The Office of the Under Secretary of Defense through the Executive Agency of the U.S. Army Corps of Engineers (USACE) anticipates the competitive award of a one-year follow-on pilot requirements contract to provide a centrally-managed source of Worke rs' Compensation Insurance as required by the statutorily mandated Defense Base Act (DBA). This follow-on Centrally-Managed DBA insurance pilot program is expected to provide further statistical and claims management data as a means to assess whether i t might be advantageous for the Department of Defense (reduction in rates, improvements in contractor participation in overseas procurements, establishing effective competition, expansion of the program beyond the U.S. Army Corps of Engineers, and all oth er factors considered) to award a contract under Phase II to one insurance carrier. Under this follow-on pilot program, the contractor's requirement by law to provide overseas employees with insurance coverage pursuant to the Longshoremen's and Harbor Wor kers' Compensation Act/ Defense Base Act or DBA, would be centrally managed by a single insurance carrier during the contract duration, unless a waiver has been obtained from the U.S. Department of Labor. The successful insurance carrier shall deal dire ctly with the companies requiring DBA insurance for payment arrangements and resolution of issues. No Government funds will be allocated under any agreement or contract governing the administration of the Centrally-managed Pilot Program. Reimbursement fo r DBA insurance will be under the appropriate USACE District/Center contract. As intended by this Sources Sought, the Government is attempting to gather market research information. Therefore, interested parties should provide the following information: (1) Any historical data from the previous year to include average DBA Insura nce Rates by geographical location and by labor risk category; (2) a brief concept of operations statement for a centralized program in Phase II; (3) advantages and disadvantages over the status-quo Phase I operation; (4) and a brief description of poten tial for teaming and potential to reduce adverse impacts to the existing insurance industrial base, which includes all groups under the Small Business Act. Responses should be sent to Lynn Harper, either via email at:
[email protected] or mail to U.S. Army Corps of Engineers, Humphreys Engineer Center Support Activity, Contracting Office, ATTN: Lynn Harper, 7701 Telegraph Road, Alexandria, VA 22315. Responses must be received no later than 1400 hrs, EST on 20 September 2006. The existing Requirements Contract under the USACE Centrally-Managed DBA Pilot Program, Phase I, with The Continental Insurance Company, DBA CNA Insurance, 333 S. Wabash Ave, Chicago, IL, will expire on 30 November 2006. The government reserves the right to extend that contract, in accordance with the terms of the contract, as necessary. The enormous benefits demonstrated and realized by the government under the Phase I operation and the potential for even more savings and benefits has demanded that the g overnment under its stewardship responsibilities, complete the originally intended 2-years Pilot Program, which should end on or about 30 November 2007. Additionally, Congress in the FY 2006 Authorization Act has requested a study of the DBA Insurance Pro gram operations in Defense of which the USACE Centrally-Managed Defense Base Act (DBA) Pilot Program is a central part of the DOD Study.