2024 (latest) Updated AF Contracting Officer Study Guide (unofficial)AF Contracting Officer warrant board study questions.

Source Selection FAR 1.602-2; 3.104-4; 15.207 () Q: What are the CO's responsibilities in source selection? 1. Procedures to safeguard source selection information. 2. Approve access to/release source selection information. 3. Maintain SS evaluation records. Source Selection 2016 DoD Source Selection Manual, 1.4.1.2 () Q: What are the SSA responsibilities? 1. Proper and efficient conduct of SS process. 2. Appoint respective chairpersons. 3. Establish SS team and ensure their knowledge of policy/procedure. 4. Ensure pace is event and not schedule driven (realistic SS schedule). 00:37 01:14 Financing FAR 32.106 () Q: Name the different types of government financing in order of their preference 1. Private financing (most preferred). 2. Performance based payments. 3. Customary progress payments. 4. Guaranteed loans. 5. Unusual progress payments. 6. Advance payments (least preferred). Acquisition Strategy Panel (ASP) AFFARS 5307.104-92; AFICA MP 5307.104-92 () Q: Who prepares the ASP minutes, when are they prepared and who approves them? AIR FORCE ONLY Program manager, CO or Commodity Council Director prepares following the conclusion of the ASP briefing, and approved by the ASP chairperson. Cost Analysis FAR 15.404-1 (c) () Q: What is cost analysis? Review and evaluation of separate elements and profit of contractor's proposal. The application of judgment to determine how well proposed costs represent what the cost of the contract should be assuming reasonable economy and efficiency. Techniques include verification of cost or pricing data and evaluation of cost elements; projection of offeror's cost trends based on current/historical cost/pricing data; audit and negotiated indirect cost, labor and COM rates. IDIQ FAR 16.504 (a) () Q: How does the PCO compute the minimum and maximum quantity on an IDIQ contract? 1. Minimum-Should be more than a nominal quantity but should not exceed amount the Government is fairly certain to order. 2. Maximum - A reasonable max should be established by conducting market research trends on recent contracts for similar supply/svcs, survey of potential users, other rational basis. Estimating Systems FAR 15.407-5 () Q: Define estimating system and cost reimbursement. Estimating system is contractor's policies/procedures/practices for generating estimates. Includes organizational structure, internal controls, and managerial reviews, work flow, est methods, techniques, accumulation of historical costs and other analysis. Cost reimbursement - Contractor's ability to accurately and reliable estimate costs could lead to cost overruns and increased risk for the Government. Defective Pricing FAR 15.407-1 () Q: What are six conditions which must exist to have defective pricing? 1. Information fits the definition of cost and pricing data. 2. Accurate data was available to the contractor before the agreement on price. 3. Data was not accurate, current, complete as of date of agreement. 4. Data was not submitted to CO. 5. Government must have relied on the data. 6. An increase in cost as a result of Government reliance on the data. Contract Elements Common Law () Q: What are the essential elements of a contract? 1. Offer. 2. Acceptance. 3. Consideration. 4. Lawful purpose. 5. Competency of parties. 6. Certainty of terms. Economy Act 31 U.S.C. 1535; FAR 17.502-2 () Q: Describe the Economy Act Allows agencies to procure goods/services from other agencies at cost, a D&F is required. Intra-agency, activity within the Dod, you may not need D&F, Inter-agency, activity outside DoD like DOE, D&F signed by General or SES. Economy act does not apply to FSS acquisitions under FAR 8 or GSA, FPI, and other required sources of supplies. Contract Award FAR 32.703-2 () Q: You have just completed a long and complex negotiation for a large IDIQ contract and are ready to make award. In terms of funding, what must you ensure before awarding this contract? Sufficient funds are available to be obligated for minimum order quantity. Funds DoD Financial Management Regulation, Volume 3, Chapter 10, Appendix C () Q: When speaking of funds, what does "Current", "Expired", and "Cancelled" funds mean? 1. Current - funds available for obligation. 2. Expired - funds available only for recording, adjusting and liquidating obligations properly chargeable to the appropriation. Funding in this phase remains available for 5 years from the year the appropriation expires, regardless of the appropriation type. 3. Cancelled - funds not available for any purpose. Finance US Code, Title 31, Section 1502(a); DoD Financial Management Regulation (FMR) 7000.14-R, Volume 11A, Paragraph () Q: What is the Bona Fide Need rule? Appropriated funds will be obligated for effort that is a current, valid (legitimate) need/requirement that arises during the FY that the funding was appropriated. (i.e. current dollars for current needs). Current needs typically defined by when agency will use item or receive service. Can have lead-time exceptions. Advocate for Competition FAR 6.5 () Q: What is the Advocate for Competition? An employee of a contracting activity assigned the task of challenging barriers to competition/promoting full and open competition. 41 USC 418 requires each executive agency/contracting activity to appoint a competition advocate. Usually hig-rank employee reporting directly to the heads of their Agency or Activity. Cost Reasonableness and Cost Realism FAR 15.404 () Q: What is the difference between cost realism and cost reasonableness? 1. Cost realism - is the cost too low for the contractor to be successful with the contract action. The costs must be realistic for the work to be performed. Costs must reflect a clear understanding of the requirements and are consistent with the various elements of the offeror's technical proposal. 2. Cost reasonableness - Can the price be determined to be fair & reasonable through one of the methods as outlined in FAR. Price and/or cost analysis is used to determine reasonableness. Cost Reasonableness and Cost Realism FAR 15.404 () Q: What is realism? The analysis of reviewing/evaluating specific elements to determine if proposed cost is: stic for work to be performed, 2. reflects a clear understanding of the effort, and 3. is consistent with methods of performance /materials. Advocate for Competition FAR 6.502 () Q: What are the duties of the Advocate for Competition? 1. Promote full and open competition and challenging barriers to it. 2. Reviewing contracting operations to identify opportunities/actions necessary to achieve f&o competition and the conditions that unnecessarily restrict it. 3. Preparing annual reports. 4. Recommending goals and plans for increasing competition. 5. Recommending a system of personal and organizational accountability - one that motivates individuals to promote competition and recognizes those who do. 6. Train workforce on competitive acquisitions. Justification & Approval (J&A) AFFARS 6.304(a); AFICA MP 6.304(a) () Q: What are the J&A approval thresholds within the Air Force? AIR FORCE ONLY Dollar Thresholds............Operational Contracting =$700K..................................Contracting Officer $700K=$13.5M..................Competition Advocate $13.5M=$93M........PEO/Head of Procuring Activity $93M......................Senior Procurement Executive Clearance Approve Thresholds AFICA Appendix A () Q: What are the clearance approval thresholds? AIR FORCE ONLY - 771st ESS Dollar Thresholds............Operational Contracting $5M............................................................PCO $5 - $50M..................................................COCO Source Selection DoD Source Selection Manual; AFFARS MP 5315 () Q: What are the purpose of evaluation factors and the AF mandated factors? AIR FORCE ONLY The purpose is to describe how to meet requirements, are discriminators, what constitutes acceptability. Factors: Mission capability, Past Performance, Cost/Price. Changes Clause FAR 52.243-1 () Q: What type of changes are covered with the changes clause? 1. Drawings, designs, or specifications 2. Method of shipment or packing 3. Place of delivery Ratifications FAR 1.602 () Q: What is a ratification under FAR 1.602? The act of approving an unauthorized commitment. Ratification must: Svc/Supply provided or Gov't benefitted, ratification official has authority, resulting contract would have been appropriate anyway, price fair and reasonable, CO/Legal recommend payment, funds are/were available, action complies with agency procedures. Contractor Responsibility FAR 9.104-1 () Q: What are the elements to be looked at when determining if the contractor is responsible? 1. They have adequate financing. 2. Can comply with delivery requirements. 3. They have satisfactory past performance. 4. They have a satisfactory record of integrity/ethics. 5. They have the technical capability. 6. They have adequate equipment/facilities. 7. They are otherwise eligible by law/regulation Performance Based Payments FAR 32.10 () Q: What are the pro's and con's of performance based payments? Pros - Can be made for up to 90% of contract of CLIN price. Fully recoverable like progress payments, even if contractor default. Cons - If contractor doesn't meet goals, payments delayed, negative effect on cash flow. Performance Based Payments FAR 32.10 () Q: What is the intent of including performance based payments? Improve contractor's cash flow. Especially for contractors who don't have approved accounting system that are (needed)(required) for progress payments (based on cost). Certified Cost or Pricing Data FAR 15.402 () Q: What is the intent of obtaining certified cost or pricing data? 1. Ensure negotiations conducted on a level playing field. 2. Ensure Government has current/complete/accurate data. 3. Method of reducing negotiated amount based on impact of contractor providing data not current/accurate/complete. Technical Incentive 16.402-2 () Q: What is a tech incentive? What must the contractor provide (factors to consider) if proposing use of tech incentive. Factors for Tech Factor 1. Acquisitions that include development, production or application on innovative new technologies. Does not apply to studies, analyses, demonstrations. 2. Technology being applied or developed by contractor; technology complexity; maturity; performance specs/tolerances; delivery schedule, extent of warranty/guarantee. Military Equipment Chief Financial Officer's Act of 1990; DoDI 5000.64 (19 May 2011) () Q: What is MEV? Military Equipment Valuation 1. Method to capture values/cost for military equipment. 2. Apply categories to equip expenditures and financial statements. 3. DoD goal of improved financial reporting for military equipment. To implement Federal accounting standards requiring all military equipment with unit cost threshold be treated as capitalized assets. Provides sound financial stewardship of Congressional funding. CLINs now established to distinguish between capitalized vs. expenses items. PM, FM and CO all have roles in the process. Auditable accountability/visibility of Government property. Methodology to valude government property. ME has useful life 2 years, not for resale, used in performance of military missions, /$100K cost. Military Equipment Chief Financial Officer's Act of 1990; DoDI 5000.64 (19 May 2011) () Q: What is the definition of Military Equipment? 1. Weapon system used by armed forces to carry out battlefield mission 2. expected useful life of 2+ years 3. Not intended for sale in ordinary course of business 4. Doesn't lose identity or become part of another article. 5. Available for the use of reporting entity for intended purpose. 6. Value $100K will be MIL equipment or general equipment (i.e. test equipment) Funding FAR 32.702 () Q: What are the limitations on use of appropriated funds? 1. Can't expend/obligate in excess or advance of appropriation, apportionment or reapportionment. 2. Can't expend/obligate in advance of appropriation 3. Don't accept voluntary/personal services other than authorized law. 4. A violation of Purpose / Time / Amount may be a potential anti-deficiency violation. Funding 31 U.S.C. § 1301(a); Mr. Stephen M. Bodolay, 1996 WL , at 1, Comp. Gen. No. B-.2 (March 14, 1996); Hon. Bill Alexander, 63 Comp. Gen. 422, 427-428 (1984); Secretary of Interior, 34 Comp. Gen. 195, 196 (1954) () Q: What is the three-part test for purpose? 1. Must be for a particular statutory purpose, or necessary and incident to the proper execution of the general purpose of the appropriation. 2. Must not be prohibited by law. 3. Must not be otherwise provided for within scope of another appropriation. Award Fee Fiscal Law Deskbook, 2014, Chapter 5 () Q: What are the award fee funding requirements? 1. Award fee requirements must be budgeted in/funded with same appropriation/FY as effort. 2. Must be set-aside as contingent liability - don't rely on promise to pay back in future using different FY funds. Market Research FAR 10 () Q: A program manager has a new effort. As a business advisor (Contracting Officer), what information is needed to determine how you will acquire and where and how will you obtain the information? 1. Is effort adequately and correctly described? 2. Is the effort RDT&E, production, supply or service? 3. Government cost estimate and funds availability, typ, amount. 4. Market research; sources sought, research, industry day 5. Any existing contracts available (i.e. either within your Agency or in other Government departments). Unsolicited Proposals FAR 15.6 () Q: What five elements are found in a valid unsolicited proposal ? 1. Be innovative and unique. 2. Independently originated/developed by offeror. 3. Prepared without Government supervision, endorsement, direction, or involvement. 4. Include sufficient detail to permit determina