(a) The I-ARB will review all proposed performance based logistics (PBL) acquisitions (see 90.1501, Appendix A for definitions), proposed service acquisitions; supply acquisitions proposed to be fulfilled through use of non-DOD contracting vehicles (see Subpart 7.90, below), and supporting BCAs, if appropriate, in accordance with the thresholds below. Additionally, all bundled requirements (see DLAD 7.107) resulting in a proposed acquisition of more than $1 million shall be approved by the I-ARB.
TABLE 1: Acquisitions of Supplies Requiring I-ARB Review (Less Supplies Acquired Via Non-DOD Contract Vehicles
$ Threshold (2)
|
Other Criteria
|
Review/Coordinate
|
Acquisition & BCA Approval Level
|
> $5M - $20M
|
|
Field Activity Level
|
Chief of the Contracting Office
|
> $20 - $50M
|
|
Field Activity Level
|
Head of Contracting Activity or designee (2)
|
> $50M
|
|
HQ DLA/J-72
|
I-ARB
|
All
|
DLA/Military Service Partnerships
|
HQ DLA/J-72
|
I-ARB
|
TABLE 2: Acquisition of Supplies Acquired Via Non-DOD Contract Vehicles (1), and of Services, Regardless of How Acquired
$ Threshold (2)
|
Other Criteria
|
Review/Coordinate
|
Acquisition & BCA
Approval Level
|
> $100K - $5M
|
|
Field Activity Level (includes DES)
|
No lower than one level above contracting officer
|
> $5M - $20M
|
|
Field Activity Level (includes DES)
|
Chief of the Contracting Office
|
> $20M - $50M
|
DESC, DSCP, DSCC, DSCR
|
Field Activity Level
|
Head of Contracting Activity or designee (3)
|
> $20M - $50M
|
All Other Activities
|
HQ DLA/J-72
|
Streamlined I-ARB (4)
|
> $50M
|
|
HQ DLA/J-72
|
I-ARB or streamlined I-ARB
|
> $0.5B - $1B (5)
|
|
HQ DLA/J-72
|
Component Acquisition Executive or designee (5)
|
> $0.5B (6)
|
|
HQ DLA/J-7/J-6
|
Notification required to be provided to ASD/(NII)/DoD CIO, who reserves the right to review/approve (6)
|
> $1B (7)
|
|
HQ DLA/J-7
|
Notification required to be provided to DPAP, who reserves the right to review/approve (7)
|
Note (1) IAW joint USD(AT&L)/PDUSD(C) memorandum, October 29, 2004, “Proper Use of Non-DOD Contracts.”
Note (3) Delegable to a level above the Chief of the Contracting Office.
Note (4) As specified by the SPE.
Note (5) Does not pertain to IT services.
Note (6) For acquisitions of IT services only, IAW OSD guidance contained in USD(AT&L) memorandum, October 2, 2006, “Acquisition of Services Policy”
Note (7) For acquisitions of services (non-IT only), IAW OSD guidance contained in memorandum cited in Note 6 and in USD(AT&L) memorandum, July 19, 2007, “Acquisition of Services Review and Decision Authority.” Also, for acquisition of supplies, including service/supply hybrid arrangements, via non-DOD contract vehicles, per clarification from DPAP staff (December 2006).
(b) I-ARB membership normally includes the executives/representatives identified below. The DLA Senior Procurement Executive (SPE) may determine additional members on a case-by-case basis. I-ARB decisions are considered corporate decisions. Representatives are expected to be empowered by their organizations during the I-ARB sessions. Acquisition reviews shall focus on key principles to include taking an enterprise-wide approach; assessment of established metrics and expected outcomes; and that acquisitions are established through business arrangements that are in the best interest of DLA and DoD. See DLAD 90.1501 for detailed guidance on PBL acquisitions.
Chair - SPE ( Director, Acquisition Management, J-7
Members - J-81 (Deputy Comptroller, Budget and Program Integration
J-6 (Deputy Director, Information Operations)*
J-31 (Executive Director, Operations and Sustainment)
J-33 (Executive Director, Materiel Process Management)
J-39 (Executive Director, Strategic Programs)
ICPs (Supply Chain HCAs, Deputy Commanders or designated representatives)
DDC (Deputy Commander or designated representative)
Advisors - DG (Office of General Counsel)
DB (Office of Small Business Programs)
* Program Budget Resource Group Co-Chairs
(c) Unless otherwise determined by the SPE, a streamlined review board, consisting of designated I-ARB members, will convene to approve services acquisitions.
(d) Milestone A Approval. An Integrated Acquisition Review Board (I-ARB) will approve the initiation into the presolicitation phase of the acquisition process. The I-ARB confirms the acquisition strategy prior to release of the solicitation and approved the abbreviated BCA. The IPT should document major aspects of both the business and acquisition strategy, and request approval to proceed. The Head of Contracting Activity (HCA) shall concur with the proposed business and acquisition strategy prior to Milestone A approval.
(1) Upon receipt of the following supporting documentation, J-72 will schedule an I-ARB meeting: formal acquisition plan, justification and approval (if applicable), contract performance management plan, source selection plan, incentive plan, abbreviated BCA, and draft solicitation. All source selection information shall be marked as “Source Selection Information-See FAR 2.101 and 3.104”.
(2) One week prior to the scheduled I-ARB, the field activity will submit an advance copy of the Milestone A approval request briefing to J-72, along with any final documentation not submitted above. The following information, at a minimum, must be addressed for Milestone A approval:
Information Required for I-ARB Milestone A Approval
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Description
|
Acquisition overview
|
Summary of initiative, scope, customers, estimated value (including options)
|
Management approach
|
What level of management control will you exercise to oversee the entire acquisition process?
|
BCA initial findings (to include potential savings)
|
The BCA will be developed in accordance with J-7’s Draft One Book Chapter entitled “Acquisition Business Case Analysis”
|
Performance metrics, incentives/disincentives
|
The acquisition strategy shall explain the incentive structure, and how it incentivizes the contractor(s) to provide the contracted items to meet or exceed established goals and objectives. If more than one incentive is planned for a contract, the acquisition strategy shall explain how the incentives complement each other and ensure the incentives will not interfere with one another.
|
Planned contract approach
|
Include Plan of Action & Milestones (POA&M), evaluation strategy, and method of monitoring contract performance
|
Small business issues
|
Address any impact on small business, such as bundling or consolidation. See DLAD 7.107 and 7.170.
|
Surge & Sustainment requirements
|
See DLAD 7.104
|
Exit Strategy
|
Address transitioning of items and support if appropriate.
|
Challenges & issues, risks
|
|
Accomplishments
|
Include results of discussions with customers
|
(e) Milestone B Approval. The purpose of Milestone B is to approve the final BCA and authorize proceeding to contract award, approve exercising an option or decide to terminate the process based on the recommendations presented. Prior to making the milestone decision, the I-ARB will consider the results of the analysis to include the comparison of baseline costs with the proposed cost/price, assess any risks, along with an updated exit strategy, associated with the recommended course of action, and review the results of the negotiations. All source selection information shall be marked as “Source Selection Information- See FAR 2.101 and 3.104”.
(1) Upon receipt of the following documentation, J-72 will schedule an I-ARB for contract award approval meeting: final BCA documentation, source selection decision memorandum, Technical Evaluation Report. For an option exercise Milestone B I-ARB meeting, documentation should be submitted in accordance with FAR 17.207 in addition to an updated BCA.
(2) One week prior to the scheduled I-ARB, the field activity will submit an advance copy of the Milestone B approval request briefing to J-72.
(3) The following information, at a minimum, must be addressed for Milestone B approval for awards: Background (Acquisition and BCA), changes since Milestone A approval, updated financial assessment (coordinated with J8), updated acquisition POA&M, results of negotiations, and final BCA conclusions. For Milestone B approvals to exercise options the following information must be addressed: Background (Acquisition and BCA), changes since contract award, updated acquisition POA&M, updated financial assessment (coordinated with J8), and overview of FAR 17.207 documentation.
(4) Where there is a one-year base period and one-year option periods, the responsible supply chain can request for an instant procurement (through J-72), that the SPE authorize a simultaneous Milestone B (decision to exercise the option) IARB and a Milestone C IARB. If the supply chain’s request is approved by the SPE, then upon receipt of the following supporting documentation, J-72 will schedule an IARB meeting: updated BCA, contract award to include modifications, changes since contract award, documentation to support exercising an option as described in FAR 17.207, and related contractual documents not submitted under previous milestones, updated acquisition POA&M, updated financial assessment, performance metrics, and incentive/award fee schedule/execution.
(f) Milestone C Approval. The purpose of a Milestone C review is to determine whether the Agency is getting what it is paying for in terms of contract performance and whether the customer’s requirement is being fulfilled by the terms and performance of the contract. These reviews will be conducted for those acquisitions identified in subparagraph (4) below. For those programs with multiple awards, the supply chain may request approval from the SPE (through J-72) to conduct a Regional/Program level Milestone C Review. Field activities are encouraged to nominate additional acquisitions to the Acquisition Operations Division (J-72) for Milestone C review or to conduct such reviews themselves, when appropriate. Customer participation is encouraged in all Milestone C I-ARB reviews. These reviews are not conducted in conjunction with any specific event in the course of an acquisition. Rather, the Milestone C I-ARB should be scheduled as soon as enough information and experience has been gained to determine whether a course correction is required. This will normally occur approximately one year after contract performance has begun, and should form the basis for development of a way ahead strategy for the acquisition in question. Milestone C reviews will be conducted separate and distinct from a Milestone B exercise of option review.
(1) Upon receipt of the following supporting documentation, J-72 will schedule an I-ARB meeting: updated BCA, contract award to include modifications and related contractual documents not submitted under previous milestones, updated financial assessment, performance metrics, and incentive/award fee schedule/execution.
(2) One week prior to the scheduled I-ARB, the field activity will submit an advance copy of Milestone C approval request briefing to J-72.
(3) The following information, at a minimum, will be addressed for Milestone C approval: Updated BCA findings (to include re-assessed costs and benefits based on abbreviated BCA), assessment of metrics, assessment of incentives/disincentives, and changes in acquisition since last milestone approval.
(4) The following types of acquisitions are candidates for Milestone C I-ARB review, and will be scheduled when designated by the SPE:
(i) Items monitored at the Agency Director or Senior Procurement Executive level as part of the Hi-Viz surveillance program.
(ii) Acquisitions that were the subject of Milestone A or B I-ARB review.
(iii) Acquisitions awarded as the result of A-76 competition or as follow-on acquisitions of A-76 based awards (see DLAD 90.1903(d)).
(iv) Depot level reparable awards meeting the criteria for Milestone A or B review that were not reviewed.
(g) Waiver of I-ARB review and approval requirements may be requested by the Chief of the Contracting Office, under exceptional circumstances. The request for waiver, including an Advance Acquisition Planning Template, shall be submitted to the DLA Supplier Operations Branch (J-72) and must include rationale and justification for the waiver. Waivers are granted by the SPE on a case-by-case basis.
(h) When an I-ARB review is required, the Chief of the Contracting Office (CCO) shall submit both hard and electronic copies of the following documents to J-72 for evaluation: Acquisition plans (see 90.1101) reviewed and coordinated by appropriate field functional elements; source selection plan; incentive plan; justification and approval, as applicable; the solicitation; and an abbreviated (rough order of magnitude (ROM)) business case analysis, if appropriate. An Advance Acquisition Planning Template is not required for proposed acquisitions submitted for I-ARB review (e.g., PBL and services acquisitions). Upon receipt of the documentation previously listed, J-72 will schedule an I-ARB meeting, at which the contracting activity will formally brief the acquisition. Acquisitions of information technology (IT) services valued at greater than $500 million require notification to, for potential review and approval by, the Assistant Secretary of Defense for Networks and Information Integration/Chief Information Officer (ASD(NII)/DoD CIO). Non-IT service acquisitions and supply acquisitions using non-DoD contract vehicles valued at greater than $1 billion require notification to, for potential review and approval by, the Director, Defense Procurement and Acquisition Policy. Prior documentary review of the former shall be conducted by J-7 and J-6, and of the latter by J-7. In accordance with procedures outlined in Attachment 2 of the memorandum cited in note (6), above, as well as with the delegation contained in the memorandum cited in note (7), the contracting activity shall prepare, and shall submit through J-7, the appropriate notification, including a copy of the acquisition strategy document, to the cognizant OSD office before the solicitation is issued or, for other than full and open competition, before negotiations commence. Additional requirements for specified milestone reviews for PBL acquisitions are addressed in 90.1501.
(i) The I-ARB retains the authority to review any special interest or high-risk acquisition.
(j) The I-ARB will advise the contracting activity if the proposed acquisition has unconditional approval, conditional approval, or disapproval. Unconditional and conditional approval authorizes the contracting activity to proceed with the acquisition. An interim decision will be provided at the conclusion of the formal briefing. Final I-ARB decisions will be transmitted by letter to the commander of the contracting activity.
(k) For standard competition competitive sourcing acquisitions conducted under the Office of Management and Budget Circular (OMB) A-76, a special I-ARB will convene to review the first full year of operations by the service provider in accordance with DLAD 90.1903 (d), Milestone C - Competitive Sourcing Post-Award Accountability Review, regardless of the dollar amount of the acquisition.
(l) To determine during the final year of performance in the letter of obligation whether a most efficient organization (MEO) should be re-competed or a high performing organization (HPO) competed under OMB Circular A-76, a special I-ARB will convene to review the overall performance and recommend the most advantageous course of action to the DLA Competitive Sourcing Official, in accordance with DLAD 90.1906, MEO Re-competes / Competing HPOs
