CFCM Contracting By Negotiation 15 Emergency Acquisitions Session 5 Flashcards
Source Selection Process and
Techniques (FAR 15.1) 1
R2P2C
Best Value Continuum
Any one or combination of source selection approaches
Relative importance of cost or price may vary
Requirements
Risk
Past Performance
Cost
Source Selection Process and
Techniques (FAR 15.1) 2
TRADEOFF FOR OTHER THAN COST
Tradeoff Process
Tradeoffs among cost or price and non- cost factors
Permits the Government to make an award to other than the lowest priced proposal
Source Selection Process and
Techniques (FAR 15.1) 3
ORAL DIALOG AT ANY TIME SAME RESTRICTION AS WRITTEN
Oral Presentations
Substitute or augment written information
Provide opportunity for dialog between the parties
May occur at any time in the acquisition
process
Subject to the same restrictions as written information, regarding time and content
Source Selection Process and
Techniques (FAR 15.2) 4
INFO EXCHANGE INCREASES REQUIREMENTS AND INDUSTRY CAPABILITIES
Information Exchange
Purpose
Improve the understanding of Government requirements
and industry capabilities
Source Selection Process and
Techniques (FAR 15.2) 5
RFI VS RFP NO UNAUTHORIZED INFO RELEASED
Techniques to promote early exchange of information
RFI vs. RFP
Responses to RFIs must be safeguarded from
unauthorized disclosure
Uniform Contract Format 1 SCHEDULE SCF/SS$C/SOW AND SPEC/ PM/IA/DELIVER AND PREFORM/ CAD/SPECIAL CONTRACT REQS
Part I—The Schedule A Solicitation/contract form B Supplies or services and prices/costs C Description/specifications/statement of work D Packaging and marking E Inspection and acceptance F Deliveries or performance G Contract administration data H Special contract requirements
Uniform Contract Format 2
CONTRACT CLAUSE
DOCS,EXHB,ATTACHMENTS
J LIST OF ATTACHMENTS
Part II—Contract Clauses
I Contract clauses
Part III—List of Documents, Exhibits, and Other Attachments
J List of attachments
Uniform Contract Format 3 REPS AND INSTRUCTIONS K REPS CERTS AND STATEMENTS OF OFFERORS L INSTR, COND, NOTICE TO OFFERORS M EVAL FACTORS TO AWARD
Part IV—Representations and Instructions
K Representations, certifications, and other statements of offerors or respondents
L Instructions, conditions, and notices to offerors or respondents
M Evaluation factors for award
Solicitation and Receipt of Proposals
and Information (FAR 15.2) (cont’d) 1
AMENDMENTS LATE SUBMISSION
Amendments
Issued when either before or after receipt of proposals, the Government changes its requirements or terms and conditions
Late Submissions
Proposals, modifications, or revisions need to be received in the designated Government office on or before the exact time specified in the solicitation
Solicitation and Receipt of Proposals and Information (FAR 15.2) (cont’d) 2
TIME DATE STAMP
ORAL WITHDRAW AT ANY TIME
Acceptable evidence to establish time of
receipt
Time/date stamp on proposal wrapper
Other documentary evidence, or
Oral testimony or statements of Government personnel
Withdrawals
May withdraw a proposal any time prior to award
Source Selection (FAR 15.3) 1 BV of FACTORS SUBFACTORS
Source Selection Objective Select the proposal that represents the best value Basis of Award Decision Evaluation of factors and significant subfactors Tailored to the acquisition
Source Selection (FAR 15.3) (cont’d) 2 EVAL FACTORS AND SUB FACTORS TO discriminate between and among competing proposals
Evaluation factors and significant
subfactors
Represent key areas of importance and emphasis to be considered in the source selection decision, and
Support meaningful comparison and discrimination between and among competing proposals
Source Selection (FAR 15.3) (cont’d) 3 agency acquisition officials Price or cost shall be evaluated in every source selection Quality = one or more non-cost evaluation factors Past Performance (considered as an evaluation sub-factor under the “quality” evaluation factor)
Selection is within the broad discretion of
agency acquisition officials, subject to:
Price or cost shall be evaluated in every source
selection
Quality shall be addressed through consideration of one or more non-cost evaluation factors
Past Performance (considered as an evaluation sub-factor under the “quality” evaluation factor)
Source Selection (FAR 15.3) (cont’d) 4
Color or adjectival ratings
Numerical weights
Ordinal rankings
Proposal Evaluation (FAR 15.305)
Evaluated based on factors and subfactors set forth in the solicitation
May use any method or combination of methods
Color or adjectival ratings
Numerical weights
Ordinal rankings
Source Selection (FAR 15.3) (cont’d) 5 PRICE REASONABLES
Cost or price evaluation
Competition Cost analysis Past performance CAPP
Currency SOURCE, and relevancy of information
DATA CONTEXT AND contractor’s performance
Cost or price evaluation Competition establishes price reasonableness Cost analysis may also be necessary to establish price reasonableness Past performance Currency and relevancy of information Source of information Context of the data General trends in contractor’s performance
Source Selection (FAR 15.3) (cont’d) 6
Exchanges with offerors after receipt of
proposals
Clarifications
Discussions (must be tailored to the individual offer if held after establishment of the competitive range)
Contracting Officer may accept proposal revisions during discussions
Negotiations
Exchanges with offerors after receipt of
proposals (FAR 15.306)
Clarifications
Discussions (must be tailored to the individual offer if held after establishment of the competitive range)
Contracting Officer may accept proposal revisions during discussions
Negotiations
Source Selection (FAR 15.3) (cont’d) 7
LIMITS OF EXCHANGE NO FAVOR 1 OVER THE OTHER
NO TECHNICAL SOLUTION OR INTELLECTUAL PROPERTY
Limits on Exchanges (FAR 15.306e)
Government personnel involved in the acquisition shall not engage in conduct that
Favors one offeror over another
Reveals an offeror’s technical solution or any information that would compromise an offeror’s intellectual property
Source Selection (FAR 15.3) (cont’d) 8 Limits on Exchanges PRICE REFERENCE PERSON OR PAST PERFORMANCE
Limits on Exchanges (FAR 15.306e)
Reveals an offeror’s price
Reveals the names of individual providing reference information about an offeror’s past performance
Knowingly furnish source selection information
Source Selection (FAR 15.3) (cont’d) 9
INDEPENDENT DECISION
COMPARATIVE ASSESSMENT VS SOURCE SELECTION CRITERIA
Source Selection Authority (SSA) (FAR 15.308) Decision must be Made independently Based on a comparative assessment of proposals against all source selection criteria in the solicitation
Contract Pricing (FAR 15.4) 1
PRICE=COST PLUS ANY FEE
Purchase from responsible sources at fair and reasonable prices
In establishing reasonableness, contracting officers should minimize the information necessary
Price
Cost plus any fee or profit applicable to the contract type
Pricing Policy
Purchase from responsible sources at fair and reasonable prices
In establishing reasonableness, contracting officers should minimize the information necessary
Contract Pricing (FAR 15.4) 2
When cost or pricing data are not required, rely on the following, in order of precedence
No additional information, particularly if the price is based on adequate price competition
Information other than cost or pricing data
Cost or pricing data
Pricing Policy (cont’d)
When cost or pricing data are not required, rely on the following, in order of precedence
No additional information, particularly if the price is based on adequate price competition
Information other than cost or pricing data
Cost or pricing data
Contract Pricing (FAR 15.4) 3
FAR 15.406-2 FACT VER THRESH
Cost or pricing data ($700,000)
DATE OF PRICE AGREEMENT OR EARLIER
Cost or pricing data ($700,000)
All facts that, as of the date of price agreement or, if applicable, an earlier date agreed upon between the parties that are as close as practicable to the date of agreement on price
Contract Pricing (FAR 15.4) 4 COST OR PRICING DATA 700K Factual data, not judgmental Verifiable Require certification per FAR 15.406-2 Threshold includes price increases and decreases
Cost or pricing data ($700,000) Factual data, not judgmental Verifiable Require certification per FAR 15.406-2 Threshold includes price increases and decreases
Contract Pricing (FAR 15.4) 5
FAR 15.406-2 FACT VER THRESH
any type of information that is not required to be certified per FAR 15.406-2 and
Is necessary to determine price reasonableness or realism
Other than cost or pricing data
any type of information that is not required to be certified per FAR 15.406-2 and
Is necessary to determine price reasonableness or realism
Contract Pricing (FAR 15.4) (cont’d) 6 CERTIFIED OR PRICE DATA =SAP
Prohibition on obtaining Certified Cost
or Pricing Data (FAR 15.403-1)
Acquisitions at or below the simplified acquisition threshold
Contract Pricing (FAR 15.4) (cont’d) 7
Prohibition on obtaining Certified Cost
Prices are based on adequate price competition
Prices set by law or regulation
Commercial items (or modifications to commercial items)
When a wavier has been granted
To support any action (contracts, subcontracts, or modifications) when
Prices are based on adequate price competition
Prices set by law or regulation
Commercial items (or modifications to commercial items)
When a wavier has been granted
Contract Pricing (FAR 15.4) (cont’d) 8 PROPOSAL ANALYSIS Price Analysis Cost Analysis Cost Realism Analysis Technical Analysis CAP CRTA
Proposal Analysis (FAR 15.404-1) Objective Ensure that the final price agreed upon is fair and reasonable Techniques Price Analysis Cost Analysis Cost Realism Analysis Technical Analysis
Contract Pricing (FAR 15.4) (cont’d) 9
Field Pricing Assistance (FAR 15.404-2)
supplementary information needed to conduct a technical or cost or pricing analysis
Field Pricing Assistance (FAR 15.404-2)
When information is inadequate to determine a fair and reasonable price
Request should reflect the minimum essential supplementary information needed to conduct a technical or cost or pricing analysis
Contract Pricing (FAR 15.4) (cont’d) 10
Profit (FAR 15.404-4)
Does not necessarily represent net income to the contractor
OBJECTIVE
STIMULATE PERFORMANCE QUALIFIED BIG AND LITTLES INDUSTRIAL BASE
Profit (FAR 15.404-4)
Does not necessarily represent net income to the contractor
Objective
Stimulate efficient and effective contract
performance
Attract the best capabilities of qualified small and large businesses
Maintain a viable industrial base
Contract Pricing (FAR 15.4) (cont’d) 11
15 10 6
CPFF
R AND D AND A AND E
Profit (FAR 15.404-4) Statutory limitations 15% for R&D efforts on a CPFF contract 10% for all other CPFF type contracts 6% for A-E firms
Contract Pricing (FAR 15.4) (cont’d) 12
DOCUMENTS
PNM POM DOA
Documenting the Negotiations (FAR 15.406-3) Price Negotiation Memorandum (PNM) Purpose of the negotiation Description of the acquisition
Contract Pricing (FAR 15.4) (cont’d) 13
DOCUMENTS 2
CONTRACTOR SYSTEM PRENEGOTIATION FAIR AND REASONABLE $
Documenting the Negotiations (FAR
Status of contractor’s systems (purchasing, estimating, accounting, compensation)
Prenegotiation objectives and negotiated positions, including profit or fee
Documentation of fair and reasonable pricing
Contract Pricing (FAR 15.4) (cont’d) 14
MAKE OR BUY
SUB MANAGEMENT
GOV HAS RIGHT TO REVIEW
Make-or-Buy Programs (FAR 15.407-2)
Prime is responsible for managing contract performance, including, planning, placing, and administering subcontracts as necessary to ensure the lowest overall cost and technical risk to the government
When required, the Government may reserve the right to review and agree on the make-or-buy program to ensure negotiation of reasonable prices, satisfactory performance, or implementation of socioeconomic policies
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 1 DEBRIEFINGS 3 DAYS AFTER PRE AWARD AFTER EXCLUSION POST AWARD ORAL OR WRITING
Debriefings
Must be requested in writing within 3 days after
Pre-award - notification of exclusion from the competition
Post-award – notice of contract award
Can be conducted orally, in writing, or by any other method acceptable to the contracting officer
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 2 PRE AWARD DEBRIEFS SIG ELEMENTS ELIMINATION REASON RULES WERE FOLLOWED
Pre-Award Debriefs must include:
The agency’s evaluation of significant elements in the offeror’s proposal
Summary of the rationale for eliminating the offeror from the
competition
Reasonable responses to relevant questions about whether source selection procedures contained in the solicitation, applicable regulations, and other applicable authorities were followed in the process of eliminating the offeror from competition
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 3 PRE AWARD SHALL NOT #OFFERORS OFFEROR CONTENT OFFEROR RANKING
Pre-Award Debriefs shall not disclose: The number of offerors, The identity of the offerors, The content of other offeror’s proposals, The ranking of the offerors,
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 4 PRE AWARD SHALL NOT OFFEROR EVAL POINT BY POINT OFFEROR COMPARISON TRADE SECRETS MANU (PROCESS AND TECHNIQUES)
Pre-Award Debriefs shall not disclose:
The evaluation of other offerors,
Point-by-point comparisons of this offeror’s proposal with those of other offerors,
Trade secrets, privileged or confidential manufacturing processes and techniques,
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 5 PRE AWARD SHALL NOT FINANCE INFO ($,------) REFERENCE INFO
Pre-Award Debriefs shall not disclose:
Commercial or financial information that is privileged or confidential, including
Cost breakdowns,
Profit,
Indirect cost rates, or
Similar information
– The names of the individuals providing reference information about an offeror’s past performance
Preaward, Award, and Postaward Notifications,
Protests, and Mistakes (FAR 15.5) 6
POST
SIG WEAKNESS
Post-Award Debriefs must include:
The government’s evaluation of the significant weaknesses or deficiencies in the offeror’s proposal, if applicable,
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 7 POST cost or price and technical rating SUCC. OFFEROR AND PAST PERFORMANCE COMM. MAKE AND MODEL
Post-Award Debriefs must include:The overall evaluated cost or price and technical rating, if
applicable, of
The successful offeror and
This offeror
Past performance information on this offeror
– For commercial items, the make and model of the item to be delivered
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 8 POST OVERALL RANKING AWARD SUMMARY RULES WERE FOLLOWED
Post-Award Debriefs must include:
The overall ranking of all offerors, when any ranking was developed by the agency during the source selection
A summary of the rationale for award
Reasonable responses to relevant questions about whether source selection procedures contained in the solicitation, applicable regulations, and other applicable authorities were followed
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 9 POST SHALL NOT INCLUDE POINT BY POINT TRADE SECRETS MANU (PROCESSES AND TECHNIQUES)
Post-Award Debriefs shall not disclose:
Point-by-point comparisons of this offeror’s proposal with those of other offerors,
Trade secrets, privileged or confidential manufacturing
processes and techniques,
Preaward, Award, and Postaward Notifications, Protests, and Mistakes (FAR 15.5) 10 POST SHALL NOT FINANCE ($-------) INDIRECT COST
Post-Award Debriefs shall not disclose: Commercial or financial information that is privileged or confidential, including Cost breakdowns, Profit, Indirect cost rates, or Similar information
Preaward, Award, and Postaward Notifications,
Protests, and Mistakes (FAR 15.5) 11
POST SHALL NOT
REFERENCE NAME
Post-Award Debriefs shall not disclose:
– The names of the individuals providing reference information about an offeror’s past performance
Unsolicited Proposals (FAR 15.6)
innovative ideas
Broad Agency Announcement
Small Business Innovation Research topic
Small Business Technology Transfer Research topic
Program Research and Development Announcement,
Only used for innovative ideas when they
fall outside topic areas publicized, i.e.,
RFPs
Broad Agency Announcement
Small Business Innovation Research topic
Small Business Technology Transfer Research topic
Program Research and Development Announcement,
Any other Government-initiated solicitation or program
FAR Part 18 – Emergency Acquisitions
contingency operation
Emergency acquisitions are flexibilities provided with respect to any acquisition of supplies or services by or for an executive agency that, as determined by the head of an executive agency, may be used—
In support of a contingency operation
FAR Part 18 – Emergency Acquisitions
nuclear, biological, chemical, or radiological
To facilitate the defense against or recovery from nuclear, biological, chemical, or radiological attack against the United States; or
When the President declares an incident of national significance, emergency declaration, or a major disaster declaration.
FAR 18.2
Defense Priorities and Allocations
Systems (DPAS)
national defense, emergency
preparedness, and energy programs.
Supports approved national defense, emergency
preparedness, and energy programs.
Was established to facilitate rapid industrial mobilization in
case of a national emergency.
Pricing policy.
When certified cost or pricing data are not required by 15.403-4, shall obtain data other than certified cost or pricing data as necessary to establish a fair and reasonable price, generally using the following order of preference in determining the type of data required:
(2) When certified cost or pricing data are not required by 15.403-4, shall obtain data other than certified cost or pricing data as necessary to establish a fair and reasonable price, generally using the following order of preference in determining the type of data required:
(i) No additional data from the offeror, if the price is based on adequate price competition, except as provided by 15.403-3(b).
(ii) Data other than certified cost or pricing data such as—
(A) Data related to prices (e.g., established catalog or market prices, sales to non-governmental and governmental entities), relying first on data available within the Government; second, on data obtained from sources other than the offeror; and, if necessary, on data obtained from the offeror. When obtaining data from the offeror is necessary, unless an exception under 15.403-1(b)(1) or (2) applies, such data submitted by the offeror shall include, at a minimum, appropriate data on the prices at which the same or similar items have been sold previously, adequate for evaluating the reasonableness of the price.
(B) Cost data to the extent necessary for the contracting officer to determine a fair and reasonable price.
