(a) Scope. This subsection provides policies and procedures for using automated systems in evaluating contractor past performance as a non-priced factor in best value award decisions. This subsection applies to manually evaluated negotiated best value acquisitions for the Maritime, Land, Aviation, and Construction & Equipment Supply Chains. See also mandatory guidance at PGI 15.304-90.
(1) Supply Chains not listed in paragraph (a) above shall continue to utilize their established past performance evaluation processes and systems, until such time that use of PPIRS-SR is mandated for their Supply Chain.
(b) General Past Performance Evaluation Information.
(1) Past performance is an indicator of a contractor’s ability to perform satisfactorily on future contracts.
(2) When assessing a contractor’s past performance, the Contracting Officer should consider the contractor’s volume of business as a measure of confidence concerning performance risk on future contracts. Contractors demonstrating little or no performance history may ultimately represent lower performance risk than contractors with marginal or poor performance. Contracting Officers must exercise sound judgment when evaluating contractors which have a wide disparity in volumes of business.
(3) The lack of relevant past performance information does not preclude the Contracting Officer from making an award to a contractor. See FAR 15.305(a)(2)(iv) regarding treatment of offerors without a record of relevant past performance.
(4) When assessing a contractor’s performance risk on an anticipated award, consideration should be given to the weapon-systems and personnel support designation of the item or group of items being procured.
(5) Contracting Officers must ensure that past performance is evaluated in terms of relative importance to other priced and non-priced evaluation factors, as stated in the solicitation.
(c) Applicability. Past performance information may be used -
(1) in source selection decisions;
(2) when determining whether to exercise an option;
(i) When exercise of an option is contemplated, the contractor's current past performance information should be considered in determining whether exercising the option is the most advantageous method of satisfying the Government's needs. The contracting officer's decision to exercise an option at a higher price than what may otherwise be available (see FAR and DLAD 17.207(e)(90)) should be based on the same evaluation factors that applied to the basic award;
(3) when determining whether to request a preaward survey;
(4) in conjunction with total small business set-asides and total small and
disadvantaged business set-asides (but see FAR 19.502-3(b)(2) when a requirement is to be partially set-aside for small business).
(5) For additional discussion concerning contractor past performance information, see FAR Subpart 42.15.
(d) Past performance information shall not be used to -
(1) determine a contractor’s technical acceptability;
(2) make responsibility determinations (but may be used to determine whether to request a Preaward Survey).
(e) Policy. In July 2002, the Department of Defense (DoD) endorsed the Past Performance Information Retrieval System (PPIRS) as the single authorized system for receipt and for retrieval of contractor past performance data for DoD acquisitions.
(1) The Office of the Under Secretary of Defense (OUSD) for Acquisition, Technology & Logistics (AT&L), Defense Procurement and Acquisition Policy (DPAP) has mandated the use of PPIRS by all Military Departments, Defense Agencies and DoD Field Activities. On December 21, 2007, OUSD/AT&L mandated initial deployment of the newest PPIRS iteration, the Past Performance Information Retrieval System-Statistical Reporting (PPIRS-SR). DLA is positioning the Enterprise to transition from its current vendor past performance assessment tool, the Automated Best Value System (ABVS) to the Past Performance Information Retrieval System - Statistical Reporting (PPIRS-SR).
(2) Until such time that the ABVS is retired, DLA will continue to utilize the ABVS as a proxy for the PPIRS-SR.
(3) Except as set forth in paragraph (4) of this section, all manually evaluated negotiated best value acquisitions, for which past performance is an evaluation factor, shall utilize ABVS for past performance evaluation in award decisions.
(4) In order for the Government to assess performance risk, if the quoter/offeror having the lowest evaluated price also has an ABVS FSC score below 70 and would potentially be bypassed under best value in favor of a higher priced quoter/offeror with a higher ABVS FSC score, then past performance evaluation will be accomplished using PPIRS-SR, in lieu of ABVS, for all quotes/offers received.
(5) Acquisitions meeting the dollar thresholds for the specific Business Sectors outlined below, Acquisition Specialists shall use past performance assessment information contained in the Past Performance Information Retrieval System - Report Card (PPIRS-RC) in addition to the past performance information contained in ABVS or PPIRS-SR. See DoD Class Deviation 99-O0002, Past Performance, issued on January 29, 1999, cited at DFARS 215.304 Evaluation factors and significant subfactors. For Business Sector definitions, see “A Guide to Collection and Use of Past Performance Information, Appendix B: Business Sectors”, at DoD Guide to Collection and Use of Past Performance Information (May 2003)
Business Sector Dollar Threshold
(i) Systems (includes new development
and major modifications) > $5,000,000
(ii) Operations Support > $5,000,000
(iii) Fuels > $100,000
(iv) Healthcare > $100,000
(v) Services > $1,000,000
(vi) Information Technology > $1,000,000
(vii) Construction > $550,000
(viii) Architect-Engineering > 30,000
(ix) Science and Technology As required
(f) Solicitation Provision.
(1) The solicitation provision regarding use of past performance must specify:
(i) When used in best value source selections, past performance information will be evaluated based upon a comparative assessment among contractors from which quotes/offers were received;
(ii) The timeframe over which past performance will be evaluated;
(iii) Sources of the performance data;
(iv) DSC/supply chain focal point (address and telephone number) for questions/ challenges; and,
(v) Discrepant data resolution process.
(2) The Contracting Officer shall insert the provision at 52.215-9022, Contractor Past Performance Evaluation - Automated Systems, in all acquisitions in which past performance will be used as an evaluation factor in best value award decisions. However,
Contracting Officers are not precluded from collecting/analyzing past performance information in addition to ABVS/PPIRS for acquisitions in excess of the SAT.
