reports and inventory management plans.

All hardware to be stored and managed is 100% manufactured and has been inspected, accepted, and is owned by the Government. The contemplated effort is strictly for logistics and warehousing services; no manufacturing, specialized electrical acceptance testing, or original design technical data packages (TDPs) are involved.

DLA is contemplating firm fixed price contracts with a one year base period and up to eight one-year option periods.  Beginning date for base period is TBD, and contract price structure is subject to change.

2. Key Technical & Operational Requirements

Vendor Managed Inventory service includes, but is not limited to, entering the Government property into the Contractor’s inventory management system; storing these items in a secure location to prevent their accidental loss, theft, or tampering; transferring these items from inventory to fill authorized requests, and generating the necessary inventory reports in accordance with established DLA VMI practices.

Delivery of an inventory management plan in accordance with FAR 52.245-1, to include quality control, subject to approval by DLA.  

Inventory plan and management system must be capable of accounting for assets by serial number or unique item identifier (UII, as defined by DFARS 252.211-7003) from acceptance to transfer to using entity.

Capability to maintain, monitor, and certify long-term storage environments within contractor owned facility until material is transferred out of VMI.  Storage must be specifically designed to prevent oxidation and moisture-induced degradation of microcircuits in accordance with GEIA-STD-0003A.  Storage duration is to be determined.

Requirement may include packaging, handling, and transportation for shipments to the next higher assembly (NHA) integrator.  Upon authorized release and removal from inventory, the contractor would be required to prepare, package, and transport microcircuits IAW MIL-STD-2073/1, and MIL-STD-129.

Capability to establish, test, and maintain production Defense Logistics Management Standards (DLMS) EDI transaction feeds per DLA EDI Onboarding Guide

Generate reconciliation reports at the end of each month for NIINs in inventory to determine the physical inventory remaining at the Contractor’s location. This inventory record would be generated using Contractor’s inventory management system. Provide inventory detail reports, balances, and transaction history to support requests from external and internal auditors.

Perform annual audits in coordination with DLA and in accordance with DLAI 4000.02, DLA Annual Physical Inventory Control Program (PICP) for Non-Energy WCF Material (Enclosure 4), and submit required documentation as defined therein.  Additional support required for all Government audits, including providing access to Contractor facilities used in the execution of this contract, providing information pertaining to execution of contract objectives and tasks, and supporting meeting requests during audit execution and any audit report reviews.

Capability to dispose of all unusable inventory in accordance with CNSSI 3006 upon notification by the Government.  

3. Capability Statement Questionnaire (Requested Industry Input)

Interested parties are requested to submit a brief Capability Statement (maximum 5–10 pages) addressing the following criteria:

1. Company & Business Profile:
   • Company Name, CAGE Code, UEI, Point of Contact information.
   • Business Size Status under NAICS 493190 (Small Business, 8(a), HUBZone, SDVOSB, WOSB, or Large Business).
2. Technical & Storage Experience:
   • Describe your facility’s capabilities and past performance in executing long-term storage of sensitive microelectronics under GEIA-STD-0003A and ANSI/ESD S20.20.
   • Outline your environmental monitoring systems (temperature, relative humidity, nitrogen purge/dry box controls) and contingency backup protocols.
   • Describe your company’s experience/ability to handle and package microelectronics.
3. Systems Integration & EDI Capabilities:
   • Detail your experience integrating internal Warehouse Management Systems (WMS) with DoD/DLA systems via DLMS/EDI ANSI X.12.
   • Estimate the standard timeline required for your firm to complete end-to-end EDI ANSI X.12 onboarding and validation testing with DLA Transaction Services.
4. Government Property & Inventory Controls:
   • Describe your approved Government Property Management System compliance with DFARS 252.245-7005 and FAR 52.245-1.
   • Outline your process for conducting annual 100% wall-to-wall physical inventories and handling Supply Discrepancy Reporting (SDR) Product Quality Deficiency Report (PQDR) quarantine staging per DLAI 4000.03.
5. Security & Facility Controls:
   • Confirm facility security measures and capability to securely store and handle Controlled Unclassified Information (CUI) and mission-critical hardware.
6. Contract Pricing:
   • DLA is open to alternative pricing arrangements (e.g., hybrid FFP/Transactional or Time-and-Materials for logistics services). Please briefly describe the pricing structure your firm typically uses to optimize cost efficiency and predictability for this scope of work.
   • Cost Accounting System: Indicate whether your firm possesses a Defense Contract Audit Agency (DCAA) approved cost accounting system. If approved, provide the date of the last audit and the cognizant DCAA office.
   • Forward Pricing Rates: Confirm whether your firm has established Forward Pricing Rate Agreements (FPRAs) or Forward Pricing Rate Recommendations (FPRRs) with DCAA/DCMA. If so, specify the validity period.

4. Applicable Reference Documents & Access Instructions

To assist industry in preparing responses to this notice, the Government is referencing the following standards and documents.

• DLA Transaction Services EDI Onboarding Guide: Attached directly to this SAM.gov announcement.
• DLAI 4000.02 is available at https://dlamil.dps.mil/sites/DLA_Issuances. 
• DLAI 4000.03: Interested vendors may request a copy of these issuances by contacting ryan.collier@dla.mil
• Military Standards: The following public military standards apply to this requirement and are available online via the Defense Logistics Agency and Assist Quick Search databases (https://quicksearch.dla.mil/):
  • MIL-STD-2073-1 – Standard Practice for Military Packaging
  • MIL-STD-129 – Military Marking for Shipment and Storage
• GEIA-STD-0003A (Standard for Long-Term Storage of Microcircuit Packages):
  • Notice: This is a copyrighted, commercially licensed standard published by SAE International. The Government will not provide copies of this document.
  • How to Obtain: Interested parties must obtain their own copy of this standard through authorized commercial distributors, such as SAE International (https://www.sae.org) or IHS Markit. Compliance with this standard is a mandatory threshold requirement for contract performance.

This Source Sought Notice (SSN) is for planning and market research purposes only and shall not be construed as a commitment by the Government. The information gathered from this announcement will be used to determine if responsible sources exist and to assist in determining if this effort can be competitive.

Furthermore, the Government will use the information, in part, to determine the best acquisition strategy for a potential procurement action and to assist in making future acquisition strategy decisions.

This is not a request for quote or proposal. The Government does not intend to award on the basis of this SSN or reimburse any costs associated with the preparation of responses to this SSN.