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Section 5490.1201: Simplified acquisition price review program.

(a) Defense Supply Centers shall perform a monthly postaward price analysis of 60 line items from separate awards, selected from the total universe of the previous month's central simplified acquisitions (excluding purchases by secondary and tertiary field activities). The review shall be performed by the DSC Cost and Price Analysis Element. The purpose of this program is to identify significant and/or repetitive overpricing and to take corrective action as may be required including feedback on contracting deficiencies noted during the reviews. When an unreasonable price is indicated, appropriate action to resolve the overpricing shall be taken, including action pursuant to Subpart 42.71, if applicable. A review of an item is to be deemed completed only when a determination has been reached that overpricing: (1) did not occur; or, (2) did occur, and a refund has been collected and processed; or, (3) did occur, but all efforts to obtain a refund were unsuccessful, and a decision has been made that no further action is warranted. Other steps, such as initiating action for competitive acquisition of previously sole source items and/or revision of specifications, shall also be accomplished as needed.

(b) A record of postaward price analysis results, including the information necessary to provide summary data contained in the following format, shall be maintained by the Cost and Price Analysis Element.

SIMPLIFIED ACQUISITION POSTAWARD PRICE REVIEW PROGRAM

Defense Supply Center________________

Report for the _____________ Period FY 200 __

I. Review Reconciliation: Number

A. Beginning Balance Reviews in Process:

B. Reviews Initiated During Quarter:

C. Reviews Completed During Quarter:

D. Ending Balance Reviews in Process:

II. Completed Reviews (from I.C. above): Automated Manual

A. Number Determined Not Overpriced:

B. Number Determined Overpriced:

C. Number for Which Sufficient Price Data

Could Not Be Obtained to Make a Determination:

III. Corrective Action (from II.B. above): Number Savings

A. Price Reductions:

B. Refunds:

C. Cancellations-Repurchases:

D. Other (Specify, e.g., action initiated for

competitive acquisition, commercial alternate

found, action initiated to revise

specifications.):

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