FAR Fundamentals - Brent Owens

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1
The FAR and Beyond!
Federal Acquisition Regulation
S. Brent Owens
Procurement Center Representative
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The FAR…Friend or Foe?
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The FAR is Your Friend!
Get to Know it
“Life is tough…
It’s tougher if you’re stupid”
John Wayne
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The FAR is Your Friend!
• Used by all Federal Executive
agencies (supplies/services)
• Promotes fairness in the process
• Everyone plays by the same rules
• Applicable to Government officials ,
Contractors and the taxpayer
(Implemented in 1984 with the goal of creating a uniform structure for federal
contracting)
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The FAR is Your Friend!
• Implements laws, regulations,
policies (CICA, SBA, SCA, BAA, Drug Free
Workplace, Work hrs, Brooks Act…)
• Covers all phases of the Acquisition
Cycle
• Satisfy customer in terms of cost,
quantity, delivery
• Fulfill public policy objectives
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Federal Solicitations/Contracts
Provisions
Clauses
Forms
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Federal Solicitations/Contracts
Provisions
Clauses
Forms
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FAR Organization
• Table of Contents
Volume 1 (Parts 1-51); Volume 2 (Parts 52-53)
A.
B.
C.
D.
E.
F.
G.
General
Acquisition Planning
Contracting Methods/Contract Types
Socioeconomic Programs
Special Categories of Contracting
Contract Management
Clauses and Forms
• Topical Index
13
Parts of the FAR
(A part for everything!)
1.
2.
3.
4.
FAR System
Definitions
Conflicts of Interest
Administrative
Matters
5. Publicizing
6. Competition
Requirements
7. Acquisition Planning
8. Required Sources of
Supply
9. Responsible
Contractors
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Parts of the FAR
(A part for everything!)
10.Market Research
11.Describing Needs
12.Acquisition of
Commercial Items
13.Simplified
Acquisition
Procedures
14.Sealed Bidding
15.Contracting by
Negotiating
16.Types of Contracts
17.Special Contracting
Methods
18.(Reserved)
15
Parts of the FAR
(A part for everything!)
19.Small Business
Programs
20.(Reserved)
21.(Reserved)
22.Labor Laws
23. Environment,
Conservation,
Occupational Safety,
and Drug Free
Workplace
24. FOIA
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Parts of the FAR
(A part for everything!)
25. Foreign Acquisition
26. Other
Socioeconomic
Programs
27.Patents, Data,
Copyrights
28.Bonds & Insurance
29.Taxes
30.Cost Accounting
31.Cost Principles
32.Contract Financing
33.Protests, Disputes,
Appeals
34.Major Systems Acq
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Parts of the FAR
(A part for everything!)
35.R&D Contracting
36.Construction &
A&E Contracting
37.Services
Contracting
38.Federal Supply
Schedule
39.Acquisition of
Information
Resources
40.(Reserved)
41.Utility Services
42.Contract
Administration
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Parts of the FAR
(A part for everything!)
43.Contract
Modifications
44.Subcontracting
Policies
45.Government
Property
46.Quality Assurance
47.Transportation &
Packaging
48.Value Engineering
49.Termination of
Contracts
50.Extraordinary
Contractual Actions
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Parts of the FAR
(A part for everything!)
51.Use of
Government
Sources by
Contractors
52.Solicitation &
Contract
Provisions &
Clauses
53. Forms
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21
FAR Numbering
(FAR Part 1.105-2)
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FAR Numbering
(example)
Part 19 Small Business Programs
Subpart 19.5 Set-Asides for Small Business
Section 19.502 Setting Aside Acquisitions
Subsection 19.502-1 Requirements for...
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FAR Supplements
(The FAR and Beyond)
There are Agency Acquisition Regulations
Too!
• Referred to as “Supplements”
• Implement or supplement the FAR
• Coincide with the same Parts of the FAR
• Numbering is similar but with unique
prefixes for each agency
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FAR Supplements
(examples)
Department
Prefix
Supplement
Defense (DoD)
Air Force
Army
2
53
51
DFARS
AFFARS
AFARS
Veterans Affairs
Interior
Agriculture
8
14
4
VAAR
DIAR
AGAR
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FAR Supplements
(numbering example for DOD Supp )
Part 219 Small Business Programs
Subpart 219.5 Set-Asides for Small Business
Section 219.502 Setting Aside Acquisitions
Subsection 219.502-1 Requirements…
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FAR Supplements
(numbering example for DOI Supp )
Part 1419 Small Business Programs
Subpart 1419.5 Set-Asides for Small Business
Section 1419.502 Setting Aside Acquisition
Subsection 1419.502-1 Requirements…
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FAR Supplements
(FAR and AFFARS example)
19.704 -- Subcontracting Plan
Requirements.
(a) Each subcontracting plan required
under 19.702(a)(1) and (2) must
include –
(1) Separate percentage goals for using
small business (including ANCs and
Indian tribes), veteran-owned small
business, service-disabled veteranowned small business, HUBZone small
business, small disadvantaged business
(including ANCs and Indian tribes), and
women-owned small business
concerns as subcontractors;
5319.704 Subcontracting Plan
Requirements
(a)
(1) Small Business subcontracting
goals must be expressed in terms
of percent of contract value in
addition to percent of
subcontracted amount.
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FAR and Supplements
(Numbering Examples)
Prefix Part
Subpart
Section
Subsection
FAR
-
19
19.5
19.502
19.502-1
DFARS
2
219
219.5
219.502
219.502-1
AFARS
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5119
5119.5
5119.502
5119.502-1
VAAR
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819
819.5
819.502
819.502-1
DIAR
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1419
1419.5
1419.502
1419.502-1
AFFARS
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5319
5319.5
5319.502
5319.502-1
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FAR Provisions/Clauses
Part 52 of the FAR and all Supplements
• If the citation begins with 52.2 then
you are looking at a provision/clause
• Agency Supplements also contain
provisions and clauses
• Clause numbers identify the
applicable FAR part
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Provisions/Clauses
(examples)
Citation No
Regulation
Applicable FAR
part
19
52.219-14
FAR
252.217-7008
DFARS
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1452.233-2
DIAR
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52.219-27 Notice of Total Service
Disabled Veteran-Owned Small
Business Set-Aside
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FAR Clause Logic
52.219-27
Notice of SDVOSB Set-Aside
19.1407
Clause required as
prescribed by…
19.1405
SDVOSB Set Aside
Procedures…
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52.219-27 -- Notice of Service-Disabled
Veteran-Owned Small Business Set-Aside.
As prescribed in 19.1407, insert the following
clause:
Notice of Service-Disabled Veteran-Owned
Small Business Set-Aside (Nov 2011)
(a) Definition. “Service-disabled veteran-owned
small business concern”-…………………………………………………………
…………………………………………………………
(End of Clause)
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19.1407 -- Contract Clauses.
The contracting officer shall insert the clause
52.219-27, Notice of Service-Disabled VeteranOwned Small Business Set-Aside, in solicitations
and contracts for acquisitions that are set aside or
reserved for, or awarded on a sole source basis to,
service-disabled veteran-owned small business
concerns under 19.1405 and 19.1406…
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19.1405 -- Service-disabled Veteran-owned Small Business Setaside Procedures.
(a) The contracting officer-(1) Shall comply with 19.203 before deciding to set aside an acquisition
under the SDVOSB Program;
(2) May set-aside acquisitions exceeding the micro-purchase threshold
for competition restricted to SDVOSB concerns when the requirements
of paragraph (b) of this section can be satisfied; and
(3) Shall consider SDVOSB set-asides before considering SDVOSB
sole source awards (see 19.1406) or small business set-asides (see
Subpart 19.5).
(b) To set aside an acquisition for competition restricted to servicedisabled veteran-owned small business concerns, the contracting officer
must have a reasonable expectation that-(1) Offers will be received from two or more service-disabled veteranowned small business concerns; and
(2) Award will be made at a fair market price.
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Unique Government Clauses
52.249-x
52.243-x
52.233-1
52.232-x
52.246-x
52.211-x
52.211-x
Termination for Default/Convenience
Contract Changes
Disputes/Claims
Payments
Inspection and Acceptance
Liquidated Damages
Specifications
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Small Business Clauses
52.219-1
52.219-6
52.219-8
52.219-9
52.219-11
52.219-14
52.219-27
52.219-28
52.219-30
Small Business Program Representations
Notice of Total Small Business Set-Aside
Utilization of Small Business Concerns
Small Business Subcontracting Plan
Special 8(a) Contract Conditions
Limitations on Subcontracting*
Notice of SDVOSB Set-Aside
Post Award Small Business Rerepresentation
Notice of Set-Aside for WOSB*
*Changes forthcoming…
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Uniform Contract Format
(FAR 15.204-1)
Part I – The Schedule (A-H)
Part II – Contract Clauses (I)
Part III – List of Documents, Exhibits,
Attachments (J)
Part IV – Representations & Instructions (K-M)
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UCF-Part I
The Schedule
A. Solicitation/contract form
B. Supplies/Services, prices/costs
C. Description/Specifications/SOW
D. Packaging and marking
E. Inspection and acceptance
F. Deliveries or performance
G. Contract administration data
H. Special contract requirements
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UCF-Part II
Contract Clauses
I. Contract Clauses
• Many clauses are standard and in most
contracts…(usually by reference only)
• Some are unique and specific such as:
–
–
–
–
Type of Contract / Pricing Arrangements
Options
Limitations on Subcontracting
Progress Payments
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UCF-Part III
List of Documents, Exhibits, Attachments
J. List of Attachments
•
•
•
•
Drawings/Diagrams
Statement of Work
Performance Work Statement
Wage Determinations
(Generally no FAR clauses are identified in this
section of the solicitation/contract)
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UCF-Part IV
Representations and Instructions
K. Representations and certifications
L. Instructions to offerors
M. Evaluation factors for award
Critical to understand all requirements
within sections L&M!!
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Where’s the FAR?
Electronic Versions available:
http://farsite.hill.af.mil
http://acquisition.gov/far
Hard copies available:
Various publishing companies
Code of Federal Regulations-Title 48
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FAR Updates
“Limitations on Subcontracting”
52.219-14 (Current)
Services: 50% of the labor costs
Supplies: 50% of the labor costs
Construction: 15% or 25% of the labor costs
52.219-14 (Proposed)
Services: 50% of the contract (also includes *SB subs)
Supplies: 50% of the contract (also includes *SB subs)
Construction: TBD
*”Similarly Situated status at any tier”
2013 NDAA
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FAR Updates
“Non Manufacturer Rule”
52.219-6(d) (Current)
Non Manufacturer Rule applicable on contracts
exceeding $25,000
52.219-6(d) (Proposed)
Non Manufacturer Rule applicable on contracts
exceeding $150,000
2013 NDAA
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FAR Updates
“Notice of Set-Aside for WOSB”
52.219-30 (Current)
 Set asides available to all eligible WOSB (competition
limited to eligible WOSBs)
 Self Certification
52.219-30 (Proposed)
 Sole source awards to WOSB will become available
 Formal Certification will be required
2015 NDAA
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FAR Updates
“Mentor-Protégé Program”
(Current)
• Limited to only 8(a) business development program
participants
(Proposed)
• Open to all small businesses
• Would allow small business proteges to joint venture
with their large business mentors…
2013 NDAA
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Contact
Information
S. Brent Owens
U.S. Small Business Administration
Government Contracting, Area VI
6038 Aspen Ave, Building 1289 CE
Hill AFB, UT 84056-5805
(801) 775-4141
brent.owens@hill.af.mil
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