Department of the Interior Acquisition Policy Release (DIAPR) 1998 - 5
June 10, 1998
Department of the Interior Acquisition Policy Release (DIAPR) 1998 - 5
Subject: The Authorization of Direct Awards to 8(a) Contractors
1. Purpose: To redelegate to warranted contracting officers the authority to award contracts directly to program participants under Section 8(a) of the Small Business Act. This authorization is conditioned upon full compliance with the Memorandum of Understanding (MOU) between the Department of the Interior and the Small Business Administration (SBA) and the class deviation, as amended, to the Federal Acquisition Regulation which are enclosures to the attached SBA letter dated May 29, 1998.
2. Effective Date: Effective upon issuance.
3. Expiration Date: May 4, 1999.
4. Summary of changes: Through the authority delegated to the Department of the Interior, contracting officers may now award purchase orders and contracts directly to 8(a) contractors. The process has been significantly streamlined by making a number of changes which are not limited to, but include:
- Elimination of the requirement for SBA offering or acceptance letters for purchase orders or contracts not exceeding $100,000. See FAR class deviation 19.803-70 Simplified procedures for 8(a) acquisitions under MOUs.
- Elimination of the need to obtain SBA approval of purchase orders and contracts awarded to eligible 8(a) firms. The use of tripartite agreements has been discontinued. See MOU paragraph II b.
- Reduction of SBA's processing of offering letters to five working days for 8(a) acquisitions exceeding $100,000. If SBA fails to respond to an offering letter within the five days, the contracting officer may assume the request is approved. See MOU paragraphs IV a 2 and 3.
Creation of tracking and reporting performance measures. Note that the MOU requires that contracting officers:
- Send SBA copies of Commerce Business Daily announcements for all competitive 8(a) procurements. See MOU paragraph IV b 6.
- Send SBA a copy of all award documents regardless of dollar value. Copies of contracts sent to SBA must include the SBA requirement number. See MOU paragraph IV b 9.
- Report all 8(a) contracting actions quarterly. See MOU paragraph IV b 10. The Office of Small and Disadvantaged Business Utilization will be issuing the instructions for the data collection and reporting requirements separately.
- Coordinate any contract terminations or novation agreements with SBA. See MOU paragraph IV b 11 and FAR clause 52.219.70XX Section 8(a) direct award, which is to be used in all direct award purchase orders and contracts issued under this MOU.
5. Action Required: Immediate distribution of this policy release to all contracting officers. An electronic copy is not available at this time.
6. Contacts: General questions about this policy release may be directed to Dean Titcomb on (202) 208-3433. Questions about reporting requirements may be directed to Frank Gisondi on (202) 208-4907.
/s/ pad
Paul A. Denett
Director of Administration and
Senior Procurement Executive
Attachment
cc: Debra Sonderman
Ralph Rausch
O:dt1056 PAM rdg/Sita/subj file:Titcomb: 6/9/98

