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Navy Marine Corps Acquisition Regulation Supplementnmcars

Navy Marine Corps Acquisition Regulation Supplement

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5215.204 Contract format.


5215.204-5 Part IV--Representations  and Instructions.

(c) When a cost realism analysis is to be  performed, Section M, Evaluation Factors for Award, should include a notice that the  proposed costs may be adjusted, for purposes of proposal evaluation, based upon the  results of the cost realism analysis.




5215.300 Scope of subpart.

Submit request for waivers of DPC mandated  source selection requirements in paragraph 1.2 of the DOD Source Selection Procedures  Guide (DFARS PGI Subpart 215.3) to DASN(AP) by email at RDAJ& with  the subject [Activity Name] DFARS PGI 215.3 Source Selection Procedures Waiver. DPC is  the approval authority for acquisitions $1B or greater. DASN(AP) is the approval  authority for acquisitions below $1B.


5215.303 Responsibilities.

(a) When it is appropriate to have someone other  than the contracting officer act as Source Selection Authority (SSA) for reasons of high  dollar value, mission importance or political visibility, the HCA (or PEO, for  PEO-assigned efforts) may designate an alternate individual to be the SSA.

(S-90) The SSA policies below apply only to  competitively negotiated acquisitions covering the selection of one or more prime  development and or production contractors (including materiel solution analysis or the  initiation of preliminary, contract, or detailed design for ship development and  acquisition programs) as described in SECNAVINST 5000.2 series; and, to other  competitively negotiated acquisitions approved in advance by the assigned PEO, SYSCOM  commander, or DRPM; or the head of the contracting activity.

(a) ASN(RDA) for assigned ACAT IA programs, and  PEOs, SYSCOM commanders, and DRPMs for their assigned ACAT I, IA, and II programs, shall  be the SSA, unless otherwise specified by the USD(AT&L), DON CIO for ACAT IA  programs, SECNAV, or ASN(RDA). The ACAT I SSA responsibility may not be further  delegated. The ACAT IA SSA responsibility may be delegated. The ACAT II SSA  responsibility may be delegated to an individual who:

(1) If a member of the armed  forces, is a flag or general officer; or

(2) If a civilian, is a member of the SES (or in  a comparable or higher position under another schedule).

(b) PEOs, SYSCOM commanders, and DRPMs for their  assigned ACAT III, IV, and AAPs, and ASN(RDA) or designee for IT ACAT III, IVT, and AAPs  not assigned to PEOs, SYSCOM commanders, and DRPMs, shall designate the SSA at the time  approval is granted to use formal source selection procedures.

(c) The SSA for other competitively negotiated  acquisitions shall be as prescribed by the FAR, DFARS, or NMCARS, unless otherwise  directed by ASN(RDA).


5215.304 Evaluation factors and  significant subfactors.

(c) In accordance with SECNAVINST 4101.3A, all  acquisition programs with an energy-consuming end item shall ensure that the acquisition  team considers energy in making tradeoff decisions and develops an evaluation factor  (not sub-factor) for use in source selection.


5215.305 Proposal evaluation.

(a)(1) Cost or  price evaluation. Methods of evaluation which assign a point score to cost or  price and combine it with point scores for other evaluation factors generally should not  be used. Point scores can be helpful in summarizing subjective evaluation of technical  and other factors but are not needed in evaluating cost or price and tend to obscure the  tradeoff between cost/price and other factors, rather than clarifying it. If point  scoring of cost/price is utilized, it should be demonstrated that the value of a  cost/price point is comparable, in value to the Government, to the value of a  non-cost/price point. When a cost realism analysis is performed, the resulting realistic  cost estimate should be used in the evaluation of cost, except when using a  firm-fixed-price or fixed-price with economic price adjustment type of contract.

(4) Cost  information. The sharing of cost information with the technical evaluation team,  and any limitations on the timing and extent of such sharing, should be addressed during  the planning for the source selection. HCAs may establish specific procedural  requirements for approving, documenting and/or varying from plans related to such  sharing.

(S-90) Approval for use of contractor personnel  as evaluators is addressed in FAR Subpart 37.2 and 5237.204. Such contractor personnel  shall not rank or recommend one proposal over another, assign any ratings or numerical  scores, or otherwise act in a decision-making capacity. Whenever advisory contractor  personnel are to be used, a written release shall be obtained from each offeror.


5215.308 Source selection  decision.

Advisory bodies, such as Source Selection  Advisory Councils, must make a recommendation to the SSA and the recommendation shall be  in writing.




5215.403 Obtaining certified cost or  pricing data.


5215.403 1 Prohibition on obtaining  certified cost or pricing data (10 U.S.C 2306a and 41 U.S.C. Chapter 35).

(c)(3)(B) The annual contracting officer  determinations for Commercial Item Exceptions Report under FAR 15.403-1(b)(3) shall be  submitted via DASN(AP) by October 31st of each year by email at  RDAJ& with the subject [Activity Name] DFARS 215.403-1(c)(3)(B) -  Commercial Item Exceptions Report. In addition to the information required by PGI  215.403-1(c)(3)(B), reports shall include award date, contracting officer s name, and  contracting officer s telephone number.

(c)(4)(A) Submit the request for DPC approval  to use the exceptional circumstances waiver pursuant to DPC Class Deviation  2019-O0008, Section 890 Pilot Program to Accelerate Contracts and Pricing Processes,  via DASN(AP) by email at RDAJ& with the subject [Activity Name]  NMCARS 5215.403-1(c)(4)(A) Section 890 Pilot Program to Accelerate Contracting and  Pricing Processes.

(2) Senior  procurement executive coordination. Submit exceptional case Truth in  Negotiations (TINA) waivers that exceed $100 million via DASN(AP) for coordination  prior to approval by email at RDAJ& with the subject [Activity  Name] DFARS 215.403-1(c)(4)(A), -Exceptional TINA Case Waivers.

(c)(4)(B) An annual report of Truth in  Negotiations Act waivers shall be submitted to DASN(AP) by October 31st of each year  by email at RDAJ& with the subject [Activity Name] DFARS  215.403-1(c)(4)(B)- Truth In Negotiations Act Waivers Annual Report. Reports are to  include contract award date, contracting officer s name, and contracting officer s  telephone number. Where the Pilot Program was used, in accordance with DFARS Class  Deviation 2019-O0008:

(i) In lieu of the requirement to describe why  the item(s) could not be obtained without a waiver as required by DFARS PGI  215.403-1(c)(4)(B)(5), indicate that the exceptional circumstances waiver was applied  in accordance with the Section 890 Pilot Program.

(ii) In lieu of the requirement to demonstrate  the benefits of granting the waiver as required by DFARS PGI 215.403-1(c)(4)(B)(7),  provide the verifiable information submitted by the contractor in accordance with  paragraph (b) of the clause 252.215-7998, Pilot Program to Accelerate Contracting and  Pricing Processes (DEVIATION 2019-O0008).

(S-90) Submit the request for DPC approval of  a pilot program demonstrating the efficacy of using risk-based techniques to require  the submission of cost or pricing data pursuant to DPC memorandum Pilot Program  Regarding Risk-Based Contracting for Smaller Contract Actions Under the Truth in  Negotiations Act via DASN(AP) by email at RDAJ& with the subject  [Activity Name] NMCARS 5215.403-1(S-90) - Pilot Program Regarding Risk-Based  Contracting for Smaller Contract Actions Under TINA.


5215.403-3 Requiring data other than  certified cost or pricing data.

(6) Submit a courtesy copy of  the quarterly report to DASN(P) by email RDAJ& with the subject “[Activity Name] DFARS 215.403-3 HCA  Determination to Award to Offeror Failing to Comply with Requests for Other Than  Certified Cost or Pricing Data.”


5215.404 Proposal analysis.

5215.404-1 Proposal analysis techniques.

(d) Cost realism  analysis. A price analysis approach where there is adequate price history may also  be a suitable and efficient means to evaluate cost realism. The amount of data required  will be dependent upon the complexity of the procurement and the data already available  to the contracting officer (e.g. information on recent  Forward Pricing Rate Agreements (FPRAs)).


5215.406 Documentation.


5215.406-1 Prenegotiation  objectives.

(b)When the Director, Defense Contract Audit  Agency (DCAA) elevates an audit disagreement to DPC pertaining to a Navy contract(s),  the CCO shall provide notification to DASN(AP) by email at RDAJ&  with the subject [Activity Name] PGI 215.406-1 - DCAA Audit Disagreement. The email  should provide relevant details of the disagreement and the contracting officer s  position in the body of the email or attachments.

5215.406-90 Business clearance.

(a) Generally, pre-negotiation and  post-negotiation business clearances are required for each negotiated contract action.  Business clearance memoranda (BCM) document the basis for approval of the action, and  the basis for determination that the negotiated prices are fair and reasonable. (b)  For competitive acquisitions, the pre-BCM presents a chronology of the acquisition up  to the determination of competitive range and provides the basis for the competitive  range decision. The post-BCM continues the chronology to contract award and provides  the basis for the award decision. If award is made without discussions, on the basis  of original offers, the pre- and post-BCM may be combined. (c) For contracts and  modifications requiring price negotiations, the pre-BCM demonstrates to the approving  official that the Government is ready to enter into negotiations. It addresses salient  legal and regulatory requirements and sets forth the Government s negotiation  objectives. It generally includes a discussion of the bases for the contractor s  proposal and the Government objective, DCAA and other Government pricing  recommendations and the analysis done and conclusions reached by the negotiating team.  The post-BCM describes the results of negotiations, and documents the basis for  determining the negotiated price is fair and reasonable. Using the objective in the  pre-BCM as a base, it addresses the reasons for any difference between the initial  objective and the final negotiated amount. The pre- and post- BCM together constitute  the documentation required by FAR 15.406-3 and DFARS 215.406-3 and should provide all  the information required therein. In particular, the BCMs should document the use made  of field pricing assistance and describe the extent of Government reliance on the  contractor s certified cost or pricing data, if obtained, in sufficient detail to  provide a basis for Government recovery in the event any of the data proves  inaccurate, incomplete or not current.

(d) Annex 2, Business Clearance Memorandum,  contains the required content and recommended format to document decisions on contract  actions that are subject to business clearance requirements. If an activity plans to  use a format other than Annex 2, the activity shall notify DASN(AP) by submitting its  HCA approved alternate format by email at RDAJ& with the subject  [Activity Name] NMCARS 5201.690 Alternate Business Clearance Memorandum Format.




5215.606 Agency procedures.

(a) HCAs are responsible for establishing  procedures.

(b) HCAs are responsible for establishing  contact points.


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