![[NASA Logo]](../Images/nasaball.gif) |
NASA Procedures and Guidelines |
||||
This Document is Obsolete and Is No Longer Used.
|
|||||
|
|
|||||
|
|
||||
| | TOC | Preface | Chapter1 | Chapter2 | Chapter3 | Chapter4 | Chapter5 | Chapter6 | Chapter7 | Chapter8 | AppendixA | AppendixB | ALL | | |||||
The primary objective of the property administration function is to attain efficient and economic management of all GP provided to or used by Government contractors in the performance of contracts. Success in meeting this objective is based on effective management of risk and realization of cost benefits associated with effective management of Government personal property assets by the contractor. A secondary benefit associated with effective property administration is ensuring the availability of GP for effective contract performance. The final benefit occurs when contractor inventory is made available for full and appropriate reuse on other Federal Government or public activities. The benefits of these activities are balanced against the cost of administration, by both the contractor and the Government.
1.2.1 The scope of property administration efforts is determined by the contractual and regulatory requirements, the amount and types of GP, and the complexity of the contractor's Property Management System (PMS).
1.2.2 Property administration begins prior to award of a contract when the Industrial Property Officer (IPO) participates in the construction of the solicitation by assisting the CO in determining the appropriate application of clauses, terms, and solicitation provisions based on the anticipated contract circumstances.
1.2.3 Property administration continues through the solicitation phase where the IPO provides advice to the CO regarding GP issues that may arise, evaluating proposal material related to GP, and evaluating or providing any known information on the contractor's past performance of property management. The IPO may seek the assistance of the Property Administrator (PA) in the award process through the PA's evaluation of the contractor's proposed contractor plans, methods, standards, procedures, and practices and by providing any known information on the contractor's past performance of property management.
1.2.4 Property administration continues throughout contract execution as the PA oversees and evaluates contractor performance of GP management through the Property Management System Audit (PMSA) process and by reviewing property reports, including but not limited to those of loss, damage, destruction, or theft of GP. These evaluations are critical to determining the level of risk to the Government associated with providing property.
1.2.5 Property administration concludes only when all GP is appropriately dispositioned and all property related actions are complete and documented.
1.3.1 FAR and NFS authorize and require COs to perform the functions and activities of the position as specified in their appointment or warrant. Property administration is one of the functions of overall contract administration.
1.3.2 NASA Center IPOs are appointed by the Center Director to coordinate and provide Center-level management oversight of all contract property administration activities at and between NASA Centers.
1.3.3 NASA PAs are, typically, civil servants, appointed as industrial property management specialists. Property administration involves tasks that often call for the development of contract requirements and the evaluation of a contractor's performance of Government work. As such, it is considered by Office of Federal Procurement Policy Letter 11-01 to be "functions closely associated with inherently governmental functions." Should Centers choose to employ contractors in performance of these functions, they should employ the checklist at Appendix C. of the aforementioned policy letter to assure that contractor efforts do not impinge on inherently Governmental activities.
1.3.3.1 Authority to perform the property administration duties is usually delegated on a contract-by-contract basis by the CO through an official Property Administration: Letter of Delegation (LOD) for NASA Contracts, NASA Form 1430C.
1.3.3.2 Delegation of the entire functions of property administration and/or plant clearance may be made by formal, written notice of the Center Procurement Officer to the Center IPO, and acceptance by the IPO.
1.3.3.3 Authority to perform PA and Plant Clearance Officer (PlCO) duties may be delegated by other means. However, performance and authority must be consistent with this requirement and those of FAR and NFS. To assure compliance with contract property management and general property management requirements, such alternate delegations must have the concurrence of the Manager, Contract Property Program, Headquarters Logistics Management Division, Office of Strategic Infrastructure.
1.3.4 NASA PlCOs are appointed by the Center Procurement Officer with a Property Sales Officer's warrant.
1.4.1 Center Directors; Executive Director, Headquarters Operations; and Director, NASA Shared Services Center.
1.4.1.1 Center Directors, the Executive Director, Headquarters Operations, and the Director of the NASA Shared Services Center shall provide direction to ensure that personnel under their authority comply with the requirements of this NASA Procedural Requirement (NPR).
1.4.1.2 As each Center and the NASA Shared Services Center retain the ability to award contracts, Center Directors, Executive Directors, Headquarters Operations, and the Director, NASA Shared Services Center shall appoint a qualified individual to serve as the IPO at their Center or installation.
1.4.2 Contracting Officer
1.4.2.1 In accordance with NFS 1845.103-70, the CO is responsible for all business activities under his or her contracts. Effective property management is one of the business activities. As such, the CO is required to ensure that GP is managed and dispositioned according to FAR, Federal Management Regulation (FMR), the NFS and, NASA Policy Documents (NPD) and NPR.
1.4.2.2 Contractors are ordinarily required to furnish all property needed to perform Government contracts. However, under certain circumstances the CO may determine that it is in the Government's best interest to provide GP to contractors. Providing property includes the physical transfer of Government-owned property to a contractor, known as Government furnished property (GFP). Providing property also includes authorizing the contractor to acquire property when the property will become titled to the Government under the FAR Government Property Clause.
1.4.2.3 Unless contractors have been approved to "self-screen," NFS 1845.106-70 requires that COs provide copies of approved requests for providing property to the Center IPO so screening of available NASA inventory, and other agencies' excess may take place in accordance with the requirements of FAR pt. 8.
1.4.2.4 The NASA FAR Supplement, at 1845.103-70(f) requires that COs provide copies of approved requests for providing property to the Center Deputy Chief Financial Officer when it is likely that the unit cost of items to be acquired, furnished, constructed, or fabricated will meet or exceed the NASA capitalization threshold of $100,000.
1.4.2.5 NFS 1845.503-70 requires that COs delegate property administration whenever a contract is to be performed outside of a NASA Center or installation; when a cost type contract is awarded; when GP is furnished under a fixed price contract; or when a cost line item is allowed or used under a fixed price contract. However, where there is a Center IPO responsible for administration of GP and a delegation has been made to the IPO, decisions regarding redelegation or retention of administration of GP will be made by the IPO
1.4.2.6 COs are required to obtain the concurrence of the transportation officer, in accordance with NFS 1851.202, before providing motor vehicles to the contractor.
1.4.2.7 NFS 1845.503-71 allows COs to retain property administration responsibilities when the delegation of property administration is not appropriate due to national security constraints or for other similarly critical reasons. When this occurs, all required property administration activities described in this NPR are performed by and remain the responsibility of the CO. In those circumstances where responsibility for administration of GP (including delegations) has not been assigned or delegated to the IPO or when COs believe it appropriate to retain property administration or plant clearance functions, the NFS requires that he or she must:
a. Obtain the approval of the head of their contracting activity.
b. Provide a plan and schedule for property administration to the Center IPO.
c. Provide any decisions to relieve the contractor of responsibility or hold the contractor responsible for loss, damage, destruction, or theft to the Center IPO.
d. Perform the annual PMSA.
e. Provide the results of each PMSA to the Center IPO.
f. Verify and properly route any annual reports of GP due for property management or financial reporting purposes.
(1) This requires a review of annual reports of NASA Property in the Custody of Contractors, NASA Form 1018, and verify the contractor's property system is capable of providing accurate report data.
(2) User status can be obtained within the NASA Form 1018 Electronic Submission System (NESS) to complete these actions.
1.4.2.8 The NFS requires that COs delegate plant clearance responsibilities, which is typically accomplished through a Department of Defense (DOD) PICO, when contracts are performed outside of a NASA Center or Installation. The NFS allows COs to retain plant clearance for property dispositioned outside of a NASA Center or Installation when support from DOD is not available or not appropriate due to national security constraints or for other similarly critical reasons.
1.4.2.9 NFS 1845.503-71 requires that, when COs retain plant clearance authority, they shall perform plant clearance activities in accordance with FAR subpart 45.6 and Federal Management Regulation, 41. CFR pt. 102, subchapter B, Personal Property. This activity includes preparation and submission of all required disposition reports, coordination with the General Services Administration through the NASA Center Property Disposal Officer (PDO), communication of disposition instructions to the contractor, processing of proceeds for disposition sales, and closeout of disposition actions.
1.4.3 Industrial Property Officer
1.4.3.1 The IPO shall serve as the Center expert in contract property matters, advising COs, Program and Project Managers, and other Center officials on Center logistics activities and correct methods, processes, and requirements for managing GP in the custody of NASA contractors.
1.4.3.2 In order to function effectively as the Center expert on contract property matters, the IPO shall be an individual who possesses significant training and experience not limited to property management. In addition to training and significant experience in property management, the IPO should have training and experience in contract award and administration processes, implementation of management controls and accountability, and audit requirements and performance. Additional training related to management of personnel, leadership, and supervision is also necessary. Training on industrial property management as well as contract award and administration is available from Defense Acquisition University (DAU). It is highly recommended that individuals appointed to the IPO function have, at a minimum, completed sufficient coursework and obtained sufficient experience to qualify for DAU Industrial and/or Contract Property Management Certification Level III. Additional certification as a Certified Professional Property Manager from the National Property Management Association, with specialization in contract property management, is encouraged.
1.4.3.3 The IPO shall participate in acquisition planning sessions to provide advice on logistics and GFP aspects of planned acquisition actions. The IPO should remind all parties of the increased risk, to both performance and to the property itself, associated with providing GP to contractors.
1.4.3.4 The IPO shall review proposed solicitations to ensure property management issues are correctly addressed through the use of appropriate contract language and clauses and that the response establishes appropriate management controls and addresses any special anticipated contract circumstances.
a. The IPO shall advise the CO of any needed changes to solicitations.
1.4.3.5 The IPO shall review contractor proposals to determine if they are responsive to solicitation provisions requiring the submission of plans, practices, systems, and standards and that they address all contract requirements and relevant property system functions. The IPO will consult with cognizant PAs to determine whether the contractor's proposed plans, practices, systems, and standards differ significantly from those already employed at the contractor's place of performance. The IPO should:
a. Seek the PA's assessment of past and current performance of property management at that contractor's place of performance.
b. Participate in proposal evaluations (preaward or change proposals) and provide written findings to the CO identifying proposal strengths and weaknesses relative to GP issues.
c. Provide evaluations of contractor's past and present property management performance during the acquisition process.
1.4.3.6 The IPO shall assist the CO in establishing appropriate property administration and plant clearance for contracts, including assisting in establishing external delegations when appropriate.
1.4.3.7 The IPO shall participate in postaward conferences when requested by the CO and when adequate property management is needed to ensure timely and cost effective performance.
1.4.3.8 When the CO retains either property administration or plant clearance functions, the IPO shall review the CO's plan for execution of those activities. After reviewing the CO's plan, the IPO will prescribe any reports, actions, or procedures they determine to be needed to ensure compliance with FAR, FMR, NASA Policy and Procedural Requirements, and Center implementing procedures.
1.4.3.9 When property administration, plant clearance, or reporting is required, the IPO shall accept and process contracts into the NASA Electronic Submission System (NESS) and ensure that the data associated with the initiation of the automated records is complete and accurate.
1.4.3.10 When reports are required by the NASA Grant and Cooperative Agreement Handbook, NPR 5800.1, IPOs shall ensure reports of property in the custody of grant and cooperative agreement recipients are entered into NESS.
1.4.3.11 In the performance of Property Management System Audits, the IPO shall review and approve or disapprove the work of subordinate PAs to ensure compliance with Generally Accepted Government Audit Standards prior to making recommendations to the CO.
1.4.3.12 The IPO shall review reports submitted by internal and external Agency PAs and provide the NASA CO an evaluation of whether the contractor's system adequately performs within contract requirements and a recommendation of any necessary remedial actions.
1.4.4 NASA Property Administrators
1.4.4.1 In order to function effectively as the individual responsible for evaluation of contractor property performance, the PA shall be an individual possessing significant training and experience not limited to property management. In addition to training and significant experience in property management, the PA should have training and experience in contract award and administration processes, implementation of management controls and accountability, and audit requirements and performance. Training on industrial property management as well as contract award and administration is available from DAU. It is highly recommended that individuals appointed to the PA function have, at a minimum, completed sufficient coursework and obtained sufficient experience to qualify for DAU Industrial and/or Contract Property Management Certification Level II. Additional certification as a Certified Professional Property Manager from the National Property Management Association with specialization in contract property management is encouraged.
1.4.4.2 The PA is the representative of the CO regarding the contractual and technical aspects of GP. As such, the PA is part of the contract administration team. The principal responsibility of the PA is line administration of the property management-related terms of the contract. These terms are specifically related to the contractor's obligations to acquire, control, protect, use, maintain, report, disposition, and in some cases deliver GP. The PA shall:
a. Accept appropriate delegations of property administration and acknowledge that acceptance according to Center procedures and utilize these procedural requirements to perform property administration functions.
b. Establish and maintain the official contract property data files.
c. Review the contractor's reports regarding investigation of reported physical inventory discrepancies and variances to determine actual gains and losses.
d. Review the contractor's reports regarding investigation of occurrences of loss, theft, damage, or destruction (LTDD) of GP. Recommend remedial action by the CO, including holding the contractor liable for LTDD, when the contractor's property system is deemed inadequate and corrective actions are not taken or when the circumstances surrounding incidents of LTTD indicate fraud or lack of good faith by the contractor's managerial personnel.
e. Provide the CO with recommendations concerning contractor responsibility and liability for LTDD of property on the basis of contract terms and conditions.
f. Perform duties and responsibilities as prescribed by the FAR 52.245-1, "Government Property" clause, NFS 1845.505-70, and this NPR.
g. Develop and apply risk-based assessment strategies in the performance of property management.
h. Plan, develop, and perform the PMSA to assess and determine the effectiveness of the contractor's Property Management Systems.
i. Evaluate the contractor's internal audit processes, procedures, and results and assist in the development of the protocols for their use in evaluating the contractor's property management processes.
j. Evaluate the contractor's compliance with contractual requirements and ILPS to determine the adequacy of the contractor's property management processes throughout the property life cycle.
k. Ensure correction of property management process inadequacies, defects, and deficiencies, and notify the contractor when system defects or deficiencies create an unacceptable risk to the Government.
l. Advise the CO and other appropriate Government customers regarding the contractor's failure to perform in accordance with contractual requirements, including failure to maintain a Property Management System adequate for protection, preservation, and appropriate disposition of property under contract circumstances.
m. Notify the CO in the event of excessive or improper acquisition by the contractor and recommend cost disallowance or other appropriate remedy.
n. Perform, to the degree resources are available, program-requested reviews of property acquisition, control, management, use, disposition, etc.
o. Support and assist contractor's personnel, COs, program managers, and other personnel in resolution of property administration matters.
p. Review requests for Government-furnished material (GFM) from NASA supply activities and assist the Center Supply and Equipment Management Officer (SEMO) in receipt and reconciliation in accordance with NPR 4100.1, NASA Materials Inventory Management Manual.
q. Provide guidance and direction to all levels of Government and contractor personnel relating to regulatory and contractual GP requirements.
r. Review contractor records and operations to ensure the contractor promptly reports GP no longer required for performance of the contract for disposition in accordance with contract provisions, clauses, and/or special directions.
s. Support the CO, PlCO, or PDO and other Government representatives to ensure timely, complete, and proper disposition of GP.
t. Obtain and review contractually required reports of property for all assigned contracts, including, but not limited to NASA Form 1018, NASA Property in the Custody of contractors.
u. Prepare and submit other reports and data requested by Program Offices, NASA Headquarters, etc.
v. Request supporting property administration, as required, in accordance with FAR subpt. 45.5 and NFS subpt. 1845.5.
w. Perform requested support property administration in accordance with FAR subpt. 45.5 and NFS subpt. 1845.5.
x. Recommend remedial action by the CO, including holding the contractor liable for LTDD, when the contractor's property system is deemed inadequate and corrective actions are not taken or when the circumstances surrounding incidents of LTDD indicate fraud or lack of good faith by the contractor's managerial personnel.
y. Recognize the technical responsibilities of other Government personnel who are involved with GP and obtain their assistance when required. These functions include, but are not limited to, contract administration, plant clearance, contract audit, quality assurance, engineering, pricing, subcontracting, production, transportation, and other technical areas. When required, Defense Contract Audit Agency (DCAA) assistance and advice on matters involving analyses of the contractor's accounting records, financial aspects of contractor property reports, and any other appropriate financial audit matters may be obtained through the CO.
z. Notify the CO on completion of all plant clearance actions and closure of property administration as soon as possible after contract performance has ended.
1.4.4.3 Under award-fee contracts, the PA may:
a. Provide evaluations relative to the contractor's performance of its GP responsibilities to support the award fee process.
b. When significant deficiencies exist, requiring corrective actions during an upcoming award fee period, recommend that any corrective actions be identified as an area of emphasis.
1.4.5 NASA Plant Clearance Officer
1.4.5.1 NFS 1845.503-70 provides that plant clearance is normally delegated to DoD PlCO when contracts are performed outside of a NASA Center or Installation. However, circumstances may require that property be dispositioned outside of a NASA Center or Installation or when support from DoD is not available or not desired by NASA. When this occurs, the following options are available. However, regardless of the option selected, the individual with responsibility for plant clearance is required to disposition property according to FAR pt. 45.6 and the appropriate chapters of the FMR. The options are:
a. The CO may retain plant clearance authority in accordance with NFS 1852.245-71.
b. Plant clearance may be delegated to the Center IPO for performance by a NASA PA.
c. Plant clearance may be delegated to the Center PDO, with the concurrence of the IPO, and the acceptance of the PDO.
1.4.5.2 Property located within a NASA Center or Installation is normally dispositioned through the Center PDO. When this occurs, the contractor shall be instructed to:
a. Utilize the NASA DSPL system for processing and reporting of property disposition transactions.
b. Manage property until it is either removed by Center property disposition personnel or dispositioned in place.
1.5.1 A deviation is considered to be any of the following:
a. Use of a form different from a Standard Form (SF) or NASA Form (NF) prescribed by this procedural requirement.
b. Alteration of an SF or NF, except as authorized by this NPR.
c. Alteration of the existing content for Property Administration: LOD for NASA Contracts, NF-1430C or Plant Clearance: LOD for NASA Contracts, NF-1430D.
d. Any policy, procedure, method, or practice inconsistent with this NPR.
1.5.2 Deviations from this NPR shall be authorized only when special circumstances make such deviations clearly in the best interests of the Government. Only the Director, Logistics Management Division (DLMD) at NASA Headquarters, is authorized to approve such deviations.
| TOC | Preface | Chapter1 | Chapter2 | Chapter3 | Chapter4 | Chapter5 | Chapter6 | Chapter7 | Chapter8 | AppendixA | AppendixB | ALL | |
| | NODIS Library | Property, Supply and Equipment(4000s) | Search | |