Technical Engineering Branch

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MVDs PRIVATE SECTOR CONTRACTING PROGRAM
Terry S. Smith October 21, 2003
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PROCESS

• HQUSACE provides Integrated Command Guidance
  and monitors
• MVD establishes Division and District target
  goals and monitors
• Districts develop plan and execute

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PROGRAM

• POLICY - Maintain a balanced program of in-house
  and contract work on all phases of the Civil
  Works program.
• Planning, Engineering, and Design Phases -
  In-house work sufficient to maintain technical
  expertise to
• Define Work
• Manage Work
• Review the Work of Architect-Engineer Contractors

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PSC GOALS

• Command Guidance for MSCs Floor 30
• MVD
• FY 01 35
• FY 02 40
• FY 03 40
• FY 04 40

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USACE Policy Update

• SF 330
• ER 715-1-21

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SF 330

• Published in Federal Register, September 25,
  2003
• Merges SFs 254/255 into one form.
• Deletes duplicate information.
• Expands essential information about a firms
• qualifications, experience, disciplines, and
• technology.
• Facilitate electronic usage.
• Estimated implementation (March or April 2004)

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ER 715-1-21 Electronic Contract Solicitations

• ECS is an electronic process for advertising and
  distributing contract solicitation documents.
• ECS is a component of electronic commerce
  developed to lower purchasing costs, reduce cycle
  time, and improve customer service by leveraging
  the the Internet and other information
  technologies.

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A/E Responsibility Management Program AERMP
AERMP is a formal process for holding A/E firms
accountable for their work and recovering damages
to the Government caused by A/E firms.
EP 715-1-7 31 July 2002
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Goals of the AERMP

• Maintain and Improve the Quality of A/E Services
  and Products.
• Hold A/E Firms responsible for their work and to
  Recover damages

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A/E Liability for Damages

• Did the firm make an Error or Omission?
• Did the Error or Omission result from the firms
  
• negligence, or from a breach of contractual
  duty?
• Has the Government suffered damages as a result
  of
• the error of omission?

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A/E Liability Process

• Notification and Corrective Design
• A/E firm notified
• Request Corrective Design
• Financial Responsible
• Corrective Design by the Government
• Implementation of Corrective design
• Limits on Construction Activities
• Documentation of Deficiency.

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A/E Liability Process

• Determination of Damages
• Damages are additional costs to the Government
  that has occurred
• Or, Will incur in the future
• Investigation of Liability
• Define the Errors or Omissions
• Findings-of-Fact
• Letter of Intent, Negotiation by AERC, Demand
  Letter
• Negotiation and Contracting Officers Decision
  (COD)
• Settlement

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REPORTING
Customers and Partners will be regularly apprised
of the status of A/E liability actions on their
projects.

• Districts will submit a quarterly report to their
  MSC on the status of all A/E liability cases.
• MSC will submit an annual report to HQUSACE

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A-E LIABILITY

• FY 03 1
• FY 02 0
• FY 01 0
• FY 00 1

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Questions ??