By Harley Hartley on Tuesday,
November 26, 2002 - 07:33 am:
I'm looking for regulatory guidance or case law that will help
me answer this question: Does the contract performance period
start on the day the contractor acknowledges receipt of the NTP
or does it start on the day after receipt?
By joel hoffman on Tuesday,
November 26, 2002 - 08:27 am:
Harley, I'm not aware of any regulatory guidance or case Law.
However, I have forwarded the following to the AAP Contract Law
person for their consideration:
"I don't know if there is any written definition or any Case Law
on this matter. The answer is that one literally reads ... "and
complete it within XX calendar days AFTER receipt of the notice
to proceed..."
The Policy within the Corps of Engineers is that you begin
counting "performance days" beginning with the calendar day
after receipt of the Notice to Proceed (or Date of Receiving
Award, depending on which method is checked on the SF 1142).
Rationale. The date of receipt of NTP does not allow any
meaningful progress that day. In addition, the Notice could be
received at the end of the day. The period of performance is
intended to allow full days. If the contract allowed one day for
performance, it would be practically impossible to complete the
project on the date of receipt of the NTP Therefore, the end of
the next day after receipt is considered the first day. You
calculate the completion date by adding the number of
performance days to the day of the year that the NTP was
received. Thus, if NTP for a contract with a performance period
of 100 days was received on Day 10 (Jan 1), the project must be
completed by the end of day 110 (April 20th, using the non-leap
year Julian Date Calendar).
Happy Sails! Joel T. Hoffman, P.E.
US Army Corps of Engineers
Huntsville, AL.
By Vern Edwards on Tuesday,
November 26, 2002 - 08:31 am:
Since you mention an "NTP," which I take to mean notice to
proceed, I assume that you are asking about a construction
contract.
Fixed-price construction contracts should contain the clause at
FAR § 52.211-10, ommencement, Prosecution, and Completion of
Work. That clause requires the contractor to start working
within a specified number of days "after the date the Contractor
recieves the notice to proceed," and to complete the work within
a number of days "after the date the Contractor receives the
notice to proceed."
So, if the contract contains that clause, the performance period
begins on the day after the day on which the contractor received
the notice to proceed. That's not necessarily the same date as
the date on which the contractor acknowledged receipt.
By Vern Edwards on Tuesday,
November 26, 2002 - 08:35 am:
The proper title of FAR § 52.211-10 is Commencement,
Prosecution, and Completion of Work. Sorry for the typo.
By joel hoffman on Tuesday,
November 26, 2002 - 08:51 am:
Harley posted a more detailed question at the "Contract Law"
Topic at Ask A Professor.
The following was the focus of his question:
He said: Item 11 of SF 1442 says The Contractor shall begin
performance within ___ calendar days and complete it within ___
calendar days after receiving __ award, __ notice to proceed..."
This is generally consistent with the FAR Clause 52.211-10,
except that some Agencies use the date of award - a poor
practice, in my opinion. happy sails! joel
By joel hoffman on Tuesday,
November 26, 2002 - 09:20 am:
oops! a typo above in my 0827 post. "SF 1142" should read "SF
1442". happy sails! joel
By Vern Edwards on Tuesday,
November 26, 2002 - 09:36 am:
Agencies, and professors, should read the FAR, which, in this
matter, prescribes a clear and unambiguous contract term
regarding the period of performance of construction contracts.
SF1442 and FAR § 52.211-10 are consistent. (SF1442 allows for
basing the start on the date after receipt of the award, rather
than the date after receipt of the notice to proceed, in
instances in which the government will not issue a notice to
proceed; however, Harley's question was based on the issuance of
a notice to proceed.)
There is no reason for confusion or doubt about when the clock
starts. This is not a matter of case law or the policy of the
Corps of Engineers; it is a matter of what the FAR says and the
express terms of the contract.
When in doubt, read the FAR.
By joel hoffman on Tuesday,
November 26, 2002 - 09:51 am:
Vern, the question is often asked - "Is day one the date of
receipt or is it the day after the receipt?" To you and me, it
appears to be clear. Yet, I've been asked this question
countless number of times over the years. Yes, read the clause
and the SF 1442 literally. It's XX days AFTER receipt... happy
sails! joel
By Vern Edwards on Tuesday,
November 26, 2002 - 10:35 am:
Joel:
I'm not surprised that you get asked the question many times,
because it's clear to me that most of the people in our business
don't read the FAR. At least 50 percent of the questions asked
at Wifcon and at Ask A Professor are answered in the FAR. When
you ask people why they haven't read the FAR they say they don't
have the time to do so or that they don't know how to find
things in it. New entrants to the contracting field receive no
meaningful training about the organization and content of the
FAR from their supervisors. But even most contracting officers
are PWACs when it it comes to the FAR.
It's pathetic. Would you go to a tax accountant who doesn't read
the tax code and can't find things in it?
By Harley Hartley on Tuesday,
November 26, 2002 - 10:47 am:
Mr. Edwards: As the question would suggest, it does indeed
relate to construction contracts. I agree there is no conflict
between the SF 1442 and FAR 52.211-10. Thanks for the "read the
FAR" advice; however, please be assured that I have read the
FAR.
Joel: Thanks for your input. I agree with your rationale that
the performance time is intended to be measured in full days.
By formerfed on Tuesday,
November 26, 2002 - 10:47 am:
Vern,
I'm curious whether you think eliminating the paper based
version of the FAR makes ths matter worse or not.
By Vern Edwards on Tuesday,
November 26, 2002 - 10:54 am:
formerfed:
No, I don't think that's the problem. The contracting people
that I meet have a copy of the FAR on their desk -- either the
three-ring version that they have downloaded from the ARNET or
the Commerce Clearing House paperback. They have it; it's just
that most of them don't read it.
By Anonymous on Tuesday,
November 26, 2002 - 12:48 pm:
You experience contracting people really, let us beginners have
it. Share your knowledge in a pleasant way. Gosh, Vern I am
really surprised at your furstation regarding a simple
questions. I really do not submit to this chat line, becuase you
knowledgeable guys really put it to the beginners.
By Vern Edwards on Tuesday,
November 26, 2002 - 01:45 pm:
Anonymous:
The beginners aren't the problem. They have an excuse.
Go ahead and submit questions. Change your moniker to Beginner
or Novice. No one will give you a hard time.
Vern
By Harley Hartley on Tuesday,
November 26, 2002 - 02:01 pm:
Anonymous: Just to put your mind at rest, Mr. Edwards' jabs are
not limited to newcomers. I've worked in contracting since 1978.
And, even though I've read my share of the FAR, sometimes things
come up that you think you know the answer for but you aren't
quite sure. Such was the case with this question. Anyway, after
getting Joel's reasonable input, I took a look at ASBCA's and
the US Court of Federal Claims' rules to see how they compute
time. In both fora they start the clock on the date after
receipt of whatever triggered the action. I agree with Mr.
Edwards' position that the FAR (and supplements) is the first
place to look. After you've done that, feel free to ask your
questions and feel free to ignore gratuitous responses.
By Vern Edwards on Tuesday,
November 26, 2002 - 02:41 pm:
Harley and Anonymous Beginner:
My jabs are never aimed at newcomers, but I do aim and hit
old-timers who should have read their contracts before asking a
question that's answered by one of the clauses in their
contracts. I would be mortified to ask a question the answer to
which is in my contract, thereby showing that I hadn't read the
%$#@*& thing.
One should never go looking at case law until one has done his
or her homework in the contract that they're administering and
in the FAR. It's that kind of thing that has led to the
lawyer-dominance of the contracting process and to the general
decline in the status of the GS-1102.
I want to point out that I did not criticize Harley Hartley in
my answer to his question. I didn't say anything critical until
Joel mentioned the "professor" for the second time.
By alexreb on Tuesday, November
26, 2002 - 03:44 pm:
Is there anything wrong with issuing a NTP for the contractor to
begin work on a specified future day, instead of just issuing a
NTP as discussed above? For example, "...work shall begin on
Monday, December 2, 2002".
I realize it's not in accordance with clause 52.11-10 or Item of
11 of the SF1442, but it seems to help in coordinating a start
date with our CORs and contractors.
By webmaster on Tuesday, November 26, 2002 - 07:16 pm:
I would like your opinions on my adding a new topic that is set
aside for questions from those who are new to contracting. For
example, the topic for this thread is called
"Contracts--Questions & Answers"
A new topic might be "Contracts -- For Beginners" or something
like that. I think our experienced posters would be happy to
help those individuals who are new to contracting.
I am going to remove one or two topics anyway in the next month
or so. Please let me know your thoughts.
By Vern Edwards on Tuesday,
November 26, 2002 - 07:39 pm:
axelreb:
FAR provides no detailed guidance on the format or content of a
notice to proceed. FAR 36.213-4(e) says that a notice of award
may either (1) specify the date of commencement of work or (2)
state that a notice to proceed may be issued.
Generally, the reason for telling a contractor to wait for a
notice to proceed is that the owner wants to get the
contractor's certificates of insurance and bonds before allowing
it on the worksite. Once the contractor presents the owner with
the certificates and bonds, the owner issues a notice to
proceed.
The Commencement, Prosecution, and Completion of Work clause
tells the contractor that it must begin work within a certain
number of days (usually between five and ten) after receiving
the notice to proceed, rather than on a specific calendar date,
in order to allow some flexibility. A specific date might make
things needlessly complicated.
By New2this on Wednesday,
November 27, 2002 - 10:44 am:
The body of our NTP letter reads as follows: "You were awarded
contract number XXXXXXXXXXX in the amount of $XXXXXXX for work
on the referenced project. In accordance with the terms of the
contract you are hereby notified to begin work. The contract
performance period will begin on December 2, 2002. Work shall
commence within five (5) calendar days and be completed within
twenty-six (26) calendar days from December 2, 2002. Please
sign, date and mail back."
This format is working well for us. It answers all the questions
(1)When does performance time start? (2)How many days before
works must commence? (3) When must job be completed?
By Susan Marie Paolini on
Wednesday, November 27, 2002 - 01:49 pm:
To our webmaster,
I think I like having "beginners" and "old-hands" questions in
the same place, rather than categorized separately.
I think many of us, even those with significant experience, are
beginners in some areas - Government contracting is a big field.
I like reading questions about areas I do not work in - often
gives an idea or an approach or thought that can translate into
my daily job.
By alexreb on Friday, November
29, 2002 - 12:46 pm:
Vern--
It really makes sense to make things less complicated. Along
those lines, what's the purpose of giving a contractor 5 or 10
days to begin work after receiving the NTP? Is just to allow
time for mobilizing to work site, or are there other reasons?
By Vern Edwards on Friday,
November 29, 2002 - 02:22 pm:
alexreb:
The main reason is to give the contractor time to organize and
mobilize.
Vern
By joel hoffman on Sunday,
December 01, 2002 - 09:45 pm:
Some more reasons.
The Government usually requires a post award ("pre-construction")conference
before allowing the Contractor to start work. Getting the
attendees together requires some time. We also require that the
Contractor obtain performance and payment bonds and provide
proof of liability and automobile insurance. This all usually
takes a week to 10 days. We don't expect this time to count
toward the performance period. happy sails! joel
By Vern Edwards on Monday,
December 02, 2002 - 09:49 am:
Joel:
Axelreb wanted to know why the government gives the contractor
five or ten days to begin work after it receives the notice to
proceed. Doesn't your agency, the Corps of Engineers, require
the contractor to present bonds and insurance certificates
before issuing the notice to proceed?
By alexreb on Monday, December
02, 2002 - 06:13 pm:
We usually require the contractor to submit other required
documents (insurance certs., schedule, superintendence
appointments, etc.) prior to or with his bonds, which are
typically due 10 days after contract award. That way we can make
a review of those documents prior to actually meeting with the
contractor. We have the NTP ready at the precon or we issue it
shortly thereafter.
We have a controversy with our engineers over the length of time
a contractor should have to begin work after issuance of the NTP.
The engineers feel such time should conincide directly with the
number of days in the performance period for mobilization. For
example, if 3 days is required to mobilize then the NTP should
require the contractor to begin work within 3 days of receipt.
On the contracting side we feel we should provide time for the
contractor to mobilize plus time for the contractor to tie up
loose ends and compelete the necessary preparations, such as,
ordering materials, organizing labor force, entering into
subcontracts, obtaining equipment or supplies, etc.
Our disagreement occurs most with contracts that have short
mobilization times (5 days or less). What's the proper gage of
time to use for determining when a contractor should start work?
By Vern Edwards on Monday,
December 02, 2002 - 07:54 pm:
axelreb:
Keep in mind that when the Commencement, Prosecution, and
Completion of Work clause requires the contractor to "commence
work," that does not necessarily mean commence work at the
jobsite. "Work" includes hiring labor, obtaining permits,
ordering materials, awarding trade subcontracts, and
transporting equipment. Just because a contractor is not working
at the jobsite doesn't mean that it has not commenced work. Do
your engineers understand that?
By alexreb on Monday, December
02, 2002 - 08:21 pm:
No. Our agency's policy is that work starts only when something
physical occurs on the site, i.e., starts when the shovel of
dirt or when ground is first broken. This may be a carry-over
from our old way of accomplishing our construction work, when
all our work was performed by non-federal contracts through
state and local sponsors (locally-awarded contracts accomplished
through city and county government). I'll check into this a bit
more because now our work is predominantly accomplished via
federal contracts.
By joel hoffman on Tuesday,
December 03, 2002 - 10:34 pm:
Vern, I just saw your post. I've been out of town, this week.
Alexreb, it's my recollection from construction contract
management training years ago that the reason that we require
the Contractor to start work within a reasonably short period
after receipt of NTP is related to historical performance
problems. When a contractor delayed the start of performance, it
often endangered satisfactory completion. It became a question
of determining whether or not the Contractor would complete the
project - at what point could one decide that the Contractor
wouldn't finish on time - when should the Government start
corrective action? So, they required performance to proceed
within a short time after NTP.
They didn't have the benefit of Primavera, network analyses or
other critical path methods to determine how long it should
logically take or know the logical activity
flow/restraints/relationships back then, to use as proof that
the Contractor had delayed too long to complete the project on
time. happy sails! joel
By joel hoffman on Tuesday,
December 03, 2002 - 10:41 pm:
Vern, in response to your question, yes - we usually allow the
Contractor a few days to obtain bonds and proof of insurance
during the period that the post award ("pre-construction")
conference is being coordinated, prior to issuance of NTP. Many
Districts issue the NTP on or about the day of the pre-con (as
long as the paperwork has been taken care of). happy sails! joel
By Vern Edwards on Tuesday,
December 03, 2002 - 11:54 pm:
Joel:
How does the Corps interpret "commence work"? Does it interpret
that phrase to mean work at the site?
Vern
By Harley Hartley on Wednesday,
December 04, 2002 - 09:57 am:
I can't answer for the entire Corps but I can answer for the
Jacksonville District. When we are doing dredging, we add a
paragraph to our specifications to say that commence work means
commence dredging because we want the contractor to get on with
it. For other kinds of construction, we don't require on-site
activity by a certain date. We do, however, review the
contractor's progress schedule and take action when on-site
activity lags behind the schedule.
By AFRetired on Wednesday,
December 04, 2002 - 03:58 pm:
Vern,
I TOTALLY agree with your comment about knowing where and how to
look things up in the FAR. It seems today that people are
growing "lazy" and trying to find the easy way out.
When I was with DoD (Go Air Force!) contracting as a
supervisor/CO I made people come to me with possible solutions
or with areas of the FAR they looked at for help before I gave
them an answer or direction. This forced them into the books.
They moaned and complained but found it very helpful when they
became the CO and had to make the decisions. Thats the way I was
taught and found it effective.
By Eric Stice on Wednesday,
December 04, 2002 - 05:54 pm:
If they ever make a movie (or TV sitcom) about this chatboard,
Vern and Joel will have to be played by Tony Randall and Jack
Klugman (anyone remember what show I am jokingly referring
to???)
By Eric Stice on Wednesday,
December 04, 2002 - 06:02 pm:
By the way, just KIDDING with that friendly jab at these two
very experienced, knowledgeable, and helpful members of our
profession. I really do love to follow the various discussions
on this site, and Vern in particular helped me directly via
email with a very specific yet esoteric question, responding
almost immediately even when he was on the road. And I agree
with Susan above about keeping the "experienced" and "novice"
participants in the same discussion... that way any readers can
learn about the issue as well as offer their own experiencial
advice for all levels of participants to see.
By joel hoffman on Thursday,
December 05, 2002 - 09:26 am:
Here is the 'official' COE policy, From Engineer Pamphlet
415-1-260 "Resident Engineer's Management Guide". I also checked
a recent COE training manual for their "Construction Contract
Administration" course, but it didn't cover the topic.
6-4 b. (1) notice to proceed
"...the day following acknowledgement of the NTP by the
contractor is considered the first day of the contract." (when
this EP was issued - 6 Dec 1990 - the common method was to
"...deliver by certified mail, return receipt requested.")
6-4-c. "Commencement of work. ...For the record, the resident
engineer informs the district, in writing, of the date on which
the contractor begins work on the jobsite. Should the contractor
fail to commence the work, as provided for in the contract, the
resident engineer immediately files a report giving all
essential facts to the contracting officer." happy sails! joel
By formerfed on Thursday,
December 05, 2002 - 09:42 am:
AFRetired,
Too bad more CO's don't take your approach. The disturbing thing
I see over the last ten years is a move to "ask the lawyer." For
some reason, lawyers are more receptive to research and answer
questions where the 1102 haven't even done the basic research
themselves. I'm not sure why 1102's want to turn to the lawyer
without checking themselves first. But the bottom line in many
agencies is the lawyer is the procurement expert and the one
senior mangers and program officials turn to first. I think that
happened only due to the lack of personal knowledge of the 1102.
By Vern Edwards on Thursday,
December 05, 2002 - 09:47 am:
Joel:
I haven't found any case law, but I think that it would be
difficult to legitimately find a contractor in breach merely
because it didn't commence work at the jobsite within the time
specified in the Commencement, Prosecution and Completion of
Work clause, unless the contract stipulated that "work" meant
"work at the jobsite."
By Vern Edwards on Thursday,
December 05, 2002 - 09:56 am:
formerfed and AFRetired:
I just spent two days teaching a procurement regulations course
to an agency's contracting officers. Most of them had simply
never read the regs and were often startled to find out what
they said. These were warranted people!
Some of them claimed that although they didn't know what the
regs said, they knew how to find answers in the regs when they
needed them. I was ready for that response and gave them some
questions that required them to find the answers in the regs.
Many of them were shocked at how hard it can be to find things
if you are not already familiar with the organization and
content of the regs. Indexes and on-line searches are not always
helpful.
Moreover, even if you know what the regs say, you may not know
what they mean. Consider the discussion we've been having: what
does "work" mean?
Too many contracting people go to their supervisors and lawyers
for answers before doing their own research because they think
and act like clerks, instead of acquisition professionals.
By Anon2U on Thursday, December
05, 2002 - 11:38 am:
The longer that I am in our contracting office the more I
believe that COs need an advanced degree but it needs to be a
Law degree, not an MBA. I say this because the program office
technical experts, who have much more time to conduct market
research, have usually already reviewed all the vendors,
products and prices and have made up their minds that only their
chosen product or vendor will suffice. They are the ones who
need MBAs. We in contracting are involved in making sure it is
legal and making sure the decision can hold up at GAO and in
court. As evidenced at this web site, we also debate the legal
definitions of words, phrases, and paragraphs.
By alexreb on Thursday,
December 05, 2002 - 01:18 pm:
Here's what my agency's training manual says concerning work
commencement:
"Bona Fide Work Commencement
A. Must be genuine effort on part of contractor in discharging
one or more items of work.
B. Placing of orders for materials or delivery of equipment on
site does not, alone, constitute work start.
C. Neither does taking a spade and turning a few shovels of dirt
satisfy as a bona fide work start."
On the other subject, I don't find reading the regs to be that
difficult. It's like Vern says, it's the research in finding the
answers that's difficult. Sometimes [when performing research]
you exhaust all avenues and must find the answers elsewhere, or
at least ask where to find the answers. I find Wifcon to be an
aid in that category.
On a somewhat related matter I am finding that there are a lot
of procurement issues that only seasoned veterans can provide
adequate explanation of. For example, Joel begins his 12/3 10:34
p.m. response with "...it's my recollection from construction
contract management training years ago". The historical
information Joel presents in his message is historical
information that I was never aware of. I've been involved in
federal construction contracts for almost 15 yrs. and never new
the reasons behind what that time was for. I recently had a
similar experience talking with a senior attorney with our
agency. She explained the history of a procurement law to me to
help me better understand a point.
Many of our procurment regulations have gone through an
evolution process and there are only a few veterans out there
that realize this. I've have always been the type of person that
understands things better when I know the whole story. And more
often than naught, the whole story is usually not presented in
the training courses I attend. I guess that's why I like the
Cibinic & Nash books. They provide the reader the background of
how clauses came to be in their present state. Maybe we need a
new 1102 core course ["History of Procurement"] to give us a
better understanding of the evolutionary changes that have taken
place in federal procuement.
By formerfed on Thursday,
December 05, 2002 - 01:24 pm:
Anon2U,
Why not save the government money by getting rid of 1102's and
give lawyers warrants? Therefore we eliminate the middle person
(the CO).
Seriously a good CO provides a lot more than just making sure an
action is legal. They bring a whole lot of expertise and talent
to the acquisition process. I've seen very few program offices
that don't want a good CO in on an acquisition from the very
start. In fact good CO's often complain that program offices
start seeking their advice and help on more than acquisition
matters.
By AFRetired on Thursday,
December 05, 2002 - 01:55 pm:
Alexreb
You bring a good point to the knowledge, experience and training
arena. As more courses are directed to being conducted via the
Internet, we will be losing vital classroom interactions and
sharing of experiences. I just completed an E-Commerce course
on-line and found it not as enjoyable because classroom
interaction is way better and open than chatroom talk.
Because experienced CO's are disappearing I think there is a
move on to rely more on the legal interpetations which may not
always make the most "business sense".
I have nothing personally against lawyers, but I think we are in
an era where we have so many laws and interpretations that they
are getting in the way of efficiently conducting business.
Look at the question on this discussion. We give an NTP to show
what period of time the contractor has available to accomplish
the work. So what if the contractor doesn't start on the site
the day of or the day after the NTP. Is the work accomplished by
the end of the period? If the completion date is questionable by
just one day, is it worth arguing or disputing?
By al on Thursday, December 05,
2002 - 02:05 pm:
This is in response to Alexreb's comments about knowing and
learning the history and evolution of the law, regs., etc. While
I do not disagree with what he says, and it is true that knowing
the whole background of how and why a regulation got to where
and how it is can be helpful, it can be something of a two-edged
sword.
Sometimes the people with long experience know what the rules
were, and focus too much on that, even if the rules have been
changed. When I first became involved in contracting it was just
after the 1997 re-write of FAR Part 15, and toward the end of
most of the 1980's & 1990's "reform" in the laws and
regulations. Sometimes this made it easier for me to understand
the rules as they were then, because I did not have a lot of
knowledge of how the rules used to be cluttering up my mind and
trying to lead me astray.
Ideally, it's best to know all the old rules and history, as
well as the current rules. But it is more important, generally,
to know how the rules ARE, rather than how the rules WERE.
By Anon2U on Thursday, December
05, 2002 - 02:09 pm:
Formerfed,
I think it all depends on what agency you are with. If all the
program managers at your agency think they are little emperors,
then they are not interested in what someone outside thier
department thinks. COs are viewed as getting in the way with all
those regulations, laws and social programs.
Some programs are staffed for over a year, decisions made, and
then the order sent to contracting. They don't want to hear how
it wasn't done right, they want you to just make it work. Yes, a
CO should have been included in the process but they are not.
I have friends who left my agency trying to find greener
pastures and found it as bad or worse at the new agency. It
would seem that the situation you describe is the execption and
not the rule.
I used to be in the AF active duty and I know that it was a lot
different in DoD. But they always talk of downsizing the DoD
1102s. I guess they want to make DoD as bad as the rest of the
government.
By AnotherAnon on Thursday,
December 05, 2002 - 02:17 pm:
Webmaster,
Returning to an earlier point in the thread (your question of
11/26)... I agree with previous posts that it's a good idea to
keep "novice" and "experienced" participants in the same
discussion. I have seen some (apparently) simple questions
posted here which, through the input of experienced respondents,
evolved into very interesting and thought-provoking debates
about the finer points of contracting. It would be a shame if
these debates, which are in some ways the most valuable part of
the forum, were buried in a topic labeled "Contracts for
Beginners."
By Eric Stice on Thursday,
December 05, 2002 - 02:28 pm:
Regarding AFRetired's last comment on whether a day makes an
arguable difference... Probably only where there are substantial
liquidated damages (significant daily rate) stipulated in the
contract, and presumably the L.D. rate has been properly
determined by the detrimental impact to the Government for
delays in completion. When a contractor faces a delay situation
that incurs liquidated damages, it will often scramble for any
reasons to mitigate and excuse the L.D. amount, and sometimes
that may come down to "splitting hairs" over the number of days
in the required performance period.
By Vern Edwards on Thursday,
December 05, 2002 - 05:54 pm:
Regarding the notice to proceed issue, think about it this way:
The default clause for fixed-price construction contracts, FAR §
52.249-10, paragraph (a), states only two bases for the T for D
of a construction contract: (1) refusal or failure to prosecute
the work "with the diligence that will insure its completion
within the time specified," and (2) failure to complete the work
on time. Now suppose that the contract requires the contractor
to "commence work" within five days after receipt of the notice
to proceed, but that by the tenth day the contractor has not yet
begun working at the site, although it has been ordering
materials, hiring workers, awarding subcontracts and arranging
for transport of earth moving equipment. Suppose further, that
based on the progress schedule the contractor submitted to the
contracting officer in accordance with the clause at FAR §
52.236-15, Schedules for Construction Contracts (APR 1984), the
contractor is not behind schedule.
Would any contracting officer in his or her right mind terminate
this contractor for default merely because it has not started
working at the jobsite?
By AFRetired on Thursday,
December 05, 2002 - 06:08 pm:
Eric, That is the point I was making on the completion date. The
CO/Government has to evalaute the cost of "splitting hairs" when
the actual completion date may be over the allowed date by only
one day. If you look at it based on law, yes they were late they
owe us, but a business decision may be; yes they were late but
it will cost us $2,000 in overhead to retrieve $1,500 in LD's
so, not assessing LD's is in the best interest of the
Government.
Vern,
I like your last statement. I
have known some people that definitely would try to T4D
contractors for not starting work at the job site. I've also
known some go as far as draft a Show Cause notice for the CO to
sign!
By Vern Edwards on Thursday,
December 05, 2002 - 06:25 pm:
Concerning Anon2U's comments about contracting officers needing
a law degree:
I don't think that either a law degree or an MBA will
necessarily prepare a person to do contracting officer work
well, although neither would necessarily be a drawback.
Degree credentials show that a person is good at going to
school, which requires the ability to read, write, calculate and
communicate in certain ways. A degree presumably shows that a
person knows some things to some degree, but not necessarily all
things that a person must know, and not necessarily all things
as well as they ought to know them.
Law school teaches a person to think in a certain way about the
law, while also teaching them about what some laws say. This
knowledge would certainly be of some help to a contracting
officer, but in and of itself it would not be enough help to
enable a person to do well as a contracting officer in all
things which a contracting officer must do.
An MBA degree presumably teaches a person some of the knowledge
and skills that he or she would need to manage some kind of
business--knowledge about business leadership and about
financing, marketing and production. But planning,
negotiatiating and administering a variety of government
contracts awarded under the FAR is not the same as managing a
business. In order to do contracting work well, a person must
possess a wide range of knowledge and possess a variety of
traits and skills that do not necessarily come with a degree of
any specific kind.
I find that too many contracting people, with and without
degrees, do not know the FAR well and do not: (a) read deeply
and analytically, (b) reason well, (c) write clearly or
persuasively, or (d) design contracting processes that are
effective and efficient.
It may be that a degree in philosophy, history, economics, or
political science would help a person do those things as well as
a person with a law degree or an MBA, maybe better. And some
people will do those things well with no degree at all.
Bill Gates did not graduate from college.
By Anon2U on Thursday, December
05, 2002 - 08:59 pm:
Vern, you are right about needing or not needing college
depending on the individual but we have had education
requirements mandated on the 1102 field that require a degree
and 24 hours of business credit in order to get promoted. There
has been waivers for a few favored personnel but not much
guarantee any one person will have theirs approved. (no sour
grapes, I have my MBA and warrant)
I think congress should have mandated a certification program
instead of the degree requirement. It should have covered the
FAR, appropriations law, pertinent labor laws and other basic
regulations and laws. NCMA already has a body of knowledge and
certifications. This would go a long way to ensuring COs have
some understanding of their jobs. If you cannot pass the exam,
you cannot get your warrant to be a CO. Lawyers have a BAR exam
for practicing law so why not CO practicing contracting. Most of
the knowledge is already out there in various DAU or commercial
contracting classes.
I had to score high on a knowledge test in the Air Force in
order to get promoted. The more you knew, the faster the
promotions. It should be that way in the Civilian Service as
well.
By Vern Edwards on Thursday,
December 05, 2002 - 10:08 pm:
Anon2U:
I agree with you that a person should have to pass a written
exam (essay-type, no multiple choice or true and false
questions) in order to be eligible for CO appointment. I think
that COs should also have to earn a certain number of
educational credits annually.
I'm surprised (but happy) to hear that you had to pass a test to
get promoted. I didn't think the civil service rules permitted
agencies to establish such test requirements. Is that an Air
Force-wide policy, or was it a local policy within your command?
By Anon2U on Friday, December
06, 2002 - 01:15 pm:
Vern, I was active duty in the AF before I retired and went
civil service. I meant that it is too bad they don't have
knowledge tests for GS workers. Sorry for the confusion. |