Please use the following two slides as a template for your presentation at NES. Where Do I Find it in the Contract? Session 304-FUND Mark Pearsall, CPPS, CPCM, CFCM, NCMA Fellow Director GS Property Operations ITT Exelis

Why Do I Need to Know How to Read the Contract Isn't it someone else's job? If it is important someone will tell me. We have always done it this way. 2

What is a Contract Black’s Law Dictionary: “An agreement, enforceable by law, between two or more parties, to do or not do something not prohibited by law, for a legal CONSIDERATION.” Federal Government procurement contracts are governed by the Federal Acquisition Regulations (FAR). 3

What is a Contract FAR FAR definition: “A mutually binding legal relationship that obligates the seller to furnish supplies or services (including construction) and the buyer to pay for them.” FAR – Federal Acquisition Regulation DFAR – Department of Defense Supplement 4

5 Contract Types The type of contract we enter into is based on the level of risk. The lower the customer risk the higher the contractor fee. As customer risk goes up fee goes down

What’s the Process? Requirement identified and documented Request for Proposal / Quote (RFP or RFQ) Type of contract specified here 6

What’s the Process? Analysis of RFP/RFQ – Proposal development and submission Negotiation (maybe) sole source, competitive, sealed bid issuance of contract /purchase order 7

The RFP Why Get involved up front…..??? How can you help? What portions of the RFP do you review? 8

Clauses and Requirements Limited Liability vs Full Liability Flow downs and consequences Allowable and Allocable. Reports (How often, content …) DoD vs other services (Registry, UID) 9

What would you do if…. The offeror shall identify the industry leading or voluntary consensus standards, and/or the industry leading practices, that it intends to employ for the management of Government property under any contract awarded from this solicitation. 10

What would you do if…. The offeror shall provide the date of its last Government property control system analysis along with its overall status, a summary of findings and recommendations, the status of any recommended corrective actions, the name of the Government activity that performed the analysis. 11

What would you do if…. The offeror shall identify any property it intends to use in performance of this contract from the list of available Government property in the provision at TBD. 12

What would you do if…. The offeror shall identify all Government property in its possession, provided under other Government contracts that it intends to use in the performance of this contract. The offeror shall also identify: the contract that provided the property, the responsible contracting officer, the dates during which the property will be available for use (including the first, last, and all intervening months (Part 1) 13

What would you do if…. and, for any property that will be used concurrently in performing two or more contracts, the amounts of the respective uses in sufficient detail to support prorating the rent, the amount of rent that would otherwise be charged in accordance with FAR , Use and Charges, and the contact information for the responsible Government contracting officer. The offeror shall provide proof that such use was authorized by the responsible contracting officer. Part 2 14

What would you do if…. The offeror shall disclose cost accounting practices that allow for direct charging of commercially available equipment, when commercially available equipment is to be used in performance of the contract and the equipment is not a deliverable. 15

What would you do if…. The offeror shall identify, in list form, any equipment that it intends to acquire and directly charge to the Government under this contract. The list shall include a description, manufacturer, model number (when available), quantity required, and estimated unit cost. 16

What would you do if…. The offeror shall disclose its intention to acquire any parts, supplies, materials or equipment, to fabricate an item of equipment for use under any contract resulting from this solicitation when that item of equipment: will be titled to the government under the provisions of the contract; is not included as a contract deliverable; and the Contractor intends to charge the costs of materials directly to the contract. 17

What would you do if…. Existing available Government property listed in the provision at N/A is provided "as is". The Government makes no warranty regarding its performance or condition. The offeror uses this property at its own risk and should make its own assessment of the property’s suitability for use. The equitable adjustment provisions of the clause at , Government Property, are not applicable to this property. 18

What would you do if…. Existing Government property may be reviewed at the following locations, dates, and times: 19

Types of Contracts. 20

21 Fixed Price FFP – Been there done that – we have produced this item or a similar item in the past. Contractor carries most risk ( ^ Higher contractor fee expectation) Low (customer) risk / High contractor fee

22 Cost Reimbursable and T&M CP / T&M – New development or a complex modification Customer carries most risk ( v lower contractor fee expectation) Higher (customer) risk / lower contractor fee

23 Contract Type and Property Cost – Normally the customer owns everything products and material Fixed price – Normally the customer only owns specific defined deliverables Wild card - Commercial Contracts, mixed contracts and Subcontracts

24 First page of the contract Contract Number Who it is from - Who it is to Defense Priorities & Allocations System (DPAS) rating (DX, DO, none) Start Date Contract Value

25 Who are we and where do we live Who – DUNS Number / Central Contractor Registration – Tax ID Where do we live – CAGE Code (could be down to building) – (This could be helpful for Govt Property personnel)

26 Where to find it in the contract PART I - THE SCHEDULE SECTION B - Supplies or Services and Price/Costs What SECTION B - Supplies or Services and Price/Costs SECTION C - Description/Specifications/Work Statement How SECTION C - Description/Specifications/Work Statement SECTION D - Packaging, Marking and Shipping SECTION E - Inspection and Acceptance SECTION D - Packaging, Marking and Shipping SECTION E - Inspection and Acceptance SECTION F - Deliveries or Performance Where and When SECTION F - Deliveries or Performance SECTION G - Contract Administration Data Property SECTION G - Contract Administration Data SECTION H - Special Contract Requirements May have Property SECTION H - Special Contract Requirements PART II - CONTRACT CLAUSES SECTION I - Contract Clauses Property Clauses SECTION I - Contract Clauses PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS SECTION J - List of Attachments Property list SECTION J - List of Attachments

27 Shall – Will – May ??? Shall - means the imperative – must do Will - means an expected course of action or policy that is to be followed unless inappropriate for a particular circumstance May - denotes the permissive

28 Still Not Sure Get an electronic copy of the contract/subcontract and do a word search on Property or 45 Ask the Contracts representative

29 Property – We’re here to help Just what are we delivering? – Know the product Where is it being produced? Know where and how the item is manufactured Who is making it – Know the people

30 Working Collaboratively Work with the programs – explain what is required then ask how you can help Carrot or the stick? “You need to give me” vs. “where can I find” Know the customer (internal and external)

31 Reach out ….. Know where to find the FAR/DFAR and other supplements (Hill AFB….many more) Don’t let others tell you what it says, read it yourself…then discuss it. Knowledge is power……

32 More Information The Government Contracts Reference Book: A Comprehensive Guide to the Language of Procurement, Third Edition, Soft cover Ralph C. Nash, Jr., Karen R. O’Brien-DeBakey, Steven L. Schooner, Vernon J. Edwards Written by noted government contracting experts, The Government Contracts Reference Book provides clear explanations of both general and agency-specific terms from the Department of Defense, General Services Administration, Department of Energy, NASA and others followed by a summary of where the term is used in the statutes or regulations dealing with the procurement process. Organized in an easy-to-use alphabetical format and fully cross-referenced, this essential reference will help you procure goods and services efficiently and with confidence.

33 Questions