By John Ausnik
In its performance-based companies acquisitions activites, the Air strength specializes in telling a supplier what the Air strength wishes instead of how the supplier may still meet that desire.
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Extra resources for Performance-Based Contracting in the Air Force: A Report on Experiences in the Field
IDIQ contracts allow for flexibility in the quantity and timing of services delivered. 207 says that agencies shall use FFP or fixed price with economic adjustment in contracts for the acquisition of “commercial” items. ” 21 Service contracts are structured with a “basic period” and “option years” because continuation of a contract is subject to appropriations from Congress. 204(e) discusses the usual standard of one basic year plus four option years. It is generally understood that the contract will continue in the option years unless the contractor performs unsatisfactorily.
However, the comments from our interviews are ambiguous. Three factors appear to be important in this context. First, QAEs play important roles in the preparation of new contracts as well as in their administration. Even if the new contracts are reducing demands for QAE administration, they are increasing demands for QAE participation in new contract preparation, as noted above. The net result is that the QAE workload has not dropped at many bases and is not expected to do so until the development of new contracts becomes more routine, thereby reducing the demand for QAEs in the preparation of new contracts.
Everyone was pleased with the use of past-performance information in evaluating competitors despite the added workload it required. They asserted that the Air Force gets better value, and the knowledge that past-performance information is used provides incentive for vendors to do well in order to get new business in the future. This list does not include items that are unique to performance-based contracts, such as SOWs that tell what is desired instead of how to do it, better QASPs, and formal 41 incentive programs.