1. 1 Where Do I Find it in the Contract? Understanding Government Contracts for the Property Manager: Part 1 of 2 C-200-INT NPMA

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). 2

3. What is a Contract FAR FAR 2.101 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 3

4. 4 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

5. What’s the Process? Requirement identified and documented Request for Proposal / Quote (RFP or RFQ) Type of contract specified here 5

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 6

7. Types of Contracts. 7

8. 8 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

9. 9 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

10. 10 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 and Subcontracts

11. 11 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 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

12. 12 Shall – Should – May ??? Shall - means the imperative – must do Should - means an expected course of action or policy that is to be followed unless inappropriate for a particular circumstance May - denotes the permissive

13. 13 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

14. 14 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)

15. 15 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

16. 16 Part of the problem or part of the solution? 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)

17. 17 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.

18. 18 Questions