CONTRACTING METHODS

Contracting Methods and Awards

Contracting Methods and Awards

Introduction

The case given in the report is related to Federal Procurement Ethics. These laws are covered under Federal Acquisition Regulation. This acquisition regulation and its systems are issued by the Federal Government United States of America. It is called the acquisition process. Through this process government, procure goods and services from market. The process has to go through three layers. The initial process is need generation and acquisition planning. The parties format the contract and in the end phase contract is administered by the parties. The purpose of FAR is to regulate the continuous activities of the whole process. The contracts are administered and checked whether they are according to the FAR policies and laws or not. Governments are entitled to award contract to any individual firm that can comply to the requirements of the same, keeping in view the guidelines provided by the government.

Background

The RFP considered award of the World wide software life-cycle support contract. The contract is for a year and 3 years option. The successful contractor was responsible for the labor services and provided high skilled support in Continental United States and outside the Continental United Sates. HRB and Loral sent the proposals to NSA (Manos, 2004). It analyzed the offers and evaluated the best out of it. According to RFP the proposals were unable to meet the requirements of NSA. Loral and HRB given written discussion questions. After evaluating discussion questions, NSA provide additional cost to Loral and gave additional questions. Both the offeror were given time to submit proposals. NSA additionally evaluated the HRB ad Loral proposal. The sources and authorities decided to that the contract should award to HRB. After the decision, Loral alleged the NSA for violation.

Discussion

(RFP) No. MDA904-93-R-I001 proposal issued for purchases by National Security Agency (NSA) under the Maryland Procurement Office. The tender issues for the agency's Worldwide Software Life-cycle Supports Programs. The Loral Western Development Labs alleged the award of cost plus awards fees, and level of effort contract to HRB system Incorporation. The Western Development Labs charged on the National Security Agency that they processed secret criterion to evaluate the proposal given by them. NSA inappropriately made award to highest cost offeror. NSA also seemed unsuccessful to consider the violation made by the HRB under the procurement integrity provision of the Federal Procurement Policy Act (Edward, 2005). Procurement Integrity

Loral charged NSA that it failed to apply and follow “Applicable Procurement Regulation” in awarding the contract to HRB. Loral Filed suit on the basis of violation of the procurement integrity provisions of the Office of Federal Procurement Policy Act, 41 U.S.C. §423 (1988 and Supp. IV 1992).

The violation was explained by the accuser that after the first proposal submitted by both the offeror one of the Loral employee informed the management that he came to know that fact from HRB employee that HRB management said that Loral proposal was $8 million less than the HRB ...