...Contract Administration and Change Issues Government Contract Law/LEG 505 [ June 3, 2011 ] Abstract Contract administration varies from contract to contract and contractor to contractor. There are many factors that come into play when dealing with contractors, government personnel and the demands that each party may bring to the table. The Contracting Officer must be able to handle the administration of the contract, communicate effectively with all stakeholders involved with the contract and ensure that any contractual issues are handled within the legal and federal guidelines for a timely resolution that does not affect the budget or scope of the contracts original intent. However, in the event the contract may need to be modified, the Contracting Officer needs to be fully aware of the appropriate steps to do so. Contract Administration and Change Issues The administration of a contract does not end once the contract is awarded. In all reality, the true administration happens after award and during the life of the contract. It is up to the Contracting Officer to balance the requirements of the Government and the needs of the contractor. It is their responsibility to ensure prompt payment for services rendered or products delivered and that the customer’s needs are being met as detailed in the terms and conditions of the contract. It is also the Contracting Officers role to balance the Government and customer and to ensure that all parties are being treated...
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...Contract Creation and Management Simulation LAW/531 January 4, 2012 Contract Creation and Management Simulation Eight months into a 1-year contract between Span Systems, a California e-banking software developer, and Citizen-Schwarz AG (C-S), a large German bank looking to break into the retail financial services market in America (University of Phoenix, 2009), C-S suddenly sent a letter to Span stating that deliverables were behind schedule and unacceptable. They wanted to rescind the contract and have all unfinished code transferred to them (University of Phoenix, 2009). The letter did not mention any of the problems that C-S was experiencing even though Span claims they have contributed significantly to the delays and quality issues. Span does not want to lose this contract because there is a bigger C-S contract in the works that Span would like to receive. They need to do some negotiating to be able to complete the current contract to C-S’s satisfaction and compete for the future contract. Breach of Contract Internal Escalation Procedure for Disputes According to the current contract, should any party believe itself aggrieved, that party shall file, in writing to the other party, for progressive management involvement. Depending on what level of management was requested to review the dispute, there was an associated allotted time period that needed to be observed. This was obviously violated when C-S demanded any unfinished code and threatened to rescind the...
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...The simulation “Contract Creation and Management” describes the issues and challenges in creating and maintaining the contract between Span Systems and its customer, Citizen-Schwarz AG (C-S), a German Bank. C-S hired Span Systems to create a transaction software package for use in banking transactions and signed a one-year, $6 million contract. During the course of this simulation, several issues regarding contract management arise. These issues include the quality of the product as well as the timeliness of its delivery. Ambiguity in requirements is a key contributing factor in delivery delays and negotiations are arduous. Span Systems is aware of these issues and needs to identify approaches to correct these problems to the satisfaction of C-S. The original contract lacks in specifics regarding many of the obstacles that Span Systems and C-S experience, such as performance, change control, communications and reporting, as well as product structure. The student who is working within this simulation has to decide between several approaches to resolve the situation in the best interest of Span Systems. The timeliness of Span System’s is largely due to the changes in user and system requirements that were underestimated during the contract creation stage. The growth of requirement was unanticipated and Span Systems staff now finds itself overwhelmed to some extend while trying to keep up with the changes and delivering the results on time. Because Span Systems staff is overwhelmed...
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...and Services – The possibility of adopting the NEC3 family of contracts Sustainable procurement for construction or engineering relies upon making value for money decisions over the life of the asset and not solely on capital costs. A value for money solution to meet user requirements relies upon the optimum combination of whole –life costs and quality. Any procurement strategy should identify the best way of achieving the projects objectives, taking into account the likes of key objectives, constraints, funding, risk and asset ownership. It is the optimum balance of these factors that one strives for. The procurement route is the means of achieving the procurement strategy. This will include the contract strategy that best meets the client’s needs. The contract strategy will determine the level of integration of design, construction and maintenance for a project. This should support the main project objectives in terms of the likes of risk allocation, incentivisation and delivery. There are many procurement routes available including traditional, design and build, prime contracting, management contracts and private finance initiative/public-private partnership. The NEC3 family of contracts is designed to be flexible enough to work in most currently available procurement routes. All parties involved in the project delivering process can be employed under one of the “family” of integrated NEC3 contract forms which allows the parties to benefit from back-to-back contractual...
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...1. The three main stages of negotiating Government contracts are fact-finding, preliminary stage, and negotiation or bargaining stage. The fact-finding session is where both the seller and buyer discuss the different elements of the proposal but mainly both activities are focusing on listening to what the other side is saying. The buyer is asking detailed questions in order to get information required for further analysis, and the seller is trying to answer those questions furnishing as much information as possible that will lead to a successful negotiation. The preliminary stage is used primarily to critique additional data or repriced inputs from the seller, and to narrow the negotiating range by resolving as many issues as possible. Both parties should try to determine the real objectives of the opposition. Lastly, the bargaining stage is what both parties result to if they’ve failed to reach an agreement on any major issues during the previous stages. Both parties are trying to reach a final agreement through the use of discussion, hard bargaining, and compromise, and negotiators are trying to get the most favorable terms possible for their organization. 2. There are several factors that can influence the negotiation such as thorough preparation, the use of a negotiation team, and the personal abilities and negotiator attributes. It is only through thorough preparation buyers can balance the initial disadvantage in the negotiation. The use of a negotiation team can influence...
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...scenario based questions • Follow ISAC approach: Identify the legal issues State the relevant law Apply the law Conclude Core Areas of Syllabus • • • • Essential elements of the legal system The law of obligations Employment law The formation and constitution of business organisations Capital and the financing of companies Management, administration and regulation of companies Legal implications of companies in difficulty or in crisis Governance and ethical issues relating to business • • • • Chapter 1 The English legal system The English legal system • Criminal law vs Civil law The main English civil courts • • • • House of Lords Court of Appeal County Court High Court of Justice Other courts • • • • Magistrates’ Court Employment Appeal Tribunal European Court of Justice European Court of Human Rights Chapter 2 Sources of English law Sources of English Law Case law Common law Legislation Direct legislation Indirect legislation Equity Sources of English Law • Literal rule • Golden rule • Mischief rule Chapter 3 Human rights Human Rights Act 1998 Purpose Derogation Human Rights Act 1998 Convention law Incompatible with convention Chapter 4 Formation of contracts Definition of contract A valid contract is a legally binding agreement, formed by the mutual consent of two parties. Essentials of a contract Three essential elements: • Agreement made by offer and acceptance •...
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...LESSON 2 – Contract Delays determine if a delay is excusable. determine if a delay is compensable. Homework Assignment 1 1. What clauses excuse the contractor’s failure to perform on time due to an act of God or the public enemy? 52.249-8(c) Except for defaults of subcontractors at any tier, the Contractor shall not be liable for any excess costs if the failure to perform the contract arises from causes beyond the control and without the fault or negligence of the Contractor. Examples of such causes include (1) acts of God or of the public enemy, (2) acts of the Government in either its sovereign or contractual capacity, (3) fires, (4) floods, (5) epidemics, (6) quarantine restrictions, (7) strikes, (8) freight embargoes, and (9) unusually severe weather. In each instance the failure to perform must be beyond the control and without the fault or negligence of the Contractor. 2. What events stated in these clauses, other than acts of God or the public enemy, would excuse a contractor’s failure to perform on time? 2, 3, 6, 7 and 8 3. Do any of the clauses in #1 entitle the contractor to an adjustment in the terms of the contract? If so what type of adjustment? ?? 4. What clauses can the Government use to order a suspension of work or a work stoppage? 52.242-14 and 52.242-15 5. For what types of contracts would each of the clauses in your answer to #4 be used? fixed-price construction or architect-engineer contract is contemplated: As prescribed...
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...The Australian Journal of Public Administration, vol. 66, no. 3, pp. 353–366 doi:10.1111/j.1467-8500.2007.00545.x RESEARCH AND EVALUATION From New Public Management to Public Value: Paradigmatic Change and Managerial Implications Janine O’Flynn The Australian National University Both practitioners and scholars are increasingly interested in the idea of public value as a way of understanding government activity, informing policy-making and constructing service delivery. In part this represents a response to the concerns about ‘new public management’, but it also provides an interesting way of viewing what public sector organisations and public managers actually do. The purpose of this article is to examine this emerging approach by reviewing new public management and contrasting this with a public value paradigm. This provides the basis for a conceptual discussion of differences in approach, but also for pointing to some practical implications for both public sector management and public sector managers. Key words: new public management, public value, role of managers Public sector reform has been a common experience across the world despite its different forms and foci (Pollitt and Bouckaert 2004). Commonly as scholars and practitioners we refer to the reforms of the last few decades as ‘new public management’ (NPM) which, for Hood (1991), represented a paradigmatic break from the traditional model of public administration. During this era several countries became...
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...the products necessary for meeting the needs of the project scope. Procurement management involves planning, soliciting sources, choosing a source, administering the contract, and closing out the contract. Procurement management, as far as your PMP exam is considered, focuses on the practices from the buyer’s pointof-view, not the seller’s. The seller can be seen as a contractor, subcontractor, vendor, or supplier. When buying anything from a vendor, the buyer needs a contract. A contract becomes a key input to many of the processes within the project. The contract, above anything else, specifies the rules and agreements for the project. Here’s a neat twist: when the seller is completing its obligations to supply a product, PMI treats those obligations as a project. In other words, if ABC Electricians were wiring a building for your company, ABC Electricians would be the performing organization completing its own project. Your company becomes the customer of their project—and is, of course, a stakeholder in their project. In the scenarios described in this chapter, the seller will be outside of the performing organization. The buyer will be managing a project and procuring resources from a vendor. However, all of the details in this chapter can be applied to internal work orders, formal agreements, and contracts between organizational units within a single entity. Planning for Procurement Procurement planning is the process of identifying which part of the project should be...
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...The Extent of the engineer’s power in approving contractors work? NEC project manager | FIDIC engineer | NEC venture director performs distinctive undertaking. The accompanying are the general exercises• He/she is a proactive director performing judgmental aptitude • He is key partner consequently helping with correspondence between the business and the temporary worker • Acts in a soul of shared trust and collaboration with the business, temporary worker and chief (clause 10.1) | FDIAC build additionally confronts has distinctive parts. The accompanying are the general parts• He goes about as an intermediary to the business henceforth performing every one of the exercises for the benefit of the business. This is additionally plot in (clause 3.1). "Acquires manager power for matters pre-concurred between the business and temporary worker as essential. Profits by apparent power to follow up for the benefit of the business in most different occasions" • He has the ability to settle on all choices and judgements including the significant choices with respect to the venture. This is appeared in article (clause 3.5) | Quality control• Represents as a watchman to the contractual specialist's arrangement and undertaking surrounding part of the assention and use of sub-provisional laborers. Considering and enduring the contractual laborer's arrangement, (clauses 21-23) expecting , any subcontractors (statement 26) and the proposed program (clause 31). • Answers inside the...
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...relevant for the completeness of revenues as the hours and costs(to be charged on to TFD) are recorded via this system. The ERP system is the core system for financial recording and data processing so regular measures have to be in place to ensure effective and efficient operations. TFD’s central IT department will gave issued procedures for this (including test, audits, authorisation matrix, maintenance procedures etc). Specials attention to safety and reliability issues of cloud application for renovation management (yearly evaluation and recommendations by IT-specialist) Segregations of duties The regular SoD have to be in place. The ERP system will enforce seperisation of authorisation, recording, checking functions (e.g. authorisation by management of contracts for renovation maintenance by management; recording of hours by mechanics, recording of repairs executed by mechanics, (sample) checking of repairs by call center employee; recording of purchases and items in stock by warehouse department; checking by administration) With regard to the completeness of revenues the segregation between recording man hours by the mechanics and checking (and final authorisation) of these hours by the region managers is imporrtant Budget and budgeting procedures The budget is based on number of repair jobs; number of expecvted turnover amintenance jobs (including manhours expected for these jobs) on and expected volume of turnover projects. Overhead costs such as...
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...Government Contracting and how do they impact both the Government and the Contractor. The Government going into a contract for supplies, services, or construction, has a primary goal of obtaining timely performance in tune with the contracts specification. Another goal of the government is to preserve the integrity of the competitive procurement system. In order to ensure that these goals are adhered to, various clauses are added to the contract that will give the government the ample rights to monitor performance and be able to take the necessary steps when it feels that the performance is unsatisfactory. The inspection, acceptance, and warranties clauses are some of these clauses that are included in the contracts, which allows the government to monitor its contracts. FAR 46.0 prescribe procedures and policies that ensure that services and supplies acquired through government contract should conform to the contract’s quality and quantity requirements. Included are inspection, acceptance, and warranty. “ Acceptance” means, “the act of an authorized representative of the government by which the government, for itself or as agent of another, assumes ownership of existing identified supplies tendered or approves specific rendered as partial or complete performance of the contract.” FAR 46.101. (Farsite.hill.af.mil). Inspection on the other hand, which involves either the government or the contractor, is primarily the means, which ensures...
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...Department of the Parliamentary Library INFORMATION AND RESEARCH SERVICES Current Issues Brief No. 18 2000–01 Outsourcing—For and Against ISSN 1440-2009 Copyright Commonwealth of Australia 2001 Except to the extent of the uses permitted under the Copyright Act 1968, no part of this publication may be reproduced or transmitted in any form or by any means including information storage and retrieval systems, without the prior written consent of the Department of the Parliamentary Library, other than by Senators and Members of the Australian Parliament in the course of their official duties. This paper has been prepared for general distribution to Senators and Members of the Australian Parliament. While great care is taken to ensure that the paper is accurate and balanced, the paper is written using information publicly available at the time of production. The views expressed are those of the author and should not be attributed to the Information and Research Services (IRS). Advice on legislation or legal policy issues contained in this paper is provided for use in parliamentary debate and for related parliamentary purposes. This paper is not professional legal opinion. Readers are reminded that the paper is not an official parliamentary or Australian government document. IRS staff are available to discuss the paper's contents with Senators and Members and their staff but not with members of the public. Published by the Department of the Parliamentary...
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...the Contract? Introduction Introduction Approximate Length: 1 hour 45 minutes Welcome to the What Is My Role in Managing the Contract? lesson. Upon completion of the lesson you will be able to answer these questions: What Is the COR's Role in Contract Administration? Why Should the COR Talk with the KO? What Makes Up a Contract? What Else Might I Encounter When Dealing with a Contract? Print Version For a printer friendly version of this lesson, select the icon on the left. To print a single page, select the 'Print' button at the top of the screen. Page 1 of 41 Review the lesson learning objectives. Recognize the basic information (period of performance, Performance Work Statement (PWS), contract value) found in a contract to include the uniform contract format. Identify methods of tracking contract obligations using Accounting Classification Requirements Number (ACRNS) and Contract Line Item Numbers (CLINs) in a contract. Recognize the COR’s role in tracking the contract schedule. Analyze contract schedule compliance, to include all Statement of Work (SOW) requirements and Contract Deliverable Requirements List (CDRL) deliverables. What Is My Role in Managing the Contract? Introduction Know Your Contract Page 2 of 41 Animated Vignette Alternative Note: The animated vignette does not employ the use of audio. Please select the Next button when the animated vignette is complete. What Is My Role in Managing the Contract? What Is the CORs Role in Contract Administration...
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...Candidate Details Assessment – BSB51407 – Procurement Please complete the following activities and hand in to your trainer for review. This forms part of your assessment. Name: _____________________________________________________________ Address: _____________________________________________________________ _____________________________________________________________ Email: _____________________________________________________________ Employer: _____________________________________________________________ Declaration I declare that no part of this assessment has been copied from another person’s work with the exception of where I have listed or referenced documents or work and that no part of this assessment has been written for me by another person. Signed: ____________________________________________________________ Date: ____________________________________________________________ If activities have been completed as part of a small group or in pairs, details of the learners involved should be provided below; This activity workbook has been completed by the following persons and we acknowledge that it was a fair team effort where everyone contributed equally to the work completed. We declare that no part of this assessment has been copied from another person’s work with the exception of where we have listed or referenced documents or work and that no part of this assessment has been written for us by another person. Learner 1: ____________________________________________________________ ...
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