[Federal Register Volume 62, Number 51 (Monday, March 17, 1997)]
[Notices]
[Pages 12610-12622]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-6570]
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DEPARTMENT OF DEFENSE
Defense Logistics Agency
Cooperative Agreement Procedures
AGENCY: Defense Logistics Agency (DLA), DoD.
ACTION: Cooperative Agreements; Technical Revisions to Procedures.
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SUMMARY: These procedures implement Title 10, United States Code,
Chapter 142, as amended, which authorizes the Secretary of Defense,
acting through the Director, Defense Logistics Agency, to enter into
cost sharing cooperative agreements to support procurement technical
assistance programs established by state and local governments, private
nonprofit organizations, Tribal organizations, and Indian-owned
economic enterprises. Subpart III of this issuance establishes the
administrative procedures to be implemented by DLA to enter into such
agreements for this purpose. These technical revisions expand and
clarify these procedures.
EFFECTIVE DATE: April 1, 1997.
FOR FURTHER INFORMATION CONTACT: Mr. Sim Mitchell, Program Manager,
Office of Small and Disadvantaged Business Utilization (DDAS), Defense
Logistics Agency, 8725 John J. Kingsman Rd., Suite 2533, Fort Belvoir,
VA 22060-6221, Telephone (703) 767-1650.
Sim C. Mitchell,
Program Manager, Office of Small and Disadvantaged Business
Utilization.
I. Background Information
The Procurement Technical Assistance Cooperative Agreement Program
(PTACAP) was established by the Fiscal Year (FY) 1985 Department of
Defense (DoD) Authorization Act, Public Law 98-525. The Public Law
amended Title 10, United States Code (U.S.C.), by adding Chapter 142.
Title 10, U.S.C., as amended, continues to authorize the Secretary of
Defense, acting through the Director, Defense Logistics Agency (DLA),
to enter into cost sharing cooperative agreements to support
procurement technical assistance (PTA) programs established by eligible
entities.
DoD's efforts to increase competition in the private sector have
been supplemented by many state and local governments, and other
entities that operate PTA programs. The DoD PTACAP provides assistance
to eligible entities by sharing the cost of establishing new and/or
maintaining existing PTA programs.
The enabling legislation placed the following limitation on the use
of funds allocated to the program:
A. DoD's share of an eligible entity's net program cost shall not
exceed 50%, unless the eligible entity proposes to cover a distressed
area. If the eligible entity proposes to cover a distressed area, the
DoD share may be increased to an amount not to exceed 75%. In no event
shall DoD's share the net program cost exceed $150,000 for programs
providing less than statewide coverage or $3000,000 for programs
providing statewide coverage.
B. For the American Indian program, DoD's share of net program cost
shall not exceed 75% or $150,000, whichever is less, for programs
providing services on reservations within one Bureau of Indian Affairs
(BIA) service area. For programs providing services to 100% of the
reservations located within one BIA service area and at least 50% of
the reservations located within another BIA service area (multi-area
coverage), DoD's share of net program cost shall not exceed 75% or
$300,000, whichever is less.
C. No funds available to DoD may be provided by grant or contract
to any institution of higher education that has a policy of denying, or
which effectively prevents, the Secretary of Defense from obtaining for
military recruiting purposes--
1. Entry to campuses or access to students (individuals who are 17
years of age or older) on campuses; or
2. Access to directory information pertaining to students.
D. No funds appropriated or otherwise available to the Department
of Defense may be obligated by contract or by grant (including a grant
of funds to be available for student aid) to any institution of higher
education that, as determined by the Secretary of Defense, has an anti-
ROTC policy and at which, as determined by the Secretary, the Secretary
would otherwise maintain or seek to establish a unit of the Senior
Reserve Officer Training Corps or at which the Secretary would
otherwise enroll or seek to enroll students for participation in a unit
of the Senior Reserve Officer Training Corps at another nearby
institution of higher education. The term ``anti-ROTC policy'' means a
policy or practice of an institution of higher education that--
1. Prohibits, or in effect prevents, the Secretary of Defense from
maintaining or establishing a unit of the Senior Reserve Officer
Training Corps at that institution, or
2. Prohibits, or in effect prevents, a student at the institution
from enrolling in a unit of the Senior Reserve Officer Training Corps
at another institution of higher education.
The purpose of the proposed revised procedure is to make available
to all eligible entities the prerequisites, policies and procedures
that will govern the award of cooperative agreements by DLA. Also, this
procedure establishes the guidelines that will govern the
administration of cooperative agreements.
Although this procedure will affect all eligible entities desiring
to enter into a DLA awarded cooperative agreement, DLA has determined
that this procedure does not involve a substantial issue of fact or
law, and that it is unlikely to have a substantial or major impact on
the nation's economy or large numbers of individuals or businesses.
This determination is based on the fact that these technical revisions
of the cooperative agreement procedure implements policies already
published by the Office of Management and Budget (OMB) pursuant to
Title 31, U.S.C., Chapter 63, Using Procurement Contracts and Grants
and Cooperative Agreements. In addition, DLA cooperative agreements
will be entered into pursuant to the authorities and restrictions
contained in the annual DoD Authorization and Appropriation Acts.
II. Other Information
The language contained in the current cooperative agreement
procedure limited the period of coverage to the FY 96--98 Programs in
that it addressed the FY 96 Authorization Act requirements in specific
terms. These technical revisions to the procedures will expand and
clarify the general guidance for cooperative agreements entered into by
the DLA and will become a permanent document for the duration of the
FYs 97 and 98 Programs.
III. Technical Revisions to DLA Procedure--Cooperative Agreements
3-1 Policy
A. Applications for cooperative agreements are obtained through the
issuance of a DLA solicitation for cooperative agreement applications
(hereafter referred to as a SCAA). The contents of this procedure shall
be incorporated, in whole or in part, into
[[Page 12611]]
the SCAA to establish administrative requirements to execute and
administer DLA awarded cooperative agreements. The SCAA may include
additional administrative requirements that are not included herein.
B. The SCAA is issued by the PTACAP Manager (hereafter referred to
as Program Manager) of the DLA Office of Small and Disadvantaged
Business Utilization every third fiscal year, i.e., FY 96, FY 99, etc.
The Program Manager will respond to any SCAA questions that may arise.
C. Only one application will be accepted from a single eligible
entity. An entity that submits more than one application, or is listed
as a subagreement applicant in another entity's application will not be
considered for an award.
D. Applications will not be accepted from applicants that apply as
coequal partners or joint ventures. Only one organization can take the
lead and primary responsibility for the proposed program. In other
words, only one eligible entity can submit an application.
E. Applications will not be accepted from applicants who propose to
provide less than county or equivalent (i.e., parish, borough)
coverage. For example, if an applicant proposes to service any part of
a county or equivalent, the applicant must service the entire county or
equivalent.
F. Cooperative agreements will be awarded on a competitive basis
consistent with the SCAA. It is DLA's policy to encourage fair and open
competition when awarding cooperative agreements.
G. Letters of support and recommendation from Members of Congress
are not necessary and will not be considered in the evaluation and
selection of applications to receive cooperative agreement awards.
H. The SCAA shall be given the widest practical dissemination. It
will be made available to all known eligible entities and to those that
request copies after its issuance. All eligible entities interested in
submitting an application as a new start under the SCAA are invited to
participate in a pre-application conference scheduled for 20 March 1997
at DLA Headquarters, 8725 John J. Kingman Road, Ft. Belvoir, Virginia,
beginning at 9:00 AM. Potential attendees should notify Mr. Sim
Mitchell, (703) 767-1663, if they plan on attending.
I. The SCAA shall not be considered to be an offer made by DoD. It
will not obligate DoD to make any awards under this Program.
J. In the event that insufficient funds are available to award all
applicants that meet the minimum requirements, only those applicants
found to be the most meritorious will be funded for an award.
K. If selected for an award, the applicant is bound to perform the
services described in its application when the application is
incorporated into the cooperative agreement award document.
L. DoD is not responsible for any monies expended or expenses
incurred by applicants prior to the award of a cost sharing cooperative
agreement. However, actual travel expenses incurred by FYs 97 or 98
award recipients to participate in a FYs 97 or 98 pre-application and/
or postaward training conference may be reimbursed under the
appropriate cooperative agreement award (ie., Fys 97 or 98) subject to
the provisions of the applicable cost principles.
M. The award of a cooperative agreement under this Program shall
not, in any way, obligate DoD to enter into a contract or give
preference for the award of a contract to a business or firm which is
or becomes a client of a DLA cooperative agreement recipient.
N. Cooperative agreement recipients must give special emphasis to
assisting small disadvantaged business (SDB) firms and any historically
black colleges and minority institutions that participate or aspire to
participate in DoD prime and subcontracting opportunities. A concerted
effort must be made by recipients to identify SDB firms and provide
them with marketing and technical assistance, particularly where such
firms are referred for assistance by a DoD component, other Federal
agencies, and state and/or local governments.
O. Award recipients are not required to obtain or retain private,
profit and/or nonprofit consultants to support the program. Any
subcontract costs being proposed for consulting services shall not
exceed 10% of total program cost for the general program or 25% of
total program cost under the American Indian program. Applications
containing subcontracting costs for consultant services in excess of
10% of total program cost for the general program and 25% of total
program cost for the American Indian program, will be removed from
consideration for an award.
P. Reasonable quantities of government publications, such as
``Selling to the Military,'' may be furnished to award recipients at no
cost, subject to availability. All requests for such publications must
be submitted to the cognizant Deputy for Small Business.
Q. Each cooperative agreement recipient's area of performance will
be limited to the county(ies) or equivalent specified in its
cooperative agreement award. Recipients may voluntarily service clients
outside their area of performance provided that the client's location
is not being serviced by another PTA recipient. For the American Indian
program, the recipient's area of performance will be limited to the
reservation(s) specified in its cooperative agreement.
R. For the American Indian program, if a tribal organization is to
perform services benefiting other Indian tribe(s), written approval
must be obtained by the eligible entity from each Indian tribe it plans
to service. Approval will consist of a written statement (signed by a
responsible official authorized to legally bind the Indian tribe it
plans to service) indicating that the Indian tribe approves and agrees
to accept the services to be provided by the tribal organization.
S. Cooperative agreement awards shall not be made to entities
listed in the General Services Administration's (GSA) ``Lists of
Parties Excluded from Federal Procurement or Nonprocurement Programs.''
Cooperative agreements will not be awarded to entities who employ any
person listed in GSA's ``Lists of Parties Excluded from Federal
Procurement or Nonprocurement Programs.''
T. Applications submitted in response to the SCAA shall cover a 12
or 24-month period. All other applications proposing different periods
will not be considered for an award.
U. To be considered during the evaluation process, part-time PTA
program employees must be employed by the PTA program a minimum of
three calendar months per year for the base year and each of the option
years. Time employed must be performed continuously or incrementally
for each 12-month period.
V. Cooperative agreement recipients shall not purchase
nonexpendable tangible personal property with a delivery date later
than 90 days prior to the expiration of the cooperative agreement's
effective period. Cost of non-expendable tangible personal property
delivered later than 90 days prior to the expiration of the cooperative
agreement's effective period will be disallowed.
W. Cooperative agreement recipients will be authorized to use GSA's
subscription schedules. Usage will be limited to subscription services
only.
X. Cooperative agreement recipients are required to provide
information to
[[Page 12612]]
their clients relating to the objectives of the Government's Electronic
Commerce/Electronic Data Interchange (EC/EDI) initiatives which are as
follow:
1. Exchange procurement information such as solicitations, offers,
contracts, purchase orders, invoices, payments, and other contractual
documents electronically between the private sector and the Federal
government to the maximum practicable extent;
2. Provide businesses, including small, small disadvantaged, and
women-owned businesses with greater access to Federal procurement
opportunities;
3. Ensure that potential suppliers are provided simplified access
to the Federal government's electronic commerce system;
4. Employ nationally and internationally recognized data formats
that serve to broaden and ease the electronic interchange of data.
(These formats are the ANSI X-12 and UNEDIFACT formats); and
5. Use agency and industry systems and networks to enable the
Government and potential suppliers to exchange information and access
Federal procurement data.
Y. The recipient may add funds to its program after all program
funds are properly expended and before expiration of the cooperative
agreement's effective period. In the event funds are added to the
program, the reimbursable ratio will not be affected and the funds will
not require allocation by object class category. However, total funds
expended during the effective period must be reported on the DLA Form
1806, Procurement Technical Assistance Cooperative Agreement
Performance Report. The expenditure of additional funds shall be made
in accordance with the applicable cost principles.
Z. If the recipient charges or plans to charge a fee or service
charge for PTA given to business firms/clients, or receives any other
income as a result of operating the PTACAP, the amount of such
reimbursement must be added to total program cost.
3-2 Scope
This procedure implements Title 10, U.S.C., Chapter 142, as
amended, and establishes procedures and guidelines for the award and
administration of cost sharing cooperative agreements entered into
between DLA and eligible entities. Under these agreements, financial
assistance provided by DoD to recipients will cover the DoD share of
the cost of establishing new and/or maintaining existing PTA programs
which furnish PTA to business entities.
3-3 Definitions
The following definitions apply for the purpose of this procedure.
A. Act. The enabling legislation that authorizes the establishment
and continuation of the PTA Cooperative Agreement Program each fiscal
year.
B. Administrative Grants Officer (AGO). A person with the authority
to administer grants or cooperative agreements consistent with the
authority delegated by the Grants Officer.
C. Agency. A field office, of one of the twelve service areas, as
published by the Bureau of Indian Affairs (BIA), US Department of the
Interior.
D. American National Standards Institute (ANSI) Standard. A
document published by ANSI that has been approved through the consensus
process of public announcement and review. Each of these standards must
have been developed by an ANSI committee and must be revisited by that
committee within five years after approval for update.
E. Cash contributions. The recipients cash outlay, including the
outlay of money contributed to the recipient by third parties.
F. Civil jurisdiction. All cities with a population of at least
25,000 and all counties. Townships of 25,000 or more population are
also considered as civil jurisdictions in four States (Michigan, New
Jersey, New York, and Pennsylvania). In Connecticut, Massachusetts,
Puerto Rico and Rhode Island where counties have very limited or no
government functions, the classifications are done for individual
towns.
G. Client. A recognized business entity, including a corporation,
partnership, or sole proprietorship, organized for profit or nonprofit,
which is small or other than small, that has the potential or is
seeking to market its goods and/or services as a prime or subcontractor
to DoD, other Federal agencies, state and/or local governments. For the
American Indian program, the client must be located on a reservation.
H. Commercial Item.
1. Any item, other than real property, that is of a type
customarily used for nongovernmental purposes and that--
a. Has been sold, leased, or licensed to the general public; or,
b. Has been offered for sale, lease, or license to the general
public;
2. Any item that evolved from an item described in paragraph 1. of
this definition through advances in technology or performances and that
is not yet available in the commercial marketplace, but will be
available in the commercial market place in time to satisfy the
delivery requirements under a Government solicitation;
3. Any item that would satisfy a criterion expressed in paragraphs
1. or 2. of this definition, but for--
a. Modifications of a type customarily available in the commercial
marketplace; or
b. Minor modifications of a type not customarily available in the
commercial marketplace made to meet Federal Government requirements.
``Minor'' modifications means modifications that do not significantly
alter the nongovernmental function or essential physical
characteristics of an item or component, or change the purpose of a
process. Factors to be considered in determining whether a modification
is minor include the value and size of the modification and the
comparative value and size of the final product. Dollar values and
percentage may be used as guideposts, but are not conclusive evidence
that a modification is minor;
4. Any combinations of items meeting the requirements of paragraphs
1., 2., 3., or 5. of this definition that are of a type customarily
combined and sold in combination to the general public;
5. Installation services, maintenance services, repair services,
training services, and other services if such services are procured for
support of an item referred to in paragraphs 1., 2., 3., 4. of this
definition, and if the source of such services--
a. Offers such services to the general public and the Federal
Government contemporaneously and under similar terms and conditions;
and
b. Offers to use the same work force for providing the Federal
Government with such services as the source uses for providing such
services to the general public;
6. Services of a type offered and sold competitively in substantial
quantities in the commercial marketplace based on established catalog
or market prices for specific tasks performed under standard commercial
terms and conditions. This does not include services that are sold
based on hourly rate without an established catalog or market price for
a specific service performed;
7. Any item, combination of items, or service referred to in
paragraphs 1. through 6., notwithstanding the fact that the item,
combination of items, or service is transferred between or among
separate divisions, subsidiaries, or affiliates of a contractor; or
8. A nondevelopmental item, if the procuring agency determines the
item was developed exclusively at private expense and sold in
substantial
[[Page 12613]]
quantities, on a competitive basis, to multiple State and local
governments.
I. Consultant services. Marketing and technical assistance obtained
from private nonprofit and/or profit making individuals, organizations
or otherwise qualified business entities to augment the capabilities of
the PTA center.
J. Cooperative agreement. A binding legal instrument reflecting a
relationship between DLA and the recipient of a cooperative agreement
when the principal purpose of the relationship is to transfer a thing
of value of the recipient to carry out a public purpose of support of
stimulation authorized by a law of the United States instead of
acquiring property or services for the direct benefit or use of the
U.S. Government. Substantial involvement is expected between DLA and
the recipient when carrying out the activity contemplated in the
agreement.
K. Cooperative agreement Application. An applicant's response to
the SCAA describing its planned PTA program.
L. Cooperative agreement award recipient. An organization receiving
financial assistance directly from DLA to carry out a PTA program.
Awards will only be made to legal entities recognize under the laws in
the State in which the entity is organized.
M. Cost matching or sharing. The portion of project or program
costs or borne by the Federal Government.
N. Counseling session. A documented counseling session (telephone
call, correspondence or personal discussion) held with a business firm/
client, where professional guidance is provided to assist the business
firm/client in marketing its goods and/or services to DoD, other
Federal agencies, and state and local government. This includes, but is
not limited to, providing advice and assistance such as:
1. Assisting business firms by providing marketing and technical
assistance in selling their goods and/or services to DoD, other Federal
agencies, and state and local governments;
2. Assisting with understanding specifications;
3. Preparing applicants to be placed on solicitation mailing lists;
4. Preparing offers;
5. Providing postaward assistance in areas such as production,
quality system requirements, finance, engineering, transportation and
packaging; and
6. Providing information to business firms/clients on the DoD
Mentor-Protege Pilot Program; Defense Conversion, Reinvestment and
Transition Assistance Act of 1992; The Metric Conversion Act;
Electronic Commerce/Electronic Data Interchange (EC/EDI); and
commercial item acquisitions.
The distribution of publications, specifications, bid matches or
simply referring business firms/clients to another source for advice or
assistance is not a counseling session.
O. Direct cost. Any cost that can be identified specifically with a
particular final cost objective. No final cost objective shall have
allocated to it as a direct cost any cost, if other costs incurred for
the same purpose, in like circumstances, have been included in any
indirect cost pool to be allocated to that or any other final cost
objective.
P. Distressed area. The geographical area to be serviced by an
eligible entity in providing PTA to business firms physically located
within an area that:
1. Has a per capita income of 80% or less of that State's average;
2. Has an unemployment rate that is one percent greater than the
national average for the most recent 24-month period in which
statistics are available; or
3. Is a ``reservation'' which includes Indian reservations, public
domain Indian allotments, former Indian reservations in Oklahoma, and
land held by incorporated Native groups, regional corporations, and
village corporations under the provisions of the Alaska Native Claims
Settlement Act.
Q. Duplicate coverage. A situation caused by two or more applicants
offering to provide marketing and technical assistance to clients
located within the same county(ies) or equivalent within the same
geographic area.
R. Electronic Commerce (EC). The end-to-end, paperless business
environment that integrates electronic transfer and automated business
systems. EC includes EDI, FAX, Bar Coding, Electronic Funds Transfer,
etc.
S. Electronic Commerce in Contracting (ECIC). Refers to electronic
procurement transactions.
T. Electronic Data Interchange (EDI). A subset of EC. EDI is the
computer-to-computer exchange of routine business transactions.
U. Eligible entities. Organizations qualifying to submit an
application as follows:
1. General Program:
a. State government. Any of the several states of the United
States, the District of Columbia, the Commonwealth of Puerto Rico, any
territory or possession of the United States, or any agency or
instrumentality of a State, exclusive of local governments. The term
does not include any public and Indian housing agency under the US
Housing Act of 1937.
b. Local government. A county, municipality, city, town, township,
local public authority (including any public and Indian Housing agency
under the US Housing Act of 1937), school district, special district,
intrastate district, council of governments (whether or not
incorporated as a nonprofit corporation under State law), any other
regional or interstate government entity (such as regional planning
agencies), or any agency or instrumentality of a local government. The
term does not include institutions of higher education and hospitals.
c. Private, nonprofit organizations.
(1) A business entity organized and operated exclusively for
charitable, scientific, or educational purposes, of which no part of
the earnings inure to the benefit of any private shareholder or
individual, of which no substantial part of the activities is carrying
on propaganda or otherwise attempting to influence legislation or
participating in any political campaign on behalf of any candidate for
public office, and which are exempt from Federal income taxation under
section 501 of the Internal Revenue Code.
(2) American Indian Program:
(a) Indian Economic enterprise. Any Indian-owned (as defined by the
Secretary of the Interior) commercial, industrial, or business activity
established or organized, whether or not such economic enterprise is
organized for profit or nonprofit purposes: Provided, That such Indian
ownership shall constitute not less than 51 per centum of the
enterprise.
(b) Indian/Tribal Organization. The recognized governing body of
any Indian tribe; any legally established organization of Indians which
is controlled, sanctioned, or chartered by such governing body, or
which is democratically elected by the adult members of the Indian
community to be served by such organization and which includes the
maximum participation of Indians in all phases of its activities:
Provided, that in any case where a cooperative agreement is made to an
organization to perform services benefitting more than one Indian
tribe, the approval of each such Indian tribe shall be a prerequisite
to the letting or making of such cooperative agreement.
V. Existing program. Any PTA program that had a cooperative
agreement with DLA for one or more years.
W. Federal funds authorized. The total amount of Federal funds
obligated by the Federal government for use by the recipient.
[[Page 12614]]
X. Follow-up counseling session. A counseling session held with a
client subsequent to the initial counseling session.
Y. Grants officer. An official with the authority to enter to,
administer, and/or terminate grants or cooperative agreements.
Z. Indian. Any person who is a member of any Indian tribe, band,
group, pueblo, or community which is recognized by the Federal
Government as eligible for services from the BIA and any ``Native'' as
defined in the Alaska Native Claims Settlement Act (43 U.S.C. 1601 et.
seq.).
AA. Indian tribe. Any Indian tribe, band, group, pueblo, or
community, including Native villages and Native groups (including
corporations organized by Kenai, Sitka, and Kodiak) as defined in the
Alaska Native Claims Settlement Act (43 U.S.C. Section 1601 et seq.),
which is recognized by the Federal Government as eligible for services
from the Bureau of Indian Affairs.
AB. Indirect cost. Any cost not directly identified with a single
final cost objective, but identified with two or more final cost
objectives or an intermediate cost objective. An indirect cost is not
subject to treatment as a direct cost.
AC. Initial counseling session. The first counseling session held
by a recipient with a business firm. The initial counseling session may
determine that the business firm has no potential to do business with a
Federal agency and/or state and local government.
AD. In-kind contributions. The value of noncash contributions
provided by the eligible entity and non-Federal parties to the PTA
Program. Only when authorized by Federal legislation may property or
services purchased with Federal funds be considered as in-kind
contributions. In-kind contributions may be in the form of charges for
real property and nonexpendable personal property and the value of
goods and services directly benefiting and specifically identifiable to
the project or program.
AE. Integrated automated information environment. Computer-to-
computer exchange of public standard formatted messages through use of
a VAN.
AF. Multi-area coverage. A PTA program that proposes to service
100% of the reservations located within one BIA service area and at
least 50% of the reservations located within another BIA service area.
AG. Net program cost. The total program cost from all authorized
sources--less any program income and/or other Federal funds not
authorized to be shared.
AH. Networking. A method of providing assistance throughout the
area to be serviced. Examples include:
1. Locating assistance offices in area of industrial concentration;
2. Establishing and/or maintaining data links with other
organizations; and
3. Creating data exchanges.
AI. New start. An eligible entity that is not an existing program.
AJ. Non-profit agencies representing the blind and severely
disabled. A qualified nonprofit agency for the blind or the severely
disabled which produces a commodity for, or provides a service to, the
Government. For the PTACAP workshops may be treated as small
businesses.
AK. Other Federal funds. Federal funds such as those provided by
Federal agency(ies) other than the DoD PTA Cooperative Agreement
Program. When authorized by statute, Federal funds received from other
sources, including grants, may be used as cost sharing and/or cost
matching contributions.
AL. Outlays/expenditures. Charges made to the PTA program. They may
be reported on a cash or accrual basis.
1. Cash basis. For reports prepared on a cash basis, outlays are of
the sum of:
a. Cash disbursements for direct charges for goods and services;
b. The amount of indirect expense charged;
c. The value of third party in-kind contributions applied; and
d. The amount of cash advances and payments made to subrecipients.
2. Accrual basis. For reports prepared on an accrual basis, outlays
are the sum of:
A. Cash disbursements for direct charges for goods and services;
b. The amount of indirect expense incurred;
c. The value of in-kind contributions applied:
d. The net increase (or decrease) in the amounts owned by the
recipient for goods and other property received, for services performed
by employees, contractors, subrecipients and other payees; and
e. Other amounts becoming owed under programs for which no current
services or performance are required.
AM. Per capita income. The estimated average amount per person of
total money income received during the calendar year for all persons
residing in a given political jurisdiction as published by the U.S.
Department of Commerce, Bureau of the Census.
AN. Prior approval. Written approval given by an authorized
official evidencing prior consent as required by the cooperative
agreement award document.
AO. Procurement Technical Assistance Cooperative Agreement Program
(PTACAP). A program established to generate employment and improve the
general economy of a locality by assisting business firms in obtaining
and performing under DoD, other Federal agency and state and local
government contracts.
AP. Program income. Gross income earned by the recipient or
subrecipient from cooperative agreement-supported activities. Program
income includes fees for services performed, and the use or rental of
personal property acquired with cooperative agreement funds. Except as
otherwise provided in program regulations or the terms and conditions
of the award, program income does not include the receipt of principal,
interest or loans, rebates, credits, discounts, refunds, etc., or
interest earned on any of them.
AQ. Public Standard Format. A data exchange format which includes
the ANSI format ASC X-12 and/or the United Nations Electronic Data
Interchange for Administration, Commerce and Transport (UNEDIFACT).
AR. Reservation. Includes Indian reservations, public domain Indian
allotments, former Indian reservations in Oklahoma, and land held by
incorporated Native groups, regional corporations, and village
corporations under the provisions of the Alaska Native Claims
Settlement Act [43 U.S.C.A., Section 1601 et seq.].
AS. Service area. Any one of twelve area offices, as published by
the U.S. Department of the Interior, BIA, to include: Aberdeen,
Albuquerque, Anardako, Billings, Eastern, Juneau, Minneapolis,
Muskogee, Navajo, Phoenix, Portland and Sacramento.
AT. Small business (SB). As used in this solicitation, a business,
including its affiliates, that is independently owned and operated, not
dominant in the field of operation in which it is bidding on Government
contracts, and qualified as SB under the criteria and size standards in
13 CFR 121.
AU. Small disadvantage business (SDB). As used in this
solicitation, a SB concern that is at least 51 percent unconditionally
owned by one or more individuals who are both socially and economically
disadvantage, or a publicly owned business that has at least 51 percent
of its stock unconditionally owned by one or more socially and
economically disadvantaged individuals and that has its management and
daily business controlled by one or more such
[[Page 12615]]
individuals. This term also means a SB concern that is at least 51
percent unconditionally owned by an economically disadvantaged Indian
tribe or Native Hawaiian organization, or publicly owned business that
has at least 51 percent of its stock unconditionally owned by one of
these entities, that has its management and daily business controlled
by members of an economically disadvantaged Indian tribe or Native
Hawaiian organization that meets the requirement of 13 CFR 124.
AV. Solicitation for cooperative agreement applications (SCAA). A
document issued by DLA containing provisions and evaluation factors
applicable to all applicants which apply for a PTA cooperative
agreement.
AW. Statewide coverage. A PTA program which proposes to service at
least 50% of a State's counties or equivalent and 75% of the States's
labor force.
AX. Subrecipent. The legal entity to which a written subagreement
is awarded and which is accountable to the recipient of a cooperative
agreement for DLA and any modification(s) thereto.
AY. Third party in-kind contributions. The value of non-cash
contributions provided by non-Federal third parties. Third party in-
kind contributions may be in the form of real property, equipment,
supplies and other expendable property, and the value of goods and
services directly benefiting and specifically identifiable to the
PTACAP.
AZ. Total program cost. All allowable costs as set forth in OMB
Circular A-21, A-87 and A-122, as applicable.
A1. Total program outlays. All charges made to the PTA program.
These charges include cash disbursements for direct charges for goods
and services, the amount of indirect expense charged, the value of in-
kind contributions applied, and the net increase (or decrease) in the
amounts owed by the recipient for goods and other property received for
services performed by employees, contractors and other payees, and
other amounts becoming owed under programs for which no current
services or performances are required.
A2. Unliquidated obligations. For financial reports prepared on a
cash basis, means the amount of obligations incurred by the recipient
that has not been paid. For reports prepared on an accrued expenditure
basis, they represent the amount of obligations incurred by the
recipient for which an outlay has not been recorded.
A3. Unobligated balance. The portion of the funds authorized by DLA
that has not been obligated by the recipient which is determined by
deducting the cumulative obligations from the cumulative funds
authorized.
A4. Value added network (VAN). A commercial telecommunications
service provider which passes electronic commerce traffic between a
government entity and a commercial, private sector vendor.
A5. Woman-owned small business (WOB). A small business concern--(i)
which is at least 51 per centum owned by one or more women; or in the
case of a publicly owned business, at least 51 per centum of the stock
of which is owned by one or more women; and (ii) whose management and
daily business operations are controlled by one or more women.
3-4 Program Purpose and Requirements
A. The purpose of the PTACAP is to generate employment and to
improve the general economy of a locality by assisting business firms
in obtaining and performing under Federal, state and local government
contracts.
B. Each PTA center must meet these minimum requirements set forth
below. Failure to meet any of these requirements will be cause to deny
or terminate an award.
1. Service Area.
Analyze the service area to identify its geographic and demographic
characteristics. The applicant must maintain and provide information
regarding the characteristics of the local economy (distressed or
nondistressed) and the type of business firms located in the service
area (SB, WOB, SDB, OTSB). Informaiton must include:
a. An explanation how the business community will be made aware of
the PTA Program; the types of assistance being offered to clients; what
is required from a business firm to become a PTA center's client; and
the impact the PTA center will have in generating employment within the
service area.
b. The total number of counties or equivalent within the State and
the identification of each county the applicant plans to service.
c. The average unemployment level for each county the applicant
plans to service.
d. The average per capita income of the State and each county the
applicant plans to service.
e. The total number of procurement outreach conferences the
applicant plans to sponsor.
f. The total number of procurement outreach conferences the
applicant plans to participate in other than as a sponsor.
g. The state's total population and the percent of the population
that the applicant plans to service.
h. The total number of SB, WOB, SDB, and OTSB the applicant plans
to service.
2. Counseling and Client Information.
Applicants must provide clients with counseling and information
regarding marketing their goods and services to DoD, other Federal
agencies, and state and local governments. The applicant shall:
a. Analyze the types of business firms within their geographic area
to determine the types to be counseled (by product or service offered).
b. Shall maintain regulations and publicaitons (or identify sources
for obtaining) that govern Federal, state and local government
procurement, as applicable.
c. Identify marketing opportunities for clients consistent with
their products and services.
d. Assist and advise clients concerning post award functions.
e. Educate clients in the following areas:
(1) DoD mentor-protege Pilot Program.
(2) Defense Conversion, Reinvestment and transition Assistance Act
of 1992.
(3) The Metric Conversion Act
(4) The requirements and procedures used by DoD and other Federal
agencies in the acquisition of commercial products.
f. Maintain records to document services provided during all
counseling sessions (initial and follow-up) to include preparation of
bidders mailing list applications.
3. Electronic Commerce/Electronic Data Interchange.
EC/EDI)--Applicant must provide its clients with information
pertaining to Electronic Commerce in Contracting (ECIC), including the
routine computer exchange of procurement information such as
solicitations, offers, contracts, purchase orders, invoices, payments,
and other contractual documents electronically exchanged between the
private sector and the Federal Government, to the maximum extent
practicable, using ANSI ASC X-12 standards. Information to be provided
to the client should include:
a. An explanation of how the business community will benefit from
using EC/EDI.
b. A complete understanding of the Federal Government EC/EDI
program to include:
(1) An identification and explanation of the functions of the
various components of EC/EDI, such as Value Added network (VANs) and
Value Added Services (VASs), Government
[[Page 12616]]
gateways and networks, translation software, necessary hardware, and
the Central Contractor Registration (CCR) system.
(2) An explanation of current OSD and Federal policies regarding
ECIC.
(3) An explanation of transaction sets and implementation
conventions.
(4) An explanation of the impact and applicability of the Internet
on ECIC, including identification of Government home pages, electronic
catalogs, electronic bulletin boards and other relevant net sites.
(5) Explanation of FACNET requirements and DoD and Federal efforts
(and status) on meeting these requirements.
4. Postaward Assistance.
Applicant must assist, as appropriate, their clients with
understanding Federal, state and local government requirements
applicable to contracting for services, manufacturing, construction or
other markets. As a minimum, the assistance should include but is not
limited to:
a. Production
b. Quality System
c. Accounting system requirements, and contract payments
d. Transportation
e. Packaging
f. Subcontracting
g. Property
5. Performance Reporting.
The PTA center shall collect sufficient information from its
clients to supplement information maintained in its files to report
current, complete and accurate information required by the Procurement
Technical Assistance Cooperative Agreement Performance Report (DLA Form
1806). The DLA Form 1806 shall be submitted to the cognizant contract
administration activity on a semiannual basis. the PTA center shall:
a. Segregate data by origin of award (DoD, other Federal agency,
state and local government) and type of business (small and other than
small) and socioeconomic status of the business receiving the award
(SB, SDB, WOB, OTSB).
b. Have on file:
(1) A minimum of five success stories attesting to the PTA provided
to DoD clients during the base and each option year. Each success story
must be verified by a letter from the applicant's client stating that
the story is true and has resulted from substantial effort on behalf of
the client by the PTA center. Success stories involving DoD non-
appropriated fund activities (Army/Air Force exchange service, etc.)
can be used to satisfy this requirement.
(2) The number and dollar value of prime and subcontract awards
received.
(3) A means of validating the number and dollar value for prime and
subcontract awards received.
(4) A signed statement from the client confirming that the reported
prime and/or subcontract awards were obtained as a result of the
assistance provided by the PTA center.
(5) When requested by the reviewing activity, obtain detailed
information such as: the contract awarding activity; name and telephone
number of the point of contact at the contract awarding activity; and
the contract number and dollar value of prime and/or subcontract awards
from the client to support the information reported on the DLA Form
1806, when the information is not available in the PTA center's files.
c. Have on file for the PTA center the number of jobs generated
and/or retained for the base and each option year resulting from the
assistance provided by the PTA center.
6. Client Satisfaction.
Clients serviced by the award recipient shall be surveyed annually,
as a minimum, to document client satisfaction with the assistance
provided by the PTA center. The client shall be requested to assess the
performance of the PTA center and its personnel in terms of:
a. Timeliness and responsiveness to general and specific client
needs;
b. Flexibility and ability to change with evolving client
circumstances;
c. Commitment to the client's stated goals;
d. Training offered and received, as appropriate; and,
e. Overall capability to provide relevant advice and assistance to
the client.
Clients shall rate the PTA center as satisfactory or
unsatisfactory. The file will reflect, in sufficient detail, the PTA
center's efforts to overcome areas of client dissatisfaction. The above
information will be compiled, documented and maintained as a part of
each client's permanent file, and as a collective report for the entire
PTA center. The client rating information shall be made available to
the Grants Officer or designated representative for review upon
request.
C. PTA Center Operating Hours.
1. The recipients shall operate their PTA centers on a forty (40)
hour week basis, or during the normal business hours of the state or
local government or PTA center's parent organization throughout the
effective period of the cooperative agreement. Vacation benefits and
holidays allowed to the staff of the recipient and subrecipient(s)
shall conform to the policy of the state or local government or PTA
center's parent organization.
2. The subrecipient shall provide PTA on a daily basis during the
normal business hours of the subrecipient's parent organization
throughout the effective period of the cooperative agreement. Vacation
benefits and holidays allowed to the staff of the subrecipient shall
conform to the policy of the subrecipient's parent organization.
3-5 Procedures
A. The SCAA and selection criteria are developed and prepared by
the Headquarters (HQ), DLA PTA Cooperative Agreement Program Manager
(hereafter referred to as Program Manager). The SCAA and selection
criteria are approved by the HQ DLA PTA Cooperative Agreement Program
Policy Committee (hereafter referred to as Policy Committee). The
Policy Committee is comprised of representatives from HQ DLA. The
Director, office of Small and Disadvantaged Business utilization,
serves as the Policy Committee Chairman.
B. The Policy Committee is the final administrative appeal
authority for disputes and protests.
C. Grants Officer (GO) as used herein refers to the GO assigned to
HQ DLA Office of Small and Disadvantaged Business Utilization.
D. Applications and revisions received after the deadline for
receipt of applications, as specified in the SCAA, will not be
evaluated unless acceptable evidence is provided by the applicant.
Acceptable evidence to support an otherwise late application or
revision received after the closing time and date shall consist of:
1. An original US Post Office receipt for registered or certified
mail showing the date of mailing not later than five calendar days
before the date specified for receipt of applications and revisions; or
2. When sent by US Postal Service Express Mail Next Day Service--
Post Office to Addressee, the date entered by the Post Office receiving
clerk on the ``Express Mail Next day Service--Post Office to
Addressee'' label and the postmark on the envelope or wrapper and on
the original receipt for the US Postal Service. The postmark date must
be two working days prior to the date specified for receipt of
applications. The term working days excludes weekends and Federal
holidays. Applicants should request the postal clerk to place a legible
hand cancellation ``bull's-eye''
[[Page 12617]]
postmark on both the receipt and envelope or wrapper.
3. If the application or revision is hand delivered, the specified
time and delivery date shall be supported by a receipt given by the GO
or designated representative.
E. The evaluation of applications and selection of award recipients
resulting from responses to the SCAA shall be conducted as detailed
below:
1. The GO will evaluate each application received to determine if
the application: (i) offers at least a county or equivalent coverage;
(ii) contains sufficient management, technical, cost, and other
required information; (iii) has been signed by a responsible official
authorized to bind the eligible entity; and (iv) otherwise meets the
requirements of the SCAA. Applications that fail to meet the
requirements of the SCAA will be removed from further consideration for
an award and the applicant will be promptly notified of the reason for
removal. The applicant's application will be retained with any other
unsuccessful application(s) by the GO.
2. Program status classification. The GO will review and verify the
accuracy of the applicant's program status stated in item 8, ``Type of
Application'' of the Standard Form (SF) 424. If the GO considers the
program status misclassified, the matter will be reviewed with the
applicant. If the applicant and the GO cannot agree, the GO will
determine the applicant's program status based upon the information
contained in the application at the time the solicitation closed. The
GO's decision regarding the program's status is final.
3. Minor informalities and mistakes. The GO shall provide an
applicant the opportunity to cure any deficiency resulting from a minor
informality or irregularity contained in the offer or waive the
deficiency, whichever is to the advantage of the Government. A minor
informality or irregularity is one that is merely a matter of form and
not of substance. It also pertains to some immaterial defect in an
offer or variation of an offer from the exact requirements of the
solicitation that can be corrected or waived without being prejudicial
to other applicants. The defect or variation is immaterial when the
effect on program quality is negligible when contrasted with the
program's total cost. Two examples of minor informalities include the
failure of the applicant to: (i) return the required number of copies
of its application; and (ii) execute the certifications required by the
SCAA clauses.
a. In cases of apparent mistakes and in cases where the GO has
reason to believe that a mistake may have been made, the GO shall
request verification from the applicant that the offer ``should read as
stated; calling attention to the suspected mistake. Any clerical
mistake apparent in the offer may be corrected by the GO. Examples of
apparent mistakes are: (i) obvious misplacement of a decimal point;
(ii) incorrect transposition of numbers; and (iii) obvious mistake in
identifying the program status (existing versus new start program). The
GO shall obtain from the applicant a written verification of the offer
intended.
b. Correction of a mistake by the GO shall be effected by attaching
the verification to the original offer. The GO shall not make
corrections on the application. Corrections shall be restated in the
cooperative agreement award document, if the applicant received an
award.
c. If an applicant request permission to correct a mistake, and
clear and convincing evidence establishes the existence of the mistake,
the GO may make a determination permitting the applicant to correct the
mistake. The determination to allow correction of mistakes will be made
provided that both the existence of the mistake and the application
actually intended are established by clear and convincing evidence from
the solicitation and application.
4. Notification of application removal from consideration for an
award. The GO will notify the applicant by certified mail (return
receipt requested) if its application is removed from further
consideration for an award.
5. Duplicate coverage. An application shall not duplicate more than
25%, or an individual or cumulative basis, any of the counties or
equivalent (for the general program) or any of the reservations (for
the Indian program) proposed by other applicants. When the GO
determines that two or more applicants are proposing to provide
duplicate coverage in excess of 25%, selection priority will be given
to the applicant that is determined to be best qualified by the
evaluation team. Only one statewide program (under the general program)
will be awarded in a state.
6. Each application will be reviewed by an evaluation team
consisting of two procurement functionals, one technical functional,
and one small business functional. Each evaluation factor will receive
individual adjectival ratings (highly acceptable, acceptable,
marginally acceptable, and unacceptable) based on the merit of the
applicant's support for the particular evaluation element. The team
will then collectively assess the overall application, taking into
consideration the strengths and weaknesses of the application as it
relates to each individual evaluation factor. A single adjectival
rating will be assigned to the application which will be used to
determine final award status. Applicants should be aware that ultimate
award and inclusion into the DLA PTACAP may depend on funding
limitations and constraints placed upon the Agency.
7. Award. The award recommendations are approved by the Program
Manager and executed by the GO.
3-6 Evaluation Plan
A. Selection Procedures
1. This section outlines the procedures the Government will use
during the selection process for the FYs 97 and 98 PTACAP. The
Government contemplates that multiple awards will be made from the
applications submitted for the PTACAP. The Government at its discretion
may select multiple applicants to perform PTACAP requirements at
statewide and other than statewide coverage levels provided that any
individual application shall not duplicate any counties or equivalent
in excess of 25 percent (general program), or reservations in excess of
25 percent (Indian program), proposed by other applicants.
2. The section entitled Evaluation Criteria describes the criteria
the Government will use to select those applicants that provide the
best overall value to satisfy PTACAP requirements. Evaluation criteria
(in order of importance) are:
a. Past Performance (Existing Programs Only);
b. Management;
c. Technical Qualifications;
d. Service Area (geographic and demographic characteristics); and
e. Cost Realism.
3. Information provided regarding past performance will be
evaluated by the Government to determine the applicant's ability to
perform PTACAP requirements. Applicants selected for the basic award
will be considered for award of option(s) if their demonstrated
performance is equal or better than that required by the base year or
first option year cooperative agreement award and a satisfactory or
better performance rating is received from the cognizant contract
administration activity. In the absence of acceptable performance by
the original awardee, other applicants may
[[Page 12618]]
be selected to complete the option period(s).
4. Although cost realism is of lesser importance, the importance of
cost realism could increase among applicants that are rated equally or
nearly equal. Should applicants become equal or nearly equal in terms
of the factors shown above, other factors listed below may be used as
discriminating elements for determining the selection of applications
among otherwise substantially equal applicants. These factors in
descending order of importance are:
a. Duplication of effort;
b. Demographic make-up, to include population, unemployment, and
labor surplus area coverage;
c. Alternative methods employed to stimulate outreach efforts aimed
at small disadvantaged businesses; and
d. Other strengths and weaknesses of note demonstrated in the
application.
5. The recommendation of applicants to participate in the PTACAP
will be made by the Evaluation Team based on an integrated assessment
of all applications submitted in response to the solicitation and other
terms and conditions agreed upon prior to award. The integrated
assessment will involve a determination by the Government of the
overall value of each proposal judged in terms of the applicant's
capability. Throughout the evaluation process, the Government will
independently identify deficiencies within the applications. The team
will collectively assess the overall application, taking into account
the strengths and weaknesses of the application as it relates to each
individual evaluation factor. A single adjectival rating will be
assigned to the application, which will be used to determine final
award status.
B. Evaluation Criteria
1. Past Performance (existing Programs only).
a. The Government will evaluate the quality of the applicant's past
performance. The assessment of the past performance will be used in two
(2) ways:
(1) First, the assessment of the offeror's performance will be used
as one means of evaluating the credibility of the applicant's
application. A record of marginal or unacceptable past performance may
be considered and indication that the representations made by the
applicant are less than reliable. Such an indication may be reflected
in the overall assessment of the applicant's application.
(2) Second, the assessment of the applicant's past performance will
be used as one means of evaluating the relative capability of the
applicant and the other applicants to meet the performance requirements
of the PTACAP. Thus, an applicant with an exceptional record of past
performance may receive a more favorable evaluation than another whose
record is acceptable, even though both may have otherwise equally
acceptable applications.
b. In investigating an applicant's past performance, the Government
will consider the information in the applicant's proposal and
information obtained from other sources, such as past and present
clients, other Government agencies, and others who may have useful
information.
c. Evaluation of past performance will be a subjective assessment
based on a consideration of all relevant facts and circumstances. It
will not be based on absolute standards of acceptable performance. The
Government is seeking to determine whether the offeror has consistently
demonstrated a commitment to client satisfaction and timely delivery of
quality service at reasonable costs. This is a matter of judgment.
Applicants may be given an opportunity to address especially
unfavorable reports of past performance, and the applicant's response
or lack thereof will be taken into consideration.
d. By past performance, the Government means the applicant's record
of conforming to the PTACAP requirements, including the administrative
aspects of performance, reputation for reasonable and cooperative
behavior, commitment to client satisfaction, and generally, the
applicant's businesslike concern for the interests of the client.
2. Management.
a. The proposed management team will be rated to determine the
degree of experience offered by the team proposed and the likelihood of
successful management under the PTACAP.
b. Management will be evaluated to determine whether it meets the
PTACAP requirements.
c. The application will be evaluated to determine the financial
strength and soundness of the organization. The availability of
resources under the application will also be assessed. The strength of
the plan will be assessed to determine the adequacy of the plan
proposed.
3. Technical Qualifications.
Understanding of and ability to meet PTACAP requirements by the
personnel involved for this factor will be evaluated to determine the
extent to which it meets the program requirements and the likelihood of
success of the PTACAP as it relates to these requirements. Benefits
will be evaluated in terms of management substance and achievability.
4. Service Area (geographic and demographic characteristics).
a. The service area will be evaluated based upon the population to
be serviced as well as the unemployment conditions in the area to
determine the scope and nature of the coverage proposed.
b. Demographic characteristics will be evaluated including the
total population of the state and the percentage of the population to
be served and the unemployment conditions in the area. The unemployment
rate for the most recent 24 month period for which statistics are
available will be used in this process.
c. Service area will be evaluated to assess the extent to which the
program maximizes coverage and achieves PTACAP requirements and
objectives.
5. Cost Realism.
Cost realism will be evaluated on the basis of the applicant's
ability to project cost which indicates an understanding of the nature
and scope of the work required. The costs proposed will also be
evaluated for reasonableness. Reasonableness is a judgment of the
proposed program costs as compared to expected needs of the PTACAP,
appropriate indices and other relevant measures. Implicit in the
assessment is the need to establish that any application considered for
an award must also be realistic with respect to the relationship of the
cost to the level of performance proposed. This determination is
critical to determining the offeror's understanding of the PTACAP
requirements and probability of successful performance. Upon a
determination of cost realism, a comparison of proposed costs will be
made to the other evaluation factors and the Evaluation Team will make
a decision as to which applications represent the best value to the
Government. It is to be noted that this assessment will be a subjective
judgement as to the relative value of the applications received. The
Government reserves the right to verify any and all aspects of each
applicant's application.
3-7 Evaluation Factors
Applications will be evaluated for merit and compliance with the
PTACAP's solicitation requirements. In order to provide full
consideration of the applicant's qualification for an award, each
applicant should ensure that the information furnished is factual
current, accurate, and complete. The content should be presented in a
[[Page 12619]]
manner that will allow evaluators to determine the applicant's
understanding of the SCAA, the operating environment desired in PTA
centers, and how the applicant's overall concept meets requirements of
the SCAA. Failure to provide the information requested may result in a
determination that the application is unacceptable and will be removed
from further consideration for an award. The Government reserves the
right to verify information provided by the applicant for evaluation
purposes and to request additional supporting information, if needed.
The evaluation factors (in their order of importance) are:
A. Past Performance (Existing Programs Only)
Applicants having no record of past performance under a DLA PTACAP
will receive a neutral rating for this evaluation factor. A neutral
rating for new programs will have no adverse effect on the
determination for award. Each applicant will be evaluated on its most
recent 12-month performance period (prior to 1 April 1997 or 98) under
the existing solicitation regarding compliance with requirements;
management of the program; and, ability to account for the document
associated costs. The applicant must summarize the requirements in its
most recent 12-month performance period and describe how its program
satisfied those requirements to include jobs generated and/or retained
and justification for any funds that were or will be deobligated.
Evaluation of past performance will be a subjective assessment based on
a consideration of all relevant facts and circumstances. The most
recent copy of the cognizant contract administration activity's
evaluation report must be provided. The following criteria will be used
to evaluate the application:
1. Highly acceptable--The application must demonstrate a high
degree of success in satisfying all PTA Program requirements during the
most recent 12-month performance period. The cognizant administration
activity's evaluation report must substantiate that the applicant has
an above average program.
2. Acceptable--The application must demonstrate that the applicant
has met all PTA Program requirements during the most recent 12-month
performance period. The cognizant administration activity's evaluation
report must substantiate that the applicant has an adequate program.
3. Marginally acceptable--The application must demonstrate that the
applicant has satisfied most of the PTA Program requirements during the
most recent 12-month performance period. The cognizant administration
activity's evaluation report must substantiate that the applicant has
implemented most program requirements.
4. Unacceptable--The applicant has fulfilled few of the PTA Program
requirements during the most current 12-month performance period. The
cognizant administration activity's evaluation report must substantiate
that the applicant has an inadequate program.
Note: Limit this discussion to 4 single-spaced, type-written
pages.
B. Management
Each applicant will be evaluated on its management approach to
successfully implement the PTA Program. The applicant shall describe
the methods and procedures it plans to employ to manage the PTA Program
in an efficient and effective manner. The applicant's approach will be
rated to determine the degree of experience offered and the likelihood
of successful management under the concept proposed. In addition, the
evaluation will include an assessment of the overall strength and
soundness of the organization. The following criteria will be used to
evaluate the application:
1. Highly acceptable--The applicant has fully demonstrated that the
techniques and methodology it intends to employ will enable it to
exceed all PTA Program requirements during the period of performance.
2. Acceptable--The applicant has demonstrated that the techniques
and methodology it intends to employ are adequate and that its
management approach will enable it to satisfy all PTA Program
requirements.
3. Marginally acceptable--The applicant has minimally demonstrated
that the management techniques and methodology it intend to employ will
satisfy most of the PTA Program requirements.
4. Unacceptable--The applicant has not demonstrated an adequate
understanding of the management techniques and methodology needed to
successfully operate a PTA Program and satisfy requirements.
Note: Limit this discussion to 3 single-spaced, type-written
pages.
C. Technical Qualifications
Each applicant will be evaluated on the qualifications of its
personnel regarding the number of years of procurement experience,
including government and industry experience, procurement related
training, and education. The applicant must describe how its personnel
fulfills these requirements. The following criteria will be used to
evaluate the application:
1. Highly acceptable--The majority of the applicant's professional
personnel have at least four years of procurement experience; a
baccalaureate degree, preferably in business related subject; and, have
experience in operating a PTA Center or equivalent type organization.
2. Acceptable--The majority of the applicant's professional
personnel have at least two years of procurement experience; a
baccalaureate degree, preferably in business related subject; and, have
experience in operating a PTA Center or equivalent type organization.
3. Marginally acceptable--The majority of the applicant's
professional personnel do not have more than one year of procurement
experience; have a baccalaureate degree, preferably in business related
subject; and, have at least some experience in operating a PTA Center
or equivalent type organization.
4. Unacceptable--The majority of the applicant's professional
personnel do not have at least one year of procurement experience; do
not have a baccalaureate degree; and, have no experience in operating a
PTA Center or equivalent type organization.
Note: Limit this discussion to 2 single-spaced, type-written
pages.
D. Service Area (Geographic and Demographic Characteristics)
Each applicant will be evaluated on the population base the
applicant identifies and the unemployment level in the area to be
serviced. Demographic characteristics will be evaluated using the total
population of the state, the percentage of the population to be served
and the unemployment conditions in the area. The following criteria
will be used to evaluate the application:
1. Highly acceptable--The applicant must meet the following: (a)
The applicant will service an area that consists of the lesser of
either: (i) at least one million residents or (ii) at least 75% of the
state's available labor force or (iii) 75% of the population of the
state, or (b) the level of enemployment in the area to be serviced is
at least 1.25% above the national unemployment rate for the most recent
24-month period for which statistics are available.
2. Acceptable--The applicant must meet the following: (a) The
applicant will service an area that consists of the lesser of either:
(i) at least five hundred thousand residents or (ii) at least 50% of
the state's available labor force or (iii) 50% of the population of the
state, or (b) the level of unemployment in the area
[[Page 12620]]
to be serviced is at least 1% above the national unemployment rate for
the most recent 24-month period for which statistics are available.
3. Marginally acceptable--The applicant must meet the following:
(a) the applicant will service an area that consists of the lesser of
either: (i) one hundred fifty thousand residents or (ii) at least 25%
of the state's available labor force or (iii) 25% of the population of
the state, or (b) the level of unemployment in the area to be serviced
is not more than 1% below the national unemployment rate (e.g.,
national average minus 1%) for the most recent 24-month period for
which statistics are available.
4. Unacceptable--Applicants who do not meet the criteria in
subparagraphs 1, 2, or 3 above are unacceptable.
Note: Limit this discussion to 1 single-spaced, type-written
page.
E. Cost Realism
Each applicant's response to this element will be evaluated for
reasonableness and realism in managing cost. Implicit in the assessment
is the need to demonstrate the relationship of the estimated overall
program cost to the proposed level of performance. The applicant shall
describe the measures intended to control, account for, and document
relevant costs. For example, describe the ratio of program management
cost to counselor cost and the ratio of program management cost to
total program cost, with an objective of optimizing the percent of
total program cost to be spent on direct counseling and assistance to
clients. Unrealistic cost reflected in the application will be deemed
indicative of the applicant's inability to perform the PTA Program.
Such applications may also reflect lack of understanding of the
complexity or the risks in scope of the requirement. As such, they will
no longer be considered eligible for award.
The following criteria will be used to evaluate the application:
1. Highly acceptable--The applicant must demonstrate that its
approach to cost management satisfies all PTA Program requirements in
an above average manner.
2. Acceptable--The applicant must demonstrate that its approach to
cost management is adequate to satisfy all PTA Program requirements.
3. Marginally acceptable--The applicant must demonstrate that it
has the capability to satisfy the majority of the PTA Program
requirements.
4. Unacceptable--The applicant has indicated through its response
to this element that its cost management approach is inadequate to
fulfill minimum PTA Program requirements.
Note: Limit this discussion to 1 single-spaced, type-written
pages.
3-9 Cost Sharing Limitations
A. General program.
1. The DoD share of net program cost shall not exceed 50%, except
in a case where an eligible entity meets the criteria for a distressed
area. When the prerequisite conditions to qualify as a distressed area
are met, the DoD share may be increased to an amount not to exceed 75%.
In no event shall the DoD share of net program cost exceed $150,000 for
programs providing less than statewide coverage or $300,000 for
programs providing statewide coverage.
2. Consultant services provided by private nonprofit and/or profit
making individuals, organizations or otherwise qualified business
entities may be used to augment a cooperative agreement recipient's
internal capabilities subject to the 10% total program cost limitation.
B. American Indian program.
1. The DoD share shall not exceed 75% of net program cost or
$150,000 for a program providing service on reservations within one BIA
service area, or $300,000 for a program providing multi-area coverage.
2. Consultant services provided by private nonprofit and/or profit
making individuals, organizations or otherwise qualified business
entities may be used to augment a cooperative agreement recipient's
internal capabilities subject to the 25% total program cost limitation.
C. The type and value of third-party in-kind contributions is
limited to no more than 25% of total program cost. Third-party in-kind
contributions shall meet the requirements set forth by subparagraphs 3-
10E and 3-10F below.
D. Indirect cost and/or indirect rate used in the application are
subject to downward revision only.
E. The applicant shall submit a copy of the current negotiated
indirect rate memorandum issued by its cognizant Federal agency.
F. Indirect cost incurred by educational institutions (recipients
and subrecipients) shall be charged in accordance with the most current
version of applicable OMB Circulars to include any limitation set forth
therein.
3-10 Cost Sharing Criteria
A. Cost contributions may be either direct or indirect costs,
provided such costs are otherwise allowable in accordance with the
applicable cost principles. Allowable costs which are absorbed by the
applicant as its share of costs may not be charged directly or
indirectly or may not have been previously charged, in part or in
whole, to the Federal Government under other contracts, agreements, or
grants.
B. Except as provided by Federal statute, a cost sharing or
matching requirement may not be met by costs borne by another Federal
grant.
C. Program income or other Federal funds, that are not authorized
for use by Federal statute (excluding loan guarantee agreements since
these do not provide for disbursement of Federal funds) are not
acceptable for use as the applicant's cost matching funds. Inclusion of
other Federal funds in the program as part of total program cost is
subject to authorization by Federal statute and the terms of the
instrument containing such funds or written advice obtained from the
agency awarding the Federal funds. Any Federal funds used by the
eligible entity, other than the DoD PTA Cooperative Agreement Program
funds, must be disclosed and identified in the eligible entity's
application.
D. Neither costs nor the values of third party in-kind
contributions may count toward satisfying a cost sharing or matching
requirement of the SCAP if they have been or will be counted toward
satisfying a cost sharing or matching requirement of another Federal
grant, a Federal procurement contract, or any other award of Federal
funds.
E. All applicant contributions, including cash and third party in-
kind, shall be accepted as part of the recipient's cost sharing or
matching when such contributions meet all of the following criteria:
(1) are verifiable from the records of recipients, subrecipients, or
cost-type contractors (these records must show how the value placed on
third party in-kind contributions was derived and to the extent
feasible, volunteer services must be supported by the same methods that
the organization uses to support the allocability of regular personnel
costs); (2) are not included as contributions for any other federally-
assisted project or program; (3) are necessary and reasonable for
proper and efficient accomplishment of the project or program
objectives; (4) are allowable under the applicable cost principles; (5)
are not paid by the Federal government under another award, except
where authorized by Federal statute to be used for cost sharing or
matching; (6) are provided for in the budget; and (7) conform to other
provisions for uniform administration requirements under the applicable
OMB Circular.
F. Third party in-kind contributions may satisfy a cost sharing or
matching requirement only when the payments
[[Page 12621]]
would be allowable costs if the party receiving the contributions were
to pay for them. Some third party in-kind contributions are goods and
services that would have been an indirect cost if the recipient,
subrecipient or contractor had been required to pay for them. Cost
sharing or matching credit for such contributions may be given only if
the recipient, subrecipient or contractor has established, along with
its regular indirect cost rate, a special rate for allocating to
individual projects or programs the value of the contributions.
G. Where distressed funding (greater than 50%) is requested and the
civil jurisdiction(s) which the applicant plans to service is both
distressed and nondistressed, two budgets must be submitted identifying
the anticipated distribution of total program cost between these two
areas. In addition, the recipient's accounting system must segregate
and accumulate costs in each of the two budget areas.
H. Recipients of PTA cooperative agreements are required to
maintain records adequate to reflect the nature and extent of their
costs and expenditures, and to ensure that their required cost
participation is achieved.
3-11 Option To Extend the Term of the Cooperative Agreement
A. A SCAA will be issued every third fiscal year, i.e., 1996, 1999,
etc. Cooperative agreements will be awarded for a base year or for a
base year with one option period of twelve months.
B. The awarding of a cooperative agreement for a base year with one
or two option periods of twelve months each does not guarantee the
recipient that an option(s) will be exercised. The Government at its
sole discretion may elect not to exercise an option(s), to exercise an
option(s) or to replace an existing program with either another
existing or new start program. The determination to exercise or not to
exercise an option will be made on a program by program basis.
Duplicate coverage, the number of DLA funded PTA centers operating in a
state and DoD funds available may be considered when deciding to or not
to exercise an option.
C. An option may be exercised by the Government providing the
recipient's:
1. Level of demonstrated performance in these areas (past
performance, management, technical qualifications and cost realism) is
acceptable or better.
2. Technical capability is equal or better than that required by
the base year or first option year cooperative agreement award.
3. Cost matching funds are available.
4. Five client success stories that resulted from the substantial
effort of the PTA center are verified by the Government and--
5. No other new application(s) (existing or new start) are received
by DLA that can provide similar or better services at a lower cost to
the Government.
D. The Government shall give the cooperative agreement recipient a
preliminary written notice of its intent to extend the cooperative
agreement performance period no later than 120 calendar days prior to
the end of the Government's current fiscal year (1 October thru 30
September). The preliminary notice does not commit the government to an
extension. The Government may extend the effective period of the
cooperative agreement by giving written notice to the cooperative
agreement recipient no later than 105 calendar days after issuance of
the preliminary notice.
E. New applications for cooperative agreements must be submitted no
earlier than 1 April and received no later than 30 April of calendar
years 1997 and 1998. The application shall be prepared in accordance
with the most recent solicitation for cooperative agreement
application. Generally, awards will be made during the month of
September.
1. Applications received prior to April 30, 1996, if selected to
receive an award, will be awarded for a base year with two option
periods of twelve months each.
2. Applications received prior to April 30, 1997, if selected to
receive an award, will be awarded for a base year with one option
period of twelve months.
3. Applications received prior to April 30, 1988, if selected you
receive an award, will be awarded for a base year only.
4. The base year application submitted prior to 30 April 1996 or
1997, unless otherwise extended, must include separate SF 424s and SF
424As for the option year(s). Detailed budget information for the
option year(s) is not required to be submitted with the base year
application. However, the net program cost and geographic area of
coverage shall be the same for the option period(s) as that provided
for the base year.
F. The notice of award for the base year will provide funding for a
12-month period only. Option year(s) are subject to the availability of
funds as set forth by the clause entitled ``Availability of funds.''
G. Option Year(s) requirements.
Upon receipt of the Government's preliminary written notice of its
intent to extend, at least 120 calendar days prior to the end of the
Government's current fiscal year, the cooperative agreement recipient
that desires exercising of the option, shall prepare and submit, to the
Grants Officer no later than 30 calendar days after receipt of the
Government's preliminary notice, the following:
1. Competed SF 424A for the option year with a complete narrative
justification for budgeted costs.
2. Completed goal work sheet.
3. Copy of its current negotiated indirect cost rate agreement, if
there are any changes.
4. Certification of cost match.
5. Updated personnel form.
6. Five client success stories that resulted from the substantial
effort of the PTA center.
7. The number of jobs generated and/or retained resulting from the
procurement technical assistance provided by the recipient.
8. A summary of its most recent 12-month performance period,
description of how its program satisfies the criteria set forth below
and justification for any funds that were deobligated.
H. Evaluation of past performance will be a subjective assessment
based on a consideration of all relevant facts and circumstances. The
most recent copy of the contract administration activity's Evaluation
Report must be provided.
1. Highly acceptable--The application must demonstrate a high
degree of success in satisfying all PTA Program requirements during the
most current 12-month performance period. The evaluation report must
substantiate that the applicant has an above average program.
2. Acceptable--The application must demonstrate that the applicant
has met all PTA Programs requirements during the most recent 12-month
performance period. The evaluation report must substantiate that the
applicant has an adequate program.
3. Marginally acceptable--The application must demonstrate that the
applicant has satisfied most of the PTA Program requirements during the
most recent 12-month performance period. The evaluation report must
substantiate that the applicant has implemented most program
requirements.
4. Unacceptable--The applicant has fulfilled few of the PTA Program
requirements during the most recent 12-month performance period. The
evaluation report must substantiate that the applicant has an
inadequate program.
Note: Limit this discussion to 3 single-spaced, type-written
pages.
[[Page 12622]]
3-12 Administration
A. Cooperative agreements with state and local governments,
nonprofit organizations and Indian economic enterprises will be
assigned to the cognizant Defense Contract Management Command for
administration. Cooperative agreements with educational institutions
will be assigned to the Office of Naval Research for administration.
B. The organization having cognizance for post award administration
will periodically review the recipient's performance under the
cooperative agreement to include:
1. Management control systems;
2. Financial management systems;
3. Progress being made by the recipient in meeting its program
requirements; and
4. Compliance with certifications, representations and other
performance factors.
The cognizant Deputy for Small Business will be the focal point for
the Administrative Contracting Officer for small business issues and
for all recipient publication and training requests.
C. For recipients covered by OMB Circular No. A-102, Grants and
Cooperative Agreements with State and Local Governments, or OMB
Circular No. A-110, Grants and Agreements with Institutions of Higher
Education, Hospitals and other Non-profit Organizations, the
administrative requirements specified in those circulars will apply.
D. Each state and local entity that receives Federal funding is
required to have audits performed in accordance with the requirements
of OMB Circular A-128. Nonprofit organizations and institutions of
higher education are required to have audits performed in accordance
with the requirements of OMB Circular A-133. Indian economic
enterprises (for profit only) will have audits performed in accordance
with the requirements of OMB Circular A-133. Recipients shall submit
one copy of any audit report that results form any audit performed
pursuant to the requirements of the PTA cooperative agreement to the
Office of the Assistant Inspector General for Audit, Policy and
Oversight, Office of the Inspector General, 400 Army-Navy Drive, Room
1076, Arlington, VA 22202-2884.
E. The following OMB Circulars will be used to determine allowable
costs in performance of the program.
1. OMB Circular No. A-21, Principles for Educational Institutions;
2. OMB Circular No. A-87, Cost Principles for State and Local
Governments; and
3. OMB Circular No. A-122, Cost Principles for Nonprofit
Organizations. This circular will also be used by for-profit
organizations.
[FR Doc. 97-6570 Filed 3-14-97; 8:45 am]
BILLING CODE 5000-03-M
