614.406 Mistakes in bids.

614.406-3 Other mistakes disclosed before award.

The authority to make the determinations prescribed in FAR 14.406 is delegated, without power of redelegation, to the head of the contracting acconformance with FAR tivity. In 14.406-3(f), the head of the contracting activity shall obtain the concurrence of the Office of the Legal Adviser before making any determinations pursuant to this subsection.

614.406-4 Mistakes after award.

The authority to make all determinations prescribed in FAR 14.406-4 is delegated, without power of redelegation, to the head of the contracting activity. In conformance with FAR 14.406-4(d), the head of the contracting activity shall consult with the Office of the Legal Adviser before making any determinations pursuant to this subsection.

PART 615-CONTRACTING BY NEGOTIATION

Subpart 615.1-—General Requirements for Negotiations

Sec.

615.106 Contract clauses.

615.106-1 Examination of Records clause. 615.106-70 DOSAR contract clauses.

Subpart 615.6-Source Selection

615.607 Disclosure of mistakes before award. 615.608 Proposal evaluation.

615.612 Formal source selection.

Subpart 615.8-Price Negotiation

615.804 Cost or pricing data. 615.804-3 Exemptions from or waiver of sub

mission of certified cost or pricing data. AUTHORITY: 22 U.S.C. 2658; 40 U.S.C. 486(c); 48 CFR Subpart 1.3.

SOURCE: 53 FR 26168, July 11, 1988, unless otherwise noted.

Subpart 615.1-General Requirements for Negotiation

615.106 Contract clauses.

615.106-1 Examination of Records clause.

See Subpart 625.9 for conditions for omission of the Examination of Records clause.

615.106-70 DOSAR contract clauses.

When contracting by negotiation, the contracting officer shall insert the clauses at 652.214-70, Language Version, 652.214-71, Notices, and 652.214-72, Authorization to Perform, in all solicitations and contracts, under the same conditions prescribed in 614.201-7-70.

Subpart 615.6-Source Selection 615.607 Disclosure of mistakes before award.

The authority to make the determination prescribed in FAR 15.607(c)(3) is delegated, without power of redelegation, to the head of the contracting activity (see 601.603-70). In conformance with FAR 15.607(c)(3)(ii), the head of the contracting activity shall obtain a legal review from the Office of the Legal Adviser before making a determination pursuant to this subsection.

615.608 Proposal evaluation.

The authority to make the determination prescribed in FAR 15.608(b) is delegated, without power of redelegation, to the head of the contracting activity (see 601.603-70). The head of the contracting activity shall obtain the concurrence of the Office of the Legal Adviser before making a determination pursuant to this section.

615.612 Formal source selection.

The authority prescribed in FAR 15.612(b), including the authority to designate a source selection authority, is delegated, without power of redelegation, to the head of the contracting activity.

Contracts

616.505 Contract clauses.

616.505-70 DOSAR contract clause.

The contracting officer shall insert the clause at 652.216-70, Ordering-Indefinite-Delivery Contract, whenever the clause at FAR 52.216-20, Definite Quantity, or the clause at FAR 52.21621, Requirements, or the clause at FAR 52.216-22, Indefinite Quantity, is used.

Subpart

616.6-Time-and-Materials, Labor-Hour, and Letter Contracts

616.603 Letter contracts.

616.603-2 Application.

The contracting officer, after obtaining approval of the head of the contracting activity, is authorized to extend the period to definitize a letter contract in accordance with FAR 16.603-2(c) and when such action is in the best interest of the Government. For this purpose, the contracting officer shall execute a written determination and findings, and submit it to the head of the contracting activity for approval.

[53 FR 26169, July 11, 1988; 53 FR 36462, Sept. 20, 1988]

PART 617-SPECIAL CONTRACTING

METHODS

Subpart 617.1-Multiyear Contracting

Sec.

617.102 Policy.

617.102-2 General.

Subpart 617.2-Options

617.201 Definitions.

617.201-70 DOSAR Definitions. 617.207 Exercise of options. 617.207-70 Synopsis and competition re

quirements.

Subpart 617.5-Interagency Acquisitions Under the Economy Act

617.502 General.

Subpart 617.6-Management and Operating Contracts

617.602 Policy.

AUTHORITY: 22 U.S.C. 2658; 40 U.S.C. 486 (c); 48 CFR Subpart 1.3.

SOURCE: 53 FR 26169, July 11, 1988, unless otherwise noted.

Subpart 617.1-Multiyear
Contracting

617.102 Policy.

617.102-2 General.

(a) Pursuant to section 14 of the State Department Basic Authorities Act of 1956, as amended (22 U.S.C. 2679a), any DOS acquisition for property or services, or both, by any contract funded on the basis of annual appropriations may nevertheless be made for periods not in excess of 5 years when

(1) Appropriations are available and adequate for payment for the first fiscal year and for all potential cancellation costs; and

(2) The Procurement Executive determines that

(i) The need of the Government for the property or services being acquired over the period of the contract is reasonably firm and continuing;

(ii) Such a contract will serve the best interests of the Government by encouraging effective competition or promoting economies in performance and operation; and

(iii) Such a method of contracting will not inhibit small business participation.

(b) For overseas posts, the Procurement Executive may delegate to the Principal Officer, on an individual contract or class of contracts basis, the authority to make the determination required by paragraph (a)(2) above. The Principal Officer may not redelegate this authority.

(c) In the event that funds for the continuation of such a contract are not made available into a subsequent fiscal year, the contract shall be canceled. Any cancellation costs incurred shall be paid from appropriations originally available for the performance of the contract, appropriations currently

available for the acquisition of similar property or services and not otherwise obligated, or appropriations made for such cancellation payments.

(d) Any multiyear contract awarded pursuant to this subsection shall not exceed 5 years, including options, in accordance with FAR Subpart 17.2

Subpart 617.2-Options

617.201 Definitions.

617.201-70 DOSAR Definitions.

Evaluated option means an option that is evaluated for award purposes by adding the total price for the option(s) to the total price for the basic requirement.

Priced option means an option where the prices for the option quantities or performance periods are specified in the contract at the time of award and the option prices are not subject to renegotiation or adjustment at the time the option is exercised unless an economic price adjustment clause is included in the contract.

Unevaluated option means an option that is not included in the evaluation for award purposes.

Unpriced option means an option where the prices for the option quantities or performance periods are not specified in the contract at the time of award and the option prices are negotiated at the time the option is exercised.

ply with the requirements of FAR 5.207 and the option was evaluated, a synopsis of the option before it is exercised is not required. An evaluated and priced option that was properly synopsized as provided at FAR 5.207 meets the full and open competition requirements of FAR Subpart 6.1 or the requirements of FAR Subpart 6.2 for full and open competition after exclusion of sources.

(b) If the synopsis for the original contract action did not describe the option provisions, or the original contract action was synopsized on a sole source basis, or in those instances where an unevaluated option was included in the contract, the option must be synopsized in accordance with FAR 5.207 before the option can be exercised. Any such unpriced option, option included in a contract awarded on a sole source basis, or unevaluated option is considered a new acquisition and the justification requirements of FAR Subpart 6.3 must be met before the option is exercised.

Subpart 617.5-Interagency Acquisitions Under the Economy Act

617.502 General.

The authority to make the determination prescribed in FAR 17.502 is delegated to the head of the contracting activity (see 601.603-70).

Subpart 617.6-Management and Operating Contracts

617.602 Policy.

The Assistant Secretary for Administration is the agency head for the purposes of FAR 17.602.

Subpart 619.2-Policies

619.201 General policy.

(a) The Director, Office of Small and Disadvantaged Business Utilization (OSDBU), is responsible for performing all functions and duties prescribed in FAR 19.201 (c) and (d).

(b) In addition to the requirements of FAR 19.201(b), each head of the contracting activity (see 601.603-70), or designee, is responsible for establishing in coordination with the OSDBU director annual goals for the DOS small and disadvantaged business program.

(c) The Under Secretary for Management is the agency head for the purposes of FAR 19.201(c).

(d) Pursuant to FAR 19.201(d), each Small and Disadvantaged Business Utilization Specialist (SDBUS) is responsible for

(1) Maintaining a program to locate capable small business, small disadvantaged business, and women-owned business sources to fulfill DOS acquisition requirements;

(2) Coordinating inquiries and requests for advice from small business, small disadvantaged business, and women-owned business sources on DOS contracting and subcontracting opportunities and other acquisition matters;

(3) Advising contracting activities on new or revised small business, small disadvantaged business, or womenowned business policies, regulations, procedures, and other related information;

(4) Assuring that small business, small disadvantaged business and women-owned business concerns are provided adequate specifications or drawings by initiating actions, in writing, with appropriate technical and contracting personnel to ensure that all necessary specifications or drawings for current and future acquisitions, as appropriate, are available;

(5) Reviewing all proposed acquisitions in excess of $25,000 to assure that small business, small disadvantaged business, and women-owned business sources will be afforded an equitable opportunity to compete and, as appropriate, initiating recommendations for