DATE: July 6, 2001

SUBJECT: National Aeronautics and Space Administration Federal Acquisition Regulation Supplement (NFS); Class Deviation on Undefinitized Contract Action Approval

SOURCE: Procurement Information Circular (PIC) 01-16, June 29, 2001

AGENCIES: National Aeronautics and Space Administration (NASA)

ACTION: Notice

SYNOPSIS: PIC 01-16 provides a class deviation lowering the threshold in NFS 1843.7003, Procedures, for Center Director approval of undefinitized contract actions (UCAs), and the required use of bilateral agreements, from $1,000,000 to $100,000.

EFFECTIVE DATE: PIC 01-16 is effective July 2, 2001, and it will remain in effect until cancelled or superseded.

FOR FURTHER INFORMATION CONTACT: Jeff Lupis, Code HS, 202-358-0462, e-mail: jlupis@hq.nasa.gov.

SUPPLEMENTAL INFORMATION: On June 7, 2001, the NASA Administrator directed that NASA reduce the number and value of agency UCAs. The Office of Procurement has been directed to develop additional controls on the UCA process that will ensure that UCAs are used sparingly. Pending a comprehensive change to the NFS implementing additional management controls, a NFS class deviation has been approved which lowers the threshold for senior management level management involvement in evaluating and approving the use of UCAs under center contracts.

The class deviation revises NFS 1843.7003(a) from requiring the Center Director's approval of UCAs over $1,000,000 to requiring the Center Director's approval of UCAs over $100,000. In addition, the class deviation revises NFS 1843.7003(b) from requiring that approved UCAs over $1,000,000 be issued as bilateral agreements setting forth a "not to exceed" price to require that approved UCAs over $100,000 be issued as bilateral agreements.

FOR FURTHER INFORMATION CONTACT: Panoptic Enterprises at 703-451-5953 or by e-mail to Panoptic@FedGovContracts.com.

Copyright 2001 by Panoptic Enterprises. All Rights Reserved.

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