18 March 1997

MEMORANDUM FOR: All Potential Offerors

FROM: James T. Mannen

System Program Director of the

Integrated Program Office

SUBJECT: Request for Proposal for the National Polar-orbiting Operational Environmental Satellite System Sensor Payload and Algorithm Development Efforts -

Executive Summary

As announced in the Commerce Business Daily on 03 March 1997, the National Polar-orbiting Operational Environmental Satellite System (NPOESS) Integrated Program Office -- through the Department of Commerce's National Oceanic and Atmospheric Administration (NOAA) -- invites your company to respond to the attached request for proposal for the NPOESS Sensor Payload and Algorithm Development Effort. This office will evaluate and select sources for this effort in accordance with the Air Force FAR Supplement, Appendix AA - Formal Source Selection for Major Acquisitions and FAR Part 15.6, Source Selection.

The approach for these acquisitions anticipates the award of multiple, Cost-Plus-Fixed-Fee (CPFF) type contracts based upon full and open competition for this first phase of a progressive down-selection process. For each identified sensor or sensor suite, the Government contemplates the award of parallel sensor definition and development efforts for the first phase of this effort. In the event that a single award is made for any sensor or sensor suite, the resulting first phase contract will be on a Cost-Plus-Award-Fee (CPAF) basis and the Award Fee Plan will reflect pre-down-selection evaluation criteria.

At a specified development milestone (e.g. Preliminary Design Review) the Government will request a Call for Improvement (CFI) proposal for the purpose of conducting and evaluating a progressive down-selection intended to identify the single sensor developer offering the superior ("best value") design approach to continue the development and manufacture for each sensor type. Initial proposals will be required to price only the first phase of this effort, however, selected contractors must demonstrate the capabilities necessary to perform the entire effort. Although other offerors will not be precluded from consideration at the down-selection decision point, it is anticipated that only those contractors participating in the preceding phase will be capable of successfully competing for the next phase contract awards. Life cycle cost estimating and unit pricing will be requested as a part of the CFI. While the Government intends to down-select at the Preliminary Design Review, we reserve the right not to, and either extend the parallel development effort to a future down-selection milestone or to proceed with a full and open competition if that approach is determined to be in the Government's best interest.

This Request for Proposal is the product of significant early-industry involvement; through two industry days, two draft RFP releases and the disposition of over 1000 formal comments electronically submitted via the World Wide Web. This document also includes the first phase evaluation standards which are being provided to facilitate industry's understanding of the requirements and the basis for evaluating proposals.

You are advised that because of the significant early participation from industry that the NPOESS Integrated Program Office is not planning a pre-proposal conference. I would like to emphasize for those offerors planning to submit proposals that Past Performance information, along with identification of which sensors or sensor suites are being bid, are required to be submitted in advance of the balance of the proposal, but not later than the close of business on 11 April 1997. The remaining volumes of the proposal are due by close of business on 25 April 1997, in accordance with the Request for Proposal instructions.

Concurrent with the release of this Request for Proposals, both DoD and NOAA will be advised that a source selection is in progress and that briefings to them by participating offerors on the subject of this RFP are inappropriate prior to contract award. You are therefore advised not to attempt such briefings during this period. You are also advised that upon release of this RFP, the Contracting Officer, Mr. William S. Trombetta will become the sole point of contact for all industry contact, regarding this acquisition with the exception of Mr. Leslie L. Bordelon, Acquisition Ombudsman, who may be contacted at (310) 363-3818, for any issue which an offeror desires anonymity.

Any questions concerning this acquisition should be submitted in writing to Mr. Trombetta at the address shown on the RFP Cover Sheet (DDForm 1701, block 7.b.), or by contacting him at (310) 336-4460, or e-mail address: trombeta@dmsp.laafb.af.mil.

Attachment RFP F04701-96-R-0012