J-1_IAC_MAC_Fair_Opportunity_Ordering_Procedures_3Oct17.docx

DEFENSE TECHNICAL INFORMATION CENTER

Information Analysis Centers (IACs) Multiple Award Contract (MAC) Fair Opportunity Ordering Procedures

This Ordering Procedures sets forth the procedures for issuing task orders against the IAC MAC contract to fulfill requiring activities’(RA) mission requirements.

10 | Page DTIC IAC MAC Ordering Procedures v.1

General _______________________________________________________________________ Requirements Package/Notes to Buyer (NTB) ________________________________________ IAC MAC task orders Performance Work Statement (PWS) _____________________________ Independent Government Cost Estimate (IGCE)_______________________________________ Proposal Evaluation Plan _________________________________________________________ Funding Documents _____________________________________________________________ Interservice and Interagency Agreements (DD1144)____________________________________ General Terms and Conditions (GT&C) Section (FS Form 7600A)________________________ Security Classification Specification (DD254) ________________________________________ Quality Assurance Surveillance Plan (QASP) _________________________________________

Fair Opportunity Ordering Procedures

1. General

RAs will develop the complete requirements package with assistance from the CSC. Ordering Offices may indicate a requirement for documents that are mandated by their Service-level acquisition regulations and policies.

The Contracting Office is only able to release a Fair Opportunity Proposal Request (FOPR) when a complete requirements package is received. A complete requirements package is defined as one containing all the documents listed in the IAC Notes to Buyer (NTB) or Services Acquisition Strategy Document, plus any additional requirements mandated by the Contracting Office’s policies or that are driven by unique features of the task order (for example, the need for Theater Business Clearances for work to be performed in combat areas). A list of typical requirements package documents (this list may not be all-inclusive) is posted at http://iac.dtic.mil/macs.html, under “Services/Capabilities”, click on: “IAC TATs (MACs)”, and is also listed below; the IAC PMO will update this list as needed. When an RA task order requirement is accepted by the CSC, the CSC specialist will provide the RA with the current version of all requirements package documents templates.

All funding documents must be submitted to dtic.belvoir.rm.mbx.iac-mipr@mail.mil.

Note: although some of the documents can be faxed, it is mandatory that the performance work statement (PWS) be submitted electronically in Microsoft Word format. In the event that a document cannot be submitted electronically, it may be sent by fax to the attention of “DTIC-I” at (703) 767-9119. Any document sent by fax must clearly cross reference the requirements package (utilizing the RMS Submittal ID# in order to be considered a complete requirements package). Requirements packages must be UNCLASSIFIED, regardless of the classification of work to be performed.

2. Requirements Package Notes to Buyer (NTB) and/or Streamlined Services Acquisition Strategy The NTB/SSAS is the cover document for the IAC requirements package. The NTB/SSAS lists the items that must be included in all task order requirements package – these are summarized below and are in addition to the completed NTB/SSAS which is part of the package:

· Completed and signed Notes to Buyer document

· Funding (for example: MIPR). If funding is not yet available when the FOPR is to be released, in lieu of a signed funding commitment, the Ordering Offices will accept written funds promises (memo or email) on a case by case basis from the RA’s funding point of contact.

· Performance Work Statement (PWS)

· Independent Government Cost Estimate (IGCE)

· Proposal Evaluation Criteria/Plan

· ACOR (Assistant COR) Nomination memo and evidence of training completion

· Draft DD254, if applicable, and email indicating the customer has coordinated it with their Security Officer

· Signed DD1144 or FS Form 7600A (for DoD customers) (for non-DoD customers ) between RA and DTIC

· Quality Assurance Surveillance Plan (QASP)

· Service Contract Approval document if dictated by RA procedures

The RA, with the support of the CSC, assembles the requirements package, including all of the required items listed in the IAC Notes to Buyer document.

The CSC and the Contracting Office will review the requirements package to ensure that it is:

· Complete in accordance with the formats and requirements specified in these guidelines and any additional requirements identified by the Contracting Officer.

· Clear, consistent, and within the scope of the IAC contracts. If a requirements package is determined by the DoD IACs COR to be outside the scope of the IAC contracts, the IAC office will return the package to the RA with an explanation of the reasons for return. If the package needs significant re-work, the IAC CSC will work with the RA to make any necessary revisions so that the requirements are fully understandable, in compliance with the base MAC task order contract terms, and appropriate for competition.

Note: Since multiple prime contractors will be solicited to propose on each task order requirement, customers must be sensitive to any possible conflicts of interests (COI) in dealing with the various contractors. It is the responsibility of RA representatives to recuse themselves from participating in the process if there is a COI (or potential COI) as a result of an association with any of the IAC contractors. Customers should consult with their Office of Counsel and the IAC MAC COR for further instructions and guidance.

3. Task Orders Performance Work Statement (PWS)

a. Performance Based Services Contracting (PBSC)

1. PBSC Legal Requirements - Performance-based acquisition is the preferred method for acquiring services (Public Law 106-398, section 821) (FAR 37.102). The IAC MAC task order contract has a standard performance based PWS template. This format includes performance standards designed to allow RAs to measure the efficiency and effectiveness of the contractor’s performance. In other words, RA’s will evaluate both the quality of the services delivered and the manner in which they were performed.

2. PBSC Methods - When determined appropriate for an individual requirement, customer agencies should use the following methods to develop performance-based requirements:

The IAC MAC contracts’ scope allows for the purchase of research and development (R&D) services and R&D-related scientific and technical analysis services. Any products/materials/supplies required must be incidental to the required services, i.e., necessary and integral to performance of the required services and not be the primary requirement under the task order. The following additional criteria must be met for a proposed IAC MAC task order PWS to be considered within scope:

· Tasks must be within one or more of the technical domain areas of the intended IAC contract.

· Contractor must produce substantial new scientific and technical information (STI), e.g., experimental data, scientific and/or technical knowledge, or expertise not otherwise or previously available to R&D communities.

· Task orders must benefit the Government scientific and technical community by contributing new knowledge to the IAC Basic Center of Operations (BCO) aligned with the MAC task order contract.

· Task orders must not be used as a pass-through primarily to access other individuals or firms as subcontractors. For small business task orders, the small business prime contractor must perform at least 50% of the task order (measured in terms of direct cost of personnel) with its own employees – this is both a legal and contractual requirement.

· Task orders must not be a means of acquiring IT equipment, commercial off-the-shelf software, and/or other equipment/materials/supplies in contravention of applicable DoD regulations.

· The contractor may deliver only such equipment/material/supplies which will serve to produce technical data of benefit to the U.S. Government and the IAC BCO. Any equipment /materials /supplies to be acquired by the contractor must be integral and necessary to the contractor’s analysis tasks, and incidental/ancillary to the overall services effort.

· PWS tasks must not be primarily for routine, day-to-day operational, administrative or maintenance type services with no analysis component and without generating any STI, as described above.

4. Independent Government Cost Estimate (IGCE) The IGCE helps the Contracting Officer determine the reasonableness of a contractor’s cost and technical proposals and gain assurance that the proposed scope and magnitude are in line with the customers expected scope and magnitude of the task order. If discussions or negotiations are necessary prior to task order award; the IGCE is a tool for the government to establish a negotiation position for determining a fair and reasonable price for the task order. The IGCE is for GOVERNMENT USE ONLY and shall not to be made available to contractors or anyone not authorized by the Contracting Officer to have access to task order source selection-sensitive materials, without the approval of the Contracting Officer. The IGCE template provides for composite IGCE labor rates. The rates include direct labor (salary) as well as indirect costs such as overhead and fringe benefits, and fee.

Travel – Cost Reimbursable: Contractor employees may have occasion under this contract to travel from their regular duty locations to a temporary duty location. Transportation, per diem, and lodging expenses required in the performance of temporary duty shall be reimbursed on a cost reimbursable basis to the Contractor in accordance with the Federal Acquisition Regulation (FAR) 31.205-46 and the Joint Travel Regulations, excluding profit/fee. Reimbursement for travel shall be limited to those expenses specifically authorized by the above-referenced regulations. Cost estimates shall be based on number of trips, personnel, and location per individual task order. Unless the Government specifies otherwise, the contractor should use this cost estimate in its overall price proposal. The Per Diem rates are posted on http://www.defensetravel.dod.mil/site/perdiem.cfm. All travel must be approved by the ACOR prior to purchase.

Materials, Equipment, and Supplies: All materials, equipment, and supplies shall be approved in accordance with FAR 52.244-2 and the contractor must provide to the appropriate approving official adequate detail of proposed purchases for requirements. Equipment meeting the definition in FAR 45.101 shall be non-fee bearing as specified in FAR 15.404-4(c)(3). Material and supplies can be a profit or fee bearing cost element.

Figures for ODC’s and travel must be supported by the work described in the PWS. In the ODC and travel worksheets, provide a breakdown of the itemized ODCs and travel to the extent known. Identification and justification must be provided for travel and other ODCs including; software, materials, equipment, supplies or other resources so that the government has a basis for comparing costs. The IGCE total, including DTIC CSDC, will be used to develop the estimated task order cost on the DoD DD1144 Inter-Service Support Agreement or General Terms and Conditions (GT&C) Section (FS Form 7600A), or civilian agency equivalent “Inter-Agency Agreement”.

In preparation for developing the IGCE for performance of a requirement, the requiring activity shall determine the array of labor categories that are necessary to perform the task order work. The following definitions shall be used in developing the requirement.

IAC MAC Labor Category Definitions:

Level I (Entry/Junior): less than 5 years of experience Requires a HS Diploma (BA/BS Preferred) and 0-5 years of experience in the field or in a related area. Has knowledge of commonly-used concepts, practices, and procedures within a particular field. Primary job functions do not typically require exercising independent judgment. Works under general supervision; typically reports to a supervisor or manager.

Level II (Intermediate): 5 to 12 years of experience May require a master’s degree; at least 5-12 years of experience in the field or in a related area.

Familiar with a variety of the field’s concepts, practices, and procedures. Relies on extensive experience and judgment to plan and accomplish goals. May lead and direct the work of others. May report to a supervisor or manager.

Level III (Senior): more than 12 years of experience (Senior): May require a master’s degree and/or Ph.D.; at least 12 years of experience in the field or in a related area. Familiar with a variety of the field’s concepts, practices, and procedures. Relies on extensive experience and judgment to plan and accomplish goals and independently performs a wide variety of complicated tasks. May provide consultation on complex projects and is considered to be the top level contributor/specialist. May lead and direct the work of others. May report to an executive or director.

5. Proposal Evaluation Plan The RA must provide an Evaluation Plan for task order requirements under the IAC MAC. The Evaluation Plan is an internal government document and should not be released to contractors. It is used by the Contracting Office to develop proposal instructions and evaluation criteria that are included in the FOPR released to appropriate IAC MAC contract holders. The RA develops desired evaluation factors/subfactors and their associated order of importance/weighting.

Mandatory factors are Mission Capability and Cost. The RA must specify which specific areas of Mission Capability (non-cost factors) are going to be evaluated. These areas should correspond to specific requirements set forth in the PWS. For the non-cost factors, it is recommended that there be no more than 2 or 3 subfactors for each factor. The RA must indicate whether the factors are equal in importance or if one or more factors are more important than the other factors. Proposals can be evaluated on either a “trade-off” or “lowest-price, technically acceptable” (LPTA) basis; both processes can provide the best value to the Government when applied to acquisitions appropriate to each method. In both cases, the RA must identify its proposal evaluation team in the Evaluation Plan. The RA evaluation team plays the primary role in evaluating the technical (non-cost factors proposal) and provides input to the Contracting Officer to assist them in evaluating the reasonableness and realism of the offeror’s cost proposal. Prior to the start of the proposal evaluation, the RA’s team will receive Source Selection Training from the Contracting Office.

All proposal evaluations will be in writing. Depending on the source selection approach used, the evaluation team will be responsible for identifying where proposals are acceptable or unacceptable (any proposal with one or more deficiencies cannot be rated as acceptable). In addition, for trade-off source selections, the evaluation team must document proposal strengths and weaknesses. To be selected for award, the Source Selection Authority (SSA) with assistance from the Technical Evaluation team must provide a reasonable and logical explanation of how the benefits of a higher priced proposal merit the additional cost. The rationale must be well documented, align with the PWS requirements and evaluation factors that were stated in the FOPR and take into account the unique strengths and weaknesses offered by each proposal.

For all task order source selections under $100M, the Contracting Officer usually serves as the SSA and makes the final determination as to which offer represents the best value.

For all task orders, once the evaluation of proposals is completed, the Contracting Officer will determine whether clarifications or discussions (revised proposals) are needed from offerors in order to make the best value source selection. If the government’s requirements have changed since the FOPR was released and/or if discussions/revised proposals are necessary, the Contracting Officer will lead communications with offerors and will solicit revised proposals, which will require the RA to complete a supplemental technical evaluation report. The RA should consider the use of LPTA when non-cost factors are approximately equal to, or are significantly less important than, the cost factor. The RA will also be required, if not evident in the technical proposal, to determine from cost proposal extracts provided by the Contracting Office if the offered labor categories, labor mix, and labor hours and other direct cost elements are consistent with the proposed technical approach and are otherwise realistic and reasonable. Cost is not weighted in order to provide an independent comparison between cost and all non-cost factors. The importance of the non-cost factors to the cost factor is how the SSA makes the best value determination.

If there is a significant difference between the IGCE and the proposed price/cost of the apparently successful offeror, this difference must be explained in the evaluation by the RA, or the IGCE or PWS will have to be revised, which will result in new proposals being requested and significant delays in the process.

6. Funding Documents

IAC contract task orders are funded by the customer requiring activity organizations (RAs) for a task order; obtaining funding is the responsibility of the lead organization who initiated the task order requirement with DTIC, however this does not preclude the RA from coordinating with other organizations who may be the ultimate source of funding (i.e., not all funding has to come directly from the initiating RA). Customers are solely responsible for ensuring that the correct appropriation is cited and the period of performance is addressed with the correct fiscal year appropriation in order to mitigate any violations of “The Bona Fide Need Rule” (see Defense Acquisition University, Acquipedia at: https://dap.dau.mil/acquipedia/Pages/ArticleDetails.aspx?aid=b2f52b87-8cc1-4639-87af-b8941f72d965.

a. Incremental Funding

Incremental funding is used when the customer is only able to commit funds in increments or portions of the period (base year or option year) total amount.

In order to incrementally fund a requirement, the task order services must be severable. Most IAC requirements are severable, provided the Government receives benefits throughout the period of performance. Services are considered severable if they can be separated into components that independently provide value to meet customer needs. Non-severable services represent a single undertaking that cannot feasibly be subdivided, i.e., if the services produce a single or unified outcome, product, or report.

Incremental funding is not to be used in those instances when the customer does not expect to ever get enough money to cover the award price of the total task order or any task order period. In those cases, it will be necessary to negotiate a lower proposal amount (reduce level of effort, descope effort, etc.) in conjunction with the customer, for only the amount of funds that are expected to be available.

For task orders that will be incrementally funded, a certified funding document committing at least the initial increment of funds normally must be included in the IAC MAC task order requirements package when the package is submitted to the IAC MAC for processing, unless otherwise agreed to by the Contracting Officer. This increment will be obligated upon task order award. In order to be awarded it is a legal requirement that a task order must obligate at least some funding at time of award. RAs are encouraged to provide sufficient funds in the initial increment to cover at least the first few months of services.

If a requirement is going to be incrementally funded, customers must annotate such on their funding document (e.g. Block 9 of the MIPR). The funding document must reflect the total amount available for current obligation and the amount to be incrementally funded (separate funding documents for the incremental funded amounts are acceptable, but they must be received and accepted prior to award of incremental funding actions [modifications]). Note: DTIC will not accept amendments to prior year MIPR numbers. For example, if you submitted MIPR MIPR10123456 to us in FY14, you may not submit MIPR number MIPR10123456 Amd 1 to us in FY15.

An Incremental Funding Statement is to be included in the Description Block of the MIPR and must state that the funds are in the budget, the dollar amount, and approximately when the customer’s budget office will provide the incremental funding. The Incremental Funding statement shall not be included in Block 11, grand total of funds (which will reflect only the amount of funds currently available). Do not identify a line of accounting in Block 14 for the incremental dollar amount.

b. Full Funding

Non-severable efforts must be fully funded for the entire base year, and must be fully funded for each subsequent option period, if any, before the option can be exercised.

c. Funding Document Submittal – DoD Customers

DoD customers provide reimbursable and/or direct cite funding through the use of DD Form 448 Military Interdepartmental Purchase Requests (MIPRs). Whenever possible, it is preferred that the MIPR be submitted in electronic form; either a scanned document or your agency’s electronic format is acceptable. The funding document must be prepared per the instructions on the IAC website at http://iac.dtic.mil/how_to_send_mipr.html.

Reference RMS Submittal ID# in description block of funding document (Block 9b in the DD Form 448).

Prepare a reimbursable (category I) or both reimbursable and direct cite funding (category I and II) MIPR to cover the required funding amount (initial increment for severable services or base period full funding for non-severable services, as described above), per the IGCE.

Address and send your MIPRs directly to: dtic.belvoir.rm.mbx.iac-mipr@mail.mil.

Direct all other financial inquiries and requests for MIPR acceptances (DD Form 448-2) to the DTIC-R Accounting and Finance Section at: dtic.belvoir.rm.mbx.iac-ipr@mail.mil.

Make every effort to include the MIPR with the requirements package. If, for some reason, funding is provided by another source and can’t accompany the requirements package, include as much information as possible on the MIPR and RMS number or the PWS title and CSC point of contact, so that the MIPR can be matched with the appropriate requirements package when it is received. A single funding document can apply to only one task order, however, a single task order can be funded by multiple funding documents. All funding documents (aka MIPRs) for an individual task order, even if generated by a source other than the customer (requesting) agency/RA must be emailed to DTIC from the customer (requesting) agency/RA. This ensures that the RA can manage and approve all agencies wishing to fund services on their order.

If during the proposal/negotiation process the cost of the task order is determined to exceed the original estimate and MIPR amount, the Contracting Officer will notify the RA that a MIPR amendment is required. The MIPR amendment must include both the amended task order amount (for funding the contractor’s work on the task order) and the amended CSDC amount to be paid to DTIC. If the task order is awarded for less than the IGCE, the customer may request that the difference be returned by a MIPR amendment.

d. Funding Document Submittal – Non DoD Customers For non-DoD customers, the process is identical to the one described above, except that non-DoD customers are not required to use the MIPR form, but may use their own form or format. Whatever form is used, it must contain the following information:

· Point of contact for billing purposes

· Title of the PWS and RMS # for task order being supported by this fund citation

· Appropriate IAC Contract Number

· Identification of the CSDC amount

· Amount of funds provided

· Fund citation if applicable

· Billing address

· Funds expiration date for obligation purposes

· Date the document is created/signed

· BPN - Business Partner Number: (Uniquely identifies a government entity for the purpose of intra-governmental transactions).

· TPN - Trading Partner Number: (Unique number that identifies Federal Agencies that acquire goods or services from or provide goods or services to another Federal Agency on intragovernmental transactions. All TPNs are registered by Federal Agencies in the Federal Register (FedReg) module of the Business Partner Network (BPN) as a part of the electronic government (eGov) Integrated Acquisition Environment (IAE) initiative).

· ALC - Agency Location Code: (A numeric symbol used to identify Federal Government entities (e.g., accounting offices, disbursing, and collecting offices). The agency's unique code must be specified in the funds transfer message in order for the funds to be correctly classified to the respective agency).

· Reference RMS Submittal ID# in description block of funding document (Block 9b in the DD Form 448).

e. Period Covered by Funds Obligation

Funds obligated on IAC task orders may “cross” fiscal years (i.e., performance of services that expend that funds beginning in one fiscal year and ending in the next) subject to appropriations law constraints. For one-year funds (for example, Operations & Maintenance), funds must be obligated in the year for which they were appropriated but the period of performance of the contract period (e.g. the task orders base period or option period) being funded by that line of accounting may not exceed 12 months from the date of obligation (see FAR 32.703-3(b)). For example, FY 19 one-year funds can be obligated through 30 September 2019. Assuming they are obligated on 30 September 2019, the contractor’s performance of services and/or delivery of equipment or supplies under the task order using those funds cannot occur beyond 29 September 2020. This provision does not apply to multi-year funds such as R&D, which must be used (expended) by the contractor within the same fiscal years for which the funds are appropriated. For example, FY18/19 two-year R&D funds can be obligated anytime between 1 October 2017 and 30 September 2019 but also cannot be performed/expended beyond 30 September 2019, regardless of when they were obligated.

7. Interservice and Interagency Agreements (DD1144) or General Terms and Conditions (GT&C) Section (FS Form 7600A)

DTIC requires that all task orders for non-DTIC RAs be supported by a written agreement between DTIC (servicing agency) and the customer (requesting) agency. This applies regardless of whether the customer is within or outside DoD. The agreement documents the service that the DoD IACs will provide to the customer RA in processing and awarding the task order on the customer’s behalf. Interservice Support Agreements (DD Form 1144) or General Terms and Conditions (GT&C) Section (FS Form 7600A) are used when the RA is within the Department of Defense and Interagency Agreements (IAA) is used when the RA is outside the Department of Defense. The IAC financial management website http://iac.dtic.mil/financial_mgmt.html provides detailed instructions and examples/templates for completing and submitting the agreement. All agreements shall be submitted with the rest of the task order requirements package to the assigned CSC point of contact. The IAC website is continually updated with the latest information applicable to this process, therefore that guidance is not repeated here and customers should reference the website.

Each task order must have one, and can have ONLY one, interagency or interservice agreement associated with it. The customer (requesting) agency is considered to be the RA for purposes of the task order. DTIC is unable to enter into three (or more)-party agreements where there is more than one customer (requesting) agency/RA signing the interagency agreement.

If multiple customer agencies will be obtaining services from, and/or contributing funding to, the same task order, one of them must agree to serve as the sole RA for the entire order. That sole RA is typically the agency/office that initiated the task order requirement with DTIC and must agree to sign the interagency/interservice agreement with DTIC, which documents the RA’s agreement and plan to: 1) acquire services and 2) forward funding commitments, for the entire estimated total amount of the task order, on behalf of all the RA’s partner activities and funding offices with which it is collaborating on the order. If one customer (requesting) agency cannot agree to perform in this role on behalf of the other users/funders on the order, then the requirements of each individual user/funder must be acquired on separate task orders, each with their own individual interagency/interservice agreement executed between the user/funder (aka customer/requesting agency) and DTIC. Each individual separate task order will be subject to all the requirements package content requirements and the ordering process detailed herein.

8. Security Classification Specification (DD254)

The IAC MAC contracts do not contain a contract-level DD254 Security Classification Specification. Any task order with a requirement for the contractor to provide cleared personnel and/or perform work or store materials at a cleared non-government facility must include a draft DD254.

The RA shall complete a draft DD254 that is customized to its PWS and provide it along with the rest of the requirements package. The RA shall include written confirmation, such as an email, to document that it coordinated the completion of the DD254 with the RA’s assigned Security Officer. The draft DD254 will be included in the FOPR released to the prime contractors, so offerors are aware of the applicable security requirements when bidding on the task order.

Just prior to the time of task order award, the Contracting Office will complete the DD254 task order-specific information such as the contractor’s name and CAGE code, place of performance, etc. Prior to award of any task order, the DD254 shall be signed by the RA’s Security Officer and the ACOR as an attachment to the award document.

9. Quality Assurance Surveillance Plan (QASP)

The DoD IACs and AFICA/KD have jointly developed a Master task order QASP to ensure that services acquired on the task order conform to the timeliness, quality, and quantity requirements set forth in the task order performance-based PWS. The RA must review this Plan prior to submitting their requirements package so that they fully understand their responsibilities prior to submitting a task order QASP; the ACOR will be required to sign the cover page of the QASP concurrent with task order award.

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