04-16
Procurement Notice
August 15, 2006
ACQUISITION PLANNING CHANGES: PROCUREMENT STRATEGY MEETING AND MASTER BUY
PLAN SUBMISSION
BACKGROUND: This PN revises the NASA FAR Supplement (NFS) to make
two changes related to acquisition planning.
1. The
Acquisition Strategy Meeting (ASM) described in NFS 1807.170 is re-titled
Procurement Strategy Meeting (PSM) as part of a revision in the NASA planning
process into three significant and discrete events: Acquisition Strategic
Planning (ASP), Acquisition Strategy Meeting (ASM), and the PSM. The ASP
and the ASM occur during the program and project approval and requirements
development processes. The ASP is used
to approve programs and significant projects for execution. The ASM is
program or project specific, more detailed than the ASP, and is conducted in
accordance with NPR 7120.5. The PSM is project or contract specific, and
is developed by the project manager, supported by the contracting officer, and
approved as prescribed in the NFS.
2. The
Master Buy Plan threshold is lowered to $10M for acquisitions when estimated
Exploration Systems Mission Directorate (ESMD) or Space Operations Mission Directorate
(SOMD) funding, or the combined estimated ESMD/SOMD funding, exceeds 50 percent
of the total value of the acquisition.
Centers must enter the acquisition into the Master Buy Database
(electronically) as soon as information becomes available on the
acquisition.
ACQUISITIONS
AFFECTED BY CHANGES:
Change
1. All new programs and projects that require a
PSM.
Change
2. All new acquisitions that exceed $10 million
when estimated ESMD or SOMD funding, or the combined estimated ESMD/SOMD
funding, exceeds 50 percent of the total value of the acquisition.
ACTIONS
REQUIRED BY CONTRACTING OFFICERS:
Comply with the acquisition planning changes specified in this PN.
CLAUSE
CHANGES: None.
PARTS
AFFECTED: Parts 1807, 1815, 1817, and 1819.
REPLACEMENT
PAGES: You may use the enclosed pages to
replace Part 1807, 15:7, 15:8, 17:9, 17:10, 19:3, and 19:4 of the NFS.
TYPE OF
RULE AND PUBLICATION DATE: These changes do not have a
significant impact beyond the internal operating procedures of NASA and do not have
a significant cost or administrative impact on contractors or offerors, and
therefore do not require codification in the Code of Federal Regulations (CFR)
or publication for public comment.
HEADQUARTERS
CONTACT: Ken Sateriale, Office of
Procurement, Contract Management Division, (202) 358-0491, email: ken.sateriale@nasa.gov.
Tom Luedtke
Assistant
Administrator for Procurement
Enclosures
DISTRIBUTION:
PN
List
PART 1807
ACQUISITION PLANNING
TABLE OF CONTENTS
SUBPART
1807.1 ACQUISITION PLANS
1807.103 Agency-head responsibilities.
1807.104 General procedures.
1807.105 Contents of written acquisition
plans.
1807.107 Additional requirements for
acquisitions involving bundling.
1807.107-70 Orders against Federal Supply Schedule
contracts or other
indefinite-delivery contracts awarded by
another agency.
1807.170 Procurement Strategy Meeting (PSM).
SUBPART
1807.2 PLANNING FOR THE PURCHASE OF SUPPLIES IN
ECONOMIC QUANTITIES
1807.204 Responsibilities of contracting
officers.
SUBPART
1807.5 INHERENTLY GOVERNMENTAL FUNCTIONS
1807.503 Policy.
SUBPART
1807.70 CONSOLIDATED CONTRACTING
1807.7000 General.
SUBPART
1807.71 MASTER BUY PLAN
1807.7100 General.
1807.7101 Applicability.
1807.7102 Submission, selection, and
notification procedures.
1807.7102-1 Submission of Master Buy Plan.
1807.7102-2 Submission of amendments to the
Master Buy Plan.
1807.7102-3 Selection and notification
procedures.
1807.7103 Format of Master Buy Plan.
SUBPART 1807.72 ACQUISITION FORECASTING
1807.7200 Policy.
1807.7201 Definitions.
1807.7202 Responsibilities.
1807.7203 Forecast data
.
PART 1807
ACQUISITION PLANNING
Subpart
1807.1--Acquisition Plans
1807.103 Agency-head responsibilities.
(d)(i) Except as provided in paragraph (d)(iii) of
this section, acquisition plans shall be prepared according to the
following:
(A)
For acquisitions requiring Headquarters
approval, by an Procurement Strategy Meeting (PSM) (see 1807.170);
(B)
For acquisitions not requiring Headquarters
approval and expected to exceed $10 million, by installation-approved PSMs or
written acquisition plans; and,
(C)
For acquisitions not expected to exceed $10
million, in accordance with installation procedures.
(ii) The estimated dollar amounts shall include
all options and later phases of the same program or project.
(iii) Acquisition
plans are not required for the following acquisitions:
(A) Architect-engineering services;
(B)
Broad agency announcements (see 1835.016) or
unsolicited proposals;
(C) Basic research from nonprofit organizations;
(D) Utility services available from only one
source;
(E)
From or through other Government agencies except when the value of the acquisition meets the Master
Buy Plan threshold (see 1807.7101(a)); or
(F) Industrial facilities required in support of
related contracts.
(iv) Acquisition
plans shall be approved before soliciting proposals.
(v)
Approval of an acquisition plan does not
constitute approval of any special conditions, or special clauses that may be
required unless the plan so specifies, and the individual having approval
authority is a signatory of the plan.
All required deviations shall be approved through the procedures
described in FAR 1.4 and 1801.4.
(vi) A single
acquisition plan may be used for all phases of a phased acquisition provided
the plan fully addresses each phase, and no significant changes occur after
plan approval to invalidate the description of the phases. If such significant changes do occur, the
plan shall be amended and approved at the same level as the original plan.
(e) Acquisition
plans should be prepared on a program or system basis when practical. In such cases, the plan should fully address
all component acquisitions of the program or system.
1807.104 General procedures.
(a) The
acquisition planning team shall obtain input from the center offices
responsible for matters of safety and mission assurance, occupational health,
environmental protection, information technology, export control, and security to ensure that all NASA acquisitions are
structured in accordance with NASA policy in these areas. As part of this process, the team shall recommend any appropriate solicitation or
contract requirements for implementation of safety, occupational health,
environmental, information technology, export control, and security
concerns. (See NPR 8715.3, NASA Safety
Manual; NPR 7120.5, NASA Program and Project Management Processes and
Requirements; NPR 2810.1, Security of Information Technology, and NPR 1620.1,
Security Procedural Requirements, all available at http://nodis3.gsfc.nasa.gov/).
1807.105
Contents of written acquisition plans.
Acquisition plans shall address each
applicable topic listed in FAR 7.105, as supplemented by
this section. Plans shall be structured
by subject heading using each italicized topic heading in the same sequence as
presented in the FAR. Subheadings should
be used when appropriate (e.g., the separate items under contracting considerations
at 7.105(b)(4)). Topics not applicable
to a given acquisition (e.g., design-to-cost and should-cost are not compatible
with service acquisitions), should be marked N/A. The requirements in FAR 7.105 regarding
performance-based acquisition methods shall not be limited to acquisition plans
for service contracts.
(a)(1) Describe in nontechnical terms the
supplies or services to be acquired.
Include quantities.
(a)(2) NPR 7120.5 shall be an integral
part of acquisition planning for programs and projects subject to its
requirements. If the NPR does not apply,
the acquisition plan shall clearly state that fact. If the NPR does apply, specify whether all
required NPR 7120.5 documentation is current and approved. If not, describe the approach for obtaining
approval or the authority to proceed without approval before release of draft
or final solicitations. For programs and projects under the NPR, all draft or
final solicitations subject to, or directly or substantially in support of,
those programs or projects shall clearly identify the program or project of
which they are part.
(a)(3) Identify the estimated cost and
describe the estimating methodology.
(a)(5) Specify the delivery or performance
period requirements separately by the basic contract, each option, and the
total. Provide supporting rationale,
which describes the relationship between the technical requirements and the
proposed period of performance, including the basis for the decision regarding
duration and the appropriateness of the inclusion of options.
(a)(7) Discuss project/program risks (see NPR 7120.5, NASA Program and Project
Management Processes and Requirements).
In addition to technical, schedule, and cost risks, the discussion shall
include such considerations as: safety and security (including personnel, information technology,
and facilities/property); the need to involve foreign sources (contractor
and/or governmental), and risks of unauthorized technology transfer (see NPD 2110.1E
and Export Control Program (http://www.hq.nasa.gov/office/oer/nasaecp/Welcome.html));
and resource risk, including the necessary level and expertise of NASA
personnel resources available to manage the project/program. For each area of risk identified, the
discussion shall include a quantification of the relative magnitude (e.g., high,
medium, low) together with the specific actions taken to structure the
acquisition approach to manage the risks throughout the acquisition
process. For example, this discussion
would identify those areas that have safety risk, discuss how safety is
addressed in contract requirements and evaluated in the source selection, and
how it will be managed and incentivized during contract performance. Decisions to accept, mitigate, track, and/or
research risk factors shall be identified and documented as part of acquisition
planning.
(a)(8) Streamlining applies to all NASA
acquisitions. Describe all planned
streamlining procedures.
(b)(3) Discuss the source selection approach
(trade-off, lowest price technically acceptable, combination of approaches) and
the rating method (numerical scoring, acceptable/unacceptable, adjectival) to
be used, how it will be used and why it is expected to result in the selection
of the best value to NASA. Address how
cost realism will be evaluated.
(b)(4)(A)
If an incentive contract is planned, describe the planned incentive(s) and
the anticipated effects.
(B)
Describe
subcontracting issues, including all applicable subcontracting goals. (See FAR
Part 19 and Part 1819.)
(b)(5)(A)
Identify the estimated cost separately by the basic contract, each option
and total amount.
(B)
Identify
the funding by fiscal year and NASA Structure Management project number.
(C)
Discuss
planned approaches to eliminate funding shortfalls (vs. the estimated cost).
(b)(6) Identify the type of work
statement/specification planned.
Specifically address the applicability of performance work statements
and the availability of commercial sources for the supplies/services.
(b)(10) Address contract management issues,
including --
(A)
Planned
delegations of administrative functions; and
(B)
When
contract changes are anticipated, the plan to manage such changes and the
specific measures that will be taken to minimize the issuance of undefinitized
contract actions.
(b) (20) If the period between release of solicitation
to contract award is more than 120 calendar days (180 days for formal SEB
competitions), explain why that goal cannot be met.
1807.107
Additional requirements for acquisitions involving bundling.
(c) Requests
for approval of proposed bundlings that do not meet the thresholds in FAR 7.107(b) must be sent to the Headquarters Office of Procurement
(Code HS).
(e)
The substantial bundling documentation requirements applies to each
proposed NASA bundling expected to exceed $5 million or more. The contracting officer must forward the
documentation along with the measurable benefits analysis required by FAR
7.107(b) to the Headquarters Office of Procurement (Code HS) in sufficient time
to allow a minimum of 10 days for review.
1807.107-70 Orders against Federal Supply Schedule
contracts or other indefinite-delivery contracts awarded by another agency.
The FAR and NFS requirements for
justification, review, and approval of bundling of contract requirements also
apply to an order from a Federal Supply Schedule contract or other
indefinite-delivery contract awarded by another agency if the requirements
consolidated under the order meet the definition of "bundling" at FAR
2.101.
1807.170
Procurement Strategy Meeting (PSM).
(a) The
PSM is an acquisition plan conducted through a meeting attended by all
interested NASA offices. The online
Guide for Successful Headquarters Procurement Strategy Meetings (PSMs) can be
found at the following URL: http://ec.msfc.nasa.gov/hq/library/PSMs.html. At the
meeting, the acquisition plan topics and structure specified in 1807.105 are
presented in briefing format, and formal written minutes prepared to summarize
the decisions, actions, and conclusions of the PSM members. The approved minutes, along with the briefing
charts, shall be included in the contract file to document completion of the
acquisition plan required by 1807.103.
(b) The
PSM is not a requirements definition meeting.
It is a meeting to seek approval for the proposed acquisition approach
for requirements that were previously defined and agreed to by the cognizant
offices.
(c) Headquarters
PSMs will be chaired by the Assistant Administrator for Procurement or
designee. The Headquarters Office of
Procurement (Program Operations Division) will prepare the minutes of Headquarters PSMs and distribute them to all
attendees for review prior to approval by the PSM chairperson.
(d) For
field installation PSMs, the minutes shall be approved in accordance with
installation procedures.
Subpart
1807.2--Planning for the Purchase of Supplies in
Economic Quantities
1807.204 Responsibilities of contracting officers.
(a) The
contracting officer shall transmit in writing to the cognizant inventory
management/requirements office either the actual offeror responses or a summary
of their salient points. The transmittal
should be made within five working days after the closing date for receipt of
offers; however, if a response indicates the potential for a significant
savings, it should be transmitted immediately.
Subpart
1807.5--Inherently Governmental Functions
1807.503
Policy.
(e) The
field installation requirements office shall provide the contracting officer the
written determination that none of the statement of work tasks are inherently
governmental. Disagreements regarding
the determination shall be resolved in accordance with installation procedures.
Subpart 1807.70--Consolidated
Contracting
1807.7000
General.
The Consolidated Contracting Initiative (CCI)
is NASA’s commitment to the cooperative creation and utilization of contracts,
whenever practicable, to meet common Agency needs. CCI aims at improving acquisition
efficiency by identifying and logically combining similar requirements. Complete information on the initiative, with
its implementation guidance, is available in the internet (http://prod.nais.nasa.gov/cgi-bin/cci/first.cgi).
Subpart 1807.71--Master
Buy Plan
1807.7100
General.
The Master Buy Plan provides information on
planned acquisitions to enable management to focus its attention on a
representative selection of high-dollar-value and otherwise sensitive acquisitions.
1807.7101 Applicability.
(a) The
Master Buy Plan applies to each negotiated acquisition, including supplemental
agreements, and acquisitions through or from other Government agencies, where the
dollar value, including the aggregate amount of options, follow-on
acquisitions, or later phases of multi-phase acquisitions, is expected to equal
or exceed $50,000,000.
(b) For
initial annual Master Buy Plan submission only, each installation shall submit
its three largest acquisitions regardless of dollar value and all acquisitions
over $50,000,000.
(c) The
procedure also applies to:
(1) Any
supplemental agreement that contains either new work, a debit change order, or
a credit change order (or any combination/ consolidation thereof), if the
absolute value of the actions equals or exceeds $50,000,000 (e.g., the absolute
value of a supplemental agreement adding $30,000,000 of new work and deleting
$30,000,000 of work is $60,000,000, and is therefore subject to the Master Buy
Plan).
(2) Any
supplement agreement that contains one or more elements (new work and/or
individual change orders) of a sensitive nature that, in the judgment of the
installation or Headquarters, warrants Headquarters consideration under the
Master Buy Plan, even though the value does not equal or exceed $50,000,000.
(3) Any
cooperative agreement notice where the total value (the Government's
contribution plus the contribution of the recipient) of any resulting
cooperative agreement is expected to equal or exceed $50,000,000.
(4) All new acquisitions excluding
supplemental agreements, where the total value is expected to exceed
$10,000,000, and the estimated Exploration Systems Mission Directorate (ESMD)
or Space Operations Mission Directorate (SOMD) funding, or the combined
estimated ESMD/SOMD funding, exceeds 50 percent of the total value of the
acquisition.
(5) Any
acquisition designated by NASA Headquarters regardless of its value.
(d) The
Master Buy Plan does not apply to incremental funding actions or termination
settlement agreements.
1807.7102
Submission, selection, and notification
procedures.
1807.7102-1
Submission of Master Buy Plan.
(a) Prior
to July 15th of every year, each installation shall submit to the Headquarters
Office of Procurement (Program Operations Division) a Master Buy Plan
(electronically) for the next fiscal year, listing every known acquisition that
(1) meets the criteria in 1807.7101, (2) is expected to be initiated in that
fiscal year, and (3) has not been included in a previous Master Buy Plan or
amendment to a Master Buy Plan.
(b) The
fiscal year Master Buy Plan shall list all uncompleted acquisitions selected
for Headquarters review and approval from prior Master Buy Plans and amendments
to Master Buy Plans. These acquisitions
should be listed by the appropriate fiscal year Master Buy Plan and individual
item numbers, and should indicate the current status of the individual
acquisition documents previously selected for Headquarters review and approval.
(c) Plans
shall be prepared in accordance with 1807.7103 and shall identify the
individual acquisition documents involved for every acquisition listed. Acquisition documents that may require
Headquarters approval will be held in abeyance until receipt of the
notification required by 1807.7102-3.
This is not to preclude the planning for or initiation of such documents
up to that point where Headquarters approval may be required.
1807.7102-2
Submission of amendments to the
Master Buy Plan.
(a) Acquisitions
identified by installations after submission of their Master Buy Plan and
meeting the criteria in 1807.7102-1(a) shall be submitted to Headquarters in
accordance with 1807.7103 and identified as an amendment to the fiscal year
Master Buy Plan submission.
(b) Master
Buy Plan submissions should not be accomplished after the fact. Amendments shall be submitted sufficiently in
advance of contract award date to allow Headquarters to select those
acquisition documents that will be subject to Headquarters review and approval
without creating an unacceptable delay in contract placement.
(c) When
timely submittal is not possible, the installation shall provide with the
amendment a narrative explaining the circumstances leading to the late submittal. A Master Buy Plan submission for a contract
change order expected to meet the criteria in 1807.7101 shall be submitted to
Headquarters immediately upon issuance of the change order.
1807.7102-3
Selection and notification procedures.
(a) The
Headquarters Office of Procurement (Program Operations Division) shall select
acquisition documents from the Master Buy Plan and amendments to Master Buy
Plans to receive Headquarters review and approval and shall designate source
selection officials.
(b) When,
subsequent to document selection or delegation, an acquisition is changed (for
example, increase or decrease in dollar amount, change in requirement),
canceled, superseded, deferred, or becomes no longer subject to the Master Buy
Plan procedures in accordance with the criteria in 1807.7101, the installation
shall immediately notify the Program Operations Division, giving the
reasons. The Program Operations Division
shall notify the installation's procurement office in writing of any further
action that may be required.
(c) Acquisition
documents not selected for Headquarters review will be subject to
after-the-fact reviews by Headquarters during normal procurement management
surveys or other special reviews. Acquisition delegations may subsequently be rescinded
if a Headquarters review is deemed appropriate.
1807.7103
Format of Master Buy Plan.
(a) In accordance with the requirements of
1807.7102-1 and 1807.7102-2, installations must prepare Master Buy Plans and amendments
to Master Buy Plans in accordance with the Master Buy Plan Database (MBPD) instructions at
http://www.hq.nasa.gov/office/procurement/regs/Table1807.doc and submit them in
accordance with the MBPD User Manual Instructions listed at http://ec.msfc.nasa.gov/hq/library/masterbuyplan.pdf.
(b) For those acquisitions subject to the MBP
pursuant to 1807.7101(c)(4), installations must include the following
information in the MBP Record Fields:
HQ
Funding Org: “HSFTP”
Status
Schedule: SOMD Funded_____ percent;
ESMD Funded____percent
Status
Schedule: HCA Authority
Recommendation: ESMD, SOMD or Center
In coordination
with the Mission Directorates and the cognizant Center, the HCA authority for
the new procurement will be determined and recorded in the MBP database by the
Office of Procurement.
Subpart 1807.72--Acquisition
Forecasting
1807.7200 Policy.
(a) As required by the Business Opportunity
Development Reform Act of 1988, it is NASA
policy to –
(1) Prepare an annual forecast and
semiannual update of expected contract opportunities or classes of contract
opportunities for each fiscal year;
(2) Include in the forecast contract
opportunities that small business concerns, including those owned and controlled
by socially and economically disadvantaged individuals, may be capable of
performing; and
(3) Make available such forecasts to
the public.
(b) The annual forecast and semiannual update
are available on the NASA Acquisition Internet
Service (http://www.hq.nasa.gov/office/procurement/).
1807.7201 Definitions.
"Class
of contracts" means a grouping of acquisitions, either by dollar value or
by the nature of supplies and services to be acquired.
"Contract
opportunity" means planned new contract awards exceeding $25,000.
1807.7202 Responsibilities.
(a) NASA
Procurement Officers shall post the data required by 1807.7203 directly to the
NASA Acquisition Internet Service not later than October 1 for the annual
forecast and April 15 for the semiannual update.
(b) The
Program Operations Division will manage policy and monitor compliance with the
NASA Acquisition Forecast process.
1807.7203 Forecast data.
(a) The
annual forecast shall contain --
(1) Summary
historical data (based on information provided by the Headquarters Office of
Procurement (Analysis Division and Program Operations Division) on the class of
contract opportunities below the simplified acquisition threshold;
(2) Identification
of all known contract opportunities in excess of the simplified acquisition
threshold. Each such action should be
identified as one of the three broad categories of acquisition -- Research and
Development, Services, or Supplies and Equipment and shall include the
following information:
(i) A brief description not to exceed ten typed
lines;
(ii) Approximate dollar value
within the following dollar ranges:
$100,000 to $1,000,000; $1,000,000 to $5,000,000; and over $5,000,000;
(iii) Anticipated time (by fiscal
year quarter) for the issuance of the solicitation;
(iv) Identification if it is reserved for
performance by small business concerns including those owned and controlled by
socially and economically disadvantaged individuals;
(v) Identification as competitive or
noncompetitive; and
(vi) Identification and telephone
number of a center point of contact.
(b) The
semiannual report shall be an update of the data provided by the annual
forecast. This update should provide information
on new requirements not previously reported and on changes in data related to
actions previously identified.