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Annex C5

Microcomputer NMSO E60EJ-11000C/xxx/EJ

Annexes


Annex C5: Call-up Limitations - Servers

This annex describes the Call-up Limitations of each Category and how they are established. Within each Category, a System will be ranked based on its evaluated price. A System's ranking determines what its Call-up Limitation is and what volume discounts can apply to different Call-up values.  A summary table appears in an Appendix to this Annex.

1.1 Evaluated Prices

  1. Evaluated Price Ranking: Call-up Limitations are determined by each System's Evaluated Price. A System's Evaluated Price will fluctuate during the Standing Offer Period for a given Category and the Evaluated Price must be determined at the time of each Call-up to determine the applicable Call-up Limitation.

  2. Evaluated Price: Evaluated Prices are calculated as follows:

    1. Servers: Evaluated Prices = [(Default System price) x (100% - Benchmark Discount)) x 4%] + [(System Upgrade prices) x 10%] + [(System Component prices) x 45%]

    2. Blade Servers: Evaluated Prices = {(Default Blade System price)  + [(Chassis Price) + (Chassis Upgrades) + (Chassis Components)] / Maximum Number Blade Systems per Chassis } x (100% - Benchmark Discount)) x 45% + [(Blade System Upgrade prices) x 10%] + [(Blade System Component prices) X 45%]

    3. Benchmark Discounts: If applicable, the Benchmark Discount percentages as calculated in Annex I are indicated on the Benchmark Testing Report section of the PWGSC CAG website.

1.2 Rankings

  1. Rank 1:  The System with the Lowest Evaluated Price in the Category and any System with an Evaluated Price within 10% of the Lowest Evaluated Price.

  2. Rank 2: Any System with an Evaluated Price within 15% of the Lowest Evaluated Price in the Category.

  3. Rank 3: Any System with an Evaluated Price more than 15% higher than the Lowest Evaluated Price but within 15% of the Mean Evaluated Price of the Category.

  4. Mean Evaluated Price:  Each Category's Mean Evaluated Price is calculated using all Systems for all Offerors in the Category.

  5. Only one System in a Category: If there is only a single Offeror in a Category, their System(s) will be given a Ranking of Rank 2.

  6. Blade Server Chassis: Regardless of Evaluated Price, all Blade Server Chassis will be given a Ranking of Rank 3.

1.3 Category Call-up Limitations

  1. All limitations are inclusive of  GST, HST and any applicable provincial disposal surcharges and volume discount.

  2. Blade Server Chassis: Identified Users may not purchase a Blade Server Chassis unless they are also purchasing Blade Servers.

  3. Call-ups made directly by Identified Users for Components : Call-ups that include only Components (i.e., equipment that may be purchased without a System), have a Call-up Limitation of that will be determined by the associated System's Evaluated Price.

  4. Call-ups made directly by Identified Users for Unevaluated Options: Call-ups that include only Unevaluated Options have a Call-up Limitation of the lesser of $25,000.00 or the associated System's Call-up Limitation.

  5. Call-ups made directly by the PWGSC Standing Offer Authority for Components: Call-ups that include only Components (i.e., equipment that may be purchased without a System) have a Call-up Limitation that will be determined by the associated System's Evaluated Price.

  6. Call-ups made directly by the PWGSC Standing Offer Authority for Unevaluated Options: Call-ups that include Unevaluated Options (i.e., equipment that may be purchased without a System) have a Call-up Limitation of $50,000.

  7. Total Component Cost: A System's Components will only be available for purchase without a system if its Total Component Cost (TCC) falls within the evaluated price range, as detailed below:

    1. The TCC will consist of the sum of the ceiling unit prices for supplying all mandatory Components specified in Annex "B". The TCC will be determined per Component Grouping (i.e. "A", "B", "C"...).

    2. In order to qualify the set of System Components, the TCC must be no greater than the mean (calculated using the "AVERAGE" function in Microsoft Excel 2000 SR-1) plus one standard deviation (calculated using the "STDEVP" function in Microsoft Excel 2000 SR-1) of the total TCC of the Systems/Groupings in the Category.

    3. The lowest TCC of the Systems/Groupings in each Category will NOT be used for purposes of calculating the mean plus one standard deviation.

    4. This evaluation will coincide with the schedule detailed in the article entitled "Product Substitution and Price Revision".

  8. Call-ups made directly by Identified Users for Servers:

    1. Rank 1: A Call-up limitation of $100,000.00.

    2. Rank 2: A Call-up limitation of $75,000.00.

    3. Rank 3: A Call-up limitation of $50,000.00.

  9. Call-ups made directly by Identified Users for Blade Servers::

    1. Rank 1: A Call-up limitation of $100,000.00 for Blade Severs + $50,000 for Chassis.

    2. Rank 2: A Call-up limitation of $75,000.00 for Blade Servers + $50,000 for Chassis.

    3. Rank 3: A Call-up limitation of $50,000.00 for Blade Servers + $50,000 for Chassis.

  10. Call-ups made directly by the PWGSC Standing Offer Authority for Servers::

    1. Rank 1: A Call-up limitation of $400,000.00.

    2. Rank 2: A Call-up limitation of $300,000.00.

    3. Rank 3: A Call-up limitation of $200,000.00.

  11. Call-ups made directly by the PWGSC Standing Offer Authority for Blade Servers:

    1. Rank 1: A Call-up limitation of $400,000.00 for Blade Servers + $200,000 for Chassis.

    2. Rank 2: A Call-up limitation of $300,000.00  for Blade Servers + $200,000 for Chassis.

    3. Rank 3: A Call-up limitation of $200,000.00 for Blade Servers + $200,000 for Chassis.

1.4 Volume Discounts

  1. Provided the Offeror agrees to the volume discounts below at the time of order, the PWGSC Standing Offer Authority may issue Call-ups, up to the described Call-up limitations.

  2. When a volume discount applies to a Call-up, the discount is applied to the current NMSO prices (meaning the NMSO price published on the PWGSC CAG website on the day of the Call-up).

  3. The applicable GST, HST and any applicable provincial disposal surcharges must be added after the discount has been applied.

  4. The PWGSC Standing Offer Authority will require, before issuing any such Call-up, a written confirmation from the Offeror agreeing to honor the discount. If an Authorized Agent will be involved in the performance of the Work, an Authorized Agent Certification will be required. Sample certifications are included as an appendix to this annex.

  5. Unevaluated options only:

    1. A Call-up valued up to $25,000.00 at current NMSO prices will not be subject to any volume discount.

    2. A Call-up valued over $25000.01 at current NMSO prices is subject to a volume discount of at least 15%.  The total value of the Call-up cannot exceed $50,000.00.

  6. Servers and Blade Servers:(Including Components)

    1. Rank 1:

      1. A Call-up valued up to $100,000.00 at current NMSO prices will not be subject to any volume discount.

      2. A Call-up valued between $100,000.01 and $200,000.00 at current NMSO prices is subject to a volume discount of at least 5%.

      3. A Call-up valued between $200,000.01 and $300,000.00 at current NMSO prices is subject to a volume discount of at least 10%.

      4. A Call-up valued over $300,000.01 at current NMSO prices is subject to a volume discount of at least 15%.

    2. Rank 2:

      1. A Call-up valued up to $75,000.00 at current NMSO prices will not be subject to any volume discount.

      2. A Call-up valued between $75,000.01 and $100,000.00 at current NMSO prices is subject to a volume discount of at least 5%.

      3. A Call-up valued between $100,000.01 and $200,000.00 at current NMSO prices  is subject to a volume discount of at least 10%.

      4. A Call-up valued between $200,000.01 and $300,000.00 at current NMSO prices is subject to a volume discount of at least 15%.

    3. Rank 3:

      1. A Call-up valued up to $50,000.00 at current NMSO prices will not be subject to any volume discount.

      2. A Call-up valued between $50,000.01 and $75,000.00 at current NMSO prices is subject to a volume discount of at least 5%.

      3. A Call-up valued between $75,000.01 and $100,000.00 at current NMSO prices  is subject to a volume discount of at least 10%.

      4. A Call-up valued between $100,000.01 and $200,000.00 at current NMSO prices is subject to a volume discount of at least 15%.

  7. Blade Server Chassis:

    1. A Call-up valued up to $50,000.00 at current NMSO prices will not be subject to any volume discount.

    2. A Call-up valued between $50,000.01 and $75,000.00 at current NMSO prices is subject to a volume discount of at least 5%.

    3. A Call-up valued between $75,000.01 and $100,000.00 at current NMSO prices  is subject to a volume discount of at least 10%.

    4. A Call-up valued between $100,000.01 and $200,000.00 at current NMSO prices is subject to a volume discount of at least 15%.

1.5 Multiple Category Call-up Limitations

  1. Contemporaneous requirements for multiple Categories of Products from the same Offeror will be placed on one Call-up.

  2. Identified Users are limited to ordering up to each Category's Call-up limitation as described in the “Individual Category Call-up Limitations” section and are further limited to an aggregate value of $200,000.00 for the entire order.

  3. The PWGSC Standing Offer Authority is limited to ordering up to each System's Call-up limitation as described in the «Individual Category Call-up Limitations». The entire order will be subject to a mandatory discount equal to the highest volume discount that would apply as if each of the Products been purchased separately. For example, if the order is for $120K of Rank 1 systems (5%), $20K of Rank 2 systems (0%) and $120K of Rank 3 systems (15%), the entire order would be discounted by 15%.

  4. The Individual Category Call-up Limitations will apply to each of these Categories for the Products purchased from those Categories, but there is no restriction on the total value of the Call-up (so the maximum value of the Call-up would be the sum of all the Individual Category Call-up Limitations for the applicable Systems). Should the Call-up exceed $400,000.00, PWGSC will negotiate a higher discount of at least 20% for the entire order.

1.6 Non-standing offer items

  1. The Identified User may incorporate, within the Call-up Limitations indicated above, up to a total of $5,000.00 of non-Standing Offer items (i.e., peripherals and components but not Systems) on any Call-up. All non-Standing Offer items must be provided at a price in accordance with the Offeror's current published price list less any applicable government discounts. Canada reserves the right to approve or reject any non-Standing Offer item at any time.

  2. The PWGSC Standing Offer Authority reserves the right to add up to $25,000 of Non-Standing Offer items to any Call-up.

APPENDIX C-1: CALL-UP LIMITATIONS TABLE
Servers and Blade Servers including Components Rank Call-up Limitation after applying Volume Discount*
Identified Users PWGSC
0% 5% 10% 15%
1 $100K $200K $300K $400K
2 $75K $100K $200K $300K
3 $50K $75K $100K $200K
Chassis **   $50K $75K $100K $200K
Unevaluated Options   $25K - - $50K

* All Call-up Limitations include GST/HST and any applicable disposal surcharges.The GST/HST is applied to the current NMSO prices (as published on the CAG website on the day of the call-up) AFTER applying any applicable volume discount + provincial disposal surcharges.

** Blade Server Chasis: Identified Users may not purchase a Blader Server Chasis unless they one also purchasing Blader Servers.