Have you noticed that the scopes of work in recent government solicitations are increasing in size? Many services and products are all part of one request for proposal. This can be considered good or bad. Requirements once performed by separate contract vehicles may be consolidated under only one. As a result, teaming is becoming more popular and necessary, especially among qualified government contractors. For many companies who are regularly too small to win or perform these large contracts alone, teaming has become a fundamental part of their strategic planning. A successful prime/subcontractor partnership can be as rewarding as a successful contractor/government relationship, and it can be a great way to enter into the market successfully.
It seems with the shift of multiple contract vehicles to consolidated ones, the government is promoting teaming arrangements. Not only does it help them reduce costs, it streamlines the communication and project management. The prime contractor is customarily the liaison for the team which reduces the workload for the government contracting team.
Teaming - Defined
FAR Subpart 9.6- Contractor Team Arrangements defines the term "Team Arrangement" (i.e., teaming) to mean:
(1) Two or more companies form a partnership or joint venture to act as a potential prime contractor; or
(2) A potential prime contractor agrees with one or more other companies to have them act as its subcontractors under a specified Government contract or acquisition program.
9.602 - Contractor team arrangements may be desirable from both a Government and industry standpoint in order to enable the companies involved to--
Complement each other's unique capabilities; and Offer the Government the best combination of performance, cost, and delivery for the system or product being acquired.
Companies normally form team arrangements before submitting an offer. They may enter into an arrangement later in the acquisition process, however, only after a contract has been awarded.
9.603 - The government will recognize the integrity and validity of contractor team arrangements, provided the arrangements are identified and company relationships are fully disclosed in an offer, or, for arrangements entered into after submission of an offer, before the arrangement becomes effective.
The above FAR provisions can be interpreted to mean teaming is encouraged when it is in the best interest of all parties.
The most familiar type of a teaming arrangement is a prime contractor/ subcontractor partnership. The prime/sub approach works well for both parties as long as the roles and responsibilities are clearly defined. In all cases, the prime contractor is in control and the subcontractor must follow this structure.
Usually prime contractors select subcontractors and make them a part of their proposals. A subcontractor can often be a key selling point in a prime contractor's proposal, and this should be used in negotiating the teaming agreement.
What's in a Teaming Agreement
When entering into a teaming agreement, your company should consider the following:
1. Is the subcontractor exclusively with the prime?
- If so, is this in your best interest? Or, can the subcontractor be a part of other competitor's proposals? This is a very important clause depending on the type of contract vehicle and the volume of business associated with the clause. Some teaming agreements may prohibit you to execute teaming agreements with other prime contractors prior to award. This could hurt your competitive chances of winning.
2. Does this prime offer the best teaming solution for the requirement?
3. Is the subcontractor part of a minimum guarantee of revenue?
4. What are the performance clauses?
5. Will the subcontractor be required to participate in negotiations with the government?
6. What is the pricing structure for the contract? Is it cost plus, firm fixed price or time and materials? How and when will the subcontractor be paid?
7. Are you the only subcontractor providing the service/product? If not, how will the work be awarded? Will your company have first right of refusal?
8. What FAR’s are passed on to the subcontractor?
9 What is the scope of work and has your company been provided with terms and conditions related to your service/product offerings?
If you are new to the government market, try to become a team member. Subcontracting is a great introduction to the government market. It is also a great way to build the experience needed to become a competitive government contractor. and can reduce time and investment required to enter the market as a prime contractor.
Sign Up for SubTeamPartners today to form your FY10 contractor team. GovPartners News Brief: 01 Oct 2009: By Cynthia Karnik
The National Contract Management Association (NCMA) is proud to announce its newly established collaboration with GovPartners, LLC. This union will provide members of GovPartners with an exclusive opportunity to receive a complimentary one-year subscription to Contract Management magazine. This highly regarded monthly publication ranks as the number-one benefit among NCMA’s membership of 19,000 contracting professionals.
“GovPartners, LLC is excited to enter into a partnership with the leader in contract management, NCMA,” said Cynthia Karnik, GovPartners, CEO. “As a service provider, we share NCMA's vision that enterprises will succeed through improved buyer–seller relationships based on common values, practices, and professional standards. We believe our partnership will provide a full service solution to our members.”
NCMA Executive Director Neal Couture noted, “NCMA is pleased to extend Contract Management magazine to GovPartners members. This is a great opportunity to provide their members with inside access to the issues and concerns of the people who manage their relationships with the federal government, provide long-term value to their members, and enhance the professional development of these industry professionals.”
GovPartners connects businesses with prime contractors and subcontractors that are approved to work for the U.S. federal government. They support the needs of small and large businesses that need assistance with proposal writing, GSA supply schedule contracts, and formulating contractor teaming agreements with approved government contractors. Read more about GovPartners at www.govpartners.com
Founded in 1959, NCMA is the leading association in the field of contract management. The organization is dedicated to the professional growth and educational advancement of procurement and acquisition personnel worldwide. NCMA strives to serve and inform the profession and to offer opportunities for the open exchange of ideas in neutral forums. For more information, visit www.ncmahq.org.
Referenced press release can be found at www.ncmahq.org/News/PRDetail.cfm
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Other Defense Agencies/United States Transportation Command (USTRANSCOM) has posted the International airlift notice for the FY11 Civil Reserve Airlift Program (CRAF). This solicitation is for international long-range and short-range passenger and cargo airlift services, as well as aeromedical airlift services. Period of performance is for one year with no option periods - from 1 Oct 2010 through 30 Sep 2011. Offeror must be certified under Part 121 of the Federal Aviation Regulation (14 CFR 121) and willing to commit aircraft to the CRAF. Awards will be based upon offeror's aircraft commitment to the CRAF and past performance.
Request For Proposal will be released on or about 1 April 2010.NAICS codes 481211 and 481212 apply. Ombudsman for this solicitation: Mr. Dale Huegen, USTRANSCOM Command Acquisition, 508 Scott Drive, Scott AFB IL 62225-5357, (618) 256-4300, fax (618) 256-4702, email: email@example.com
Contracting Office Address:
508 Scott Drive
Scott AFB, Illinois 62225
Primary Point of Contact.:
Secondary Point of Contact:
Follow this opportunity www.fbo.gov/
The United States Transportation Command (USTRANSCOM) is the Department of Defense’s (DoD) command responsible for land, air and sea transportation. With its people, trucks, trains, aircraft, ships, information systems and infrastructure USTRANSCOM provides the most responsive strategic mobility capability the world has ever seen. USTRANSCOM currently controls a fleet of military assets valued in excess of $52 billion, including: 87 ships; 1,269 aircraft; 2,150 railcars and assorted equipment, and $1.4 billion in infrastructure, as well as access through commercial partners to more than 1,001 aircrafts and 360 vessels in the Civil Reserve Air Fleet (CRAF) and Voluntary Intermodal Sealift Agreement (VISA) programs.
To give you an idea of the size and scope, USTRANSCOM conducts more than 1,900 air missions, with 25 ships underway and 10,000 ground shipments operating in 75% of the world's countries. The command has moved more than 1.9 million passengers; 1.1 million tons by air, 3.7 million tons by sea; and delivered more than 53.7 billion barrels of fuel by ship.
What does this mean for transportation contractors? USTRANSCOM, like all other federal agencies, need to meet their small business goals. Currently, these goals are not being met. Why? Most of the requirements are being filled by large businesses because small businesses are not responding to request for information (RFI) postings, sources sought notices, market research notices, and/or request for proposals (RFP).
USTRANSCOM Directorate of Acquisitions: Who are They and What do they Do?
USTRANSCOM's Directorate of Acquisition mission is to provide acquisition capability to include contracting and program management functions in support of transportation and distribution for the DoD. They act as a business advisor to their commander. USTRANSCOM's Acquisition division has recently gone through a reorganization. Their direct customers include UNSTRANSCOM, Military Surface Deployment and Distribution Command (SDDC), Military Sealift Command, Air Mobility Command (AMC), and Defense Logistics Agency (DLA). Below is a summary of each division and what they do.
TCAQ-R National Transportation - provides responsive contracting and business advisory support for the national and regional transportation programs serving the DoD customers worldwide.
TCAQ-I International Scheduled Services -provides procurement of international multimodal transportation services in support of DoD's peace and wartime worldwide movement of cargo.
TCAQ-M Program Management - provides expertise on acquisition program management policies, procedures and strategies to the commander, staff and components.
TCAQ-C International Charters - provides procurement and worldwide administration of international charter airlift requirements supporting DoD passengers and cargo during war and peace.
TCAQ-P Business Support/Policy - provides expertise on acquisition policies, procedures and strategies. They ensure that USTRANSCOM maintains the highest ethical procurement standards while achieving world class, global warfighter support.
TCAQ-SB - Small Business Programs - provides advices and counsel to commander on small business matters. Assist in developing strategies to ensure maximum participation and opportunities for small business concerns.
TCAQ-S Specialized Services - provides responsive contracting and business advisory support for specialized services and research and development programs serving DoD customers worldwide.
TCAQ-D Distribution Process Owner (DPO) Support - provides responsive contracting and business advisory support for USTRASNCOM DPO support services, as well as contracting support for SDDC national level transportation systems requirements.
Small Businesses: USTRANSCOM WANTS YOU
If you are a small business and want to do business with USTRANSCOM, contact Michelle Mendez, Director of Small Business Programs immediately at (618) 256-9619 or firstname.lastname@example.org. Be sure to have a capabilities brief ready to reference for talking points and follow up with an email. USTRANSCOM is interested in learning of all small qualified business, the more information you provide before an RFP is constructed, increases the chances of having small business set-aside requirements. Do not be afraid to request a face-to-face meeting. The small business program office will always be able to meet with contractors and will include contracting officers for specific contracts of interest. However, they are unable to discuss open solicitations.
ALWAYS respond to request for information, sources sought and market analysis so USTRANSCOM is aware that there are qualified small business vendors. Never assume the requirement is already earmarked for a specific contractor. The more information USTRANSCOM is provided, the more they are able to set-aside requirements for small businesses.
USTRANSCOM is a very lucrative customer. Significant programs (awarded to contractors) include:
Defense Personal Property System (DPS): Joint end-to-end web based IT System managing over 500,000 personnel property movements annually. Contract value is in excess of $50 million annually.
Civil Reserve Air Fleet (CRAF): Provides worldwide movement of troops and cargo- Valued at $2.5 billion annually.
Hero Remains (HR): Provides movement of HR from the continental United States CONUS to final destination for fallen service members and is valued at $24 million annually.
Universal Services Contract (USC): Single point, door-to-door cargo transportation, service via ocean carriers and is valued at $1 billion annually.
Defense Transportation Coordination Initiative (DTCI): Provides transportation coordination services to improve the reliability, predictability, and efficiency of DoD material moving throughout the CONUS. After Phase III implementation, this contract is valued at $258 million annually.
Need Help? GovPartners can be your advocate. We can put together a comprehensive capabilities brief and connect you with USTRANSCOM decision makers. Our team has a long standing relationship with their team. Contact us today to get started. Alternatively, connect and team with contractors with existing contracting vehicles.
Quick Search for business opportunities HTC711 @ https://www.fbo.gov/
USTRANSCOM Directory and Phone #s http://www.transcom.mil/pubs2/pubs/2598-VA33-1.pdf
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