WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 1 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
Table of Contents
4G37.1 - Service Contracts – General ........................................................................................ 2
4G37.102 - Policy ................................................................................................................... 2
4G37.104 - Personal Services Contracts ................................................................................. 2
4G37.2 - Advisory and Assistance Services ............................................................................... 2
4G37.203 - Policy ................................................................................................................... 2
4G37.6 - Performance-Based Acquisition .................................................................................. 3
4G37.604 - Quality Assurance Surveillance Plans ................................................................. 3
4G37.7 - Stewardship End Results Contracting Projects ........................................................... 3
4G37.701 - Policy ................................................................................................................... 3
4G37.703 - Methods of Procurement...................................................................................... 4
4G37.704 - Determining Contract Value ................................................................................ 4
4G37.705 - Multi-Year Contracting........................................................................................ 4
4G37.708 - Coordination with Small Business Administration ............................................. 4
4G-37.708-1 - General ............................................................................................................ 4
4G37.708-2 - Bundling ............................................................................................................... 5
4G37.708-3 - Subcontracting Plans ........................................................................................ 5
4G37.708-4 - Preference Programs ......................................................................................... 5
4G37.709 - Labor Laws .......................................................................................................... 5
4G37.710 - Bonding................................................................................................................ 6
4G37.710-1 - Bid Bonds ......................................................................................................... 6
4G37.710-2 - Bonding for Construction ................................................................................. 6
4G37.710-3 - Bonding for Other than Construction ................................................................... 6
4G37.711 - Timber Payment Guarantee ..................................................................................... 6
4G37.716 - Contract Administration ...................................................................................... 6
4G37.716-1 - Contract Administration Team ......................................................................... 6
4G37.716-2 - Unique Stewardship Contract Administration Elements .................................. 6
WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 2 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
4G37.1 - Service Contracts – General
4G37.102 - Policy
The USDA Procurement Advisory 103 implements the Office of Federal Procurement Policy
letter 11-01 requiring the acquisition workforce to report the role that contracted services play in
achieving agency objectives. Refer to this advisory for specific direction regarding the Federal
Procurement Data System-Next Generation (FPDS-NG) coding and descriptors for specific
service contracts.
4G37.104 - Personal Services Contracts
(a) Refer to FAR 37.104 and AGAR 437.101 for guidance regarding personal service
contracts.
(b) Experts and consultants services may be procured under the authority and
limitations of 5 U.S.C. 3109 (http://uscode.house.gov/search/criteria.shtml), which
states when authorized by an appropriation or other statute, the head of an agency
may procure by contract the temporary (not in excess of 1 year) or intermittent
services of experts or consultants or an organization thereof, including stenographic
reporting services.
(c) Contracting Officers shall refer to the FAR 37.103, 37.104, 37.112, and AGAR
437.104 for additional considerations regarding personal service contracts and
contracts for private sector temporaries, such as the applicability of the Classification
Act and the requirement to coordinate some services contracts with the cognizant
Human Resources (HR) Management Office or local HR Liaison.
4G37.2 - Advisory and Assistance Services
4G37.203 - Policy
(a) Contracts for advisory and assistance services (CAAS) are those services
acquired by the Forest Service that directly support or improve Agency policymaking or program development or decision-making by providing opinions, analyses,
or recommendations to the Agency (FAR Part 2, Definitions). Contracting Officers
should consider limitations to contract services involving inherently governmental
functions described in FAR Subpart 7.5.
(b) Units shall comply with FAR 37.2, AGAR 437.203, and the USDA Procurement
Advisory 91 for CAAS and certain other professional services.
WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 3 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
4G37.6 - Performance-Based Acquisition
4G37.604 - Quality Assurance Surveillance Plans
Comply with FAR Subparts 37.604 and 46.401 for Government contract quality assurance
requirements.
4G37.7 - Stewardship End Results Contracting Projects
Section 8205 of Public Law 113-79, the Agricultural Act of 2014 grants the Forest Service and
the Bureau of Land Management permanent authority to enter into stewardship contracting
projects for up to 10 years with private persons or public or private entities, by contract or
agreement, to perform services to achieve land management goals for the National Forests or
public lands that meet local and rural community needs.
4G37.701 - Policy
The Forest Service Handbook 2409.19, chapter 60, also contains policy regarding stewardship
contracting.
(a) A Contracting Officer awarding stewardship contracts shall have an appropriate
warrant to cover the total contract value, complete stewardship training to meet the
specialty requirements (USDA Procurement Advisory 100), and receive a delegation
for the sale and disposal of timber and forest products in accordance with FSM 2404.
(b) Contracts awarded under the stewardship contracting authority shall:
(1) Be made using the best value process;
(2) Be solicited using full and open competition to allow for consideration of other
public and private entities, such as State and local governments, non-profit
organizations, or other nontraditional entities;
(3) Normally be multiple-year and multi-year contracts that may exceed 5 years, but
may not exceed 10 years;
(4) Use the value of timber, other forest products, or special forest products to offset
the cost of services received;
(5) Use bonding to protect the Government’s interests (see the FSH 2409.19,
sec. 65).
WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 4 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
4G37.703 - Methods of Procurement
Stewardship contracts involving the use of appropriated funds or retained receipts must be
procured under the guidance set forth in FSH 2409.19, chapter 62.1 and the FAR.
4G37.704 - Determining Contract Value
(a) Integrated Resource Service Contracts (IRSC) includes two distinct values that
affect the total contract value:
(1) Value of timber or other forest product specified in FSH 2409.14, chapter 40,
Timber Sale Preparation Handbook.
(2) Value of service/construction work permitted by the FSH 2409.19, section 61.2.
(b) The value of the stewardship contract is based on the sum of the timber or other
forest product value and the service/construction work.
4G37.705 - Multi-Year Contracting
The stewardship authority legislation allows entering into multi-year contracts for a period not
exceeding 10 years. A class Determination and Finding signed by the Head of the Contracting
Activity Designee (HCAD) for multi-year contracts is available at the Washington Office AQM
Procurement Policy Branch web page.
4G37.708 - Coordination with Small Business Administration
4G-37.708-1 - General
(a) Small business Administration (SBA) representatives should be invited and
encouraged to participate early in the stewardship process, from community
collaboration through proposal evaluation and contract award.
(b) Small business Administration resources should be utilized in identification of
local resources and potential offerors.
(c) Electronic copies of stewardship project solicitations must be forwarded to local
SBA offices for informational purposes.
WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 5 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
4G37.708-2 - Bundling
Contracting Officers shall fully comply with requirements related to bundling at FAR 19.2021(e). A Class Determination and Finding allowing bundling in stewardship contracts is available
at the Washington Office, Acquisition Management (AQM) Procurement Policy web page.
4G37.708-3 - Subcontracting Plans
(a) Contracting Officers shall comply with FAR Subpart 19.7, The Small Business
Subcontracting Program, for stewardship contracts with a value exceeding the
thresholds in the subpart.
(b) Coordination with the SBA during evaluation of proposals is expected, to ensure
complete and reasonable plans are included in contracts prior to contract award.
Provide SBA a copy of the award and subcontracting plan in compliance with FAR
Subpart 19.705-6.
(c) Contracting Officers shall take into consideration how the needs of rural and local
communities are represented in subcontracting plans, and are consistent with the
approach proposed by offerors in that respect, prior to contract award.
4G37.708-4 - Preference Programs
(a) Market research and community collaboration may reveal that non-traditional and
non-profit sources are capable and willing to compete for stewardship contracts.
(b) In order to reach non-profit organizations, the procurement should not be setaside for small business, HUBZone small business, Service Disabled Veteran-Owned
Small Business, or 8(a) small business concerns. Full and open competition should
be used on all stewardship projects. When full and open competition is NOT used,
the Forest Supervisor shall submit the rational to the Regional Forester.
(c) The Contracting Officer shall provide a procurement notification to the SBA on
the decision to advertise a stewardship under full and open competition utilizing
USDA Small Business Program – Procurement Request Review AD-1205. See
guidance on procedure for reporting.
4G37.709 - Labor Laws
Traditional service and construction contracts as well as integrated resource service contracts
(IRSCs) executed under the stewardship authority require compliance with the Service Contract
Act and Davis-Bacon Act at dollar levels specified in the (FAR) part 22 for all labor activities
under the contract, including the work related to timber or other forest product removal.
Additional requirements for labor-intensive contracts are in found FSH 6309.32, 4G22.
WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 6 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
4G37.710 - Bonding
4G37.710-1 - Bid Bonds
In accordance with FAR 28.101-1(c), the Head of the Contracting Activity Designee (HCAD)
hereby waives the requirement for offerors to submit a bid bond when submitting offers in
response to solicitations for integrated resource service contracts. This class Determination and
Finding waiver is located at the Washington Office, AQM Procurement Policy web page.
4G37.710-2 - Bonding for Construction
The Miller Act provisions and requirements apply to IRSC stewardship contracts involving
construction activities. Performance and payment bonds, or acceptable alternate payment
protections, must be provided in accordance with FAR 28.102. Bid bond requirements are
addressed at section 4G37.710-1.
4G37.710-3 - Bonding for Other than Construction
The Contracting Officer shall not require performance and payment bonds under FAR 28.103.
4G37.711 - Timber Payment Guarantee
Refer to FSH 2409.19, chapter 65.12b and FSH 6509.11k, and Washington Office, AQM IRSC
Templates for guidance and required language.
4G37.716 - Contract Administration
4G37.716-1 - Contract Administration Team
(a) The Contracting Officer will assemble a contract administration team in
accordance with the FSH 2409.19, chapter 60.
(b) Close coordination must be maintained with Forest Management staff throughout
the life of the contract to ensure product removal and land management work is
properly accomplished.
4G37.716-2 - Unique Stewardship Contract Administration Elements
(a) Contracting Officers are responsible to coordinate closely with Forest
Management and Financial Management staffs to carefully track the accumulation
and exchange of stewardship credits and to ensure the proper obligation and
distribution of appropriated funds, retained receipts, and stewardship credits under the
contract.
WO SUPPLEMENT 6309.32-2016-1
EFFECTIVE DATE: 03/22/2016
DURATION: This supplement is effective until superseded or removed.
6309.32_4G37
Page 7 of 7
FSH 6309.32 - FEDERAL ACQUISITION REGULATION
CHAPTER 4G37 - SERVICE CONTRACTING
(b) Contracting Officers shall monitor contract progress schedules and work plans to
assure progress on both product removal and service work is timely and payments are
appropriately distributed.
(c) Contracting Officers shall ensure all products are covered by advance payments
in the form of cash, a timber payment guarantee, or stewardship credits prior to
removal.