S-- Amendment to clarify, make changes and Questions/Answers

Amendment 002 is issued to clarify the instructions to Offerors under Technical Quotations, beginning on page 20 of the solicitation, among other administrative amendments, see Attached Amendment, pdf file. Question: The pricing format in B.3 Schedule of Services/Pricing Schedule only includes line items for the Base year of the contract. Since this is potentially a five year contract, I was wondering how we submit pricing for the following four years? It is typical for this industry to have 3-5% increases each year. Answer: Under the description of the agreement, paragraph eight (8) stated a five year agreement; a base year does not apply. At the BPA establishment level, Please note that this is an agreement, vise a binding contract. Amendment 002 clarifies base year by removing the statement under the addendum to FAR 52.212.1, Instructions to Offerors- Commercial Items. The VA does have recurring needs to remove and clean this trash compactor which is intended to cover the entire performance period shown in paragraph 8 of the description of agreement. Question: Also, in Description of Agreement section 4.1 that any price increases must be have documentation and be approved by the Contracting Officer… Are there any guarantees on price increases? I am asking this because I am aware of the price increases we will face from our team subcontractor and must account for those in our pricing structure. Answer: In regards to price increases, and since amendment 002 is issued to clarify that a base year does not apply, it is assumed that Offerors will submit their prices for a five year period, including the opportunity to submit a price increase in writing. This procurement is not considered complex, and any price increase will be considered based on the written request received by the contracting officer. The initial price is considered based on competition, and other techniques, and future price increases can be based on factual industry data, that is typically used by the Government, as well as industry.