of military personnel and ROTC Scholarship Cadets at civilian institutions; dependent school teachers contracts; and modifications to any of the foregoing;

(2) Contracts subject to the provisions of AR 715-6 (such contracts shall be reviewed in accordance therewith); and

(3) Modifications for funding purposes which do not increase the total price of a contract beyond the amount contemplated in the contract previously reviewed by the board.

[37 FR 25921, Dec. 6, 1972]

§ 591.403-52 Review of contracts and modifications.

(a) Except as stated in paragraph (e) of this section, each proposed contract or modification of $10,000 or more, whether advertised or negotiated, shall be reviewed by Boards of Awards (see § 591.450-2). If approval of award at a higher level is required, the review shall be made before seeking approval.

(b) The purpose of the review shall be to insure that

(1) Applicable provisions of ASPR, APP, and other procedural requirements are satisfied, e.g. § 3.102(c) of this title;

(2) The proposed action represents a sound business judgment from the Government's viewpoint; and

(3) The proposed contract or modification is legally sufficient.

(c) As a minimum the review shall cover the following four major aspects—

(1) The procurement documents themselves, e.g. clarity; consistency; completeness; use of required forms, clauses, and specifications;

(2) The procurement method, e.g. advertising, negotiation, completion, sole source, suitability for small business or labor surplus area set-aside, adherence to advance procurement (AP) plan or specific guidance from higher authority;

(3) Support for actions to be taken, e.g. existence of proper authority for use of negotiation and type of contract, if applicable; existence of Government estimate of price; preaward survey; adequacy of any justifications or determinations required of the contracting officer; need for technical data; adequacy of pricing data; inputs from members of the contracting officer's team; necessity for deviations from ASPR or APP; and

(4) Comparison with alternatives, e.g. how else could the procurement objective be accomplished, what are the relative advantages and disadvantages of each.

58-114-76- -3

(d) The depth of review of a contract or modification and the number of Board members participating in the review may vary to the extent determined by the Board Chairman.

(e) The following need not be reviewed by Boards of Awards

(1) Contracts for utilities services (see § 591.450-6), contracts for employing personnel in Army dependent schools, contracts for contract surgeons, off-duty academic instruction contracts, educational service agreements; and modifications thereto;

(2) Contracts subject to the provisions of AR 715-6 [such contracts shall be reviewed in accordance therewith]; and

(3) Modifications for funding purposes which do not increase the total price of a contract beyond the amount contemplated in the contract previously reviewed by the Board.

[34 F.R. 9491, June 18, 1969, as amended at 37 FR 7084, Apr. 8, 1972]

§ 591.403-53 Contracts and modifications subject to approval.

If approval of a contract or modification by any officer or official of the Department of the Army other than the contracting officer is required (see § 591.450)

(a) The Approval of Contract clause in § 7.105-2 of this title shall be used;

(b) All changes and deletions shall have been made before approval is requested; and

(c) The contract or modification shall not be binding upon the Government until so approved, even though signed by the contractor and the contracting officer.

§ 591.403-54 Departmental preaward review and secretarial notation.

(a) Proposed awards to be reviewed at Department of the Army level for notation by the office of the Assistant Secretary of the Army (Installations and Logistics) shall consist of-

(1) Procurements determined by head of procuring activity to be of such an intricate, complex, or controversial nature that the proposed procurement should warrant attention of the Secretary;

(2) Procurements determined by the Commanding Generals, U.S. Army Materiel Command or U.S. Continental Army Command or their designees to be of such importance as to warrant attention of the Secretary; and

(3) Procurements which, from time to time, the Secretary may specifically request to be forwarded for review and notation.

(b) Proposed awards to be reviewed at Department of the Army level for notation by the office of the Assistant Secretary of the Army (Research and Development) shall consist of

(1) Procurements funded from RDTE appropriations which are determined by the head of procuring activity to be of such an intricate, complex, or controversial nature that the proposed procurement should warrant attention of the Secretary;

(2) Procurements determined by the Commanding Generals, U.S. Army Materiel Command or other procuring activities or their designees to be of such importance as to warrant attention of the Secretary; and

(3) Procurements which, from time to time, the Secretary may specifically request to be forwarded for review and notation.

(c) Information relative to proposed procurements forwarded for Departmental preaward review and Secretarial notation shall be prepared.

(d) Submissions for postaward review and notation as may be directed from time to time shall be prepared. [34 F.R. 9491, June 18, 1969, as amended at 86 F.R. 8943, May 15, 1971]

§ 591.403-55 Procurements in support of Southeast Asia (SEA).

(a) All procurements in support of Southeast Asia (SEA) which propose a shift from a competitive to a noncompetitive basis shall be approved in advance at the following levels (exempt report, paragraph 7-2b AR 335–15)—

(1) From $10,000 to $25,000 at a level higher than the contracting officer;

(2) From $25,000 to $200,000 at a level higher than the contracting officer, after review by an appropriate Board;

(3) From $200,000 to $1 million by the head of procuring activity, his deputy, or a principal assistant responsible for procurement, after review by an appropriate Board; and

(4) Over $1 million by the Assistant Secretary of Army (Installations and Logistics) after approval recommendation by the appropriate head of procuring activity.

(b) Any item for which a procurement package exists, whether or not previously purchased competitively but which,

except for urgency, can now be purchased competitively, falls within the criteria of a shift from a competitive to a noncompetitive basis.

(c) Requests for approval of Assistant Secretary of the Army (Installations and Logistics) shall be concise and specific but in sufficient detail to demonstrate clearly the need to use noncompetitive procurement. As a minimum the following information shall be submitted by letter or message, marked "For Official Use Only," or classified higher, as appropriate, through the Deputy Chief of Staff for Logistics, Department of the Army, to the addressee in § 591.150(b) (6) of this title

(1) Proposed noncompetitive award. (i) Description and quantity of supplies, work, or services being procured;

(ii) Estimated unit prices, total price, and profit (for FPI, CPIF, and CPFF contract types, furnish appropriate cost, profit, and total price data);

(iii) Name and address of proposed contractor;

(iv) Required delivery schedule included in proposed contract;

(v) Most favorable delivery schedule obtainable under competitive procurement (may be estimated based upon previous experience); and

(vi) Type of contract and negotiation authority.

(2) Current or previous (within 5 years) contractors.

(i) Name and address of contractors; (ii) Quantity;

(iii) Unit price, total price;

(iv) First and last dates of production, highest monthly delivery requirements; and

(v) If currently producing, discussion of feasibility of exercising increase options, if any, plus feasibility and estimated cost of accelerating deliveries. (3) Requirements

analysis.

and

production

(i) Known requirements by month broken down by Army-SEA, MIPR-SEA, and other service, showing a beginning position;

(ii) Delivery schedule by month for all existing contracts, on a cumulative basis with a beginning position;

(iii) Net deficit between total requirements and monthly contractual deliveries;

(iv) Proposed delivery schedule compared with deficit;

(v) Quantities on MIPR from other services clearly identified; and

(vi) Quantities above program authorization clearly identified and adequately justified if normal procurement factor is exceeded.

(4) Brief narrative justification for shift from competitive to noncompetitive procurement.

(5) Brief narrative on why requirement cannot be met by diversion of present assets or diversion of material to be delivered in the same time frame required.

(6) Assets versus Program and Distributive Requirements in SEA.

(7) If Government property is to be furnished, include description, unit cost, source, and how procured.

(d) To permit timely response to requests for SEA procurement information, each purchasing office shall maintain a register of noncompetitive procurements approved pursuant to the foregoing instructions which shall show(1) Item description; (2) Quantity;

(3) Total price;

(4) Contractor;

(5) Approval authority; and
(6) Date approved.

[34 F.R. 9491, June 18, 1969, as amended at 85 F.R. 8555, June 3, 1970]

§ 591.405 Selection, appointment, and termination of appointment of contracting officers.

(a) In addition to the individuals named in § 1-405 of this title, the following individuals, or the designees of the individuals in subparagraph (1), (2), or (3) of this paragraph may select, appoint, and terminate the appointment of contracting officers:

(1) The Under Secretary of the Army; (2) The Assistant Secretary of the Army (Installations and Logistics);

(3) The Deputy or Assistant Deputy for Materiel Acquisition, Office of the Assistant Secretary of the Army (Installations and Logistics);

(4) The Head of Procuring Activity, his deputy, or principal assistant responsible for procurement;

(b) The individuals named in paragraph (a) (4) through (9) of this section shall exercise this authority without power of redelegation, except that they may redelegate to chiefs of purchasing offices under their jurisdiction the authority to appoint ordering officers (see 591.452). Where chiefs of purchasing offices are contracting officers, such redelegation shall be made by entry on their Certificates of Appointment, DD Form 1539.

(c) It is Department of the Army policy that only responsible U.S. citizens, under adequate control of the U.S. Government be appointed contracting or ordering officers.

(d) It is Department of the Army policy that the procurement mission assigned an installation/activity be the responsibility of a central purchasing office at the installation/activity. The number of contracting officers appointed shall be kept to the minimum essential for efficient operation.

(e) Organizational charts of each Army purchasing office are maintained on file in the office of the Deputy for Materiel Acquisition, Office of the Assistant Secretary of the Army (Installations and Logistics). Accordingly, whenever the organization of an Army purchasing office is changed, one copy of the revised organizational chart shall be forwarded the addressee in § 591.150(b) (6) (see 591.150 (d)).

[35 F.R. 4124, Mar. 6, 1970, as amended at 36 FR. 20677, Oct. 28, 1971; 37 FR 7084, Apr. 8, 1972; 37 FR 25921, Dec. 6, 1972]

§ 591.406 Contract administration functions.

§ 591.406-50 Contracting officers' representatives (COR).

(a) A contracting officer may select and designate any Government employee, military or civilian, who is a U.S. citizen, to act as his authorized representative in administering a contract which is not assigned for administration to DCA8, subject to the authority and limitations in § 591.406-51. In selecting an individual for designation as his authorized representative, the contracting officer shall insure that the individual possesses qualifications and experience commensurate with the authorities with which he is to be empowered.

(b) Normally a COR shall be designated by name and position title. When it is not feasible to designate a COR by name and position title, a designation

may be made by position title only, provided the designation is clearly understandable to all concerned.

(c) Each designation of a COR shall be in writing and shall clearly define the scope and limitations of his authority. Changes in the scope and limitations of authority may be made either by issuance of a new designation or by an amendment to the existent designation. When one COR is to act for the contracting officer on more than one contract, separate designations shall be issued for each contract.

(d) A designation of a COR shall remain in effect through the life of the contract concerned unless

(1) Sooner revoked by the contracting officer or his successor; or

(2) Revoked by the reassignment of the individual designated.

(e) Nothing in this section shall be construed as

(1) Requiring individuals responsible for accomplishment of broad functions of contract administration, such as engineering evaluation, testing, and inspection to be designated COR's; or

(2) Authorizing COR's to initiate procurement actions by use of imprest funds, blanket purchase agreements, or purchase orders, or to place calls or delivery orders under basic agreements, basic ordering agreements, or indefinite delivery type contracts.

§ 591.406-51 Authority and limitations.

(a) A COR may not be empowered to award, agree to, or sign any contract or modification thereto, or in any way to obligate the payment of money by the Government; except that

(1) A COR may be empowered to issue change orders under the Changes clause in contracts for supplies and services and under the Changes (Standard Form 23) or subparagraph (a) of the Changes and Changed Conditions (Standard Form 19) clauses in construction contracts, provided such change orders do not involve a change in unit price, total contract price, quantity, quality, or delivery schedule; and

(2) A COR may be empowered to issue or change shipping and marking instructions which may affect the unit or total contract price within the limits of funding authority certified to him, provided such shipping and marketing instructions or changes thereto in no way change the total production quantity in the contract delivery schedule, and pro

vided further that the COR furnishes copy of each document issuing or changing shipping and marking instructions to the contracting officer concurrently with its release to the contractor.

(b) Within the limitations in paragraph (a) of this section, a COR may be empowered to take any actions under a contract which could lawfully be taken by the contracting officer except where the terms of the contract itself specifically prohibit a COR from exercising such authority.

(c) A COR may not be authorized to initiate procurement actions by use of imprest funds, blanket purchase agreements, or other small purchase methods, nor to place calls or delivery orders under basic agreements, basic ordering agreements, or indefinite delivery type contracts.

[35 F.R. 8555, June 3, 1970]

§ 591.406-52 Terminations of designations.

Terminations of designations of COR's shall be in writing and shall set forth the date upon which the termination is effective.

§ 591.406-53

Distribution and acknowledgement of designations.

(a) The original and one copy of each COR designation shall be furnished the COR who shall be required to acknowledge its receipt on the original thereof and return it to the contracting officer for retention in the appropriate contract file.

(b) Two copies of each designation shall be furnished the contractor concerned by the contracting officer. The contractor shall be required to acknowledge receipt on one copy and return it for retention in the appropriate contract file.

(c) Copies of each designation shall be furnished by the contracting officer to each contract administration office concerned and to any other Government official having a need therefor.

(d) Changes in designations and terminations of designations shall be distributed in the same manner and acknowledgment of receipt obtained from COR's and contractors for retention in the appropriate contract file.

§ 591.406-54 Maintenance of records.

(a) Contracting officers shall instruct COR's as to the type of records they shall maintain and the distribution thereof.

(b) If the designation of a COR is revoked for any reason before completion of the contract concerned, the COR shall turn over his records to the successor COR or forward his records to the contracting officer, as instructed by the contracting officer.

(c) When a contract is completed, the COR shall forward all records maintained by him to the contracting officer for retention in the appropriate contract file.

§ 591.450 Approval of awards of contracts and modifications.

§ 591.450-1 By contracting officers.

Except as prescribed in ASPR or in §§ 591.403-52, 591.403-55, and 591.450-3 through 591.450-11, contracting officers may award contracts and modifications without approval of award by higher authority, subject to limitations in their Certificates of Appointment and to limitations which may otherwise be imposed by the cognizant head of procuring activity. Contracting officers shall insure that contracts and modifications have been reviewed by Boards of Awards in accordance with § 591.403-52 prior to making awards.

[35 F.R. 8555, June 3, 1970, as amended at 37 FR 25921, Dec. 6, 1972]

§ 591.450-2 [Reserved] $ 591.450-3

services.

Personal and professional

(a) Statutory provisions (see § 22.201 of this title and § 612.205 of this chapter) require Secretarial action before an award may be made of certain contracts for the temporary or intermittent services of experts, consultants, or stenographic reporters. Procedures for submitting requests for Secretarial action are set forth in § 612.206 of this chapter. (b) The Assistant Secretary of the Army (Installations and Logistics) normally makes annual determinations and findings required by statute and delegates authority to approve awards of contracts for the following services to designated heads of procuring activities, the delegation of authority being published in a Department of the Army Circular in the 715-2 series

(1) Personal services to be performed outside the United States of experts and consultants in the fields of radio announcing in Asian languages, geodetics, anthropology and chemical analysis;

(2) Stenographic reporting services, where the services of qualified Govern

ment personnel are not available, in connection with

(i) Functions of The Inspectors General,

(ii) Hearings before claims and appeals board of procuring activities,

(iii) Hearings in support of interference aspects of patent prosecution, and (iv) Hearings in connection with agency Civil Service appeals and grievances;

(3) Personal services of actors, narrators, and other technical and professional personnel necessary in connection with motion pictures or television productions;

(4) Personal services of experts or consultants in the field of law to be performed outside the United States; and

(5) Personal services of instructors and translators in special purpose foreign languages and dialects.

(c) When a head of procuring activity has been authorized to approve an award of a contract for one or more of the above services, submission for Secretarial action before award is not required. [34 F.R. 9491, June 18, 1969, as amended at 36 F.R. 20677, Oct. 28, 1971]

§ 591.450-4 Construction or rehabilitation of facilities, and repairs and utilities.

Awards of contracts and modifications thereto for construction or rehabilitation of facilities, and repairs and utilities do not require approval of award by higher authority, unless otherwise required by the head of procuring activity, except for

contracts

(a) Cost-plus-a-fixed-fee which exceed $25,000 (see § 18.112 of this title);

(b) Concurrent firm fixed-price and cost-type construction contracts (see § 18.114 of this title); and

(c) Construction contracts with design architect-engineers (see § 18.115 of this

title).