Space and Naval Warfare Systems Center Atlantic Implementation of Contract Initiatives

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1 Space and Naval Warfare Systems Center Atlantic Implementation of Contract Initiatives Armed Forces Communications and Electronics Association (AFCEA) Low Country Luncheon 20 February 2013 Donna Murphy 20A Deputy Contracts Competency

2 Topics Pillar Award Status Multiple Award Contract (MAC) Task Order Process MAC Transition Tripwires Business Strategy and Operating Principles Niche Contracts 2

3 8(a) Setaside Pillar Award Status 4/23/12 PII ICO BA DS TCI 6/12/12 8/28/12 11/2/12 Projected Award 3/07/13 William Paggi 11/26/12 Preferred Set-aside 8/27/12 11/7/12 9/28/12 Projected Award 3/07/13 12/14/12 10/23/12 Small Business Set-aside 7/12/12 Projected Award 3/7/13 2/14/13 8/16/12 12/20/12 Projected Award 3/7/13 12/18/12 Projected Award 3/28/13 Projected Award 3/28/13 11/15/12 Projected Award 3/7/13 Projected Award 4/11/13 3

4 MAC Task Order Process Life Cycle Process Process Map Lower Level Processes Contract Concept of Operations (CONOPS) Processing Requirement Demand Signal Executing Requirements Pillar Contracts Command-Wide Contracts External MACs Niche Contracts Simplified Acquisition Contract Administration 4

5 MAC Process (Cont d) Processing Requirement Demand Signal Receive Demand Signal Initiate Work Acceptance Process Initiate Demand Signal Process Submit to Portfolio Common understanding of the work Resource decisions Inherently governmental determinations Cost estimates 5

6 MAC Process (Cont d) Task Order Decision Process Coordinate with Contract Resource Manager (CRM) Submit Description of Work, Period of Performance, Estimated Value Contract Strategy / Market Research Decision Develop Requirements Package Available contract vehicles Market survey Procurement history Small Business Rule of 2 Requirements Other Business Decisions 6

7 MAC Process (Cont d) Task Order Process Submit Planning PR Package Requirements Package Review Solicitation Preparation and Issuance (SeaPort-o) Proposal Receipt / Evaluation Task Order Award / Notice to Unsuccessful Offerors Cost and technical evaluations Tripwire analysis Business clearance approval Receipt of funded Purchase Request (PR) COR designation Issuance of award 7

8 Pillar Business and Technology Areas Note: 1. Use Sea Enterprise II (Global Install) MAC for All Navy Ship, Sub and Shore Modernization Installations Battlespace Awareness BA Business & Force Support Decision Superiority DS Integrated Cyber OPS ICO Transport & Computing Infrastructure TCI Production, Installation & In- Service Support PII BA Pref erred Pref erred DS Pref erred ICO Pref erred TCI Pref erred PII Pref erred BA DS ICO TCI PII BA DS ICO TCI PII SIGINT & EW Direction Finding Threat Warning Tagging/Tracking Locating Imagery Biometrics Information Operations Software Development of Business Solutions Non-Tactical Business Solution Network Support for DoD & Other Gov Agencies Hosting and Data Center Operations Command and Control Tactical System and Application Dev and Support Command and Operation Centers Tactical Data Links Cloud Services Information Assurance Cyber Security Computer Network Defense, Exploitation And Network Attack Cloud Security Local, Wide Area & Wireless Networks Data Center Design Terrestrial-Based Communications Satellite Comms Software Defined Radios Large scale C5ISR integration efforts 1 Surface Sub-Surface Shore Sites Foreign Military Sales (FMS) CASREPS ISEA Supp / Tech Assist Shipboard Grooms E2C & Integrated Systems Testing / Test Events 8

9 Example - Pillar ion Outsourcing Decision Made CRM selects MAC to Align Task Order Outcomes with Pillar Business and Technology Focus Areas 2.0 Assists Technical Competency with Business Size Market Analysis & Assigns Order to Appropriate Set Aside Category CRM Assigns Tracking Number(s) & IPT Starts 6.1 Processes Battlespace Awareness BA BA Preferred BA BA Business & Force Support Preferred Decision Superiority DS DS Preferred DS DS Integrated Cyber OPS ICO ICO Preferred ICO ICO Transport & Computing Infrastructure TCI TCI Preferred TCI TCI Production, Installation & In- Service Support PII PII Preferred PII PII Business & Force Support Preferred 9

10 MAC Transition 2.0 Reorganization Effective 29 January 2013 Establishment of 3 Task Order Divisions Charleston: 4 Branches Single Award Multiple Award 1 Branch Simplified Acquisition Supply MACs (Partial) Transition Pre-Award Contracting to 1 Division 10

11 MAC Transition (Cont d) 2.0 Reorganization New Orleans and Tidewater: Single Award, Multiple Award, Simplified Acquisitions Statement A: Approved for Public Release:. Distribution is unlimited (12 March 2013). 11

12 2.0 Organization WI LLI AM PAGGI CONTRACTI NG COMPETENCY LEAD 2.0 (Chief of the Contracting Office) DEPUTY 2.0A Donna Murphy CPI COR Program Manager Vacant ACAT Contracts HQ Only Tier 2 Non- ACAT Contracts 2.2 Vacant Tier 2 Policy & Strategic Initiatives 2.3 Kristy Penninger Tier 2 Task Orders Vacant Tier 3 Task Orders L. Rosenbaum Tier 3 Task Orders A. Orvin Tier 3 Large Contracts S. Harnig Tier 3 Purchase Card Program Linda Ward Orders 1 Jackie Luna Orders 2 Paula Somers Orders 1 Greg McHone Orders 2 Carol Lloyd Post Award Donna Johnson SAP/Materials Penny Leya New Orleans Cheryl Bruza Hampton Rds Stu Caffrey Pre Award 1 Erica Smoak Pre Award 2 Kelly Cannady 12

13 MAC Transition (Cont d) Workload Transition SeaPort-o Identify existing MACs to be uploaded Complete upload Complete SeaPort-o CONOPS Lower Level Processes Price/Cost analysis and cost realism SOO, PWS, QASP, Evaluation Criteria, Contract Type Technical evaluation and report Award decision Business Clearance Memorandum 13

14 MAC Transition (Cont d) Training Development Classroom Training Metric Development Go Live April 1! 14

15 most concern Tripwire Implementation Total Number of Tripwires 113 Events recorded in Enterprise Data Collection tool Pre-Award Labor Rates (22) Subcontractors after Award (14) Competitive One Bids (31) Other Direct Costs (43) Bridge Contract Actions (0) Best Value Source ion Premiums (3) Acquisition plans (0) Post-Award Other Direct Costs Best Value Premium Labor Rates Competitive One Bids Pre-Award 12 Subcontractors after award 14 Post-Award 15

16 Tripwire Implementation (Cont d) Templates Other Direct Costs Pre-Award Post-Award Best Value Source ion Premium Bridge Contract Action One Bids Post-Award Subcontract Adds Labor Rates Pre-Award Post-Award 16

17 Tripwire Implementation (Cont d) CDRLs Contract modification to include: Labor rate data Actual labor rate in excess of threshold ($120.19/hr) that was not originally specified in task order proposal Average actual labor rates compared to rates negotiated prior to task order award variance greater than 15% Other direct costs Charges greater than 10% of original task order amount Contract status report Assessing impact of Enterprise Contractor Manpower Reporting Application Reviewing Personally Identifiable Information (PII) concerns 17

18 Business Strategy and Operating Principles Maximize competition and small business participation The default is to use command pillar MACs or other existing inhouse command-wide contracts External MACs should be considered before creating new vehicles** External MACs may be preferred for follow-on Small Business requirements where incumbent is not an awardee on appropriate command Pillar MAC. Decrease the number of duplicative or redundant contract vehicles Decrease number of current niche contracts Change process for allowing niche contracts to be created **NOTE: This bullet and sub-bullet are currently under review. It is anticipated that this area will be updated in a future SBIOI. 18

19 Business Strategy and Operating Principles (Cont d) Niche contracts: Enable process to outsource to industry when requirements are not consistent with command MAC process Tightly monitored process Specific criteria 19

20 New/Emerging Technology or Service Capability Niche Contract Criteria/Strategy Proprietary or other Sole Source Conditions Niche Contract Areas Unplanned, Large Program Requirements Small Business Development Special Contracting Conditions Proprietary or other Sole Source Conditions Unique capability or service Unique systems, materials, or processes New or Emerging Technology/ Service Strategic gap/reach filler Vendor does not exist on current pillars Unplanned, Large Program requirements Avoid disrupting pillar or other command wide contract ceiling and follow-on strategy Special Contracting Conditions Not proprietary or sole source condition but unique situations Examples include time criticality, unique mods, unique personnel, special delivery conditions, or large system procurements Small Business Development New business entities Existing businesses that are not yet on pillars but offer a unique capability or service 20

21 QUESTIONS? 21

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