7.104 General procedures
Source: FAR 7.104 on acquisition.gov
Early, coordinated, and multidisciplinary acquisition planning is essential to ensure compliance, competition, and effective contract performance.
Overview
FAR 7.104 outlines the general procedures for acquisition planning, emphasizing the importance of early and thorough planning to ensure effective and compliant government contracting. The regulation mandates forming a multidisciplinary team, including contracting, small business, fiscal, legal, and technical personnel, and requires coordination with relevant stakeholders such as combatant commanders or chiefs of mission for operational or diplomatic contracts. Acquisition plans must be reviewed and updated at least annually or when significant changes occur. The section also stresses the need to avoid urgent or unrealistic requirements, as these can limit competition and increase costs. Coordination with the contracting officer is mandatory, and if the acquisition involves substantial bundling, the small business specialist and the agency's Office of Small and Disadvantaged Business Utilization must be involved. Early nomination and designation of a Contracting Officer’s Representative (COR) is also required.
Key Rules
- Early and Inclusive Planning
- Begin acquisition planning as soon as a need is identified and form a team with all key stakeholders.
- Review and Update Plans
- Review acquisition plans at key milestones and at least annually, revising as necessary.
- Avoid Urgent or Unrealistic Requirements
- Requirements should not be issued on an urgent basis or with unrealistic schedules to maintain competition and reasonable pricing.
- Mandatory Coordination
- Coordinate all planning with the contracting officer and, if not using full and open competition, with the advocate for competition.
- Small Business Considerations
- Coordinate with the small business specialist for acquisitions involving substantial bundling, and notify the appropriate agency office if bundling is unnecessary or not properly identified.
- Early COR Nomination
- Ensure early nomination and designation of a COR in the acquisition process.
Responsibilities
- Contracting Officers: Must be involved in all acquisition planning and designate a COR early.
- Contractors: Should be aware of planning requirements and the importance of realistic schedules and competition.
- Agencies: Must ensure multidisciplinary planning, proper coordination, and compliance with small business and COR requirements.
Practical Implications
- This section exists to promote effective, compliant, and competitive acquisitions by requiring early, coordinated planning.
- It impacts daily contracting by mandating team-based planning, regular plan reviews, and early involvement of key personnel.
- Common pitfalls include failing to coordinate with all required stakeholders, issuing urgent requirements, or neglecting small business considerations.
(a) Acquisition planning should begin as soon as the agency need is identified, preferably well in advance of the fiscal year in which contract award or order placement is necessary. In developing the plan, the planner shall form a team consisting of all those who will be responsible for significant aspects of the acquisition, such as contracting, small business, fiscal, legal, and technical personnel. If contract performance is to be in a designated operational area or supporting a diplomatic or consular mission, the planner shall also consider inclusion of the combatant commander or chief of mission, as appropriate. The planner should review previous plans for similar acquisitions and discuss them with the key personnel involved in those acquisitions. At key dates specified in the plan or whenever significant changes occur, and no less often than annually, the planner shall review the plan and, if appropriate, revise it.
(b) Requirements and logistics personnel should avoid issuing requirements on an urgent basis or with unrealistic delivery or performance schedules, since it generally restricts competition and increases prices. Early in the planning process, the planner should consult with requirements and logistics personnel who determine type, quality, quantity, and delivery requirements.
(c) The planner shall coordinate with and secure the concurrence of the contracting officer in all acquisition planning. If the plan proposes using other than full and open competition when awarding a contract, the plan shall also be coordinated with the cognizant advocate for competition.
(d) The planner shall coordinate the acquisition plan or strategy with the cognizant small business specialist when the strategy contemplates an acquisition meeting the thresholds in 7.107-4 for substantial bundling unless the contract or task order or delivery order is totally set-aside for small business under part 19. The small business specialist shall notify the agency Office of Small and Disadvantaged Business Utilization or the Office of Small Business Programs if the strategy involves-
(1) Bundling that is unnecessary or unjustified; or
(2) Bundled or consolidated requirements not identified as such by the agency (see 7.107).
(e) The planner shall ensure that a COR is nominated as early as practicable in the acquisition process by the requirements official or in accordance with agency procedures. The contracting officer shall designate and authorize a COR as early as practicable after the nomination. See 1.602-2(d).