Air Force Acquisition Circular (AFAC) 2003-0402

2 April 2003

FOR ADDITIONAL INFORMATION CONTACT: SAF/AQCP, 1060 Air Force Pentagon, Washington, DC 20330-1060, (703) 588-7058.

Summary of Changes

Item Subpart - Reason for Change

I 5301.601 - Revised to reflect the Commander, Air Force Reserve Command (AFRC), is designated as a Head of Contracting Activity (HCA) for "Other Contracting."

II 5306.302-4 - Revised to clarify that the authority to prepare International Agreement Competitive Restrictions (IACRs) is delegated from the HCA to the contracting officer.

III 5307.104-90 - Revised to reflect changes in the designated chairperson for Acquisition Strategy Panels (ASPs).

IV 5307.104-91 - Revised to change references from PDASAF(A&M) to ASAF(A) and to better reflect the approval authorities for acquisition strategies.

V 5323.8 - Revised to clarify requiring activity and contracting officer responsibilities for addressing Class I Ozone Depleting Substances (ODSs)

VI 5323.91 - Clerical addition of a header for Subpart 5323.91 - Enhanced Security of Products.

VII 5323.92 - Addition of Subpart and clause prescription for solicitation and contracts containing requirements for "mission essential contractor services."

VIII 5333.290 - Revised to decrease the review threshold for Requests for Equitable Adjustments from $1,000,000 to $500,000.

IX 5333.291 - Revised to make SAF/GCD (vice SAF/GCQ) the point of contact on reviews of claims and terminations for default. In addition, decreased the review threshold from $1,000,000 to $500,000.

X 5352.223-9000 - Revised to more clearly notify the contractor that the use of Class I ODSs in the testing, operation or maintenance of a system or subsystem is specifically prohibited without prior Senior Acquisition Official (SAO) approval.

XI 5352.223-9002 - Addition of clause entitled, "Requirements Affecting Contractor Personnel Performing Mission Essential Services."

XII 5352.242-9000 - Clerical revision to reflect that the clause was updated in Jun 2002.

XIII 5304.404-90 - Revised to delete the reference to clause 5352.204-9001.

XIV 5352.204-9000 - Clerical addition of wording to clarify paragraph (b) wording from "security agreement" to "Visitor Group Security Agreement."

XV 5352.204-9001 - Clause deleted.

XVI 5301.601(a)(ii) and 5302.101 (Head of the agency definition) - Revised to delete the reference to the Principal Deputy Assistant Secretary of the Air Force (Acquisition and Management) (PDASAF(A&M)).

XVII 5306.304(a)(3), and 5315.303(a)(i) - Revised to change PDASAF(A&M) references to ASAF(A).

XVIII 5302.101 - Revised to delete the references to DoDI 5000.2 in the definitions for Acquisition Category, Milestone Decision Authority, and Program Executive Officer.

XIX 5307.104(iv)(A) and 5307.104-91(b)(2) /(b)(3) - Revised to change the references "in accordance with paragraph C2.1.4 of DoD 5000.2-R" and "in accordance with paragraph C2.1.4 of DoD 5000.2-R" to "in accordance with OSD(AT&L) guidance."

Note: "*****" below indicates that text is omitted.

AFAC Changes

I 5301.601 - Revised to reflect the Commander, Air Force Reserve Command (AFRC), is designated as a Head of Contracting Activity (HCA).

Supplementary information about the change: On 18 December 2002, the Deputy Assistant Secretary (Contracting) designated the Commander, Air Force Reserve Command (AFRC), as an HCA for "Other Contracting."

5301.601 General.

II 5306.302-4 - Revised to clarify that the authority to prepare International Agreement Competitive Restrictions (IACRs) is delegated from the HCA to the contracting officer.

Supplementary information about the change: None.

5306.302-4 International agreement.

(c) Limitations. The document referred to in DFARS 206.302-4(c) should be titled, "International Agreement Competitive Restrictions (IACR)." The authority to prepare IACRs is delegated from the HCA to the contracting officer. The contracting officer shall include the IACR and a copy of the associated Letter of Offer and Acceptance in the contract file.

III 5307.104-90 - Revised to reflect changes in the designated chairperson for Acquisition Strategy Panel (ASPs).

Supplementary information about the change: None.

5307.104-90 Acquisition Strategy Panels (ASPs).

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(b) ASP chairpersons.

(c) ASP membership and content.

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IV 5307.104-91 - Revised to change references from PDASAF(A&M) to ASAF(A) and to better reflect the approval authorities for acquisition strategies.

Supplementary information about the change: None.

5307.104-91 Air Force procedures for Single Acquisition Management Plans (SAMPs)/Integrated Program Summaries (IPSs).

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(b) Approval requirements.

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V 5323.8 - Revised to clarify requiring activity and contracting officer responsibilities for addressing Class I Ozone Depleting Substances (ODSs)

Supplementary information about the change: None.

SUBPART 5323.8 - OZONE-DEPLETING SUBSTANCES (ODSs)

5323.804 Contract clauses.

(a) Unless a requiring activity obtains a Senior Acquisition Official (SAO) approval in accordance with AFI 32-7086, Hazardous Materials Management, Chapter 4, solicitations or contracts may not include any specification, standard, drawing, or other document that:

(b) Requiring activities must provide to the contracting officer either:

(c) If the requiring activity does not provide the certification statement, the contracting officer shall include the clause at 5352.223-9000, Elimination of Use of Class I Ozone Depleting Substances (ODSs), in solicitations and contracts.

VI 5323.91 - Clerical addition of a header for Subpart 5323.91 - Enhanced Security of Products.

Supplementary information about the change: None.

SUBPART 5323.91 - ENHANCED SECURITY OF PRODUCTS

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VII 5323.92 - Addition of Subpart and clause prescription for solicitation and contracts containing requirements for "mission essential contractor services."

Supplementary information about the change: None.

SUBPART 5323.92 - CONTRACTOR PERSONNEL PERFORMING MISSION ESSENTIAL SERVICES

5323.9201 Contract clause.

The contracting officer shall insert the clause at 5352.223-9002 - Requirements Affecting Contractor Personnel Performing Mission Essential Services, in solicitations and contracts that require contractors to perform mission essential services.

VIII 5333.290 - Revised to decrease the review threshold for Requests for Equitable Adjustments from $1,000,000 to $500,000.

Supplementary information about the change: None.

5333.290 - Revised to decrease the review threshold for Requests for Equitable Adjustments from $1,000,000 to $500,000.

5333.290 Requests for equitable adjustment (REA).

The contracting officer shall use ADR to the maximum extent practicable to resolve a REA when unassisted negotiations reach an impasse. The contracting officer shall refer to AFMCLO/JAB, with a copy to SAF/GCD, any REA greater than $500,000 in which unassisted negotiations have reached an impasse in order to develop a dispute resolution strategy.

IX 5333.291 - Revised to make SAF/GCD (vice SAF/GCQ) the point of contact on reviews of claims and terminations for default. In addition, decreased the review threshold from $1,000,000 to $500,000.

Supplementary information about the change: None.

5333.291 Claims and terminations for default.

(a) If a contractor submits an uncertified claim exceeding $100,000, the contracting officer shall notify the contractor, in writing, of its failure to certify as required by the Contract Disputes Act (41 U.S.C. 601-613). The notice shall state that a final decision will not be issued until the claim is certified.

(b) Prior to making a final decision on a claim or termination for default, the contracting officer shall refer the proposed final decision to the cognizant legal office for legal advice, ADR suitability and appropriate dispute resolution strategies. The contracting officer, with the assistance of the cognizant legal office, shall seek review by AFMCLO/JAB of all proposed final decisions. At the same time, the contracting officer shall provide SAF/GCD with any proposed final decision on a claim involving PEO programs, any proposed final decision on a claim greater than $500,000, or any proposed termination for default with estimated excess reprocurement costs greater than $500,000.

X 5352.223-9000 - Revised to more clearly notify the contractor that the use of Class I ODSs in the testing, operation or maintenance of a system or subsystem is specifically prohibited without prior Senior Acquisition Official (SAO) approval.

Supplementary information about the change: See Item V. above.

5352.223-9000 Elimination of Use of Class I Ozone Depleting Substances (ODSs).

As prescribed in 5323.804, insert the following clause in solicitations and contracts:

ELIMINATION OF USE OF CLASS I OZONE DEPLETING SUBSTANCES (ODSs) (APR 2003)



(a) Unless the requiring activity has obtained prior Senior Acquisition Official (SAO) approval,
contractors may not:

(b) For the purposes of Air Force policy, the following products that are pure (i.e., they meet the relevant product specification identified in AFI 32-7086) are Class I ODSs:

(c) The requiring activity has obtained SAO approval to permit the contractor to use the following Class I ODS(s):

Class I ODS/ Application or Use/Quantity (lbs.) per contract period of performance

[List each Class I ODS, its applications or use and the approved quantities for use throughout the length of the contract. If "None," so state.]

(d) The offeror/contractor is required to notify the contracting officer if any Class I ODS that is not specifically listed above is required in the test, operation, or maintenance of any system, subsystem, item, component, or process.

(End of clause)

XI 5352.223-9002 - Addition of clause entitled, "Requirements Affecting Contractor Personnel Performing Mission Essential Services."

Supplementary information about the change: None.

5352.223-9002 -- Requirements Affecting Contractor Personnel Performing Mission Essential Services

As prescribed in 5323.9201, insert the following clause in Section I:

5352.223-9002 -- Requirements Affecting Contractor Personnel Performing Mission Essential Services (APR 2003)

(a) The Contracting Officer has identified all or a portion of the services performed under this contract as "Essential DoD Contractor Services" as defined and described in DoD Instruction (DoDI) 3020.37, "Continuation of Essential DoD Contractor Services During Crises." Hereafter, the personnel identified by the contractor to perform these services shall be referred to as "Mission Essential Contractor Personnel."

(b) Within (insert the number of days required to institute any necessary safety and health precautions) days after contract award or incorporation of this clause into a contract by modification, the Contractor shall provide a written list of all "Mission Essential Contractor Personnel" to the Contracting Officer or designee. The list shall identify names and country(ies) where each employee will perform work under this contract.

(c) As required to comply with or perform pursuant to DoD or Air Force requirements, the contracting officer shall direct the contractor to comply with requirements intended to safeguard the safety and health of Mission Essential Contractor Personnel. The Contracting Officer may communicate the requirements through a letter of notification or other means, and subsequently modify the contract to incorporate the requirements via full text or by reference. The Contractor may file a proposal for cost or other impacts under the Changes clause or a Request for Equitable Adjustment.

(d) This clause shall be inserted in all subcontracts meeting the criteria in paragraph (a) of this clause.

(End of Clause)

XII 5352.242-9000 - Clerical revision to reflect that the clause was updated in Jun 2002.

Supplementary information about the change: None.

5352.242-9000 Contractor access to Air Force installations.

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CONTRACTOR ACCESS TO AIR FORCE INSTALLATIONS (JUN 2002)

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XIII 5304.404-90 - Revised to delete the reference to clause 5352.204-9001.

Supplementary information about the change: The requirement of clause 5352.204-9001 was merged into 5352.204-9000 in AFAC 2002-1122.

5304.404-90 Additional contract clauses.

The contracting officer shall insert the clause at 5352.204-9000, Notification of Government Security Activity and Visitor Group Security Agreements in solicitations and contracts which require a DD Form 254 for performance on U.S. Government installations and overseas. The contracting officer can change the number of days specified in 5352.204-9000(a). If less than thirty days is used, coordinate with the security police activity.

XIV 5352.204-9000 - Clerical addition of wording to clarify paragraph (b) wording from "security agreement" to "Visitor Group Security Agreement."

Supplementary information about the change: None.

5352.204-9000 Notification of Government security activity and visitor group security agreements.

As prescribed in 5304.404-90, insert the following clause in solicitations and contracts:

NOTIFICATION OF GOVERNMENT SECURITY ACTIVITY AND VISITOR GROUP SECURITY AGREEMENTS (APR 2003)

This contract contains a DD Form 254, DOD Contract Security Classification Specification, and requires performance at a government location in the U.S. or overseas. Prior to beginning operations involving classified information on an installation identified on the DD Form 254, the contractor shall take the following actions:

(a) At least thirty days prior to beginning operations, notify the security police activity shown in the distribution block of the DD Form 254 as to:

This requirement is in addition to visit request procedures contained in DOD 5220.22-M, National Industrial Security Program Operating Manual.

(b) Prior to beginning operations involving classified information on an installation identified on the DD Form 254 where the contractor is not required to have a facility security clearance, the contractor shall enter into a Visitor Group Security Agreement (or understanding) with the installation commander to ensure that the contractor's security procedures are properly integrated with those of the installation. As a minimum, the agreement shall identify the security actions that will be performed:

(End of clause)

XV 5352.204-9001 - Clause deleted.

Supplementary information about the change: The requirement of clause 5352.204-9001 was merged into 5352.204-9000 in AFAC 2002-1122.







XVI 5301.601(a)(ii) and 5302.101 (Head of the agency definition) - Revised to delete the reference to the Principal Deputy Assistant Secretary of the Air Force (Acquisition and Management) (PDASAF(A&M)).

Supplementary information about the change: None.

5301.601 General.

5302.101 Definitions.

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"Head of the agency" means, pursuant to Secretary of the Air Force Order 101.1, the Assistant Secretary of the Air Force (Acquisition) (ASAF(A)), unless the terms of a statute or delegation indicate that an action must be done by the Secretary of the Air Force (SECAF) or the Under Secretary of the Air Force (USECAF).

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XVII 5306.304(a)(3), and 5315.303(a)(i) - Revised to change PDASAF(A&M) references to ASAF(A).

Supplementary information about the change: None.

5306.304 Approval of the justification.

5315.303 Responsibilities.

(a) The SSA for source selections using Basic procedures is the contracting officer. The SSAs for PEO and DAC program source selections using Median or Agency procedures are as listed below. SSA shall not be delegated lower than the contracting officer. MAJCOMs and DRUs shall establish SSAs for "Other Contracting" source selections using Median and Agency procedures.

XVIII 5302.101 - Revised to delete the references to DoDI 5000.2 in the definitions for Acquisition Category, Milestone Decision Authority, and Program Executive Officer.

Supplementary information about the change: None.

5302.101 Definitions.

"Acquisition Category (ACAT)" are the categories used to determine the Milestone Decision Authority for an acquisition program based on its location in the acquisition process, dollar value, and complexity.

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"Milestone Decision Authority (MDA)" means the individual designated in accordance with criteria established by USD(AT&L), or by ASD(C3I) for AIS acquisition programs, to approve entry of an acquisition program into the next phase of the acquisition process.

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"Program Executive Officer (PEO)" means an individual who has primary responsibility for directing assigned major/non-major system acquisition programs and major services acquisitions. The PEO reports to and receives guidance and direction from the Air Force Acquisition Executive.

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XIX 5307.104(iv)(A) and 5307.104-91(b)(2) /(b)(3) - Revised to change the references "in accordance with paragraph C2.1.4 of DoD 5000.2-R" and "in accordance with paragraph C2.1.4 of DoD 5000.2-R" to "in accordance with USD(AT&L) guidance."

Supplementary information about the change: Note that 5307.104-91(b)(1) and (2) were also affected by Item IV above. The below text includes the changes identified by Item IV above.

5307.104 General procedures.

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5307.104-91 Air Force procedures for Single Acquisition Management Plans (SAMPs)/Integrated Program Summaries (IPSs).

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(b) Approval requirements.

(1) For non-space related ACAT ID programs, ASAF(A) is the SAMP approval authority. However, the acquisition strategy aspects of the SAMP require additional approval by USD(AT&L), as the MDA, in accordance with USD(AT&L) guidance.

(2) For non-space related ACAT IAM programs, ASAF(A) is the SAMP approval authority. However, the acquisition strategy aspects of the SAMP require additional approval by ASD(C3I), as the MDA, in accordance with USD(AT&L) guidance.

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