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Released 06/26/06

FAR 15.403-4 Requiring cost or pricing data (10 U.S.C. 2306a and 41 U.S.C. 254b).

(a)(1) The contracting officer must obtain cost or pricing data only if the contracting officer concludes that none of the exceptions in 15.403-1(b) applies. However, if the contracting officer has sufficient information available to determine price reasonableness, then the contracting officer should consider requesting a waiver under the exception at 15.403-1(b)(4). The threshold for obtaining cost or pricing data is $550,000. Unless an exception applies, cost or pricing data are required before accomplishing any of the following actions expected to exceed the current threshold or, for existing contracts, the threshold specified in the contract:

(i) The award of any negotiated contract (except for undefinitized actions such as letter contracts).

(ii) The award of a subcontract at any tier, if the contractor and each higher-tier subcontractor were required to submit cost or pricing data (but see waivers at 15.403-1(c)(4)).

(iii) The modification of any sealed bid or negotiated contract (whether or not cost or pricing data were initially required) or any subcontract covered by paragraph (a)(1)(ii) of this subsection. Price adjustment amounts must consider both increases and decreases (e.g., a $200,000 modification resulting from a reduction of $400,000 and an increase of $200,000 is a pricing adjustment exceeding $550,000). This requirement does not apply when unrelated and separately priced changes for which cost or pricing data would not otherwise be required are included for administrative convenience in the same modification. Negotiated final pricing actions (such as termination settlements and total final price agreements for fixed-price incentive and redeterminable contracts) are contract modifications requiring cost or pricing data if -

(A) The total final price agreement for such settlements or agreements exceeds the pertinent threshold set forth at paragraph (a)(1) of this subsection; or

(B) The partial termination settlement plus the estimate to complete the continued portion of the contract exceeds the pertinent threshold set forth at paragraph (a)(1) of this subsection (see 49.105(c)(15)).

(2) Unless prohibited because an exception at 15.403-1(b) applies, the head of the contracting activity, without power of delegation, may authorize the contracting officer to obtain cost or pricing data for pricing actions below the pertinent threshold in paragraph (a)(1) of this subsection, provided the action exceeds the simplified acquisition threshold. The head of the contracting activity shall justify the requirement for cost or pricing data. The documentation shall include a written finding that cost or pricing data are necessary to determine whether the price is fair and reasonable and the facts supporting that finding.

(b) When cost or pricing data are required, the contracting officer shall require the contractor or prospective contractor to submit to the contracting officer (and to have any subcontractor or prospective subcontractor submit to the prime contractor or appropriate subcontractor tier) the following in support of any proposal:

(1) The cost or pricing data.

(2) A certificate of current cost or pricing data, in the format specified in 15.406-2, certifying that to the best of its knowledge and belief, the cost or pricing data were accurate, complete, and current as of the date of agreement on price or, if applicable, an earlier date agreed upon between the parties that is as close as practicable to the date of agreement on price.

(c) If cost or pricing data are requested and submitted by an offeror, but an exception is later found to apply, the data must not be considered cost or pricing data as defined in 2.101 and must not be certified in accordance with 15.406-2.

(d) The requirements of this subsection also apply to contracts entered into by an agency on behalf of a foreign government. [FAC 97-2, 62 FR 51224, 9/30/97, effective 10/10/97; FAC 97-20, 65 FR 60542, 10/11/2000, effective 10/11/2000; FAC 97-22, 66 FR 2116, 1/10/2001, effective 3/12/2001; Delay of effective date, 66 FR 14259, 3/9/2001, effective 5/11/2001]


Special Note & Requirement for Anodized Parts

Acceptable anodizing for Type I, II or III, Class 2, is the outcome of processes that are controlled in accordance with strict guidelines imposed by the plating dye/chemical supplier.  These processes shall be closely monitored, inspected and checked during each step of the anodizing process by the plating supplier. 

DRS TEM expects the machine shop to verify, confirm and validate that the COC and anodizing processes of the sub-tier suppliers meet the requirements as called out on the PO and drawings.  DRS TEM reserves the right to audit all sub-tier suppliers.

DRS TEM requires a certificate of conformance (COC) from the plating supplier and supporting documentation for the anodizing when requested.  A COC shall be provided for each lot supplied by the machine shop to DRS TEM.  The COC from the plating supplier shall be attached to the COC from the machine shop.  All COC's shall be signed by a company designated official responsible for Product Quality.

The other note that has been added into NWP is entitled 7.2.2 for 7.1.2 Anodize and needs to be included on ALL RFQ's and PO's for metal fab-to-print parts with anodize finish that are generated from NWP and by the proposal group.  

 

Substitution of Finish 7.2.2 in lieu of 7.1.2

For any metal fab-to-print drawing that calls out "Finish 7.1.2 of MIL-STD-171, dyed black. Dimensional limits apply after finish", the supplier may substitute "Finish 7.2.2 of MIL-STD-171, dyed black. Dimensional limits apply after finish." without having to submit a DRS TEM Supplier Request for Deviation/Waiver form.


**Leadfree components are acceptable EXCEPT for Ball Grid Arrays (BGA) and Fine Pitch (20 mil or less).  MFR-052 will be added to all BGA and Fine Pitch parts which states:

"MFR-052 - MUST BE TIN/LEAD ONLY.  THERE ARE NO APPROVED SUBSTITUTES".

Note the exception of gold finishes, which must be labeled and approved on a part by part basis prior to award of Purchase Order.  All Responses to RFQ's must state that the part has a gold finish.


                 
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