(a)(i) Create a documented acquisition strategy in support of each proposed service acquisition valued above $100,000, to be updated when changes occur. This strategy should ensure that services are acquired by business arrangements that are in the best interests of the Department and DLA, that reflect a strategic approach, in terms of overall spending on services, and that are entered into or issued and managed in compliance with applicable statutes, regulations, directives, and other requirements. It should also guarantee enterprise-wide approaches to procurement and development of new ways of doing business. Approval of the appropriate decision authority (see 37.590-4, below) shall be obtained for each acquisition strategy prior to the contracting office’s initiating any action to commit the Government to the strategy. In addition to the following, see Subparts 7.1, 7.90, and 90.11 for guidance in preparing this documentation.
(ii) The acquisition strategy shall address the following (modified, as appropriate, on the basis of complexity and dollar value of the acquisition):
(1) Requirement - Include the outcomes to be satisfied; whether these outcomes are performance-based; measures of success for the service acquisition; and, for other than newly identified requirements, how it was previously satisfied.
(2) Risks - Include current and potential cost; schedule and performance risk; and a risk mitigation plan.
(3) Competition - Include either an explanation of how full and open competition will be provided, or a statutory citation for the authority permitting less than full and open competition; include a similar explanation or citation for procurements subject to DFARS 208.405-70 and 216.505-70. Address plans for competition for foreseeable follow-on acquisitions.
(4) Small business and related considerations - Include a discussion of how the acquisition will affect achievement of small business goals/targets, and how it will support any other applicable directed programs.
(5) Business arrangements - Include details on funding; type of contract; duration (including option periods); total cost estimate; and pricing arrangements. NOTE: The Advance Acquisition Planning Template provided in 90.1103, while not required to be submitted for service acquisitions, provides an excellent outline of the kind of information required here.
(6) Special considerations for multi-year contracts - If the acquisition strategy calls for a multi-year service contract under authority of 10 USC 2306c, the strategy must address DLA’s plans for budgeting for termination liability. For further guidance on multiyear contracting for services, see DFARS Section 217.171.
(iii) Further guidance on acquisition strategy for information technology acquisitions may be found in FAR Part 39 and DFARS Part 239. In addition, all IT acquisitions for services will be processed in accordance with J-6’s One Book chapters, “Information Technology Acquisition Requirements Planning” and “IT Portfolio Management Process.”
(iv) For actions described in 37.590-4(c), below, see also 7.104-90(e) for documents
required to be submitted for Integrated Acquisition Review Board review and approval.
(b) Establish metrics for each proposed service acquisition. These should generally pertain (as appropriate) to cost, schedule, and performance. The cognizant decision authority (see 37.590-4, below) will approve the metrics selected, and will conduct execution reviews to assess outcomes against requirements. These will occur at certain milestone points; see 37.590-5, Milestone Reviews, below.
(c) Accurately report required data regarding each service acquisition having a value greater than $2,500 via the DD 350 system; this requirement includes services pertaining to information technology. Applicable data to be collected via the DD 350 include the following:
(1) Services purchased.
(ii) Total dollar amount.
(iii) Form of contracting action.
(iv) Whether the purchase was performance-based and fixed price; performance-based, other than fixed price; or not performance-based.
(v) For a purchase made through an agency other than the Department of Defense, the agency through which it was made. Separately maintain (via other than DD 350 reporting) a listing of any assisted acquisition and the service charge associated with each. See 7.9003(b)(7).
(vi) Extent of competition provided, and whether there was more than one offer.
(vii) Whether the purchase was made from a small business concern; a small disadvantaged business concern; or a woman-owned small business concern.
