Steven Moya PROC 5860 MID-TERM EXAM GOVERNMENT CONTRACTING PROC 5860 The Acquisition Plan

Question One

Discuss the Federal Acquisition Regulation acquisition planning policy. Who is responsible for preparing the acquisition plan? With any plan there is always one single individual responsible. In the world of procurement the acquisition plan is this vehicle and it is driven by the contracting officer. In the next couple of paragraphs I shall cite Policy from the Federal Acquisition Page 1 of 9

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Regulation (FAR) which will provide us with the knowledge as to why this action is important as well as elements of a plan and finally who writes one as well as who is responsible for it.

Contents Contents...............................................................................................................................2 FAR......................................................................................................................................3 7.102 -- Policy. ...............................................................................................................3 Beyond the FAR...............................................................................................................4 Elements of a Written Acquisition Plan...............................................................................4 Acquisition background and objectives ..........................................................................6 Sources .........................................................................................................................6 Milestones .......................................................................................................................7 Plan of action ..................................................................................................................8 Works Cited.........................................................................................................................9

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FAR
The FAR is a tool that no procurement individual can got without using. This regulation is sometimes referred to as the bible for acquisitions. Rightly so as it as is thick as a encyclopedia and gives guidance on policy. The policy that we will be focusing on today is the one in relation to acquisition planning.

7.102 -- Policy.
Subpart 7.102 tell us that, Agencies shall perform acquisition planning (Federal Acquisition Regulation (FAR)). Now that we understand that acquisition planning is a

must we must now understand why it is a must. In order to promote:

Acquisition of commercial items or, to the extent that commercial items suitable to meet the agency's needs are not available, nondevelopmental items, to the maximum extent practicable (10 U.S.C.2377 and 41 U.S.C.251, et seq.); and

Full and open competition (see Part 6) or, when full and open competition is not required in accordance with Part 6, to obtain competition to the maximum extent practicable, with due regard to the nature of the supplies or services to be acquired (10 U.S.C. 2301(a)(5) and 41 U.S.C. 253a(a)(1)).

Acquisition planning must involve all personnel responsible for significant aspects of the acquisition. The purpose of this planning is to ensure that the Government meets its Page 3 of 9

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needs in the most effective, economical, and timely manner. Some Department of Defense (DoD) agencies have a detailed acquisition planning system in place that goes beyond the general requirements of FAR Part 7. (ACC Practice Center)

Beyond the FAR

As we can see acquisition planning is required for all acquisitions as stated in FAR 7.102 , DFARS 207.103 which requires written acquisition plans in DoD. The plans include:
1.

Acquisitions for development (as defined in FAR 35.001) when the

total cost of all contracts for the acquisition program is estimated at $10 million or more; 2. Acquisitions for production or services when the total cost of all

contracts for the acquisition program is estimated at $50 million or more for all years or $25 million or more for any fiscal year; and
3.

Any other acquisition considered appropriate by the department or

agency.

Elements of a Written Acquisition Plan

Both FAR 7.105 and DFARS PGI 207.105 describe the specific elements that are required for acquisition plans. Below are some of the requirements so as to give the reader an idea of the scope of acquisition plans. Page 4 of 9

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Statement of need. Introduce the plan by a brief statement of need. Summarize the

technical and contractual history of the acquisition. Discuss feasible acquisition alternatives, the impact of prior acquisitions on those alternatives, and any related inhouse effort.

Applicable conditions. State all significant conditions affecting the acquisition, such

as requirements for compatibility with existing or future systems or programs, and cost, schedule, and capability or performance constraints.

Cost. Set forth the established cost goals for the acquisition and the rationale

supporting them, and discuss related cost concepts to be employed.

Capability or performance. Specify the required capabilities or performance

characteristics of the supplies or the performance standards of the services being acquired and state how they are related to the need. This bullet to me is probably the single most important as this will be the guide in which the contractors not only bases the bid price off of but what I would base my Market Research off of. These two elements are critical in ensuring that the Government is obtaining a quality product at a fair and reasonable price.

Delivery or performance-period requirements. Describe the basis for establishing

delivery or performance-period requirements. Explain and provide reasons for any urgency if it results in concurrency of development and production or constitutes justification for not providing for full and open competition.

Trade-offs. Discuss the expected consequences of trade-offs among the various cost,

capability or performance, and schedule goals.

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Risks. Discuss technical, cost, and schedule risks and describe what efforts are

planned or underway to reduce risk and the consequences of failure to achieve goals. If concurrency of development and production is planned, discuss its effects on cost and schedule risks.

Acquisition background and objectives

Sources As I work for the Department of Veterans Affairs one of my agency objectives is to set aside. Our primary consideration is to veteran-owned small business, servicedisabled veteran-owned small business, small business. In Part 8 we also find that there are other considerations such as HUBZone small business, small disadvantaged business, and women-owned small business concerns (Part 19), and the impact of any bundling that might affect their participation in the acquisition. When the proposed acquisition strategy entails bundling, one must recognize the incumbent contractors and contracts concerned by the bundling. Below are some areas of highlight:

Competition. Describe how competition will be sought, promoted, and sustained

throughout the course of the acquisition. If full and open competition is not contemplated, cite the authority in 6.302, discuss the basis for the application of that authority, identify the source(s), and discuss why full and open competition cannot be obtained.

Source-selection procedures. Discuss the source-selection procedures for the

acquisition, including the timing for submission and evaluation of proposals, and the

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relationship of evaluation factors to the attainment of the acquisition objectives (see Subpart 15.3).

Acquisition considerations. For each contract contemplated, discuss contract type

selection (see Part 16); use of multiyear contracting, options, or other special contracting methods (see Part 17); any special clauses, special solicitation provisions, or FAR deviations required (see Subpart 1.4); whether sealed bidding or negotiation will be used and why; whether equipment will be acquired by lease or purchase (see Subpart 7.4) and why; and any other contracting considerations. Provide rationale if a performance-based acquisition will not be used or if a performance-based acquisition for services is contemplated on other than a firm-fixed-price basis

Budgeting and funding. Include budget estimates, explain how they were derived,

and discuss the schedule for obtaining adequate funds at the time they are required.

Milestones
In order to have objectives one must first not only know the end state but what the critical areas are in order to get there. In some agencies these are known as the milestones. Some examples are as follows: Acquisition plan approval Statement of work Specifications Completion of acquisition-package preparation Purchase request Justification and approval for other than full and open competition where applicable Page 7 of 9

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Issuance of synopsis Issuance of solicitation Evaluation of proposals, audits, and field reports Beginning and completion of negotiations Contract preparation, review, and clearance Contract award Identification of participants in acquisition plan preparation.

List the individuals who participated in preparing the acquisition plan, giving contact information for each.

Plan of action
Acquisition plans are characteristically written by the contracting workforce. However, depending on agency-specific measures acquisition plans are subject to approval by other officials such as program managers, competition advocates, small and disadvantaged business utilization official, and legal official. It is ultimately that contracting officials responsibility to get it right!

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Works Cited
(n.d.). Retrieved June 27, 2011, from Federal Acquisition Regulation (FAR): https://www.acquisition.gov/far/ ACC Practice Center. (n.d.). Retrieved June 26, 2011, from Ch 9 - Price-Related Decisions in Negotiations : https://acc.dau.mil/CommunityBrowser.aspx? id=379485&lang=en-US

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