Department of Commerce

Information Technology Conference April 12-14, 2005

Acquisitions for the Department of Commerce

Greg CriderOffice of Acquisition Management

and Financial Assistance

“Business Brokers for Program Success”

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Acquisitions for the Department of Commerce

What Commerce Buys Acquisition Planning and Review Contracting Officer Representatives:

Acquisition’s Partner Standards and Other Recent Items

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What Commerce Buys

Miscellaneous, 10.17%

IT Equipment, 7.21%

IT Service, 32.73%

Other Services, 36.52%

Other Supplies, 13.37%

Other Services Other Supplies IT Service IT Equipment Miscellaneous

$639 million

$234 million$573 million

$126 million

$178 million

FY04 Obligations

Total: $1,750 million

Source: Enterprise Acquisition Reporting System (EARS), Federal Procurement Data System NexGen

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What Commerce Buys

Product or Service FY 2004 Actions

FY2004 Obligations

Base + Exercised Options Base + All Options

FY 2004 Percent Total

Other Services 14,443 $638,917,573 $1,415,990,504 $2,121,461,257 36.52%

IT Service 2,372 $572,680,857 $2,703,300,233 $5,744,821,393 32.73%

Other Supplies 6,081 $233,933,512 $246,960,856 $356,890,018 13.37%

IT Equipment 2786 $126,143,277 $135,260,630 $178,723,211 7.21%

A&E 342 $62,402,686 $183,672,467 $419,782,931 3.57%

R&D Services 557 $38,716,159 $2,947,664,712 $3,300,589,977 2.21%

Construction 249 $34,648,054 $431,082,778 $614,513,400 1.98%

Real Property 326 $21,934,048 $50,265,707 $73,530,366 1.25%

Miscellaneous 1,642 $20,185,436 $10,728,881 $10,950,188 1.15%

Total 28,798 $1,749,561,601 $8,124,926,768 $12,821,262,740 100.00%

Source: Enterprise Acquisition Reporting System (EARS) Federal Procurement Data System NexGen

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1. Contact procurement and inform them of your needs. 2. Conduct market analysis.3. Define the technical requirement and $ est.4. Obtain funds

certification.

1. Solicit Offers.2. Evaluate Offers.3. Award.

1. Contract Surveillance.2. Modifications.3. Closeout

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The Acquisition Process Phases Distribution of Effort

Presolicitation Phase Solicitation Phase

Post Award Admin. Phase

The required level of effort shifts between each phase. The required level of effort shifts between each phase.

AWARD

AWARD

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The New Acquisition Model

Budget/Strategi

cPlan

RequirementsDefinition

Strategic Sourcing/Acquisition Strategy

Performance Management

Procurement/Contract Award

Where the Acquisition Community is currently

engagedAcquisition Community engagement under the

New Model

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Department of Commerce Review Boards

Commerce Information Technology Review Board (CITRB)

• IT systems meriting special attention due to their sensitivity, mission criticality, or risk potential;

• Department-wide IT systems;

• IT systems with life cycle costs over $25 million

Commerce Acquisition Review Board

• Acquisitions over $10 million

• Interagency Agreements over $5 million (both incoming and outgoing funds)

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Documentation for Commerce Review Boards

Exhibit 300 – Capital Asset Plan and Business Case Attachment A, Additional Acquisition Planning Information Briefing Presentation Resumes

• Program Manager, if applicable

• Contracting Officer

• Contracting Officer’s Representative Same documentation for either CITRB or Acquisition Review Board

one week prior to Board meeting

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Acquisition Approvals

Delegation of Procurement Authority (DPA) for IT • Varies by Operating Unit or major component• Acquisitions < $10 million – most operating unit or major component

CIO’s • Acquisitions >$10 million – Commerce CIO

Acquisition Plan (i.e., Attachment A) signed by:• Program Official• Contracting Officer• Attorney assigned to the acquisition• Head of Contracting Office• Bureau Senior Procurement Officer (over $5 million)• Procurement Executive (over $10 million)

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COR:Acquisition’s Partner

Contracting Officer’s Representative (COR) is

• a Federal employee that ensures program success by partnering with the Contracting Officer (CO) and Contractors to achieve contract objective.

• delegated limited authority by the CO to monitor and perform contract management duties related to:

• Management and oversight

• Contractor’s performance and meeting the standards set forth in the contract

• Technical requirements are met by the delivery date at the price or costs in the contract

• Contract closeout

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COR Certification Program:Major Changes

COR Concept• 4 Designations

• POC• COTR Level 1• COTR Level 2• COTR Level 3

Competency Based • Business/Industry• General Management• Project Management• Procurement Knowledge

Training• Project Management• Procurement Knowledge

Performance Plan –COR functions are part of the employee’s plan

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COR:Levels of Certification

Point of Contact

• Simplified Acquisitions ($25,000 to $100,000) Level 1

• Up to $1 million Level 2

• $1million up to $10 million Level 3

• $10 million and above

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COR:Performance Plan

If an individual spends more than 20% of their time working on contracts, the COR element must be included in their performance plan (Level 1 certification).

All Level 2 and 3 COR must have the COR element in their performance plan.

DOC policy since December 2002.

New and current CORs have until December 31, 2005 to meet training requirements

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Training Requirements:Project ManagementKnowledge and Performance

COTR Level

1

COTR Level

2

COTR Level

3

Point of

Contact/Order Contact

Scope Management R R R AD

Schedule Management R R R AD

Cost Management R R R AD

Quality Management R R R AD

Risk Management R R R AD

Required Project Management Course Topics

Procurement Project Management

R R R AD

R=Required AD=As Directed by the Contracting Officer

12 18 24 12 Minimum Number of Project Management Course Hours 6 hours = 1 training day

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Training Requirements:ProcurementKnowledge and Performance

Subject Performance Based Contracting

Simplified Acquisitions

Contracting for COTRs

Task Order or IDIQ Contracting

COR Refresher (Required Every 3

years)

IT Security in Acquisition

COTR Level 1 – AD COTR Level 1 – AD COTR Level 1 – R COTR Level 1 – AD COTR Level 1 – R COTR Level 1 – R

COTR Level 2 – AD COTR Level 2 – AD COTR Level 2 – R COTR Level 2 – AD COTR Level 2 – R COTR Level 2 – R

COTR Level 3 – AD COTR Level 3 – AD COTR Level 3 – R COTR Level 3 – AD COTR Level 3 – R COTR Level 3 – R

P/OC – AD P/OC – R (for awards over $25K)

AD (for awards under $25 K)

P/OC – AD P/OC – AD P/OC – R (for awards over $25K)

AD (for awards under $25 K)

P/OC – AD

COR Requirement

R=Required AD=As Directed by the Contracting Officer

Minimum Hours

12 24 Level 1 – 12 hours Level 2 – 18 hours Level 3 – 24 hours P/OC – 12 hours

12 6 1

6 hours = 1 training day

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COR:Nomination/Certification

Program official nominates an individual to serve as a COR.

Head of the Contracting Office (HCO) issues a “Certificate of Eligibility.”

CO appoints an individual as a COR after he/she has completed the appropriate training and has a “Certificate of Eligibility.”

Procurement Executive (PE) may waive the training requirements in special situations.

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Standards & other Recent Items

Internet Protocol Version 6 (IPv6)

• An emerging standard in the Department of Commerce Federated Enterprise Architecture

• A criterion for CITRB approval of all investments

• Directed in the OMB passback for FY06

• Include IPv6 as required component in Operating Unit Standards profile

• Applies to acquisition of new technology and upgrade of existing capabilities

• Specify IPv6 compliance as a technical requirement in the statement of work or statement of objectives for contracts

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Standards & other Recent Items

Section 508 • Extension of exception for micro-purchases (under

$2500) expired April 1, 2005

• All purchases must now comply. Primary impact on purchase card holders

• http://www.section508.gov

Earned Value Management System• Proposed rule will apply Government-wide

• Federal Register April 8, 2005

• Comments due June 7, 2005

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Web Site Addresses

Commerce Information Technology Review Board (CITRB) http://www.osec.doc.gov/cio/oipr/ITPLANPAGE.HTM

Acquisition Planning and Review http://oamweb.osec.doc.gov/CAPPS_performanceManagement.html

Interagency Agreements http://oamweb.osec.doc.gov/CAS_agreement_mou.html

Exhibit 300 – Capital Asset Plan and Business Case http://www.osec.doc.gov/cio/oipr/Ex300_instructions.htm

Attachment A, Additional Acquisition Planning Information http://oamweb.osec.doc.gov/CAPPS_performanceManagement.html

COR Certification Program http://oamweb.osec.doc.gov/docs/COR_Certification_Program_3-31-04.pdf

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Points of Contact

Acquisition Review Board

• Greg Crider, gcrider@doc.gov CITRB

• Diana Hynek, dhynek@doc.gov COR Policy

• Curtina Smith, csmith2@doc.gov

• Virna Evans, vevans@doc.gov Earned Value Management System

• Jerry Harper, jharper@doc.gov