A Evaluation Factors D Pass/Fail 85% Weight S GRADES A- 67% B 93% Test Evaluation Factors S A- 67% D GRADES Unsatisfactory C

Agenda Source Selection Best Value Uniform Contract Format Evaluation Factors Questions

Source Selection The Source Selection Plan (SSP) is a plan that describes how the source selection will be organized, how proposals will be evaluated and analyzed, and how source(s) will be selected. An SSP is required for all best–value, negotiated, competitive acquisitions under FAR Part 15. The objective of source selection is to select the proposal that represents the best value (FAR 15.302). Designed to provide uniform guidance w/i DOD and simplify the Source Selection process. Far Part 15 Contracting by negotiations

The Concept of “Best Value” in Negotiated Procurement The entire effort involved in the acquisition process is directed toward the goal of obtaining “best value”. “Best value” means the expected outcome of an acquisition that, in the Government’s estimation, provides the greatest overall benefit in response to the requirement.

Uniform Contract Format (UCF) Found in Section M of the UCF, “Evaluation Factors for Award,”. Forms the basis for evaluating Offerors' proposals and is the only section of the solicitation that communicates to Offerors the criteria the Government will use to make the best value award decision. The results of the evaluation are considered by the SSA to determine which proposal(s) represents the best value(s) and should be selected for award(s). Pay special attention to Sections L(instructions To Offerers) and M of the application, as these outline the evaluation process of the solicitation

Evaluation Factors-Purpose Evaluation Criteria are measures that are used to gauge how well an offer meets the agency's requirements. They provide a means for comparing offers by weighing the relative worth in relation to the PWS.

The key to successful use of any evaluation factor is to establish a clear relationship between the PWS, Section L of the solicitation (either FAR Part 12 Acquisition of Commercial Item or Part 15 Contracting by Negotiation), and Section M of the solicitation (Evaluation Factors for Award). (Guidebook for the Acquisition of Services, 2012) The evaluation factors selected should link clearly with the PWS and represent those areas that are important to stakeholders or have been identified as high risk during risk analysis

Evaluation Factors Most important section to the source selection. Basis for how Offeror’s proposal will be evaluated through use of factors and sub-factors. Relationship between acquisition documents -Requirements set forth in Statement of Objectives, Statement of Work, Performance Work Statement, etc. Factors and/or sub-factors shall be the primary determinant of the detailed information requested in the solicitation’s instructions to Offerors. Subfactors must discriminate among the factors to which it is assigned. Subfactors must support meaningful comparison among & between competing proposals. The evaluation factors for award relate to program characteristics, discriminators and risks, and are often divided into factors and subfactors. Except for specific exemptions (e.g., source selections below the Simplified Acquisition Threshold or for which Lowest Price Technically Acceptable or Performance Price Tradeoff methods are used

Structure Clear: not subject to multiple interpretations, not ambiguous. Relative: all key elements of the project requirements must relate to the requirement definition and be covered by evaluation criteria. Discriminating: separate best, average and weaker proposals. Non-discriminatory: fair and reasonable. Realistic: given the nature or value of the contract. Measurable: must have distinguishing importance. Economical: use of the criteria should not consume an unreasonable amount of time or resources. Justifiable: make sense and can be justified on common sense, technical and legal basis; mandatory and heavily weighted criteria must be justified.

Factors Should Address: Compliance with contractual terms and conditions. The technical merit of the goods or services offered. The capability of the bidder to fulfill the requirement, including technical and management competence, financial viability, relevant skills, experience and availability of key personnel. Any mandatory criteria, such as those required by Instruction.

Evaluation Factors cont’d Must include their relative order of importance, and the importance of non-cost or price factors to cost or price factors within the solicitation in enough depth to communicate what will be evaluated. If subfactors are used, they are to be evaluated separately. The KO SHALL specify the relative order of importance of the factors in the solicitation. All source selections shall evaluate cost or price, and the quality of the product or services. The more subfactors involved and the more requirements you squeeze into a subfactor, the more complex and lengthy the evaluation process becomes. Proposals are also more detailed. Evaluation forms must be completed for each subfactor for each proposal submitted. The paperwork can become staggering if too many subfactors are selected or if they include too much. Stick to the key discriminators.

Evaluation of RFP Evaluations may be conducted using any rating method or combination of methods, including color or adjectival ratings, numerical weights, and ordinal rankings. The relative strengths, deficiencies, significant weaknesses, and risks supporting proposal evaluation shall be documented in the contract file

Common Factors Past Performance Cost Price Technical Acceptability Mission Capability (AF) Address the one use and why

Mandatory Factors Cost or Price. The Government shall evaluate the cost or price of the supplies or services being acquired. Quality of Product or Service. The quality of product or service shall be addressed in every source selection through consideration of one or more non-cost evaluation factors. Past Performance. shall be evaluated in all source selections for negotiated competitive acquisitions expected to exceed the simplified acquisition threshold. Small Business. Where required by FAR 15.304(c), FAR 19.1202, and DFARS 215.304(c)(i). (FAR 15.304(c)) FAR 15.304(c)(2), the quality of product or service shall be addressed in every source selection through consideration of one or more non-cost evaluation factors such as past performance, compliance w/ solicitation requirements, technical excellence, management capability, personnel qualifications, and prior experience. DFARS 215.304 -acquisitions that require use of the clause at FAR 52.219-9, Small Business Subcontracting Plan, other than those based on the lowest price technically

Limitations on the Use of Factors Limit the number of evaluation factors. It is the number of evaluation factors that determines the amount of information that must be obtained from competitors and processed by the government in order to reach a decision.

Past Performance Relevancy vs Performance Relevancy reflects whether contractors have performed similar work before. Past performance focuses on how well contractors performed the work and the satisfaction level of former customers (CPARS). (DOD Source Selection Procedures) Common aspects of relevancy include similarity of service/support, complexity, dollar value, contract type, and degree of subcontract/teaming how well the offeror performed those past contracts

Past Performace Relevancy Experience reflects whether contractors have performed similar work before. Past performance, on the other hand, describes how well contractors performed the work. Either past performance or experience can be considered as source selection factors or subfactors, where they can either stand alone or be considered under performance risk.

Eval Factor Examples Factor 1: Mission Capability Subfactor 1: Load Capacity Subfactor 2: Systems Engineering Subfactor 3: Cruising Speed Subfactor 4: Small/Small Disadvantaged Business Participation Factor 2: Past Performance Factor 3: Cost/Price The use of factors/ subfactors should be limited to those key criteria that will help the KO discriminate among Offerors and reduce risk in a best value decision.

Exceptions Competitions where the only evaluated factor is price Basic research and acquisitions where Broad Agency Announcements (BAA) are used iaw FAR Part 35 to solicit proposals and award contracts, Small Business Innovative Research (SBIR), Small Business Technology Transfer Research (STTR) and Small Business Technology Transfer (SBTT) acquisitions solicited and awarded in accordance with 15 United States Code (U.S.C.), Section 638. Architect-engineer services solicited and awarded in accordance with FAR Part 36 9Construction) FAR Part 12 Streamlined Acquisitions, Acquisitions using simplified acquisition procedures in accordance with FAR Part 13 Orders under multiple award contracts – Fair Opportunity (FAR 16.505 (b)(1)) Acquisitions using FAR subpart 8.4. Exemption to the use of evaluation factors.

References http://acqnotes.com/acqnote/tasks/evaluation-criteria Assistant Secretary of the Navy (RD&A), March 2007, “Department of the Navy Acquisition Plan Guide.” Assistant Secretary of the Navy (RD&A) memo of March 12, 2013, “Navy Compliance with Requirements to Document Contractor Past Performance.” Defense of Defense Guidebook for the Acquisition of Services. (2012, June 5). Retrieved March 01, 2016, from https://acc.dau.mil/adl/en-US/472568/file/69670/Services%20Acquisition%20Guidebook%206_5_2012.pdf Department of Defense Source Selection Procedures. (2011, March 4). Retrieved March 02, 2016, from http://www.acq.osd.mil/dpap/policy/policyvault Edwards, V. J. (2006). Source Selection Answer Book (2nd ed.). Vienna, VA: Management Concepts. Evaluation Criteria and Scoring Method. (2008, February 8). Retrieved March 1, 2016, from http://www.its.state.nc.us/itprocurement/ WoltersKluwer (2015). Federal Acquisition Regulation - FAR: As of 07 /2015. Chicago, IL: CCH Incorporated. Under Secretary of Defense (AT&L), May 2003, “A Guide to Collection and Use of Past Performance Information.”

Questions