# IG5313 Simplified Acquisition Procedures

Informational Guidance

IG5313
Simplified Acquisition Procedures

September 2004

5313.003 (h)(5) Policy

Inspection of Decentralized Purchasing Operations. Unless a specific surveillance program established under another regulation requires otherwise, the local contracting office should conduct an annual inspection of decentralized purchasing operations. This inspection should evaluate the purchasing activities of individuals exercising decentralized purchasing authority. If a decentralized purchasing operation in an inspected functional area demonstrates a high level of proficiency and effectiveness, the contracting office may consider limiting the scope of the inspection in the subsequent year, provided that during the abbreviated inspection no indications of degradation in performance are discovered.

5313.106-1 (b)(3) Soliciting From a Single Source

For simplified acquisitions that exceed the micro purchase threshold, the requiring activity should provide an adequate justification for a sole source acquisition to include, as appropriate, the following information:

(i) A brief non-technical description of the supplies/services to be acquired;

(ii) A clear, concise statement of the facts justifying the award of a sole source contract. For example:

(A) If the justification involves urgent and compelling circumstances, then the time constraint and the reason why only one contractor can meet the requirement should be explained; and/or

(B) If the justification is the unique capabilities possessed by only one contractor, then state the reasons why no other contractor has or can obtain these capabilities and why these capabilities are essential for contract performance;

(iii) A statement that the proposed sole source is the only known source that can satisfy the Government’s requirement. However, statements such as “No other sources are considered qualified” are not considered an adequate basis for sole source justification; and

(iv) A statement of actions to be taken by the requiring activity to preclude the necessity for future sole source acquisition of the same supplies/services (e.g., conducting a market survey to determine potential future sources).

(b)(4) Contracting Officers - remember to make the determination required by FAR 13.106-1 (b)(1).

5313.303-3(c) Pre-priced BPAs

(1) The contracting officer may delegate authority to place calls against pre-priced BPAs to requiring activities. Such activities are responsible to and should follow directions from the contracting officer who authorized the placement of calls.

(2) The contracting officer should establish firm unit prices or obtain price lists from each BPA holder. After determining that prices are fair and reasonable, the contracting officer should date, sign, and mark the list “Approved. This list supersedes all prior lists effective this date.” The contracting officer should send copies to the BPA holder and each activity authorized to use the BPA. The contracting officer should retain the list in the BPA file for at least six months after the final payment against it. Calls may only be placed against current approved price lists.

(3) Requiring activities do not negotiate or solicit prices. Requests for items not on a price list should be submitted to the contracting officer for separate contract action or addition to an existing price list. Requiring activities should maintain records of calls to document expenditure of funds and to prepare acquisition reports. BPA holders should refer any problems to the contracting officer for necessary action.

5313.303-5 (e)(4) Purchases under BPAs

(i) The Accounting and Finance Office (AFO) needs evidence of an obligation, a valid receiving report and a proper invoice before paying for purchases under BPAs.

(ii) Evidence of obligation of computer generated requirements is provided by the automated system to the AFO. Evidence of obligation for medical supplies is similarly provided to the AFO in computer detail listings. Obligations under decentralized commissary pre-priced BPAs are recorded at time of item receipt.

(iii) For payment under services BPAs or other BPAs not covered by paragraph (2) above, the contracting office should furnish the AFO written evidence of the actual obligation (call) using informal correspondence. The BPA register, or annotated DD Forms 250, 1348-1, or 1155 may be used. When calls are canceled for these BPAs, the contracting officer should notify the AFO in writing.

(iv) Contracting officers should provide BPA registers to the AFO at the end of each monthly report processing cycle to aid in quarterly reconciliation of accounts. Registers contain data as requested by AFO, except that system-developed registers should not be altered to add additional data. BPA calls placed using the governmentwide purchase card should not be included in the register sent to the AFO.

5313.303-6 (b)(3) Blanket Purchase Agreements (BPAs)

When a BPA is limited to specific items on a price list, consider including a statement that the supplier shall furnish firm price lists periodically as required by the contracting officer.

5313.305-2 Imprest Fund and Third Party Drafts

(a) The contracting officer at the office responsible for contract support of the unit to which the imprest fund cashier is assigned should exercise direction, control, and oversight of purchases using imprest funds. At isolated activities and deployed organizations, under emergency conditions, this responsibility may be delegated to the senior ranking officer for the isolated activity or deployed unit.

(c)(1) The contracting office should forward requests for appointment through the disbursing office to the installation commander for approval. The contracting officer should ensure that imprest fund cashiers are given sufficient purchasing training to accomplish their duties.

(d) C.O.D. orders placed without soliciting quotations should include the following:

(1) An endorsement on the order stating, “Payment to be made from Imprest Fund.”;

(2) A statement that shipment can be made only if:

(i) The item strictly conforms to the purchase description;

(ii) The total price of the item does not exceed the ceiling price stated in the order; and

(iii) Delivery can be made C.O.D. within 60 days from the date of order; and

(3) The statement instructing the contractor to withhold shipment if all the foregoing conditions cannot be met and requesting the contractor to advise of nonshipment and any counter offer concerning substitute item, price, or delivery date.

(e) For reporting purposes, only actual prices paid for the item should be reported. When the order is placed, the ceiling price should be entered by pencil on an appropriate control register.