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What is an option? correct answerAn option is a unilateral right in a contract, for a specific period of time, where the Government may elect to purchase additional supplies or services called for by the contract, or extend the period of performance.
The PCO should use options when (1) in the Governments best interest, (2) there is a need for service beyond the initial period, and (3) to ensure continuity of service.
The use of options are not normally in the Governments best interest when (1) The foreseeable requirements involve minimum economic quantities and delivery requirements are far enough in the future to permit competitive acquisition, production, and delivery (2) an indefinite quantity or requirements contract would be more appropriate than a contract with options.
What must a PCO do before exercising an option? correct answerThe PCO must determine that:
- Funds are available
- The requirement fulfills an existing Government need
- Exercising the option is the most advantageous method price and other factors considered
- The option was synopsized IAW FAR 5 (or exempted)
The PCO should have a written D&F in the file in order to use options
The PCO should also consider if the contractor is responsible and if their performance is satisfactory.
If the option price during a competitive source selection was not evaluated, is the option valid? correct answerNo. All options need to be priced because they were awarded on a competitive basis.
Can the PCO cite the "Changes Clause" to increase quantities on a production contract? correct answerNo. The Changes Clause cannot be used to increase quantities on a production contract.
Contracting Officer Unlimited Warrant
Board
(a) The Contracting Officer may at any time, by written order, and without notice to the sureties, if any, make changes within the general scope of this contract in any one or more of the following:
(1) Drawings, designs, or specifications when the supplies to be furnished are to be specially manufactured for the Government in accordance with the drawings, designs, or specifications.
(2) Method of shipment or packing.
(3) Place of delivery.
Is any approval required for an effort that is out of scope? correct answerChanges outside the scope of the original contract are considered new work and constitute a cardinal change, and in this case, one of two things should happen:
- Compete the new work
- Get a J&A and seek proper approval
What are the four essential elements the PCO must address when making a Scope Determination? correct answer1. Scope of the competition - could the original offerors have reasonable anticipated such a change?
- Contract type - Requirments should be better defined in a FFP contract therefore require less changes.
As opposed to a RDT&E contract.
- Period of performance - will the PoP be extended significantly so as to constitute new work?
- Overall cost/price change - what has been the total change in price throughout all modifications?
What must the PCO do for any change and/or modification estimated to be $1M or more? correct answerObtain legal review of the proposed action and document the review in the contract file
Where can a PCO look to help determine if a change is in-scope? correct answerVarious source documents to include: SOO/SOW/PWS, synopsis, RFP, exchanges with industry, market surveys, RFIs, etc.
What is the "Bona Fide Needs" Rule? correct answerThe Bona Fide Needs Rule basically means that a federal agency must have a legitimate or bona fide need for the requirement during the time period that the appropriation is available. Pursuant to 31 U.S.C. 1502(a), "The balance of an appropriation limited for obligation to a definite period is available only for payment of expenses incurred during the period of availability, or to complete contracts properly made during the period of availability and obligated consistent with Section 1501 of this title.." In other words, the basic rule states that a fiscal year's (FY) appropriation may be obligated to meet a legitimate or bona fide need existing in the FY for which the appropriation was made. This aspect of fund availability seeks to ensure that only appropriations, which are available for a specific FY are used to meet the legitimate needs of that FY. The bona fide needs rule applies to both multiple year and annual appropriations. TIME, PURPOSE, AMOUNT
You have just awarded 3 contract actions. You remember something in FAR Part 5 about synopsizing contract awards. The first action was a Small Business Innovation Research contract for $99,978. The second action was a $3M new delivery order under an existing IDIQ contract and the third action was a purchase order for $12,995. As a PCO, would you synopsize these contract actions? correct answerSBIRs, delivery orders under existing IDIQ contracts and actions under the simplified acquisition threshold ($150K) do not require an award synopsis. However the dollar threshold is not a prohibition against publicizing an award of a smaller amount when publicizing would be advantageous to industry or to the Government.
What is the requirement for obligating funds when awarding indefinite-quantity contracts? correct answerFor ID/IQ contracts all supplies and services to be furnished shall be obtained via delivery order(s) or task order(s) issued by individuals designated in the contract. Upon execution of the contract, an obligation shall be recorded based upon the issuance of a delivery or task order for the cost/price of the minimum quantity specified. Obtaining a certification of availability of funding from the finance office does not satisfy the requirement to record an obligation in the official accounting records of the Government for the minimum order amount established by the award of an IDIQ contract. The Government's actual obligation must be recorded at the time of contract award. Recording and subsequently reporting the required obligation using anything other than a delivery or task order will result in the action not being reported in FPDS-NG. The Recording of Obligations Act is implemented in the DoD Financial Management Regulation (FMR) (DoD 7000.14-R) (See paragraph 080504 of the FMR). The Defense Finance and Accounting Service (DFAS) is responsible for recording contractual obligations in the Air Force accounting records. Where the quantity required under a contract is indefinite, the ultimate amount of obligation is determined by subsequent orders; the amount of any required minimum order specified in the contract, however, shall be recorded as an obligation upon execution of the contract. For contracts that require the contractor to perform unilaterally placed orders above the required minimum, record an obligation in the amount of the order price or ceiling at the time the order
is placed. An order in excess of the required minimum that has to be negotiated or accepted by the contractor under terms of the contract shall be recorded as an obligation upon contractor's acceptance of the order in the amount of the agreed price or ceiling. In the case of orders for services where a contractor cannot undertake performance without direction from an authorized Government official, order amounts may be consolidated periodically (at least monthly) into a list of orders placed with the contractor identifying the estimated dollar amount of each. On definite-quantity contracts, obligate the full amount of the definite quantity at the time of contract award.
When may a T&M contract be used? What must the D&F contain? Who would approve the following D&Fs: A T&M contract for $650K; A T&M contract for $500K in which the base period plus option periods will be a total of 4 years; A T&M contract for $1.5M of services (base plus options will be 5 years.)? correct answerT&M contract may be used only when it's not possible at the time of placing the contract to estimate accurately the extent or duration of the work or to anticipate costs with any reasonable degree of confidence, and ONLY if the PCO prepares a D&F that "no other contract type is suitable," and the contract includes a ceiling price that the contractor exceeds at their own risk. The D&F must contain sufficient facts and rationale to justify that no other contract type is suitable (should go through all the contract types). At a minimum the D&F shall include a description of the market research conducted and establish that it is not possible at the time of placing the contract or order to accurately estimate the extent or duration of the work or to anticipate costs with any reasonable degree of certainty. A T&M contract for less than $1 million would have the PCO as the approval for the D&F. A T&M contract for $500K in which the base plus options is 4 years would be approved by the HCA. A T&M contract for $1. of services, where the base plus options will be 5 years, would be approved by the COCO and then the HCA.
As a PCO, what kinds of things could cause you to lose your warrant? correct answerA PCO loses their warrant upon retirement from employment, reassignment from the position requiring a warrant, termination of employment, or unsatisfactory performance. Terminations must be in writing, and requests must be submitted 30 days in advance of the requested termination along with the reason.
Recent focus has been on decreasing the amount of time it takes to negotiate a contract. There are several current examples of contracts that are taking months to negotiate from the date of business clearance to the handshake. What can you do, as the PCO, to shorten this timespan? correct answerAs the PCO on the effort, you have the ability to negotiate "rules of engagement" before the negotiation actually begins. You need to, with your counterparts, establish written rules regarding who the major participants will be, where negotiations will be conducted, a schedule for completion of negotiations, how much time will be permitted between offers and counteroffers, whether negotiations will be on the telephone, in person, or by e-mail, whether DCAA will participate, and whether you will accept "updated" proposals for anything other than BIG changes (not just rate changes, etc.) I would establish
- Generally, a warranty provides a contractual right for the correction of defects notwithstanding any other requirement of the contract pertaining to acceptance of the supplies or services by the Government; and a stated period of time or use, or the occurrence of a specified event, after acceptance by the Government to assert a contractual right for the correction of defects.
- Except for the warranties in the clauses at 52.246-3, Inspection of Supplies -- Cost-Reimbursement, and 52.246-8, Inspection of Research and Development -- Cost-Reimbursement, the contracting officer shall not include warranties in cost-reimbursement contracts.
- DFARS gives one other exception to the rule against using warranties in cost-reimbursement contracts: Clause for Warranty of Data.
How is a warranty impacted if the Government specifies or doesn't specify the design of the item? correct answerIf the Government specifies the design of the end item and its measurements, tolerances, materials, tests, or inspection requirements, the contractor's obligations for correction of defects is usually be limited to defects in material and workmanship or failure to conform to specifications. If the Government does not specify the design, the warranty extends also to the usefulness of the design.
Where is profit allowed and not allowed under a fixed-price contract terminated for convenience? correct answerProfit is allowed on preparations made and work done by the contractor for the terminated portion of the contract but not on the settlement expenses. Anticipatory profits and consequential damages are not allowed. Profit is not allowed for material or services that, as of the effective date of termination, have not been delivered by a subcontractor, regardless of the percentage of completion. The TCO may use any reasonable method to arrive at a fair profit.
What additional liabilities does the contractor incur when a fixed-price contract is terminated for default (in lieu of a termination for convenience)? correct answer1. The Government is not liable for the contractor's costs on undelivered work and is entitled to the repayment of any advance and progress payments applicable to that work.
- The contractor is liable to the Government for any excess costs incurred in acquiring supplies and services similar to those terminated for default.
You are the Contracting Officer on a large aircraft sustainment contract. The contract has a base year and several one year options for various support requirements. The contract period of performance runs from 1 Oct through 30 Sep of each year. On 5 Oct one of the Program Managers comes to you with a
request to exercise an option for continued Tech Order Updates however the contract states that the particular option the PM has identified was to be exercised by 1 Oct. The PM asserts there is still a requirement for the TO support and is willing to give you a memo addressing the need and accepting responsibility for not notifying you of his requirement in sufficient time to exercise the option. How would you proceed? correct answerAlthough the period for unilaterally exercising the option has expired your PM may still be able to have the requirement fulfilled. You should contact the contractor, express the Government's need to have the work performed, and see if the contractor is amenable to performing the work. If they are, you should contact your Legal Council, review the circumstances and get their buy-in for a contract modification. If your council agrees, you should prepare a J&A under FAR 6.302 and FAR 6.304, if there are no other suppliers who could perform the work, and there is rationale for other than full and open competition, and proceed with a bilateral contract agreement. The contractor is entitled to renegotiate the price as the option was not exercised IAW the contract terms and conditions.
You have recently awarded a contract for an infrared laser targeting system. It contains the FAR clause, "Export Controlled Data Restrictions." The contractor calls you and says that although not originally proposed, he now needs to have a Dr. McKenzie work on the contract. Dr. McKenzie is from Australia, although he will be working here at the US at the contractor's facility for this effort. What is your response to the contractor and what kinds of initial actions would you take? What would your response be if the work is not subject to ITAR? What would your response be if the work is subject to ITAR? correct answer• If Dr. McKenzie is a foreign national, and although he is working here in the U.S., by giving him the data, it is equated to giving the information to Australia. If the information that he will be working on can be segregated from all of the ITAR sensitive data, then he will be able to work on the segregated data only...but if the information that Dr. McKenzie will require access to is ITAR sensitive data, then he will need an export license [under 22 CFR Sec. 125.2, Exports of Unclassified Technical Data] from the Dept. of State, or the contractor will need to find a U.S. national or citizen who can perform the work.
- (a) Determine if the non-U.S. citizen is a permanent resident ("green-card" holder, admitted lawfully into the U.S. for permanent residence). If so, the individual is considered to have the same rights as a U.S. citizen as far as export-controlled data is concerned and no approval is required.
- (b) If the individual is not a permanent resident, he/she is a foreign national and is not allowed to have access to any export-controlled data. The contractor must submit a description of the work to be performed by the foreign national and a determination must be made as to whether or not this work is export-controlled. This determination can be made by the Government Program Manager or the Foreign Disclosure Office. If the proposed work is not export-controlled, you may approve the use of the foreign national on the contract on the condition that the individual work only on those non-sensitive tasks. Another solution is to modify the contract to segregate the work into sensitive and non-sensitive areas, and let the contractor make the determination as to whether the proposed work is sensitive.
- In either event, the individual did not have the actual authority to commit the Government by authorizing the work. The contractor, as well as the Frankfurter Air Base personnel, should also be reminded that only the CO or his/her designated representative can authorize the expenditure of funds.
There are seven statutory exceptions to the Competition in Contracting Act (CICA). Please list them and the exception most likely to apply to Foreign Military Sales (FMS) contracts. What specific documentation would be necessary to support this FMS exception? correct answer(1) FAR 6.302-1 - Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements: When there is a reasonable basis to conclude that the agency's minimum needs can only be satisfied by unique supplies or services available from only one source or a limited number of sources, or from only one or a limited number of suppliers with unique capabilities; it shall not be used when any of the other circumstances is applicable.
(2) FAR 6.302-2 - Unusual and Compelling Urgency: An unusual and compelling urgency precludes full and open competition, and delay in award of a contract would result in serious injury, financial or other, to the Government.
(3) FAR 6.302-3 - Industrial Mobilization; Engineering, Developmental, or Research Capability; or Expert Services: When it is necessary to keep vital facilities or suppliers in business, train a selected supplier, maintain properly balanced sources of supply, create or maintain the required domestic capability for production of critical supplies, continue critical supplies in production when there would be otherwise a break in production, to provide for an adequate industrial base.
(4) FAR 6.302-4 - International Agreement: When a contemplated acquisition is to be reimbursed by a foreign country using a LOA directing source; of for services to be performed, or supplies to be used, in the sovereign territory of another country and the terms of a treaty or agreement specify or limit the sources to be solicited.
(5) FAR 6.302-5 - Authorized or Required by Statute: When statutes expressly authorize or require that acquisition be made from a specific source or through another agency.
(6) FAR 6.302-6 - National Security: When disclosure of the Government's needs would compromise the national security (e.g. would violate security requirements).
(7) FAR 6.302-7 - Public Interest: When the agency head determines that it is not in the public interest in the particular acquisition; may be used when none of the other authorities in 6.302 apply.
International Agreement: Full and open competition need not be provided for when precluded by the terms of an international agreement or a treaty between the United States and a foreign government or international organization (LOA), or the written directions of a foreign government reimbursing the agency for the cost of the acquisition (LOR) of the supplies or services for such government.
You have been assigned as the Contracting Officer for a new acquisition and the requirement has just been briefed by the Colonel as the Wing's number one priority. The Program Manager approaches you with a draft sole-source J&A and asks for your review and comment. Upon review you note that no mention of Market Research is made and the PM later confirms that none was accomplished as the Wing wants to use their "usual" contractor; she also tells you that she isn't really sure why any would be necessary or where to begin the research. What should you do? correct answerYou should inform her that Market Research is usually the foundation for sole-source or limited competition and without it (unless one of the other exceptions in 6.302 applies) you cannot process the J&A. You should also ensure that she understands that the Market Research will demonstrate if a commercial item is available, or could be modified, to meet the Government's requirement thereby saving time and money in the development and delivery of the item.
You should direct her to FAR Part 10 which provides several avenues of conduction Market Research, some of which are:
(1) Contacting knowledgeable individuals in Government and industry regarding market capabilities to meet requirements.
(2) Reviewing the results of recent market research undertaken to meet similar or identical requirements.
(3) Publishing formal requests for information in appropriate technical or scientific journals or business publications.
(4) Querying the Government-wide database of contracts and other procurement instruments intended for use by multiple agencies available at www.contractdirectory.gov and other Government and commercial databases that provide information relevant to agency acquisitions.
(5) Participating in interactive, on-line communication among industry, acquisition personnel, and customers.
(6) Obtaining source lists of similar items from other contracting activities or agencies, trade associations or other sources.
(7) Reviewing catalogs and other generally available product literature published by manufacturers, distributors, and dealers or available on-line.
(8) Conducting interchange meetings or holding pre-solicitation conferences to involve potential offerors early in the acquisition process.
As the Contracting Officer on a source selection you recently sent out the notice to unsuccessful offerors and have received several requests for debriefings. Some of the requests are for pre-award debriefs and
The debriefing shall not include point-by-point comparisons of the debriefed offeror's proposal with those of other offerors. Moreover, the debriefing shall not reveal any information prohibited from disclosure by 24.202 or exempt from release under the Freedom of Information Act (5 U.S.C. 552) including -
(1) Trade secrets;
(2) Privileged or confidential manufacturing processes and techniques;
(3) Commercial and financial information that is privileged or confidential, including cost breakdowns, profit, indirect cost rates, and similar information; and
(4) The names of individuals providing reference information about an offeror's past performance
During a kick-off meeting for a new R&D effort in which a CPFF contract is contemplated, the Program Manager mentions that he heard about this new thing called Performance Based Payments and it sounded really good. He liked the idea of the contractor only getting paid when progress towards completion has been made. If your Program Manager wanted to use Performance Based Payments on a program, how would you advise her/him? correct answerIn October 1995, the FAR was changed to include Performance Based Payments
It is only available on Fixed Price Contracts, and is preferred financing method. It differs from Progress Payments in that progress payments are interim payments based on the costs they incur in the performance on a job, but PBPs focus on the completion of milestones, and payment is made (90% OF PRICE when complete and the other 10% when the whole contract is done) when the milestone is 100% complete. Works well with production contracts...not so much with R&D.
If you are planning on using PBPs, you must insert clause 52.232-32 in the solicitation, must include the terms required for the proposal and how they will be evaluated.
Performance-based contracting methods are intended to ensure required performance quality levels are achieved and total payment is related to the degree that services performed meet contract standards. Performance-based contracts: (a) Describe the requirements in terms of results required rather than the methods of performance of the work; (b) Use measurable performance standards (i.e., terms of quality, timeliness, quantity, etc.) and quality assurance surveillance plans; (c) specify procedures for reductions of fee or for reductions to the price of a fixed-price contract when services are not performed or do not meet contract requirement; and (d) include performance incentives where appropriate.
You are the Contracting Officer on a large aircraft program. When you arrived at work this morning you are greeted with a notification that your contractor has been placed on the List of Parties Excluded from
Federal Procurement and Nonprocurement Programs. What are the rules on continuation of your current contracts with the Contractor? correct answer(1) Agencies may continue contracts or subcontracts in existence at the time the contractor was debarred, suspended, or proposed for debarment unless the agency head or a designee directs otherwise. (2) Ordering activities may continue to place orders against existing contracts, including indefinite delivery contracts, in the absence of a termination. (3) Agencies shall not renew or otherwise extend the duration of current contracts (i.e. exercise options), or consent to subcontracts, unless the agency head or a designee authorized representative states, in writing, the compelling reasons for renewal or extension.
You are the Contracting Officer on a program where the contractor has recently submitted a very large claim based on a constructive change to the contract. The claim is based on direction that the Colonel, the Group Commander of the program, allegedly gave the contractor. The contractor maintains it was a constructive change to the contract. You find out from the Colonel's secretary that he is going out to the contractor's facility next week to meet with corporate management about the claim. You make inquiries and find out that nobody from the program's contracting division or JAG will be accompanying the colonel. What should you do? correct answerA constructive change is sometimes called a 'change by implication' and occurs when the Government, by its actions, changes the contract without specifically adhering to the requirements of the 'Changes' clause. A constructive change order has been defined as an oral or written act or omission by the Contracting Officer or other authorized Government official, which is of such a nature that it has the same effect as a formal written change order under the Changes clause.
You should notify you supervisor immediately and brief them on the situation. You should also express concern over not being involved in the situation and concern that the Colonel might be compromising the Government's position in this matter. You should recommend to your boss that the Group COCO should ask the colonel either to take along his PCO and JAG or cancel the trip altogether. If the colonel refuses, then the COCO should elevate the matter by alerting the SCCO and the JAG office.
You are the Contracting Officer for a commercial item acquisition. The Program Manager comes to your office and asks you to explain how a commercial item is supported for reasonableness. You tell the PM that FAR has an order of preference that involves three steps. Please explain what these three steps are and provide examples of each step. correct answerStep 1 - Determine if information is available within the Government. Examples - prices from other Government contracts, ASC/PKF historical information, government independent cost estimates, historical data from other government services or agencies, records within DCAA and DCMA.
proposed acquisition for the best mix of cost, performance, and schedules." Your question for the PM would be whether two or more of the small businesses would offer the best technical solution for the best mix of cost, performance, and schedule.
You are the Contracting Officer for a $5,000,000 acquisition for which the contractor has taken the position that the product is commercial. You must now determine if you agree with this position. What documentation would you need to complete for you contract file and what steps would you take determining if you agree with the contractor's position of commerciality? correct answerFirst, as PCO, you will review the definition of a "commercial item" in FAR 2.101(b) to make sure you fully understand what is required for an item to be determined commercial.
The Commercial Item Determination (CID) may be written as a memorandum, and shall address the minimum components listed below.
(i) Description of supplies or services;
(ii) Basis on which the supplies or services meet the definition of a commercial item;
(iii) Basis on which the commercial item satisfies the government's requirements;
(iv) Contracting officer signature and date.
You were the Contracting Officer for a source selection that bought 500 engine trailers based on Adequate Price Competition (APC) from Engine Trailers, Inc. Three months later a decision was made to buy an additional 50 trailers from this company. As a Contracting Officer for this follow-on buy, would you need to request certified cost or pricing data or would it be acceptable to buy from this same source based on the TINA exception for adequate price competition? correct answerIt would be acceptable to buy the additional 50 trailers based on the TINA exception for adequate price competition per FAR 15.403-1(c)(1)(iii) which states "A price is based on adequate price competition if - Price analysis clearly demonstrates that the proposed price is reasonable in comparison with current or recent prices for the same or similar items, adjusted to reflect changes in market conditions, economic conditions, quantities, or terms and conditions under contracts that resulted from adequate price competition."
You arrive as a new PCO on a XYZ WP/PEO program. The PM comes to you with an $84M -1 J&A in support of XYZ system as a follow-on J&A from a 2010 limited competition between two offerors with a down select to one Bockwell Rollins, large business. It is a class J&A and the intent is to award a 5 year IDIQ with various contract types. The type of support is logistics, such as support at fielded locations, field level maintainability improvements, integration support, such as mission planning, testing, and studies, and engineering support such as participation in Technical Interchange Meetings (TIMs),
maintaining and updating the ICD and system software. The IDIQ ordering period is anticipated to be 5 years. Your -1 J&A is justified with unacceptable delays in fulfilling DoD requirements and qualifying another source would take 24-48 months to develop the same level of capability and certification. The J&A indicates that a sources sought synopsis was released and five large businesses submitted a statement of capability. The technical team rated the responses red, yellow, and green based on knowledge, experience and risk. Only the incumbent was rated green while the other four were rated yellow or red. For Section XI (11) related to removing barriers to competition, you review the previous J&A from 2010 which says there will be a rolling downselect for support and a follow-on competition for engineering, logistics, and overall XYZ support. When comparing it to the current J&A, the only information provided is there is an option to obtain a limited data rights package and market research will be conducted.
Who is the J&A authority? What are your thoughts on the J&A as written? Any particular concerns related to length of IDIQ, -1 rationale for unacceptable delays, responses to sources sought synopsis and/or 2010 J&A Section XI on overcoming barriers in comparison to current J&A Section XI information? Is there anyone you'd consult? correct answerThe J&A would be approved at the Weapons PEO level.
-If the sole source rationale is unacceptable delays for 24-48 months, you will be challenged on a 60 mo (5 year) period of performance. While you may have justification for up to 48 months, how is it sole source from 48-60 months if you can qualify another source in that time?
-Even though a sources sought synopsis was posted, the amount of responses is concerning. If you received FIVE Statement of Capability in response, that indicates this may not be sole source or else your source sought did not properly explain the requirement. If at least one source or more is yellow, that indicates there is a potential for competition with an offeror who could be more competitive through discussions.
-IAW DFARS PGI 206.304, a J&A must be approved at one level higher than the previous J&A authority (except SPE) if the J&A authority determines the actions to overcome competition barriers from the previous J&A did not happen. The current J&A doesn't explain if you held the downselect or more concerning, the follow-on competition the 2010 J&A stated. Therefore, the J&A will need an explanation of how those competitions were fulfilled or the J&A must be approved at the next higher level (SPE).
-Recommend you talk to legal, policy, and competition advocate. Specifically I highly recommend you discuss the responses to the sources sought synopsis with the competition advocate as you may be going down a sole source path when she will determine after quite a bit of work that the effort is truly competitive.
If EVMS will not be obtained, both a waiver from the DoD 5000 process is required and an individual or class deviation from the DFARS clause is required.
You are the PCO for Program Wild Card in Other Contracting valued at $50M. Two months ago, you were seeking ASP and Acquisition Plan approval. Your ASP authority, the SCCO, agreed to allow the ASP to serve as your Acquisition Plan as long as the elements of an acquisition plan were all covered, such as an N/A chart. You and your friendly procurement analyst ensured all elements of an Acq Plan were covered, the ASP was held, and ASP/AP minutes were approved by the SCCO. After ASP/AP approval, a J&A was approved in the amount of $50M. Two days ago you released your RFP, today your PM has approached you to let you know that real world events have resulted in a requirement change to buy more Wild Card systems. Your PM asks to forego some planned test assets and increase the maximum amount of WC production units based on increased funding, changing your total to $80M. Anything you need to consider related to the J&A? Anything you need to consider related to the approved ASP/Acq Plan and J&A? correct answerJ&A: Per AFFARS 5306.304(e), if the contract value changes after J&A approval but prior to award, you must submit an amendment to the J&A authority. This is within the same threshold so you would not be required to go to a higher level for J&A amendment approval.
ASP/AP: AFFARS 5307.104-91 Changes states "If a change occurs to the program/acquisition that significantly affects the acquisition, the program manager with the assistance of the contracting officer must prepare a revised AP and a statement that summarizes the changes and obtain the approval from the appropriate approval authority." You must return to the SCCO and get approval for the change to the Acquisition Plan and ensure the file is properly documented.
You are the PCO on the XYZ missile tech support program. You intend to award an IDIQ contract valued at $21M to include a prenegotiated fee for all task orders. This prenegotiated fee will be captured in a special provision on the basic contract. The special provision would require all task orders to use this prenegotiated fee. During business clearance, your attorney determines your file to be legally insufficient and has a specific write up that your position isn't compliant with FAR 15.405(c) which states "The Government's cost objective and proposed pricing arrangement directly affect the profit or fee objective. Because profit or fee is only one of several interrelated variables, the contracting officer shall not agree on profit or fee without concurrent agreement on cost and type of contract."
However, you disagree with legal's perspective as you have historical cost from the previous contract and most tasks are similar in nature with similar cost. You've briefed the ASR authority you intend to do this and have buy in from the contractor and program personnel. But legal still deems your file legally
insufficient. Are there alternatives? Ultimately if the PCO disagrees with a legally insufficient comment who adjudicates? Is there anything that needs to happen? correct answer1. You can take Legal's advice, remove the clause, and negotiate each task separately. You could work with legal to see if there is alternative clause language that includes the fee for convenience but doesn't mandate it.
- Per AFMC MP5301.602-2(c)(i)(90), "If legal review indicates that a proposed course of action violates statute or regulation or is otherwise determined to lack legal sufficiency, the Contracting Officer must resolve the matter with the program attorney. Resolution of legal comments must be clearly stated in the contract file. If efforts to resolve legal concerns are unsuccessful, the Contracting Officer must highlight the unresolved issue in the clearance request and any clearance briefing." Ultimately it is the CAA who would adjudicate.
- Be sure to document and have ensure the final decision documentation is signed by the CAA.
You a PCO on the Rapid Acquisition Cell (RAC) supporting SOCOM. You have an approved ASP and J&A for ABC missile and associated support. SOCOM intends to send you funding for ABC missile support using Procurement funds just as soon as they receive fall out funds. Your SOCOM customer asks you to go ahead and issue the RFP. Can you issue the RFP? If so, what is required? Is there any alternative? correct answerPer AFFARS MP 5332.7 a., Release of Solicitations in Advance of Funding Availability:
When issuing solicitations in advance of available funds, the following statement must be included in any such solicitation: "Notice to Offeror(s)/Supplier(s): Funds are not presently available for this effort. No award will be made under this solicitation until funds are available. The Government reserves the right to cancel this solicitation, either before or after the closing date. In the event the Government cancels this solicitation, the Government has no obligation to reimburse an offeror for any costs."
(a) When the resulting contract is to be funded by Procurement or Research, Development, Test, and Evaluation appropriations, the program/requirement must be included in the President's budget as submitted to Congress, and the program manager must provide the contracting officer a written statement. The statement must be coordinated with FM at the Center level (or equivalent) or as delegated to FM Organizational Senior Functional (OSF) that these investment funds will be used for the proposed acquisition and, although not presently available, a reasonable expectation exists that funding will be authorized and available upon enactment of the Authorization and Appropriations Acts.
You can issue the RFP subject to obtaining the approvals IAW AFFARS MP 5332.7, including the required language. Another alternative is to send a draft RFP.
