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					                 Jacksonville Chapter
               National Contract Management Association

                                                  Newsletter



Volume 8 Issue 2                                        2006- 2007 Program Year                                                          December 2006



             “NCMA: Facing The Challenge”
             Chapter Message                                            ***********************************
      ______________________________________________________________
                                                                       NCMA NEWS WORTH REPEATING!!
      Adrienne Hall, President                                             ------------------------------------------------------------------------------------------

      2006- 2007 Program Year
                                                                             Keep Your Membership
Dear Fellow Chapter Members,                                              Information Current, Please!!

I wish you a joyous and Holiday Season! Please keep your NCMA member profile the
May your time with family and friends be most accurate that it can be so we can reach
especially memorable.                    you in a variety of ways. Do we have your
                                         most current fax and phone #s, and your e-
Out next Chapter event will be a mail and snail-mail addresses? Please take
Workshop/Luncheon at the Omni Hotel just as few seconds to check your contact
(downtown) on December 19. Our speaker information at:
will be Mr. Mark Lumer, CPCM and MCMA ww.ncmahq.org/membership/update.asp
Fellow, the U.S. Army Space & Missile
Defense Command Contracting Executive. Update it as needed with these four simple
Please plan to attend!                   steps:

Sincerely,                                                                  (1) Go to www.ncmahq.org and click
Adrienne                                                                    on the Members-Only log-in icon;
Email – adrienne.hall@griffinserv.com or
                                                                            (2) Enter your member # and
      shenval2@bellsouth.net
                                                                            password (last name);

NCMA Homepage: http://www.ncmahq.org/
JAX Homepage: http://intranet.ncmahq.org/Jacksonville/
Volume 8 Issue 2                                                                                                                               December 2006


          (3) Go to Membership drop-down bar                                                     to the Federal Acquisition Regulation (FAR) that were
          and “Update Membership;”                                                               effective on 28 Sep 06. Of special interest is the Final
                                                                                                 Rule to FAR Case 2004-033, Inflation Adjustment
       (4) Update your information fields as                                                     of Acquisition-Related Thresholds. This final rule
       necessary.                                                                                adjusts many acquisition-related thresholds in the FAR
                                                                                                 for inflation, preventing burdensome requirements
Questions: Contact Michelle Jones,                                                               from applying to more and more acquisitions. Several
Membership Services, Member Record                                                               frequently used thresholds that were adjusted include
Maintenance at 800.344.8096, ext. 400 or                                                         the following:
mjones@ncmahg.org                                                                                     The micro-purchase threshold (FAR 2.101) from
                                                                                                         $2,500 to $3,000. Note that the simplified
                                                                                                         acquisition threshold was not raised at this
                                                                                                         time.
                                                                                                      The cost and pricing data threshold (FAR 15.403-
                                                                                                         4) was raised from $550,000 to $650,000.
                                                                                                      The prime contractor subcontracting plan (FAR
                                                                                                         19.702) floor will be raised from $500,000 to
                                                                                                         $550,000, but the floor for construction
http://www.ncmahq.org/meetings/wc07/
                                                                                                         ($1,000,000) is unchanged.
For more information concerning the NCMA                                                              Approval thresholds for sole source
World Congress April 22- 25, 2007, use the                                                               justifications required by FAR 6.304 are
hyperlink above.                                                                                         substantially changed. The contracting officer's
                                                                                                         certification threshold is increased from
                                                                                                         $500,000 to $550,000 and the threshold for
                                                                                                         senior procurement executive approval is
   ***********************************                                                                   increased from over $75,000,000 to over
               DoD BUSINESS NEWS                                                                         $78,500,000.
      ------------------------------------------------------------------------------------------

Boeing and Lockheed Martin have been approved by
                                                                                                        The Acquisition-related threshold associated with the
the Federal Trade Commission to merge their DoD
                                                                                                        Davis-Bacon Act, Service Contract Act, and trade
rocket business - the FTC admits higher prices and
                                                                                                        agreements were not adjusted. Contracting officers
lower quality will probably result. Excellent article at
                                                                                                        should review current thresholds to assure appropriate
the following website:
                                                                                                        compliance is attained.
http://www.washingtonpost.com/wp-
dyn/content/article/2006/10/03/AR2006100301365
.html                                                                                                            Procurement Reform:
                                                                                                               Defense Authorization Act
                                                                                                                  for Fiscal Year 2007
    ***********************************
                                                                                                        The defense authorization act for fiscal year
    FEDERAL ACQUISITION NEWS                                                                            2007, the John Warner National Defense
         ------------------------------------------------------------------------------------------

                                                                                                        Authorization Act for Fiscal Year 2007, H.R.
 Federal Acquisition Circular (FAC) 2005-13                                                             5122, has been signed into law.           Key
         Federal Register, 28 Sep 06                                                                    provisions in the act regarding procurement
                                                                                                        reform include: (1) a renewed focus on lead
SUMMARY: This FAC contains several final and                                                            systems integrators; (2) new technical data
interim rules, technical amendments, and corrections                                                    obligations for commercial contractors; (3)


                                                                                                      -2-
Volume 8 Issue 2                                                                    December 2006


waiver procedures for specialty metals under by the Professional Services Council of
the Berry Amendment; and (4) new integrity Arlington, Va.
initiatives, including a GAO study of
revolving door hires at major contractors.       If 51 percent of a small company's stock is
                                                 purchased by a single buyer, that would
See the following article: Procurement Reform    trigger    the   requirement    for  a  size
in the Defense Authorization Act for Fiscal Year
2007 — A Creature of Compromise, Pointing the    recertification, Klein said. But a change of
Way to Future Debates                            hands in a controlling minority interest
                                                 could have the same effect, he said. This
                                                 type of situation can arise when most of a
                                                 company's stock is spread among numerous
                                                 shareholders, so the owner of a small
   DAILY BRIEFING December 11 2006               percentage of the business has effective
                                                 control.
    Industy sweats details of new
        small business rules                       Under the new rules, if a business no longer
By Jenny Mandel                                    counts as small after recertification, then the
jmandel@govexec.com
                                                   buying agency can continue its contracts but
                                                   it will not receive credit for them toward its
In a discussion Monday on newly adopted
                                                   small business contracting goals.
regulations that will tighten the process of
                                                   The new rules do not affect individual task
certifying companies as small businesses
                                                   orders signed under long-term contracts.
beginning next summer, industry lawyers
                                                   Once a task order is completed with a small
and federal contracting specialists focused
                                                   business, that work will continue to receive
on complex scenarios involving partial
                                                   credit toward agency contracting goals until
ownership as well as possible short-term
                                                   it is completed, regardless of whether the
loopholes.
                                                   business later loses its small size status.
The discussion centered around rules
                                                   This could lead to a jump in small business
published last month in the Federal Register
                                                   contracting before the new rules take effect
that will require companies considered small
                                                   on June 30, 2007, according to panelist Tom
for purposes of federal contracts to recertify
                                                   Peltier,  an    expert    in   mergers   and
their size status after five years and when a
                                                   acquisitions with Stifel, Nicolaus and Co. in
contract option is exercised after that. It also
                                                   Baltimore.
will require recertification in the event of
mergers, acquisitions, or transfers of
                                                   PSC President Stan Soloway said it was too
contract responsibility through a novation.
                                                   soon to tell how agencies will decide between
                                                   continuing a contract with a familiar
The new rules will apply not only to the
                                                   business that has lost its size status or
straightforward purchase of one company by
                                                   recompeting the work to a smaller company.
another, but also to changes in the
                                                   Peltier   said    the   uncertainty     about
controlling interests of publicly traded
                                                   opportunities for future work could hurt
companies, said John Klein, SBA's associate
                                                   small businesses seeking loans.
general counsel for procurement law. The
discussion took place at a seminar convened


                                               -3-
Volume 8 Issue 2                                                                 December 2006


Although the new rules do not require This document is located at
recertification when individual task orders http://www.govexec.com/dailyfed/1206/121106m1.h
are awarded, they reserve the right for a tm
contracting      officer   to   demand    that
companies go through the process. PSC
Senior Vice President Alan Chvotkin said
increased scrutiny from the Democratic-          DAILY BRIEFING November 30, 2006
controlled Congress in 2007 could lead            IG: Defense broke buying rules
officials to take that extra step.                 with purchases through NASA
                                               By Jenny Mandel
Chvotkin said other factors that could shape jmandel@govexec.com
small business policies include criticism of
the new rules from the rising leaders of both A study of Defense Department contracts
the House and Senate small business placed through NASA found most violated
committees. Sen. John Kerry, D-Mass., and acquisition regulations and department
Rep. Nydia Velazquez, D-N.Y., have said the policy.
rules fall short of what is needed to address
the problem of large businesses winning The Defense inspector general, acting on a
work set aside for small concerns. Each requirement in the fiscal 2006 Defense
supported annual recertification -- which authorization act, conducted a review of
was originally proposed when a draft rule contracts placed through a major NASA
was floated in 2003 -- rather than after five governmentwide acquisition contract vehicle
years.                                         for information technology called the
                                               Scientific and Engineering Workstation
SBA's inspector general also called for Procurement. Defense reported placing
annual size updates, and in a year-end 6,569 orders worth $343.2 million through
report published in November, the IG SEWP contracts in fiscal 2005.
pledged to look into the issue.
                                               But after reviewing 111 selected contract
Dean Koppel, who heads SBA's Office of orders worth $85.9 million, auditors found
Policy and Research, said the agency may that 98 had major contracting or funding
draft rules that would apply recertification problems. Among these, 69 were placed
requirements to federal subcontractors, without             following    federal   contracting
since the new rules apply only to prime regulations              on    opening     competition
contractors. Such a rule would not be opportunities to all registered contractors.
developed immediately, he said, but could be Seventy-one         orders    did   not   include
unveiled before the end of next year.          justification for using a non-Defense
Klein said long-duration task orders fall contract vehicle, contrary to department
outside the scope of the new rules and policy
present another area ripe for scrutiny.
Above article obtained from the World- Twenty-six orders did not adequately
Wide-Web        and     reprinted  for   non- document the award decision, making it
commercial purposes with acknowledge- impossible to determine whether proper
ment of the source and author.                 steps were taken to secure the best deal, and
                                               14 orders, valued at $19.6 million, were

                                             -4-
Volume 8 Issue 2                                                                  December 2006


identified as possible violations of the Anti-   officers and others on placing orders
Deficiency Act, which prevents agencies from     through outside agencies, emphasizing
spending funds in excess of appropriations.      appropriations laws related to the Anti-
"As a result," auditors said, "funds were not    Deficiency Act.
used as intended by Congress, competition
was limited, and DoD has no assurance it         They directed a series of recommendations to
received the best value."                        the undersecretary of Defense for acquisi-
                                                 tion, technology and logistics, suggesting
One reason officials encourage buying            that he remind contracting officers that they
through Defense contracts rather than going      must follow acquisition rules on fair
outside the department, is agencies pay fees     opportunity and maintain proper contract
to NASA for using the SEWP contracts. The        files, and that they are responsible for
fees are generally 0.65 percent of the total     knowing and adhering to acquisition
dollar amount, but do not exceed $10,000,        regulations.
according to the report.
                                                 "Training is needed to ensure that
Based       on     the    findings,     auditors misapplication of procurement regulations is
recommended that top Defense acquisition not passed on among contracting officials,"
officials require contracting officers to check, the auditors wrote.
before placing an order on a non-Defense
contract, whether the same goods or services The director of Defense procurement told
can be obtained on a Defense contract with auditors that a policy memorandum would
the same convenience and price. They be issued on Nov. 15. As of Thursday the
proposed that contracting officers be notice was not listed among others on a
required to document in writing their Defense procurement policy Web site.
justification for going outside the depart-
ment.                                            Defense auditors finalized a report on orders
                                                 placed through the General Services
One Navy official only partly agreed with the Administration's contracts in October, and a
suggestion, saying contracting officers' draft report on the use of the Interior
research should be limited to contracts Department's contracts was circulated in
within the same command and other September. A similar report on Defense use of
contracts the officer is aware of. The official Treasury Department contracts also was
argued that limiting the search to known expected under the fiscal 2006 authorization
contracts was justified because there is no act, and the requirement will be continued
Defense-wide contract search tool.               under the fiscal 2007 law.

Auditors rejected that view, noting that in      Above article obtained from the World-Wide-
analogous cases in which Navy contracting        Web and reprinted for non-commercial
                                                 purposes with acknowledgement of the
officers set out to award a new contract,        source and author.
their research includes both Navy and other      This document is located at
Defense contract vehicles.                       http://www.govexec.com/dailyfed/1106/113006m
                                                 1.htm
Auditors also recommended that Defense
agencies develop training for contracting

                                             -5-
Volume 8 Issue 2                                                               December 2006


                                              costs would then decline to about $8 billion
                                              in 2024, the office expects.
                   November 9, 2006
      DAILY BRIEFING
  CBO: Missile Defense Spending to            The peak comes roughly three years later
     Peak in 2016 at $15 Billion              than the date projected by budget analysts
By Jon Fox                                    in a 2005 report, due to delays a number of
Global Security Newswire                      major projects. The budget office analysis
                                              does not detail the nature of those delays.
Current plans indicate that annual spending
on the missile defense system will peak in     In preparing its report, the Congressional
2016 at about $15 billion, according to a      Budget Office examined current Pentagon
recent analysis by the Congressional Budget    plans for missile defenses as well as policy
Office.                                        statements from the White House. Virginia
                                               Samson, a missile defense analyst with the
The government has spent billions on a Center for Defense Information, called the
missile shield designed to protect the United analysis a valuable peek into the future of
States and its allies from the threat of U.S. missile defenses.
ballistic missiles, but the program has yet to
create an operational defense, critics say. The Missile Defense Agency faces different
Missile defense programs have a mixed reporting requirements than other military
record in testing; in September, a target agencies regarding its budget requests and
missile in an intercept drill had to be details of its programs remain relatively
destroyed shortly after launching.             murky, Samson said. "I think it's one of the
                                               better things that we have," she said of the
The most advanced components of the budget projections released last month.
system "may" rather than "should" have
some defensive capability against a limited     The funding for the missile defense program
attack, Defense Department Operational Test     has been set by Congress at $9.4 billion for
and Evaluation Director David Duma stated       fiscal 2007. The analysis by the budget
in January.                                     office, however, does not provide precise
                                                yearly estimates going forward, nor does it
Defense officials, though, have continued to provide a precise breakdown of estimated
express their belief in the system's ability to funding for each missile defense program.
bring down an ICBM. Asked in June how
much faith he put in the system, Missile Due to the spiral nature of the missile
Defense Agency Director Lt. Gen. Henry defense development -- programs are rolled
Obering said, "In my mind it's a much higher out even as they continue to be developed to
confidence than what has been described by create an interim defense capability --
our critics."                                   requirements for program details are
                                                loosened for missile defense, Samson said.
Funding for the program remains robust and "For whatever reason missile defense is
the budget office expects it to reach its thought to be in such a special category that
highest level in 2016 as a number of defense it can do that type of thing," she said.
systems move through the procurement
phase and begin to be deployed. Annual

                                            -6-
Volume 8 Issue 2                                                                 December 2006


That makes projecting costs years in but the budget office interprets current
advance very difficult, Samson said. "It just plans as calling for the launch of a five-
makes oversight very hard."                       satellite group in 2014.      In 2017, more
                                                  satellites would be launched, bringing the
The president's fiscal 2007 budget request total up to nine, according to the budget
and the Defense Department's Future Years office, which anticipates the total cost for the
Defense Program report propose funding two groups to be $7 billion.
averaging $10 billion annually for continued
research and development of an overall For terminal-phase defenses, including the
missile defense system through 2024.              PAC-3 short-range missile defense systems,
                                                  Medium Extended Air-Defense System and
Another $500 million annually would go the Terminal High Altitude Area Defense
toward systems designed to intercept system, the budget office researchers
missiles toward their end of their flights, estimate annual funding of about $2 billion
such as Patriot Advanced Capability 3 a year through 2024.
missile interceptors.
                                                  The Pentagon is also expected to spend $500
The projected spending would fund research, million in fiscal 2008 for the Space Test Bed
development and testing of antimissile to support research for boost-phase
systems designed to counter ballistic interceptors in space, according to budget
missiles in all phases of flight -- shortly after office researchers.
they are launched, in midflight and as they
re-enter the atmosphere.                          Information on the Space Test Bed is thin,
                                                  but the fact that the Missile Defense Agency
According to the CBO analysis, an expanded is going to seek funding as soon as 2008 to
deployment of the U.S. Ground-Based place weapon-related items in space is
Midcourse Defense system will be completed significant, Samson said. As to what exactly
in 2013, but the government will continue to the plans entail, "we can only hazard a guess
purchase additional missile interceptors at this point," she said.
through 2017. Total cost for work on the
system through 2017 is estimated at $18 To begin the weaponization of space "would
billion.                                          be a huge change in policy for the United
                                                  States," Samson said. In June, both Russia
The office also expects the Defense and China told the U.N. Conference on
Department to develop and deploy "a Disarmament that the threat of space-based
constellation of space-based infrared sensor weapons could be equal to that posed by
satellites." Such satellites would be able to weapons of mass destruction.             A State
detect and track ballistic missiles in flight Department official, however, asserted U.S.
beginning shortly after their launch. That rights to develop space-based weapons. John
data would then be relayed back to Mohanco, State Department deputy director
interceptors launched to destroy the for multilateral, nuclear and security affairs,
warheads.                                         told the Conference on Disarmament that
                                                  space weapons could help safeguard military
The Defense Department's initial plans and commercial satellites. Washington, he
include a constellation of 24 to 27 satellites, said, would oppose any international efforts

                                             -7-
Volume 8 Issue 2                                                                  December 2006


restricting its plans.      "As long as the       minimum wage with the lawmakers' annual
potential for such attacks remains, our           cost-of-living adjustment.
government will continue to consider the
possible role that space-related weapons          House Republicans also agreed to allow the
may play in protecting our assets," he said.      Veterans Affairs Department to transfer up
Still, he added that "for our part, the United    to $684 million from other accounts to
States does not have any weapons in space,        cushion the CR's impact on veterans'
nor do we have plans to build such                medical services.
weapons.”
Above article obtained from the World-Wide- Only the Defense and Homeland Security
Web and reprinted for non-commercial measures have been signed into law.
purposes with acknowledgement of the Generally, the CR funds agencies and
source and author.
                                                  programs covered by the nine remaining
This document is located at:
                                                  fiscal 2007 appropriations at the lowest rate
http://www.govexec.com/story_page.cfm?ar
                                                  in either the House or Senate-passed bills or
ticleid=35466&dcn=e_gvet
                                                  fiscal 2006 enacted levels.

                                            Neither chamber was able to pass the 2007
                                            Labor-HHS measure, creating a scenario
                                            where education and job training programs
     DAILY BRIEFING December 10, 2006
                                            actually fare better because they would be
         Congress averts shutdown,          funded at the higher 2006 rate. But the
    puts off spending bills until February National Institutes of Health budget,
By Peter Cohn, CongressDaily                community health centers and other
                                            healthcare programs would all take a hit.
At about midnight Friday, the Senate by
voice vote approved a continuing resolution Lawmakers agreed to include certain
extending until Feb. 15 funding for the 13 "anomalies," or adjustments in special
federal departments and various programs circumstances. For example, entitlement
whose appropriations bills have not been programs which rely on appropriated funds,
passed.                                     such as food stamps, child support
                                         enforcement and payments to low-income
President Bush signed that CR, which had elderly and disabled individuals, would not
previously been approved by the House, be affected.
Saturday morning.
                                                  Agencies that would ordinarily have to
The House adjourned shortly after 3 a.m.,         furlough employees are allotted flexibility
with the Senate following at 4:40 a.m. GOP        under the CR to avoid that. Lawmakers
leaders defused a few potential political time-   agreed to extend a provision allowing
bombs in the measure, by agreeing to insert       restricted snowmobile use in Yellowstone
language blocking members' pay raises, set        and Grand Teton National Park, which
to take effect Jan. 1, for the duration of the    otherwise could be blocked because of
CR. That would enable incoming Democratic         ongoing litigation by environmental groups.
leaders to tie legislation raising the federal    Financially strapped airlines also benefit
                                                  from an extension of government-backed

                                              -8-
Volume 8 Issue 2                                                                                                                December 2006


insurance coverage for any losses suffered as from them. Lawmakers also have limited
a result of acts of terrorism.                how agencies can use competitive sourcing
Above article obtained from the World-Wide- by capping spending on the practice and
Web and reprinted for non-commercial establishing qualifiers on aspects of it.
purposes with acknowledgement                                of     the
source and author.
                                                                           Denett nevertheless plans to go to Congress
This document is located at
http://www.govexec.com/dailyfed/1206/121006cd1.htm                         to discuss the initiative and try to get
                                                                           legislators to ease the restrictions.
       FCW.com Story                            He reiterated the numbers in the OMB
   Denett Expects to Defend                     reports, saying savings estimates come to
                                                $5.6 billion over the next five to 10 years
    Competitive Sourcing                        because of competitive sourcing done
By Matthew Weigelt
Published on Dec. 5, 2006                       between fiscal 2003 and 2005. He also
                                                estimated that $4 billion in savings would
The incoming Democratic-led Congress will come if agencies competed half of their
take on the competitive sourcing initiative contracts.
with the Office of Management and Budget,
said Paul Denett, administrator of the Office “I am an administrator that actually was in
of Federal Procurement Policy, who expects an office that did one of these,” he said,
to be called to Capitol Hill early next year to referring to his time at the U.S. Geological
defend it.                                      Survey. “I know firsthand how awkward it
                                                is…but it’s the right thing to do.”
“I know it’s awkward, I know it’s
controversial, I know that with Democrats in Denett told members of the audience he
power come January I’ll have more hopes they will remain visible as the issue
questions, questioning the wisdom and gets more scrutiny from Capitol Hill.
worth of competitive sourcing,” Denett said
in a speech today at the Government No date has been set yet for him to testify
Contract Management Conference, hosted by before Congress on the issue, he said.
the National Contract Management Associa-
tion.

Competitive sourcing is governed by OMB’s         ***********************************
Circular A-76 and typically pits a private-                                     FAC 2005-13
sector vendor against a team of federal                                   Effective 9/28/06
employees, or the most efficient organization,        ------------------------------------------------------------------------------------------


to get the best deal for a project. OMB has
                                               FAC 2005-13 amends the FAR as specified
pushed the initiative as a way to save
                                               below:
money.
                                               Item I—Implement OMB Policy on the Use of
Democratic and Republican lawmakers are Brand Name Specifications (Interim) (FAR
still skeptical. They are not convinced the Case 2005-037) This interim rule amends the
savings that OMB’s reports to Congress and Federal Acquisition Regulation (FAR) to
attributes to the competitions actually result

                                                                        -9-
Volume 8 Issue 2                                                                             December 2006


implement the memoranda issued by the Office           submitted representations and certifications in
of Management and Budget dated April 11, 2005          the file. Such a reference satisfies contract file
and April 17, 2006, requiring agencies to publish      documentation requirements of 4.803(a)(11).
on the Government-wide point of entry (GPE) or         However, if an offeror identifies changes to
e-Buy the documentation required by the FAR to         ORCA data pursuant to the FAR provisions at
support the use of a brand name specification.         52.204-8(c) or 52.212-3(k), the contracting officer
The rule is intended to limit the use of brand         must include a copy of the changes in the
name specifications and provide for maximum            contract file.
competition.
                                                       Item IV—Inflation Adjustment of Acquisition-
Item II—Information Technology Security (FAR           Related Thresholds (FAR Case 2004-033) This
Case 2004-018) This final rule amends the              final rule adjusts acquisition-related thresholds in
interim rule published September 30, 2005, as          the FAR for inflation. It implements Section 807
corrected on November 14, 2005, to a final rule        of the Ronald W. Reagan National Defense
without change. The interim rule amended FAR           Authorization Act for Fiscal Year 2005 (Pub. L.
Parts 1, 2, 7, 11, and 39 to implement the             108-375). Section 807 provides for adjustment
Information Technology (IT) Security provisions        every 5 years of acquisition-related thresholds,
of the Federal Information Security Management         except for Davis-Bacon Act, Service Contract Act,
Act of 2002 (FISMA), (Title III of Public Law 107-     and trade agreements thresholds. This rule also
347, the E-Government Act of 2002 (E-Gov Act)).        escalates some nonstatutory acquisition-related
The rule focuses on the importance of system           thresholds. Often any impact of these threshold
and data security by contracting officials and         increases will be beneficial, by preventing
other members of the acquisition team. The             burdensome requirements from applying to more
intent of adding specific guidance in the FAR is to    and more small dollar value acquisitions, which
provide clear, consistent guidance to acquisition      are the acquisitions in which small businesses
officials and program managers; and to                 are most likely to participate. One threshold
encourage and strengthen communication with IT         change in this rule which may temporarily impact
security officials, chief information officers, and    small business is the increase of the micro-
other affected parties.                                purchase threshold (FAR 2.101) from $2,500 to
                                                       $3,000, because the simplified acquisition
Item III—Online Representations and                    threshold will not be raised at this time. Other
Certifications Application (ORCA) Archiving            frequently used thresholds that are adjusted
Capability (Interim) (FAR Case 2005-025) This          include—
interim rule amends FAR Parts 4, 12, 14, and 15               The FPDS reporting threshold (FAR
to address the record retention policy where the               4.602(c)) will be raised from $2,500 to
Online Representations and Certifications                      $3,000.
Application (ORCA) is used to submit an offeror’s
representations and certifications. Under FAR                 Commercial Items test program ceiling
Subpart 4.12, prospective contractors are                      (FAR 13.500) will be raised from
required to submit Annual Representations and                  $5,000,000 to $5,500,000.
Certifications via the ORCA. Data in ORCA is
archived and electronically retrievable.                      The cost and pricing data threshold (FAR
Therefore, when a prospective contractor has                   15.403-4) will be raised from $550,000 to
completed representations and certifications                   $650,000.
electronically via ORCA, the contracting officer             The prime contractor subcontracting plan
may reference the date of ORCA verification in         (FAR 19.702) floor will be raised from $500,000
the associated Government contract file rather         to $550,000, but for construction ($1,000,000) is
than including a paper copy of the electronically-

                                                    -10-
Volume 8 Issue 2                                                                       December 2006


unchanged.                                          similar sections in subsequent appropriations
                                                    acts. Section 535(a) authorizes an exception to
Item V—Trade Agreements—Thresholds (FAR the Buy American Act for acquisitions of
Case 2005-030) This final rule converts the         information technology that are commercial
interim rule published at 71 FR 864, January 5,     items. The final rule applies to all offerors
2006, to a final rule without change. This rule     responding to solicitations for commercial
changes the thresholds for application of the       information technology where the Buy American
World Trade Organization Government                 Act previously applied (generally, acquisitions
Procurement Agreement and the other Free            between the micro-purchase threshold and
Trade Agreements with Canada, Mexico, Chile,        $193,000). The effect of this exemption is that
Singapore, and Australia. These threshold           the following clauses are no longer applicable in
increases occur every two years in order to keep acquisition of commercial information technology:
pace with inflation.                                         FAR 52.225-1, Buy American Act—
                                                                 Supplies,
Item VI—Reporting of Purchases from                          FAR 52.225-2, Buy American Act
Overseas Sources (Interim) (FAR Case 2005-                       Certificate,
034) This interim rule amends FAR Part 25 and                FAR 52.225-3, Buy American Act—
adds a provision in FAR 52.225 to implement                      Free Trade Agreements—Israeli Trade
Section 837 of Division A of the Transportation,                 Act,
Treasury, Housing and Urban Development, the                 FAR 52.225-4, Buy American Act—
Judiciary, the District of Columbia, and                         Free Trade Agreements—Israeli Trade
Independent Agencies Appropriations Act, 2006                    Act Certificate.
(Pub. L. 109-115). Section 837 requires the head This is because the Buy American Act no longer
of each Federal agency to submit a report to        applies. The Free Trade Agreement non-
Congress relating to acquisitions of articles,      discriminatory provisions are no longer necessary
materials, or supplies that are manufactured        since all products now are treated without the
outside the United States. The new provision        restrictions of the Buy American Act.
requests from offerors necessary data regarding
place of manufacture. The new provisions will       The Trade Agreements provision and clause at
require an offeror to indicate whether the place of FAR 52.225–5 and FAR 52.225–6 are still
manufacture of the end products it expects to       necessary when the Trade Agreements Act
provide in response to the solicitation is          applies (acquisitions above $193,000). The Trade
predominantly inside or outside the United          Agreements provision and clause already waive
States. Whenever the place of manufacture for a applicability of the Buy American Act for eligible
contract is coded outside the United States, the    products and are needed to implement the
contracting officer will be required to enter into  restrictions on procurement of noneligible end
Federal Procurement Data System (FPDS) the          products. Section 535 and subsequent similar
reason for buying items manufactured outside the sections waived only the Buy American Act, not
United States.                                      all restrictions on the purchase of foreign
                                                    information technology.
Item VII—Exception to the Buy American Act
for Commercial Information Technology (FAR Item VIII—Technical Amendments Editorial
Case 2005-022) This final rule converts the         changes are made at FAR 1, 3, 4, 5, 7, 13, 26,
interim rule published at 71 FR 223, January 3,     33, 49, 50, 52, and 53 in order to update
2006, to a final rule without change. This final    references.
rule amends FAR 25.103 and Subpart 25.11 to
implement Section 535(a) of Division F of the
Consolidated Appropriations Act, 2004, and

                                                -11-
Volume 8 Issue 2                                                                                                                                                                    December 2006


    ***********************************                                                               someone for whom it might be said "After
     Q&A From World Wide Words                                                                        they made him, they broke the mould".
      ------------------------------------------------------------------------------------------
                                                                                                      Here's an example from the Daily Telegraph
                                                                                                      of 13 April 2006, about Michael Eavis, who
                                    “One-Off”                                                         runs the Glastonbury Festival: "I have great
                                                                                                      respect for him. He's a fantastic eccentric,
Q. Whence the term "one-off"                                                               which      really, a one-off."
obviously means "one of a kind"?                                                                      -----
                                                                                                      WORLD WIDE WORDS copyright (c) Michael
A. This is mainly a British and Common-                                                               B. Quinion 2006. You may reproduce this
wealth usage, not so much known in the                                                                mailing in whole or in part in other free
US, I believe.                                                                                        media provided that you acknowledge the
                                                                                                      source and quote the Web address of
It comes out of manufacturing, in which "off"                                                         http://www.worldwidewords.org.
has long been used to mark a number of
items to be produced of one kind: "20-off",
"500-off".  This seems to have begun in                                                                   ***********************************
foundry    work,     or    a similar   trade,                                                                        Rid Yourself
in which items were cast "off" a mould or                                                                    of Damaging Word Habits
from a pattern ("We'll have 20 off that                                                                     ------------------------------------------------------------------------------------------

pattern and 500 off that other one".) An
example is in a book of 1947 by James                                                                 Did you know that the words you choose in
Crowther and Richard Whiddington, Science                                                             your everyday conversation can affect your
at War: "Manufacturers found it very difficult                                                        career? Here are some quick-tips that will
to give up mass production, in order to make                                                          help you change your communication for the
the 200 or so sets 'off'."                                                                            better.

A "one-off" was just a single item, used in                                                           Read more at:
particular to refer to a prototype. The first                                                         http://rs6.net/tn.jsp?t=9m4fzybab.0.pjvh9y
known example appeared in the Proceedings                                                             bab.ls49tsn6.11303&ts=S0204&p=http%3
of the Institute of British Foundrymen in
1934: "A splendid one-off pattern can be                                                              http://www.businessknowhow.com/marketi
swept up in very little time." (The reference is                                                      ng/wordhab.htm
to a casting mould formed in sand.)

Out of this came our current figurative sense   ***********************************
of something that is done, made, or happens             HOMELAND SECURITY
only once - as you say, one of a kind. An               DEPARTMENT UPDATE
                                                  ------------------------------------------------------------------------------------------
example appeared in the Coventry Evening
Telegraph in February 2006: "Anyone who Security Improvements Proposed for Visa
would like to donate in Mo's memory is                                  Waiver Program
welcome to make a one-off donation or more
long-term contributions."                     November 30, 2006 – President Bush has
                                              announced he will work with Congress to
It can also be used of a special person, reform the Visa Waiver Program, and the

                                                                                                   -12-
Volume 8 Issue 2                                                                                                       December 2006


Department of Homeland Security has Please notify Del and Jim Sheriff of any
identified a number of improvements that changes to your e-mail address.
will strengthen the program’s security
measures while allowing international allies ***********************************
to more quickly qualify.                     NCMA Jacksonville Chapter
                                                                              Officers and Chairpersons –
Secretary Michael Chertoff, “We want to                                        Program Year 2006- 2007
welcome people who are interested in                                           ---------------------------------------------
working or traveling in the United States
provided they abide by the terms of their                             President:
admission and, also importantly, provided                             Adrienne M. Hall
they don't furnish a security threat.” Read                           904.777.1900, extension 24
More                                                                  adrienne.hall@griffinserv.com or
                                                                      shenval2@bellsouth.net
http://www.ready.gov/
The Homeland Security Homepage is at:                                 Vice President:
http://www.dhs.gov/dhspublic/index.jsp

                                                                                                 Directors at Large:
      ***********************************                                                        Grady Jacobs, Fellow
                     Hear Ye, Hear Ye!                                                           904.491.8623
      ------------------------------------------------------------------------------------------
                                                                                                 gradyj9536@aol.com
Visit the NCMA Jacksonville Chapter Charlotte E. Lawson
Homepage web site at:                                                                            904.726.8379
http://intranet.ncmahq.org/Jacksonville                                                          clawson@retec.com
                                                                                                 Susan Thibodeaux
Please visit our Homepage for upcoming 904.542.3356/4030
events/activities and other NCMA related susan.b.thibodeaux@iapws.com
                                                                                                 thibodeauxsb@iaphill.com
information and pictures by "Larry the Lenz"!
                                                                      Treasurer:
         ***********************************                          Shedeh Turfler
                                                                      904.646.0199, ext. 1443
           Newsletter Articles and
                                                                      sturfler@medservco.com
             Items of Interest
         --------------------------------------------                 Secretary:
                   Del Johnson,                                       Natalie Covert
                  Newsletter Chair                                    904.270.6317
                                                                      natalie.covert@navy.mil
Contributions to the Chapter Newsletter, in
either the form of articles or items of                               Vice President, Membership:
interest, should be submitted (in Microsoft                           Jim Sheriff
Word 2000, if possible) to:                                           904.232.2148
del.johnson@comcast.net                                               Cell- 904.422.0766
                                                                      james.f.sheriff@saj02.usace.army.mil

                                                                   -13-
Volume 8 Issue 2                                                                                                            December 2006


                                                  *************************************
Vice President, Education                                      POLITICAL NEWS
Leonard Murray, CPA                                            WORTHY OF NOTE
904.791.6206                                       ------------------------------------------------------------------------------------------


Leonard.Murray@fcso.com
                                                Friedman's down but he's
Vice President, Programs
Larry Belge
                                                       not out!
904.645.9243
lbelge@classic.msn.com

Newsletter Chair:
Del Johnson, CACI-DSI Corporation
904.230.1088
del.johnson@comcast.net
                                             AUSTIN -- There were no signs in the
Nomination Chair: Vacant                     yard. No TV cameras rolling. Even the
                                             trademark black cowboy hat was,
JAX Chapter Webmaster:                       temporarily, nowhere to be found. But
Dale O'Bar, Estimator, Atlantic Marine,      behind a haze of Cuban cigar smoke and
                                             profane one-liners, the unmistakable and
Jacksonville (904) 251-2619
                                             unapologetic... Read More...
dobar@atlanticmarine.com
                                             Information concerning Kinky Friedman
Sub-Chapter Activities Director:
                                             is provided solely for the enlightenment
Ms. Carol Hellman, Fort Stewart, Georgia
                                             and amusement of our readership and is
912.767.2448
                                             NOT a political endorsement of Kinky
Carol.Hellman@stewart.army.mil
                                             Friedman, his opinions, or fund raising
                                             products.
Outreach Committee Members:
Saint Augustine
                                             Stay tuned for what Kinky may do next:
Maryanne Austin
                                             As he says, "I'm 62 years old, too
maryanne.austin@dcma.mil
                                             young for Medicare, too old for women
Majorie Heilweil
majorie.heilweil@dcma.mil                    to care."
                                             http://www.kinkyfriedman.com/
Green Cove Springs
Butch and Janet Elliott                      --Go Kinky!
elliottriii@msn.com

Jacksonville Chapter Contacts available on      Idle Thoughts of a Retired Person
the web at:
http://intranet.ncmahq.org/Jacksonville      • I planted some birdseed. A bird came up.
/Lists/Contacts/AllItems1.aspx               Now I don't know what to feed it.
                                             • I had amnesia once -- or twice.
                                             • I went to San Francisco. I found

                                         -14-
Volume 8 Issue 2                                                                                                                December 2006


someone's heart. Now what?                        can't get his pants off.
• Protons have mass? I didn't even know           • It's not an optical illusion. It just looks like
they were Catholic.                               one.
• All I ask is a chance to prove that money       • Is it my imagination, or do buffalo wings
can't make me happy.                              taste like chicken?
• If the world were a logical place, men
would ride horses sidesaddle.
• What is a "free" gift? Aren't all gifts free?       ***********************************
• They told me I was gullible ... and I                 Trivia / Humor / Anecdotes
                                                         ----------------------------------------------------------------------------------------
believed them.
                                                               A. Nonymouse, CPCM
• Teach a child to be polite and courteous in        (Certified Professional Cheese Muncher)
the home and, when he grows up, he'll never
be able to merge his car onto a freeway.
• Two can live as cheaply as one, for half as
                                                                           Dilbert Quotes
long.
                                                  A magazine recently ran a "Dilbert Quotes"
• Experience is the thing you have left when
                                                  contest. They were looking for people to
everything else is gone.
                                                  submit quotes from their real-life Dilbert-
• What if there were no hypothetical
                                                  type managers.
questions?
• One nice thing about egotists: They don't
                                                  These were voted the top quotes from the
talk about other people.
                                                  Dilberts who inhabit our world ...
• When the only tool you own is a hammer,
every problem begins to look like a nail.
                                                  "As of tomorrow, employees will only be able
• A flashlight is a case for holding dead
                                                  to access the building using individual
batteries.
                                                  security cards. Pictures will be taken next
• What was the greatest thing before sliced
                                                  Wednesday, and employees will receive their
bread? Hmmmm?
                                                  cards in two weeks." (This was the winning
• My weight is perfect for my height -- which
                                                  quote from Fred Dales, Microsoft Corp. in
varies.
                                                  Redmond WA)
• I used to be indecisive. Now I'm not sure.
• The cost of living hasn't affected its
                                                  "What I need is an exact list of specific
popularity.
                                                  unknown problems we might encounter."
• How can there be self-help "groups"?
                                                  (Lykes Lines Shipping)
• Is there another word for synonym?
• Where do forest rangers go to "get away
                                                  "E-mail is not to be used to pass on
from it all"?
                                                  information or data. It should be used only
• The speed of time is one-second per
                                                  for   company     business."    (Accounting
second.
                                                  manager,     Electric    Boat     Company)
• Is it possible to be totally partial?
• What's another word for thesaurus?
                                                  "This project is so important we can't let
• Is Marx's tomb a communist plot?
                                                  things that are more important interfere
• If swimming is so good for your figure,
                                                  with it." (Advertising/Marketing manager,
how do you explain whales?
                                                  United Parcel Service)
• Show me a man with both feet firmly on
the ground, and I'll show you a man who

                                              -15-
Volume 8 Issue 2                                                                 December 2006


                                               the bathroom, washed my hands, then got a
"Doing it right is no excuse for not meeting   cup of coffee and a sweet roll."
the schedule."      (Plant Manager, Delco
Corporation)
                                                   ** Harry’s Funeral Expenses **
"No one will believe you solved this problem
in one day! We've been working on it for       In his will, Harry specified $30,000 be spent
months. Now go act busy for a few weeks        on an elaborate funeral.
and I'll let you know when it's time to tell
them." (R&D supervisor, Minnesota Mining       As the last guests departed the affair, his
and Manufacturing/3M Corp.)                    wife, Helen, turned to her oldest friend.
                                               "Well, I'm sure Harry be pleased" she said.
Quote from the Boss: "Teamwork is a lot of
people doing what I say."      [Marketing      "I'm sure you're right," replied Sandy, who
executive, Citrix Corporation)                 lowered her voice and leaned in close. "How
                                               much did this really cost?"
"We know that communication is a problem,
but the company is not going to discuss it     "All of it," said Helen. "Thirty thousand."
with    the    employees."       (Switching
supervisor, AT&T Long Lines Division)          "No!" Sandy exclaimed. "I mean, it was very
                                               nice, but $30,000?"
                   ** Humor **
                                        Helen answered. "The funeral was $6,500. I
                Pilot to Pilot          donated $500 to the church. The wake, food
A C-130 was flying on a mission when and drinks were another $500. The rest
a cocky F-16 pilot flew up next to him. went for the memorial stone."

The fighter jock told the C-130 pilot, "watch Sandy computed quickly. "$22,500 for a
this!" and promptly went into a barrel roll memorial stone? My word, how big is it?!"
followed by a steep climb. He then finished
with a sonic boom as he broke the sound "Two and a half carats."
barrier. The F-16 pilot asked the C-130 pilot
what he thought of that.
                                                               Naval Tales
The C-130 pilot said, "That was impressive,
but watch this!" The C-130 droned along for  The Navy used to require officers to foot their
about 5 minutes, and then the C-130 pilot    total moving expenses out of pocket and file
came back on and said "What did you think    for reimbursement at their new duty station
of that?"                                    and they might be reimbursed several
                                             months later. In August of 1870, LCDR J. P.
Puzzled, the F-16 pilot asked, "What the Fyffe had orders to be CO of a frigate out of
heck did you do?"                            San Francisco. His current duty station was
                                             in New London, Connecticut. He did not
The C-130 pilot chuckled, "I stood up, think it right that his moving expenses
stretched my legs, went to the back, went to should be out of pocket.

                                            -16-
Volume 8 Issue 2                                                               December 2006


                                               27 August - En route on foot. Made good
The following is what happened. LCDR Fyffe     only 1 1/2 miles this date. Rained all day.
sent a message to the Secretary of the Navy    Staying overnight at Litchfield with my
requesting that the Navy either lay out the    father's friend, General Holmes. I find
money or supply him with railroad tickets or   standard boot worn by naval officer
transportation via naval vessel. The reply     inadequate for prolonged walking. Suggest
came from the Chief of Bureau of Navigation:   Surgeon General investigate.
To: Lieutenant Commander J. P. Fyffe
In reply to your letter of the 18th: Your 28 August - Spending night Lakeville. Lovely
request is contrary to Navy regulations. country. Expect to buy home here as soon
Carry out your orders.                         as I get reimbursed travel voucher submitted
                                               by me to Navy three years ago. Tomorrow I
The orders also stated: While carrying out enter New York State.
these orders, you will keep the Bureau
informed of your whereabouts.                  29 August - En route on foot. Make 28 miles
                                               this date despite badly worn boots. People
There was nothing which stated when he not familiar Navy uniforms this area. Great
was supposed to arrive in San Francisco or crowd walked part way with me. I sang
by what means.                                 them sea chanties. Populace thinks it a
                                               great sign of democracy for commanding
LCDR Fyffe donned his best uniform and officer of his ship to walk 3,000 miles to new
strapped his sword to his small travel kit. At station. Police Chief, Hudson, New York has
sunrise on the 25th, he walked out of New given me best cell in jail for overnight.
London and headed westward for San
Francisco. By sundown he reached East 30 August - En route on foot. Arrived
Haddam where he sent the following Albany.                 Request Recruiting Officer be
telegram to the Chief:                         authorized issue me new shoes. Boots fell
25 August - Compliance orders number apart               noon   today.     Entered    Albany
1998. LCDR Fyffe en route New London to barefooted. Will remain Seward Hotel two
San Francisco on foot. This telegram to keep days awaiting answer. Earning my keep as
Bureau informed my whereabouts. Made bartender. Local rum far superior that
good 22 miles this date. Spending evening served in Navy. Am sending sample. Very
in hayloft in Mount Parnassus. Very respectfully, Fyffe.
respectfully, Fyffe.
                                               31 August - Fyffe received the following
Every evening for the next few days he sent a message: I strike my colors. Secretary of
telegram.                                      the Navy authorized Recruiting Officer,
                                               Albany issue you boots and provide quickest
26 August - En route on foot. Made good 31 transportation        from    Albany    to    San
miles this date. By gracious consent, Mayor Francisco. Even Chief of Bureau Navigation
of Bristol, am spending night Mayor's can laugh when outsmarted!
stables. Have noticed he has hybrid mules
specially bred for tropics. Suggest Navy
investigate.


                                            -17-
Volume 8 Issue 2                                                            December 2006



        *********************************      January 25, 2007
       NCMA Calendar for 2006- 2007            Luncheon/Workshop
                                               Disaster Preparedness, Mr. David Kasun,
                                               VT Griffin
Editor's Note: Dates, places and
speakers are tentative but will be
confirmed by E-mail "Flyer" prior to each      April 19, 2007
event.                                         Out Reach Luncheon/Workshop
                                               Fort Stewart, Savannah, GA (Sub-Chapter)
December 19, 2006
Luncheon/Workshop
Buy American Act and Berry Amendment
at    the    Omni    Hotel,    downtown
Jacksonville.   Mr. Mark Lumer, CPCM,
Fellow, Contracting Executive, U.S. Army
Space & Missile Defense Command




                                            -18-