Part 12 Commercial Acquisition Flashcards
Commercial Item Definition
Supplies of a type. Customarily used by the general public or non-governmental entities. Can also include modified items.
What is Commericial Services
Installation, maintenance, repair, training, and other services. Used in support of a commercial item and source of services provides similar sources to the general public.
What is a nondevelopmental item?
procuring agency determines the item was:
developed exclusively at private expense
sold in substantial quantities
On a competitive basis
Multiple state and local governments or to multiple foreign governments.
Benefits of Commericial acquisitions?
Competition
Less FAR clauses
Simpler pricing approach (exempt from TINA)
Only specific contract types are allowed (FFP and FP W/EPA)
SAP up to $7.5M
When is Commercial Item Determination required?
required >$1M. And you have DCMA CIG.
Who approves the CID?
The CO….if “of a type” then one Level above the CO
What does a CID contain?
Description of supplies or services
Basis on which supply or service meets definition
Identify and cite key considerations from MR
Determination involves the “of a type” component
CO signature and date
Subsequent CID Usage?
Include Prior Determination
Affirmative statement that includes:
Description of supplies and services
justification for supporting supplies or services via previous determination
impact of current market conditions on previous determination.
CO signature and date
Sole Source Priving for commercial acquisitions?
NO CCOPD but need to obtain sufficient data to determine price fair and reasonable
If CO still cannot determine price fair and reasonable?
at a minimum CO must obtain information on previous sales dat for same/similar items
If previous sales information is insufficient?
CO must obtain data other than certified. Cost analysis can be performed.
What does FAR 15.402(a)(2) say?
requires the offeror to provide whatever information or data the CO need to determine the price fair and reasonable.
Why would contractors prefer Part 12?
They don’t have to certify to cost and pricing data
How are commercial items priced?
Always do price analysis
How do you price a commercial contract if it is sole source?
Request:
- data from secondary sources
- sales data for same or similar items
- data other than certified cost and pricing data
What if the CO cannot get enough info needed to determine the price fair and reasonable?
The CO may request whatever information necessary from the contractor in order to determine fair and reasonable.
