Advice to Industry Panel – Contract Management Perspective Presented By: Janet Carlson April 25, 2005

1. Advice to Industry Panel – Contract Management Perspective Presented By: Janet Carlson April 25, 2005

2. Advice to Industry PanelContract Management Perspective • Basis for Award • General Evaluation Considerations • Preaward Survey • Sample Proposal Checklists

3. Advice to Industry PanelContract Management Perspective Basis for Award • “Best value”, low price, or low price technically acceptable • Relative importance of factors and subfactors • FAR Part 12 – “Offer most advantageous to the Government based upon factors contained in the solicitation.” • Past performance

4. Advice to Industry PanelContract Management Perspective General Evaluation Considerations • Can the contractor execute? • Is the pricing too good to be true? • Has the contractor demonstrated they understand requirement? • Does the contractor understand our business? • Are there unique advantages to the approach?

5. Advice to Industry PanelContract Management Perspective • Preaward Survey? • If you are new to Government contracting • Non-commercial applications

6. Advice to Industry PanelContract Management Perspective Sample Review Items • Provide information on price agreements reached between the Government and the contractor, as necessary • Determine contractor responsiveness to the work order, contract modification, etc., and the adequacy of the information submitted • Notify contractor of noted proposal inadequacies and coordinate corrective action through the PCO

7. Advice to Industry PanelContract Management Perspective Sample Checklist – General: • If actual costs have been incurred, if so, request a report from the contractor’s accounting system, showing actual costs incurred • Obtain information from the “Contractor Organization and Systems” page of the most recent audit report to determine if there are any outstanding issues that could impact this proposal • Request DCAA verification for current rates and factors if the overall cost is significant

8. Advice to Industry PanelContract Management Perspective Sample Checklist - Direct Labor: • A description of the basis of the direct labor rates • The most recent category averages and the method used to categorize • A matrix of category average rates to RFP rates if RFP categories were proposed • Most recent payroll register • U.S. Department of Labor Wage determination sheets, Survey Data, if applicable. GSA-approved schedule rates and the basis for their applicability to this contract • Letters of Employment, if applicable • Support for the proposed escalation factor (basis, application, etc.) • The basis of the labor hours • Uncompensated time factors proposed and the history to support these factors

9. Advice to Industry PanelContract Management Perspective Sample Checklist - Indirect Rates: • The basis for the proposed indirect rates (G&A) • Budget showing both the pools and the bases by cost element for each indirect rate for the entire period of performance • Year-to-date actual for all of the indirect rates showing all pool and base items • Prior year actual and an explanation for any changes • An explanation for any changes in rate/pool/base structure since the end of the last fiscal year

10. Advice to Industry PanelContract Management Perspective Sample Checklist - Material Costs: • A list of all material items showing part number, quantity, and unit price and extended value • Support for the proposed costs (written quotes, catalog price, verbal quotes, negotiated prices or engineering estimates, etc.) Subcontract Costs: • A copy of the cost and/or price analysis of proposed subcontracts, if performed

11. Advice to Industry PanelContract Management Perspective Sample Checklist - Other Direct Costs (ODCs): • The basis for the proposed ODCs • All documentation for the proposed costs of hardware line item costs quantity and cost (written quotes, catalog price, verbal quotes, negotiated prices or engineering estimates, etc.)