TABLE OF CONTENTS
208.001 Priorities for use of Government supply sources.
208.002 Use of other Government supply sources.
SUBPART 208.4--ORDERING FROM FEDERAL SUPPLY SCHEDULES
208.404 Using schedules.
208.404-1 Mandatory use.
208.404-2 Optional use.
208.405 Ordering office responsibilities.
208.405-2 Order placement.
SUBPART 208.7--ACQUISITION FROM THE BLIND AND OTHER SEVERELY HANDICAPPED
208.705 Procedures.
SUBPART 208.70--COORDINATED ACQUISITION
208.7000 Scope of subpart.
208.7001 Definitions.
208.7002 Assignment authority.
208.7002-1 Acquiring department responsibilities.
208.7002-2 Requiring department responsibilities.
208.7003 Applicability.
208.7003-1 Assignments under integrated materiel management (IMM).
208.7003-2 Assignments under coordinated acquisition.
208.7004 Procedures.
208.7004-1 Purchase authorization from requiring department.
208.7004-2 Acceptance by acquiring department.
208.7004-3 Use of advance MIPRs.
208.7004-4 Cutoff dates for submission of Category II MIPRs.
208.7004-5 Notification of inability to obligate on Category II MIPRs.
208.7004-6 Cancellation of requirements.
208.7004-7 Termination for default.
208.7004-8 Transportation funding.
208.7004-9 Status reporting.
208.7004-10 Administrative costs.
208.7005 MIPRs.
208.7006 Coordinated acquisition assignments.
SUBPART 208.71--ACQUISITION FOR NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA)
208.7100 Authorization.
208.7101 Policy.
208.7102 Procedures.
208.7103 Purchase request and acceptance.
208.7104 Changes in estimated total prices.
208.7105 Payments.
SUBPART 208.72--INDUSTRIAL PREPAREDNESS PRODUCTION PLANNING
208.7201 Definitions.
208.7202 General.
208.7203 Authority.
208.7204 Procedures.
SUBPART 208.73--USE OF GOVERNMENT-OWNED PRECIOUS METALS
208.7301 Definitions.
208.7302 Policy.
208.7303 Procedures.
208.7304 Refined precious metals.
208.7305 Contract clause.
PART 208 REQUIRED SOURCES OF SUPPLIES AND SERVICES
208.001 Priorities for use of Government supply sources.
(a)(1)(v) See Subpart 208.70, Coordinated Acquisition.
(2)(iii) Information on General Services Administration (GSA) schedules for maintenance, repair, and rehabilitation of personal property is in the GSA supply catalog. The types of personal property for which GSA, Federal Supply Service has schedule contracts for maintenance, repair, and/or rehabilitation are--
(1) Furniture (office, household, quarters, institutional, and hospital type);
(2) Typewriters (manual, electric, and electronic);
(3) Repair and maintenance of Government owned vehicles; and
(4) Tire retreading and repair (except aircraft).
208.002 Use of other Government supply sources.
(f) Detailed information on strategic and critical materials in excess of national stockpile requirements (e.g., metals, ores, chemicals) is available from the Defense National Stockpile Center, 8725 John J. Kingman Road, Suite 4616, Fort Belvoir, VA 22060- 6223.
(g) Acquire helium (Pub. L. 86-777)--
(i) In bulk from--
(A) The Department of Interior (Bureau of Mines); or
(B) Eligible private helium distributors. A list of eligible private helium distributors is maintained by the Bureau of Mines, Helium Field Operations, 1100 South Fillmore Street, Amarillo, TX 79101.
(ii) In cylinders or trailers, from--
(A) The Department of Interior (Bureau of Mines); or
(B) Through GSA Federal Supply Schedule contracts.
SUBPART 208.4--ORDERING FROM FEDERAL SUPPLY SCHEDULES
208.404 Using schedules.
(a) When a schedule lists both foreign and domestic items that will meet the needs of the requiring activity, the ordering office must apply the procedures of Part 225 and FAR Part 25, Foreign Acquisition. When purchase of an item of foreign origin is specifically required, the requiring activity must furnish the ordering office sufficient information to permit the determinations required by Part 225 and FAR Part 25 to be made.
208.404-1 Mandatory use.
The DoD will not be a mandatory user of any schedule unless individual DoD activities elect to provide annual requirements estimates to GSA and become mandatory users. Examples of areas where this approach may be applied are:
(1) Group 68-gases and chemicals;
(2) Group 26-pneumatic tires and inner tubes;
(3) Maintenance, repair, and/or rehabilitation of personal property; and
(4) "Just-in-time" arrangements for delivery of material directly from vendors to users.
208.404-2 Optional use.
Make maximum use of the schedules. Other procedures may be used if further competition is judged to be in the best interest of the Government in terms of quality, responsiveness, or cost.
208.405 Ordering office responsibilities.
(1) Ordering offices may use DD Form 1155, Order for Supplies or Services, to order items from schedules.
(2) Orders may be placed orally if--
(i) The order does not exceed the small purchase threshold at FAR 13.000;
(ii) The contractor agrees to furnish a delivery ticket for each shipment under the order (in the number of copies required by the ordering office). The ticket must include the--
(A) Contract number;
(B) Order number under the contract;
(C) Date of order;
(D) Name and title of person placing order;
(E) Itemized listing of supplies or services furnished; and
(F) Date of delivery or shipment.
(iii) Invoicing procedures are agreed upon. Optional methods of submitting invoices for payment are permitted, such as--
(A) An individual invoice with a receipted copy of the delivery ticket;
(B) A summarized monthly invoice covering all oral orders made during the month, with receipted copies of the delivery tickets (this option is preferred if there are many oral orders); or
(C) A contracting officer statement that the Government has received the supplies.
(3) For purchases where cash payment is an advantage, the use of imprest funds (see FAR 13.4) is authorized when--
(i) The order does not exceed the threshold at FAR 13.404(a); and
(ii) The contractor agrees to the procedure.
SUBPART 208.7--ACQUISITION FROM THE BLIND
AND OTHER SEVERELY HANDICAPPED
208.705 Procedures.
Ordering offices may use DD Form 1155, Order for Supplies or Services, to place orders with central nonprofit agencies or workshops.
SUBPART 208.70--COORDINATED ACQUISITION
208.7000 Scope of subpart.
This subpart prescribes policy and procedures for acquisition of items for which contracting responsibility is assigned to one or more of the departments/agencies or the General Services Administration. Contracting responsibility is assigned through--
(a) The Coordinated Acquisition Program (commodity assignments are listed in Appendix B); or
(b) The Integrated Materiel Management Program (assignments are in DoD 4140.26-M, Integrated Materiel Management for Consumable Items).
208.7001 Definitions.
For purposes of this subpart--
"Acquiring department" means the department, agency, or General Services Administration which has contracting responsibility under the Coordinated Acquisition Program.
"Integrated materiel management" means assignment of acquisition management responsibility to one department, agency, or the General Service Administration for all of DoD's requirements for the assigned item. Acquisition management normally includes computing requirements, funding, budgeting, storing, issuing, cataloging, standardizing, and contracting functions.
"Requiring department" means the department or agency which has the requirement for an item.
208.7002 Assignment authority.
(a) Under the DoD Coordinated Acquisition Program, contracting responsibility for certain commodities is assigned to a single department, agency, or the General Services Administration (GSA). Commodity assignments are made--
(1) To the departments and agencies, by the Assistant Secretary of Defense (Production and Logistics);
(2) To the GSA, through agreement with GSA, by the Assistant Secretary of Defense (Production and Logistics);
(3) Outside the continental United States, by the Unified Commanders; and
(4) For acquisitions to be made in the United States for commodities not assigned under paragraphs (a)(1), (2), or (3) of this section, by agreement of agency heads (10 U.S.C. 2308).
(i) Agreement may be on either a one-time or a continuing basis. The submission of a military interdepartmental purchase request (MIPR) by a requiring activity and its acceptance by the contracting activity of another department, even though based on an oral communication, constitutes a one-time agreement.
(ii) Consider repetitive delegated acquisition responsibilities for coordinated acquisition assignment. If not considered suitable for coordinated acquisition assignment, formalize continuing agreements and distribute them to all activities concerned.
(b) Under the Integrated Materiel Management Program, assignments are made by the Assistant Secretary of Defense (Production and Logistics)--
(1) To the departments and agencies; and
(2) To the GSA, through agreement with GSA.
208.7002-1 Acquiring department responsibilities.
The acquiring department generally is responsible under coordinated acquisition for--
(a) Operational aspects of acquisition planning (Phasing the submission of requirements to contracting, consolidating or dividing requirements, analyzing the market, and determining patterns for the phased placement of orders to avoid unnecessary production fluctuations and meet the needs of requiring departments at the lowest price);
(b) Purchasing;
(c) Performing or assigning contract administration, including follow up and expediting of inspection and transportation; and
(d) Obtaining licenses under patents and settling patent infringement claims arising out of the acquisition. (Acquiring departments must obtain approval from the department whose funds are to be charged for obtaining licenses or settling claims.)
208.7002-2 Requiring department responsibilities.
The requiring department is responsible for--
(a) Ensuring compliance with the order of priority in FAR 8.001 for use of Government supply sources before submitting a requirement to the acquiring department for contracting action.
(b) Providing the acquiring department--
(1) The complete and certified documentation required by FAR 6.303-2(b). A requiring department official, equivalent to the appropriate level in FAR 6.304, must approve the documentation before submission of the military interdepartmental purchase request (MIPR) to the acquiring department;
(2) Any additional supporting data which the acquiring department contracting officer requests (e.g., the results of any market survey or why none was conducted, and actions the requiring department will take to overcome barriers to competition in the future);
(3) The executed determination and findings required by FAR 6.302-7(c)(1);
(4) When a requiring department requests an acquiring department to contract for supplies or services using full and open competition after exclusion of sources, all data required by FAR 6.202(b)(2);
(5) When the requiring department specifies a foreign end product, any determinations required by Part 225 or FAR Part 25;
(6) A complete definition of the requirements, including a list (or copies) of specifications, drawings, and other data required for the acquisition. The requiring department need not furnish Federal, military, departmental, or other specifications or drawings or data which are available to the acquiring department;
(7) Justification required by FAR 17.205(a) for any option quantities requested;
(8) A statement as to whether used or reconditioned material, former Government surplus property, or residual inventory will be acceptable, and if so--
(i) A list of any supplies that need not be new; and
(ii) The basis for determining the acceptability of such supplies, including an analysis of the factors at FAR 10.010(b);
(9) A statement as to whether the acquiring department may exceed the total MIPR estimate, and if so, by what amount;
(10) Unless otherwise agreed between the departments, an original and six copies of each MIPR and its attachments (except specifications, drawings, and other data); and
(11) A list of all persons who have had access to proprietary or source selection information (see FAR 3.104-9(e)).
208.7003-1 Assignments under integrated materiel management (IMM).
(a) All items assigned for IMM must be acquired from the IMM manager except--
(1) Items purchased under circumstances of unusual and compelling urgency as defined in FAR 6.302-2. After such a purchase is made, the requiring activty must send one copy of the contract and a statement of the emergency to the IMM manager;
(2) Items the IMM manager assigns a supply system code for local purchase or otherwise grants authority to purchase locally; or
(3) When purchase by the requiring activity is in the best interest of the Government in terms of the combination of quality, timeliness, and cost that best meets the requirement. This exception does not apply to items--
(i) Critical to the safe operation of a weapon system;
(ii) With special security characteristics; or
(iii) Which are dangerous (e.g., explosives, munitions);
(b) When an item assigned for IMM is to be acquired by the requiring activity under paragraph (a)(3) of this subsection, the contracting officer must--
(1) Document the contract file with a statement of the specific advantage of local purchase for an acquisition exceeding the micropurchase threshold in FAR part 13; and
(2) Ensure that a waiver is obtained from the IMM manager before initiating an acquisition exceeding the simplified acquisition threshold in FAR part 13, if the IMM assignment is to the General Services Administration (GSA), the Defense Logistics Agency (DLA), or the Army Materiel Command (AMC). Submit requests for waiver to--
(i) For GSA: Commissioner (F)
Federal Supply Service
Washington, DC 20406
(ii) For DLA: Defense Construction Supply Center
ATTN: DCSC-BDA
P.O. Box 3990
Columbus, OH 43216-5000
Defense Electronics Supply Center
ATTN: DESC-ERM
1507 Wilmington Pike
Dayton, OH 45444-5000
Defense Fuel Supply Center
ATTN: DFSC-OI
Cameron Station, VA 22304-6160
Defense General Supply Center
ATTN: DGSC-X
Richmond, VA 23297-5000
Defense Industrial Supply Center
ATTN: DISC-OPD
700 Robbins Avenue
Philadelphia, PA 19111-5096
Defense Personnel Support Center
ATTN: DPSC-CSH
2800 South 20th Street
P.O. Box 8419
Philadelphia, PA 19109-8419
(iii) For AMC: Commander
U.S. Army Materiel Command
ATTN: AMCLG-S
5001 Eisenhower Avenue
Alexandria, VA 22333-0001
208.7003-2 Assignments under coordinated acquisition.
Requiring departments must submit to the acquiring department all contracting requirements for items assigned for coordinated acquisition, except--
(a) Items obtained through the sources in FAR 8.001(a)(1)(i) through (vii);
(b) Items obtained under 208.7003-1(a);
(c) Requirements not in excess of the simplified acquisition threshold in FAR Part 13, when contracting by the requiring department is in the best interest of the Government;
(d) In an emergency. When an emergency purchase is made, the requiring department must send one copy of the contract and a statement of the emergency to the contracting activity of the acquiring department;
(e) Requirements for which the acquiring department's contracting activity delegates contracting authority to the requiring department;
(f) Items in a research and development stage (as described in FAR Part 35). Under this exception, the military departments may contract for research and development requirements, including quantities for testing purposes and items undergoing in-service evaluation (not yet in actual production, but beyond prototype). Generally, this exception applies only when research and development funds are used.
(g) Items peculiar to nuclear ordnance material where design characteristics or test-inspection requirements are controlled by the Department of Energy (DoE) or by DoD to ensure reliability of nuclear weapons.
(1) This exception applies to all items designed for and peculiar to nuclear ordnance regardless of agency control, or to any item which requires test or inspection conducted or controlled by DoEor DoD.
(2) This exception does not cover items used for both nuclear ordnance and other purposes if the items are not subject to the special testing procedures.
(h) Items to be acquired under FAR 6.302-6 (national security requires limitation of sources);
(i) Items to be acquired under FAR 6.302-1 (supplies available only from the original source for follow-on contract);
(j) Items directly related to a major system and which are design controlled by and acquired from either the system manufacturer or a manufacturer of a major subsystem;
(k) Items subject to rapid design changes, or to continuous redesign or modification during the production and/or operational use phases, which require continual contact between industry and the requiring department to ensure that the item meets the requirements:
(1) This exception permits the requiring department to contract for items of highly unstable design. For use of this exception, it must be clearly impractical, both technically and contractually, to refer the acquisition to the acquiring department. Anticipation that contracting by negotiation will be appropriate, or that a number of design changes may occur during contract performance is not in itself sufficient reason for using this exception.
(2) This exception also applies to items requiring compatibility testing, provided such testing requires continual contact between industry and the requiring department;
(l) Containers acquired only with items for which they are designed;
(m) One-time buy of a noncataloged item.
(1) This exception permits the requiring departments to contract for a nonrecurring requirement for a noncataloged item. This exception could cover a part or component for a prototype which may be stock numbered at a later date.
(2) This exception does not permit acquisitions of recurring requirements for an item, based solely on the fact that the item is not stock numbered, nor may it be used to acquire items which have only slightly different characteristics than previously cataloged items.
208.7004-1 Purchase authorization from requiring department.
(a) Requiring departments send their requirements to acquiring departments on either a DD Form 448, Military Interdepartmental Purchase Request (MIPR), or a DD Form 416, Requisition for Coal, Coke or Briquettes. A MIPR or a DD Form 416 is the acquiring department's authority to acquire the supplies or services on behalf of the requiring department.
(b) The acquiring department is authorized to create obligations against the funds cited in a MIPR without further referral to the requiring department. The acquiring department has no responsibility to determine the validity of a stated requirement in an approved MIPR, but it should bring apparent errors in the requirement to the attention of the requiring department.
(c) Changes that affect the contents of the MIPR must be processed as a MIPR amendment regardless of the status of the MIPR. The requiring department may initially transmit changes electronically or by some other expedited means, but must confirm changes by a MIPR amendment.
(d) The requiring department must submit requirements for additional line items of supplies or services not provided for in the original MIPR as a new MIPR. The requiring department may use a MIPR amendment for increased quantities only if--
(1) The original MIPR requirements have not been released for solicitation; and
(2) The acquiring department agrees.
208.7004-2 Acceptance by acquiring department.
(a) Acquiring departments formally accept a MIPR by DD Form 448-2, Acceptance of MIPR, as soon as practicable, but no later than 30 days after receipt of the MIPR. If the 30 day time limit cannot be met, the acquiring department must inform the requiring department of the reason for the delay, and the anticipated date the MIPR will be accepted. The acquiring department must accept MIPRs in writing before expiration of the funds.
(b) The acquiring department in accepting a MIPR will determine whether to use Category I (reimbursable funds citation) or Category II (direct funds citation) methods of funding.
(1) Category I method of funding is used under the following circumstances and results in citing the funds of the acquiring department in the contract--
(i) Delivery is from existing inventories of the acquiring department;
(ii) Delivery is by diversion from existing contracts of the acquiring department;
(iii) Production or assembly is through Government work orders in Government-owned plants;
(iv) Production quantities are allocated among users from one or more contracts, and the identification of specific quantities of the end item to individual contracts is not feasible at the time of MIPR acceptance;
(v) Acquisition of the end items involves separate acquisition of components to be assembled by the acquiring department;
(vi) Payments will be made without reference to deliveries of end items (e.g., cost-reimbursement type contracts and fixed price contracts with progress payment clauses); or
(vii) Category II method of funding is not feasible and economical.
(2) Category II method of funding is used in circumstances other than those in paragraph (b)(1) of this subsection. Category II funding results in citation of the requiring department's funds and MIPR number in the resultant contract.
(c) When the acquiring departments accepts a MIPR for Category I funding--
(1) The DD Form 448-2, Acceptance of MIPR, is the authority for the requiring department to record the obligation of funds;
(2) The acquiring department will annotate the DD Form 448-2 if contingencies, price revisions, or variations in quantities are anticipated. The acquiring department will periodically advise the requiring department, prior to submission of billings, of any changes in the acceptance figure so that the requiring department may issue an amendment to the MIPR, and the recorded obligation may be adjusted to reflect the current price;
(3) If the acquiring department does not qualify the acceptance of a MIPR for anticipated contingencies, the price on the acceptance will be final and will be billed at time of delivery;
(4) Upon receipt of the final billing (SF 1080, Voucher for Transferring Funds), the requiring department may adjust the fiscal records accordingly without authorization from or notice to the acquiring department.
(d) When the MIPR is accepted for Category II funding, a conformed copy of the contract (see 204.802(1)(ii))is the authority to record the obligation. When all awards have been placed to satisfy the total MIPR requirement, any unused funds remaining on the MIPR become excess to the acquiring department. The acquiring department will immediately notify the requiring department of the excess funds by submitting an Acceptance of MIPR (DD Form 448-2). This amendment is authorization for the requiring department to withdraw the funds. The acquiring department is prohibited from further use of such excess funds.
(e) When the acquiring department requires additional funds to complete the contracting action for therequiring department, the request for additional funds must identify the exact items involved, and the reason why additional funds are required. The requiring department shall act quickly to--
(1) Provide the funds by an amendment of the MIPR; or
(2) Reduce the requirements.
(f) The accepting activity of the acquiring department shall remain responsible for the MIPR even though that activity may split the MIPR into segments for action by other contracting activities.
208.7004-3 Use of advance MIPRs.
(a) An advance MIPR is an unfunded MIPR provided to the acquiring department in advance of the funded MIPR so that initial steps in planning the contract action can begin at an earlier date.
(b) In order to use an advance MIPR, the acquiring department and the requiring department must agree that its use will be beneficial. The departments may execute a blanket agreement to use advance MIPRs.
(c) The requiring department shall not release an advance MIPR to the acquiring department without obtaining proper internal approval of the requirement.
(d) When advance MIPRs are used, mark "ADVANCE MIPR" prominently on the DD Form 448.
(e) For urgent requirements, the advance MIPR may be transmitted electronically.
(f) On the basis of an advance MIPR, the acquiring department may take the initial steps toward awarding a contract, such as obtaining internal coordination and preparing an acquisition plan. Acquiring departments may determine the extent of these initial actions but shall not award contracts on the basis of advance MIPRs.
208.7004-4 Cutoff dates for submission of Category II MIPRs.
(a) Unless otherwise agreed between the departments, May 31 is the cutoff date for the receipt of MIPRs citing expiring appropriations which must be obligated by September 30 of that fiscal year. If circumstances arise which require the submission of MIPRs citing expiring appropriations after the cutoff date, the requiring department will communicate with the acquiring department before submission to find out whether the acquiring department can execute a contract or otherwise obligate the funds by the end of the fiscal year. Acquiring departments will make every effort to obligate funds for all such MIPRs accepted after the cutoff date. However, acceptance of a late MIPR does not constitute assurance by the acquiring department that all such funds will be obligated.
(b) Nothing in these instructions is intended to restrict the processing of MIPRs when the acquiring department is capable of executing contracts or otherwise obligating funds before the end of the fiscal year.
(c) The May 31 cutoff date does not apply to MIPRs citing continuing appropriations.
208.7004-5 Notification of inability to obligate on Category II MIPRs.
On August 1, the acquiring department will advise the requiring department of any Category II MIPRs on hand citing expiring appropriations they will be unable to obligate prior to the fund expiration date. If an unforeseen situation develops after August 1 which will prevent execution of a contract, the acquiring department will notify the requiring department as quickly as possible and return the MIPR. The letter of transmittal returning the MIPR will authorize purchase by the requiring department and state the reason that the acquisition could not be accomplished.
208.7004-6 Cancellation of requirements.
(a) Category I MIPRs.
The requiring department will notify the acquiring department by electronic or other immediatemeans when cancelling all or part of the supplies or services requested in the MIPR. Within 30 days, the acquiring department will notify the requiring department of the quantity of items available for termination and the amount of funds in excess of the estimated settlement costs. Upon receipt of this information, the requiring department will issue a MIPR amendment to reduce the quantities and funds accordingly.
(b) Category II MIPRs.
The requiring department will notify the acquiring department electronically or by other immediate means when cancelling all or any part of the supplies or services requested in the MIPR.
(1) If the acquiring department has not entered into a contract for the supplies or services to be cancelled, the acquiring department will immediately notify the requiring department. Upon receipt of such notification, the requiring department shall initiate a MIPR amendment to revoke the estimated amount shown on the original MIPR for the cancelled items.
(2) If the items to be cancelled have already been placed under contract--
(i) As soon as practicable, but in no event more than 45 days after receipt of the cancellation notice from the requiring department, the contracting officer shall issue a termination data letter to the requiring department (original and four copies) containing, as a minimum, the information in Table 8-1, Termination Data Letter.
(ii) The termination contracting officer (TCO) will review the proceedings at least every 60 days to reassess the Government's probable obligation. If any additional funds are excess to the probable settlement requirements, or if it appears that previous release of excess funds will result in a shortage of the amount which will be required for settlement, the TCO will promptly notify the contracting office which will amend the termination data letter. The requiring department will process a MIPR amendment to reflect the reinstatement of funds within 30 days after receiving the amended termination data letter.
(iii) Upon receipt of a copy of the termination settlement agreement, the requiring department will prepare a MIPR amendment, if required, to remove any remaining excess funds.
TABLE 8-1, TERMINATION DATA LETTER
SUBJECT: Termination Data Re:
Contract No.
Termination No.
Contract
(a) As termination action is now in progress on the above contract, the following information is submitted:
(1) Brief Description of items terminated.
(2) You are notified that the sum of $ is available for release under the subject contract. This sum represents the difference between $ , the value of items terminated under the contract, and $ , estimated to be required for settlement of the terminated contract. The estimated amount available for release is allocated by the appropriations cited on the contract as follows:
MIPR NO. ACCOUNTING CLASSIFICATION AMOUNT
Total available for release at this time $
(b) Request you forward an amendment to MIPR on DD Form 448-2 to reflect the reduced quantity and amount of funds available for release.
(c) Periodic reviews (not less than 60 days) will be made as termination proceedings progress to redetermine the Government's probable obligation.
Contracting Officer
208.7004-7 Termination for default.
(a) When the acquiring department terminates a contract for default, they will ask the requiring department if the supplies or services to be terminated are still required so that repurchase action can be started.
(b) The requiring department will not deobligate funds on a contract terminated for default until receipt of a settlement modification or other written evidence from the acquiring department authorizing release of funds.
(c) On the repurchase action, the acquiring department will not exceed the unliquidated funds on the defaulted contract without receiving additional funds from the requiring department.
208.7004-8 Transportation funding.
The requiring department will advise the acquiring department or the transportation officer in the contract administration office of the fund account to be charged for transportation costs. The requiring department may cite the fund account on each MIPR or provide the funding cite to the transportation officer at the beginning of each fiscal year for use on Government bills of lading. When issuing a Government bill of lading, show the requiring department as the department to be billed and cite the appropriate fund account.
(a) The acquiring department will maintain a system of MIPR follow up to inform the requiring department of the current status of its requests. In addition, the contract administration office will maintain a system of follow up in order to advise the acquiring department on contract performance.
(b) If requested by the requiring department, the acquiring department will furnish the requiring department a copy of the solicitation when the MIPR is satisfied through Category II funding.
(c) Any reimbursement billings, shipping document, contractual documents, project orders, or related documentation furnished to the requiring department will identify the requiring department's MIPR number, quantities of items, and funding information.
208.7004-10 Administrative costs.
The acquiring department bears the administrative costs of acquiring supplies for the requiring department. However, when an acquisition responsibility is transferred to another department, funds appropriated or to be appropriated for administrative costs will transfer to the successor acquiring department. The new acquiring department must assume budget cognizance as soon as possible.
208.7005 MIPRs.
Instructions on preparation and use of DD Form 448, Military Interdepartmental Purchase Request, and DD Form 448-2, Acceptance of MIPR, are in 253.208.
208.7006 Coordinated acquisition assignments.
See Appendix B for coordinated acquisition assignments.
SUBPART 208.71--ACQUISITION FOR NATIONAL AERONAUTICS
AND SPACE ADMINISTRATION (NASA)
208.7100 Authorization.
NASA is authorized by Pub. L. 85-568 to use the acquisition services, personnel, equipment, and facilities of DoD departments and agencies with their consent, with or without reimbursement, and on a similar basis to cooperate with the departments/agencies in the use of acquisition services, equipment, and facilities.
208.7101 Policy.
Departments and agencies will--
(a) Cooperate fully with NASA in making acquisition services, equipment, personnel, and facilities available on the basis of mutual agreement.
(b) Not claim reimbursement for administrative costs incident to acquisitions for NASA, unless agreed otherwise prior to the time services are performed.
(a) When contracting or performing field service functions for NASA, the departments and agencies will use their own methods, except when otherwise required by the terms of the agreement.
(b) Departments and agencies normally will use their own funds when contracting for or performing services for NASA and will not cite NASA funds on any defense obligation or payment document.
208.7103 Purchase request and acceptance.
(a) NASA will use NASA Form 523, NASA-Defense Purchase Request, to request acquisition of supplies or services.
(b) Except as provided in paragraph (d) of this section, departments and agencies will respond within 30 days to a NASA purchase request by forwarding DD Form 448-2, Acceptance of MIPR. Forward each DD Form 448-2 in quadruplicate and indicate action status as well as the name and address of the DoD acquisition activity for future use by the NASA initiator.
(c) To the extent feasible, all documents related to the NASA action will reference the NASA-Defense Purchase Request number and the item number when appropriate.
(d) Departments and agencies are not required to accept NASA-Defense Purchase Requests for common-use standard stock items which the supplying department has on hand or on order for prompt delivery at published prices.
208.7104 Changes in estimated total prices.
When a department or agency determines that the estimated total price (Block 6F, NASA Form 523) for NASA items is not sufficient to cover the required reimbursement, or is in excess of the amount required, the department/agency will forward a request for amendment to the NASA originating office. Indicate in the request a specific dollar amount, rather than a percentage, and include justification for any upward adjustment requested. Upon approval of a request, NASA will forward an amendment of its purchase request to the contracting activity.
208.7105 Payments.
Departments and agencies will submit SF 1080, Voucher for Transferring Funds, billings to the NASA office designated in Block 9 of the NASA-Defense Purchase Request, except where agreements provide that reimbursement is not required. Departments and agencies will support billings in the same manner as billings between departments and agencies.
SUBPART 208.72--INDUSTRIAL PREPAREDNESS PRODUCTION PLANNING
208.7201 Definitions.
As used in this subpart--
"Industrial base" means that part of the total privately-owned and Government-owned industrial production and maintenance capacity of the United States and Canada, which will be available during national emergencies to manufacture and repair items required by the departments.
"Industrial preparedness production planning" means planning designed to maintain an adequate industrial base to support DoD requirements for selected essential military items in a national emergency.
"National emergency" means a condition declared by the President or the Congress which authorizes certain emergency action in the national interest, including partial or total mobilization of national resources.
"Planned item" means any item selected for industrial preparedness planning under the criteria of DoDI 4005.3, Industrial Preparedness Planning.
"Planned producer" means an industrial firm which has agreed by either non-binding memorandum of understanding or binding contract/contract clause to provide production capacity data, to maintain existing capacity for a negotiated period of time, and to accept contracts for planned items upon the request of the Government.
(a) Under the Industrial Preparedness Production Planning (IPPP) program, DoD components and industry work together to ensure essential military items are available during an emergency.
(b) Departments and agencies select weapon systems and items for planning in accordance with DoDI 4005.3, Industrial Preparedness Planning. Planning is conducted only with U.S. or Canadian sources.
(c) The use of privately-owned facilities is preferred to minimize the need for Government investment. Departments and agencies will include Government-owned production facilities in the industrial base only when--
(1) Private industry is unable to provide the facilities necessary to support DoD requirements; or
(2) The facilities are necessary--
(i) For reasons of national security; or
(ii) To ensure a quick response capability to meet fluctuating demands.
208.7203 Authority.
Authority under current contracting procedures to accomplish industrial planning actions includes--
(a) Leasing of Government-owned property to planned emergency producers under the authority of the Military Leasing Act of 1947, 10 U.S.C. 2667;
(b) Acquisitions in the interest of national defense under FAR 6.202(a)(2), or in case of a national emergency or to achieve industrial mobilization under FAR 6.302-3;
(c) Acquisition of items restricted under 225.7010 and 225.71;
(d) Use of multiyear contracting (FAR subpart 17.1);
(e) Providing Government production and research property to contractors; and
(f) Use of direct payment for idle facilities or idle capacities reserved for defense mobilization production (FAR 31.205-17(d)).
(a) Planned producers shall be solicited for all acquisitions of their planned items, when the acquisition is over the small purchase threshold in FAR 13.000, except as provided in FAR or DFARS.
(b) The contracting officer may contract for industrial planning efforts for selected essential military items. These efforts may include, but are not limited to, the maintenance of Government-owned industrial facilities (real and personal property) or production data packages. These planning efforts may be acquired through an individual service contract or as a line item on a contract for a planned item.
SUBPART 208.73--USE OF GOVERNMENT-OWNED PRECIOUS METALS
208.7301 Definitions.
As used in this subpart--
"Defense Industrial Supply Center (DISC)" means the Defense Logistics Agency field activity located at 700 Robbins Avenue, Philadelphia, PA 19111-5096, which is the assigned commodity integrated material manager for refined precious metals and is responsible for the storage and issue of such material.
"Dual pricing evaluation procedure" means a procedure where offerors submit two prices for precious metals bearing items--one based on Government-furnished precious metals and one based on contractor-furnished precious metals. The contracting officer evaluates the prices to determine which is in the Government's best interest.
"Precious Metals Indicator Code (PMIC)" means a single digit, alpha-numeric code assigned to national stock numbered items in The Defense Integrated Data System Total Item Record used to indicate the presence or absence of precious metals in the item. PMICs and the content value of corresponding items are listed in DoD 4100.39-M, Defense Integrated Data System (DIDS) Procedures Manual, Chapter 10, Table 160.
"Refined precious metal" means recovered silver, gold, platinum, palladium, iridium, rhodium, or ruthenium, in bullion, granulation or sponge form, which has been purified to at least .999 percentage of fineness.
208.7302 Policy.
DoD policy is for maximum participation in the Precious Metals Recovery Program (PMRP). DoD components shall furnish recovered precious metals contained in the DISC inventory to production contractors rather than use contractor-furnished precious metals whenever the contracting officer determines it to be in the Government's best interest. (See DoDD 4160.22, Recovery and Utilization of Precious Metals.)
(a) Item managers and contracting officers will use the PMIC and/or other relevant data furnished with a purchase request to determine the applicability of this subpart.
(b) When an offeror advises of a precious metals requirement, the contracting officer shall use the procedures in Chapter X of DoD 4160.21-M, Defense Utilization and Disposal Manual, to determine availability of required precious metal assets and current government-furnished materiel (GFM) unit prices. If the precious metals are available, the contracting officer shall evaluate offers and award the contract on the basis of the offer which is in the best interest of the Government.
(c) When the clause prescribed by 208.7305 is included in a solicitation, the contracting officer will ensure that Section B, Schedule of Supplies or Services and Prices, is structured to--
(1) Permit insertion of alternate prices for each deliverable contract line item number that uses precious metals; and
(2) Use dual pricing evaluation procedures.
208.7304 Refined precious metals.
The following refined precious metals are currently managed by DISC:
Precious Metal National Stock Number (NSN)
Silver Bullion/Granules 9660-00-106-9432
Gold Bullion/Granules 9660-00-042-7733
Platinum Granules 9660-00-042-7768
Platinum Sponge 9660-00-151-4050
Palladium Granules 9660-00-042-7765
Palladium Sponge 9660-01-011-0320
Rhodium Sponge 9660-01-011-2625
Iridium Sponge 9660-01-011-1937
Ruthenium Sponge 9660-01-039-0313
(a) Use the clause at 252.208-7000, Intent to Furnish Precious Metals as Government-Furnished Material, in all solicitations and contracts except--
(1) When the contracting officer has determined that the required precious metals are not available from DISC;
(2) When the contracting officer knows that the items being acquired do not require precious metals in their manufacture; or
(3) For acquisitions below the small purchase threshold in FAR 13.000.
(b) To make the determination in paragraph (a)(1) of this section, the contracting officer shall consult with the end item inventory manager and comply with the procedures in Chapter X, DoD 4160.21-M, Defense Utilization and Disposal Manual.