AFAC

Air Force Acquisition Circular (AFAC) 2012-0330

FOR ADDITIONAL INFORMATION CONTACT:
SAF/AQCP, 1060 Air Force Pentagon, Washington, DC 20330-1060, (571) 256-2408

SUMMARY OF CHANGES

I

5301.170, 5301.90, MP5301.170(a), and MP5301.9001(f): Formally incorporates SAF/AQC Policy Memos 11-C-06 (8 Jul 11) and 12-C-03 (20 Jan 12)

II

5301.102-90: Deleted as redundant with Guiding Principles described in FAR 1.102 and AFPD 64-1, The Contracting System

III

5301.301, 5301.303, and 5301.304: Administrative updates and link to AF Clause Control Plan provided

IV

5301.402, 5301.403, 5301.404, and MP5301.4: Revised to reflect approval authority for individual and class deviations from DFARS 215.3 and change to agency procedures for reporting deviations

V

5304.202, 5304.5304-70, 5304.7003-90, 5304.7103, 5304.7202-1, and IG5304.7202-1: Deleted Agency Distribution Requirements, redundant CAGE Code information including IG5304.7202-1, and added information regarding DODAACs.

VI

5305.202(b), 5305.204, 5305.303(a)(i), and 5305.502(a): Revised to delete redundant language and make administrative changes

VII

5308.705 and IG5308.7: Revised to add link to Ability One website and rescind IG5308.7 as redundant with information on Ability One website

VIII

5309.401: Deleted as information included in NAF AF Manual

IX

5311.002, 5311.103, and 5311.401: Revised to provide additional guidance under Market Acceptance and delete redundant language

X

5323.9101 and 5352.223-9003: Deleted redundant language

XI

5329.202, 5329.302, and IG5329: Deleted as obsolete and adequately addressed in DFARS

XII

5334.7002 and MP5334.7002: Deleted AFFARS language and MP5334.7002 as D&F requirements adequately addressed in DFARS

XIII

5345.302, 5345.304, and 5345.310: Deleted as does not apply to contracting officers

XIV

5350.101, 5350.102-1-70, 5350.103-3, 5350.104-3(b), and MP5350.103-3: Modified numbering to be consistent with FAR/DFARS

XV

5352.204-9000: Updated name of organization for notification requirement

XVI

5301.105, 5301.201, 5301.201-90, 5301.602, 5301.603, 5308.405-6, 5309.202(a), 5309.206, 5309.405, 5309.406, 5309.407, 5314.407, 5327.203, 5327.203, 5335.006, 5335.070, and MP5330.201-5: Administrative changes

Note: “*****” below indicates that text is omitted for the purpose of brevity.

I

5301.170, 5301.90, MP5301.170(a), and MP5301.9001(f): Formally incorporates SAF/AQC Policy Memo 11-C-06 dtd July 8, 2011 and SAF/AQC Policy Memo 12-C-03 dtd Jan 20, 2012

PART 5301
Federal Acquisition Regulations System

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5301.170 Peer Reviews

(a)(1)(i) See MP5301.170(a) for procedures applicable to non-competitive acquisitions subject to OSD Phase 1 and Phase 2 Pre-Award Peer Reviews.

(a)(1)(iii) The Contracting Officer must simultaneously provide a copy of the memorandum to DPAP/CPIC in accordance with DFARS PGI 201.170-4(f) and to SAF/AQC, safaqc.workflow@pentagon.af.mil.

(a)(2) To facilitate planning for Peer Reviews as described in DFARS 201.170(a)(2), SCO/SCCOs will ensure the rolling Peer Review forecast data is current in the reporting tool at https://cs.eis.af.mil/airforcecontracting/knowledge_center/Quarterly%20Updates/Forms/AllItems.aspx as of the 15th of March, June, September, and December each year. SAF/AQC will submit the consolidated forecast to DPAP/CPIC at the end of each quarter.

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5301.9001 Policy, Thresholds, and Approvals

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(f) Contract actions meeting the contract value thresholds set below shall not be awarded without obtaining the required business and contract clearance approval(s). Clearance approval authority may not be delegated, however unit specific assignments pursuant to subparagraph (3)(i) are authorized.

Contract Value*

Clearance Approval Authority

ACAT I > $500M

DAS(C) and ADAS(C) for Business Clearance Only (see paragraph (f)(1)(i) above)

>$50M

SCCO

$25M - $50M

One level below the SCCO (e.g., Chief of Contracting for the Directorate for AFMC, Chief of the Contracting Office (COCO) for SMC)

$5M - <$25M

Two levels below the SCCO (e.g., Chief of Contracting Division for AFMC, or Deputy COCO for SMC)

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MP5301.170(a)

March 30, 2012

OSD Pre-Award Peer Reviews for Non-Competitive Acquisitions

1. General

The following mandatory procedures apply to non-competitive acquisitions subject to OSD Pre-Award Peer Reviews. In accordance with DFARS PGI 201.170-2(b), two reviews are conducted. The Phase 1 review occurs prior to commencement of negotiations, and the Phase 2 review occurs prior to contract award. Various OSD Peer Review-related documents and resources (e.g., Standard Operating Procedures (SOP) for Peer Reviews, Peer Review Portal Guide, Peer Review Request Form, Frequently asked Questions (FAQ)) are available at: http://www.acq.osd.mil/dpap/cpic/cp/peer_reviews.html.

2. Phase 1 Peer Reviews (prior to commencement of negotiations)

a. No later than 10 business days prior to the scheduled OSD Phase 1 review, the contracting officer must forward the completed AQC Request for Clearance (RFC) Template for Non-Competitive Business Clearance, including the Preliminary-Price Negotiation Memorandum and related attachments, and the Request for Business Clearance briefing slide deck to SAF/AQC, safaqc.workflow@pentagon.af.mil. On a case-by-case basis, additional supporting documentation may be requested in support of the SAF/AQC and/or OSD review. The Business Clearance Session to brief the DAS(C) or ADAS(C) will occur prior to the commencement of the Phase 1 review (see MP5301.9001(f), paragraph 1.a).

b. In accordance with the SOP for Peer Reviews referenced in paragraph 1 above, the contracting officer must communicate with the DPAP/CPIC Peer Review program coordinator concerning the specific timing of the Phase 1 review. Subsequent to a successful Business Clearance Session with the DAS(C) or ADAS(C), the contracting officer must upload the required pre-negotiation clearance documents to the OSD Peer Review Portal (see link in paragraph 1 above).

3. Phase 2 Peer Reviews (prior to contract award)

a. In accordance with the SOP for Peer Reviews referenced in paragraph 1 above, the contracting officer must communicate with the DPAP/CPIC Peer Review program coordinator concerning the specific timing of the Phase 2 review. The contracting officer will upload the Final Price Negotiation Memorandum to the OSD Peer Review Portal and email a copy of the Final PNM to SAF/AQC, safaqc.workflow@pentagon.af.mil. On a case-by-case basis, additional supporting documentation may be requested in support of the OSD review. The contract may not be awarded until disposition of any Peer Review recommendations.

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MP5301.9001(f)
Business Clearance Approval by the DAS(C)

1. Business Clearance Approval for Non-Competitive Actions

2. Business Clearance for Competitive Actions

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II

5301.102-90: Deleted as redundant with Guiding Principles described in FAR 1.102 and AFPD 64-1, The Contracting System

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PART 5301
Federal Acquisition Regulations System

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III

5301.301, 5301.303, and 5301.304: Administrative updates and link to AF Clause Control Plan provided

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SUBPART 5301.3 — AGENCY ACQUISITION REGULATIONS


5301.301 Policy

(a)(1) The AFFARS is issued by the DAS(C) based on authority granted by HAF MD 1-10, 8 Apr 09, and ASAF(A) memorandum, Delegation of Contract and Agreement Authority, 12 Dec 06.

5301.304 Agency Control and Compliance Procedures

MAJCOMs, DRUs, and AFISRA shall follow the approved AF Clause Control Plan available at https://cs.eis.af.mil/airforcecontracting/knowledge_center/Documents/AFFARS_Library/5301/2010-02-02_dpap_memo.pdf. Further, MAJCOMs, DRUs, and AFISRA shall submit procedures and forms that require approval by USD(AT&L)/DPAP to SAF/AQCP, safaqcp.workflow@pentagon.af.mil. The request shall include a detailed justification using the format in DFARS 201.201-1. SAF/AQCP will arrange for publication in the Federal Register, if necessary. The requesting activity is responsible for evaluating public comments and preparing the final package for SAF/AQCP to submit to USD(AT&L)/DPAP.

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IV

5301.402, 5301.403, 5301.404, and MP5301.4: Revised to reflect approval authority for individual and class deviations from DFARS 215.3 and change to agency procedures for reporting deviations

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SUBPART 5301.4 — DEVIATIONS FROM THE FAR


5301.402 Policy

(2) Submit requests for deviations which require USD(AT&L)/DPAP or SAF/AQC approval through the Senior Contracting Official (SCO) to SAF/AQC, safaqc.workflow@pentagon.af.mil for processing.

5301.403 Individual Deviations

a. SCOs are authorized to approve individual deviations except as restricted by DFARS 201.4.

b. Except as described in (c) below, individual deviation approval authority may only be delegated to an SCCO.

c. Individual deviations from FAR 15.3, , AFFARS 5315.3, and MP5315.3 shall be approved by the SAF/AQC. This approval authority shall not be further delegated.

d. Individual deviations from DFARS 215.3 shall be approved by USD(AT&L)/DPAP.

e. See MP5301.4 for annual deviation reporting requirements.

5301.404 Class Deviations

(b)(ii) Class deviation approval authority for the DRUs and AFISRA has been retained by the DAS(C).

(vii) See MP5301.4 for annual deviation reporting requirements.

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MP5301.4
Agency Procedures

MAJCOM/DRU and AFISRA Reporting of Deviations from the FAR, DFARS, and AFFARS

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MP5301.4 Deviations

(a) The SCO shall submit an annual report to SAF/AQC, describing all approved deviations (Class or Individual) which were approved at any level within the organization. This report will include as a minimum, the following information for each deviation:

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(6) Copy of the approved Individual or Class deviation

(b) The SCO will send the report annually (by 1 Nov) to SAF/AQCP, safaqcp.workflow@pentagon.af.mil.

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V

5304.202, 5304.5304-70, 5304.7003-90, 5304.7103, 5304.7202-1, and IG5304.7202-1: Deleted Agency Distribution Requirements, redundant CAGE Code information including IG5304.7202-1, and added information regarding DODAACs.

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SUBPART 5304.70 -- UNIFORM PROCUREMENT INSTRUMENT IDENTIFICATION NUMBERS

5304.7003-90 Maintaining DoD Activity Address Codes (DoDAAC)

The Contracting Officer shall use the DoDAAC Web Management System (https://dodaac.wpafb.af.mil) to:
   (a)  submit new DoDAAC requests for contractors awarded contracts under his/her purview
   (b)  initiate contractor DoDAAC account changes, including extensions of contract expiration dates
   (c)  initiate action to terminate contractor DoDAACs upon contract completion

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SUBPART 5304.71 – CONTRACT LINE ITEMS

5304.7103 Contract Line Items

See IG5304.7103 for guidance on considering severability when forming contracts.

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VI

5305.202(b), 5305.204, 5305.303(a)(i), and 5305.502(a): Revised to delete redundant language and make administrative changes

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SUBPART 5305.2 — SYNOPSES OF PROPOSED CONTRACT ACTIONS

5305.202 Exceptions

(b) The contracting officer shall submit requests through their SCO/SCCO to SAF/AQC, safaqc.workflow@pentagon.af.mil. The request shall address the impact of issuing an advance notice, state why the notice is not appropriate or reasonable and identify alternative actions to optimize opportunities for small business participation.

5305.204 Presolicitation Notices

In accordance with AFI 16-201, the contracting officer shall advise foreign contractors whether or not foreign participation is permitted.

SUBPART 5305.3 — SYNOPSES OF CONTRACT AWARDS

5305.303 Announcement of Contract Awards

(a) Public Announcement. Information on awards shall not be released and awards shall not be made until after the agency announces the award.

(i) The requirement for public announcement and Congressional notification of contract awards also applies to other transactions.

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SUBPART 5305.5 — PAID ADVERTISEMENTS

5305.502 Authority

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VII

5308.705 and IG5308.7: Revised to add link to Ability One website and rescind IG5308.7 as redundant with information on Ability One website

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SUBPART 5308.7 — ACQUISITION FROM NONPROFIT AGENCIES EMPLOYING PEOPLE WHO ARE BLIND OR SEVERELY DISABLED

5308.705 Procedures

See http://abilityone.org/work_with_us/quick_start.html for acquiring products and services under the Javits-Wagner-O'Day Act from Nonprofit Agencies employing people who are blind or severely disabled.

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VIII

5309.401: Deleted as information included in NAF AF Manual

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SUBPART 5309.4 — DEBARMENT, SUSPENSION, AND INELIGIBILITY

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IX

5311.002, 5311.103, and 5311.401: Revised to provide additional guidance under Market Acceptance and delete redundant language

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PART 5311
Describing Agency Needs

SUBPART 5311.1 — SELECTING AND DEVELOPING REQUIREMENT DOCUMENTS

5311.103 Market Acceptance

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X

5323.9101 and 5352.223-9003: Deleted redundant language

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XI

5329.202, 5329.302, and IG5329: Deleted as obsolete and adequately addressed in DFARS

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XII

5334.7002 and MP5334.7002: Deleted AFFARS language and MP5334.7002 as D&F requirements adequately addressed in DFARS

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XIII

5345.302, 5345.304, and 5345.310: Deleted as does not apply to contracting officers

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SUBPART 5345.3PROVIDING GOVERNMENT PROPERTY TO CONTRACTORS


5345.302-1 Policy

Contracting officers should refer to AFI 63-609, Managing Industrial Facilities, when providing facilities to contractors.

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XIV

5350.101, 5350.102-1-70, 5350.103-3, 5350.104-3(b), and MP5350.103-3: Modified numbering to be consistent with FAR/DFARS

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SUBPART 5350.1 — GENERAL

5350.101-1 Authority

(b) The authorities, policies, and procedures established in this part are based on the authority of HAF MD 1-10, 8 Apr 09.

SUBPART 5350.102 — DELEGATION OF AND LIMITATIONS ON EXERCISE OF AUTHORITY


5350.102-1-70 Delegation

(a) The DAS(C) is authorized to deny any request for contract adjustment under FAR 50 and take any action pursuant to FAR 50.103-2(b) or FAR 50.103-2(c), including the authority to modify or release unaccrued obligations of any sort and to extend delivery and performance dates for amounts not exceeding $65,000.

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SUBPART 5350.103 — CONTRACT ADJUSTMENTS

5350.103-5 Processing Cases

(a) All requests for relief and all related documents, certifications, correspondence, reports, files, and a proposed memorandum of decision shall be forwarded through the appropriate SCO to the approving official. Follow MP5350.103-5 for processing requests for contract adjustments due to extraordinary contractual actions.

(b) Air Force Contract Adjustment Board serves as the exclusive point of contact with other military departments, or other departments or agencies of the Government, relative to the exercise of authority under Public Law 85-804.

SUBPART 5350.104 — RESIDUAL POWERS

5350.104-3(b)(1) Action on Indemnification Requests

Upon completion of all buying activity and/or SCO coordination, the contracting officer shall forward the indemnification request to SAF/AQC, safaqc.workflow@pentagon.af.mil for staffing to the SECAF.

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MP5350.103-5
Processing Cases
MP5350.103-5 Processing Cases

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(a) Letter of Acknowledgement. Within 10 calendar days after receipt of a contractor's request for relief, the contracting officer should send the contractor a letter of acknowledgment which:

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(b) Preliminary Record. Within 10 calendar days after receipt of a request complying with FAR 50.103, the contracting officer should provide to the approving authority identified in AFFARS 5350.102 a preliminary record consisting of:

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(c) Final Record. Within 90 calendar days after receipt of a request complying with FAR 50.103, the contracting officer should provide to the approval authority a final record consisting of:

(1) A current version of the documents in the preliminary record.

(2) An audit report, if such a report is required.

(3) A memorandum from the contracting officer including:

(i) A statement of facts based on the contracting officer's knowledge of the
circumstances;

(ii) A statement as to whether the contractor has submitted the information required in FAR 50.103, or requested by the contracting officer pursuant to FAR 50.104, and comments on the accuracy and completeness of this information;

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XV

5352.204-9000: Updated name of organization for notification requirement

PART 5352
Solicitation Provisions and Contract Clauses

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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 (March 2012)

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 Information Protection Office shown in the distribution block of the DD Form 254 as to:

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XVI

5301.105, 5301.201, 5301.201-90, 5301.602, 5301.603, 5308.405-6, 5309.202(a), 5309.206, 5309.405, 5309.406, 5309.407, 5314.407, 5327.203, 5327.203, 5335.006, 5335.070, and MP5330.201-5: Administrative changes

PART 5301
Federal Acquisition Regulations System

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5301.201-90 Maintenance of the AFFARS

The AFFARS is prepared and maintained by the Chief, Contract Policy & Field Support Division, Deputy Assistant Secretary (Contracting) (SAF/AQCP).

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PART 5308
Required Sources of Supplies and Services

SUBPART 5308.4 FEDERAL SUPPLY SCHEDULES

5308.405-6(d) Justification Approvals

(3)(ii)(A) For a proposed task or delivery order exceeding $12.5 million, but not exceeding $85.5 million, and citing the fair opportunity exception at FAR 16.505(b)(2)(i or (b)(2)(ii), the justification must be approved by the SCO or SCCO who meets the criteria in FAR 8.405-6(d)(3)(ii). If a MAJCOM/DRU or AFISRA SCO does not meet the criteria in FAR 8.405-6(d)(3)(ii), then the justification must be approved by the Head of the Contracting Activity (HCA) for the Air Force (DAS(C)/ADAS(C)).

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PART 5309
Contractor Qualifications

SUBPART 5309.2 — QUALIFICATION REQUIREMENTS

5309.202 Policy

(a)(1) The “designee” referenced in FAR 9.202(a) is the HCA.

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5309.405 Effect of Listing

(a) The contracting officer shall submit a request for a compelling reason exception through command contracting channels to SAF/AQC,safaqc.workflow@pentagon.af.mil, with a copy to SAF/GCR, safgcr.workflow@pentagon.af.mil. The request shall include a description of efforts taken to establish alternate sources and the impact if the exception is not granted. SAF/AQC will forward the approved exceptions to GSA.

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PART 5314
Sealed Bidding

SUBPART 5314.4 — OPENING OF BIDS AND AWARD OF CONTRACT


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PART 5327
Patents, Data, and Copyrights

SUBPART 5327.2 — PATENTS


5327.201-2 Clause for Government Waiver of Indemnity

The DAS(C) is authorized to exempt U.S. patents from the patent indemnity clause.

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PART 5335
Research and Development Contracting

5335.006 Contracting Methods and Contract Type

See IG5304.7103 for guidance on considering severability when forming Research and Development contracts.

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5335.070-1 Indemnification Under Research and Development Contracts

(a) The authority to approve requests for indemnification for unusually hazardous risks under 10 U.S.C. 2354 is delegated to the following officials, without power to redelegate:

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MP5330.201-5
Cost Accounting Standard Waiver Report

(a)(2)(i) Submit CAS waiver requests through the SCO to SAF/AQC, safaqc.workflow@pentagon.af.mil, for SAF/AQC approval and OUSD(AT&L)/DPAP coordination. Requests should reach SAF/AQC, safaqc.workflow@pentagon.af.mil, no later than 45 days before the anticipated contract award.

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(e) Annual Reporting Requirements. In order to fulfill the requirement for DoD to submit an annual report to Congress and the CAS Board, MAJCOM/DRU and AFISRA SCOs shall annually identify and report CAS waivers for any contract, subcontract, or modification from the previous fiscal year expected to have a value of $15,000,000 or more. For all CAS waivers meeting this threshold, submit the information as required by DFARS PGI 230.201-5(e) no later than 15 October each year. If no waivers meeting the threshold were granted during the previous fiscal year, submit a negative report no later than 15 October each year. Submit the report to HQ AFMC/PKF, the designated Air Force focal point for consolidation of the reports. HQ AFMC/PKF shall consolidate all of the MAJCOM, DRU, and AFISRA reports and submit a final report to SAF/AQCP, safaqcp.workflow@pentagon.af.mil no later than 8 November each year. SAF/AQCP shall submit the report to the Director, Defense Procurement and Acquisition Policy (DPAP), ATTN: DPAP/CPF no later than 30 November each year.

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