L62 - Government Furnished Property Management Plan.pdf

PROCEDURE: GPCP-RMA-

001 REVISION: 1 TITLE:Government Property

Control Procedure EFFECTIVE DATE: January 30, ORIGINATOR: Rita Williams SIGNATURE: DATE:

REVIEWER: Brad Clingman SIGNATURE: DATE:

PROGRAM MANAGER: Anthony LaChance SIGNATURE: DATE:

NAVARRO RESEARCH AND ENGINEERING, INC.

ROCKY MOUNTAIN ARSENAL

GPCP-RMA-001 Revision 1: RMA GOVERNMENT PROPERTY CONTROL

PROCEDURE

1.0 Purpose

Navarro Research and Engineering Inc. (Navarro) is responsible for ensuring compliance with the provisions of the Prime Contract. This document outlines the basic Navarro requirements for the control and accountability of Government property in its possession.

2.0 Scope

The provisions contained herein are provided to ensure compliance with the Prime Contract clause 52.245-1 Government Property. This clause applies to all Government property in the possession of Navarro and their Subcontractors. These provisions delineate the basic requirements of the Federal Acquisition Regulation (FAR) Part 45, and they include the property classifications, definitions and provisions for property acquisition, receipt, identification (ID), records, physical inventory, utilization and maintenance, loss/damage reporting, and final disposition of residual property upon contract completion and/or termination.

3.0 References

Rocky Mountain Arsenal Operations and Maintenance Contract (OMC-II). Contract Number

W91CRB-23-F-0030 and subsequent Task Orders and contracts.

Federal Acquisition Regulation (FAR) Part 45

4.0 DEFINITIONS

4.1 Active Equipment

Equipment that is in continuous or intermittent use for the accomplishment of an assigned mission or task.

4.2 Calibration

3/8/2023

03/08/2023Rita Williams Digitally signed by Rita Williams DN: cn=Rita Williams, o=Navarro Research and Engineering, ou=Army Contractor, email=Williamsr@Navarro-inc.com, c=US Date: 2023.03.08 12:21:25 -07'00' c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=CONTRACTOR, cn=CLINGMAN.JOHN.B.1292017

Digitally signed by Anthony LaChance Date: 2023.03.08 12:10:02 -07'00'

3/8/2023

Control Procedure EFFECTIVE DATE: January 30, Comparison of an instrument of unverified accuracy with an instrument or measurement standard of known or greater accuracy to detect and correct any discrepancy in the accuracy of the unverified instrument.

4.3 Cannibalization

The authorized removal of components from material or equipment designated for disposal.

Cannibalization augments supply operations by providing assets not immediately available through the supply system.

4.4 Contractor-Acquired Property

Property acquired or otherwise provided by the Contractor for accomplishment of an assigned mission or task and to which the Government has title.

4.5 Damage

The impairment of the usefulness or value of the existing state of property not resulting from normal operation.

4.6 Destruction

The complete ruination or spoiling of property so that restoration is either physically impossible or not cost-effective.

4.7 Operations and Maintenance Contractor (OMC-II) Storage Facilities

Storage facilities that are maintained by Navarro’s Property Administrator (NPA). The storage facilities are locked when not in use to ensure the security of the equipment stored therein.

Equipment in storage is maintained in such a way as to prevent damage.

4.8 Consumable Property

Property that is consumed during normal usage or is merged into another entity when used for its intended purpose, including items such as administrative or housekeeping supplies.

4.9 Government-Furnished Property (GFP)

Property in the possession of or acquired directly by the Government and subsequently delivered or otherwise made available to Navarro.

4.10 Government Property

Property in the possession of, or directly acquired by, the Government and subsequently made available to the Contractor.

4.11 Loss

The act or instance of property loss due to theft or the unrecoverable misplacement of an item.

4.12 Material

Property that may be incorporated into or attached to a deliverable end item or consumed or expended for the accomplishment of an assigned mission or task. Material includes assemblies, Control Procedure EFFECTIVE DATE: January 30, components, parts, raw and processed materials, and small tools and supplies that may be consumed in normal use for the accomplishment of an assigned mission or task.

4.13 Nonconsumable Property

Personal property that has continuing use as a self-contained unit, which does not lose its identity when used, and does not ordinarily become a component of other equipment or plants.

4.14 Other Plant Equipment (OPE)

Plant equipment, regardless of the dollar value, used to manufacture components or end items relative to maintenance, supply, processing, assemblies, or research and development operations.

4.15 Preventive Maintenance

Maintenance performed on a regularly scheduled basis to prevent the occurrence of defects and to correct minor defects in order to mitigate the potential for serious negative consequences.

4.16 Property

All property, both real and personal, including facilities, materials, special tooling (ST) and special test equipment (STE).

4.17 Real Property (RP)

Land and rights in land, ground improvements, utility distribution systems, buildings, and other structures. Real property does not include foundations and other work necessary for installation of ST and STE.

4.18 Scrap

Property or material that has no value except for its basic material content. (Hazardous materials and precious metals are excluded.)

4.19 Pilferable Property

Property identified by the NPA requiring an extra level of security that needs to be in a lockable storage container. This property includes, but is not limited to, such items as power tools, cameras, and monitoring instruments.

4.20 Special Test Equipment

Either single or multipurpose integrated test units engineered, designed, fabricated, or modified to accomplish special-purpose testing for the accomplishment of an assigned mission or task.

Special test equipment consists of standard and general items, assemblies of equipment, and interconnected/interdependent components that become a new functional entity for special-purpose testing.

4.21 Special Tooling

Jigs, dies, fixtures, molds, patterns, taps, gauges, other equipment and manufacturing aids, and all components of these items and replacement of these items, that are of such a specialized nature that without substantial modification or alteration, their use is limited to the development or

Control Procedure EFFECTIVE DATE: January 30, production of particular supplies or parts thereof or to the performance of particular services.

5.0 DISCUSSION

5.1 Responsibilities

The Contractor, Navarro, is accountable for all Government property in Navarro’s and/or its Subcontractor possession until relieved of that responsibility in accordance with the terms of the contract. The Government shall provide a written release of accountability properly signed by an authorized official when all Government property has been properly dispositioned at the end of the mission or task’s period of performance.

5.1.1 Government Property Administrator (GPA)

A Government employee designated by the Contracting Officer (KO) or the Contracting Officer’s Representative (COR) to administer property for every type of cost-reimbursement or fixed-price contract in which Government property is involved. In some cases, the GPA may be designated by the KO or COR to be responsible for contractual decisions regarding Government property.

5.1.2 Navarro Property Administrator (NPA)

A Navarro employee who is responsible for all Government and Navarro property in the possession of Navarro. The NPA is responsible for the tracking, reporting, and disposition of Government property by Navarro. The NPA is also responsible for controlling access to Government property and monitoring the use and maintenance of Government property. The NPA maintains the central records for all accountable Government property in the possession of Navarro and its subcontractors and generates all contractually required Government property reports.

5.1.3 Navarro Project Controls Manager

A Navarro employee who is responsible for the maintenance of all contract records, including invoice records submitted to the client for payment, and may interface with the KO or COR to administer the contract when required.

5.1.4 Users of Government Property

The individuals, who operate, maintain, calibrate, store, transport, repair, consume, or otherwise use Government property. Users receive authorization to request, receive, and utilize equipment through the NPA, as required. All users are accountable to the NPA for the return, loss, damage, or destruction of Government property.

5.2 Acquisition of Government Property

5.2.1 General

Navarro shall acquire Government property either through requisition or transfer from Government sources, fabrication, or purchase when the property is contractually authorized.

When Government property is purchased by Navarro, the purchasing documents will reference a specific purchase order. All work orders for local fabrication (except ST or STE) shall be submitted to the KO, COR, or GPA for approval prior to fabricating the item. Acquisition of ST or

Control Procedure EFFECTIVE DATE: January 30, STE shall be in accordance with FAR 52.245-17, Special Tooling and 52.245-18, Special Test Equipment.

5.2.2 Acquisition of Consumable Property

The KO or COR must authorize any purchase order (PO) for consumable Government property that exceeds the simplified acquisition threshold as per Federal Acquisition Regulations (FAR) Part 13. If the contract establishes different limits, those contract limits shall be adhered to in order to meet the requirement of Government approval. If the property is not readily available from current stock or Government sources, Navarro’s Procurement Department may procure the material.

5.3 Receipt of Government Property

Only authorized Navarro personnel will sign for receipt of Government property. Payment for Government property will not be processed until a Receiving Report (RR) DA FORM 3161 or equivalent is received.

5.3.1 Identification of Government Property

Nonconsumable Government property shall be identified with a numbered tag by the NPA, so long as it can be adequately marked. Tags should be readily visible and attached to the main body of an item, but should not interfere with the normal operation of the equipment. After a piece of equipment has been tagged, the NPA will enter a tag number and a description of the item in the government property Excel spreadsheet within 3 business days. The information will also be entered into the Government Furnished Property module of the Procurement Integrated Enterprise Environment (PIEE)

5.3.2 Distribution of Receiving Reports

Once the NPA has reviewed all receiving documentation for accuracy and completeness, the NPA forwards the original packing slip and the RR to the Accounts Payable Department as evidence of receipt prior to invoice payment. When any hazardous materials have been received, the NPA will forward a copy of the Safety Data Sheet (SDS) to the Health and Safety Department and requisitioner and/or recipient.

5.3.3 Distribution of Property

After property is received and tagged, the NPA shall forward the property to the person identified for receipt. The Government Property Hand Receipt shall be used for tracking government property as applicable.

5.4 Records of Government Property

Government property receipt/movement documentation will be signed by authorized Navarro personnel.

Control Procedure EFFECTIVE DATE: January 30,

5.4.1 General

Navarro shall maintain records of all Government property transactions, including Government-furnished property, regardless of value, as well as property in the possession or control of a subcontractor. The property control system will provide the location of any item of Government property so that it may be located within a 24-hour period.

5.4.2 Property Condition

The condition of Government property shall be identified on the transfer documentation at the time of receipt and disposition. Condition codes are recorded on Form DD1348-1A or equivalent at the time of disposition.

5.4.3 Consumable Property

When consumable property is issued, it then becomes the responsibility of the recipient. It is the responsibility of consumable property users to reorder consumables when necessary. All consumable property users shall establish a reorder point to prevent shortages where applicable.

5.4.4 Nonconsumable Property

A record of all tagged, nonconsumable Government property shall be entered into an Excel spreadsheet by the NPA or designee.

Each time a property transaction takes place, the posting date will be recorded into the property records in the database.

5.4.5 Records of Scrap

The NPA will maintain records of all scrap or salvage. These records will contain the following:

Description Quantity Disposition

5.5 Shipping of Government Property

No GFP shall be removed from RMA or Army-leased property unless for calibration or maintenance.

During shipping of any Government property in the possession of Navarro, standard practices shall be used to prevent damage or loss. The person shipping the item shall be responsible for determining the need for and acquiring any permits and/or approvals for movement of Government property. The NPA shall notify the COR of any damage or loss of Government property during shipping or transfer activities.

When internal sources are being used for transportation, the Government Property Hand Receipt will be used to document the transfer or shipment of Government property.

For movement of Government property using an external source, (U.S. Postal Service, Federal Express) a “Requisition and Invoice/Shipping Document” Form DD1348-1A or equivalent must be completed and provided to the Navarro PA for disposition in conjunction with a Navarro

Control Procedure EFFECTIVE DATE: January 30, packing slip. Government property shall be shipped in a manner to prevent damage and properly preserve the item. All Government property transactions will be entered into the Government property database promptly.

5.6 Transfer of Government Property

Transfer of Government property between the Government and Navarro may be accomplished using the appropriate Form DD1348-1A or equvalent. Form DD1348-1A will be signed by the

COR.

5.7 Storage of Government Property

Navarro shall use standard storage practices that mitigate loss or damage to all Government property. Hazardous materials will be stored appropriately based on the type, quantity and hazards of the material. Navarro’s Health and Safety Department will be contacted on a case-by-case basis to determine appropriate storage measures.

Only authorized personnel will be provided access to Navarro storage facilities.

5.8 Keys

Keys in the possession of Navarro shall be controlled. When keys are not signed out to a specific person, the keys will be stored in a locked key box. Access to the keys and the responsibility for signing them out to individuals is the responsibility of the NPA or designee. All keys shall be returned to the NPA at contract or task order closeout, or upon employee termination. The NPA shall maintain a checkout log to identify those Navarro employees that possess keys to Government facilities.

5.9 Physical Inventories of Government Property

A physical inventory shall be performed annually and submitted to the COR within 30 days of completion. The method of inventory shall be to physically account for the location of all line items (100%). The NPA designee(s) will conduct the inventory. The NPA will assure inventory counts are accurate and that recounts are completed when necessary.

5.10 Government Property Utilization

Annual utilization reviews will be performed by the holder of government property to determine usage and consumption. During these utilization reviews, logs for items will be reviewed for excess. The results of the utilization reviews will be given to the COR no later than the 15th day of the month following the end of the previous year. Usage of like items is encouraged to prevent overuse and premature breakdowns of any single item.

5.11 Reports of Government Property

The following reports are required for the management of Government property: inventory results documented on an Excel spreadsheet and LDD reports according to contractual reporting requirements.

5.11.1 General

Control Procedure EFFECTIVE DATE: January 30, Navarro may be required to submit a variety of reports that will keep the Government apprised of the status of any Government property in the possession of Navarro. The NPA shall ensure the accuracy, completeness, and timeliness of such submissions.

5.11.2 Report of Government Property in the Custody of the OMC

Navarro shall submit an Excel spreadsheet to the COR for all Navarro Government contracts annually. The report must also contain a list of property in the custody of subcontractors. The data shall be reported by September 30 each year and shall show a zero balance for any contracts that were closed out during the year. The NPA will submit it to the COR no later than October 10 of the same year, or as directed in writing.

5.11.3 Loss, Damage, or Destruction Reports

Any loss, damage, or destruction of Government property in the possession or control of Navarro will be reported to the GPA using a Loss, Damage or Destruction (LDD) Report. The NPA shall maintain records containing data related to LDD of Government property under the Prime Contract. LDD reports and the associated documentation contain at a minimum the following information:

Contractor name Description and quantity of item Cost (for replacement or repair as applicable) Date and time of occurrence (on the incident report) Date of report to COR Cause or origin (on the incident report) Actions to prevent recurrence (on the incident report)

The LDD report(s) for equipment that is lost, damaged, or destroyed during the normal work cycle shall be submitted as LDDs occur or are discovered. To file these reports, a LDD Property Report form is used to submit the information required. LDD reports are not required for small tools that become worn, containers that break from continuous usage, or other equipment that becomes unusable for its original purpose due to typical work conditions. Upon determination by the NPA, the worn items will be turned in to Building 887 or the items will be shown as "issued and consumed" on the property records.

Any loss, damage, or destruction of Government property such as theft, accident, or negligence, shall be reported by the individual responsible for the property immediately to the NPA. An incident report must be completed by the responsible individual and a signed copy of the incident report shall be forwarded to the NPA. The NPA shall be responsible for contacting the COR.

Any loss due to theft or suspected theft must be reported immediately to the local police or Security Department (in order to complete a police report) by the individual discovering the occurrence or by the individual directly responsible for the property. An incident report must also be completed by the responsible individual and a signed copy of the incident report shall be forwarded to the NPA. The NPA will be responsible for contacting the COR.

No Navarro individual shall dispose of Government property that has been destroyed, nor shall any individual cannibalize any Government property except with the written approval of the COR.

Costs to cannibalize, urgency of need, and degradation to resale value of the end item should be considered in the determination to cannibalize.

Control Procedure EFFECTIVE DATE: January 30, Annually, the NPA will evaluate all Government property during the annual inventory and determine if the property can be retired without replacement or if the Government property is no longer usable. A report will be provided to the COR.

5.12 Maintenance of Government Property

5.12.1 General

Navarro shall be responsible for the proper care, maintenance, and use of Government property in its possession or control from the time of receipt. Navarro will maintain adequate facilities, equipment and appropriate technical publications as necessary to perform maintenance as appropriate. Maintenance records shall be maintained for each piece of Government property that requires regular maintenance. Maintenance records shall be maintained by the Infrastructure Department in coordination with the Navarro PA.

5.12.2 Preventive Maintenance

Navarro shall schedule and perform preventive maintenance on equipment in accordance with the required frequencies recommended in the manufacturer's service manual, technical bulletins (TB)/manuals, other pertinent directives, or historical data. Preventive maintenance records will be maintained by the infrastructure department. Defects discovered during these checks or during operation of the equipment shall be reported by the operator to the Program Manager/Department Manager immediately.

Navarro shall perform normal parts replacement required to forestall excessive wear, repair, malfunction, or deterioration of equipment during preventive maintenance to minimize downtime and maximize use.

When preventive maintenance is performed by other than Navarro personnel, Navarro shall ensure, to the best of its ability, that the maintenance is accomplished and that the equipment is in safe operating condition.

5.12.3 Corrective Maintenance

Navarro shall also perform, or arrange for the performance of, corrective maintenance (e.g., repair or overhaul) of Government equipment outside the scope of preventive maintenance.

Corrective maintenance shall be accomplished in accordance with the manufacturer's recommendations, TBs/manuals, other pertinent directives, or historical data.

Navarro shall provide a cost estimate and request approval from the COR to exceed the maintenance expenditure limit (MEL) of 40 percent of the current replacement price of the equipment when repair or overhaul of the equipment is required.

5.12.4 Calibration

Equipment calibration shall be performed in accordance with the factory requirements.

Information on any regularly scheduled factory calibrations to tagged equipment shall be updated in the Government property database.

5.12.5 Motor Vehicle Maintenance

Periodically scheduled preventive maintenance inspections shall be as prescribed by the manufacturer. The items to be included in each inspection shall be mandated by the commercial

Control Procedure EFFECTIVE DATE: January 30, vendor. Motor vehicle maintenance shall be performed or coordinated by Navarro at the garage in building 132 or offsite vehicle service shop.

5.13 Subcontractor Property Administration

Navarro shall perform surveillances over Government property in the possession of subcontractors and ensure to the best of its ability that the subcontractor complies with the provisions of the contract.

The NPA shall conduct a review of the subcontractor’s property control systems annually. The NPA may request that an on-site inventory and review of the records be performed at the subcontractor’s job site. The NPA will include subcontractor inventory reports for Government property valued at $5,000 or over in its annual utilization reports to the COR.

5.14 Disposition of Government Property

5.14.1 General

The NPA will complete documentation for disposition of all excess items. The NPA will assure the Navarro portions of the documentation are completed.

At the completion of each task order, all residual Government property shall be accumulated in storage areas to facilitate the completion of a final inventory. The storage areas will meet the requirements of Section 4.7 of this procedure. A Form DD1348-1A or equivalent will be completed and submitted to the COR as excess is identified for residual nonconsumable items.

If at any time during contract performance it is determined that any Government property is in excess of Navarro needs, the NPA will submit a Form DD1348-1A or equvalent to the COR promptly. Upon approval from the COR, Government Property will be dispositioned by the COR or government property book manager either through DLA Disposition Services. The NPA will generate the appropriate disposition forms and documentation.

At completion of the Contract, a 100% closeout inventory will be conducted.

NOTE: If the items turned in are computer CPUs or laptop computers, then each item must be accompanied by a certification form attached (as applicable), documenting that the hard drive has been deleted or destroyed. If the hard drive has been destroyed, it must be attached to the outside of the computer. The NPA then completes the Department of Defense Sanitation/Destruction of DOD Hard Drives form for transmittal to the DRMO. The certifications are filed with the appropriate transfer documentation.

5.14.2 Disposition of Scrap

All equipment, including scrap, will be turned in to the GPA (DLA Disposition Services) using Form DD1348-1A or equvalent.

6.0 TRAINING

Designated Navarro personnel will be trained to this procedure. Other personnel may receive training at the discretion of the NPA. Training may be conducted either in a classroom setting or as a reading assignment. Documentation of training shall be maintained by the NPA.

Control Procedure EFFECTIVE DATE: January 30,

7.0 RECORDS

Records generated as a result of the implementation of this procedure include, but are not limited to, the following:

Received Report Government Property Hand Receipt Equipment Maintenance Records Loss, Damaged, or Destroyed Property Report Form Key Checkout Log Requisition and Invoice/Shipping Document Inventory reports