F.o.b. origin solicitations
FAR 47.305-3 ensures f.o.b. origin solicitations include all necessary information and clauses for accurate evaluation and compliance with delivery and transportation requirements.
Overview
FAR 47.305-3 outlines the requirements for contracting officers when preparing solicitations for contracts with f.o.b. (free on board) origin delivery terms. It ensures that solicitations include all necessary information, provisions, and clauses to facilitate proper evaluation and execution of f.o.b. origin contracts. The regulation details what information offerors must provide, such as shipping points, transportation arrangements, and any special circumstances that may affect delivery costs or logistics. It also prescribes the inclusion of specific FAR clauses and provisions to address evaluation methods, transportation charges, and the handling of potential cost differentials due to government-specified routing.
Key Rules
- Reference to Standard Clauses
- Contracting officers must refer to FAR 47.303 for standard f.o.b. origin clauses.
- Offeror Information Requirements
- Solicitations must require offerors to provide shipping point details, rail siding information, and quantities shipped from each point.
- Transportation and Delivery Provisions
- Solicitations must address delivery in carload/truckload lots, line-haul rates, and the basis for transportation charges.
- Evaluation Provisions
- Include provisions for evaluating offers based on shipping points and transportation methods (e.g., FAR 52.247-46 and 52.247-47).
- Differential Costs
- Allow for reimbursable differentials if government routing imposes extra costs, using the clause at 52.247-33 when applicable.
- Nonresponsive Offers
- State that offers not meeting f.o.b. origin requirements will be rejected if only f.o.b. origin offers are desired.
Responsibilities
- Contracting Officers: Must ensure solicitations include all required information, clauses, and evaluation methods for f.o.b. origin contracts.
- Contractors/Offerors: Must provide detailed shipping information, comply with solicitation requirements, and disclose any cost differentials if permitted.
- Agencies: Oversee compliance and ensure solicitations and contracts adhere to transportation and evaluation requirements.
Practical Implications
- This section ensures transparency and fairness in evaluating transportation costs and logistics for f.o.b. origin contracts.
- It helps prevent misunderstandings about delivery responsibilities and costs.
- Common pitfalls include incomplete shipping information, failure to include required clauses, or improper evaluation of transportation costs.