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Class Deviation-Limitations on Available for Contract Services 6 June 2012


SSKO

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I read the legislation in the FY 2012 National Defense authorization Act and the class deviation issued by DoD states ".....NEGOTIATION OBJECTIVES ..........

The Deviation language is not the same as the legislation and adds "..........for other than acquisition of commercial items or competitively awarded contracts or task orders"

How do you interprete the directive for award?

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The June 6, 2012 DPAP Memorandum (DARS Tracking Number: 2012-O0008) either (A) sought to rewrite the Act of Congress but did not have the requisite 218 votes in the House and 51 votes in the senate; OR (B) that the drafter of the Memorandum sought to clarify those contracts to which the directive will actually apply.

As far as further interpretation is concerned, I think you need to read the June 6, 2012 DPAP Memorandum in context with the June 3, 2012 DSD Memorandum - "Guidance for Limitation on Aggregate Annual Amount Available for Contracted Services". The June 6 document deals specifically with limits for contracts above $10 Million. First, it focuses on such contracts that contain negotiated factors (labor and overhead) by establishing a ceiling for the negotiation objective. This does not mean that it places a cap on what is finally negotiated. Second, it confirms the June 3 document and focuses on ALL contracts above $10 Million, by requiring approval for any service exceeding 2010 spending levels.

The June 3 document and its "Attachment 1" goes a bit further in dictating guidance to the DoD acquisition workforce relative to in-sourcing and budgetary restrictions for contracted services.

While I'm aware that these Memoranda have been circulated to at least some in the contracting workforce, I am disappointed that every budget / resource management person with whom I have made inquiry, have been unaware of these documents.

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