As counsel for the Air Force Contract Adjustment Board, SAF/GCQ submits the report to Congress through the Office of the Secretary of Defense.
Activities identified in 5350.201 shall prepare preliminary and final records required in DFARS 250.303 and DFARS 250.305-70 and forward these records (along with other required documents, such as Memoranda of Decision pursuant to FAR 50.403-2) to SAF/GCQ, through SAF/AQCX, as follows: (1) activities without delegated authority shall send the records to AFMC/PKM in quadruplicate; (2) AFMC shall send its records and the records of activities it is responsible for to SAF/AQCX on a monthly basis; and (3) activities, other than AFMC, having delegated authority pursuant to 5350.201 shall send the records directly to SAF/AQCX on a monthly basis.
(a) The Deputy Assistant Secretary (Contracting), SAF/AQC, has been delegated authority to:
(1) Deny any request for contractual adjustment pursuant to FAR Subpart 50.3;
(2) Approve, authorize, and direct appropriate action, and to make all Determination and Findings which are necessary or appropriate, in the examples of mistake and informal commitment described in FAR 50.302-2 and FAR 50.302-3, including, where necessary, authority to modify or release unaccrued obligations of any sort and to extend delivery and performance dates. This authority is limited to actions which do not obligate the United States to $50,000 or more; and
(3) Recommend to the Air Force Contract Adjustment Board for determination cases for adjustment where the Director does not have authority to approve and any doubtful or unusual cases.
(b) The authority in (a) above has been redelegated:
(1) To the Commander, Air Force Materiel Command. This authority may be redelegated to the Deputy Chief of Staff and the Assistant DCS, Contracting, with authority to redelegate to the commanders of the air logistics and product centers in cases when the amount requested would not obligate the Government in excess of $5,000;
(2) To the commanders of contracting activities in DFARS Subpart 202.1 (other than AFMC) in cases when the amount requested would not obligate the Government in excess of $5,000. This authority may be redelegated, in writing, to the respective HCA, or designee; and
(3) For other commands, FOAs, and DRUs, to the Commander, Air Force Materiel Command, with authority to redelegate to the Deputy Chief of Staff and the Assistant DCS, Contracting, Air Force Materiel Command.
The Air Force Contract Adjustment Board shall serve as the exclusive point of contact with other military departments, or other departments or agencies of the Government, relative to the exercise of authority under Public Law 85-804. Accordingly, any request for information or action directed to another military department or another department or agency of the Government relative to the exercise of authority under Public Law 85-804 shall be sent to the Air Force Contract Adjustment Board, through SAF/AQC, for appropriate action. Similarly, responses to requests from another military department for a determination of essentiality pursuant to FAR 50.305 shall be prepared by SAF/AQC and signed by the Chairman of the Air Force Contract Adjustment Board. A recommendation that a contractor be considered essential must be supported by a determination as required in 5350.305-90 (d)(3). In addition to the requirements in 5350.305-90 (d)(3), the determination should include a statement of the amount, if any, the Air Force would be willing to contribute to relief granted the contractor.
(e) The exercise of authority below the Secretarial level pursuant to 5350.201 shall not release a contractor from performance, when: (1) the obligation would exceed $5,000 or (2) reacquisition is contemplated, except when the approving authority finds that the cost to the Government is not expected to exceed $5,000.
(a) General. A contracting office which receives a request for contractual adjustment under Public Law 85-804 is responsible for the investigation of the facts and issues relating to the request. Within ten calendar days after receipt of a contractor's request for relief, the contracting office shall send the contractor a letter of acknowledgment, which:
(1) Identifies any additional information that is needed before the contracting office will begin processing the request and advises the contractor that the additional information must be submitted within 30 calendar days; and
(2) The contractor shall be advised that failure to submit the information within the allotted time may result in denial of the request.
(b) Forwarding to approving authority.
(1) The contracting office shall assemble and forward the preliminary file described in 5350.305-90 (d) to the approving authority identified in 5350.201 within ten calendar days after receipt of a request complying with FAR 50.303. Upon receipt of the preliminary file, a designated reviewing office of the approving authority shall review the claim and initiate discussions with the contracting office. The discussions shall be used to coordinate the scope of the investigation and develop a mutual understanding of what is required to expeditiously render a decision on the request for relief. The contracting office shall submit the completed file described in 5350.305-90 (e) within 90 calendar days from receipt of the request, accompanied by any additional facts and evidence necessary to act upon the contractor's request.
(2) Within 30 days after receipt of the completed file, which will include the contracting officer's recommendation and a proposed Memorandum of Decision, the approving authority, if authorized to do so, shall sign a Memorandum of Decision approving or denying, in whole or in part, the contractor's request for relief.
(3) When the approving authority is not authorized to grant the recommended relief, the approving authority shall forward the completed file and recommendation to the approving authority at HQ AFMC (if not already at that level) for review and disposition. If the approving authority at HQ AFMC is not authorized to grant the recommended relief, that authority shall forward the completed file and recommendation to SAF/AQCX for further processing to SAF/AQ and the Air Force Contract Adjustment Board.
(c) Preliminary file. The preliminary file shall consist of the following:
(1) Purchase request (PR) and other documents reflecting previous prices paid;
(2) Solicitation, including amendments;
(3) Determination and Findings rendered;
(4) Abstract of bids or proposals;
(5) Contract awarded and all change orders or supplemental agreements;
(6) Contractor's request for relief;
(7) Contracting activity's letter acknowledging contractor's request for relief or requesting additional information; and
(8) Any additional documentation pertinent to the request for relief.
(d) Completed file. In addition to a current version of the documents in the preliminary file, the completed file should also include:
(1) The contracting officer's recommendation and comments should state whether, in the contracting officer's opinion, the contractor's request should be approved in whole or in part, or denied. If the contracting officer recommends approval involving a change in the contract price or other payment to the contractor, the recommendation should specify the dollar amount which the contracting officer considers fair and reasonable and include supporting evidence. The contracting officer's comments will include:
(i) A statement of facts based on the contracting officer's knowledge of the circumstances;
(ii) A statement as to whether the contractor has submitted the information required in FAR 50.303, or requested by the contracting officer pursuant to FAR 50.304, and comments on the accuracy and completeness of this information;
(iii) A statement, when approval is recommended, of why other legal authority is deemed to be lacking or inadequate;
(iv) A statement of the extent of performance and whether performance to date has been satisfactory;
(v) Whether the contractor is a small or large business, if not stated in the contract;
(vi) When the contractor has alleged a mistake, a statement of when the alleged mistake was first brought to the contracting officer's attention; whether the contracting officer believes that a mistake actually occurred, and, if so, how it occurred for example, through clerical or mathematical error in the contractor's offer, through an error in the bid, etc., and whether, in sealed bid contracts, the contracting officer requested verification of the bids;
(vii) When the contractor has alleged an informal commitment, a statement of the action taken by the Government; whether the Government actually received supplies or services as a result of that action; and evidence to support or preclude a finding that the informal commitment was made at a time when it was impracticable to use normal contracting procedures; and
(viii) Such additional evidence as the contracting officer considers pertinent;
(2) An audit report, if such a report is required;
(3) In cases in which relief is to be granted in the form of an amendment without consideration based on a contractor being essential to the national defense, a determination attesting to the contractor's essentiality. The determination shall include a detailed statement of the contractor's financial condition and projection of financial assistance needed for continued viability, the availability of alternate sources, mission impact if the contractor cannot continue to perform on current Air Force contracts and the estimated cost and impact of a delay to develop another source. Prior to submission of the request to the Air Force Contract Adjustment Board, the Assistant Secretary of the Air Force (Acquisition) (ASAF(A)) shall sign a determination of contractor essentiality. The determination shall be coordinated with any other offices with program responsibility for the contract item(s) on which the determination is based; and
(4) Additional facts and evidence requested pursuant to FAR 50.304 and not previously submitted.
(e) Original documents. Files submitted by the contracting activity should contain as many original documents as possible. However, since the file submitted will remain with the approval authority following a final decision, official documents to be included in the contract file should be retained by the contracting activity.
For all cases processed in accordance with 5350.305-90 that are submitted to or through HQ AFMC for final action, submit:
(1) Six copies of the memorandum of decision; and
(2) Two copies of the contractual document implementing the decision.
SAF/AQCS is the office of primary responsibility for indemnification requests in the Air Force. Requests for indemnification under PL 85-804 shall be submitted to SAF/AQC for staffing to the Secretary.
5350.403-90 Reserved.