1. Acquisition University Competition Management Office
JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN COMPETITION Market Research/ Commerciality Determination
Acquisition University
Presented by
Competition Management Office
January 2004

2. Course Objectives
Provide guidance and instruction on how to prepare quality J&As
Provide guidance and instruction on how to prepare quality Market Research Report/ Commerciality Determinations (MRR/CD)

3. Competition Management Our Mission
Management of a comprehensive competition program
Responsive cost-effective spare parts acquisition program
Commercial/Non-developmental Item Program

4. Competition Advocate
Public Law : Competition in Contracting Act (CICA), Each MSC shall have an Advocate for Competition responsible for challenging barriers and promoting full and open competition while challenging specifications and restrictive need statements.
Public Law : Federal Acquisition Streamlining Act (FASA), Advocates for Competition …shall promote the acquisition of commercial items …and challenge burdensome contract clauses.
Public Law : Federal Acquisition Reform Act (FARA), …shall ensure that the requirement to obtain full and open competition is implemented in a manner that is consistent with the need to efficiently fulfill the Government’s requirements.

5. Who We Are Mr. Wade Griffin- Manager - Competition Advocate
Ms. Rebecca Pratcher- Alternate Competition Advocate
Ms. LaQuandis Baldwin- Clerk
Mr. Victor Kerns- Alternate Competition Advocate/ General Engineer
Mr. Shelley Muhammad- Logistics Mgmt Specialist
Ms. Sharon Blackwell- Procurement Analyst
Mr. Ernie Robinson- Procurement Analyst
Mr. Russ Hickam- Procurement Analyst
Ms. Cathy Richardson- Procurement Analyst
Mr. Harold Jones – Procurement Analyst

6. Justification and Approvals
Who’s job is it to promote competition?
When is a J&A required?
When is a J&A not required?
J&A format-paragraph by paragraph review/ instruction
Have each bullet fade in one at a time.

7. Justification and Approvals (continued)
J&A approval levels
What documents need to be included in the J&A file?
Who is responsible for the J&A?
Urgent J&As
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When is an amended J&A required?
Class J&As
J&As for long-term contracts

8. Who’s Job Is It to Promote Competition?
Competition Management
Contracting Officers
FAR 6.101
10.U.S.C and 41 U.S.C. 253 contracting officers shall promote and provide for full and open competition
FAR shall not award any other contract without providing for full and open competition unless
Justifies in writing
Certifies justification
Obtains the required approvals

9. When Is a J&A Required?
Any time you contract without providing for full and open competition based on one of seven exceptions/circumstances

10. 7 Exceptions to Full & Open Competition
Only one responsible source
Unusual and compelling urgency.
Industrial mobilization; engineering, developmental, or research capability; or expert services.
International agreement.
Authorized or required by statute.
National security.
Public interest.

11. When Is a J&A Not Required?
When you have Full and Open Competition
FAR 6.001
Contracts awarded using simplified acquisition procedures
Contracts awarded using contracting procedures are expressly authorized by statute;
Contract modifications, - exercise of priced options that were evaluated and within the scope of an existing contract;
Orders placed under requirements contracts or definite-quantity contracts;
Orders placed under indefinite-quantity contracts
Orders placed against task order and delivery order contracts
Major bullets fade in one at a time.

12. When is a J&A Not Required?
Far 6.200
Establishing or maintaining alternative sources
Set-asides for small business concerns
Section 8(a) competition
Set-asides for HUB Zone small business concerns

13. J&A Format
J&A Format and Content
SAMPLE FORMAT—See Student Handout

14. J&A Approval Levels $500,000 < $500,001 - $10,000,000
$10,000,001 -$50,000,000
CO’s certification
Competition or the Alternate
Principal Assistant Responsible for Contracting (PARC )-Ms. L. Marlene Cruze and AMCOM Deputy Commander- Mr. James L. Flinn III.

15. J&A Approval Levels (continued)
$50,000,000
Justification Review Document (JRD)
Approved Acquisition Plan,
Transmittal memo signed HCA
Forward electronically as Word document attachments to Headquarters, Department of the Army,

16. What Documents Need to Accompany the J&A ?
Technical and Requirements Certification Procurement History Commerciality Determination
Legal review
Statement of Impact (SOI)/ Statement of Urgency (SOU)
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Justification Review Document (JRD)
Approved Acquisition Plan

17. Urgent J&As Urgency exception
Clearly demonstrate that the United States Government is or will be injured if immediate contract action is not taken.
Injury can be monetary or mission impacting
Must be directly related to your immediate requirement.
Signed Statement of Urgency or Statement of Impact required

18. Urgent J&As CMO logistics management specialist
Logistics review of asset position
Determines the quantity justified as urgent.
A high priority designation alone will not justify the use of urgency.
Post-award approval is not automatic.
Have each major bullet fade in one at a time.
Criteria apply in both pre- and post-award environments

19. When Is an Amended J&A Required?
AFARS
An increase in the dollar value beyond the authority of the previous approving official;
A change in the competitive strategy
A change in requirements
The contracting officer shall document any other significant change in the dollar value in the contract file.
Prepare amended justifications (b)(3).

20. Class J&As
AFARS
Contracts to be awarded in successive fiscal years
The requirements and quantities included in the Future Years Defense Plan (FYDP)
Costs have been specifically identified.
Must address every contract (action) in detail
Must include only those supply or service components that are, and will clearly remain sole source
FAR 6.304
Approved in writing IAW agency procedures

21. J&As - Long-Term Contracts
Recent trends
J&As for long-term contracts-partnering contracts for 5-10 years
Lifecycle J&As for LRIP through Production (14 year)
Reasonableness should be exercised

22. Long-Term J&As – Our Concerns
Major changes or program revisions
Competition and breakout will not be reviewed.
Missed opportunities to expand the vendor base and save money.
HQ DA may restrict
FYDP
5 years - Nat’l Def Auth Act of 2004

23. Common Deficiencies Control numbers missing
System/program supported not indicated.
Type of pricing arrangement not indicated.
Information from the MRR/CD not in J&A.
Synopsis publication date not in J&A.
SOI/SOU is not attached to J&A.
Part number, NSN, Noun, Quantity, System and total dollar amount is not on the approval page.
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CASL publication date not indicated
No explanation provided when a past source will not be solicited.
J&A has not been reviewed by the legal office prior to being sent to CMO

24. Market Research & Commerciality Determination
Why buy Commercial Items?
When is a MRR/CD required?
Who does the market research?
What is the purpose of Market Research and how much research is enough?
MRR/ CD format- paragraph by paragraph guidance/ instruction
Have each bullet fade in one at time.
MRR/CD for long-term contracts
Commerciality Determination And Certification (CDAC) System

25. Why Buy Commercial Items?
It is the law
Public Law ,
1994 FEDERAL ACQUISITION SREAMLINING ACT
Federal Acquisition Regulation (FAR)
Implemented fully the commercial item emphasis of the Federal Acquisition Streamlining Act.

26. When Is a MRR/ CD Required?
Market research conducted and documented acquisitions > or =$25,000
MR > 12 months old.
Commerciality Determination required for acquisitions:
Competitive or noncompetitive
Materiel or services

27. Who Does Market Research?
AFARS (b):
Program managers
Requiring activity.
Requirements personnel and CO(KO) must work together.

28. What Is the Purpose of Market Research?
FAR
To arrive at the most suitable approach to acquiring, distributing, and supporting supplies and services.
To determine if commercial items or nondevelopmental items are available to meet the Government's needs

29. MR Results Are Used To…
Determine if sources capable of satisfying the agency's requirements exist;
Determine the practices of firms engaged in producing, distributing, and supporting commercial items
Determine whether bundling is necessary and justified

30. The extent of market research will vary, depends on:
How Much MR Is Enough?
The extent of market research will vary, depends on:
Urgency
Estimated dollar value
Complexity
Past experience

31. MRR/ CD Format/ Instruction
The sample format
See the Student Handout

32. MRR/CD for Long-Term Contracts
Can be done for long-term contracts
Must be current and no more than 12 months old.
Annual updates to your MRR/CD must be conducted and processed in order

33. Commerciality Determination and Certification (CDAC) System
Automated system MRR/CD for spares.
Review and approval process is paperless
Commercial items procured
Requirements not forwarded to the CMO
A wavier not required

34. Common MRR/CD Deficiencies
Person who conducted the research is not identified in paragraph 6
Requirement has not been published in CASL
The CASL publication date is inaccurate or omitted.
Explanation provided in paragraph 8 does not explain the commerciality decision
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Information in the MRR/CD is not summarized in the J&A or does not agree with information in the J&A.

35. Contact Us
Appendix A - a list of CMO POCs by weapon system.
If you have a general questions or concerns the CMO:
Walk-ins are still welcomed!