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Contracting Methods

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Sealed Contracting
The method of obtaining government contracts has changed considerably. Sealed bidding is less frequently used now than in the past. However, there are certain situations when sealed bidding is mandatory. According to the Federal Acquisition Regulation when preparing sealed bidding invitations must describe the requirements of the Government clearly, accurately, and completely. Unnecessarily restrictive specifications or requirements that might unduly limit the number of bidders are prohibited. The invitation includes all documents (whether attached or incorporated by reference) furnished prospective bidders for the purpose of bidding. As a result government contract practitioners still must familiarize themselves with processes that call for sealed bidding. In the mid-1990s, Congress made several changes to statutes related to processing acquisition of government contracts. Before these congressional amendments sealed bidding was the standard. In most cases sealed bidding is the preferred method for construction , so if the Seahawk helicopters and Cobra aircrafts are being purchased for that type of business it would be a better option.
Negotiated Contracting
These amendments gave federal contracting officers more opportunities to award contracts through the newer process competitive negotiation. The process begins when the CO issues a Request for Proposals. The RFP must, include the agency’s need, the terms and conditions of the contract and any other subfactors that the agency when awarding contracts. The CO typically evaluates offeror’s price proposal, past performance on government contracts and the offeror’s technical approach. FAR 15.305.
The CO can award a negotiated contract without any further negotiations through discussions. If CO conducts discussions they must identify the offerors that fall within the competitive range. This range is comprised of all the highly rated proposals. FAR 15.306. Sometimes when determining the competitive range, the CO engages in limited communications with all offerors.
Assume you are the contracting officer for the EPA and you are tasked to procure administrative support (including performing as a subject matter expert) on existing Telework and Wellness programs. Your task is to recommend how that requirement should be satisfied (using simplified acquisition procedures, contracting with sealed bidding, or contracting by negotiation).
As the contracting officer for the EPA when it comes to procure administrive support using contracting by negotiation would be the way to go. There are many negotiated contract typed that could be used.
Cost-plus-fixed-fee contract is a cost-reimbursement contract provides payment to the contractor of a negotiated fee is fixed at the inception of the contract. The fixed fee does not vary with actual cost, but may be adjusted as a result of changes with the work assignment. This contract type allows contracting for efforts that might otherwise present too great a risk to contractors, but it provides the contractor with minimum incentive to costs.
Fixed-price- redetermination provides for negotiation of prospective fixed prices to be paid in the future. The method determines the final total price until the project progresses to a point where both parties the cost of the performance and then negotiate the final price.
Part I: Explain how you would go about developing the statement of need; then provide examples of the information required; finally, include factors to be considered in the solicitation process
The Federal Trade Commission is an independent agency of the US, established in 1914 after the Federal Trade Commission Act was passed. The mission is to provide consumer protection and to reduce harmful anti- competitive business practices such as monopolies.
The objective of the statement of need is to allow the reader to learn more about the issue being addressed. The goal of this program is to provide a clear understanding with the differences between direct stores and indirect or authorize retailer within cell phone companies. Many consumers feel tricked by non-direct carriers have similar appearance with their store signs. Most indirect or authorized retailers have the carrier name in large print. In fine print is indirect channel information is then listed. There is a major need to promote consumer awareness on the policy differences between the two channels.
The FTC needs to mandate that all non- direct cell carriers to first put their companies name and then placed the direct cellular logo underneath. The FTC also needs to hold direct stores accountable for allowing their companies policy to be changed when products are sold by indirect dealers. Direct stores need to realize consumers see a logo and expect an honest sale.
The contracting officer for the FTC is responsible for ensuring execution of all necessary actions is effectively contracted. The new proprietary database will focus on Consumer Fraud and Abuse Prevention with cell phone providers. Strict guidelines need to be set on indirect and authorize retailers.
The CO has agreed with safeguarding the proprietary database program and the interests of the United States. In order to perform these responsibilities, contracting officers will exercise their business judgment.
Discuss the requirements and assess the primary risk factors associated; and how they can be mitigated with the acquisition of a proprietary database program. Be sure to cite the relevant FAR/federal guidelines in your recommendations.

The primary risk factors would be complete loss of the consumers trust. If the carriers are not able to provide a sustainable different between the channels then there’s a likely hood of law suits. Another risk associated with the scenario is if the indirect stores changes the look of their signs this may cause a decline in their company sales. On the flipside the same can be said about direct stores if they are able to have similar pricing and the same return policies their company sales could lower as well. This can be mitigated as a result of all three parties the consumer, direct and indirect stores. For the consumers it is their responsibility to read more carefully then when signing contracts and reading store types. For the stores it is their job to comprise in a way that is beneficial to themselves and the consumers. Having check and balances between the three parties will provide better outcomes for those involved in the matter.

References

Engelbeck, R. M. (2002). Acquisition management (2nd ed.). Vienna, VA: Management Concepts.

Federal Acquisition Regulation, Cost Reimbursement, Retrieved November 21, 2010 Web site: http://www.acquisition.gov/far/html/FARTOCP14.html

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