Notice of Earned Value Management System-Preaward Integrated Baseline Review
Offerors must demonstrate or plan for compliance with EVMS guidelines (EIA-748) and participate in a preaward Integrated Baseline Review to ensure effective project management before contract award.
Overview
FAR 52.234-2 requires offerors to demonstrate compliance with the Earned Value Management System (EVMS) guidelines (EIA-748) before contract award. If an offeror’s EVMS has not been previously determined compliant by a Cognizant Federal Agency, the offeror must submit a detailed plan for achieving compliance, including system descriptions, distinctions from current systems, administration procedures for subcontractors, and evidence of evaluations. The provision also mandates identification of major subcontractors and requires agreement between the prime contractor and the Government on which subcontractors will be subject to EVMS guidelines. Additionally, the Government will conduct a preaward Integrated Baseline Review (IBR) to jointly assess the contractor’s planning, scheduling, resource allocation, earned value methodologies, and risk identification to ensure contract requirements are fully addressed.
Key Rules
- EVMS Compliance Documentation
- Offerors must provide documentation showing their EVMS is compliant with EIA-748 or submit a comprehensive compliance plan if not yet compliant.
- Comprehensive Compliance Plan Requirements
- The plan must describe the intended EVMS, distinguish it from existing systems, outline administration for subcontractors, and include evaluation results.
- Subcontractor Identification and Agreement
- Offerors must identify major subcontractors or efforts and reach agreement with the Government on EVMS application.
- Preaward Integrated Baseline Review (IBR)
- The Government will conduct an IBR to assess the contractor’s planning and risk management before award.
Responsibilities
- Contracting Officers: Review and approve EVMS documentation or compliance plans, conduct IBRs, and agree on subcontractor EVMS application.
- Contractors: Submit required EVMS documentation or plans, identify major subcontractors, and support the IBR process.
- Agencies: Oversee compliance, conduct reviews, and ensure proper application of EVMS guidelines.
Practical Implications
- This provision ensures that contractors have robust project management systems in place before contract award, reducing risk of cost and schedule overruns. Contractors must be proactive in documenting compliance or planning for it, and be prepared for detailed Government review. Failure to comply can delay or jeopardize contract award.