Some links will work for NIAID staff only.
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Standard Operating Procedure Table of Contents
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Purpose
To ensure that contracts meet NIAID's needs while providing contractors
reasonable risks and maximum incentives for performing work efficiently
and economically.
Procedure
Contract specialists work with project officers to select a contract type. Selecting a contract type
significantly affects acquisition planning and contract administration
and must be done carefully, beginning with a precise definition
of the work. Contract type is stated in a solicitation;
however, it may change before award based on negotiations with
offerors.
Contracts can be grouped into two broad categories: fixed-price (see FAR
16.2) and cost-reimbursement (see FAR
16.3).
- Fixed price contracts -- Used to acquire commercial items,
supplies, or services based on reasonably definite specifications.
They give contractors the greatest incentive to control costs and
perform effectively, while imposing the smallest administrative
burden on both parties.
- Cost reimbursement contracts -- Used when uncertainties
about performance do not allow us to accurately estimate costs.
Contractors have less risk for performance and little incentive
to control costs, and the government must ensure contractors are
using efficient methods and controlling costs.
Contracts in these categories range from firm-fixed-price in
which contractors have full responsibility for costs and profit or
loss, to cost-plus-fixed-fee where
they have minimal responsibility for costs, and the negotiated fee
is fixed. In between are various incentive contracts (see FAR
16.4), that tailor performance costs and profit or fee to the
level of uncertainty of the work.
Other contract types include:
- Indefinite-delivery contracts (see FAR
16.5) -- Used when contractors provide supplies or services
in unknown quantities other than a minimum or maximum quantity.
Provides for the issuance of orders for the performance of tasks
during the period of the contract.
- Performance-based contracts (see FAR
37.6) -- Used to ensure that contractors meet quality levels; payment relates to the degree that contract standards (i.e., in terms of quality, timeliness, quality, etc.) are met. These standards are measured through the use of quality assurance surveillance plans.
- Broad agency announcements (see FAR
35.016) -- Used by government agencies to advance science
by encouraging offerors to submit innovative research. Use only
when you anticipate proposals with varying technical or scientific
approaches.
- Interagency acquisitions (see FAR
17.5) -- Used when one government agency needs supplies or
services from another agency.
Contacts
See the Office of Acquisitions staff listing for the appropriate contract
specialist.
If you have knowledge to share or want more information on this topic, email deaweb@niaid.nih.gov with the title of this page or its URL and your question or comment. Thanks for helping us clarify and expand our knowledge base.
Links
FAR
Part 16, Types of Contracts
FAR
Part 17, Special Contracting Methods
FAR
Part 35.016, Broad Agency Announcement
FAR
Part 37.6, Performance-Based Contracting
NIH
Manual Issuance 1165, Agency Agreements
NIH
Manual Issuance 6016-2, Task and Delivery Order Contracting
NIH
Manual Issuance 6035, Broad Agency Announcements
Broad
Agency Announcement Development SOP
Inter
and Intra-Agency Agreement SOP |