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Found 2 results

  1. I have a requirement for a follow-on contract that I am confused about what category it falls under: Supply or Service. I've read the definition of supplies in FAR Part 2 as well as the definition of Service in FAR Part 37; However, these definitions still leave me without an answer. My requirement, as I understand it, is a monthly fee for use for access to a secure Network. This is a logical network that allows us to get into different applications to meet our needs. It's essentially connectivity from our contractor to us. We maintain the equipment that allows us to access the network, we just pay on a per month basis to access the network. My understanding of this requirement is that we are being provided a service which includes 24/7 monitoring and support. There is no cost breakdown on what portion of our fee goes towards that support element and which directly to the access available. I think of it as internet service; However, there's a question on whether it is technically a "subscription." The argument was made that it might be a supply since we are not directly engaging the services of a contractor. I think of a supply as a tangible end item like a magazine subscription- the end result is an item of supply being furnished. Can someone please help me understand if this is a supply or a service?
  2. I need a sanity check. My management wants me to award a delivery order with FY14 funds for supply items that will go from date of award through March, 2015. We have an immediate need for *some* of the items, but some aren't required until FY15. For those items that are not required until FY15, we cannot tell the contractor the exact quantities or delivery addresses. The quantities on the order will be based on projected estimates based on historical figures. In accordance with the GAO Principles of Federal Appropriations Law (Redbook) (Chapter 5.B.4), which discusses taking receipt of deliverables after the end of the FY, the exceptions appear to be if there is a stock program or if there is a production lead time. We do not meet either of those exceptions. Legal's response: "The bona fide need rule is satisfied because the agency had a blanket and continuing need to provide these items when the IDIQ contract was executed in FY14, and that need crosses into FY15." My immediate supervisor claims that we are okay because we have an immediate need for SOME of the items this FY, so it's fine that we can't tell the KTR exaclty what we need by 9/30/14 (and wait to tell them well into FY15, as the needs arise) because "it's still within a one year period." Keep in mind, this is for supplies, not services. I believe that the delivery order should only be placed for items that we have a bonafide need for this FY. Thoughts?
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