Procurement Planning Conference Instructional Guide
Discussion of the acquisition strategy will be directed primarily to specific agenda items that comprise the brief. Each agenda item will be addressed to aid the IPT in the completion of this task. Acquisition strategy planners are also strongly encouraged to scan the Federal Acquisition Regulation (FAR) Part 7 and its supplements (DoD FAR Supplement and Navy Acquisition Procedures Supplement), and the DoD and SECNAV 5000 series documents for additional background information on acquisition strategy and planning.
Please note that the PPC agenda was designed to cover all potential acquisition planning issues. Bear in mind that not every agenda item will apply to every acquisition. Common sense and good business judgment should prevail when planning a given acquisition. Also note that the PPC need not follow the exact order presented in this guide as long as all applicable issues are covered. When in doubt please feel free to contact TSD Acquisition Processes Office for clarification.
PROCUREMENT PLANNING CONFERENCE AGENDA ITEM INSTRUCTIONS
1. PROGRAM IDENTIFICATION. Identify the training system type and weapon system/platform relationship. Example:
Procurement Planning Conference
F14D Weapon System Trainer
2. INTRODUCTION OF IPT/EDT MEMBERS. Identify all IPT members contributing to this acquisition whether they are attending the PPC or not.
3. TASKING ORGANIZATION(S). Indicate all tasking organizations.
4. USER ORGANIZATION(S). List all using organizations.
5. ALTERNATIVES TO ESTABLISHING NEW CONTRACT ACTION(S). Discuss the criticality of establishing a new contract action to meet the using organization's program needs. Please address coordination with other Program Offices to identify existing contract vehicles that could be used to meet customer program needs within the required time frame. Note that a listing of open Indefinite Quantity Contracts (IQCs) with pertinent information regarding scope of work and ordering authorized under these IQCs is maintained in the Data Share Acquisition folder. If existing contract vehicles are identified that could meet the need, explain why those contracts will not be utilized. Plausible reasons for issuing a new contract action when existing vehicles could be utilized may include, but are not limited to, customer requests for a new contract action totally dedicated for that customer, existing contract vehicles cannot meet the total quantitative and qualitative requirements, or the existing contract vehicle does not authorize additional customer ordering.
6. SUMMARY OF GOVERNMENT NEEDS. Introduce the program with a brief summary of the Government need including:
- Summarize the technical and contractual history of the acquisition.
- Describe the technical scope of work to be accomplished. Include technical complexity, key technologies, and requirements for compatibility with existing or future systems.
- Summarize critical performance objectives.
7. MARKET RESEARCH. Describe the market research undertaken to identify commercial products and sources available to meet the acquisition objectives. Discuss the following:
- Commercial items, commercial items with customary modifications, or nondevelopmental items that could satisfy the acquisition objectives.
- If no commercial or nondevelopmental items were identified that could meet the need, discuss attempts to challenge unique requirements and/or restate the need so that commercial or nondevelopmental items could meet the need.
- Identify prospective sources that can meet the need, including consideration of required sources of supply, and small, small disadvantaged, and women-owned small business concerns.
- If a new development acquisition is otherwise anticipated, discuss requirements for prime contractors to incorporate commercial and nondevelopmental items at the component level.
- Results of your market research may indicate potential trade offs which could be made among the various cost, capability or performance, and schedule goals. Discuss the expected consequences of these trade offs in terms of program optimization.
- Discuss consideration of Dual Use Technology as applicable.
- Research whether Simulation Based Acquisition (SBA) (also known as Modeling and Simulation) was and possibly still is being used for the weapon system for which this training system will simulate. If SBA has been used on the weapon system, then discuss the reuse of the SBA software in this training system.
8. DESCRIBING AGENCY NEED. Identify the source document which the describes the agency need. These documents might consist of: an Initial Capabilities Document (ICD), Capability Development Document (CDD), Training System Requirements Analysis (TSRA) (as a result of some front end analysis NAWCTSD has conducted), Etc. Identify and describe the status of the product descriptions being planned/developed for this program and how they will evolve from the original source documents. These documents being developed may include a specification, Statement Of Work (SOW), Training System Requirements Document (TSRD), and Statement Of Objectives (SOO).
9. BUDGET, FUNDING, AND COST.
- Discuss how budget estimates were derived and the schedule for obtaining funds at the time funds are required. See Preliminary Cost Estimates
- Identify the specific type(s) of funds that will be used for this effort.
- Identify workyears (EOB or reimbursable) by Competency established to complete this effort and discuss whether the workyears established are considered adequate to execute the proposed strategy.
- Set forth the established cost goals for the acquisition and the rationale supporting them. Consider the following related cost concepts to be employed as applicable:
- LIFE CYCLE COST. Means the total cost to the Government of acquiring, operating, supporting, and (if applicable) disposing of the items being acquired.
(1) Discuss how life-cycle cost will be considered. If it is not used, explain why.
(2) Discuss the cost model used to develop life-cycle cost estimates.
(3) Software costs (i.e., initial design/development, maintenance and modification) shall be included in the life-cycle costs.
- DESIGN-TO-COST. This is a concept that establishes cost elements as management goals to achieve the best balance between life-cycle cost, acceptable performance, and schedule. Under this concept cost is a design constraint during the design and development phases, and a management discipline throughout the acquisition and operation of the system or equipment.
(1) Describe the design-to-cost objective(s) and underlying assumptions, including the rationale for quantity, learning-curve, and economic adjustment factors.
(2) Describe how objectives are to be applied, tracked, and enforced.
(3) Indicate specific related solicitation and contractual requirements to be imposed.
- APPLICATION OF SHOULD COST. This is an estimate of contract price which reflects reasonably achievable contractor economy and efficiency. It’s purpose is to develop a realistic price objective for negotiation purposes. Describe the application of a should-cost analysis to the acquisition.
- COST AS AN INDEPENDENT VARIABLE (CAIV). Address methodologies to acquire and operate affordable programs/systems by setting aggressive, achievable cost objectives and managing achievement of these objectives.
10. TECHNICAL, COST, AND SCHEDULE RISKS. Discuss technical, cost, and schedule risks. Describe what effects are planned or underway to manage or reduce risk and the consequences of failure to achieve goals. Risk management should be a part of the program, with risk assessment throughout the acquisition to determine if and/or how risks have changed.
11. ACQUISITION STREAMLINING. Acquisition streamlining refers to any effort that results in a more efficient and effective use of resources to design, develop, or produce quality systems/programs. Discuss plans to:
- Encourage industry participation in the acquisition process by using draft solicitations, presolicitation conferences, electronic commerce, and other means of stimulating industry involvement in recommending the most appropriate application and tailoring of contract requirements.
- Select and tailor only necessary, cost effective requirements,
- Utilize mandatory, performance oriented, detailed design-oriented, or agency unique specifications or standards, and any waiver requirements.
- Reduce lines of accounting and contract line items (see DON Memorandum).
12. COMPETITION OR OTHER THAN FULL AND OPEN COMPETITION.
- Discuss how the program will provide for full and open competition, unless one of the limited statutory exceptions apply.
- If the acquisition is anticipated to be conducted without full and open competition requiring processing of either a Justification and Authorization (J&A) or Determination and Finding (D&F), the IPT should be prepared to discuss all relevant aspects of the program/project which lead the team to that conclusion. This data shall form the basis for the J&A or D&F to be drafted by the IPT.
The J&A and D&F are legal documents which must, in the end, be self-sufficient in establishing the requirement for other than full and open competition. The following information will be considered before a final determination can be made on the supportability of the proposed request:
- Statutory Authority - the appropriate proposed United States Code reference as well as the appropriate FAR section must be cited.
- Demonstration of Contractor’s Unique Qualifications - if this is to be the basis for the exception, then an explanation must be provided as to why the proposed contractor is the ONLY one who can meet the customer’s requirement.
- For the urgency exception, discussion must be provided on the nature of the urgency, reasons for its occurrence, and why it “urgent and compelling.” By law and regulation, failure to plan or expiring funds are not valid reasons for citing this exception. Valid reasons for using this exception are found in DFARS 206.302-2 (b). Estimated cost and other rationale citing the extent and nature of harm to the Government should also be included.
- For the mobilization exception, the approved Industrial Preparedness Plan must be cited.
- For the international agreement exception (if waiver to the requirement for a J&A is not used per DFARS 206.302-4), reference to the Foreign Military Sales (FMS) case (or memorandum of understanding when FMS case is not yet assigned) stipulating the source is required.
- Additional Support. If no additional information is available, so state. Additional supporting information might include:
- Providing an explanation of why technical data packages specifications, statements of work, etc., required for full and open competition have not been developed and are not available.
- In follow-on acquisitions where the justification is that the acquisition must be sole source to avoid “substantial duplication of costs” that will not be recovered through competition, or to avoid unacceptable delays in fulfilling the requirement, an estimate should be provided of the costs duplicated, how the estimate was developed, and the extent/impact of the delay which will result.
- When urgency is the justification, additional data as to the urgent nature of the requirement, additional estimated costs which will be incurred, and other rationale establishing the extent and nature of the harm to the Government should be provided. If the urgent nature of the requirement dictates that the acquisition be placed as an undefinitized order, compliance with DFARS 217.75 and the latest version of NAVAIR 4200.33, Undefinitized Contract Action, is also required.
13. SOURCE-SELECTION PROCEDURES.
- Discuss the source-selection procedures for the acquisition, including the timing for submission and evaluation of proposals, and the relationship of evaluation factors to the attainment of the acquisition objectives.
- Discuss the major evaluation factors for award and their relative order of importance.
- Discuss the potential use of oral proposals or requiring proposals to be submitted in electronic format.
14. CONTRACTING CONSIDERATIONS. Discuss the types of contracts being contemplated; use of multi year contracting, options, or other special contracting methods; any special clauses, special solicitation provisions or FAR deviations required; whether sealed bidding or negotiation will be used and why; whether equipment will be acquired by lease or purchase and why; and any other contracting considerations.
15. CONTRACTOR PERFORMANCE ASSESSMENT REPORT (CPAR). The primary purpose of the Contractor Performance Assessment Reporting System (CPARS) is to ensure that data on contractor performance is current and available for use in source selections. Performance assessments will be used as an aid in awarding contracts to contractors that consistently provide quality, on-time products and services that conform to contractual requirements. A CPAR assesses a contractor's performance and provides a record both positive and negative, on a given contract during a specific period of time. CPARs must be collected on all contracts meeting the following dollar thresholds:
- Systems (new development and major modifications; shipbuilding is included) $5,000,000 or greater;
- Services $1,000,000 or greater; and
- Information Technology $1,000,000 or greater.
If a CPARs will be required on an anticipated contract, discuss the following:
- Include which business sector and threshold from above is applicable to your anticipated contract. For further definitions of the business sectors listed above, as well as all other CPARS information, refer to the DoN CPARS Guide of February 2007.
- Include the names/competency of the Program Manager (individual responsible for the execution of the program, project, or task/job order, suggested to be the PJM) responsible for preparation of the CPARs as well as the Reviewing Official (one level above the Program Manager, suggested to be the Program Director or PMA205 if a PMA205 program).
- For delivery order or task order contracts, specify the frequency of, and the individual(s) responsible for CPARs associated with orders to be placed against that contract.
16. INHERENTLY GOVERNMENT FUNCTIONS. It is the policy of the Government to rely generally on private commercial sources for supplies and services if certain criteria are met. Some functions are inherently Governmental and must be performed by Government personnel. Discuss procedures in place to ensure that Government functions are not performed by contractors.
17. MANAGEMENT INFORMATION REQUIREMENTS. Discuss what management system will be used by the Government to monitor the contractor’s efforts. Discuss the application of a Government/contractor IPT (see Partnering For Success) and how it could result in less overall Government oversight for the program. For example, less Government oversight could mean fewer formal design reviews would be required.
18. MAKE OR BUY CONSIDERATIONS. Make or buy considerations involve decisions as to whether the products and or services of a project or portions of a project can be executed with NAWCTSD resources or whether it should be done by another government agency or a contractor. NAVAIR TEAM procedures and local NAWCSTD procedures are currently under development. In the interim discuss these considerations as well as you can based on your IPTs knowledge of your program.
19. TEST AND EVALUATION PROCEDURES. Describe the test program of the contractor and Government by which the system, program, or components will be compared against requirements and specifications through testing. Discuss the extent of testing to be accomplished before product acceptance.
20. LOGISTICS CONSIDERATIONS. Discuss logistics support intentions with regard to Life Cycle Support, Reliability and Maintainability, Quality Assurance, and proposed use of warranties. Discuss as applicable, standardization concepts, Configuration Management, Support Equipment, Spares Procurement, and any advance procurement considerations.
21. DATA MANAGEMENT.
- Data Requirements.
Discuss the nature of the technical data intended to be acquired.
- Will the Government identify required data in the RFP or will the Contractor propose the data?
- What electronic transmittal/acceptance capabilities will be implemented? There are several technologies which may be applicable to your program, these include: email, Contractor Integrated Technical Information Service (CITIS), extranets and others.
- For contracts greater then $5M there is a requirement for DRRB. Discuss the planing necessary to conduct the DRRB or potential for a DRRB waiver.
- Data Rights. Discuss how the IPT intends to ensure Government interests are protected with regard to its right to use technical data and computer software as necessary. Note that significant changes were incorporated in the Defense FAR Supplement (DFARS) covering rights in technical data and computer software in November 95. As a result the contractor’s obligation or willingness to provide the Government with specific rights to use technical data and computer software being acquired under the contract may materially affect the source selection decision. It is therefore critical that the Government identify its intended use of such technical data and computer software to be acquired in the solicitation. Offerors should then be instructed to propose an acceptable means for the Government to use this data as necessary to be incorporated into the contract prior to award. It should be noted that if the Government need to use this data for specific purposes is not considered in the source selection and subsequently covered in the contract, the contractor is only obligated to negotiate with the Government to determine whether there are acceptable terms for transferring such rights. Inability to negotiate acceptable terms could result in serious liability to the Government.
22. GOVERNMENT FURNISHED PROPERTY TO BE PROVIDED. Discuss any property to be furnished to contractors, including material, equipment and facilities. Discuss any associated considerations, such as its availability or the schedule, for its acquisition.
23. GOVERNMENT FURNISHED INFORMATION TO BE PROVIDED. Discuss any Government information, such as manuals, drawings, and test data, analysis, design documents, storyboards, courseware, etc., to be provided to prospective offerors and contractors.
24. Environmental, Safety and Occupational Health (ESOH) Considerations. Identify potential ESOH issues that may occur throughout the life cycle of the project, which includes Research, Development, Test and Evaluation (RDT&E) activities, production, operation, maintenance, storage and disposal of the training system. Specifically identify those issues that have the potential for mishap severity categories I (Catastrophic) and II (Critical) in accordance with MIL-STD-882D. Identify any formal ESOH analysis that will be conducted.
- NAWCTSD Instruction 5100.9A Training System Safety Program. Currently under revision.
- MIL-STD-882D Standard Practice For System Safety
MIL-STD-882D identifies several safety related DIDs, here are two of the most commonly used DIDs:
- DI-SAFT-80102B Safety Assessment Report
- DI-SAFT-81626 System Safety Program Plan
25. SECURITY CONSIDERATIONS. Discuss the following as applicable:
- Installation Security (classified storage).
- Physical Security: That part of security concerned with physical measures designed to safeguard personnel; to prevent unauthorized access to equipment, installations, material, and documents; and to safeguard them against espionage, sabotage, damage, and theft.
- Communications Security (COMSEC): Concerned with the secure communications and cryptographical aspects.
- Computer Security (CompuSec): Concerned with regulating and recording access to computer resources and the data residing in the computer.
- Personnel Security: To ensure that all personnel (including U.S. citizens and foreign nationals) who have access to any classified information have the required authorizations as well as the appropriate clearances.
- Physical Security (Alarm response, building security surveys, etc.)
- Information Assurance (computer security): IA requires that information systems be properly managed to protect against unauthorized disclosure of government information, loss of data integrity and to ensure availability of the data. In the NISPOM Information Assurance is called Information System Security.
- Communication Security (required classified communications).
26. OTHER CONSIDERATIONS. Discuss any other matters germane to the plan not covered elsewhere.
27. MILESTONES FOR THE ACQUISITION PROCESS. Address the following milestones and any others you deem appropriate to this procurement. Discuss execution and completion of these milestones from a best case, worst case and expected case scenario:
- Acquisition Plan Approval
- Creation of Planning and Funded PRs
- Creation of Project Structure in ERP
- Data Requirements
- Completion of acquisition package preparation
- J&A for other than full and open competition
- Issuance of Synopsis
- Issuance of Solicitation
- Evaluation of Proposals, audits, field reports
- Beginning and Completion of Negotiations
- Contract Preparation, review and clearance
- Contract Award
- Requirements freeze
- Design freeze
- Data Freeze
- Mockup Reviews
- Design Reviews
- Test Readiness Reviews
- IOC or RFT
- Physical Contract Completion