16.2 Small Business Innovation Research (SBIR)

AIR FORCE

16.2 Small Business Innovation Research (SBIR)

Direct to Phase II Proposal Instructions

AllPhaseIIproposalsmustbepreparedandsubmittedthroughtheDepartmentofDefense(DoD) SBIR/STTR electronic submission site:

The offeror is responsible for ensuring that their proposal complies with the requirements in the most current version of this instruction. Prior to submitting your proposal, please review the latest version of these instructions as they are subject to change before the submission deadline.

Please note that there have been changes made to these instructions.Firms must ensure their proposal meets all requirements of the solicitation currently posted on the DoD website at the time the solicitation closes. Incomplete proposals will be rejected.

I. DIRECT TO PHASE II

15 U.S.C. §638(cc), as amended by NDAA FY2012, Sec. 5106, PILOT TO ALLOW PHASE FLEXIBILITY, allows the Department of Defense to make an award to a small business concern under Phase II of the SBIR program with respect to a project, without regard to whether the small business concern was provided an award under Phase I of an SBIR program with respect to such project.Air Force is conducting a "Direct to Phase II" implementation of this authority for this 16.2 SBIR solicitation and does not guarantee Direct to Phase II opportunities will be offered in future solicitations. Each eligible topic requires documentation to determine that Phase I feasibility described in the Phase I section of the topic has been met and the technical requirements for a Direct to Phase II proposal.

II. INTRODUCTION

Please review the U.S. Department of Defense Small Business Innovation Research (SBIR) Program Solicitation 16.2. The Air Force (AF) 16.2 Direct to Phase II proposal submission instructions are intended to clarify the Department of Defense (DoD) instructions as they apply to AF requirements.The Air Force Research Laboratory (AFRL), Wright-Patterson Air Force Base, Ohio, is responsible for the implementation and management of the AF Small Business Innovation Research (SBIR) Program.

For general inquiries or problems with the electronic submission, contact the DoD SBIR/STTR Help Desk at [1-800-348-0787] or Help Desk email at [ (9:00 a.m. to 6:00 p.m. ET Monday through Friday). For technical questions about the topics during the pre-solicitation period (22 April 2016 through 22 May 2016), contact the Topic Authors listed for each topic on the Web site. For information on obtaining answers to your technical questions during the formal solicitation period (23 May 2016 through 22 June 2016), go to

General information related to the AF Small Business Program can be found at the AF Small Business website, The site contains information related to contracting opportunities within the AF, as well as business information, and upcoming outreach/conference events. Other informative sites include those for the Small Business Administration (SBA), and the Procurement Technical Assistance Centers, These centers provide Government contracting assistance and guidance to small businesses, generally at no cost.

The AF SBIR Program is a mission-oriented program that integrates the needs and requirements of the AF through R&D topics that have military and/or commercial potential. Efforts under the SBIR program fall within the scope of fundamental research. The Under Secretary of Defense (Acquisition, Technology, & Logistics) defines fundamental research as "basic and applied research in science and engineering, the results of which ordinarily are published and shared broadly within the scientific community,” which is distinguished from proprietary research and from industrial development, design, production, and product utilization, the results of which ordinarily are restricted for proprietary or national security reasons. See DFARS 252.227-7018 for a description of your SBIR/STTR rights.

Firmsmustqualifyasasmall businessconcernasdefinedintheDoDSBIRsolicitationatthetimeofPhaseIIaward.Firmsarehighly encouraged toreviewtheDoDSBIR/STTRSolicitations requirements.

NOTE:Air Force reserves the right to not make any awards under thisDirect to Phase II solicitation. TheGovernmentis notresponsibleforexpendituresby theofferorpriorto awardofa contract.All awardsaresubjecttoavailabilityoffundsandsuccessfulnegotiations.

Direct to Phase II proposals must follow the steps outlined below:

STEP 1:

1. Offerors must create a Cover Sheet using the DoD Proposal submission system (follow the DoD Instructions for the Cover Sheet located in section 5.4.a. Offerors must provide documentation that satisfies the Phase I feasibility requirement* that will be included as an Appendix to the Phase II proposal. Offerors must demonstrate that they have completed research and development through means other than the SBIR/STTR program to establish the feasibility of the proposed Phase II effort based on the criteria outlined in the topic description.

The Cover Sheet and applicable documentation must be submitted to by 6:00 a.m. (ET) 22 June 2016.

STEP 2:

1. Offerors must submit a Phase II proposal using the AF Phase II proposal instructionsbelow.

2. The Phase II proposal must be submitted by 6:00 a.m. (ET), 22 June 2016.

* NOTE: Offerors are required to provide information demonstrating that the scientific and technical merit and feasibility has been established. Air Force will not evaluate the offeror's related Phase II proposal if it determines that the offeror has failed to demonstrate that technical merit and feasibility has been established or the offeror has failed to demonstrate that work submitted in the feasibility documentation was substantially performed by the offeror and/or the principal investigator (PI). Refer to the Phase I description (within the topic) to review the minimum requirements that need to be demonstrated in the feasibility documentation. Feasibility documentationMUST NOT besolely based on work performed under prior or ongoing federally funded SBIR or STTR work.

NOTE: All Phase II awardees should have a Defense Contract Audit Agency (DCAA) approved accounting system. It is strongly urged that an approved accounting system be in place prior to the AF Phase II award timeframe. If you do not have a DCAA approved accounting system in place in time, it may delay / prevent Phase II contract award. If you have questions regarding this matter, please contact the SBIR Contracting Officer, Gail Nyikon, or (937)255-0263.

III. PROPOSALSUBMISSION

Thecompleteproposal,i.e.,DoDCover Sheet,technicalproposal,costproposal,andCompanyCommercialization Report,must besubmitted electronicallyat filecanbeuploadedtothe DoDSubmissionSite.Ensureyourcompletetechnicalvolumeandadditionalcostvolumeinformationisincludedinthissolesubmission.ThepreferredsubmissionformatisPortableDocumentFormat(.pdf).Graphicsmustbe distinguishablein blackandwhite.VIRUS-CHECKALLSUBMISSIONS.

Complete proposals must include all of the following:

a. Cover Sheet

b. Technical Volume

c. A signed Non-Disclosure Agreement and inserted at the end of the Technical Volume

d. A signed Certificate of Training inserted at the end of the Technical Volume

e. Cost Volume

f. DD2345 if applicable

g. Commercialization Report

h. SBIR/STTREnvironment, SafetyandOccupationalHealth(ESOH)Questionnaire

PhaseIIproposalsrequireacomprehensive,detailedsubmissionof theproposedeffort.AFDirect to PhaseIIeffortsare15months;12monthsfortechnicalperformanceandthree(3)monthsforcompletionofthe finalreport.AFDirect to PhaseIIeffortsareawardedup to a maximum value of$1.5M per contract award. Please refer to individual topic write-ups for specific awardfunding limits. Commercialandmilitarypotentialof thetechnologyunderdevelopmentisextremelyimportant.Proposalsemphasizingdual-useapplicationsandcommercialexploitationofresultingtechnologiesare sought.

AllPhaseIIResearch or Research and Development (R/R&D)mustbeperformedbythesmallbusinessanditsteammembersinthe UnitedStates, as defined in the DoD 16.2 Solicitation Instructions.TheprimaryemploymentofthePhaseIIprincipalinvestigatormustbewiththe smallbusinessconcernat thetimeof awardandduringconductoftheentireproposedeffort.Primaryemploymentis definedasmorethanone-halfoftheprincipalinvestigator’stimebeingspentworkingfor the smallbusiness.Thisprecludesfull-time employmentwithanotherorganization.

Knowinglyandwillfullymakingfalse,fictitious,orfraudulentstatementsorrepresentationsmaybe afelonyundertheFederalCriminalStatementAct,18U.S.C.Section1001,punishablebyafineupto$10,000,upto fiveyearsinprison,orboth.

IV. PHASEIIPROPOSALPREPARATIONINSTRUCTIONSANDPROPOSALREQUIREMENTS

The technical proposal is limited to 50 pages. The commercialization report, advocacy letters (if any), “SBIR/ STTR Environment, Safety and Occupational Health (ESOH) Questionnaire”, (Attachment 1) and the additional cost proposal itemized listing (17a through 17i) should be included as the last pages of the uploaded technical volume. This documentation and the Cover Sheet will not count toward the 50-page limitation.

The Air Force SBIR/STTR Program Office is instituting new requirements in aninitiative to combat fraud in the SBIR/STTR program. As a result, eachSmall Business is required to visit the AF SBIR Program website:andread through the "Compliance with Small Business Innovation Research(SBIR)and Small Business Technology Transfer (STTR) Program Rules"training. TheCertificate of Training Completion at the end of the training presentationand/or as pg. AF-18 of this document, MUST be signed by an official of yourcompany, AND ATTACHED to your proposal. Failure to do this will result inyour proposal being removed from consideration.This will not count toward the 50-page limitation.

A. ProposalRequirements.APhaseIIproposalshouldprovidesufficientinformationtopersuadethe AFthe proposed advancement of the technologyrepresentsaninnovativesolutionto thescientificorengineeringproblemandisworthyofsupportunderthestatedcriteria.Allsectionsbelow counttowardthe pagelimitation,unlessotherwisespecified.

B. ProprietaryInformation.Informationconstitutingatradesecret,commercialorfinancialinformation,confidentialpersonalinformation,ordata affectingnationalsecuritymustbeclearlymarked.Itshallbetreatedinconfidenceto theextentpermittedby law.Be advised,intheeventofproposalselectionitislikelytheWorkPlanorStatementofWork(SOW)willbe incorporatedintotheresultingcontract,inwholeorpart,byreferenceoras anattachment.Therefore,segregateanyinformationto beexcludedfrompublicreleasepursuantto theFreedomof InformationAct(FOIA).SeeSection 5.3oftheDoDSolicitationregardingmarkingof proprietaryinformation.

C. GeneralContent.Proposalsshouldbedirect,concise,andinformative.Typeshallbenosmallerthan11-pointonstandard8½ X11paper,withone-inchmarginsandpagesconsecutivelynumbered.Offerorsare discouragedfrom includingpromotionalandnon-programmaticitems.

D. ProposalFormat.Thetechnicalproposalincludesallitemslistedbelowintheorderprovided.

(1)Proposal Cover Sheet: Completeandsubmitthe SBIRProposalCover Sheetinaccordancewiththeinstructionsprovidedat briefdescriptionof theprogramobjective(s),adescriptionoftheeffort,anticipatedbenefitsandcommercialapplicationsofthe proposedresearch,andalistofkey words/terms.Thetechnicalabstractofeachsuccessfulproposalwillbesubmittedto theOfficeoftheSecretaryofDefense(OSD)forpublicationand,therefore,mustnotcontainproprietaryorclassifiedinformation.Theterm“Component”ontheCoverSheetrefersto theAForganizationrequestingthePhaseIIproposal.

(2)TableofContents: Atableof contentsshouldbelocatedimmediatelyaftertheCover Sheet.

(3)Glossary: Includea glossaryofacronymsandabbreviationsusedinthe proposal.

(4)MilestoneIdentification: Includeaprogramschedulewithallkeymilestonesidentified.Ifoptionsareproposed,thescheduleshouldprovidenotionaloptionstartdateandperiodofperformance.

(5)IdentificationandSignificanceoftheProblemorOpportunity: Brieflyreferencethespecifictechnicalproblem/opportunitythat will be pursued under this effort.

(6)PhaseIITechnicalObjectives: Detail the specific objectives of the Phase II work, and describe the technical approach and methods to be used in meeting these objects. The proposalshouldalso includeanassessmentofthepotentialcommercialapplicationforeachobjective.

(7)Proposer-PreparedStatementofWork(SOW): TheSOWshallbe aseparateanddistinctpartofthe proposalpackage,usingapagebreaktodivideit fromthetechnicalproposal.TheproposedSOWmustcontainasummarydescriptionofthetechnicalmethodologyandtaskdescriptioninbroadenoughdetailtoprovidecontractualflexibility.ThefollowingistherecommendedformatfortheSOW;beginthissectiononanewpage.DONOTincludeproprietaryinformationintheSOW.

a)1.0– Objective:Thissectionisintendedtoprovidea briefoverviewofthespecialtyarea.Itshouldexplainwhy itisbeingpursuedandtheexpectedoutcome.

b)2.0 – Scope:Thissectionshouldprovidea concisedescriptionoftheworkto beaccomplished,includingthetechnologyareato be investigated,goals,andmajormilestones.However,thekeyelementsofthissectionaretaskdevelopmentanddeliverables,i.e.,theanticipatedendresultand/orproductoftheeffort.Thissectionmustalsobeconsistentwiththeinformationin4.0(below).

c)3.0–Background:The proposershallidentifyappropriatespecifications,standards,andotherdocumentsapplicabletotheeffort.Thissectionincludesanyinformation,explanation,orconstraintstounderstandingtherequirements.Itmay includerelationshipsto previous,current,and/orfutureoperations.Itmayalsoincludetechniquespreviouslyfoundto beineffective.

d) 4.0 –Task/TechnicalRequirements:The detaileddescriptionoftheindividualtaskstoaccomplishtheworktobeperformedis consideredtobe legallybindingontheproposer.Therefore,itmustbedevelopedinanorderlyprogressionwithsufficientdetailtoestablishoverallprogramrequirementsandgoals.Theworkeffortmustbesegregatedintomajortasksandidentifiedinseparatelynumberedparagraphs.

Eachnumberedmajortaskshoulddelineatebysubtasktheworktobeperformed.TheSOWMUSTcontaineverytaskto beaccomplished;theymust bedefinite,realistic,andclearlystated.Use“shall”whenevertheSOWexpressesa bindingprovision.Use“should”or“may”toexpressadeclarationorpurpose.Use“will”whennocontractorrequirementisinvolved,i.e.,

“...powerwillbesuppliedbytheGovernment.”

(8)Deliverables: Includea sectionclearlydescribingthespecificsample/prototypehardware/softwareto bedelivered,aswellasdatadeliverables,schedules,andquantities.Be awareof thepossiblerequirementfor uniqueitemidentificationIAWDFARS252.211-7003,ItemIdentificationandValuation,for hardware.If hardware/softwarewillbe developedbut notdelivered,provideanexplanation.At aminimum,thefollowingreportswillbe requiredunderALLPhaseIIcontracts.

a)ScientificandTechnicalReports: Rightsintechnicaldata,includingsoftware,developedunderthetermsof anycontractresultingfromaSBIRsolicitationgenerallyremainwiththecontractor.TheGovernmentobtainsaroyalty-freelicenseto use suchtechnicaldataforGovernmentpurposesduringthe periodcommencingwithcontractawardandendingfive(5)yearsaftersubmissionofthelastcontractdeliverable.Uponexpirationofthefiveyearrestrictivelicense,theGovernmenthasunlimitedrightsto the SBIRdata,unlessthe firmreceivesanothercontractunderwhichthe SBIRdatarightsmay beasserted.

i.FinalReport: Thedraftisdue30daysaftercompletionofthePhaseIItechnicaleffort.The firstpageofthefinalreportwillbe asingle-pageprojectsummary,identifyingthepurposeofthework,providinga briefdescriptionoftheeffortaccomplished,andlistingpotentialapplicationsoftheresults.Thesummarymaybe publishedbyDoD;therefore,itmustnotcontainanyproprietaryorclassifiedinformation.Theremainderofthe reportshouldcontaindetailsofthe projectobjectivesmet,workcompleted,resultsobtained,andestimatesoftechnicalfeasibility.

ii.StatusReports: Statusreportsare duequarterlyataminimum.

iii.PhaseIISummaryReport: ThePhaseIIsummaryreportis due at the end of the technical effort and must besubmittedviaelectronic formtotheAFSBIR/STTR site. Eachreportshouldnotexceed700wordsandshouldincludeadescriptionofthetechnologyandanticipatedapplications/benefitsforGovernmentand/or privatesectoruse.Theelectronicform/instructionsare foundonthe AFSBIR/STTRsite, Thesiteisopentothepublic;therefore,thesummaryreportsshouldnotcontainanyproprietaryorsensitiveinformation.

iv.Small Business Online Success Stories: SuccessStory submissions are due at the end of the technical effort via the Refer to the Contract Data Requirements List (CDRL) in your contract for submission instructions.

b)CostReports: Requiredif acost-typecontractisawarded;PhaseIIsaregenerallyawardedascost-type.

c)AdditionalReporting: AFmayrequireadditionalreportingordocumentationincluding:

1. Softwaredocumentationandusers’manuals;
2. Engineeringdrawings;
3. Operationandmaintenancedocumentation;
4. Safetyhazardanalysiswhentheprojectwillresultinpartialortotaldevelopmentanddeliveryof hardware;and
5. Updatesto thecommercializationresults.

(9)RelatedWork: Describesignificantactivitiesdirectlyrelatedtotheproposedeffort,includinganypreviousprogramsconductedbytheprincipalinvestigator,proposingfirm,consultants,orothers,andtheirapplicationtothe proposedproject.Alsolistany reviewers providingcommentsregardingtheofferor’sknowledgeofthestate-of-the-artin the specificapproachproposed.

(10) CommercializationPotential:

a)TheDoDrequiresacommercializationplanbe submittedwiththePhaseIIproposal,specificallyaddressingthefollowingquestions:

i.Whatis thefirstplannedproducttoincorporatetheproposedtechnology?

ii.Whoarethe probablecustomers,andwhatistheestimatedmarketsize?

iii.Howmuchmoneyisneededtobringthistechnologytomarketandhowwill it beraised?

iv.Doesyourfirmhavethenecessarymarketingexpertiseand,if not,howwill yourfirmcompensate?

v.Whoare the probablecompetitors,andwhatprice/qualityadvantageisanticipatedbyyourfirm?

b)Thecommercializationstrategyplanshouldbrieflydescribethecommercializationpotentialfortheanticipatedresultsofthe proposedproject,aswellasplanstoexploitit.Commercialpotentialis evidencedby:

i.Thesmallbusiness’recordofcommercializingSBIR/STTRorotherresearch,particularlyasreflectedinits CompanyCommercializationReport.TheCompanyCommercializationReportofprior SBIR/STTRawardsmay beincludedto satisfythisrequirement.

ii.Theexistenceof privatesectorornon-SBIR/STTRfundingsourcesdemonstratingcommitmenttoPhaseIIefforts/results.

iii.TheexistenceofPhaseIIIfollow-oncommitmentsfor theresearchsubject.

iv.Thepresenceofotherindicatorsofcommercialtechnologypotential,includingthefirm’scommercializationstrategy.

c)IfawardedaPhaseIIcontract,thecontractoris requiredtoperiodicallyupdatethecommercializationresultsof thePhaseIIprojectat required, atcompletion of thePhaseII effort,andsubsequentlywhenthecontractorsubmitsanewSBIR/STTRproposal toDoD.Firmsnotsubmittinganew proposaltoDoDwillberequestedtoprovideupdatesannuallyaftercompletionofthePhaseII.

(11) MilitaryApplications: Brieflydescribetheexisting/potentialmilitaryrequirementandthemilitarypotentialof theSBIR/STTRPhaseIIresults.IdentifytheDoDagency/organizationmostlikelytobenefitfromthe project.StateifanyDoDagencyhasexpressedinterestin,orcommitmentto, anon-SBIR,Federally-fundedPhaseIIIeffort.Thissectionshouldinvolve notmorethanonetotwo(1-2)paragraphs.Includeagencypointofcontactnamesandtelephonenumbers.

(12) RelationshipwithFutureResearchorResearchandDevelopment(R/R&D)Efforts:

a)Statethe anticipatedresultsoftheproposedapproach,specificallyaddressingplansforPhaseIII,ifany.

b)DiscussthesignificanceofthePhaseIIeffortinprovidinga basis for thePhaseIIIR/R&Deffort,if planned.

(13)KeyPersonnel: Inthetechnicalvolume,identifyallkeypersonnelinvolvedintheproject.Includeinformationdirectlyrelatedto education,experience,andcitizenship.Atechnicalresumefortheprincipalinvestigator,includingpublications,ifany,mustalsobeincluded.Concisetechnicalresumesfor subcontractorsandconsultants,if any,arealso useful.Youmustidentifyallnon-U.S.citizensexpectedto beinvolvedintheprojectasdirectemployees, subcontractors,orconsultants.Fortheseindividuals,inadditiontotechnicalresumes,pleaseprovidecountriesoforigin,typeofvisasorworkpermitsunderwhichtheyare performing,andexplanationoftheiranticipatedlevelofinvolvementintheproject.

Foreign Nationals (also known as Foreign Persons) means any person who is NOT:

1. a citizen or national of the United States; or
2. a lawful permanent resident; or
3. a protected individual as defined by 8 U.S.C. § 1324b

ALL offerors proposing to use foreign nationals MUST follow Section 5.4. c. (8) of the DoD Program Solicitation and disclose this information regardless of whether the topic is subject to ITAR restrictions.

Whenthetopicareais subjectto exportcontrol,theseindividuals,if permittedtoparticipate,arelimitedtoworkinthepublicdomain.Further,tasksassignedmustnot becapableofassimilationintoanunderstandingofthe project’soverallobjectives.Thispreventsforeigncitizensfromactinginkeypositions,suchasPrincipalInvestigator,SeniorEngineer,etc.Additionalinformationmaybe requestedduringnegotiationsinordertoverifyforeigncitizens’eligibilityto performonacontractawardedunderthissolicitation.

The following will apply to all projects with military or dual-use applications that develop beyond fundamental research (basic and applied research ordinarily published and shared broadly withinthe scientific community):

(1)The Contractor shall comply with all U. S. export control laws and regulations, including the International Traffic in Arms Regulations (ITAR), 22 CFR Parts 120 through 130, and the Export Administration Regulations (EAR), 15 CFR Parts 730 through 799, in the performance of this contract. In the absence of available license exemptions/exceptions, the Contractor shall be responsible for obtaining the appropriate licenses or other approvals, if required, for exports of (including deemed exports) hardware, technical data, and software, or for the provision of technical assistance.

(2)The Contractor shall be responsible for obtaining export licenses, if required, before utilizing foreign persons in the performance of this contract, including instances where the work is to be performed on-site at any Government installation (whether in or outside the United States), where the foreign person will have access to export-controlled technologies, including technical data or software.

(3)The Contractor shall be responsible for all regulatory record keeping requirements associated with the use of licenses and license exemptions/exceptions.

(4)The Contractor shall be responsible for ensuring that these provisions apply to its subcontractors.

(14)Facilities/Equipment: Describeinstrumentationandphysicalfacilitiesnecessaryandavailableto carryoutthePhaseIIeffort.Justifyequipmenttobe purchased(detailincostproposal).Statewhetherproposedperformancelocationsmeetenvironmentallawsandregulationsof Federal,state,andlocalGovernmentsfor, butnot limitedto,airborneemissions,waterborneeffluents,externalradiationlevels,outdoornoise,solidandbulkwastedisposalpractices,andhandlingandstorageoftoxicandhazardousmaterials.

(15)Consultants/Subcontractors: Privatecompanies,consultants,oruniversitiesmaybeinvolvedintheproject.Allshouldbe describedin detailandincludedinthecost proposal. InaccordancewiththeSmallBusinessAdministration(SBA)SBIRPolicyDirective,aminimumof50%oftheR/R&Dmustbeperformedbytheproposingfirm,unlessotherwiseapprovedinwritingbytheContractingOfficer.Signedcopiesofallconsultantorsubcontractorlettersofintentmustbe attachedtotheproposal.Theselettersshouldbrieflystatethecontributionorexpertisebeingprovided.Includea SOWanddetailedcostproposal.Includeinformationregardingconsultantorsubcontractoruniquequalifications.Subcontract copiesandsupportingdocumentsdonotcountagainstthePhaseIIpagelimit.Identifyanysubcontract/consultantforeigncitizensper(13)above.

(16)Prior,Current,or PendingSupportofSimilarProposalsor Awards: WARNING:Whileit ispermissible,withpropernotification,to submitidenticalproposalsorproposalscontainingasignificantamountofessentiallyequivalentworkforconsiderationundernumerousFederalprogramsolicitations,it isunlawfultoenterintocontractsorgrantsrequiringessentiallyequivalenteffort.Anypotentialforthissituationmustbe disclosedtothesolicitationagency(ies)beforeaward.If a proposalsubmittedinresponsetothissolicitationissubstantiallythesameasanotherproposalpreviously,currently,orinprocessofbeingfundedbyanotherFederalagency/DoDComponentorthe sameDoDComponent,thecompanymustsoindicateontheCover Sheetandprovidethefollowing:

a)Thenameandaddressof theFederalagency(ies)orDoDComponent(s)to whichproposalswereorwill besubmitted,orfromwhichanawardedisexpectedor hasbeenreceived;

b)Thedateofproposalsubmissionordateofaward;

c)The titleoftheproposal;

d)Nameandtitleofthe principalinvestigatorforeachproposalsubmittedorawardreceived;and

e)Title, number,anddateofsolicitation(s)underwhichtheproposalwasorwillbesubmitted,or underwhichanawardisexpectedor hasbeenreceived.

f)Ifawardwas received,providethecontractnumber.

g)SpecifytheapplicabletopicsforeachSBIRproposalsubmittedorawardreceived.

NOTE:Ifthis section doesnot apply,stateintheproposal,“Noprior,current,orpendingsupportforproposedwork.”.

(17) CostProposal: Adetailedcostproposalmustbesubmitted.Costproposalinformationwillbetreatedasproprietary.Proposed costsmustbeprovidedbybothindividualcostelementandcontractorfiscalyear(FY)insufficientdetailto determinethebasisforestimates,aswellasthe purpose,necessity,andreasonablenessofeach.This informationwillexpediteawardof the resultingcontractifthe proposalis selectedfor award.Generally,costplusfixedfee(CPFF)contractsareappropriateforPhaseIIawards.PhaseIIcontractsmayincludeprofit(fixedprice)or fee(costtype).

Toreceivea cost-typecontract,adeterminationbytheGovernmentofa firm’s accountingsystemadequacyisrequired.Thisdeterminationconsiderstheacceptabilityofafirm’saccountingsystemforaccumulatingandbillingcosts undera cost-typecontract.TheoutcomeisbasedonareviewperformedbytheDefenseContractAuditAgency(DCAA),withfinalapprovalprovidedby theDefenseContractManagementAgency(DCMA).Pleasereferto DCAA’swebsite, assistcontractorsinunderstandingrequirementsapplicableto thecontractauditprocess.Enclosure2,“Pre-awardSurveysofProspectiveContractorAccountingSystems”containsinformationregardingDCAA’sactivityto determineaccountingsystemadequacy.WhileonlyawarrantedGovernmentContractingOfficermayrequesta pre-awardaccountingsystemsurvey,this informationassistsfirmsinpreparingforthisactivity.AllPhaseIIproposalsshouldindicatewhetheranaccountingsystemreviewwas previouslyperformedbyDCAAand,ifso,thecontactinformationforthe auditor.WithoutaGovernment-approvedaccountingsystem,awardmaybe delayedorprevented.Any questionsregardingthismattershouldbediscussedwiththeAFPhaseIIContractingOfficer.

Costproposalattachmentsdo notcounttowardPhaseIIproposalpagelimitations.Thecostproposalincludes:

a) DirectLabor: Identifykeypersonnelbylaborcategory.Numberofhours,actualhourlyrates,laboroverhead,and/orfringebenefitsper contractorFY isalsorequired.

b) DirectMaterials: Costsformaterials,parts,andsuppliesmustbe justifiedandsupported.Provideanitemizedlistoftypes,quantities,prices,and,whereappropriate,purpose.Ifcomputerorsoftwarepurchasesare planned,detailedinformationsuchasmanufacturer,pricequotes,proposeduse,andsupportfortheneedwillberequired.

c) OtherDirectCosts:Thisincludesspecializedservicessuchasmachiningormilling,specialtest/analysis,andcostsfortemporaryuse/leaseofspecializedfacilities/equipment.Provideusage(hours)expected,rates,andsources,aswellasbriefdiscussionconcerningthepurposeandjustification.Proposalsincludingleasedhardwaremustincludeanadequateleaseversuspurchaserationale. Specialtooling/testequipment/materialcostsareacceptablebutwillbecarefullyreviewedto determinetheneed/appropriatenessof theworkproposed.TheContractingOfficermustdecidewhetherthesepurchasesareadvantageoustothe Governmentandare directlyrelatedto theproposedeffort.Titleto propertyfurnishedby theGovernmentwillbevestedwiththe AFunlessdeterminedtobemorecost-effectivefortransfertothe contractor.TheGovernment’sintentionisnottodirectlyfundpurchaseof generalpurposeequipment.

d) Subcontracts: Subcontractcostsmust besupportedwithcopiesof thesubcontractagreements.Agreementdocumentsmustadequatelydescribetheworktobeperformedandbasisforcost.TheagreementdocumentshouldincludeaSOW, assigned personnel,hoursandrates,materials(ifany),andproposedtravel(ifany). A letterfromthesubcontractoragreeingtoperformataskortasksat afixedpriceis not consideredsufficient. The proposedtotalofallconsultant fees,facilityleasesorusagefees, andother subcontractor purchase agreements maynot exceedone-halfofthe total contract priceor cost, unlessotherwise approvedin writing by the Contracting Officer.

IAWFAR15.404-1,priceanalysis,includingreasonableness,realism,andcompleteness,oftheproposedsubcontractorcostsbythe primeis required.Ifbasedoncomparisonwithpriorefforts,identifythebasis uponwhichthepriorpricesweredeterminedtobe reasonable.Ifpriceanalysistechniquesare inadequateortheFARrequiressubmissionof subcontractorcostorpricingdata,provideacostanalysisIAWFAR15.404-1(c).Costanalysisincludes,butisnotlimitedto, considerationofmaterials,labor,travel,otherdirectcosts,andproposedprofit rates.

e) Consultants: Foreachconsultant,providea separateagreementletterbrieflystatingtheserviceto beprovided,hoursrequired,andhourlyrateandincludeashort,conciseresume.

f) Travel: EachPhaseIIeffort,at aminimum,shouldincludea kickofforinterimmeeting.Travelcostsmustbejustifiedas relatedto the needsoftheeffort.Includedestinations,the numberoftrips,numberoftravelerspertrip,airfare,perdiem,lodging,groundtransportation,etc.Informationregardingper diemandlodgingratesmay befoundintheJointTravelRegulation(JTR),Volume2,

g) IndirectCosts: Indicatethebasisofthe proposedrates,e.g.,budgeted/actualratesper FY,etc.Theproposalshouldidentifythespecificratesusedandallocationbasestowhichtheyareapplied.Donotproposecompositerates;proposedratesandapplicationsperFYthroughouttheanticipatedperformanceperiodshouldbeprovided.

h) CostShare: Whilepermitted,costsharingis notrequiredandwillnotbeusedas anevaluationfactor.Thecostshareportionofcontractsmaynot provideforfee.

i) DDForm2345: Forproposalssubmittedunderexport-controlledtopics(eitherInternationalTrafficinArms(ITAR)andExportAdministrationRegulations(EAR)),acopyofthe certifiedDDForm2345,MilitarilyCriticalTechnicalDataAgreement,orevidenceofapplicationsubmissionmustbe included.The form,instructions,andFAQsmaybefoundattheUnitedStates/CanadaJointCertificationProgramwebsite, theDDForm2345willbeverifiedifproposalis chosenforaward.

18. Feasibility Documentation

1. Maximum page length for feasibility documentation is 25 pages. If you have references, include a reference list or works cited list as the last page of the feasibility documentation. This will count towards the page limit.
2. Work submitted within the feasibility documentation must have been substantially performed by the offeror and/or the principal investigator (PI). If technology in the feasibility documentation is subject to intellectual property (IP), the offeror must provide IP rights assertions. Provide a good faith representation that you either own or possess appropriate licensing rights to all other IP that will be utilized under your proposal. Additionally, proposers shall provide a short summary for each item asserted with less than unlimited rights that describes the nature of the restriction and the intended use of the intellectual property in the conduct of the proposed research.Please see section 11.5 of the DoD instructions for information regarding technical data rights.
3. DO NOT INCLUDE marketing material. Marketing material will NOT be evaluated and WILL be redacted.

E. CompanyCommercializationReport: AllPhaseIIproposalsmustcontaina“CommercializationReportofPriorSBIRAwards”.Thisreportshouldbesubmittedas anattachmentor enclosureandwillnot becountedagainstthe50-pagelimitation.TheonlineCompanyCommercializationReportmaybeusedtofulfillthisrequirement.As instructedinparagraph11.2oftheDoDSolicitation,preparethereportusingthepassword-protectedDoDSBIRelectronicsubmissionsite,

V. METHODOF SELECTIONANDEVALUATIONCRITERIA

A. Introduction: PhaseIIproposalsareevaluatedonacompetitivebasisbysubjectmatterexpert(SME)scientists,engineers,orothertechnicalpersonnel.Throughoutevaluation,selection,andaward,confidentialproposalandevaluationinformationwillbeprotectedtothe greatestextentpossible. Phase II proposals will be disqualified and will not be evaluated if the Phase I equivalency documentation does not establish feasibility and technical merit of the proposed technical approach.