# MP5301.603 Standardized Contracting Officer Warranting

#### Mandatory Procedure

MP5301.603
Standardized Contracting Officer Warranting

April 2010

Table of Contents

1. Applicability

1.1 Exemptions
1.2 Supplementation

2. Special topics

2.1. Displaying Warrants
2.2. Focal Points
2.3. Administrative Changes
2.4. Modifying Limited Warrants
2.5. Reinstating Air Force Warrants
2.6. Transferring Warrant Eligibility
2.7. Grandfathering Contracting Officers
2.8. Biennial Warrant Validations
2.9. Air Force Contracting Officer Test Maintenance

3. Selecting, Nominating and Evaluating Individuals

3.1. Standard Nomination Package
3.2. Compliance Review
3.3. Air Force Contracting Officer Test
3.4. Limited Warrants
3.5. Warrant Board

4. Appointing Contracting Officers

4.1. Certificates of Appointment
4.2. Warrant Presentation Meeting

5. Documentation Maintenance

6. Terminating Appointments

PREFACE

Following are mandatory procedures (MP) for standardizing the Air Force (AF) contracting officer (CO) warrant process. Compliance with FAR 1.603, DFARS 201.603, and AFFARS 5301.603 and related law, regulation, and policy is required.

Comments and recommendations concerning this MP may be submitted to SAF/AQCP 1060 Air Force Pentagon, Washington DC 20330-1060.

1. Applicability. This MP shall be used when selecting and nominating individuals for warrants, examining candidate qualifications, appointing COs, modifying appointments, reinstating previously held AF warrants, transferring warrant eligibility between AF contracting offices, and terminating CO appointments.

1.1. Exemption. Contingency CO warrants which are addressed in AFFARS Appendix CC, Part CC-2 are exempt from this MP.
1.2. Supplementation. Supplementation or local procedural guidance is limited to authorized designations/delegations of focal point responsibility, or as otherwise specified herein to maximize process standardization.

2. Special Topics.

2.1. Displaying Warrants. The SF1402, Certificate of Appointment, shall be clearly and publicly displayed in the CO’s workplace.

2.2. Focal Point. The Senior Contracting Official/Senior Center Contracting Official (SCO/SCCO) shall establish a focal point to oversee the warrant process as outlined in this MP. Focal points may also be designated at subordinate contracting offices and delegated responsibilities as appropriate.

2.3. Administrative Changes. A written request to reissue an existing warrant certificate for administrative purposes (e.g., damage to/deterioration of the original SF1402, correct typographical errors, effect name changes or changes in organizational structure, etc.) may be submitted directly to the SCO/SCCO’s designated focal point for processing to the appropriate appointing authority and does not constitute a new appointment.

2.4. Modifying Limited Warrants. A request to modify limitations on a warrant will be processed as a new appointment in accordance with this MP, except that warrant testing, once successfully accomplished, shall not be required to be repeated (see paragraph 3.3 below). Meeting a warrant board is required prior to increasing a limited warrant to a value of $5M or more, or issuing an unlimited warrant.

2.5. Reinstating Air Force Warrants. Warrant reinstatement applies to an individual who previously held an AF warrant which was subsequently terminated due to reassignment from the position requiring the warrant, termination of employment with the organization that originally issued the warrant, retirement, or unsatisfactory performance. Termination of employment with the organization that originally issued the warrant includes situations whereby an individual holding a warrant in an AF contracting office transfers to a non-AF agency or organization, and then returns to an AF contracting office. A request to reinstate a previously held AF warrant shall be submitted to the SCO/SCCO for approval through the SCO/SCCO’s designated focal point using the Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template. Warrant testing, and warrant board requirements in accordance with this MP are required prior to reinstating a warrant if: 1) termination of the warrant was for cause (candidate failed to maintain proficiency in an acquisition position within the AF); or, 2) if after review of the request, the SCO/SCCO determines that the significant time lapse since the warrant was terminated indicates that a reassessment of the candidate is prudent. In either of these instances, the reinstatement request will be disapproved and the package must be resubmitted as a new appointment in accordance with this MP.

2.6. Transferring Warrant Eligibility.

2.6.1. Unlimited warrant eligibility means that an individual has passed both the automated test and warrant board in accordance with this MP. Once an individual is unlimited warrant eligible, the appointing authority of the gaining organization shall not require the individual to test or board again. Unlimited warrant eligibility is transferable across AF contracting offices without requiring a candidate to re-test or meet another warrant board, provided: 1) the original appointing authority (or individual currently occupying that position) certifies to the gaining SCO/SCCO on the Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template that the candidate maintained proficiency in the previously assigned acquisition position; and, 2) the subject warrant was issued pursuant to this MP. Otherwise, the gaining SCO/SCCO may require the candidate to successfully complete the warrant test and/or meet a warrant board before considering appointing the individual.
2.6.2. Limited warrant eligibility means that an individual has passed the automated test in accordance with this MP. Once an individual is limited warrant eligible, the appointing authority of the gaining organization shall not require the individual to test again. Limited warrant eligibility is transferable across AF contracting offices without requiring a candidate to re-test, provided: 1) the original appointing authority (or individual currently occupying that position) certifies to the gaining SCO/SCCO on the Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template that the candidate maintained proficiency in the previously assigned acquisition position; and, 2) the subject warrant was issued pursuant to this MP. Otherwise, the gaining SCO/SCCO may require the candidate to successfully complete the warrant test before considering appointing the individual. If warrant boards are convened in accordance with local procedures prior to issuing warrants of less than $5M, limited warrant eligibility transfers may require the candidate to meet the local warrant board before the gaining SCO/SCCO considers appointing the individual.

2.7. Grandfathering Contracting Officers. COs (including Purchasing Agents in the GS-1105 series) are not required to be tested, re-boarded or reappointed in accordance with these procedures to retain their existing appointments solely due to the establishment of this MP. However, individuals with limited warrants of less than $5M will be required to test and meet the warrant board to be eligible for an increase to a limited warrant of $5M or more or be eligible for an unlimited warrant.

2.8. Biennial Warrant Validations. The SCO/SCCO or designee shall review all warrants (limited, functional and unlimited) biennially beginning in January 2012 to validate their necessity and take action to terminate those deemed unnecessary, and evaluate any warrant limitations for purposes of an individual’s career development. CO proficiency will also be validated during the biennial review, however the primary means to assess a CO’s proficiency is through clearance reviews, unit self-inspections, Operational Readiness or Compliance Inspections or other interactions with the CO at any time by the SCO/SCCO, designee or a supervisor within the CO’s management chain. When appropriate, the SCO/SCCO or designee may suspend the warrant until such time as the individual has reestablished proficiency (e.g., retesting, review of work products) to the satisfaction of the SCO/SCCO or designee. Otherwise the warrant shall be terminated for cause. Additionally, all COs must comply with the Defense Acquisition Workforce continuous learning requirement. If a CO fails to make progress to obtain sufficient continuous learning points to maintain their Acquisition Professional Development Program (APDP) certification, the SCO/SCCO or designee may suspend the warrant until such time as the individual has obtained (or has an achievable plan to obtain) the required continuous learning points. The SCO/SCCO’s focal point or designee shall maintain a record (hard copy or electronic) of biennial warrant validation results.

2.9. Air Force Contracting Officer Test Maintenance. To ensure the integrity of the warrant test, the database of questions, answers, and references shall be continuously maintained. The generation of new questions, as well as the identification of existing questions, answers and/or references for deletion or modification will be accomplished in a decentralized fashion. However, HQ AFMC/PKQ shall maintain configuration control of the automated warrant test application, question database, and the Administrator and User Guide.

2.9.1. SCO/SCCO’s focal points and designees shall immediately notify HQ AFMC/PKQP by email to afmc.pk.workflow-02@wpafb.af.mil upon discovery of an incorrect or incomplete reference or incorrect answer, or a suspect question (evidenced by the percentage of test takers missing the same question) as a result of test construction or test score challenges/validation efforts.

2.9.2. SAF/AQCP will initiate a call for new question sets (complete with answers and all applicable references where answers may be found), to MAJCOM/DRUs as often as deemed necessary due to policy changes, however, suggested additions to the test database will be accepted for consideration at any time. AQCP will review proposed questions, answers and references, and make any necessary edits prior to forwarding them to HQ AFMC/PKQP for inclusion in the test database.

2.9.3. HQ AFMC/PKQP shall be responsible for making administrative changes (e.g., office symbol changes, threshold changes, reference changes, etc.) to affected questions, answers, and references residing within the test database as regulatory changes are published and upon receipt of notices from SCO/SCCO’s focal points as discussed in 2.9.1 above, or from SAF/AQCP.

3. Selecting, Nominating, and Evaluating Individuals

3.1 Standard Nomination Package. The Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template shall be utilized by the candidate’s sponsor (no lower than the candidate’s first level supervisor) to nominate the individual for a warrant. Any special accommodation that must be made for a candidate (e.g., visual or mobility issues, voice-assisted software, etc.) should be specifically stated on the template or on an attachment thereto. This nomination process applies for both unlimited and limited (by dollar value and/or function) warrants of all types (Procuring Contracting Officer (PCO), Administrative Contracting Officer (ACO), and/or Termination Contracting Officer (TCO).

3.2. Compliance Review. The completed template shall be submitted to the SCO/SCCO focal point or designee for review to validate compliance with FAR 1.603, as supplemented. The SCO/SCCO’s focal point or designee shall affirm compliance by signing the Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template in the space provided. Additional management reviews or endorsements on the completed template are at the discretion of the SCO/SCCO in accordance with local procedures.

3.3. Air Force Contracting Officer Test. Candidates for warrants above the simplified acquisition threshold (SAT) are required to successfully complete a four-hour time limited, open book/open computer examination to assess contracting knowledge and research ability. Assistance to a candidate taking the test by another individual or group is not permitted except that which is required to provide reasonable accommodation to a special needs employee.

3.3.1. Following an affirmative compliance review and any additional management reviews or endorsements of the completed request template, the SCO/SCCO’s focal point or designee will generate a test, schedule and designate/secure an appropriately equipped testing environment/location away from the candidate’s assigned workstation. The SCO/SCCO’s focal point may opt to generate the test and provide it to a subordinate focal point to administer to the candidate.

3.3.2. Each test shall be computer-generated and will contain 50 randomly selected true/false and multiple-choice questions from the FAR, DFARS, and/or AFFARS.

3.3.3. The SCO/SCCO’s focal point or designee will proctor the warrant test to verify the candidate’s completion of the test according to the specific directions of this MP and the Air Force Contracting Officer Test Administrator and User Guide. The proctor will administer tests as frequently as determined necessary. Designated test proctors shall review test taking procedures with the candidate(s) prior to the start of the test.

3.3.4. The designated test proctor may authorize use of the “hold timer” feature of the automated test during the designated four-hour test period, if justified (e.g., fire alarms and associated emergency evacuations/relocations, reasonable accommodation for a special needs employee, etc.).
3.3.5. In order to complete the test within the allotted time, a candidate must be familiar with the location of various subject matters in the FAR, DFARS and AFFARS and understand how to gain access to these regulations without the use of any shortcuts residing on their personal desktop, as the test will not be administered at the candidate’s assigned workstation. Candidates may bring bound, published copies of the FAR and DFARS into the testing location, however, use of these printed materials is at the candidate’s own risk as they may not be as current as electronically available regulations provided for use in the testing location. Notes or electronic devices (e.g., cell phones, Blackberries, etc.) are not permitted to be brought into the testing location.

3.3.6. A candidate must score a minimum of 85% to pass the test and be eligible for a warrant; however, a passing score does not guarantee a CO appointment. As the test is pass/fail, the test proctor will not provide the specific test score attained to anyone other than the candidate.

3.3.7. A correct answer and citation of a valid reference, to the paragraph level (e.g. FAR 15.403-1(b)), as applicable, indicating where the candidate located the answer to each question must be provided to earn two points. If the candidate answers the question correctly but the reference incorrectly, the candidate shall be granted only one point. If the candidate answers the question incorrectly, but the reference correctly, the candidate shall receive no points as this indicates a failure to understand the regulation.

3.3.8. The test will be automatically scored; however, the test proctor is responsible for validating incorrect references as well as any challenged test result, manually adjusting the test score, if appropriate, and notifying HQ AFMC/PKQP when specific test question and/or database maintenance is required as set forth in paragraph 2.9 above. The designated test proctor will generate, sign and date a Certificate indicating successful completion of the test and provide same to the candidate.

3.3.9. Candidates who do not pass the test may retake it at the next offering, if authorized by their immediate supervisor, subject to space available per the designated test proctor. Candidates failing to pass the test after a second attempt must wait six (6) months before retaking the test. The SCO/SCCO may waive the waiting period when appropriate.

3.3.10. Individuals may take the test for “practice” a maximum of once per quarter if authorized by their immediate supervisor, subject to space available per the test proctor. However, a passing score on a practice test does not meet the test requirement if the individual is nominated for a warrant in the future.

3.3.11. Use of the warrant test is optional for candidates for limited warrants at or below the SAT or for limited functional warrants (see paragraph 3.4 below).

3.3.12. Supervisors are authorized to approve four (4) continuous learning points once per 12-month period for any individual who completes the test whether in connection with a warrant request action or for training purposes.

3.4. Limited Warrants. Limited warrants may be issued for any monetary threshold depending upon organizational needs1, the qualifications and capabilities of the candidate, and in furtherance of the candidate’s career development. Limited warrants may be issued for specific functions (e.g., contract closeout, defective pricing actions, and funding actions, etc.). Successful completion of the warrant test signifies eligibility for a limited warrant above the SAT but less than $5M. The warrant test is optional for limited functional warrants (see Para. 3.3.11). If local procedures require a test for limited functional warrants, then successful completion of the warrant test signifies eligibility for a limited functional warrant. Use of a formal warrant board for limited warrants of less than $5M, and/or limited functional warrants, is authorized for inclusion in local procedures at the discretion of the SCO/SCCO.

1 The value of the instant action (versus the value of the contract the action is against) or the type of action (for functional warrants) determines whether or not a limited warranted CO has authority to execute the action.

3.5. Warrant Board.

3.5.1. Upon successful completion of the warrant test, a candidate for an unlimited warrant or a limited warrant of $5M or more shall meet a warrant board. The purpose of the board is to further assess the candidate’s experience and qualifications for the warrant, communication skills, and overall demeanor in order to provide objective information upon which the appointing authority may make a reasonable judgment.

3.5.2. The board shall be chaired by the SCO/SCCO or designee, but in no event will the designee be at a level lower than the Deputy, Technical Director, Chief of the Clearance and Program Support Division, highest level contracting official at a geographically separated organization or detachment, Contracting Squadron Commander, Deputy, or equivalent.

3.5.3. In addition to the board chairperson, the warrant board may consist of as many of the following personnel available at the designated time for the board; however a minimum of five members must be present to constitute a quorum. Suggested board composition includes contracting office supervisors, a representative from the staff judge advocate office (strongly recommended), the Competition Advocate, a clearance/program support procurement analyst, a small business specialist, supervisors from other disciplines, and a cost/price analyst. MAJCOM/DRU representatives may participate in person, by telecom or by video teleconference at their discretion.

3.5.4. The SCO/SCCO’s focal point or designee shall schedule the warrant board and notify all participants of the time and location of the proceedings, and be present to record minutes (i.e., identity of board participants, questions posed, assessment of candidate responses, and board recommendations).

3.5.5. Once convened, the board may opt to discuss the candidate’s qualifications with the candidate’s sponsor (no lower than the candidate’s first level supervisor) without the candidate present. The warrant candidate shall answer and/or discuss in depth no fewer than five scenario-type questions on acquisition topics posed by the board--situations that COs may face in the environment they will be using their warrant. At least one scenario question must encompass pricing and fiscal law issues. The board will assess the ability of the prospective CO to analyze a situation and offer problem resolution and sound business advice, as well as the candidate’s overall poise during the board process. At the conclusion of the board, the members will deliberate and provide a recommendation to the board chairperson/appointing authority on the requested appointment.

4. Appointing Contracting Officers.

4.1. Certificates of Appointment. The SCO/SCCO’s focal point or designee shall prepare all warrants using the SF1402, Certificate of Appointment. Applicable warrant dollar limitations and any other limitations on the scope of authority shall be clearly specified on the face of the SF1402 in the space provided. Appointment certificates will be serially numbered. The SCO/SCCO’s focal point or designee shall enter the appointment number, and obtain the signature of the appointing official and the date the appointment date in the spaces provided on the SF 1402 and on the Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template.

4.2. Warrant Presentation Meeting. All appointment certificates shall be presented to successful candidates by the appointing official. However, this meeting is at the discretion of the appointing official for warrant reinstatements. When necessary, this meeting may be accomplished by telecom or through use of video teleconferencing. At a minimum, the discussion with each candidate at the warrant presentation meeting shall emphasize the duties inherent with a contracting officer warrant, including fiduciary and ethical responsibilities of the appointment, expectations, and clear instructions regarding the limits of their authority.

5. Documentation Maintenance. The SCO/SCCO’s focal point or designee shall maintain a folder for each CO which shall include the completed Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template, documentation requirements of FAR 1.603-2 and supplements thereto on behalf of the appointing official, and a copy of the signed warrant certificate. A copy of the warrant test that was administered and the test results, as well as a copy of the Warrant board minutes, when a board is conducted, may be retained by the test proctor in a central location (filed by the date the test was administered or board was conducted) or filed within the folder for each CO. These records (hard copy or electronic) shall be retained for a reasonable amount of time to facilitate warrant modifications, eligibility transfers and reinstatements.

6. Terminating Appointments. The initiator of a warrant termination, normally the supervisor of the CO, shall request termination of a warrant whether for cause, reassignment or employment termination using the Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template. If the CO is transferring to another AF contracting office and will require a warrant in the new position, the gaining SCO/SCCO will request the SCO/SCCO’s focal point or designee to obtain the documentation supporting warrant eligibility transfer from the losing SCO/SCCO (the warrant must be terminated by the losing SCO/SCCO and a new SF 1402 issued by the gaining SCO/SCCO or designee). The Contracting Officer Appointment/Warrant Eligibility Transfer/Termination Request template must be completed by the SCO/SCCO focal point or designee for termination and for warrant eligibility transfers, and submitted to the SCO/SCCO or designee for signature in the space provided. The completed template will be returned to the SCO/SCCO’s focal point or designee for file retention (hard copy or electronic) for a reasonable amount of time to facilitate any future warrant reinstatement.