IMMEDIATE ACTION

DEPARTMENT OF THE AIR FORCE AFMC ACQUISITION CIRCULAR 97-1

Headquarters AFMC

Wright-Patterson AFB OH 45433 27 August 1998

Air Force Material Command Acquisition Circular (AFMCAC)

1. All material in this AFMCAC is effective as of the date of the AFMCAC unless otherwise specified. Each item of this AFMCAC shall remain in effect until specifically cancelled or incorporated by a subsequent edition of the AFMCFARS.

2. This AFMCAC supersedes interim policy notices (IPNs) 97-4, 97-5, 98-1, 98-2, 98-3, 98-4 and 98-9. It also implements conforming changes to parts 5301, 5309, 5315, 5335, 5337, 5352, 5353, and Appendices AA & BB which are required due to the 1 Jan 98 implementation of the re-written FAR Part 15, and subsequent interim changes to AFFARS Part 5315. The changes implemented in IPN 97-4 are cancelled because they have been superseded by changes to part 5315 which are incorporated by this AFMCAC in ITEM 9. All other IPNs (98-5 through 98-8) implement non-AFMCFARS changes.

3. Expect future AFMCFARS changes to be made by AFMCAC (see ITEM 16 below.) Interim changes may also be implemented on an exception basis if approved by the AFMCFAR Council Chairperson.

4. AFMCAC 97-1 amends the AFMCFARS as specified below (all changes are marked by revision bars on the right hand side of the pages):

ITEM 1.

a. Title: AFMCFARS 5301.601-91(a)(90), 5301.601-94(b)(90), 5301.603-2(91), 5301.603-3(a)(90)(91), 5302.101, 5303.104-11-90(a), 5306.303-290(90), 5306.304-90(b), 5307.104-90(b)(1)(90), 5316.405-2(a)(91), 5319.201(c)(9)(90), 5332.703-1(1)(iii),

_______________________________________

No. of Printed Pages: 137

OPR: HQ AFMC/PKP (Kenneth J. Farr)

Distribution: F

HQ USAF/LG, Wash DC 20330-5000................4

SAF/AQCP, Wash DC 20330-5000................... 3

HQ USAF/JAC, Wash DC 20330-5000..............1

HQ AFIA/IM, Kirtland AFB NM 87117-5670.......1

AUL/LDEA, Maxwell AFB AL 36112-5564......... 1

5333.104-90(a)(2)(i)(A), 5337.9103, 5342.7101-90, IPN 97-05 (AFMCFAR Council case 97-15). Effective date: 1 Oct 97. (Pages: 1-4, 1-5, 1-6, 2-1, 3-1, 6-1, 7-2, 16-3, 19-1, 32-1, 33-1, 37-3, 42-2, and 49-1). Refer questions to HQ AFMC/PKT, DSN 787-8934.

b. Purpose/Explanation of Change(s): Implements changes required to reflect the new Air Force Research Laboratory organization. References to the old laboratory structure are removed or revised to reflect the new AFRL structure and to clarify contracting approval and authority flow for laboratory requirements. The AFRL/CC will exercise Center Commander equivalent authority. The AFRL/PK will serve as the Senior Center Contracting Official (SCCO) for the AFRL. Contracting officials one level below the SCCO will be Chiefs of the Contracting Offices (COCOs) for Other Contracting actions.

ITEM 2.

a. Title: AFMCFARS 5315.405(b)(1). Implemented in IPN 98-01 (AFMC FAR Council case 97-22). Elimination of reference to AFMC Pamphlet 64-102, Request for Proposal Process Guide, in AFMCFARS Part 5315 (page 15-1). Note that the Part 15 conforming changes (see Item 9) to AFMCFARS 5315.405-90(b) renumbered that section, "5315.201(c)(6)(90)" and renamed it "Exchanges with industry before receipt of proposals." Effective date: 7 Jan 98. Refer questions to Mr. Roger Hanson, DSN 787-6057.

b. Purpose/Explanation of Change(s): AFMCFARS 5315.405-90(b)(1) was deleted because it refers to AFMC Pamphlet 64-102, Request for Proposal Process Guide. The guide was cancelled because most of the information in it was duplicative of data already in DESKBOOK. The reference indicated that additional information on draft RFPs could be found in the RFP Guide. That information can now be found in DESKBOOK/AFAM. Any unique data which was in the guide has been moved to DESKBOOK.

ITEM 3.

a. Title: AFMCFARS 5347.305-6(91). Implemented in IPN 98-01 (AFMC FAR Council case 97-19), administrative change to Part 5347. Effective date: 7 Jan 98. (page 47-1)

b. Purpose/Explanation of Change(s): AFMCFARS 5347.305-6(91) was amended to correct a mistaken FAR reference. The cite incorrectly prescribes FAR 52.247-30, F.o.b. Origin, Contractor's Facility. The correct cite should be FAR 52.247-34, F.o.b. Destination. Refer questions concerning AFMC FAR Council case 97-019 to Mr. John Berg, DSN 787-6056.

ITEM 4.

a. Title: AFMCFARS 5301.90. Implemented in IPN 98-02 (AFMCFARS case 98-01). Contract Clearance Process (pages 1-6, 1-7). Effective date: 9 Jan 98. Refer questions to Ms. Rosanne Romanchek, DSN 986-0308.

b. Purpose/Explanation of Change(s): Implements changes to AFMCFARS 5301.90, Clearance Process. These changes result from the Clearance Process IPT recommendations and SAF/AQC Contracting Policy Memo 98-C-01.

ITEM 5.

a. Title: AFMCFARS 5352.235-9002. Implemented in IPN 98-03 (AFMC FAR Council Case 97-24) Definition of Unusually Hazardous Risks (page 52-66). Effective date: 15 Jan 98. Refer questions to Mr. Roger Porter, DSN 787-7421,

b. Purpose/Explanation of Change(s): AFMCFARS clause 5352.235-9002, Definition of Unusually Hazardous Risks, is changed to update the definition after a review and update of the previous definition by SAF/GC.

ITEM 6.

a. Title: AFMCFARS 5347.305-10. Implemented in IPN 98-03 (AFMC FAR Council case 97-23), Administrative changes to packaging, marking and consignment instructions (page 47-2). Effective date: 15 Jan 98. Refer questions to Mr. John Berg, DSN 787-6056.

b. Purpose/Explanation of Change(s): AFMCFARS 5347.305-10, Packaging, marking and consignment instructions, was amended to correct prescription statements which were not clear as to when to include specific packaging and marking clauses in solicitations, errors in an address, and other clarifications.

ITEM 7.

a. Title: AFMCFARS 5347.305-10, 5352.247-9016. Implemented in IPN 98-04 (AFMC FAR Council Case 98-02). Packaging, marking and consignment instructions (pages 47-3, 52-111). Effective date: 22 Jan 98. Refer questions to Mr. John Berg, DSN 787-6056.

b. Purpose/Explanation of change(s): Implements a change to AFMCFARS 5347.305-10, Packaging, marking and consignment instructions and deletes AFMCFARS clause 5352.247-9016, FMS Evidence of Shipment, because it duplicates coverage in AFFARS 5352.225-9000, Evidence of Shipment on Foreign Military Sales (FMS) Contracts.

ITEM 8.

a. Title: AFMCFARS 5346.7. Implemented in IPN 98-09 (FAR Council case 98-06). Warranties (pages 46-i, 46-4). Effective: 15 Apr 98.

b. Purpose/Explanation: Repeal of 10 U.S.C. 2403 followed a June 1996 General Accounting Office (GAO) Report (B-259383) which concluded the use of warranties in weapon system acquisitions is not practical and does not provide sufficient benefits to the Government. GAO estimated that the military services spend about $271 million annually for weapon system warranties with a return of only 5 cents per dollar. To implement this change at the DoD level, the Director of Defense Procurement issued Departmental Letter (D.L.) 98-002 on 6 Feb 98 removing the regulatory requirement for the mandatory purchase weapon system warranties found at DFARS 246.770. This letter will be formally implemented in DFARS Case 97-D326. With the repeal of 10 U.S.C. 2403 and issuance of D.L. 98-002, all AFFARS and AFMCFARS language pertaining to the mandatory use of weapon system warranties was also obsolete.

ITEM 9.

a. Title: Changes to AFMCFARS Parts 1, 9, 15, 35, 37, 52, 53, and Appendices AA & BB as a result of FAR Part 15 rewrite. Part 5315--Contracting by Negotiation, Appendix AA--Formal Source Selection for Major Acquisitions, and Appendix BB--Source Selection procedures for Other than Major Acquisitions, have been replaced in their entirety due to numerous changes. Effective date: upon approval of this AFMCAC. Clauses and provisions affected by the changes required by this item are dated August 1998. Optional use is authorized for 30 days after the effective date of this AFMCAC. The August 1998 versions are mandatory thereafter. This implements AFMC FAR Council Case 98-12. Refer questions to Mr. Don Poole, DSN 986-0359.

(pages: 1-5, 9-5, 15-i, 15-ii, 15-1 through 15-11, 35-1, 35-2, 37-1, 52-3, 52-4, 52-7, 52-18, 52-21 through 52-30, 52-32, 52-33, 52-35, 52-36, 52-49, 52-52, 52-80, 53-1, 53-2, AA-1 through AA-10, BB-1 through BB-20)

b. Purpose/Explanation of Change: The final rule reengineers the processes used to contract by negotiation, with the intent of reducing the resources necessary for source selection and reducing time to contract award. The goals of the rewrite were to ensure that the Government, when contracting by negotiation, receives the best value, while ensuring fair treatment to all offers. The changes made to the FAR drove numerous revisions to the DFARS, and AFFARS, and now to the AFMCFARS. The majority of the changes fall in one of the following categories:

- Consistency of terminology (e.g. BAFO changed to final proposal revision)

- Paragraph numbering consistency (e.g. Most of 5315.8 has been moved to 5315.4).

- Deletion of AFMC policy if now covered in another part of the FAR, DFARS or AFFARS (e.g. specifics of oral presentations now covered in FAR 15.102(d) and deleted for AFMCFAR Appendix AA-302(b)).

For information only. Concurrent with the release of this AFMCAC, we are posting the Price Negotiation Memorandum/Price Competition Guide to our HQ AFMCF/PKP WWW homepage. It is intended to provide certain guidance which was removed from AFMCFARS coverage due to the FAR Part 15 rewrite.

ITEM 10.

a. Title: AFMCFARS Appendix AA-116(90) (page AA-2). Streamlining. AFMC FAR Council case 98-012. Refer questions to Mr. Don Poole, DSN 986-0359.

b. Purpose/Explanation of Change: Clarification added concerning when use of EDI is appropriate in submission of proposals.

ITEM 11.

a. Title: AFMCFARS 5315.201(c)(6)(90) (page 15-1). Exchanges with industry before receipt of proposals. AFMC FAR Case 98-12. Refer questions to Mr. Don Poole, DSN 986-0359.

b. Purpose/Explanation of Change: Clarify a draft RFP is not required in a commercial acquisition using the combined synopsis/solicitation method.

ITEM 12.

a. Title: AFMCFARS 5353.290 (page 53-2), AFMC Forms. AFMC FAR Council Case 98-12. Refer questions to Mr. Don Poole, DSN 986-0359.

b. Purpose/Explanation of Change: Numerous AFMC forms deleted to allow centers flexibility in establishing local documentation.

ITEM 13.

a. Title: AFMCFARS Appendix BB-204 (page BB-3), Source Selection Plan (SSP). AFMC FAR Council Case 98-012. Refer questions to Mr. Don Poole, DSN 986-0359.

b. Purpose/Explanation of Change: Now allows discretion in tailoring SSP to specific acquisition.

ITEM 14.

a. Title: AFMCFARS Appendix BB-312 (page BB-7), Proposal Analysis Report (PAR) and presentation. AFMC FAR Council case 98-12. Refer questions to Mr. Don Poole, DSN 986-0359.

b. Purpose/Explanation of Change: Now allows discretion in tailoring PAR to specific acquisition.

ITEM 15.

a. AFMCFARS 5301.601-94 (page 1-4). AFMC FAR Council case 97-21. Refer questions to Ms. Rosanne Romanchek, DSN 986-0308.

b. Purpose/Explanation of Change: Conform AFMCFARS to AFFARS following SAF/AQC Contracting Policy Memo 98-C-11. AFFARS added a $5M threshold for IDIQ orders for PEO/DAC acquisitions. AFMCFARS recognizes the same legal review thresholds as ceilings for Other Contracting, so the language required a change to make the word "threshold" plural, "thresholds."

ITEM 16.

a. Administrative changes. AFMCFARS 5301.101, 5301.304(c) (pages 1-1 and 1-2). Refer questions to Mr. Kenneth Farr, DSN 986-0380.

b. Purpose/Explanation of Change: Administrative changes were made to this part to change the WWW address of AFMC guides and templates referenced in the AFMCFARS. This was necessary because the Web site was altered and the address changed since the AFMCFARS was rewritten in July 1997. Another change was made to reflect current procedures for changing the AFMCFARS. AFMCACs will be used to make all changes to the AFMCFARS unless the Chairperson of the AFMC FAR Council approves an interim change on an exception basis.

5. Filing instructions:

Page Insert changes:

Remove: Insert:

1-i, 1-ii 1-i, 1-ii

1-1 to 1-9 1-1 to 1-8

2-1, 2-2 2-1, 2-2

3-1, 3-2 3-1, 3-2

6-1, 6-2 6-1, 6-2

7-1, 7-2 7-1, 7-2

9-5, 9-6 9-5, 9-6

15-i, 15-ii 15-i, 15-ii

15-1 to 15-14 15-1 to 15-12

16-3, 16-4 16-3, 16-4

19-1, 19-2 19-1, 19-2

32-1, 32-2 32-1, 32-2

33-1, 33-2 33-1, 33-2

35-1, 35-2 35-1, 35-2

37-1 to 37-4 37-1 to 37-4

42-1, 42-2 42-1, 42-2

46-i, 46-ii 46-i, 46-ii

46-3, 46-4 46-3, 46-4

47-1 to 47-4 47-1 to 47-4

49-1, 49-2 49-1, 49-2

52-i to 52-iv 52-i to 52-iv

52-3, 52-4 52-3, 52-4

52-7, 52-8 52-7, 52-8

52-17, 52-18 52-17, 52-18

52-21 to 52-36 52-21 to 52-36

52-47 to 52-52 52-47 to 52-52

52-65, 52-66 52-65, 52-66

52-79, 52-80 52-79, 52-80

52-111, 52-112 52-111, 52-112

53-1 to 53-4 53-1, 53-2

AA-1 to AA-22 AA-1 to AA-10

BB-1 to BB-40 BB-1 to BB-20

PART 5301--FEDERAL ACQUISITION REGULATIONS SYSTEM

TABLE OF CONTENTS

SUBPART 5301.1--PURPOSE, AUTHORITY, ISSUANCE

5301.101

Purpose.

1-1

5301.104

Applicability.

1-1

SUBPART 5301.2--ADMINISTRATION

5301.201

Maintenance of the FAR.

1-1

5301.201-2

FAR Secretariat.

1-1

5301.290

Designation of Office of Primary Responsibility (OPR).

1-1

SUBPART 5301.3--AGENCY ACQUISITION REGULATIONS

5301.301

Policy.

1-1

5301.304

Agency control and compliance procedures.

1-1

5301.304-90

AFMCFARS revision procedures.

1-1

5301.304-91

Use and approval of provisions/clauses not published in FAR Part 52.

1-2

5301.304-92

Center provision/clause control and compliance requirements.

1-3

SUBPART 5301.4--DEVIATIONS FROM THE FAR

5301.403

Individual deviations.

1-3

5301.404

Class deviations.

1-4

SUBPART 5301.6--CAREER DEVELOPMENT, CONTRACTING

AUTHORITY, AND RESPONSIBILITIES

5301.601

General.

1-4

5301.601-91

Establishment of heads of contracting activities.

1-4

5301.601-92

Delegation of general contracting authority.

1-4

5301.601-94

Legal review.

1-4

5301.602

Contracting officers.

1-5

5301.602-3

Ratification of unauthorized commitments.

1-5

5301.603

Selection, appointment, and termination of appointment.

1-5

5301.603-2

Selection.

1-5

5301.603-3

Appointment.

1-6

SUBPART 5301.90--CLEARANCE PROCESS

5301.9000

Scope and applicability.

1-6

5301.9002

Definitions.

1-6

5301.9005

General requirements.

1-6

5301.9005-2

Determining the value of contract actions.

1-6

5301.9006

Solicitation review.

1-6

5301.9007

Content of the RFC.

1-6

5301.9008

Clearance procedures.

1-7

Attachment

5301-90

Review/Approval Authorities Other Contracting

1-8

PART 5301--FEDERAL ACQUISITION REGULATIONS SYSTEM

SUBPART 5301.1--PURPOSE, AUTHORITY, ISSUANCE

5301.101 Purpose.

http://www.afmc.wpafb.af.mil/organizations/HQ-AFMC/PK/pkopr1.htm.

5301.104 Applicability.

SUBPART 5301.2--ADMINISTRATION

5301.201 Maintenance of the FAR.

5301.201-2 FAR Secretariat.

5301.290 Designation of Office of Primary Responsibility (OPR).

SUBPART 5301.3--AGENCY ACQUISITION REGULATIONS

5301.301 Policy.

5301.304 Agency control and compliance procedures.

5301.304-90 AFMCFARS revision procedures.

5301.304-91 Use and approval of provisions/clauses not published in FAR Part 52.

5301.304-92 Center provision/clause control and compliance requirements.

SUBPART 5301.4--DEVIATIONS FROM THE FAR

5301.403 Individual deviations.

(90) Authority is redelegated to the SCCO, without power of further redelegation, to approve individual deviations from the FAR, DFARS, AFFARS, and this supplement for PEO and DAC Programs and Other Contracting.

(1) Obtain legal coordination on the deviation request prior to submittal to the SCCO for approval.

(2) All deviation packages requiring approval above the SCCO must be coordinated with the SCCO prior to submission.

(3) The SCCO shall submit a summary of individual deviations approved and disapproved to HQ AFMC/PK at the end of the fiscal year.

5301.404 Class deviations.

SUBPART 5301.6--CAREER DEVELOPMENT, CONTRACTING AUTHORITY,

AND RESPONSIBILITIES

5301.601 General.

5301.601-91 Establishment of heads of contracting activities.

5301.601-92 Delegation of general contracting authority.

5301.601-94 Legal review.

5301.602 Contracting officers.

5301.602-3 Ratification of unauthorized commitments.

5301.603 Selection, appointment, and termination of appointment.

5301.603-2 Selection.

(90) Each field activity shall establish procedures and responsibilities for local review boards.

(91) Membership of field review boards shall be as determined by the SCCO. Board members must be of equal or higher grade than the grade of the person being considered for the warrant.

(92) The review board shall make recommendations to the appointing authority regarding each candidate and keep records of warrants issued.

5301.603-3  Appointment.

(a)(90) The SCCO is delegated the authority to appoint contracting officers.

(91) Individuals designated to perform contracting officer's duties under formal emergency plans, e.g., War and Mobilization Plan, Continuity of Operations for Air Force Materiel Command (COPAFMC), do not require an active contracting officer appointment. The SCCO shall establish procedures to appoint contracting officers on a conditional basis.

SUBPART 5301.90--CLEARANCE PROCESS

5301.9000 Scope and applicability.

5301.9002 Definitions.

5301.9005 General requirements.

5301.9005-2 Determining the value of contract actions.

5301.9006 Solicitation review.

5301.9007 Content of the RFC.

5301.9008 Clearance procedures.

ATTACHMENT 5301-90

REVIEW/APPROVAL AUTHORITIES

OTHER CONTRACTING

AUTHORITY LEVEL

   

      CAA

   

ESTIMATED VALUE

RFP/CRA

COMP

NON-COMP

 

<$50M

COCO (1)

SSA (2)

Center/CC (3)

 

>$50M & <$500M

SCCO (4)

SSA (2)

Center/CC (3)

 

>$500M

AFMC/PK (5)

SSA (2)

Center/CC (3)

 

NOTES:

(1) These authorities may be delegated down one level except that authorities for actions below $5M may be delegated down more than one level but no lower than the contracting officer.

(2) In formal source selection actions (AFFARS Appendix AA/Appendix BB), this is the individual designated as the source selection authority and responsible for the conduct of the entire source selection process. For other competitive actions, this is the individual responsible for selecting the source, e.g., the contracting officer.

(3) The Center/CC may delegate this authority.

(4) The SCCO may delegate these authorities to the COCO on a case-by-case basis.

(5) AFMC/PK may delegate these authorities to the SCCO on a case-by-case basis. AFMC/PK shall notify the center commander of such delegation.

PART 5302--DEFINITIONS OF WORDS AND TERMS

SUBPART 5302.1--DEFINITIONS

5302.101 Definitions.

"Chief of the Contracting Office (COCO)," as used in the FAR, DFARS, AFFARS, and this supplement, means the Buying Office Contracting Official (BOCO) for PEO/DAC contract actions. For Other Contracting, "COCO" means the first contracting official in the contracting chain subordinate to the Senior Center Contracting Official (SCCO).

"Laboratory Commander" (deleted)

PART 5303--IMPROPER BUSINESS PRACTICES AND PERSONAL

CONFLICTS OF INTEREST

SUBPART 5303.1--SAFEGUARDS

5303.104 Procurement integrity.

5303.104-5 Disclosure, protection, and marking of proprietary and source

selection information.

(c)(2)  The following persons are also authorized access to proprietary and source selection information, but only to the extent necessary to perform their official duties:

(90) Those persons within AFMC, required by FAR or any other Air Force or AFMC guidance, to generate, review, coordinate, approve, or take other action with respect to documents related to the acquisition;

(91) Cognizant contract administration office, Defense Contract Audit Agency and AFMC Inspector General personnel; and

(92) Duly appointed ombudsmen.

5303.104-11-90 Processing violations or possible violations.

(a) For Other Contracting actions, Center Commanders may redelegate the authority for reporting violations or possible violations in accordance with FAR 3.104-10 no lower than the SCCO. The Center Commander or designee shall establish procedures to review violations or possible violations reported by the contracting officer.

SUBPART 5303.8--LIMITATION ON THE PAYMENT OF FUNDS TO

INFLUENCE FEDERAL TRANSACTIONS

5303.804 Policy.

(b) Forward a copy of each disclosure submitted to the contracting officer in accordance with FAR 3.804(b) to SAF/AQCP. File the original copy of the disclosure in the official contract file.

PART 5306--COMPETITION REQUIREMENTS

SUBPART 5306.3--OTHER THAN FULL AND OPEN COMPETITION

5306.303 Justifications.

5306.303-290 Justification review document.

5306.304 Approval of the justification.

5306.304-90 AFMC approval of the justification.

5306.304-93 Procedures for J&A changes.

PART 5307--ACQUISITION PLANNING

SUBPART 5307.1--ACQUISITION PLANS

5307.102 Policy.

(90) The acquisition strategy developed should reflect the results of the market research previously conducted with industry.

5307.103 Agency-head responsibilities.

5307.104 General procedures.

5307.104-90 Air Force procedures for acquisition plans.

(a)(90) Sharing AP/SAMP information can give interested parties greater insight into planned activities. If deemed in the Government's best interest and after approval by the acquisition plan approval authority, provide copies of APs/SAMPs to industry, appropriately redacted (FAR 3.104-5 and AFI 37-131, Freedom of Information Act Program) to remove negotiation/competition sensitive or For Official Use Only or classified information.

Acquisition Plan (AP) Review and Approval

Other Contracting (Non Information Technology)

THRESHOLD

AP (REVIEW)*

AP(APPROVE)

$5M to < $50M

COCO

Center Commander (delegable)

$50M to < $500M

SCCO

Center Commander

(nondelegable)

$500M and above

SAF/AQC

PDASAF(A&M)

Acquisition Plan (AP) Review and Approval

Other Contracting (Information Technology Not Integral to a Weapon System)

THRESHOLD

AP (REVIEW)*

AP(APPROVE)

$5M to <$15/30M**

COCO

Center Commander (delegable)

$15/30M** to <$120M

SCCO

Center Commander (nondelegable)

$120M and above

SAF/AQC

PDASAF(A&M)

* S&T acquisitions less than $500M may use the simplified S&T combined AP and J&A format.

** $15/30M means $15M or more in any FY or $30M or more for all program years.

5307.104-91 Acquisition Strategy Panels (ASPs).

(91) Additional restrictions:

(1) Do not award contracts, delivery/task orders, purchase orders, or modifications for new procurements, except for orders under existing requirements contracts.

(2) Only issue solicitation documents to a contractor on the debarred or suspended list if specifically requested.

(3) Unless there is agency head approval in advance, take no action on a contractor's sole source or competitive new work proposal received before or after the date of contractor suspension or debarment. Handle these proposals as follows:

(i) There shall be no internal Government evaluation. Stop any evaluation/negotiation that has started.

(ii) Do not discuss or negotiate with the contractor.

(iii) Give written notice to the contractor that all proposals in hand will be held without any further action. If debarment or suspension is lifted before award, the proposal may be evaluated, and if appropriate, placed in the competitive range, and final proposal revisions.

(iv) If an adverse impact/nonsupport of Air Force requirements occurs because of stopping action on a contractor's proposal, notify the agency head and get approval to evaluate, negotiate (including requesting final proposal revision), and award the contract (DFARS 209.405).

5309.406 Debarment.

5309.406-3 Procedures.

(90) Each field activity shall appoint a person to control and process suspension and debarment reports and advise HQ AFMC/PKP.

SUBPART 5309.5--ORGANIZATIONAL AND CONSULTANT

CONFLICTS OF INTEREST (OCI)

5309.507 Solicitation provision and contract clause.

5309.507-90 AFMC solicitation provision and contract clause.

(b) As prescribed in FAR 9.507-1, insert in Section L the provision at 5352.209-9003, Potential Organizational Conflict of Interest, substantially as written.

PART 5315--CONTRACTING BY NEGOTIATION

blubvspl

TABLE OF CONTENTS

SUBPART 5315.2--SOLICITATION AND RECEIPT OF

PROPOSALS AND INFORMATION

5315.201

Exchanges with industry before receipt of proposals.

15-1

5315.204

Contract format.

15-1

5315.204-4

Part III--List of Documents, Exhibits, and Other Attachments.

15-1

5315.204-5

Part IV--Representations and instructions.

15-1

5315.209

Solicitation provisions and contract clauses.

15-2

5315.209-90

AFMC solicitation provisions and contract clauses.

15-2

SUBPART 5315.3--SOURCE SELECTION

5315.300

Scope of subpart.

15-3

5315.305

Proposal evaluation.

15-3

SUBPART 5315.4--CONTRACT PRICING

blubvsps

5315.403

Obtaining cost or pricing data.

15-3

5315.403-5

Instructions for submission of cost or pricing data or information other than cost or pricing data.

15-3

5315.404

Proposal analysis.

15-4

5315.404-1

Proposal analysis techniques.

15-4

5315.404-4

Profit.

15-4

5315.404-70

DD Form 1547, Record of Weighted Guidelines Method Application.

15-4

5315.404-70-90

    AFMC policy and procedures for DD Form 1547, Record of Weighted Guidelines Method Application, RCS:DD-A&T(Q)1751.

15-4

5315.404-74

    Fee requirements for cost-plus-award-fee contracts.

15-5

5315.404-75-90

    Reporting profit and fee statistics in AFMC.

15-5

5315.406

    Documentation.

15-6

5315.406-2

    Certificate of Current Cost or Pricing Data.

15-6

5315.406-3

    Documenting the negotiation.

15-6

5315.406-90

    Specialized negotiation memoranda.

15-6

5315.406-91

    Postaward price negotiation memorandum review.

15-7

5315.407

    Special cost or pricing areas.

15-7

5315.407-1

    Defective cost or pricing data.

15-7

5315.407-2

    Make-or-buy programs.

15-9

5315.407-3

    Forward pricing rate agreements.

15-9

5315.407-4

    Should-cost review.

15-9

5315.490

    Formula price agreements (FPAs).

15-10

5315.490-4

    Responsibilities.

15-10

5315.491

    Follow-up on contract audit reports

15-10

5315.491-3

    Responsibilities.

15-10

5315.492

    Reopener clauses.

15-10

SUBPART 5315.6--UNSOLICITED PROPOSALS

5315.606

Agency procedures.

15-10

5315.606-90

Air Force procedures.

15-10

SUBPART 5315.90--OMBUDSMAN PROGRAM

5315.9000

Purpose and applicability.

15-11

5315.9001

Procedures.

15-11

PART 5315--CONTRACTING BY NEGOTIATION

SUBPART 5315.2--SOLICITATION AND RECEIPT OF

blubvsps

PROPOSALS AND INFORMATION

5315.201 Exchanges with industry before receipt of proposals.

5315.204 Contract format.

5315.204-4 Part III--List of Documents, Exhibits, and Other Attachments.

5315.204-5 Part IV--Representations and Instructions.

5315.209 Solicitation provisions and contract clauses.

5315.209-90 AFMC solicitation provisions and contract clauses.

substantially as written, in Section L, and the clause at 5352.209-9002, Organizational Conflict Of Interest, substantially as written, in Section I.

SUBPART 5315.3-SOURCE SELECTION

5315.300 Scope of subpart.

5315.305 Proposal evaluation.

SUBPART 5315.4--CONTRACT PRICING

5315.403 Obtaining cost or pricing data.

5315.403-5 Instructions for submission of cost or pricing data or information other than cost or pricing data.

5315.404 Proposal analysis.

5315.404-1 Proposal analysis techniques.

5315.404-4 Profit.

5315.404-70 DD Form 1547, Record of Weighted Guidelines Method Application.

5315.404-70-90 AFMC policy and procedures for DD Form 1547, Record of Weighted Guidelines Method Application, RCS:DD-A&T(Q)1751.

5315.404-74 Fee requirements for cost-plus-award-fee contracts.

5315.404-75-90 Reporting profit and fee statistics in AFMC.

5315.406 Documentation.

5315.406-2 Certificate of Current Cost or Pricing Data.

5315.406-3 Documenting the negotiation.

5315.406-90 Specialized negotiation memoranda.

be used at the discretion of the contracting officer for noncomplex acquisitions. The PCO should use the AFMC PNM/PCM Guide to complete PNMs over the threshold for simplified acquisitions.

5315.406-91 Postaward price negotiation memorandum review.

5315.407 Special cost or pricing areas.

5315.407-1 Defective cost or pricing data.

(b)(7)(i)(90) Contracts or modifications entered into on or before 8 Nov 85 shall bear simple interest from the date due until paid unless paid within 30 days of becoming due in accordance with FAR 52.232-17, Interest. The interest shall be calculated using the appropriate Treasury rate(s).

(b)(7)(iv)(90) Modifications shall be tailored to the type of contract, status of completion, status of fund liquidation, etc. Modifications shall include as a minimum the full accounting classification code, unit price adjustments (if appropriate for the modification), and audit report numbers and dates (including supplements) that are settled as a result of the modification. Interest and/or

penalties should be identified separately from the amount defective and shall always be received by check. The contract price shall not be reduced by the amount of the interest. The contractor shall be informed that any checks submitted shall be made payable to the "Treasurer of the United States." The contracting officer may not limit the Government's right to receive an equitable adjustment for any matter not addressed in the audit or any civil, criminal, or other administrative actions.

(c)(90) Postaward audits with findings of defective pricing from DCAA, the GAO or the DoD/IG are subject to DoD Contract Audit Follow-up Policy as stipulated in DoDD 7640.2, Policy for Follow-up on Contract Audit Reports, AFFARS 5315.491-1(a) and 5315.491 of this supplement. Unique response time requirements and procedures for handling GAO and DoD/IG defective pricing audits are outlined in DoDD 7650.3, Follow-up on General Accounting Office, DoD Inspector General and Internal Audit Reporting, and AFFARS 5315.491-10.

(d)(90) Immediately upon receipt of a defective pricing audit, the contracting officer shall provide a copy to the contract audit follow-up focal point. The focal point shall log the audit report into the local tracking system.

(91) Audit report findings shall be submitted to the contractor for concurrence or comment. Give the contractor 30 days to respond to the audit. Grant reasonable extensions for good cause. To expedite disposition, advise the contractor to submit a copy of their response to the cognizant contract auditor.

(92) The contracting officer should obtain audit review of the contractors comment and any certified offsets. DCAA auditors shall not review an offset on contracts awarded after 14 Dec 87 until the contractor provides the Government with a certificate of entitlement as required by 10 U.S.C. 2306a. When the objective has been established and an independent review of the objective accomplished (as required by AFFARS 5315.491-6(b)), resolution has occurred. Communicate the resolution date and objective amount to the audit follow-up focal point immediately upon their occurrence.

(93)  Once the contracting officer has settled or has otherwise disposed of the defective pricing issues, the contracting officer prepares and distributes the negotiation memorandum to the auditor (DCAA, DoD/IG, or GAO), the audit follow-up focal point, and the administrative contracting officer. Provide a copy of the distributed contract modification to the contract audit follow-up focal point and the administrative contracting officer.

(90) Contracting officers shall:

(1) Ensure that defective pricing adjustments (excluding interest) are reflected in automated procurement history records for repetitive spares. Also, ensure that adjustments made to the record are made to all units, in each contract line item significantly impacted by the defective pricing.

(2) Inform the contract audit follow-up focal point of the receipt and current status, through disposition, of all defective pricing audits. This shall include specific notification of any changes to questioned cost agreed to by the auditor as a result of resolution and disposition.

(91) The SCCO shall consider designating a defective pricing advisor to provide counsel and training to the contracting officer on the processing, resolution and disposition of defective pricing cases, including review of resolution/disposition documentation, and the contract modification before they are finalized.

(92) No negotiated settlement agreement with a contractor shall waive the rights of the Government for future defective pricing claims or otherwise restrict the Government's rights to conduct audits under the same or other contracts. Goods and services shall not be accepted as settlement of a defective pricing case. No settlement agreement shall be made contingent upon the granting of a deferred payment agreement under FAR 32.613 or its supplements. Offsets of understated costs caused by incomplete or inaccurate cost or pricing data in the same proposal can only be applied to reduce defective pricing liability and not justify a net upward price adjustment or reopening of negotiations. The collection of interest on overpayments cannot be waived or offset. An offer to waive contractor claims on unrelated contracts shall not be accepted as consideration or as an offset against amounts due the Government for defective pricing on the instant contract.

5315.407-2 Make-or-buy programs.

(d)(2) Capacity shall include ability to support surge and mobilization needs identified by the contracting officer. Also address impact on critical and strategic materials, and critical forms and parts.

(d)(90) Insert the provision at 5352.215-9013, Make-or-Buy Program, substantially as written, in Section L when submission of a Make-or-Buy Program is required in accordance with FAR 15.407-2.

(f)(90) The contracting officer shall request administrative contracting officer comment on the prospective contractor's Make-or-Buy program.

5315.407-3 Forward pricing rate agreements. (90) When a FPRA has not been established, use the FPRRs to the maximum extent possible. Also, when using a rate other than an established FPRR, discuss the reason with the administrative contracting officer during fact-finding, but before clearance. Address reasons for not using an FPRR in both the clearance session and the PNM.

5315.407-4 Should-cost review.

(b)(2)(90) Each contract proposal over $100M that meets the criteria in FAR 15.407-4(b)(2), as supplemented, shall be reviewed to determine if a Should-Cost Analysis is appropriate. The SCCO determines when the review should be conducted to obtain significant savings on initial production contracts, contract options, or follow-on production contracts. The following factors should also be considered.

(A) There are known problems at the contractor's facility that may contribute to increased costs (example, excess manufacturing capability or history of quality or procurement system problems).

(B) There is a large volume of Government business in a contractor facility that could benefit from the implementation of should-cost recommendations.

(C) The SCCO or designee organizes and conducts the Should-Cost Review using AFPAM 64-112, Should-Cost Review Guide.

5315.490 Formula pricing agreements (FPAs).

5315.490-4 Responsibilities.

(a)(1) The SCCO is the approval level for FPAs.

     (2) The contracting officer is responsible for furnishing a copy of the approved FPA to HQ AFMC/PKP.

5315.491 Follow-up on contract audit reports.

5315.491-3 Responsibilities.

(b) The MAJCOM responsibilities designated in AFFARS 5315.491-3(b) are delegated to the SCCO. RCS:DD-IG(SA)1580, Policy for Follow-up on Contract Audit Reports, applies and shall be submitted through the PK Audit Reporting System.

(1) The Chief of Pricing, Finance and Specialized Policy Branch, HQ AFMC/PKPC, is the designated contract audit follow-up official responsible for managing the command's contract audit follow-up program.

5315.492 Reopener clauses.

(a) Insert in Section H a reopener (savings) clause only in unusual situations where a significant cost element or event cannot be reasonably estimated and mutually agreed upon.

(b) Consider the limited availability of expiring year funds to cover upward adjustments, along with the associated risks of a potential unfunded contingent liability and an Anti-Deficiency Act violation when drafting a reopener clause. Sufficient funds must be committed to cover the reasonably expected liability of any upward adjustable reopener clause.

(c) Ensure controls are established to track the contractor's compliance with the clause's definitization milestones and negotiate at the earliest opportunity.

SUBPART 5315.6-UNSOLICITED PROPOSALS

5315.606 Agency procedures.

5315.606-90 Air Force procedures.

SUBPART 5315.90--OMBUDSMAN PROGRAM

5315.9000 Purpose and applicability.

5315.9001 Procedures.

liability for the total award fee evaluation period immediately upon the receipt of funding for the succeeding fiscal year.

5316.406 Contract clauses.

SUBPART 5316.5--INDEFINITE-DELIVERY CONTRACTS

5316.505 Ordering.

5316.506 Solicitation provisions and contract clauses.

SUBPART 5316.7--AGREEMENTS

5316.703 Basic ordering agreements.

5316.703-90 Contract clauses.

PART 5319--SMALL BUSINESS PROGRAMS

SUBPART 5319.2--POLICIES

5319.201 General policy.

SUBPART 5319.7--SUBCONTRACTING WITH SMALL BUSINESS,

SMALL DISADVANTAGED BUSINESS AND WOMEN-OWNED

SMALL BUSINESS CONCERNS

5319.705 Responsibilities of the contracting officer under the subcontracting

5319.705-5 Awards involving subcontracting plans.

PART 5332--CONTRACT FINANCING

SUBPART 5332.7--CONTRACT FUNDING

5332.702 Policy.

5332.702-90 Policy for funding contracting actions (other than Operational Contracting - see AFFARS 5332.790).

5332.703 Contract funding requirements.

5332.703-1 General

5332.703-90 Committing funds and processing purchase requests (PRs and MIPRs).

5332.705 Contract clauses.

5332.705-2 Clauses for limitation of cost or funds.

5332.790 Base contract funding.

5332.791 Rough Order of Magnitude (ROM) estimate profile provision.

PART 5333--PROTESTS, DISPUTES, AND APPEALS

SUBPART 5333.1--PROTESTS

5333.103-90 Protests to the agency.

5333.104-90 Protests to GAO.

5333.190 Court of Federal Claims protests.

PART 5335--RESEARCH AND DEVELOPMENT CONTRACTING

blubvsps

5335.006 Contracting methods and contract type.

5335.007 Solicitations.

5335.007-90 Clause.

5335.016 Broad agency announcements.

5335.016-90 Procedures.

(1-3) and

PART 5337--SERVICE CONTRACTING

SUBPART 5337.1--SERVICE CONTRACTS - GENERAL

5337.110 Solicitation provisions and contract clauses.

5337.110-90 AFMC solicitation provisions and contract clauses.

SUBPART 5337.91--SURVEILLANCE

5337.9100 Scope of subpart.

5337.9101 Definitions.

5337.9102 Policy.

5337.9103 Management responsibility.

5337.9104 Contracting officer responsibility.

5337.9105 FAC responsibility.

5337.9106 FAE responsibility.

PART 5342--CONTRACT ADMINISTRATION

SUBPART 5342.2--ASSIGNMENT OF

CONTRACT ADMINISTRATION

5342.202 Assignment of contract administration.

5342.205 Designation of the paying office.

SUBPART 5342.71--VOLUNTARY REFUNDS

5342.7100 General.

5342.7100-90 Procedures.

reported to be defectively priced, or when a contract is under investigation by a Government agency.

5342.7101 Solicited refunds.

5342.7101-90 Procedures applicable to other than spare parts.

5342.7101-91 Procedures applicable to spare parts.

PART 5346--QUALITY ASSURANCE

TABLE OF CONTENTS

SUBPART 5346.3--CONTRACT CLAUSES

5346.370

Material inspection and receiving report.

46-1

SUBPART 5346.4--GOVERNMENT CONTRACT QUALITY ASSURANCE

5346.401

General.

46-1

5346.407

Nonconforming supplies or services.

46-1

SUBPART 5346.7--WARRANTIES

5346.703

Criteria for use of warranties.

46-4

5346.704

Authority for use of warranties.

46-4

5346.710

Contract clauses.

46-4

5346.770

Warranties in weapon system acquisitions.

46-4

5346.770-2

Policy.

46-4

5346.770-7

Cost-benefit analysis.

46-4

5346.770-91

Establishing essential performance requirements.

46-4

This page is blank

SUBPART 5346.7--WARRANTIES

5346.703 Criteria for use of warranties.

5346.704 Authority for use of warranties.

5346.710 Contract clauses.

5346.770 Warranties in weapon system acquisitions.

5346.770-2 Policy.

5346.770-7 Cost-benefit analysis.

5346.770-91 Establishing essential performance requirements.

PART 5347--TRANSPORTATION

SUBPART 5347.1--GENERAL

5347.104 Government rate tenders under section 10721 of the Interstate Commerce Act.

5347.104-4 Contract clauses.

SUBPART 5347.3--TRANSPORTATION IN SUPPLY CONTRACTS

5347.303 Standard delivery terms and contract clauses.

5347.303-4 F.o.b. origin, freight prepaid.

5347.305 Solicitation provisions, contract clauses, and transportation factors.

5347.305-6 Shipments to ports and air terminals.

5347.305-10 Packaging, marking, and consignment instructions.

(91) Insert the clause at 5352.247-9005, Shipping Container Bar Code Marking, substantially as written, in Section D when the Government requires bar coding over and above the requirements of MIL-STD-129, Military Standard Marking for Shipment and Storage. (See 5352.247-9007, Specification Commercial Packaging and Marking; and 5352.247-9009, Military Packaging and Marking). The additional bar coding requirements will be identified on the AFMC Form 158.

(92) Insert the clause at 5352.247-9006, Marking of Warranted Items, substantially as written, in Section D when the items to be delivered are covered by a warranty.

(93) Insert the clause at 5352.247-9007, Specification Commercial Packaging and Marking, in Section D when the Government requires the use of commercial packaging and marking to the American Society for Testing Materials Specification D3951. This is the preferred commercial packaging and marking requirement.

(94) Insert the clause at 5352.247-9008, Contractor Commercial Packaging and Marking, in Section D when other packaging and marking requirements are not appropriate or acceptable to the offeror. In addition to this clause, if bar coding is required, use 5352.247-9005, Shipping Container Bar Code Marking, to identify appropriate requirements.

(95) Insert the clause at 5352.247-9009, Military Packaging and Marking, in Section D when military specification packaging and marking are required.

(96) When the contractor is to develop (design and/or manufacture) a new engineered or specialized container, the requirement must be identified as a separate line item in the purchase request, the solicitation, and the contract. The proposal shall include the proposed container cost broken into design and manufacturing elements. Approval for purchase of new containers shall be determined by ASC/WMGC, 102 West D Avenue, Suite 168, Eglin AFB FL 32542-6807 for munitions containers and AFMC LSO/LOP, 5215 Thurlow Street, Wright-Patterson AFB OH 45433-5540 for nonmunitions containers. The approval shall be provided to the contracting officer for notification to the contractor. Insert the clause at 5352.247-9010, Engineered or Specialized Containers, substantially as written, in Section D. Data items, DI-PACK-80683, Container Design and Retrieval System (CDRS) Search Request, and DI-PACK-80684A, Container Design and Retrieval System (CDRS) Data Input, must be identified on the DD Form 1423, Contract Data Requirements List.

(97) Insert the clause at 5352.247-9011, Packaging and Marking of Hazardous Material, substantially as written, in Section D when an acquisition is for the delivery of commercial or military items involving hazardous material.

(98) Insert the clause at 5352.247-9012, Packaging for Inspection and Acceptance at Destination, in Section D when packaged material requires inspection at destination.

(99) Insert the clause at 5352.247-9013, Packaging Data, in Section D when the Government will purchase the rights to the packaging design and data.

(91) When the "ship to" is unknown at the time of award, shipping instructions shall be provided through contract modifications. These shipping instructions shall identify shipping destinations in accordance with the Department of Defense Activity Address Directory (DoDAAD) or Military Assistance Program Address Directory (MAPAD) codes assigned. Telephone, teletype, or telegram shipping instructions issued pursuant to FAR 47.305-10(c) shall be confirmed through a contract modification.

(92) For shipment of Foreign Military Sales (FMS) material:

(93) These shipments shall include data similar to (b)(i)(A) through (b)(i)(D) of DFARS 247.305-1. The transportation office of the organization providing contract administration services shall convert the data to a transportation control number (TCN) as prescribed by DoD 4500.32-R, Military Standard Transportation and Movement Procedures, Volume I, Appendix C, and a transportation account code (TAC) as prescribed by DoD 4500.32-R, Volume II, Chapter 11.

(94) Insert the clause at 5352.247-9015, Temporary Storage of FMS Munitions Items, in Section F for FMS munitions items when it is anticipated that the clear text shipping address and transportation instructions may not be available when the units are ready for shipment at the contractor's plant.

5347.305-12 Delivery of Government-furnished property.

5347.373-90 DD Form 1654, Evaluation of Transportation Cost Factors.

PART 5349--TERMINATION OF CONTRACTS

SUBPART 5349.1--GENERAL PRINCIPLES

5349.101 Authorities and responsibilities.

5349.105 Duties of termination contracting officer after issuance of notice of termination.

5349.105-3 Termination case file.

SUBPART 5349.4--TERMINATION FOR DEFAULT

5349.402 Termination of fixed-price contracts for default.

5349.402-4 Procedure in lieu of termination for default.

(4) After legal review and a decision to issue a breach notice, submit the file to AFMC LO/JAB (AFFARS 5333.211). Include in the breach notice all of the information in FAR 33.211(a)(4) and use substantially the following wording, concluding with the language from FAR 33.211(a)(4)(v):

PART 5352--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

TABLE OF CONTENTS

SUBPART 5352.2--TEXTS OF PROVISIONS AND CLAUSES

Paragraph

Title

Page

5352.204-9000

Classified Effort.

52-1

5352.204-9001

Assignment of Serial Numbers for Configuration Control and Administration of Warranties.

52-1

5352.207-9000

Price Discounts Based on Quantity.

52-2

5352.207-9001

Government Performance of Services During Labor Strikes.

52-2

5352.207-9002

Rights of the Government to Perform Functions With its Own Personnel.

52-3

5352.209-9000

Special Standards.

52-3

5352.209-9001

Resubmission of First Articles.

52-4

5352.209-9002

Organizational Conflict of Interest.

52-4

5352.209-9003

Potential Organizational Conflict of Interest.

52-7

5352.211-9000

Use of Cancelled Military Specifications and Standards.

52-8

5352.211-9001

Military Specifications and Standards -- Alternatives.

52-9

5352.211-9002

New Manufactured Material.

52-9

5352.211-9003

New Manufactured Material - Surplus Not Acceptable.

52-10

5352.211-9004

New Manufactured Material and Government Surplus Only.

52-10

5352.211-9005

New Manufactured Material and Government Or Commercial Surplus Material Acceptable.

52-11

5352.211-9006

Acceptable New and Unused Surplus Material.

52-11

5352.211-9007

Acceptable New and Reconditioned Surplus Material.

52-12

5352.211-9008

Acceptable New and Modified Surplus Material.

52-12

5352.211-9009

Acceptable Used and Overhauled Surplus Material.

52-13

5352.211-9010

Overhaul and Certification By An FAA Licensed Facility.

52-13

5352.211-9011

Part Number Verification.

52-13

5352.211-9012

Verifiable Dimensions.

52-14

5352.211-9013

Test and Verification.

52-14

5352.211-9014

Initial Acceptability Items.

52-14

5352.211-9015

Location of Inspection Testing.

52-15

5352.211-9016

Prior Government Ownership of Items.

52-15

5352.211-9017

100 Percent End Item Inspection.

52-15

5352.211-9018

Listing of Surplus Material.

52-16

5352.211-9019

Evaluation of Used and/or Overhauled Surplus Material.

52-18

5352.211-9020

Evaluation of Items Requiring Reconditioning, Modification, Repair or Overhaul by the Government.

52-19

5352.211-9021

Concurrent Delivery of Spares, Support Equipment and Technical Data, With Prime Mission Equipment.

52-19

5352.211-9022

Rental of Real Property.

52-20

5352.211-9023

Authorization for Early Delivery.

52-20

5352.214-9000

Letter Response to Solicitation.

52-21

5352.214-9001

Award-All Or None Basis.

52-21

5352.215-9000

Representations and Certifications.

52-22

5352.215-9001

Engineering Data.

52-22

5352.215-9002

Replacement Items.

52-23

5352.215-9003

Proposal Samples.

52-23

5352.215-9004

Evaluation of Proposals Submitted When Qualification Requirements Do Not Exist.

52-24

5352.215-9005

Incorporation of Contractor's Technical Proposal.

52-26

5352.215-9006

Intent to Incorporate Contractor's Technical Proposal.

52-27

5352.215-9007

Use of Non-Government Advisors.

52-27

5352.215-9008

Enabling Clause Between Prime Contractors and Service Contractors.

52-28

5352.215-9009

Travel.

52-29

5352.215-9010

Training.

52-30

5352.215-9011

Lowest Evaluated Price Technique Technical Proposal Requirements.

52-30

5352.215-9012

Reserved.

52-33

5352.215-9013

Make-Or-Buy Program.

52-33

5352.215-9014

Submission of Cost or Pricing Data.

52-35

5352.215-9015

Reserved.

52-36

5352.215-9016

Acquisition Ombudsman.

52-36

5352.216-9000

Economic Price Adjustment (EPA).

52-37

5352.216-9001

Payment of Fee.

52-40

5352-216-9002

Predetermined Indirect Cost Rates In Effect.

52-40

5352.216-9003

Award Fee.

52-41

5352.216-9004

Authority to Issue Orders.

52-42

5352.216-9005

Procedures for Issuing Orders.

52-42

5352.216-9006

Procedures for Pricing Unpriced Orders.

52-43

5352.216-9007

Obligations of Contractor Under Unpriced Orders.

52-44

5352.216-9008

Term of Agreement.

52-45

5352.217-9000

Reduction of Multiyear Requirement.

52-46

5352.217-9001

Cancellation Ceiling.

52-46

5352.217-9002

Minimum Award Under Multiyear Procedure.

52-46

5352.217-9003

Submission of Multiyear Prices.

52-47

5352.217-9004

Multiyear Unit Prices.

52-47

5352.217-9005

Multiyear Pricing of Option Items.

52-47

5352.217-9006

Award of Mission Essential Quantity.

52-48

5352.217-9007

Interchangeable Part Number(s)/National Stock Number(s) (Applicable to CLIN/ SubCLIN(s)_____________).

52-49

5352.217-9008

Assignment of National Stock Number (NSN) (Applicable to CLIN/SubCLIN(s)______________).

52-50

5352.217-9009

Provisioning Procedures.

52-50

5352.217-9010

Associate Contractor Agreements.

52-52

5352.217-9011

Demonstration Milestones.

52-54

5352.219-9000

Incorporation of Subcontracting Plan.

52-55

5352.219-9001

Submission of Subcontracting Plan.

52-55

5352.219-9002

Small, Small Disadvantaged and Women-Owned Small Business Subcontracting Plans (Test Program).

52-56

5352.223-9000

Use of Hazardous Materials in the Performance of On-Base Contracts.

52-56

5352.223-9001

Enhanced Physical Security of Products.

52-58

5352.225-9000

Law Covering Contracts.

52-58

5352.225-9001

English Language Requirements.

52-58

5352.225-9002

Special Provision Under Paragraph (d) of FAR Clause 52.229-6, Taxes - Foreign Fixed-Price Contracts.

52-59

5352.227-9000

Export-Controlled Data Restrictions.

52-59

5352.227-9001

Qualification of Offeror Under Export-Controlled Restricted Solicitation.

52-60

5352.227-9002

Visit Requests by Foreign-Owned or Controlled Firms.

52-61

5352.228-9000

Payment and Performance Bonds Requirements for Fixed-Price Subcontracts.

52-61

5352.228-9001

Insurance Clause Implementation.

52-62

5352.228-9002

Ground and Flight Risk.

52-62

5352.231-9000

Precontract Costs.

52-63

5352.231-9001

Segregation of Costs.

52-63

5352.232-9000

Notice of Funding Status.

52-63

5352.232-9001

Implementation of Limitation of Funds.

52-64

5352.232-9002

Rough Order of Magnitude (ROM) Estimate Profile.

52-64

5352.235-9000

Small Business Innovation Research (SBIR) Phase I and Phase II Contract Requirements.

52-65

5352.235-9001

Key Positions and Minimum Qualifications.

52-65

5352.235-9002

Definition of Unusually Hazardous Risks.

52-66

5352.235-9003

Application for Equipment Frequency Authorization.

52-67

5352.236-9000

Magnitude of Construction Projects.

52-67

5352.236-9001

Preparation of Material Approval Submittals.

52-68

5352.236-9002

Progress Schedules and Reports.

52-68

5352.236-9003

Nonpriced Items - SABER.

52-68

5352.236-9004

Offers - SABER.

52-69

5352.236-9005

Ordering Procedures - SABER.

52-69

5352.236-9006

Record Drawings - SABER.

52-70

5352.236-9007

Information Technology Support Requirements - SABER.

52-71

5352.236-9008

Model Unit Approval.

52-72

5352.237-9000

Employee Qualification.

52-73

5352.237-9001

Contractor Identification.

52-73

5352.237-9002

Contract Holidays.

52-74

5352.239-9000

Discontinuance (IT Resources).

52-74

5352.239-9001

Technology Insertion (IT Resources).

52-75

5352.239-9002

Replacements, Alterations and Attachments (IT Resources).

52-75

5352.239-9003

Maintenance (IT Resources).

52-76

5352.239-9004

Task Change Proposals (IT Resources).

52-80

5352.239-9005

Liquidated Damages Hardware/Software (IT Resources).

52-81

5352.239-9006

Contractor Furnished Software (IT Resources).

52-82

5352.239-9007

Contractor Sponsored Modifications (IT Resources).

52-83

5352.239-9008

Contractor Site Preparation (IT Resources).

52-84

5352.239-9009

Government Site Preparation (IT Resources).

52-84

5352.239-9010

Computation of Fractional Charges (IT Resources).

52-85

5352.239-9011

Programming Aids (IT Resources).

52-85

5352.243-9000

Work Requests.

52-86

5352.243-9001

Advance Change Adjustment Agreements.

52-87

5352.243-9002

Not-to-Exceed/Not-Less-Than Agreements.

52-87

5352.244-9000

Deletion of Advance Notification/Consent Requirement for Subcontracts.

52-89

5352.244-9001

Request for Deletion of Advance Notification/Consent Requirement for Subcontracts.

52-90

5352.245-9000

Government-Furnished Property (GFP).

52-91

5352.245-9001

Government-Furnished Property/Contractor Requisitioning.

52-92

5352.245-9002

Maintenance of Government-Furnished Property.

52-92

5352.245-9003

Disposition of Residual Government Property.

52-94

5352.245-9004

Base Support.

52-94

5352.245-9005

Elimination of Competitive Advantage in the Use of Government Property.

52-96

5352.245-9006

Authorization for the Acquisition or Fabrication of Facilities.

52-97

5352.245-9007

Use of Special Tooling/Special Test Equipment on a Non-Interference Basis.

52-97

5352.245-9008

Special Tooling/Special Test Equipment List.

52-98

5352.245-9009

Government-Furnished Tooling.

52-98

5352.245-9010

Special Test Equipment.

52-99

5352.245-9011

Rental Use and Charges of Government-Owned Property.

52-100

5352.245-9012

Rent-Free Use of Government-Owned Property.

52-100

5352.246-9000

Material Inspection and Receiving Report (OMB No. 0704-0248).

52-101

5352.246-9001

Inspection and Acceptance.

52-101

5352.246-9002

Correction of Supplies Accepted With Deficiencies.

52-102

5352.247-9000

Commercial Bill of Lading Shipments - Carrier's Rates.

52-103

5352.247-9001

F.o.b. Origin, Freight Prepaid.

52-103

5352.247-9002

F.o.b. Origin, Transportation Instructions.

52-104

5352.247-9003

F.o.b. Point for U.S. Shipments Originating Outside the Continental U.S.

52-105

5352.247-9004

F.o.b. Point for FMS Shipments Originating Outside the U.S.

52-106

5352.247-9005

Shipping Container Bar Code Marking.

52-106

5352.247-9006

Marking of Warranted Items.

52-107

5352.247-9007

Specification Commercial Packaging and Marking.

52-107

5352.247-9008

Contractor Commercial Packaging and Marking.

52-108

5352.247-9009

Military Packaging and Marking.

52-108

5352.247-9010

Engineered or Specialized Containers.

52-108

5352.247-9011

Packaging and Marking of Hazardous Material.

52-109

5352.247-9012

Packaging for Inspection and Acceptance at Destination.

52-109

5352.247-9013

Packaging Data.

52-110

5352.247-9014

Unilateral Amended Shipping Instructions (ASIs), F.o.b. Origin.

52-110

5352.247-9015

Temporary Storage of FMS Munitions Items.

52-111

5352.247-9016

Reserved.

52-111

5352.247-9017

F.o.b. Point for Delivery of Government-Furnished Property.

52-112

5352.290-9000

Delay and Standby Time.

52-112

5352.207-9002 Rights of the Government to Perform Functions With its Own Personnel.

RIGHTS OF THE GOVERNMENT TO PERFORM FUNCTIONS WITH

ITS OWN PERSONNEL (AFMC) (JUL 1997)

(End of clause)

5352.209-9000 Special Standards.

SPECIAL STANDARDS (AFMC) (JUL 1997)

(List)

(End of provision)

5352.209-9001 Resubmission of First Articles.

RESUBMISSION OF FIRST ARTICLES (AFMC) (AUG 1998)

(End of clause)

5352.209-9002 Organizational Conflict of Interest.

ORGANIZATIONAL CONFLICT OF INTEREST (AFMC) (JUL 1997)

"Contractor" means the business entity receiving the award of this contract, its parents, affiliates, divisions and subsidiaries.

"Development" means all efforts towards solution of broadly-defined problems. This may encompass research, evaluating technical feasibility, proof of design and test, or engineering of programs not yet approved for acquisition or operation.

"Proprietary Information" means all information designated as proprietary in accordance with law and regulation, and held in confidence or disclosed under restriction to prevent uncontrolled distribution. Examples include limited or restricted data, trade secrets, sensitive financial information, and computer software; and may appear in cost and pricing data or involve classified information.

"System" means the system that is the subject of this contract.

"System Life" means all phases of the system's development, production, or support.

Alternate VI (AFMC) (JUL 1997). As prescribed in 5309.507-90(a)(7), add the following paragraph (b) to the basic clause substantially as written. If either Alternate III or IV or both are used, renumber this paragraph accordingly.

5352.209-9003 Potential Organizational Conflict of Interest.

POTENTIAL ORGANIZATIONAL CONFLICT OF INTEREST (AFMC) (JUL 1997)

(End of provision)

Alternate I (AFMC) (JUL 1997) At the discretion of the Contracting Officer, substitute the following paragraph (b) for paragraphs (b) and (c) in the basic provision:

5352.211-9000 Use of Cancelled Military Specifications and Standards.

USE OF CANCELLED MILITARY SPECIFICATIONS AND STANDARDS

(AFMC) (JUL 1997)

(End of provision)

[ ] (1) New and unused: material has never been installed or used. It shows no signs of rust, corrosion, or other deterioration due to age or improper packaging/preservation. It has not been reconditioned and shows no evidence of disassembly or reassembly.

[ ] (2) New and reconditioned: material has never been installed or used. It shows no signs of rust, corrosion, or other deterioration due to age or improper packaging/preservation. Reconditioning is allowed to the extent that gaskets, seals, O-rings, or other such cure-dated items have been or will be replaced prior to use in accordance with the applicable technical orders and specifications.

[ ] (3) New and modified: material has never been installed or used. It shows no signs of rust, corrosion, or other deterioration due to age or improper packaging/preservation. Components may have been (or may need to be) replaced in accordance with the applicable technical specifications for the purpose of configuration update or modification.

[ ] (4) Used and overhauled: material which has been previously installed in operational equipment. It has been or can be completely overhauled, repaired, reconditioned, or modified per the applicable technical specifications to serviceable status.

(End of provision)

5352.211-9019 Evaluation of Used and/or Overhauled Surplus Material.

EVALUATION OF USED AND/OR OVERHAULED

SURPLUS MATERIAL (AFMC) (AUG 1998)

(End of provision)

5352.214-9000 Letter Response to Solicitation.

LETTER RESPONSE TO SOLICITATION (AFMC) (JUL 1997)

(End of provision)

5352.214-9001 Award-All or None Basis.

AWARD-ALL OR NONE BASIS (AFMC) (AUG 1998)

Notwithstanding FAR provision (select one of these provisions as appropriate): 52.214-10, Contract Award--Sealed Bidding, paragraph (c), 52.214-19, Contract Award--Sealed Bidding--Construction, paragraph (c), 52.215-1, Instructions to Offerors - Competitive Acquisition, paragraph (f), award shall be made to a single bidder/offeror whose bid/offer responds to all items included in the solicitation. Failure to provide for any item including any option shall render the bid nonresponsive or may cause the offeror's proposal to be rejected.

(End of provision)

5352.215-9000 Representations and Certifications.

REPRESENTATIONS AND CERTIFICATIONS (AFMC) (JUL 1997)

(End of provision)

5352.215-9001 Engineering Data.

ENGINEERING DATA (AFMC) (JUL 1997)

offeror warrants such alternate part to be equal to and completely interchangeable with the part originally required. In the event that the alternate part is not equal to and completely interchangeable with the part originally required, the items shall be returned to the offeror for replacement with the originally required part at no cost to the Government. In addition, the offeror shall be liable for any shipping costs associated with return and replacement of the items as well as any additional inspection and acceptance costs to the Government for the replacement items.

(End of provision)

5352.215-9002 Replacement Items.

REPLACEMENT ITEMS (AFMC) (JUL 1997)

(End of clause)

5352.215-9003 Proposal Samples.

PROPOSAL SAMPLES (AFMC) (JUL 1997)

(End of provision)

Alternate I (AFMC) (JUL 1997). As prescribed in 5315.209-90(d)(1), insert the following paragraph:

Alternate II (AFMC) (JUL 1997). As prescribed in 5315.209-90(d)(2), insert the following paragraph:

5352.215-9004 Evaluation of Proposals Submitted When Qualification Requirements Do Not Exist.

EVALUATION OF PROPOSALS SUBMITTED WHEN QUALIFICATION

REQUIREMENTS DO NOT EXIST (AFMC) (JUL 1997)

requirement will only be considered when it can be determined prior to award that the item or services being offered will meet the Government's requirements.

(End of provision)

Alternate I (AFMC) (JUL 1997). As prescribed in 5315.209-90(e), substitute paragraph (b) below for paragraph (b) of the basic provision when soliciting repair and overhaul services.

5352.215-9005 Incorporation of Contractor's Technical Proposal.

INCORPORATION OF CONTRACTOR'S TECHNICAL PROPOSAL (AFMC) (AUG 1998)

Paragraph Nos. (insert paragraph number) through (insert paragraph number) of Contractor's Technical Proposal (or appropriate document(s) name) Version No. (insert appropriate version number), dated (insert date), entitled (insert title).

(End of clause)

5352.215-9006 Intent to Incorporate Contractor's Technical Proposal.

INTENT TO INCORPORATE CONTRACTOR'S TECHNICAL PROPOSAL

(AFMC) (AUG 1998)

(End of provision)

5352.215-9007 Use of Non-Government Advisors.

USE OF NON-GOVERNMENT ADVISORS (AFMC) (JUL 1997)

(End of provision)

5352.215-9008 Enabling Clause Between Prime Contractors and Service

ENABLING CLAUSE BETWEEN PRIME CONTRACTORS

AND SERVICE CONTRACTORS (AFMC) (JUL 1997)

(End of clause)

5352.215-9009 Travel.

TRAVEL (AFMC) (JUL 1997)

(End of clause)

5352.215-9010 Training.

TRAINING (AFMC) (JUL 1997)

(End of clause)

5352.215-9011 Lowest Evaluated Price Technique Technical Proposal

LOWEST EVALUATED PRICE TECHNIQUE

TECHNICAL PROPOSAL REQUIREMENTS (AFMC) (JUL 1997)

TABLE 1

blubvsps

NOTE: The number of copies of each volume indicated above shall be delivered to (insert mailing address). Mark proposals: "Source Selection Information - see FAR 3.104", and/or "For Official Use Only", as applicable.

(End of provision)

5352.215-9012 Reserved.

5352.215-9013 Make-or-Buy Program.

MAKE-OR-BUY PROGRAM (AFMC) (JUL 1997)

past experience on subcontracting for similar items is used as a baseline, also explain the relationship between the two. If available, include labor standard data to support the decision to make each item in-plant. Give reasons why the competence, ability, experience, and capability at other firms that produce each "make" item do not support a "buy" decision.

be selected. If subcontractors' proposals have not been received, indicate the estimated number of sources to be solicited for each buy item proposal and the estimated date for receipt of each proposal. If available, include labor standard data to make each item in-plant.

The reasons must include the consideration given to the evaluation factors described in the solicitation and be in sufficient detail to permit the Contracting Officer to evaluate the categorization or proposal.

(End of provision)

5352.215-9014 Submission of Cost or Pricing Data.

SUBMISSION OF COST OR PRICING DATA (AFMC) (AUG 1998)

(End of provision)

5352.215-9015 Reserved.

5352.215-9016 Acquisition Ombudsman.

As prescribed in 5315.9001(d), insert a provision, substantially as written, in Section L when the Ombudsman statement is not included elsewhere in the solicitation:

ACQUISITION OMBUDSMAN (AFMC) (JUL 1997)

An Ombudsman has been appointed to hear concerns from offerors or potential offerors during the proposal development phase of this acquisition. The Ombudsman does not diminish the authority of the program director or Contracting Officer, but communicates Contractor concerns, issues, disagreements, and recommendations to the appropriate Government personnel. When requested, the Ombudsman shall maintain strict confidentiality as to the source of the concern. The Ombudsman does not participate in the evaluation of proposals or in the source selection process. Interested parties are invited to call (insert Ombudsman's name) at (insert Ombudsman's telephone number).

(End of provision)

5352.217-9003 Submission of Multiyear Prices.

SUBMISSION OF MULTIYEAR PRICES (AFMC) (JUL 1997)

Offerors shall submit a response/responses priced to cover the following:

Submissions not in accordance with above shall not be considered for award and shall be declared nonresponsive. In the event that only one response is received that is both responsive and from a responsible firm, the Government reserves the right to cancel the solicitation and resolicit on a single year basis by whatever procedures are then appropriate.

(End of provision)

5352.217-9004 Multiyear Unit Prices.

MULTIYEAR UNIT PRICES (AFMC) (JUL 1997)

Unit prices submitted for each item or service in the total multiyear requirement shall be the same for all program years (level unit price).

(End of provision)

5352.217-9005 Multiyear Pricing of Option Items.

MULTIYEAR PRICING OF OPTION ITEMS (AFMC) (JUL 1997)

In the event this solicitation provides for the use of options, option prices submitted shall not include those nonrecurring costs which are included in the basic contract.

(End of provision)

5352.217-9006 Award of Mission Essential Quantity.

AWARD OF MISSION ESSENTIAL QUANTITY (AFMC) (AUG1998)

(End of provision)

5352.217-9007 Interchangeable Part Number(s)/National Stock Number(s)

INTERCHANGEABLE PART NUMBER(S)/NATIONAL STOCK NUMBER(S)

(APPLICABLE TO CLIN/SUBCLIN(S)________) (AFMC) (JUL 1997)

Offerors shall indicate below the part number and National Stock Number being offered. If this is a negotiated acquisition, failure to so indicate may result in the offer being considered unacceptable. If this acquisition uses sealed bidding procedures, failure to so indicate shall result in the offer being considered nonresponsive.

__________________ _______________ _________________________

(Manufacturer) (Part Number) (National Stock Number)

(End of provision)

5352.217-9008, Assignment of National Stock Numbers (Applicable to

ASSIGNMENT OF NATIONAL STOCK NUMBERS (APPLICABLE TO CLIN/SUBCLIN(S)_________) (AFMC) (AUG 1998)

Unless waived in writing by the Contracting Officer, the assignment of a National Stock Number (NSN) is a prerequisite to shipment of property destined for stock under this contract. If the Contractor has not received applicable NSNs for the shipping date, the Contractor shall notify (insert responsible Government office symbol, location and phone number) and request the NSNs.

(End of clause)

5352.217-9009 Provisioning Procedures.

As prescribed in 5317.7602-1(90), insert the following clause, substantially as written, in Section I:

PROVISIONING PROCEDURES (AFMC) (AUG 1998)

(a) Provisioning functions to be performed:

(1) Procuring Contracting Officer (PCO) and Administrative Contracting Officer (ACO) responsibilities. The PCO is the only individual authorized to provide redirection of effort, modify or amend any of the terms or conditions of this contract except as stated below. The Provisioning PCO (PPCO) is the only individual authorized to issue Provisioned Item Orders (PIO) under the terms of this contract. The ACO is the individual authorized to negotiate and issue definitive priced documents under this contract.

(2) The activity designated to issue PIOs is the PPCO at (insert complete address/location). PIOs shall be issued on Standard Form 30, Amendment of Solicitation/Modification of Contract, and shall state the quantities of the specific items being ordered identified by Exhibit Line Item Number (ELIN) and required delivery schedule.

(i) For initial spares, the PIO shall obligate sufficient funds to cover the estimated price of the items ordered. The Contractor shall proceed as directed to the extent that the cost incurred in compliance with such order(s) shall not exceed the amount set forth in such orders as the maximum obligation of the Government pending establishment of prices for such items. Standard Form 30 shall be used to effect increases and decreases in quantities of unpriced items including cancellations. Increases and decreases in priced items shall be effected by use of a supplemental agreement issued by the ACO and duly executed by both parties.

(ii) For other than initial spares, the PIO shall obligate funds pursuant to the limitations of DFARS 217.7404-4, Limitation on obligations, based on the not-to-exceed price of the items ordered. The Contractor shall proceed as directed to the extent that the cost incurred in compliance with such order(s) shall not exceed the amount set forth in such orders as the maximum obligation of the Government pending establishment of prices for such items. Standard Form 30 shall be used to effect increases and decreases in quantities of unpriced items including cancellations. Decreases in priced items shall be effected by use of a supplemental agreement issued by the ACO and duly executed by both parties.

(b) Inclusion of a provisioning requirement package:

(1) Initial Provisioning Performance Specification (IPPS), with attachments, if listed in Section J of the contract, is incorporated herein and made a part hereof.

(2) AFMC Form 718, "Provisioning Performance Schedule," if listed in Section J of the contract, is incorporated herein and made a part hereof.

(3) If any of the above documents are not listed in Section J of the contract, the contracting activity shall incorporate those documents by modification within (insert number of days) days after issuance of the contract. Revisions to the above documents shall also be incorporated into the contract by modification upon request by the Prime Provisioning Activity.

(c) Provisioning technical documentation:

(1) The schedule for delivery of provisioning technical documentation is included on the DD Form 1423, Contract Data Requirements List. If a schedule is not provided, it shall be incorporated by modification when available.

(2) Appropriate provisioning technical documentation requirements shall flowdown when a subcontractor prepares the documentation.

(d) Interim release:

(1) The estimated dollar amount, if any, cited in Section B at the end of the provisioning item description is a planning figure and is intended to establish a limitation solely for the interim release provisions of the applicable provisioning document. Decreases in the planning figure for interim release will be by unilateral contractual modification. Subsequent changes effecting an increase of the dollar limitation will be determined by the estimated dollar amount on PIOs.

(2) Contractor interim release of long lead items shall be authorized only by written order from the PPCO. If authorized, the Contractor shall submit appropriate provisioning technical documentation and estimated unit cost(s) within thirty (30) days of the release.

(e) Definitization schedule:

(1) Within sixty (60) calendar days of receipt of a PIO, the Contractor shall submit a firm-fixed-price proposal to the PCO/PPCO (as applicable), through the ACO, containing suitable cost or pricing data as defined within FAR Subpart 15.4, Contract Pricing. Pursuant to FAR 42.3, Contract Administration Office Functions, the ACO shall negotiate firm prices and execute a supplemental agreement to definitize PIOs and deobligate excess funds.

(2) Overage proposals/reduction or suspension of progress payments. Submission by the Contractor of adequate cost proposals, within sixty (60) calendar days from the date of issuance of the PIO, is deemed to be a "material requirement" of the contract within the meaning of the Progress Payment clause of this contract. If the Contractor fails to provide a complete definitive proposal adequate for negotiation within the time stipulated above, the Government may reduce or suspend progress payments pursuant to FAR 52.232-16, Progress Payments, paragraph (c)(1), by following the procedures set forth in FAR 32.503-6, Suspension or reduction of payments.

(3) In the event the Contractor is unable to meet the schedule contained in a PIO prior to definitization, the ACO shall coordinate the delivery schedule adjustment with the PPCO prior to execution of the supplemental agreement definitizing the PIO.

(f) Distribute one complete copy of the PIOs and the resultant definitive modifications to each of the following addressees:

(1) (insert complete PCO mailing address)

(2) (insert complete program manager mailing address)

(3) (insert complete integrated logistics support manager) mailing address)

(4) (insert complete Prime Provisioning Activity (PPA) mailing address)

(End of clause)

5352.217-9010 Associate Contractor Agreements.

ASSOCIATE CONTRACTOR AGREEMENTS (AFMC) (JUL 1997)

5352.235-9000 Small Business Innovation Research (SBIR) Phase I and Phase II

SMALL BUSINESS INNOVATION RESEARCH (SBIR) PHASE I AND

PHASE II CONTRACT REQUIREMENTS (AFMC) (JUL 1997)

The following requirements of the FY (insert year) Department of Defense (DoD) solicitation for the Small Business Innovation Research (SBIR) program are incorporated herein by reference: (insert applicable requirements by paragraph number and title.)

(End of clause)

5352.235-9001 Key Positions and Minimum Qualifications.

KEY POSITIONS AND MINIMUM QUALIFICATIONS

(AFMC) (JUL 1997)

Key Positions:

 

Minimum Qualifications:

(list by job title)

 

(list minimum qualifications in terms of education and/or experience)

     

________________

 

___________________________________

________________

 

___________________________________

________________

 

___________________________________

(End of clause)

5352.235-9002 Definition of Unusually Hazardous Risks.

DEFINITION OF UNUSUALLY HAZARDOUS RISKS (AFMC) (JAN 1998)

(End of clause)

equipment listed in the schedule. If a mutually agreed upon schedule for preventive maintenance cannot be established, the Government reserves the right to specify the schedule for performance of preventive maintenance, subject to the time constraints above.

(End of clause)

5352.239-9004 Task Change Proposals (IT Resources).

TASK CHANGE PROPOSALS (IT RESOURCES) (AFMC) (AUG 1998)

(End of clause)

5352.247-9015 Temporary Storage of FMS Munitions Items.

TEMPORARY STORAGE OF FMS MUNITIONS ITEMS

(AFMC) (JUL 1997)

(End of clause)

5352.247-9016 Reserved.

5352.247-9017 F.o.b. Point for Delivery of Government-Furnished

F.O.B. POINT FOR DELIVERY OF

GOVERNMENT-FURNISHED PROPERTY (AFMC) (JUL 1997)

(End of clause)

5352.290-9000 Delay and Standby Time.

DELAY AND STANDBY TIME (AFMC) (JUL 1997)

(End of clause)

PART 5353--FORMS

SUBPART 5353.1--GENERAL

5353.190 Computer preparation.

AMFCM 70-390.

SUBPART 5353.2--PRESCRIPTION OF FORMS

5353.204 Administrative matters.

5353.204-70 DD Form 350, Individual Contracting Action Report.

Identical numbers may be entered in Items B5F and B5G if contractor certified the same number for itself and its parent.

(5)(viii) Block D8, Subcontracting Plan for SB, SDB or HBCU/MI. If reporting a modification or order for which no new subcontracting plan was required, but for which coverage exists in an existing plan, use Code C or D, as applicable. Enter Code D, Plan Required, Incentive Included, whenever DFARS 252.219-7005 is in the award, whether or not Alternate I is specified.

5353.290 AFMC forms.

AFMC Form

Form Title

Paragraph Reference

34

Source List

5319.201(c)(9)(91)

158

Packing Requirements

5347.305-10(a)(90)

224

Issuance of Undefinitized Contractual Action (UCA)/Contract Plans

5317.7402-90(b)

260

First Article Requirements

5309.308

295

Contract Folder Index

5304.802-90

296

Document Routing and Control

5304.803(b)(10)

298

Official Contract File

5304.802-90

476

Contractor Invention Monitoring

5327.303

702

Amendment of Solicitation/Modification of Contract

5343.102-90

718

Provisioning Performance Schedule

AFMCI 23-101, Air Force

Provisioning Instruction, Atch 7,

Appendix 7

813

Surplus Material Worksheet

5311.302-91(f)

829

Price Negotiation Memorandum (Price Analysis)

5315.406-90(a)

829A

Price Negotiation Memorandum (Cost Analysis Without Cost or Pricing Data)

5315.406-90(a)

APPENDIX AA--FORMAL SOURCE SELECTION FOR MAJOR ACQUISITIONS

PART 1 - GENERAL INFORMATION

AA-103 Definitions.

"Life Cycle Cost" means the total cost to the Government for a system over its full life including the cost of development, acquisition, operation, sustainment, and disposal.

"Most Probable Cost (MPC)" means the Government estimate of the total cost most likely to be incurred if a contract is awarded. In addition to specific contract acquisition cost, this estimate should include any other Government cost expected to be incurred. Some examples include Government furnished property, Government furnished facilities, or cost of transportation. MPC is most frequently used to evaluate cost in cost reimbursement and other flexibly priced contracts.

"Performance Risk Assessment Group (PRAG)" See AFMC Pamphlet 64-113, Volume I, 19 Mar 98, Source Selection Activities Guide (Performance Risk Assessment Group (PRAG) Guide) (http://www.afmc.wpafb.af.mil/pdl/afmc/pam/64series/ 64_113v1/64-113v1.pdf).

AA-104 Policies.

AA-104(e) See 5307.104-90(a) and 5307.104-91(e)(90).

AA-104(i) When making a contract award based on initial proposals without written or oral discussions, final proposal revisions are not requested; however, the solicitation must address the possibility of award with or without discussions.

AA-106 Organization.

PRAG chairperson should not be assigned other source selection duties. PRAG personnel must be Government employees.

AA-107 Responsibilities and duties.

AA-107(90) PRAG responsibilities and duties include the following:

AA-116-90 Streamlining.

AA-204 Basis of award, evaluation criteria, and general considerations.

AA-204(b)(90) Present and past performance shall not be evaluated as an assessment criterion or as a general consideration, nor as a separate factor or subfactor within the specific criteria. Present and past performance are both evaluated to assess performance risk.

AA-204(e) Present and past performance shall be evaluated as a structured risk assessment as detailed in paragraph AA-305(g).

AA-205 Source Selection Plan (SSP).

AA-205(b)(2) Identify to whom the PRAG will report (SSA or SSAC or SSEB Chairperson).

AA-205(b)(4) Specify the performance risk evaluation methodology. If adequate price competition is anticipated, identify the methodology to be followed to evaluate the cost realism (see DFARS 215.404-1(d)), completeness, and reasonableness.

AA-206 Evaluation standards.

AA-206(d) See 5315.204-5(c)(90).

AA-207 Solicitation.

AA-207(1) Section M of the solicitation, Evaluation Factors for Award, must clearly state that the Government will conduct a performance risk assessment based on the offeror's present and past performance as it relates to the probability of successfully accomplishing the proposed effort. Offerors must be notified of all factors, and subfactors for which the Government will collect data and focus its evaluation. Section M must also notify offerors that both independent data and data provided in their proposal will be used to assess performance risk. Section M, as approved in the SSP, shall include the following information:

AA-207(90) The proposal preparation instructions (Section L) of the solicitation shall:

AA-208 Notice of source selection action.

PART 3 - PROPOSAL EVALUATION AND SOURCE SELECTION DECISION

AA-302 Offerors' oral presentations.

AA-302(a) The SSEB chairperson should recommend, when developing the SSP and solicitation, whether oral presentations to the SSEB should be conducted.

AA-302(90) If oral presentations are deemed appropriate:

AA-305 Assessment of risk.

AA-305(g)(90) Data on the offeror's performance (including that of major subcontractors or teaming contractors) may be obtained from a variety of sources. Where applicable, get program and contract information in the AFMC Contractor Performance Assessment Report (CPAR) system from the closest CPAR focal point. Information on programs and contracts outside the CPAR system and information on contractors not within the CPAR data base may be obtained from questionnaires or interviews, or other past performance assessment systems established by contracting

activities outside AFMC. Normally when a CPAR is available, a questionnaire would not be needed. Tailor questionnaires or interviews to focus on information that demonstrates performance related to each specific evaluation criterion Preaward Surveys, Contractor Alert Lists, Performance Assessment Reviews, or questionnaires should be used to gather contract administration data from Defense Contract Management Command (DCMC) organizations. Also use local contractor performance data where available. File copies of CPARs, questionnaires, interviews, or other information used by the PRAG to support their performance risk assessments with other source selection records.

record and program impact caused by a pattern of cost growth due to poor contractor estimates.

AA-306 Exchanges with offerors.

AA-306(a) To ensure compliance with FAR 15.306(e), the SSEB chairperson must review all evaluation notices prior to submittal to the SSAC chairperson for review and approval to release (see AA-107(b)(7)).

AA-311 Conducting written or oral discussions.

AA-311(d)(1) In order to improve the efficiency of transitioning from written/oral discussions to a final proposal revision, revisions to the model contract are to be agreed upon to the maximum extent possible by the offerors and the Government before the Government requests the final proposal revision. To accomplish this, include appropriate instructions in Section L of all solicitations where AFFARS Appendix AA source selection procedures are followed. Prior to the close of the written/or discussion phase, the contract team must review each offeror's response and resolve as much as practicable any disagreements, deficiencies, or omissions regarding the model contract and other documents. After resolution, obtain a clearance using the procedures defined in AFFARS 5301.90, as supplemented, and request a final proposal revision based upon the refined contractual agreement. The final proposal revision request should advise offerors that significant changes to proposals in final proposal revision responses may adversely impact their eligibility for award.

AA-311(90) Written or oral discussions with each offeror in the competitive range must provide the offeror with the opportunity to comment on adverse past and present performance data, and past performance data where relevancy is questionable.

AA-312 The Proposal Analysis Report (PAR) and presentation.

AA-312(b)(4) In both the written evaluation report and the presentation, include discussion of the following PRAG information for each offeror:

Describe those efforts considered most relevant and provide the rationale supporting their relevance.

AA-315 Selection and Contract Award.

AA-315(b)(90) The rationale for not conducting discussions whenever award without discussion occurs.

AA-315(b)(91) When award is made to an offeror with a good demonstrated performance record, include the supporting rationale for the selection.

afmcac97-1-1

APPENDIX BB--SOURCE SELECTION PROCEDURES FOR OTHER THAN MAJOR ACQUISITIONS

PART 1 - GENERAL INFORMATION

BB-101 Applicability.

(90) AFMC centers may tailor this process for their own organizational application and for acquisitions less than $5 million (i.e., total program value or total contract value). Recommend use of Appendix BB procedures for base-level service acquisitions and construction. Do not normally use Appendix BB procedures for the acquisition of replenishment spares or repair parts. Guidance and a template for the preparation of the Source Selection Plan (SSP) and Sections L & M of the solicitation may be accessed through the World Wide Web, address: http://www.afmc.wpafb.af.mil/

organizations/HQ-AFMC/PK/pkopr1.htm#list19 (then go to source selection tile). Part 5-90 of this Appendix applies to all science and technology (i.e., research, exploratory development, and advanced development) source selections. Part 5-90 may be applied to manufacturing technology efforts. Part 6-90 applies in cases where the Lowest Evaluated Price (LEP) technique is approved for use.

BB-103 Definitions.

BB-103(90) "Performance Risk Assessment Group (PRAG)" See AFMC Pamphlet 64-113, Volume I, 9 Jun 95, Source Selection Activities Guide (Performance Risk Assessment Group (PRAG) Guide http://www.afmc.wpafb.af.mil/pdl/afmc/pam/

64series/64_113v1/64-113v1.pdf).

"Acquisition Plan (AP)" The Single Acquisition Management Plan (SAMP) may be used in place of the AP.

"Assessment Criteria" Assessment criteria are optional for use.

"General Consideration" Offeror-proposed alternatives to the military and/or federal specifications and standards cited as compliance documents in the solicitation may also be appropriate for evaluation as a general consideration, since these alternatives are not likely to impact the overall technical solution to such an extent as to warrant consideration as a separate factor or subfactor.

"Minimum Mandatory Requirement" Minimum mandatory requirements (MMRs) are distinguished from essential characteristics or baseline requirements of the solicitation in that MMRs reflect only acceptability/nonacceptability of the offeror's proposed response, and are not intended to measure qualitative or quantitative differences relative to the evaluation standards. For this reason, MMRs do not employ the entire color rating scheme, but instead reflect only a "green/red" color scheme. This is

discussed in more detail in BB-304, Use of Rating Techniques. If MMRs are used, an offeror not meeting the MMRs may be excluded from the competitive range without evaluation of that offeror's response to the essential characteristics or baseline requirements of the solicitation, but that offeror's cost or price proposal must still be considered in the determination to exclude, as required by FAR 15.306(c).

BB-104 Policies.

BB-104(e) See 5307.104-90(a), 5307.104-91(e)(90), and 5315.201(f).

BB-104(f) Use color rating for factors and subfactors unless approval has been obtained to use the LEP techniques contained in Part 6-90 of this appendix.

BB-104(h) Additionally, if the offeror's failure to meet an essential characteristic or baseline requirement reflects a failure to meet an evaluation standard, the offeror's proposal is deficient for that standard, and must receive less than a green (acceptable) rating.

BB-104(90) Use of a Performance Risk Assessment Group (PRAG) is optional for science and technology, base service, and construction source selections conducted under this regulation. However, for these acquisitions or for competitive negotiated acquisitions valued less than $5 million but exceeding $1 million, it is required that some evaluation of past performance be undertaken. All other source selections conducted under this regulation must include a PRAG and the resulting performance risk assessment.

BB-105 Source Selection Authority (SSA).

BB-106 Organizations.

(90) The PRAG will be a separate group within the SSET (see Attachment BB-1 for a diagram of typical PRAG placement within the source selection organization).

BB-107 Responsibilities and duties.

BB-107(90) PRAG responsibilities and duties include the following:

PART 2 - PRE-EVALUATION ACTIVITIES

BB-203 Basis of award, evaluation criteria, and general considerations.

BB-203(a)(90) Section M, Evaluation Factors for Award, of the solicitation must clearly state that the Government will conduct a performance risk assessment based on the offeror's present and past performance as it relates to the probability of successfully accomplishing the proposed effort. Offerors must be notified of all factors and subfactors for which the Government will collect data and focus its evaluation. Section M must also notify offerors that both independent data and data provided in their proposal will be used to assess performance risk.

BB-203 (b)(1) The evaluation criteria must indicate if adequate price competition is anticipated when discussing the relative order of importance of all criteria.

.

BB-203(b)(3) If assessment criteria are used, they must be described in Section M of the solicitation.

BB-203(c) Present and past performance will not be evaluated as a general consideration.

BB-204 Source Selection Plan (SSP).

BB-204(c) The plan may be tailored and may not include all the items listed.

BB-204(c)(2) Describe the proposed PRAG organization. List recommended key members by name, if known, or by position, title, or functional area. Describe to whom they report.

BB-204(c)(4) Specify performance risk methodology. If adequate price competition is anticipated, identify the methodology to be followed and data required for evaluating the cost realism (see DFARS 215.504-1(b)), completeness, and reasonableness.

BB-204(c)(7) The SSA approves source selection schedules as part of the SSP. Inform the SSA of significant departures from the approved schedule.

BB-205 Evaluation standards.

BB-205(b) Any solution proposed by an offeror which fails to meet the evaluation standard is deficient to that standard, and requires that the offeror's color rating be less than green (acceptable). It may require that an Evaluation Notice (EN) be issued if the Government is not certain a deficiency exists. If and when a competitive range determination has been made, EN(s) should be used to identify deficiencies.

BB-205(d) See 5315.204-5(c)(90).

BB-206 Solicitation.

BB-206(3) Present and past performance will be evaluated as a structured risk assessment.

BB-206(4) The proposal preparation instructions (Section L) of the solicitation must include the following information:

(90) If performance risk is being assessed, request offerors submit a separate proposal volume that summarizes prior contract efforts they consider relevant to each factor or subfactor of the evaluation criteria to demonstrate their ability to perform the proposed effort.

instructions should clearly identify the data required in the cost volume and allow an unlimited appendix for the data required for the offeror to comply with public law.

PART 3 - PROPOSAL EVALUATION AND SOURCE SELECTION DECISION

BB-302 Offerors' oral presentations.

BB-302(b)(90) Oral presentations are best applied to evaluations of management, corporate capabilities, personnel qualifications, facilities, processes, descriptions of commercial items and other categories of information having to do with an offer's capabilities to perform the required work. Solutions to scenarios representative of efforts to be performed are also appropriate for oral presentations. However, if award without discussions is contemplated, oral presentations must be conducted with extreme caution on the part of the Government evaluation team. The team must limit its questions to clarifications only to be able to award without discussions. If the Government asks questions which may be construed as negotiations (i.e., discussions) which would require the Government to accept a revision or modification to any part of the offeror's proposal, discussions have been opened and must be conducted with all offerors.

BB-304 Use of rating techniques.

BB-304(i) If the technical team determines that an offeror has not met the MMRs, the SSA may approve a decision by the contracting officer to exclude that offeror from the competitive range in accordance with FAR 15.306(c). Note that this determination must still take into account the cost or price proposal of the offeror. The offeror must be notified at the earliest practicable time that its proposal is no longer eligible for award.

BB-305 Assessment of risk.

BB-305(90) Performance risk assessments are conducted by the PRAG. The PRAG consists of Government personnel who have broad acquisition experience. Each AFMC field activity is responsible for determining the appropriate membership and structure of the PRAG, relative to the size, nature, and complexity of the acquisition. Data on the offeror's performance (including that of major subcontractors or teaming contractors) may be obtained from a variety of sources. Where applicable, get program and contract information in the AFMC Contractor Performance Assessment Report (CPAR) System from the field activity CPAR focal point. Copies of CPARs used by the PRAG to support their ratings are to be filed with other source selection records. Information on programs and contracts outside the CPAR system and information on contractors not within the CPAR data base may be obtained from questionnaires or interviews, or other past performance assessment systems established by contracting activities outside AFMC. Tailor questionnaires or interviews to focus on information that demonstrates performance related to each specific evaluation criterion. Preaward Surveys, Contractor Alert Lists, Performance Assessment Reviews, or questionnaires should be used to gather contract administration data from DCMC organizations. Also use local contractor performance data where available.

(1) Performance evaluations are not limited solely to the proposing prime contractor division. If other divisions, corporate management, critical subcontractors, or teaming contractors perform a critical element or significantly influence the proposed effort, their performance record should be evaluated and risk assessed relative to the appropriate evaluation criteria. All performance risk assessments that include such diverse data must separately identify and document the data.

(2) Evaluate performance data as received so that necessary clarifications can be obtained during exchanges. However, the depiction of the performance risk assessments (high, moderate, low or not applicable) is prepared, updated , and presented as part of the evaluation and decision briefing to the SSA. When award without discussions is contemplated, plan for completion of the performance risk analysis prior to the decision briefing.

BB-306 Exchanges with offerors.

BB-306(a) To ensure compliance with FAR 15.306(e), the SSET chairperson must review and approve (AFFARS Appendix BB-107(b)(10)) all evaluation notices before the contracting officer provides them to the offerors.

BB-308 Cost (price) evaluation.

BB-308(a)(90) Carefully analyze the need for audit and field pricing support for both prime contractors and subcontractors (see FAR 15.404-2).

BB-310 Determination of competitive range.

BB-310(e) Obtain legal review of a competitive range determination to eliminate an offeror before seeking SSA approval. Additionally, obtain legal review of contractor elimination notification letters before their release.

BB-310(90) Award without discussion may be made whenever the requirements of law and regulation are met and it is in the Government's best interest. Discussions will be necessary when the highest rated proposal has deficiencies that are connected with a material requirement of the solicitation. Clarifications as described in FAR 15.306(a), will have no impact in determining whether an award without discussions is possible since these exchanges do not constitute discussions. However, if oral presentations are anticipated, see caution in FAR 15.102(g). In addition to requirements described in FAR 15.306(a), the following must also take place in order to make an award without discussions:

BB-312 The Proposal Analysis Report and presentation.

BB-312(a) The PRAG will prepare a written report and presentation to document the results of their analysis.

BB-312(b)(90) PRAG reports shall be included in the PAR. The report must include a discussion of the following for each offeror. The PAR may be tailored and may not include all the items listed:

Describe those efforts considered most relevant and provide the rationale supporting their relevance.

BB-314 Selection and contract award.

BB-314(b) When award is made to an offeror with a good, demonstrated performance record, the SSDD shall reflect that fact in its supporting rationale for the selection. Whenever award without discussions in the face of identified ENs occurs, the SSDD must include the rationale for not conducting discussions.

PART 4 - SOURCE SELECTION DOCUMENTATION AND RELEASE OF INFORMATION

BB-402 Source selection records.

BB-402(a)(17) Includes CPARs.

PART 5-90 TAILORED POLICIES AND PROCEDURES FOR SOURCE SELECTIONS FOR SCIENCE AND TECHNOLOGY

BB-501 Applicability and scope.

(a) This section provides tailored policies and procedures for source selection in competitively negotiated science and technology (S&T) acquisitions which fall outside the scope of AFFARS Appendix AA. This Part 5-90 gives supplementary guidance unique to S&T source selections and modifies certain AFFARS Appendix BB procedures. However, it is not a stand-alone section. Requirements of AFFARS Appendix BB or this supplement which are not addressed or tailored in this Part 5-90 are still applicable to S&T acquisitions.

(b) In some S&T competitive situations, general solicitation procedures (Broad Agency Announcement (BAA) or Program Research and Development Announcement (PRDA)) are more appropriate than source selection procedures. Since the use of BAAs and PRDAs has been demonstrated to streamline the acquisition of S&T, encourage their use whenever appropriate. See FAR 35.016, as supplemented, for guidance on BAAs, and AFMCFARS 5335.90 for guidance on PRDAs.

BB-502 S&T source selection objective.

The objective of the S&T Source Selection Process is to select the source whose proposal has the highest scientific and technical value, and which provides the best mix of performance, cost or price, schedule, and other factors.

BB-503 Source selection plan.

A formal source selection plan is not required for S&T source selections. However, when no formal plan is prepared, all information required by AFFARS Appendix BB must be addressed and documented in the acquisition plan, or other file documentation. In addition, before the solicitation is released, the SSA must approve the evaluation criteria, the relative importance of all evaluation criteria, and the rating system to be used in evaluating proposals.

BB-504 Evaluation team.

A formal SSET is not required for S&T source selections. As a minimum, there will be a technical team and a contract team, each with a designated team chief. Use of a PRAG is optional.

(a) The technical team will include at least two evaluators chosen by the team chief. The technical team chief shall be the senior official responsible for the technical program designated by the requiring activity.

(b) The contract team chief shall be the Contracting Officer.

BB-505 Evaluation team responsibilities.

The responsibilities of the Technical and Contract Teams are as follows:

(a) The technical team will establish the basis for award, develop evaluation criteria, establish the relative order of the criteria, and then give this information to the contract team for inclusion in the solicitation. After receiving the proposals, the technical team will conduct an evaluation according to the evaluation criteria in the solicitation and prepare a technical evaluation report documenting the results. The technical report will indicate any proposal deficiencies or issues that need to be resolved. The technical team need not prepare formal written ENs; however, those proposal deficiencies or issues that require resolution must be documented for the contract file and addressed during discussions with offerors (see FAR 15.306).

(b) The contract team will coordinate the preparation of the solicitation, develop the model contract, conduct the pre-proposal briefings, establish procedures to protect contractor proposal information and Government source selection data, conduct

discussions, determine contractor responsibility, and debrief offerors. The Contracting Officer will make competitive range determinations and award the contract.

BB-506 Source lists.

FAR 35.004 provides guidance on identifying qualified R&D sources. FAR 35.007(a) and (b) allow Contracting Officers to initially limit distribution of solicitations to sources known to be technically qualified. Subsequent requests for the solicitation, however, must be handled according to AFFARS Appendix BB and FAR 5.102.

BB-507 Solicitations.

Solicitations will be prepared as follows:

(a) Executive summary letters are optional.

(b) Formal notifications of a source selection in progress according to AFFARS Appendix BB are not required.

BB-508 Evaluation criteria and standards.

Development of evaluation criteria and standards will be accomplished as follows:

(a) Use of standards is optional. For many S&T efforts, a minimum acceptable level of compliance with a requirement cannot be identified or developed into a qualitative or quantitative standard. When a standard cannot be developed, assessment criteria should be used to determine proposal acceptability and technical merit.

(b) Assessment criteria for S&T efforts may include:

(1) Understanding the problem.

(2) Soundness of approach.

(3) Compliance with requirements.

(4) Novel approach.

(5) Availability of necessary equipment and facilities.

(6) Management capability.

(7) Experience and qualifications.

BB-509 Proposal evaluation.

Technical evaluations will be conducted as follows:

(a) Before the competitive range determination, the technical team must prepare a written evaluation report that documents the results of the proposal evaluations. The following must be included:

(1) Assignment of ratings. The technical proposal must be rated against each assessment criterion. Either a color or adjectival rating scheme is acceptable (see paragraph BB-513 below). Numerical scoring will not be used. Include a narrative evaluation of each proposal that details the strengths and weaknesses of each technical proposal versus each criterion. At the discretion of the technical team chief, an overall rating for the entire technical proposal may be included.

(2) An assessment of the reasonableness of the proposed labor hours and skill mix, travel, material, and any other cost elements according to Section BB-308(a), above.

(b) After discussions, receipt of final proposal revisions, and final evaluation, supplement the technical evaluation report to reflect any changes in technical ratings or evaluation. Include a comparative proposal analysis to show the final ranking of proposals in descending order of merit.

(c) The technical team chief will approve the technical evaluation report and send the report to the SSA to make the source selection decision. A PAR is not required.

BB-510 Competitive range.

Competitive Range Determinations shall be determined as follows: Careful consideration shall be given to the technical standing of all offerors after the initial evaluation. Only those offerors who have submitted the most highly rated proposals should be retained in the competitive range. The competitive range may also be limited for efficiency.

BB-511 Price evaluation and documentation.

Cost or price evaluations shall be conducted as follows:

(a) Cost or price to the Government will be considered as an evaluation criterion, but will normally only be secondary in importance to the technical criteria in determining the basis for award.

(b) A separate contract team report is not required. The contract team is responsible for documenting its cost or pricing analysis and any significant contractual terms, conditions, and other considerations in the price negotiation memorandum (PNM). If a PNM is not developed, document significant contractual terms, conditions and other considerations elsewhere in the contract file.

BB-512 Risk assessment.

The assignment of proposal and performance risk is optional for S&T source selections. Unlike contracts for supplies and services, most S&T contracts are directed toward objectives for which the work or methods cannot be precisely described in advance and it is difficult to judge the probabilities of success or the likelihood of the proposed approach being achieved. Some approaches offer little or no early assurance of full success (see FAR 35.002). Due to the trial and error nature of the S&T environment, many problems and failures are routine and expected. Performance risk, therefore, may not be an important discriminator.

BB-513 Rating system.

Use the following color or adjectival rating system for S&T source selections that do not use standards:

Blue - Exceptional - A response that is outstanding in its major aspects and represents quality expected of a leader in the field. A clearly outstanding contribution.

Green - Acceptable - A "good" rating when considering the Industry as a whole. Reflects an acceptable position.

Yellow - Marginal - A "marginal" rating when considering the industry as a whole. Reflects responses that provide little or no imagination and inspire limited confidence or respect. Represents a minimal contribution.

Red - Unacceptable - Needs a major revision to the proposal to make it correct, or has no reasonable potential for correction. Leaves no doubt as to its technical inadequacy.

BB-514 Source selection decisions.

Source selection decisions shall be made as follows:

(a) Formal source selection decision briefings are optional at the discretion of the SSA.

(b) The Contracting Officer will prepare the SSDD per instructions from the SSA.

(c) The requirement for negotiations to culminate in signed contractual documents that represent the firm commitment of each offeror is not mandatory for S&T source selections. Signed contractual documents suitable for award may be prepared after the source has been selected. The PCO must ensure, however, that further discussions as described in FAR 15.306(d) shall not occur during preparation and processing of the contract documents.

BB-515 S&T source selection schedule of events.

Due to the tailoring of policies and procedures for S&T source selections, a revised schedule of events is provided in Attachment BB-12-90. The sequence of events may vary as circumstances dictate.

PART 6-90 - LOWEST EVALUATED PRICE TECHNIQUE

BB-601 Applicability and scope.

(a) This section provides tailored policies and procedures for source selection in competitively negotiated acquisitions for which use of the LEP technique has been approved. The section provides supplementary guidance unique to the LEP technique and modifies certain AFFARS Appendix BB procedures. It is not, however, a stand-alone section. Requirements of AFFARS Appendix BB or this supplement which are not addressed or tailored in this Part 6-90 are still applicable to acquisitions using the LEP technique.

(b) LEP is a formal source selection procedure that may be used for competitive negotiated acquisitions, except as noted below. LEP is appropriate when it is determined that exceeding minimum requirements is of benefit to the Government, and there is a need to examine the tradeoff between price and other criteria. An objective evaluation formula must be developed and documented before issuance of the solicitation. The formula is based on evaluation criteria and the weights assigned to each factor/subfactor of evaluation. Do not use LEP to make contractor responsibility determinations in accordance with FAR 9.1.

(c) This technique may be used if all of the following conditions are present.

(1) The requirement is suitable for use of a firm fixed price type contract.

(2) The requirement lends itself to the development of meaningful standards (in addition to price) against which proposals may be evaluated.

(3) Submission of a technical proposal is required.

(4) There is a firm basis upon which to determine the price/nonprice ratio, i.e., the Air Force must be able to identify what weight (percentage) price is worth.

(d) LEP shall not be used for the following:

(1) Acquisitions greater than $50M either in instant contract value or total program value.

(2) Acquisitions which may be acquired using sealed bidding (including two-step sealed bidding).

(3) Acquisitions for systems research and development, low rate initial production, or production.

(4) Acquisitions for S&T efforts acquired utilizing the Part 5-90 procedures of this appendix.

(5) Acquisitions for AFMC maintenance, overhaul, and modification.

(e) LEP procedures may be used after approval of the Senior Center Contracting Official.

BB-602 SSET.

Source Selection Evaluation Teams will be organized as follows: The Contracting Officer, who is also the SSA, will lead the SSET. Maximum streamlining of the contracts team and technical team is desired. These teams may be comprised of as few as one member depending on the complexity of the acquisition. In this case, the single individual may be assigned multiple responsibilities.

BB-603 Source selection plan.

Source selection plans (SSP) will be created as follows:

(a) The SSP will include in the section discussing the methodology and rating system an evaluation scheme employing a weighting methodology to establish the relative importance of each evaluation criteria. Relative weights shall be established before release of the solicitation. Price must carry a weight of at least 20 percent, and the various nonprice criteria may total a weight of no more than 80 percent. Note, however, usually price should carry weight of 30 percent or higher. Weights shall be identified in the solicitation; the relative order of importance of all evaluation criteria (factors/subfactors) including price must be identified in Section M.

(b) In the summary of acquisition strategy include an explanation supporting the use of the LEP evaluation technique including why criteria other than price must be considered in order to meet the Air Force's need.

(c) Tailor specific non-price evaluation criteria, weights, and methods of scoring for each acquisition. In addition to the relative weights of price versus nonprice criteria discussed above, care shall be taken to assure that weights and scoring methods assigned to each nonprice criteria truly reflect the needs of the Air Force. Examples of nonprice criteria include size, weight, performance, reliability, maintainability, fuel efficiency, delivery schedule, offeror's past performance, management capability, and understanding of the requirement.

BB-604 Solicitation Notice.

Solicitations shall be prepared as follows: Include a paragraph in either the solicitation transmittal letter or in the solicitation cover sheet to notify offerors of the following:

"Lowest Evaluated Price Evaluation - Offers in response to this solicitation will be evaluated using the Lowest Evaluated Price technique. Contract award decision will occur after evaluation in accordance with applicable criteria. Price is a significant criterion. See Section M of the solicitation for details."

BB-605 Evaluation criteria.

Basis of award and evaluation criteria shall include the following: The Contracting Officer must fully identify, in Section M of the solicitation, the evaluation criteria for the LEP technique. Utilize the provision 5352.215-9011 for Technical Proposals in Section L.

BB-606 Proposal evaluation.

Initial proposal evaluations shall be completed as follows: The following is the sequence of events that shall be followed for proposal evaluations:

(a) The Contracting Officer forwards proposals to the technical team for evaluation. Review of contractor price information will consist of the analysis of cost realism, reasonableness and completeness.

(b) The technical team accomplishes the initial technical evaluation through analysis of each proposal with respect to the standards. The technical team leader will ensure that the evaluation report on each offeror is consistent and rational. Evaluators will evaluate each proposal and indicate its worth in relation to the standards. Evaluators must understand the requirement, the solicitation, the evaluation criteria, and the evaluation standards.

(c) Send the initial technical evaluation report to the Contracting Officer in the format shown below. The four following distinct products are required from the technical team for inclusion in the Proposal Analysis Report:

(1) Nonprice Criteria Scores. The Nonprice criteria scores will be formatted as illustrated in the following sample:

Preliminary Proposal Evaluation

1. Area I - Technical Approach

Factor 1 - 36

Factor 2 - 50

Total Technical Raw Score - 86

2. Area II - Management

Factor 1 - 32

Factor 2 - 24

Factor 3 - 40

Total Management Raw Score - 96

3. Area III - Quality

Factor 1 - 33

Factor 2 - 30

Total Quality Raw Score - 63

(2) Narrative Assessment. The technical evaluation must include a narrative assessment of each proposal which provides the rationale for the technical score. If at any level of the criteria, an offeror's proposal is evaluated as failing to meet a minimum requirement, this fact must be included in the narrative assessment.

(3) During the initial evaluation of proposals, the technical team will record separately, and in addition to the narrative assessment, any proposal deficiencies.

(d) Computation methodology will be performed as follows: After the Contracting Officer has received the initial proposal evaluation reports, a comparative analysis will be performed. This is illustrated in the following sample acquisition:

Normalized

Score

Weighted Area

Raw Score

(Range 1-100)

Weight

Score

         

Technical Approach

86

92.45

.40

36.98

Price

$56M

89.29

.30

26.79

Management

96

100.00

.20

20.00

Quality

63

71.59

.10

7.16

         

Total Weighted Score 90.93

The normalized score for the nonprice criteria is computed by dividing each offeror's raw score for a criteria by the highest raw score awarded for that criteria and then multiplying by 100. For example, in the sample shown above, assume the highest raw scores awarded for technical approach, management, and quality were 93, 96 and 88, respectively. Therefore, the normalized scores shown above were computed as follows: for technical approach, 86/93 = .9245 x 100 = 92.45; for management, 96/96 = 1.00 x 100 = 100; and for quality, 63/88 = .7159 x 100 = 71.59. Next, the normalized score is multiplied by the weight to arrive at the weighted score. The PCO will complete the missing data for price. The raw score for price will be the actual price proposed, adjusted based on the significant price criteria identified in the solicitation< such as transportation costs, movement of GFP, discounts, etc. The normalized score for price is then computed by dividing each proposed price into the lowest proposed price and multiplying by 100. For purpose of the example, the lowest proposal price was $50 million. Therefore, the normalized score for the $56 million proposal was computed as follows: 50/56 = .8929 x 100 = 89.29. Finally, the normalized score is multiplied by the weight for price to determine the weighted score. By normalizing the price and nonprice criteria, the original ratio between all criteria is retained throughout the evaluation process.

BB-607 Competitive range.

BB-608 Discussions and final evaluation.

ATTACHMENT BB-12-90

SCIENCE AND TECHNOLOGY SOURCE SELECTION EVENTS

1. Acquisition Strategy Panel (Optional)

2. R&D Advance Notice Synopsis (Optional)

3. Acquisition Plan

4. Naming of SSA

5. Establishment of Technical and Contract Team

6. Notice of Contract Action Synopsis

7. Solicitation Review

8. Solicitation Release

9. Proposal Received

10. Technical Evaluation of Proposals

11. Initial Technical Evaluation Report Preparation

12. Field Pricing Support (Oral or Written)

13. Competitive Range Determination

14. Competitive Range Briefing (Optional)

15. Discussions with Offerors in Competitive Range

16. Final Proposal Revision

17. Final Proposal Review

18. Technical Evaluation Report Finalization

19. Price Negotiation Memorandum Prepared

20. Formal SSA Decision Briefing (Optional)

21. Pre-Award Notice to Unsuccessful Offeror

22. Decision of SSA Documented

23. Contract Preparation

24. Contract Award

25. Debriefings (if requested)

26. Post-award Conference (Optional)