AFAC

Air Force Acquisition Circular (AFAC) 2006-1003
03 OCT 2006

FOR ADDITIONAL INFORMATION CONTACT: SAF/AQCP, 1060 Air Force Pentagon, Washington, DC 20330-1060 (703) 588-7060

SUMMARY OF CHANGES

I

Forward Adds language to include notifications to SAF/AQC

II

5301.602-2(c)(4) Adds individual or class deviations to legal review section

III

5306.302-2(c)(1) Added information for notification of anticipated action
5306.303-1(d) Deleted obsolete information

IV

5307.1, IG 5307.104-92 Multiple updates and adjustments to Acquisition Plan, Acquisition Strategy Panel and LCMPs/CAMPs/IPSs procedures, delegations and approvals.

V

5325.7002-2 Corrects AFFARS by removing internal process from regulation

VI

5330, MP5330.201-5, MP5315.403-1 Establishes mandatory procedures for submission of annual reports for all Cost Accounting Standards waivers and all cost-and-pricing-data waivers and exceptions

VII

5349.7003 and MP5349.7003 Provides direction on DOL notification of anticipated terminations or reductions

VIII

APPENDIX CC Corrects dollar thresholds for Simplified Acquisition Procurements

IX

IG5306 Changes to templates in the Other than Full and Open Competition Justification and Approval Guide

X

IG5315.406-3 Adds requirement to mark all documents as “FOR OFFICIAL USE ONLY”

XI

IG5317.1 Changes to Multi-Year Contracting Guide

XII

MP5305.303(c)(20) Corrects Negotiation Completion Date for UCAs

XIII

MP5306.304 Corrects SMC J&A Approval Authority

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

AFAC CHANGES

I

Forward Added language to include notifications to SAF/AQC

SUPPLEMENTAL INFORMATION ABOUT CHANGE: None

FOREWORD

[2002 Edition]

[Revised October 3, 2006]

This version of the AFFARS incorporates changes published in Air Force Acquisition Circulars (AFAC) 92-43 through 2006-1002.

Additional information and guidance on various parts of the AFFARS are available in the AFFARS Library.

There are requirements to obtain approvals from and provide notifications to the Deputy Assistant Secretary (Contracting), SAF/AQC, or higher throughout the AFFARS. In these circumstances, unless otherwise stated, send all requests or notifications and associated documentation to SAF/AQCK. Advance notice of pending actions and submission of draft requests/documentation is highly encouraged. Electronic submission, with a facsimile copy of signature pages, is preferred in order to expedite processing.

AFAC CHANGES

II

5301.602-2(c)(4) Added individual or class deviations to mandatory legal review section

SUPPLEMENTAL INFORMATION ABOUT CHANGE: The requirement to obtain review on individual or class deviations is now mandatory regardless of dollar amount of action.

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(4) Regardless of dollar amount, the supporting legal office shall provide advice, coordination, and review for the following matters:

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(ix) Contractor claims

(xiii) Individual or class deviations

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AFAC CHANGES

III

5306.303-1(d) Corrected DFARS reference

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5306.302-2 Unusual and compelling urgency.

(c)(1) Contracting Officers shall notify SAF/AQCK as soon as practicable when contemplating the use of this authority for J&As requiring SPE approval.

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5306.303-1(d) Section deleted in its entirety.

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AFAC CHANGES

IV

5307.1, IG 5307.104-92 Multiple updates and adjustments to Acquisition Plan, Acquisition Strategy Panel and LCMPs/CAMPs/IPSs procedures, delegations and approvals.

SUPPLEMENTAL INFORMATION ABOUT CHANGE: Updates Acquisition Plans direction, Acquisition Strategy Panel chairperson designations and general requirements and approval procedures for Life Cycle Management Plans (LCMPs)/ Commodity Acquisition Management Plans (CAMPs)/Integrated Program Summaries (IPSs).

 

PART 5307
Acquisition Planning

[Revised October 3, 2006]

 

SUBPART 5307.1 — ACQUISITION PLANS

5307.102 Policy.

The acquisition team shall develop flexible acquisition strategies that provide rapid delivery of affordable capability to the warrior that meets their expectations. The priority established among cost, schedule, and performance in accordance with 5311.002 shall drive the acquisition strategy.

5307.104 General procedures.

(a) In order to help develop a sound acquisition strategy, the acquisition team shall provide appropriate opportunities for the early involvement of industry in all acquisitions and the Defense Contract Management Agency and Defense Contract Audit Agency in non-competitive acquisitions.

(b) The program manager shall mark the Life Cycle Management Plan/ /Commodity Acquisition Management Plan (CAMP)/Integrated Program Summary (IPS)/Acquisition Plan (AP) “FOR OFFICIAL USE ONLY” if it contains information which should not be released outside the Government and handle it accordingly.

(c) Program managers shall submit LCMPs/ CAMPs/IPSs/APs to the cognizant Program Element Monitor (PEM) for processing.

(d) Solicitation Release.

(1) For non-space related ACAT programs, unless otherwise authorized by the MDA, the contracting officer shall not release the formal solicitation until the MDA has approved the acquisition strategy in accordance with USD (AT&L) guidance.

(2) For AFPEO/CM acquisitions, the contracting officer shall not release the formal solicitation until the LCMP/ CAMPAP approving official has approved the acquisition strategy unless otherwise authorized by the LCMP/CAMP AP approving official or the acquisition is being conducted pursuant to the authority of FAR 6.302-2, unusual and compelling urgency.

(3) For space-related programs under the purview of National Security Space Acquisition Policy 03-01 (NSS 03-01), the contracting officer shall not release the formal solicitation until the MDA has approved the acquisition strategy and the program has successfully passed a milestone decision, unless otherwise authorized by the MDA.

(e) Changes. If a change occurs to the program/acquisition that significantly affects the acquisition (e.g., scope, dollar value, contract type), the program manager with the assistance of the contracting officer shall prepare a revised LCMP/ CAMP/IPS/AP and a statement that summarizes the changes and obtain the approval of the revised LCMP/ CAMP/IPS/AP from the original LCMP/SAMP/CAMP/IPS/AP approval authority, unless otherwise authorized by the LCMP/SAMP/CAMP/IPS/AP approval authority.

(f) Delegations.

(1) For space related programs under the purview of NSS 03-01, the MDA is the acquisition strategy approval authority. This authority is not delegable.

5307.104-90 Acquisition Strategy Panels (ASPs).

(a) General requirements.

(1) ASPs should take place as early as possible in the acquisition planning process to develop a systematic and disciplined approach to achieve an efficient/effective acquisition. The ASP chairperson has the authority to waive the requirement for an ASP.

(2) The program manager, or the contracting officer if a program manager is not assigned, shall conduct an ASP for all ACAT programs, CSO acquisitions, and AFPEO/CM acquisitions.
(3) For Other Contracting acquisitions, Acquisition Strategy Panels (ASPs) shall be convened for all acquisitions requiring a formal/written Acquisition Plan (AP). The ASP chairperson may establish streamlined ASP procedures for acquisitions <$5M.

(b) ASP chairpersons.

(1) For non-space related ACAT I or special designated programs, the Service Acquisition Executive (SAE) is the ASP chairperson.

(2) For space related ACAT I programs, USECAF is the ASP chairperson.

(3) For non-space related ACAT II and III programs, the MDA is the ASP chairperson.

(i) For non-space ACAT II programs, if the PEO has been delegated MDA and wishes to further delegate the responsibility for chairing an ASP to other than their Acquisition Deputy, obtain concurrence from the SAE and ensure the concurrence is documented in the LCMP.

(ii) For non-space ACAT III programs, MDAs may delegate the responsibility for chairing an ASP on a case-by-case basis.

(4) For space related ACAT II and III programs, the MDA is the ASP chairperson.

(5) For AFPEO/CM acquisitions, the PEO is the ASP chairperson.

(6) For Commodity Council acquisitions, the CSO is the ASP chairperson, unless the acquisition is within the PEO/CM Portfolio.

(7) For Other Contracting, ASP Chairperson shall be the SCO or designee for acquisitions other than for services. The ASP Chairperson for services shall be the Services Designated Official (SDO).

(c) ASP membership and content.

(1) Based on the unique requirements of each acquisition, the ASP chairperson shall determine the panel membership and the required content for each ASP that he/she chairs.

(2) For all non-space ACAT I programs, the ASP chairperson shall use the non-space SAE panel, tailored as necessary. The SAF/ACE ASP Secretariat will facilitate the ASP meetings. Refer to the Air Force Acquisition Strategy Panel (ASP) Secretariat website for ASP and SAE panel information.

(3) For all space ACAT I programs, the ASP chairperson shall use the space SAE panel, tailored as necessary. SAF/ACE will administer this panel. Refer to the Air Force Acquisition Strategy Panel (ASP) Secretariat website for basic ASP information. Refer to the SAF/USA website for National Security Space Acquisition Policy related to modifications to the ASP process and for space SAE panel information.

(d) ASP minutes. At the conclusion of the ASP, the program manager or contracting officer shall prepare ASP minutes and obtain approval of the ASP minutes from the ASP Chairperson.

5307.104-91 Air Force procedures for Life Cycle Management Plans (LCMP) / Commodity Acquisition Management Plans (CAMP) / Integrated Program Summaries (IPS).

(a) General requirements.

(1) For non-space related programs:

(i) Program managers shall prepare LCMPs for all Acquisition Category (ACAT) I and II programs. ACAT programs falling under the purview of OSD may utilize acquisition strategy documents required by OSD to fulfill the LCMP requirement. The LCMP will be implemented as follows:

(A) For all new ACAT I and II programs, the LCMP is mandatory.

(B) For existing acquisitions with SAMPs approved before 1 May 2005, continue the program under the SAMP guidance. After 1 May 05, programs operating under a SAMP will transition to an LCMP when the program:

(1) Enters a new milestone;

(2) Updates the Product Support Management Plan (PSMP) and/or SAMP (5307.104(e));

(3) Implements a major system modification. At the discretion of the portfolio authority (PEO or ALC/CC), the LCMP may be limited to the modification versus the entire system; or

(4) When deemed appropriate by the MDA, Defense Acquisition Executive (DAE), SAE, or PEO.

(ii) For ACAT III programs, LCMPs may be prepared at the discretion of the MDA, however, at a minimum an Acquisition Plan must be prepared.

(2) For space related programs:

(i) Program managers shall prepare an IPS for all new programs under the purview of NSS 03-01. The IPS may be tailored at the discretion of the MDA.

(ii) For existing programs under the purview of NSS 03-01 and operating under a SAMP, continue the program under the SAMP guidance. Programs operating under a SAMP will transition to an Acquisition Strategy when the program:

(A) Enters a new milestone;
(B) Implements a major system modification; or
(C) When deemed appropriate by the MDA.

(iii) For existing programs under the purview of DoDI 5000.2 and operating under a SAMP, continue the program under the SAMP guidance. Programs operating under a SAMP will transition to an LCMP, following the guidance in paragraph 5307.104-91(a)(1)(i)(B) above.

(3) The LCMP approval authority has the authority to waive the requirement to prepare a LCMP. However, the LCMP approval authority does not have the authority to waive the requirement for a written acquisition plan (see deviation procedures in FAR 1.4, as supplemented).

(4) The commodity council director shall prepare CAMPs for all commodity council acquisitions.

(b) Approval requirements.

(1) For non-space related programs:

(i) For ACAT ID and IAM programs, the SAE is the LCMP approval authority. However, the acquisition strategy aspects of the LCMP require OSD approval. An OSD approved acquisition strategy (AS) document can meet the requirements of a LCMP. All AS documents shall be reviewed by the SAE before submission to OSD.

(ii) For ACAT IC, IAC, II and III programs, the MDA is the LCMP approval authority.

(2) For space related programs:

(i) For ACAT I programs, coordination and approval of the IPS material occurs as a result of a successful Independent Program Assessment Team review. The DoD Space MDA is the approval authority for the acquisition strategy portion of the IPS.

(ii) For ACAT II and ACAT III programs, the MDA is the acquisition strategy approval authority.

(3) For commodity council acquisitions not in a PEO portfolio, the CSO is the CAMP approval authority.

(c) Content and review requirements.

(1) For programs under the purview of DoDI 5000.2, the AS/LCMP/ CAMP shall include all required elements of a written acquisition plan in accordance with FAR 7.105, as supplemented. The AS/LCMP/ CAMP approval authority may determine additional content and coordination required of the AS/LCMP/ CAMP, subject to law and higher regulation(s) (see FAR 7.1 as supplemented). For additional guidance see Defense Acquisition Guidebook Chapter 2 and the LCMP Guide.

(2) For space related programs, NSS 03-01 outlines the required content and coordination of the IPS. The IPS is a collection of documents used by the Independent Program Assessment Team to evaluate a program and includes the Acquisition Strategy.

5307.104-92 Air Force procedures for Acquisition Plans (APs).

(a) For non-space related ACAT III programs, if an acquisition plan is prepared in lieu of a LCMP, the MDA is the acquisition plan approval authority.

(b) For all acquisitions within the AFPEO/CM portfolio (See 5337.503-90) the acquisition plan approval authority is the PEO.

(c) For information technology services acquisitions that are subject to appendix C of USD (AT&L) policy memorandum dated 31 May 02, Acquisition of Services, and thresholds identified for Major Automated Information Systems in DoDI 5000.2, the acquisition plan approval authority is ASD (NII).

(d) For MAJCOM and DRU Other Contracting acquisitions.

(1) For acquisitions with a dollar value above the SAT to $5M, contracting officers shall at a minimum prepare a Streamlined Acquisition Strategy Summary (SASS), which must be approved one level above the contracting officer (See IG5307.104-92). At the discretion of the contracting officer, an AP may be prepared for those actions where it would be more appropriate.

(2) APs are to be prepared for acquisitions with a value > $5M. The AP must be approved by the SDO for services acquisitions or for non-services, the SCO. Further guidance for APs covered by this subparagraph is provided at IG5307.104-92.

(3) Actions that do not require a formal/written Acquisition Plan:

(4) Acquisitions less than $5M that require documentation on an AP:

(5) AFMC and AFSPC for SMC may establish alternate Other Contracting AP procedures and thresholds for non-operational contracting actions up to the thresholds in DFARS 207.103(d)(i).

(e) For commodity council acquisitions, the CSO is the acquisition plan approval authority.

5307.104-93 Air Force Procedures for Commodity Councils.

See Informational Guidance at IG5307.104-93 for general guidance on how to implement and operate commodity councils.

(a) The commodity council director shall prepare a commodity council charter, which shall at a minimum:

(1) Identify the proposed Commodity Strategy Officials (CSO),

(2) Identify anticipated results of the council activities,

(3) Identify the responsibilities of the primary organizations involved in the commodity council, and

(b) PEO/CM shall coordinate on all charters involving acquisition of services to determine if the acquisition should be conducted within the PEO/CM portfolio.

(c) SAF/AQC shall review and approve all commodity council charters.

5307.105 Contents of Written Acquisition Plans

Acquisition plans must address whether foreign contractors can be permitted to participate at the prime contractor level in any or all contracts involved in the acquisition.

(a)(4) Capability or Performance. For services acquisitions, the acquisition plan shall:

(i) address the Performance-Based Services Acquisitions (PBSA) principles at AFI 63-124, paragraph 1.4, or

(ii) refer to the non-PBSA SDO approval IAW 5337.170-3.

(13) Logistics Considerations. (S-90) Ensure anti-terrorism/force protection issues are considered as required by AFI 10-245, Air Force Anti-terrorism (AT) Standards. Consult with the local anti-terrorism officer (ATO) as necessary. Describe the extent of integrated logistics support planning to date, including references to approved plans.

(b) See Informational Guidance at IG5307.104-92 for Other Contracting AP content.

5307.170-3 Policy and procedures

(a) (3) (i) The SPE has delegated the authority to make the consolidation determination for actions exceeding $5 million, and less than $100 million, to the Head of the Contracting Activity.

(ii) The SPE has delegated the authority to make the consolidation determination for actions $100 million or greater to the Deputy Assistant Secretary (Contracting) and the Associate Deputy Assistant Secretary (Contracting).

(iii) The determination shall include the acquisition strategy information required in DFARS 207.170-3.

(iv) The determination may be included in an AS/LCMP/CAMP/AP when SAF/AQC coordination is required as part of the approval process. When preparing these documents clearly identify the consolidation determination. Coordination on such documents by the Deputy Assistant Secretary (Contracting) or Associate Deputy Assistant Secretary (Contracting) is approval of the required documentation. For all other consolidation determinations requiring DAS(C) or ADAS(C) approval, prepare a separate Determinations and Findings.

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Informational Guidance

IG5307.104-92
Acquisition Planning Documentation Guidance for “Other Contracting”

October 2006

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2. AP Documentation Approval Authorities:


3. Timing: As prescribed in FAR 7.104 acquisition planning should take place and the AP should be developed and submitted to the approving official as soon as the requirement is identified and preferably in advance of preparation of the purchase request unless the acquisition is being conducted under the authority of FAR 6.302-2, unusual and compelling urgency. Nevertheless, the AP approval authority is responsible for facilitating release of the Request for Proposal (RFP) either by approving the AP, or by providing clear separate direction as to release of the RFP, or by clearing the action for the SSA to proceed with release where the SSA is the release authority.

4. “Other Contracting” Acquisition Plan and Streamlined Acquisition Strategy Summary Templates:
For acquisitions greater than $5M but less than the value requiring AFPEO/CM approval, the “Other Contracting” AP Template below may be utilized to document acquisition planning. For acquisitions from the SAT to <$5M the SASS Checklist below may be utilized to document acquisition planning. Some degree of documentation related to acquisition planning for the above categories is required unless specifically waived by the designated AP approval authority.

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TEMPLATE
Streamlined Acquisition Strategy Summary (SASS)

Date:

Contracting Office: Buyer Name:

Requiring Activity: Voice (DSN):

Project Title: Fax (DSN):

Buyer’s E-Mail Address: Control Number:

Construction Service Supply

Government Est.: $ (Include ALL Options)

I. Brief Description of Requirement (Including delivery schedule, any problems/risk)

II. Proposed Acquisition Approach

a. Extent of Competition:

Sole Source* Competitive Non-DoD Full & Open
*FAR 6.3 Authority:

NETCENTS/AFWAY (Including Waivers) Limited Sources

b. Small Business:

Competitive 8a Sole Source 8a SDVOSB Set-Aside

Hub-Zone Sole Source Competitive SBSA SDVOSB Sole Source

Hub-Zone Set-Aside N/A Other (Specify)

c. Procedures: (Check all that apply)

FAR 8 (GSA/Non-DoD Competitive)

FAR 12 Commercial Items

FAR 13 Simplified Acquisition Procedures

FAR 14 Sealed Bidding

FAR 15 Negotiation

FAR 36 A&E and Design Build

FAR 37 Personal Services Healthcare

d. Contracting Method

IFB Competitive RFP Sole Source RFP Other (Fill-in)

e. Basis of Award:

Sealed Bid – Part 14

Negotiation – Part 15
Lowest Price Technically Acceptable
Performance Price Trade-Off without technical factors
Performance Price Trade-Off with technical factors

Formal Source Selection (AP highly recommended)

GSA/Non-DoD Competitive (list factors):

Other (explain):

f. Contract Type (Check all that apply):

Fixed-Price

Incentive

Cost-Reimbursement

Award Fee

Time and Material/Labor Hour Agreements

Indefinite Delivery Contract (IDC)

Other (Specify):

FOR OFFICIAL USE ONLY

AFAC CHANGES

V

5325.7002-2 Corrects AFFARS by removing internal process from regulation

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5325.7002-2 Exceptions.

(b) When the contracting officer determines, through market research, that an article or suitable substitute is not available from a domestic source, the contracting officer shall submit a determination and finding (D&F) following the format in the Mandatory Procedures at MP5325.7002-2. The D&F, including the market research report, shall be coordinated through the MAJCOM and SAF/AQCK, for approval by the Secretary of the Air Force. The authority of the Secretary of the Air Force to make determinations in accordance with DFARS 225.7002-2 is not delegable.

AFAC CHANGES

VI

5330, MP5330.201-5, MP5315.403-1 Establishes mandatory procedures for submission of annual reports for all Cost Accounting Standards waivers and all cost-and-pricing-data waivers and exceptions

PART 5330
Cost Accounting Standards Administration

[Revised October 3, 2006]

5330.201-5 Waivers

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Mandatory Procedure

MP5330.201-5
Cost Accounting Standard Waiver Report

October 2006

(a) In accordance with the requirement at DFARS 230.201-5(e)(i) for military departments to report all waivers granted under FAR 30.201-5(a), MAJCOM/DRU Senior Contracting Officials (SCO) shall annually identify and report all Cost Accounting Standard (CAS) waivers. HQ AFMC/PKPB has been designated as the Air Force focal point for consolidation of the reports. Submit a copy of the approved waiver along with the following details to HQ AFMC/PKPB no later than 15 October each year:

(b) If no CAS waivers were granted during the previous fiscal year, MAJCOM/DRU SCOs shall submit a negative report to HQ AFMC/PKPB no later than 31 October.

(c) HQ AFMC/PKPB shall consolidate all of the MAJCOM and DRU reports and submit a final report to SAF/AQCP no later than 8 November each year.

Mandatory Procedure

MP5315.403-1
Prohibition on Obtaining Cost or Pricing Data

Reporting Requirements

October 2006

(a) In order to fulfill the requirement for DoD to submit an annual report to Congress, MAJCOM/DRU Senior Contracting Officials (SCO) shall annually identify and report all cost and pricing data waivers and exceptions. HQ AFMC/PKPB has been designated as the Air Force focal point for consolidation of the reports. Submit a copy of the approved waiver along with the following details to HQ AFMC/PKPB no later than 15 October each year:

Commercial Item Exceptions to TINA Requirement
(Contracts/Subcontracts/Modifications of $15,000,000 or more)

1. Contract Number: (Contract Number, including Modification Number if applicable):

2. CLIN(s) for excepted item(s):

3. Activity:

4. Total dollar amount of exception:

5. Brief explanation of basis for determination that the products or services to be purchased are commercial items.

6. Brief discussion on how the price was determined to be fair and reasonable including an identification of specific steps taken to ensure price reasonableness.

Waiver of TINA Requirements
(Actions of $15,000,000 or more)

1. Contract Number: (Contract Number, including Modification Number if applicable).

2. CLIN(s):

3. Activity:

4. Total dollar amount waived:

5. Brief discussion of rationale supporting decision to waive TINA requirements.

6. Brief discussion on how the price was determined to be fair and reasonable.

If no waivers or exceptions were granted during the previous fiscal year, MAJCOM/DRU SCOs shall submit a negative report to HQ AFMC/PKPB no later than 31 October.

HQ AFMC/PKPB shall consolidate all of the MAJCOM and DRU reports and submit a final report to SAF/AQCP no later than 8 November each year.

AFAC CHANGES

VII

5349.7003 and MP5349.7003 Provides direction on DOL notification of anticipated terminations or reductions

5349.7003 Notification of anticipated terminations or reductions.

See the Mandatory Procedure at MP5349.7003 for required processing procedures.

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Mandatory Procedure

October 2006

5349.7003 Notification of anticipated terminations or reductions.

(b)(2)(i) The contracting officer shall submit the draft notification to SAF/AQCK as soon as the proposed termination/reduction is known. SAF/AQCK will forward the notification to SAF/AQ for signature. The notification should be addressed to:

The notice should address the following key elements:

(1) Contract number, date, and type of contract

(2) Name of the Company

(3) Nature of contract or end item

(4) The reason for the termination

(5) Contract price of the items terminated

(6) Total number of contractor employees involved, including the Government’s estimate of the number who may be discharged

(7) Statement of anticipated impact on the company and the community

(8) The area labor category, whether the contractor is a large or small business, and any known impact on hardcore disadvantaged employment programs

(9) Total number of subcontractors involved and the impact in this area, and

(10) An unclassified draft of a suggested press release

AFAC CHANGES

VIII

APPENDIX CC Corrects dollar thresholds for Simplified Acquisition Procurements

 

APPENDIX CC
Contingency Operational Contracting Support Program (COCSP)

[Revised October 3, 2006]

 

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“Senior Contracting Official (SCO)” means the MAJCOM/DRU headquarters staff official with overall functional responsibility for contracting. The deputy to an SCO may exercise any SCO authority unless specifically limited by the SCO. The SCO may include the A7K, MSK, or MAJCOM Chief/Director of Contracting.

"Simplified Acquisition Procedures (SAP)" means authorized streamlined purchasing methods in FAR 13 used to expedite purchasing support to the warfighter. SAPs are authorized for construction up to the SAT and commercial commodities and services up to $10 million.

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CC-103 Responsibilities.

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(b) Each MAJCOM SCO shall:

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CC-204 Appointment of contingency contracting officers.

Contracting officer warrants issued by the CCO’s unit remain valid, unless there are specific limitations on the warrant that will hinder the CCO’s ability to support contingency operations. If necessary, the HCA designee may issue additional warrants or increase the limits of warrants as needed in the theater. Upon notification of any tasking, the unit shall issue a warrant to an individual before deployment. Units can issue warrants for CCOs ahead of time if the CCO(s) are designated to support no-notice deployment(s). Specific contracting authority on a contingency warrant should be limited to the acknowledgement of threshold levels that a CCO’s APDP level is applied to, i.e. micro-purchase, simplified acquisition, unlimited, or other designated dollar amount as appropriate.

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CC-301 Planning actions.

Each operational contracting office monitors current plans and coordinates on all plans that task the contracting organization for support according to AFI 10-401, Air Force Operations Planning and Execution. Special attention should be given to determine appropriate actions to continue performance of essential contractor services pursuant to DODI 3020.37, Continuation of Essential DOD Contractor Services During Crisis and Joint Pub 4, Logistics, Chapter V, Contractors in the Theater, for any contract services being used to support military operations or local emergencies. Contracting support plans shall be established for (a) contingency support for military operations, and (b) contingency support for local emergencies.

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CC-302 Pre-deployment preparation.

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(i) Official passports are required for each CCO designated to support deployments that require a passport for entry. Each unit shall determine if a CCO needs to obtain an official passport when initially designated as a CCO. If units have difficulty securing official passports, contact SAF/AQCC for assistance in validating mission and coordination with the Pentagon Passport Office. When CCOs are deployed they shall have their passports in their possession at all times unless directed otherwise for security reasons.

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CC-303 Deployment/mobility kits.

Operational contracting activities will develop local support plans and kits with contracting supplies, forms, instructions, and office equipment to respond to contingency situations. Refer to Attachment CC-1 for specific contents for contingency contracting kits.

(a) Each contracting activity shall develop and maintain deployment kits for use during contingencies. Unit kits will be pre-assembled and positioned for rapid retrieval and transport. Kits will be inventoried on an annual basis to coincide with the same cycle as the support plan review. Kits shall also be inspected prior to and upon return from all deployments. Kit inspection results shall be documented and maintained for a minimum of one year. Contents will be updated periodically to replace outdated material. Mission Capability (MISCAP) Statements for contracting UTCs are published in the War and Mobilization Plan, Volume 3, Part 3 and contain contracting cargo elements (LOGDET). Unit deployment kits may be tailored to the expected deployment location or expected emergency tasking, but they shall not exceed the size and weight limitations established in the LOGDET for the appropriate UTC. A complete assembled cargo package (UTC XFFK4) is an integral part of UTC XFFK1. Hand carried contracting kits (UTC XFFKT) are part of all other UTCs where specific taskings do not require complete cargo package. If required, the UTC XFFK4 shall be specifically tasked to accompany all UTCs other than UTC XFFK1.

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CC-501 Expedited contracting procedures in contingency operations.

(a) For most critical steps in the contracting process, the acquisition reform tools in FAR, DFARS, and AFFARS provide flexibility to permit expedited contracting actions to satisfy urgent and compelling requirements. However, such circumstances do not provide blanket waivers of regulatory requirements, nor do they eliminate the need to maintain required controls and documentation. Examples of existing authorities to expedite contracting actions include:

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ATTACHMENT CC-2 — CONTINGENCY CONTRACTING OFFICER INITIAL AND RECURRING TRAINING

Initial and recurring training: Initial training for all personnel designated as contingency contracting officers will consist of a complete review of AFFARS Appendix CC, the local contingency operational contracting support plan, and the items listed in the outline below. For AF enlisted members, this training will satisfy the knowledge requirement for the contingency core tasks in the specialty training standard. Continuation training should at a minimum consist of an annual review of AFFARS Appendix CC, kit inventories, plan reviews, and annual qualification training in general military skills such as ATSO, small arms qualification, etc. In addition, CCOs should be rotated for participation in local exercises, contingency competitions, and real world deployments at steady state and non-steady state locations. Unit deployment managers should actively participate in local exercise planning to ensure contracting scenarios are part of base exercises and evaluated for effectiveness. Initial CCO training shall be documented in enlisted training records and individual mobility folders for officer personnel. The unit deployment manager should track recurring training.

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AFAC CHANGES

IX

IG 5306 Changes to templates in the Other Than Full and Open Competition Justification and Approval Guide

Informational Guidance

IG5306
Other Than Full and Open Competition Justification and Approval

Preparation Guide and Template

October 2006

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10 USC 2304(c)(1)

ONLY ONE RESPONSIBLE SOURCE (OR LIMITED NUMBER)

Guidance regarding use of this authority is at FAR 6.302-1. It applies when either the required supplies or services are available from only one responsible source, or, for DoD, when one or a limited number of responsible sources can satisfy agency requirements. Solicitations for other than full and open competition will not be released until the J&A has been approved when proceeding under this authority.

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10 USC 2304(c)(2)

UNUSUAL AND COMPELLING URGENCY

Guidance regarding use of this authority is at FAR 6.302-2 and supplements thereto. It applies when the need for supplies or services is of such an unusual and compelling urgency that the government would be seriously injured unless the number of sources solicited is limited to those specified. As with exception 1, this limited competition is not necessarily the same as “sole source”. The CO is obligated to request offers from as many potential sources as practical under the circumstances. Contracting Officers shall immediately contact SAF/AQCK when contemplating an award under the authority cited in FAR 6.302-2. When citing this authority, the J&A may be prepared and approved after contract award or issuance of an undefinitized contract action when preparation and approval prior to award would unreasonably delay the acquisition. (FAR 6.302-2(c))

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10 USC 2304(c)(3)

INDUSTRIAL MOBILIZATION; OR ENGINEERING, DEVELOPMENTAL, OR RESEARCH CAPABILITY

Guidance regarding use of this authority is at FAR 6.302-3. It applies when it is necessary to award the contract to a particular source or sources in order to (i) maintain a facility, producer, manufacturer, or other supplier in case of national emergency or to achieve industrial mobilization or (ii) to establish or maintain an essential engineering, research or development capability provided by an educational or non-profit institution or federally funded research and development center. Solicitations for other than full and open competition will not be released until the J&A has been approved when citing this authority.

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10 USC 2304(c)(5)

AUTHORIZED OR REQUIRED BY STATUTE

Guidance regarding use of this authority is at FAR 6.302-5. It applies when statute expressly authorizes or requires the acquisition to be made through another agency or from a specified source. It may also be used when brand name commercial items are purchased for authorized resale (e.g., Commissary sales, etc.). Solicitations for other than full and open competition will not be released until the J&A has been approved when citing this authority. However a J&A is not required under the following conditions:

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10 USC 2304(c)(6)

NATIONAL SECURITY

Guidance regarding use of this authority is at FAR 6.302-6. Use of this authority may be appropriate for certain highly sensitive classified programs. It applies when disclosure of the government’s needs would compromise national security and it is necessary to limit the number of sources who are solicited. Solicitations for other than full and open competition will not be released until the J&A has been approved when citing this authority.

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JUSTIFICATION AND APPROVAL TEMPLATE

The following format is a suggested template for the body of all J&As except for an International Agreement Competitive Restriction.

Always be sure to confirm J&A Approval Authority IAW the Mandatory Procedures at MP5306.304.

COORDINATION AND APPROVAL DOCUMENT
(also known as Justification Review Document)

Contracting Activity: _________________________
Purchase Request/Local Identification Number: __________________________________
Project/Program Name (and Program Element, if applicable): ___________________________________________________________________________
Estimated Contract Cost (including options): $__________________
Type Program: ________________________ (PEO Program, or Other Contracting)
Authority: 10 U.S.C. 2304(c)(___), as implemented by FAR 6.302-___
Type J&A: ____________________(Class or Individual)

Contracting Officer: _____________________________ _______________ _____________
(All) (Name) (Office Symbol) Date Signed

    DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

Project Lead /
Program Manager: _____________________________ _______________ _____________
(All) (Name) (Office Symbol) Date Signed

    DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

Local Legal
Reviewer: _____________________________ _______________ _____________

    (Name) (Office Symbol) Date Signed
    DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

Chief of the
Contracting Office: _____________________________ _______________ _____________
(>$500K) (Name) (Office Symbol) Date Signed

    DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

Competition
Advocate: _____________________________ _______________ _____________
(> $500K) (Name) (Office Symbol) Date Signed

    DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

Senior Contracting
Official: _____________________________ _______________ _____________
(> $10M) (Name) (Office Symbol) Date Signed

    DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

PEO/Commander: _____________________________ _______________ _____________
(Requirements (Name) (Office Symbol) Date Signed
Cognizance) DSN: XXX-XXXX, COM: (XXX) XXX-XXXX
(> $10M)
Senior Procurement
Executive: ____________________________________________ _____________
(> $75M) (Name) (Office Symbol) Date Signed
DSN: XXX-XXXX, COM: (XXX) XXX-XXXX

JUSTIFICATION FOR OTHER THAN
FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY

Fully identify the contracting agency and organizational activity responsible for the proposed contracting action. Specifically identify as a “Justification for Other Than Full and Open Competition.” Identify purchase request number, if applicable.

II. NATURE AND/OR DESCRIPTION OF THE ACTION BEING PROCESSED

State whether the action will be awarded as a new contract or by modification to an existing contract (identify contract number) and identify the type contract planned (e.g., firm-fixed-price, cost-plus-incentive-fee, etc.). If exception 2 is cited (unusual or compelling urgency), state date of UCA/contract/modification issuance and amount.

An individual J&A cannot be used to support more than one contract action (e.g., contract award, contract modification) irrespective of the quantities or the dollar value stated therein. If a proposed contract will contain unpriced options (including NTE prices), those options must be supported by a separate J&A prior to option exercise or the J&A supporting the basic contract must be a Class J&A. For Class J&A situations where the number of contracts in the class can be identified: (1) Provide brief general description of actions, (2) identify the document as a Class J&A, (3) identify the supplies and services that are being acquired, and (4) for each contract in the class identify the contractor; estimated value; type of contract and rationale for contract length; and estimated award date. Where the same information applies to more than one contract within the class, it need only be stated one time. (See FAR 6.303-2(a)(2); AFFARS MP5306.304).

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS

Specifically describe the supplies and/or services to be acquired including the estimated value (including options) and quantity of each item, the total estimated value of the acquisition, and the estimated delivery dates/periods of performance. For example, if commodities are being procured with technical data, support equipment, and support services (staff-hour quantity of support hours) each should be listed, not just commodity quantities. If all of the ancillary requirements associated with a particular item are not specifically described in the J&A, those ancillary requirements cannot be included in the resulting contract unless a second J&A covering those ancillary requirements is executed. Also, state the type of appropriation (e.g., 3600, 3010, 3400) that will be used to fund each requirement listed.

Here is an example of such a list:

“Under the contemplated contract, ABC Corporation will provide the following supplies and services in sustainment of the XYZ program:

    (1) Approximately 30,030 staff-hours will be acquired each year for: (a) depot-level (Level II) maintenance on eight XYZ systems around the world and routine (Level 1) maintenance on the two systems located at ABC Corporation’s facility, (b) help desk services (24 hours/day, 7 days/week) to provide daily assistance to military personnel to maintain the systems, and (c) software releases for the XYZ system (including any deficiency releases needed to fix minor problems that occur after a major release) and maintenance training on those software releases. The period of performance of this effort will be from January 2005 through 30 September 2005, and 3400 appropriations will fund this effort.  
    (2) Approximately 2,640 staff-hours will be acquired each year to convert seventeen XYZ systems into seventeen QRS systems to enable a transportable weather system to be deployed into forward locations in order to provide polar ingest capability outside the UMQ-13 polar footprint. Deliveries of these items will occur between January 2005 and March 2006, and 3400 appropriations will fund this effort.
    (3) . . .

(N) . . .” 

If approval for more than one fiscal year requirement is needed, give the rationale for this request. Generally, the scope of these actions is limited to current requirements only, so that actions may be taken to facilitate competition for out-year requirements. In some cases, there are no feasible actions that could develop future competition, and it is reasonable to seek approval for more than one fiscal year’s requirements.

For ID/IQ or requirements contracts, use the maximum dollar value of the total estimated orders as the estimated J&A dollar value. (See FAR 6.303-2(a)(3); AFFARS MP5306.304).

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN COMPETITION

10 USC 2304(c)(__), as implemented by FAR 6.302 (FAR 6.303-2(a)(4)).

Note: For class J&As, all contracts within the class should fall within the same statutory authority. Where a different authority must be used for any contract action, a separate J&A should be prepared.

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE QUALIFICATIONS OR NATURE OF THE ACQUISITION REQUIRES THE USE OF THE AUTHORITY CITED ABOVE (APPLICABILITY OF AUTHORITY)
Provide, in narrative form, a detailed explanation supporting and clearly relating to the conditions described by the FAR for using the particular authority cited. This section is normally the most detailed part of the justification as the essence of the justification is presented here. For acquisitions that include both supplies and services, separately justify the use of the authority for the services and supplies.

Contracting without providing for full and open competition shall not be justified on the basis of lack of advance planning by the requiring activity or concerns related to the amount of funds available (e.g., funds will expire)(See FAR 6.301(c)). To assist you, the following information is provided:

a. Only One Responsible Source (FAR Subpart 6.302-1) – In the case of a follow-on contract for continued development or production of a major system or highly specialized equipment/services, the rationale must first justify the supplies/services as being a “major system” or “highly specialized.” The rationale must then justify “either” substantial duplication of cost to the government that is not expected to be recovered through competition, or unacceptable delays in fulfilling the agency’s requirements, whichever situation applies. If both of these situations apply, the rationale can be based on either of these two situations, or both.

Note: Discuss the use of restrictive brand name descriptions in requirements documentation here under Part V. An acquisition that uses a brand name description or other purchase description to specify a particular brand name, product, or feature of a product, peculiar to one manufacturer does not provide for full and open competition regardless of the number of sources solicited. If there is going to be a brand name used, you will need to justify it and clearly explain why a specific brand produced by a single company is required as opposed to allowing free and open competition. The justification should indicate that the use of such descriptions in the acquisition is essential to the Government’s requirements, thereby precluding consideration of a product manufactured by another company.

(Brand-name or equal descriptions, and other purchase descriptions that permit prospective contractors to offer products other than those specifically referenced by brand name, provide for full and open competition and do not require justifications and approvals to support their use.)

When using this exception, the first subsection of this section should:

    (1) Describe the system or support element to which supply/service to be procured under the contemplated acquisition relates in terms of its purpose and its capabilities. Describe how the contemplated acquisition relates to that system, or support element. State what work the current contractor has been performing. Include the current contract number, basis of award for that contract award (competitive/sole source), when the contract was awarded, and when the contract will expire. If the work the contractor will perform under the contemplated acquisition is being done under an ACAT I or II program, state that designation. If the work will not be done under an ACAT I or II program, provide a detailed explanation from a technical perspective as to why the supplies/services to be procured are “highly specialized.”

(2) If the planned acquisition is a “bridge” effort, which contains options, so state and explain why options are necessary.

(3) Add a concluding sentence to the end of this paragraph, suitably tailored; e.g., “Therefore, this acquisition will be a follow-on contract for the continued production of a major system,” or “Therefore, this acquisition will be a follow-on contract for the continued development of highly specialized equipment,” or “Therefore, this acquisition will be follow-on contract for the continued development of a major system,” or “Therefore, this acquisition will be a follow-on contract for the continued production of highly specialized equipment,” or “Therefore, this acquisition is for continued performance of a highly specialized service.”

When using this exception, the second subsection should describe in 3-4 sentences the contractor's unique/highly specialized capabilities and/or qualifications (e.g., facilities, personnel, special tooling acquired). (See FAR 6.303-2(a)(5).

When using this exception, the third subsection should begin with the following sentence, suitably tailored: “The (XXX SPO, or XXX Wing) believes that award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the Air Force’s requirements.” Then, discuss either or both of the following situations (although only one of these situations is needed; if the facts exist to support both, then provide that information):

(1) When the rationale is based on substantial duplication of cost, state the approximate cost and state that the cost could not be recovered through competition. When FAR 6.302-1(a)(2)(ii) is cited for follow-on acquisitions as the basis for the justification, include an estimate of the anticipated cost to run a competition offset by the amount of cost that would be duplicated. Include the rationale for the amount of cost that would be duplicated (e.g., training required so that another source could acquire the skills necessary to perform the effort, equipment, facilities) and how the estimate was derived (e.g., development costs incurred by the Government under the existing contract or similar programs). (See FAR 6.303-2(a)(9)(ii); SAF/AQC memo of 18 Oct 04).

    (2) When the rationale is based on unacceptable delay, state how long it would take someone else to obtain this capability (e.g., months, years) and why, and provide a detailed explanation of the impact or problem caused by the delay. For example, the impact of not adding additional quantities of launch support services staff-hours to an existing contract might cause a launch to not occur as scheduled, thus delaying the operational use of a spacecraft, thus reducing the constellation’s operational availability – and thus reducing (or precluding) the ability of the warfighter to accomplish specific missions. (See SAF/AQC memo of 18 Oct 04).

When using this exception, the fourth subsection should include one of the following sentences, whichever is applicable: “Accordingly, XYZ Corporation is the only firm capable of providing the supplies and services described in Section III above without the U.S. Air Force experiencing substantial duplication of cost that could not be expected to be recovered through competition,” or “Accordingly, XYZ Corporation is the only firm capable of providing the supplies and services described in Section III above without the U.S. Air Force experiencing unacceptable delays in fulfilling its requirements,” or “Accordingly, XYZ Corporation is the only firm capable of providing the supplies and services described in Section III above without the U.S. Air Force experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling its requirements.”

    b. Unusual and Compelling Urgency (FAR 6.302-2, 6.303-2(a)(9)(ii); DFARS PGI 206.302-2) - Contracting Officers shall immediately contact SAF/AQCK when contemplating an award under the authority cited in FAR 6.302-2. Provide an explanation why (1) the supplies or services are needed at once because of fire, flood, explosion, or other disaster, or (2) essential equipment or repairs to that equipment are needed at once, e.g., to preclude impairment of launch capabilities or mission performance of missiles or missile support equipment, eliminate imminent grounding of the XX fleet crucial to what mission of the USAF and Defense of the Nation. In other words, identify the anticipated serious injury to the Government, the nature of the urgency, the reasons for it occurring and why it is “urgent and compelling” to preclude adverse impact to military readiness. Merely citing a Force Activity Designator (FAD) rating, Program Management Directive (PMD)/Program Action Directive (PAD) guidance, or DX priority rating is not in and of itself sufficient reason to use this exception from the requirement to obtain full and open competition. Note that only the minimum quantity required to satisfy the unusual and compelling urgency qualifies for this exception; thus, this exception might not suffice to justify option quantities.

c. Industrial Mobilization; or Engineering, Developmental, or Research Capability (FAR 6.302-3) - The most important part of justifications citing this authority is demonstrating the need to maintain the capability possessed by the identified source(s). Some form of market survey may be critical in demonstrating the uniqueness of this capability.

d. Authorized or Required by Statute (FAR 6.302-5) – It is imperative to identify what is being acquired and the applicable statute authorizing other than full and open competition. Note: Some statutes do not require a written J&A.

e. National Security (FAR 6.302-6) - Provide the minimum essential information needed to establish validity of the justification. This information will make the J&A a classified document. Special handling procedures are required for processing such documentation to the approval authority. Only parties with a “need to know” and the proper level of security clearance should be permitted access to the documentation. Such acquisitions are also exempt from synopsis under FAR 5.202(a)(1).

f. Public Interest (FAR 6.302-7) - This authority may only be used when none of the other authorities is appropriate and may not be made on a class basis. Provide detail addressing the reasons full and open competition is not in the public interest and why no other authority is appropriate for use.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE

Describe all efforts taken (or to be to be taken) to ensure that offers are solicited from as many potential sources as practicable under the circumstances. The following issues should be addressed in this paragraph:

Sources Sought Synopsis. If a sources sought synopsis was issued, state the date the synopsis was issued, the synopsis number, and a brief description of its content. If any responses were received, describe in detail the results of the screening process and the rationale for determining the unacceptability of any synopsis respondents. This is particularly important when citing the authority of 10 USC 2304(c)(1), “Only one (or a limited number of) responsible source(s)”, since it is this survey of the market place that confirms our assumptions regarding the capability of industry to meet our needs. (See FAR 6.303-2(a)(6)). If the proposed action was not or will not be synopsized, cite the specific authority for not doing so (per FAR 5.202) and the rationale for the synopsis exception. Note that although synopsis of proposed contract actions initiated pursuant to FAR 6.302-2 may not be required, use of this authority is not an automatic exemption from synopsis. (See FAR 5.202(a)(2)).

Other Actions. In this paragraph, discuss any other actions taken or planned to facilitate competition for this acquisition. The discussion should include actions tried or considered even if the actions were unsuccessful. If the efforts were unsuccessful, so state and describe why.

Qualifying Country Sources. If qualifying country sources have expressed interest, but are to be excluded, provide supporting rationale.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

Include a statement by the contracting officer that the anticipated cost will be considered fair and reasonable and provide the basis for this determination. The steps that will be taken to ensure the final contract price will be fair and reasonable are also described here. Describe the extent of cost or price analysis anticipated including the requirements for certified cost or pricing data, technical evaluations, and audits (FAR 6.303-2(a)(7)).

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH WAS NOT CONDUCTED

Discuss any market research conducted pursuant to FAR Part 10 and describe results of that research. Market research is any effort undertaken to determine if sources capable of satisfying the agency’s requirements exist and to determine if commercial items or non-developmental items are either available or can be modified so that they will satisfy the agency’s needs. Market research should be focused not only on identifying alternate sources, but also on alternate equipment or substitutes that might fill the government needs with only minor modification. Regardless of the approach used, the results should provide a high level of confidence that no other qualified sources exist.

Generally, some form of market research should be conducted, but it is most critical when citing the authority of FAR 6.302-l, Only one (or a limited number of) responsible source(s). Under such circumstances, use the following sentence: “As described in Section VI above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties.”

When other exceptions from the requirement to obtain full-and-open competition are relied upon, the market research might be limited to an examination of the acquisition history and experience with the marketplace under previous acquisitions for the same or similar items.

If no market research was conducted, so state and provide the rationale.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN COMPETITION

Provide any other facts supporting the use of other than full and open competition, including an explanation of why technical data packages, specifications, engineering descriptions, statements of work, statements of objectives, or purchase descriptions suitable for full and open competition have not been developed, are not being developed, are not being used, or are not available. (see FAR 6.302-1(b)(2), 6.303-2(a)(9)(i)).

X. LIST OF SOURCES, IF ANY, THAT EXPRESSED INTEREST IN THE ACQUISITION

State “See Section VI above.”

XI. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE MAKING SUBSEQUENT ACQUISITIONS FOR THE SUPPLIES OR SERVICES REQUIRED

Describe any actions taken or to be taken to foster competition for future acquisitions of the supplies or services being acquired. Describe potential actions that could be undertaken to remove the barriers to competition that have been identified in the justification and include a milestone schedule for accomplishing these actions. For example, if a follow-on competitive acquisition is planned, so state and give planned award date, (See FAR 6.303-2(a)(11)), or state the Government will attempt to acquire rights in technical data and computer software sufficient to compete follow-on acquisitions as a priced option in the contract action that is the subject of this J&A, or (if applicable) state how the Government intends to challenge nonconforming markings on technical data and computer software delivered to it under previous contracts so those markings can be removed in order that that technical data and computer software may be used in support of a follow-on competitive acquisition, or describe plans to qualify additional sources.

Address efforts to ensure competition for future spare parts and maintenance in support of systems or equipment covered by the justification, even when these acquisitions will be accomplished by other organizations. Include a discussion on available breakout data.

If no actions are planned, so state and provide reasons. If approval is sought for more than one year, explain why a sole source effort is required for the planned time duration.

XII. CONTRACTING OFFICER’S CERTIFICATION

The contracting officer’s signature on the Coordination and Approval Document evidences that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief (FAR 6.303-2(a)(12)).

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION

As evidenced by their signatures on the Coordination and Approval Document, the technical and/or requirements personnel have certified that any supporting data contained herein, which is their responsibility, is both accurate and complete (FAR 6.303-2(b)).

NOTE:
1. Before definitizing a not-to-exceed (NTE) option, the contracting officer must ensure that the effort covered by the NTE option has been synopsized in accordance with FAR 5.201 and a J&A that covers the effort has been approved. (See AFFARS 5317.207).

AFAC CHANGES

X

IG 5315.406-3 Added requirement to mark all documents as “FOR OFFICIAL USE ONLY”

Informational Guidance

IG5315.406-3
Price Negotiation Memorandum Checklist

October 2006

6. MISCELLANEOUS

       

    a. List government advisory reports (audit, pricing, technical, should cost, etc.)

       

      (1) Explain use of informal field assistance in lieu of formal report(s)

       

      (2) Explain basis for any field reports required but not obtained

       

    b. Provide status and explanation/disposition of the deficiencies on the following contractor

systems that impact the instant negotiations

       

      (1) Accounting system (include adequacy of disclosure statement and compliance with cost

accounting standards)

       

      (2) Purchasing system

       

      (3) Compensation system

       

      (4) Estimating system

       

      (5) Any other systems, as appropriate

       

    c. List/identify contractor provided cost/price data. Identify certificate of current cost/pricing

data, if provided

       

    d. Summarize why the negotiated price is fair and reasonable

       

      (1) Address the 25% limitation on price increases

       

    e. Include signatures of the Contracting Officer and the author of the PNM

       

    f. The Price Negotiation Memorandum shall be marked “FOR OFFICIAL USE ONLY”

       

AFAC CHANGES

XI

IG 5317.1 Changes to Multi-Year Contracting Guide

Informational Guidance

IG5317.1
Multi-year Contracting

October 2006

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CHAPTER 7
FUNDING MULTI-YEAR CONTRACTS

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(b) THE RULES GOVERNING THE FUNDING OF MULTI-YEAR CONTRACTS

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(c) HOW TO APPLY THE FUNDING RULES TO A MULTI-YEAR CONTRACT

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(4) Funding the Cancellation Ceiling for Each Year

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CHAPTER 16
APPROVAL OF VALIDATION FINDINGS
AND NOTIFYING CONGRESS

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(d) HOW TO DETERMINE WHEN TO NOTIFY CONGRESS

(1) Congressional Notification.

multi-year award has evolved over the years. The requirement to notify Congress is now in 10 USC 2306b(g), and updated in Section 814 of the National Defense Authorization Act of FY2005, which requires that the Secretary notify and provide supporting rationale to the Armed Services and Appropriations Committees of the Senate and the National Security and Appropriations Committees of the House, 30 days before awarding a multiyear contract containing a cancellation ceiling in excess of $100,000,000 that is not fully funded.

places the following conditions on the award of a multiyear contract using FY2005 funds.

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AFAC CHANGES

XII

MP 5305.303(c)(20) Negotiation Completion Date for UCA’s corrected

Mandatory Procedure

MP5305.303
Announcement of Contract Awards

October 2006

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(20) Negotiation Completion Date. For Invitation for Bids (IFB), list opening date. For Requests for Proposals (RFP), list negotiation completion date. For undefinitized contract actions (UCA), list estimated date for contract definitization. For option exercises, enter “N/A.”

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AFAC CHANGES

XIII

MP 5306.304 Corrected SMC J&A Approval Authority

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(ii) AFSPC: For SMC, SMC SCCO is the approval authority. For all other AFSPC organizations HQ AFSPC SCO is the approval authority.

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