DEPARTMENT OF JUSTI CE
United States Marshals Service
Asset Forfeiture Division
STATEMENT OF WORK FOR DI SPOSAL OF HORSES
A. PARTI ES AND PURPOSE
1. This agreement is between the contractor and the U.S. Marshals Service (USMS) through
which the contractor will provide for the disposal of approximately four hundred (400)
quarter horses and their offspring to include embryos and semen, as well as tack
equipment, saddles, and other horse related equipment.
2. The purpose of this requirement is to provide for the disposal of horses located
throughout the United States (in Arizona, Connecticut, Florida, Georgia, Illinois, Iowa,
Kentucky, Michigan, Missouri, North Dakota, Ohio, Oklahoma, Texas, and Wisconsin).
Most of the horses are located in Dixon, Illinois where a multi-day, live auction is
anticipated, with duration not to exceed nine (9) hours each day, to include any
B. DEFI NI TI ONS AND TERMS
1. "AS IS, WHERE IS": Horses will be sold with no warranty or guarantee whatsoever.
Horses are to be purchased exactly as they appear at auction. They will be sold based on
their appearance only. "As is" is a disclaimer of warranties or representations. "Where
is" denotes that the buyer takes the horse(s) and other assets offered for sale as found and
must remove them from the point of sale at the buyer`s expense.
2. CONTRACTING OFFICER (CO): A person with the authority to enter into, administer,
and/or terminate contracts and makes related determinations and findings.
3. CONTRACTING OFFICER'S REPRESENTATIVE (COR): A Government staff
member who is designated in writing by the CO. The CO also delineates the COR's
responsibilities in writing.
C. CONTRACTOR REQUI REMENTS
1. The Sales Plan shall include:
1. Advertising strategy(ies);
2. Staffing, to include number of auctioneers for a continuous sale process and
administrative support for collection of sale proceeds and preparation of all
3. Setup, to include containment of participants and spectators at the auction site;
4. Process for on-line auctions, to include a back-up plan for receiving bids, and
notifying prospective bidders, should the website become unavailable;
5. Process for live on-line simulcast capabilities;
6. Internet website traffic and bandwidth capabilities for advertising, preview, and
7. Preview day process;
8. Registration, check out, horse pickup process, to include completion of
registration/ownership transfer documentation, and bid deposit collection and
9. Security plan for preview and auction days;
10. Experience in conducting the sales of Registered American Quarter Horses,
including but not limited to the following covered under the American Quarter
Horse Association (AQHA): Stallions, halter, working hunter, western pleasure,
riding, hunter under saddle, and show horses;
11. Experience in conducting sales of embryos, oocytes, and frozen semen;
12. Experience in conducting sales of recipient mares, broodmares and/or interests in
foals in utero.
2. The contractor must comply with all applicable employment laws in the hiring and
retention of employees and subcontractors, including the Immigration and Nationality
Act and the provisions of Title 8 C.F.R. Part 274a.
3. It is anticipated the contractor shall commence sale preparation immediately upon
contract award, with anticipated completion of all sales within 45 days thereafter, unless
otherwise directed by the CO or COR.
D. ADVERTI SI NG
1. The contractor SHALL NOT DISCLOSE Government information in any advertisement,
but shall first consult with the CO or COR before releasing advertising material.
2. The contractor is required to advertise horses and other assets for sale prior to the auction
in at least one (1) national print publication and via contractor-operated Internet website
in a timeframe as directed by the COR. Contractor must provide the website link to
USMS to be posted on the USMS website. The website shall be supported by a server to
provide acceptable download speeds by a high number of users in a short period of time.
3. The contractor shall advertise sales with the appropriate industry associations, including
but not limited to the American Quarter Horse Association (AQHA) website and the
print publication, as well as the American Paint Horse Association (APHA), and the
Pinto Horse Association of America (PtHA).
4. For live and on-line sales, the contractor shall create a sales catalog. The circular shall
include (at minimum) each horse`s identiIication inIormation, description, pedigree
background, and at least one photograph. The catalog shall be available in print in
sufficient quantities and printable from on-line sources, to include at the contractor`s
E. SECURI TY
1. Adequate security during all live auction days shall be the responsibility of the
2. The contactor shall employ local law enforcement to provide security, traffic control,
and crowd containment during the auction period.
3. Deputy U.S. Marshals shall be present during preview and auction periods.
4. Law enforcement shall coordinate with the USMS to provide off-site parking for
participants and spectators during the auction, and on-site parking for media and law
5. The contractor should anticipate participants and spectators shall be shuttled to and from
the auction site from off-site parking lots.
6. The contractor shall ensure alcoholic beverages are not introduced to the auction
F. LI VE AUCTI ON VENUE
1. The live auction venue shall be designated by the USMS.
2. The contractor shall provide adequate sanitation stations during the auction and preview
3. The auction site provides a covered facility and auction block where the auction shall
take place. The facility provides space for participants with bid numbers. The spectator
area is expected to cover a larger outdoor area. The contractor shall, to the best of its
ability, provide reasonable shelter for spectators (from the sun or rain). Any shelter shall
meet safety standards and require inspection by local authorities in advance of each
4. The contractor shall provide for a designated outdoor area for smoking and receptacles
for tobacco disposal. The area shall be an adequate distance from other participants,
facilities, hay, and pastures.
5. The USMS, through a local municipality, shall independently manage concessions (the
sale of food and beverages) and trash receptacles and removal.
6. The contractor shall leave the facilities and grounds following the auction period as it
was upon occupancy, with responsibility for policing all areas for trash, to include
tobacco products (the USMS shall arrange for removal of consolidated trash from the
G. DI SPOSAL
Requirements for ALL auctions
1. The COR shall approve the methods for disposal for all assets. The contractor shall
receive written instructions for the disposal of all assets.
2. Auctions shall be open to the public without charge of an admission fee. Private sales
3. The contractor is required to comply with registration/certification of horses sold
pursuant to AQHA rules and regulations (AQHA Official Handbook Rule 222) to
include preparing paperwork and all required documentation to include the transfer of
ownership upon the completion of the sale, if applicable. The USMS shall serve as the
signatory authority on registration transfer documentation.
4. Any fees relating to the registration or with the AQHA or any other organization is the
sole responsibility of the buyer and shall be disclosed in written terms and conditions of
sale to the public in advance of the sale.
5. Foals aged four to six months and under shall be sold with its mare as a single unit unless
otherwise directed by the COR.
6. The contractor shall allow supervised public viewing and inspection of the horses by
7. Horses and other assets not being sold shall be segregated from the preview and auction
8. Prior to viewing day, the contractor shall coordinate with the COR to have scheduled
access to the facility to prepare assets for sale with sufficient lead time. The contractor
shall complete the following sales preparation for all horses to be sold:
a. Wash and groom the horses;
b. Ensure all farrier/blacksmith services for each horse are current;
c. Ensure basic medical care services, including veterinary treatment, are current.
9. Viewing days shall be for eight (8) hour periods during each of three (3) preview days
prior to the sale, and by appointment only. The contractor shall schedule appointments
with COR review and approval.
10. The contractor shall have a knowledgeable representative, familiar with the quarter horse
industry, available to answer any questions.
11. The contractor shall conduct all sales in accordance with all applicable Federal, state, and
local laws, regulations, and ordinances.
12. Auctions must be conducted by an auctioneer. The auctioneer must be licensed (if
applicable by state and/or municipality) and a Member of the National Auctioneers
Association or the Certified Auctioneers Institute. It is the responsibility of the
contractor to ensure the auctioneer has the applicable licensing and/or permits according
to state and local laws for the duration of the contract with copy(s) provided to the
USMS in advance.
13. Purchasers are required to sign the USMS Asset Forfeiture Division Personal Property
Sales Certification and a supplement statement provided by the USMS indicating horses
are not being purchased for slaughter. Copies of these documents shall be sent to the
USMS within ten (10) business days of the auction.
14. The contractor shall not charge any admission or entry fee, processing fee, or any other
charges or fees. This includes charging for a sale`s list/brochure. A buyer`s premium is
the only authorized charge.
15. The USMS reserves the right to remove any horse from the auction at any time prior to
16. Horses are sold 'As-is, Where Is.¨
17. The following parties are prohibited from bidding on or buying directly or indirectly any
assets for sale:
a. DOJ employees and their immediate family members;
b. Vendors under contract with the USMS in its Asset Forfeiture Program,
including appointed monitors and trustees, their sub-contractors and employees
who provide contract/management services for personal and real properties and
complex assets, and their immediate family members;
c. Defendants in Criminal Cases under titles 18 U.S.C. § 1963(f) and 21 U.S.C
Section 853(h) of the Comprehensive Crime Control Act of 1984 prohibit the
Government from reverting to a defendant or any person acting in concert with or
on behalf of such deIendant, property that was involved in the same deIendant`s
conviction on charges, or violations of 18 U.S.C. Section 1962 or 21 U.S.C.
Section 841 et seq;
d. Any person whose conduct gave rise to a civil forfeiture of the property or to
anyone acting in concert with or on behalf of, such a person. This general
prohibition may be lifted in civil forfeiture actions on a case-by-case basis due to
extenuating circumstances, as determined by the USMS and the relevant U.S.
Attorney`s OIIice (USAO), with the concurrence of its Ethics Officer, Office of
e. Other governmental and non-governmental agents who are involved in the Asset
f. Any person, who in the reasonable judgment of the USMS, in consultation with
the USAO and/or Asset Forfeiture and Money Laundering Section, may act on
behalf of, or serve as an agent of a prohibited purchaser.
18. If a minimum bid is required, the COR will notify the contractor, in writing.
19. The contractor shall determine, with COR concurrence, the best method of bid deposit
collection. Forfeited bid deposits shall be given to the USMS at the end of the sale.
20. Payment shall be received in full and all assets shall be removed by winning bidders
within five (5) business days of the end of the sale/auction process.
21. The USMS shall supply a Bill of Sale for each horse sold. The contractor is responsible
for completion of the Bill of Sale on the day of the auction. The Bill of Sale shall be
issued to the purchaser upon full payment of the horse. A copy of the Bill of Sale shall
be sent to the USMS within ten (10) business days of the auction.
22. The contractor shall issue a receipt to the purchaser for money received, which will
indicate the purchaser's name, selling price, certification number, and a name/description
of the horse. A copy of the receipt shall be sent to the USMS within ten (10) business
days of the auction.
23. The contractor shall issue a copy of the current AQHA certificate (if available) or a
USMS letter to the AQHA stating the horse is without certificate to allow horses to be
24. The contractor shall provide sale documents to the contractor responsible for ongoing
management and care of the horses indicating the buyer`s name, horse name, and chip
number (if applicable) to release the purchased horse following its sale.
25. The contractor shall receive and be responsible for all money collected during the
auction. The USMS will not be responsible for money that is lost, stolen, received in
error, designated as insufficient funds, or misapplied while in the hands of the contractor.
26. The contractor shall provide the USMS an auction results report that identifies the asset
ID, horse name, chip number (iI available), purchaser`s name, purchase price, and
buyer`s premium Iee. This report shall be sent via email to the USMS within ten (10)
business days of the auction.
27. The contractor shall submit sale results and net sale proceeds to the COR within ten (10)
business days oI the auction via certiIied check, cashier`s check, money order or
Electronic Funds Transfer (EFT).
28. The contractor shall not charge the USMS any sale`s fees, commissions, etc.
Requirements for Live Auctions
1. The contractor shall utilize online simulcast for all live auctions to allow the public to
bid online during live auctions.
2. The contractor shall post the Sales Terms and Conditions for USMS auctions and USMS
Asset Forfeiture Division Personal Property Sales Certification in a public area where
they can be viewed by prospective buyers. A public announcement of Sales Terms and
Conditions shall also be made prior to the start of the auction on each day.
3. USMS representative will attend the auction to approve/disapprove bids.
4. The contractor shall video and audio-record the auction. Recordings shall be submitted
to the USMS within ten (10) business days after the conclusion of the sale.
5. Contractor shall allow buyers to remove assets at the end of each sale day.
Requirements for I nternet Auctions
1. On-line auctions must be open to the public, through an Internet website with applicable
security measures to protect against hacking. The contractor shall disclose on its
website its backup plan for receiving bids should its website become unavailable.
2. The contractor shall post the Sales Terms and Conditions for USMS auctions and USMS
Asset Forfeiture Division Personal Property Sales Certification for the on-line auction
on their website and, on preview day, in a public area where they can be viewed by
3. A USMS representative will be available for consultation via phone/email to
H. HOLD HARMLESS & I NDEMNI FI CATI ON AGREEMENT
1. The contractor agrees to hold harmless the United States for any death, injury, or other
harm suffered by any officer, employee, volunteer or other individual caused by the
horses during preparation, preview, auction, and release of the assets.
2. The contractor agrees to indemnify the United States in the event that any suit, cross-
complaint, third-party complaint, or counterclaim is filed against the United States,
resulting from any death, injury, harm or claim of any kind suffered by a third party
caused by the horses during preparation, preview, auction, and release of the assets.
3. The contractor agrees to hold harmless the United States for any personal property
damage caused by any of the horses during preparation, preview, auction, and release of