Procedures
FAR 42.1503 mandates structured, timely, and objective contractor performance evaluations in CPARS, with clear agency and contractor roles to ensure reliable data for future source selections.
Overview
FAR 42.1503 details the procedures for evaluating contractor past performance, outlining agency responsibilities, evaluation criteria, reporting requirements, and the use of the Contractor Performance Assessment Reporting System (CPARS). The regulation ensures that agencies consistently document and use contractor performance information to inform future source selection decisions and maintain accountability in federal contracting.
Key Rules
- Assignment of Responsibility
- Agencies must assign clear responsibility and management accountability for the completeness and accuracy of past performance submissions, including defining roles for preparing and reviewing evaluations.
- Evaluation Content and Factors
- Evaluations must include a clear contract description, objective performance data, and be tailored to contract specifics. Required factors include technical quality, cost control, schedule, management, small business subcontracting, and other relevant issues.
- Rating System
- Each evaluation factor must be rated using a five-level scale (exceptional, very good, satisfactory, marginal, unsatisfactory) with supporting narratives, following definitions in Tables 42-1 and 42-2.
- Contractor Notification and Comment
- Contractors must be notified of completed evaluations and given 14 days to provide comments or rebuttals. Disagreements are reviewed above the contracting officer level.
- Reporting and Safeguarding
- All evaluations must be submitted electronically in CPARS, with strict controls on access and safeguarding of information. Certain performance information must also be reported in FAPIIS and may be publicly available unless exempted.
- Use of Past Performance Data
- Agencies must use CPARS and FAPIIS data from the past three years (six for construction/architect-engineer) in source selections.
Responsibilities
- Contracting Officers: Ensure evaluations are completed, accurate, and submitted in CPARS; notify contractors; address disagreements; report required information in FAPIIS.
- Contractors: Review and respond to evaluations within 14 days; provide supporting comments or rebuttals as needed.
- Agencies: Assign roles, monitor compliance, conduct management reviews, and ensure data security and quality control.
Practical Implications
- This section standardizes how contractor performance is evaluated and reported, directly impacting future contract opportunities. Timely, accurate, and well-documented evaluations are critical for both agencies and contractors. Common pitfalls include incomplete evaluations, missed deadlines, and inadequate documentation, which can affect both compliance and future award decisions.