Simplified Acquisition Procedures SAP

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Simplified Acquisition Procedures(SAP)

• Presented by
• Tracy Sheehan
• Operational Contracting
• Laura Jacques
• Government Purchase Card
• Hanscom Air Force Base
• 12 Mar 2008

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How Important Is Operational Contracting?
AND
How Important is Operational Contracting to
Simplified Acquisitions?
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The Contracting Officers Environment
Business Advisors
DYNAMIC
Priced Based Acquisition
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We are Business Advisors

• Experts in acquisition reform
• Identify best business practices
• Implement best practices
• Promotes contractor efficiency
• Teaming arrangements with Contractors

• Influence regulatory improvements
• Reduce paperwork
• Fiscal constraints
• Maintain quality
• Transition workforce to best practices

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SIMPLIFIED ACQUISITION PROCEDURES

• Purpose (FAR 13.002)
• Improve opportunities for small, small
  disadvantaged, and women-owned business concerns
• Avoid unnecessary burdens
• Promote efficiency and economy in contracting
• Reduce administrative costs

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SIMPLIFIED ACQUISITION PROCEDURES

• Thresholds (FAR 13.003)
• Micro-purchases less than 3,000
• Acquisitions over 3,000 less than 100,000
• Commercial Acquisitions over 3,000 to
  5,500,000
• Applicable to solicitation estimates and award
  value (You cant go back)
• Breaking Down Splitting requirements is
  prohibited
• Similarly its improper to enter into a series of
  small
• purchases to fulfill the needs

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SIMPLIFIED ACQUISITION PROCEDURES

• Purchase a wide spectrum of products
• Sophisticated Weapon Systems
• Construction, Commodities, and Services required
  to operate installations
• Supports the Warfighter - Contingency Deploy.
• Entrusted with obtaining
• Fair Reasonable Price/Best Value
• Must get what we pay for and we
• Must retain publics confidence

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SIMPLIFIED ACQUISITION PROCEDURES

• METHODS
• Government Purchase Card/Check
• Purchase Order
• Unpriced Purchase Order
• Blanket Purchase Agreement (BPA)
• Imprest Funds
• SF 44, Purchase Order Invoice-Voucher

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SIMPLIFIED ACQUISITION PROCEDURES

• Government Purchase Card
• Authorized for use in making and/or paying for
  purchase of supplies, services, or construction
• The card may be used to
• Make Micro-Purchases
• Place a task or delivery order (if authorized in
  the basic contract, basic ordering agreement, or
  blanket purchase agreement)
• Make payments, when the contractor agrees to
  accept payment by the card
• More to follow on this Acquisition Method at the
  end my briefing

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SIMPLIFIED ACQUISITION PROCEDURES

• Purchase Order
• Need to contain a determinable delivery date
• Provide for inspection as prescribed in FAR Part
  46
• Specify f.o.b. destination for supplies delivered
  in the U.S.
• Include any prompt payment discounts
• Need to specify the quantity of supplies or scope
  of services
• Electronic Funds Transfer (EFT) is required for
  payments
• Generally issued on a Firm Fixed Price basis for
  acquisition of commercial items and services

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SIMPLIFIED ACQUISITION PROCEDURES

• Unpriced Purchase Order
• An unpriced Purchase Order is an order for
  supplies or services, the price of which is not
  established at the time of issuance of the order
• May be used only when
• it is impractical to obtain pricing in advance of
  the issuance of the order
• purchase is for repairs to equipment requiring
  disassembly to determine extent of repairs
• exact prices are not know (e.g., misc. repair
  parts, maintenance agreements)
• A realistic monetary limitation shall be placed
  on the order, it is considered an obligation,
  SUBJECT TO, adjustment when the firm price is
  established

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SIMPLIFIED ACQUISITION PROCEDURES

• Blanket Purchase Agreements
• Simplified method of filling anticipated
  repetitive needs for supplies or services
• BPAs may be established
• Preferably with multiple suppliers to provide the
  maximum practicable competition
• A single firm which numerous individual purchases
  at or below the simplified purchase threshold
  will likely be made in a given period
• Federal Supply Schedule contractors, if not
  inconsistent with the terms of the applicable
  schedule contract
• BPAs should be prepared without a purchase
  requisition and only after making arrangements
  for discounts, terms and conditions

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SIMPLIFIED ACQUISITION PROCEDURES

• Blanket Purchase Agreements (Cont)
• Preparation of BPAs
• Description of agreement, described in general
  terms, for a specified period and within a
  stipulated aggregate amount, if any
• Extent of Obligation
• Purchase limitation - for each individual
  purchase
• Individuals authorized to purchase under the BPA
  
• Individual purchases shall not exceed the
  simplified acquisition threshold
• Use a BPA only for purchases that are otherwise
  authorized by law or regulation
• Once established follow review procedures
  annually
• A BPA is considered complete when the purchases
  equals the dollar limitation or if the stated
  time period expires

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SIMPLIFIED ACQUISITION PROCEDURES

• SF 44, Purchase Order Invoice-Voucher
• Multipurpose order form designed primarily for
  on-the-spot, over-the-counter purchase of
  supplies and services while away from the
  purchasing office OR at isolated activities

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Responsibilities of the Contract Specialist/PCO
for Simplified Acquisitions

• Acquisition Planning
• Determine proper acquisition procedure
• Identify Sources
• Market Research
• Coordinate w/Small Business Office
• Sole Source Determinations
• Review Specifications

• Determine Evaluation Factors
• Determine Method of Solicitation
• Perform Evaluations
• Promote Competition
• Negotiate Best Value
• Make Timely Awards
• Perform Debriefings
• Perform Contract Admin

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Responsibilities of the Contractor for
Simplified Acquisitions

• Past Performance
• Have necessary Licenses/Permits
• Adequate financial resources
• Satisfactory record of integrity and business
  ethics
• Central Contractor Registration (CCR)
• Accept Credit Card/EFT

• On-line Representation and Certifications (ORCA)
• Have the necessary organization, experience,
  accounting operational controls technical
  skills or ability to obtain them
• Be otherwise qualified and eligible to receive
  award under applicable laws/regs

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SIMPLIFIED ACQUISITION PROCEDURES

• MICRO-PURCHASES
• Procedures
• Used for supplies - less than 3,000
• Shall be distributed equitably among suppliers
• May award without soliciting competitive quotes
  if the contracting officer considers the price to
  be reasonable.
• Take action to verify price only when
• comparison against previous purchases are not
  similar and were not competed
• information exists to indicate price is not
  reasonable

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SIMPLIFIED ACQUISITION PROCEDURES

• Competition (FAR 13.104)
• Promote competition to the Maximum Extent
  Practicable
• Prohibits exclusion of interested sources
• Sole Source procurements authorized by
  Contracting Officer (CO)

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SIMPLIFIED ACQUISITION PROCEDURES

• Procurement Notices
• Not required if less than 10,000
• Public display required if greater than 10,000
  and less than or equal to 25,000
• Synopsize in Fed Biz Ops if greater than
  25,000
• 15 calendar days prior to issuance of
  solicitation
• A combined synopsis/solicitation may be used if
  the item is commercial

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SIMPLIFIED ACQUISITION PROCEDURES

• Submission of Quotes/Offers
• CO discretion for time/manner of responses
• Must establish deadlines for submissions to
  afford all reasonable opportunity
• Must ensure fair and equitable treatment
• Remember a quotation is not an offer and cannot
  be accepted by the Government to form a binding
  contract

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SIMPLIFIED ACQUISITION PROCEDURES

• Evaluation Factors
• Price alone
• Price and other factors (e.g. past performance,
  quality - should be efficient and minimally
  burdensome)
• Best Value determination encouraged
• Solicitation must state Basis of Award

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SIMPLIFIED ACQUISITION PROCEDURES

• Award (FAR 13.106)
• Price must be Fair and Reasonable
• If only one response received you must document
  file
• Market research, price comparison, price lists,
  catalogs, advertisements
• Inclusion on a price list does not establish Fair
  and Reasonable price

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SIMPLIFIED ACQUISITION PROCEDURES

• Notice and Debriefing
• Notice of award required if award is greater than
  25,000
• Published In Fed Biz Ops
• Debrief provided only if requested

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Required SourcesFAR Part 8

• Federal Prison Industries (UNICOR)
• Highly encouraged not mandatory (FAR 8.602)
• Javits-Wagner-ODay Act (JWOD)
• Committee for the Purchase from People Who are
  Blind or Severely Disabled
• Federal Supply Schedules (FSS)
• DoD is NOT a mandatory user (DFAR 208.4)

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Termination or Cancellation of Purchase Orders

• Commercial Items - Orders are generally
  terminated for convenience only when in the best
  interest of the Government FAR Part 12.403(d)
  and 52.212-4(1)
• Non-Commercial Items are terminated in accordance
  with FAR Part 49 and 52.213-4 - in other words
  the purchase order is treated the same as if were
  a contract

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Government-Wide Purchase Card Program
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Contacts at Hanscom AFB

• Laura Jacques
• Government Purchase Card Agency
  Organization Program Coordinator
• [phone]
• Kevin MacDonald
• Alternate Agency Organization Program
  Coordinator
• [phone]

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What is the Purchase Card?

• Simply put, its a VISA card
• Government Purchase Card
• Contract between GSA and U.S. Bank
• Used, primarily, for micro-purchases
• Purchases lt3000
• Prepriced government contracts are exceptions

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WHAT GOVERNS THE PURCHASE CARD
PROGRAM?

• FAR
• GSA CONTRACT
• AFI 64-117
• AFI 65-601 v1

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AFI 64-117, Para. 3.2.DOLLAR LIMITS

• Single Purchase
• Monthly Cardholder
• Funding Document
• Will show up as a quarterly limit

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What is the Money Spent On?

• Homeland Defense
• Computers, Software and Computer Equipment
• Construction under 2000
• Office Supplies
• Furniture
• Electronics
• Nonpersonal Services

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Cardholder Expectations of Vendors

• Prompt processing of charges
• Prompt delivery/service
• Quick resolution of problems
• FOB destination pricing
• Ensuring items are covered by a government
  contract if purchase exceeds 3,000

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Cardholder/Checkwriter Responsibilities

• Maximizing competition
• Fair and reasonable pricing
• Training
• Tracking delivery and warranty
• Follow all simplified acquisition procedures as
  identified in FAR Part 13
• Equipment accountability
• Buying Green
• IRS reporting/withstand audits

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Program Information

• Cardholders
• Approving Officials
• Training
• Access on Line
• Surveillances

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Responsibilities

• Approving Official
• Routine Oversight
• Cardholder
• Proper Use

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Surveillances

• 100
• IAW AFI 64-117 Purchase Card Regulation
• Mandatory Sources
• Documentation
• Purchases gt3,000
• Split Purchases
• Abuses

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Paragraph 4.3.3.6.1.SURVEILLANCE

• Approving Officials accomplished at least
  annually
• 25 of Cardholders assigned to Approving Official
  annually
• Approving Officials shall review 100 of their
  Cardholders annually
• Check accounts annually
• New Card Holders within 3 mo. by Approving
  Official

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Benefits to Vendors

• VISA capable vendors are preferred suppliers
• FAST Payment
• Usually 24 hrs
• Maximum 3 calendar days
• Bypass invoicing process, thus bypassing DFAS
• Dealing directly with end user/customer

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AFMC Hot Interest Item
Current Process
Local Store
Web
Phone Call
Cardholder Does Market Research
Requestor states need
GSA Advantage Process
Cardholder Buys/Approves Order
Requestor Does Market Research
GSA Advantage
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QUESTIONS?