Lesson 6: Proposal Evaluation and Source Selection

Lesson 6: Proposal Evaluation and Source Selection
Small Business Professionals (SBPs) have a significant role during acquisition planning in shaping the small business strategies and helping the team develop discriminating small business evaluation criteria (factors and/or subfactors). During proposal evaluation and source selection, the SBP’s responsibility includes evaluating small business participation proposals, evaluating small business past performance, and assessing subcontracting plans. The SBP serves as a member of the Small Business Team under the Source Selection Evaluation Board. The evaluation must be based solely on the evaluation criteria outlined in Section M of the solicitation. During the entire evaluation process, strict adherence to published criteria and formal policy/processes is critical. The activities provided in this lesson address aspects of the proposal evaluation process and source selection that ensure a fair evaluation of the small business participation requirements of a proposal. February 2017 Lesson 6: Proposal Evaluation and Source Selection

Contracting Process for Acquisitions
Pre-Solicitation Solicitation-Award Post-Award Pre-Solicitation Solicitation-Award Post-Award Initial Planning/Form the Team Solicitation (RFQ, IFB, RFP) Monitor Performance Market Research Evaluation Deliverables Payments Define Requirements (PWS, SOW, SOO) Negotiation The activities covered in this lesson refer to SBPs role during proposal evaluation and source selection. Acquisition Business Strategy Award Closeouts 6-2

Contracting Process for Acquisitions Process Flow
General Rule: The contracting process for acquisitions diagram on the preceding slide is generalized for teaching purposes in the small business courses and not specific to governing policies and regulatory requirements for any specific type of acquisition (DoDI (ACATs); DoDI (Services) and others). SBPs must understand the type of acquisition applicable to any new and/or recurring requirements and follow those governing policies and regulations accordingly. Pre-Solicitation Solicitation-Award Post -Award Phase begins with valid acquisition need driving initial planning and team formation Phase ends with Acquisition Strategy (AS) that is documented in an Acquisition Plan (AP) Phase begins with clearly defined Acquisition Strategy and Acquisition Plan These may or may not be approved, but guide development of Solicitations and Source Selection Plans (SSP) DoD Peer Reviews occur prior to obtaining approval to issue a solicitation Decision Point: Approval To Issue Solicitation Policy requires prior written approvals of AS, AP, SSPs, DoD Peer Reviews, if any Exchanges with Industry: Tightly controlled upon issuance of Solicitation through Award of contract(s) Phase ends when a source selection decision is acted upon via award of the contract(s) Phase begins after the competitively negotiated contract(s) is awarded Phase ends when all contract performance is complete and contract(s) closeout actions are completed This Process Flow is generalized for teaching purposes in the small business courses and is not specific to governing policies and regulatory requirements for any specific type of acquisition. Lesson 6 will focus on material in the BLUE font. Underlined Font denotes Lesson 6 topic areas Intermediate Small Business Programs, Part B Acquisition Strategies

Terminal Learning Objective
Participate in proposal evaluation and advise the acquisition team during source selection Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Enabling Learning Objectives
Evaluate offeror’s Small Business Participation Commitment Document Evaluate offeror’s small business past performance Assess acceptability of an apparently successful offeror’s subcontracting plan Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Role of SBPs in Source Selection
SBPs must be able to: Evaluate a Small Business Participation Commitment Document (SBPCD) Evaluate small business past performance Assess Small Business Subcontracting Plans The Source Selection Evaluation Board, or SSEB, has the responsibility to conduct an in-depth review of each proposal against the requirements established in the solicitation. The source selection procedures and methodologies devised for the acquisition will be contained in the approved Source Selection Plan (SSP). The evaluation criteria in the SSP are identical to Section M of the solicitation. The DoD Source Selection Policy/Procedures can be located at and in the References folder of this course. SBPs are members of the SSEB and will evaluate small business participation and past performance, if applicable. In addition, SBPs will assist the Contracting Officer in assessing subcontracting plans for the apparently successful offeror(s). SBPs must ensure that overlapping content in a proposed SBPCD and proposed subcontracting plan are consistent. Procedures in the approved SSP must be followed. Strict adherence to these procedures is necessary to establish integrity in the source selection process. Evaluations must be in strict adherence to the solicitation. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Small Business Participation Evaluation Considerations
Is small business participation to be evaluated as a factor, subfactor, or sub-subfactor? Is a Small Business Participation Commitment Document required for all offerors? Where is small business past performance being evaluated? What level of importance is small business participation in the overall evaluation ratings? What rating method is used for small business participation requirements? The solicitation needs to reflect the elements considered in determining small business participation evaluation. Some of these elements may be contractually binding, and they will need to ensure that the proper distinctions are made when developing implementing language. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Small Business Rating Method 1
Color Rating Adjectival Description Blue Outstanding Proposal indicates an exceptional approach and understanding of the small business objectives Purple Good Proposal indicates a thorough approach and understanding of the small business objectives Green Acceptable Proposal indicates an adequate approach and understanding of small business objectives Yellow Marginal Proposal has not demonstrated an adequate approach and understanding of the small business objectives Red Unacceptable Proposal does not meet small business objectives There are two rating options available for rating small business participation. These options are described in the DoD Source Selection Procedures (01 April 2016), Section The first option is to use the full adjectival ratings. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Small Business Rating Method 2
Adjectival Rating Description Acceptable Proposal indicates an adequate approach and understanding of small business objectives Unacceptable Proposal does not meet small business objectives The second option is to use only the adjectival ratings of acceptable and unacceptable as defined in the full adjectival rating table (see green and red). Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Proposal Evaluation and Source Selection
Activity 6.1: Evaluate Small Business Participation Commitment Documents Individually evaluate two SBPCDs against Section M criteria Develop rating using the SBPCD Evaluation Worksheet Be prepared to discuss rationale with entire class Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

SBPCD Evaluation Worksheet
Section M Criteria Acceptable/Unacceptable and Rationale Describes the extent of participation of small business concerns for this requirement by identifying the name, type of small business, types of work to be performed, and dollar value for each proposed small business teaming partner. States the dollar value of small business participation (to include the effort of a prime Small Business Offeror, if applicable), including base period and all options. States the percentage of small business participation as a percentage of total (proposed ) contract value (the estimated total for the base period and all options). This percentage shall be greater than or equal to the minimum quantitative requirement (MQR) of 20%. Demonstrates that binding (written) commitments are in place for at least half of the proposed small business participation (by dollar value). In addition to the above, the government will evaluate the overall realism of the proposed small business commitments. Overall rating (if any of the above elements under this factor are unacceptable, the overall rating for this factor will be unacceptable). The SBPCD Evaluation Worksheet provides a summary of the relevant Section M Criteria for you to use in evaluating assigned SBPCDs. You should rate each required element as Acceptable or Unacceptable IAW stated RFP requirements. This is not an official document. It is provided for convenience in the performance of this activity. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.1: Evaluate a Small Business Participation Commitment Document Rubric
You will use the activity rubric that identifies desired behaviors to rate your performance Learning Objectives: Evaluate a Small Business Participation Commitment Document. Directions: As you complete this activity, rate yourself on how effectively you demonstrated the desired behaviors. Add comments to clarify your self-assessment, especially in areas in which you feel you need further development. You can refer to these notes as you complete your Action Plan at the end of the lesson to help you identify the things you might do differently. Include additional comments regarding your performance in the Notes area below: Conducts a thorough evaluation of proposed Small Business Participation Commitment Documents IAW stated RFP requirements Collaborates with team members to develop list of issues and an overall rating Listens carefully to issues and concerns expressed by others Desired Behaviors Rating Rate how effectively you demonstrated each behavior: 1 – Poor 2 – Fair 3 – Neutral 4 – Good 5 – Excellent Comments Conducts a thorough evaluation of a proposed Small Business Participation Commitment Document IAW stated RFP requirements 1 2 3 4 5 Listens carefully to issues and concerns expressed by others Intermediate Small Business Programs, Part B Acquisition Strategies

Activity 6.1 Key Points Sections L and M of the solicitation must correspond (i.e., what is required; how evaluated/ranks overall) Section L must also differentiate between what is required for evaluation purposes only and what is to be evaluated as contractually binding Effective evaluation criteria must enable discrimination among offerors and not adversely impact small businesses Small business participation includes work performed by a small business prime offeror Small business participation can be rated using a five-color, full adjectival rating method, or as acceptable or unacceptable only (pass/fail) You must think about the differences between small business concerns and other-than-small businesses to develop appropriate and fair small business participation evaluation criteria. Additionally, using the five-color rating method will enable more discriminability and reward among offerors’ proposals than the general pass/fail method (i.e., recognition of outstanding—blue—participation). Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Evaluation of Small Business Past Performance
SBPs participate in source selections to evaluate an offeror’s past performance in complying with FAR , Utilization of Small Business Concerns FAR , Small Business Subcontracting Plan, if applicable An important part of past performance evaluation is past performance on small business subcontracting. This information demonstrates how reliably offerors have fulfilled their past commitments to maximize small business participation in subcontract opportunities and whether they demonstrated good faith effort in their small business subcontracting efforts. Past performance is often an indicator of how well a concern will perform on a future contract. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Evaluation Criteria and Information Sources
What small business past performance criteria are included in the RFP for this activity? What sources of information can be used to evaluate small business past performance? Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.2: Evaluation of Small Business Past Performance
Evaluate two offerors’ small business past performance data on subcontracting using Section M evaluation criteria Record your evaluation in the Past Performance Individual Evaluator’s Report Document the explanation for your confidence rating and provide an overall confidence assessment consistent with Table 10 in the RFP Excerpt Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.2 Rubric You will use the activity rubric which identifies desired behaviors to rate your performance Learning Objective: Evaluate an offeror’s small business past performance. Directions: As you complete this activity, rate yourself on how effectively you demonstrated the desired behaviors. Add comments to clarify your self-assessment, especially in areas in which you feel you need further development. You can refer to these notes as you complete your Action Plan at the end of the lesson to help you identify the things you might do differently. Include additional comments regarding your performance in the Notes area below: Desired Behaviors Evaluate past performance information on small business utilization and subcontracting, focusing on the evaluation criteria in the solicitation Provide a clear and complete explanation for your findings Document your findings with supporting rationale Desired Behaviors Rating Rate how effectively you demonstrated each behavior: 1 – Poor 2 – Fair 3 – Neutral 4 – Good 5 – Excellent Comments Evaluate past performance information on offeror’s small business utilization and subcontracting, focusing on the evaluation criteria in the solicitation 1 2 3 4 5 Provide a clear and complete explanation for your findings Document your findings with supporting rationale Intermediate Small Business Programs, Part B Acquisition Strategies

Evaluating Small Business Past Performance Best Practices
Did the solicitation clearly address how small business past performance would be evaluated? Relative to the evaluation criteria, was the past performance information sufficient to determine a confidence rating? What would be common errors in evaluating past performance? Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.2 Key Points Ensure clear and relevant evaluation criteria to ensure effective evaluations Ensure that solicitation and implementation language clearly differentiates between small business participation elements for evaluation purposes only and those that will be evaluated as contractually binding requirements Evaluate small business past performance under the past performance factor or under the small business participation factor or subfactor Encourage rating officials to record small business participation performance thoroughly in CPARS whenever feasible It is important to write Section M evaluation criteria as clearly as possible to enable effective discrimination among offerors and selection of the best-value proposal. It is important to differentiate between small business participation solicitation requirements that are for evaluation purposes only and those that will be contractually binding. Note that in SKY’s prior contracts, subcontracting plans were required and small business participation was evaluated. However, no proposed small business participation elements were incorporated into the resultant contract. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Assess Acceptability of an Apparently Successful Offeror’s Subcontracting Plan SBPs should be able to: Assess a subcontracting plan using a checklist containing the FAR- mandated plan elements In cases in which a small business set-aside is not possible, small businesses must have maximum opportunities in an acquisition through subcontracting. SBPs will assist with assessing the apparently successful offeror’s small business subcontracting plan to verify whether it is acceptable as submitted, or will negotiations be necessary. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Planned Subcontracting Goals vs
Planned Subcontracting Goals vs. SB Participation Minimum Quantitative Requirement (MQR) Subcontracting Plan Goals % Denominator: Planned Subcontracted $ SBPCD MQR % Denominator: Proposed Total Contract $ (TCV) Total Contract Value (TCV) $: $8,892,129.80 Sky’s proposed total planned subcontracting $: $5,556,851.92 Sky’s proposed MQR commitment (binding) based on TCV $ Sky’s proposal: 57.6% planned Subcontract $ to small businesses Sky’s proposed MQR: 36% of TCV to small businesses Do the Math: SBs get $3,201,166.73 (57.6% planned subcontracted $: $5,556,851.92) (36% TCV $: $8,892, ) You need to be mindful of how an MQR impacts the goals as stated in the subcontracting plan. Using SKY’s proposed Small Business Subcontracting Plan and SBPCD, let’s review them for consistency in the overlapping content. Small business planned subcontracting dollars (subcontracting plan) need to meet or exceed the proposed MQR dollars (SBPCD). Because their base amounts (denominator) are different (i.e., planned subcontracting dollars vs proposed total contract dollars), stated percentages will differ. For example, 57.6% sounds great when compared to 36%, but the true measure for consistency depends on the numerators. This slide shows there is consistency between the two proposal documents at the dollars value NOT the percentages. Consistency Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Small Business Subcontracting Goal vs. SB Participation MQR
SB Subcontracting Plan Goals SBPCD Total Contract Value (TCV): $1,000,000 20% of the planned Subcontracted $ MQR 20% of TCV (contractually binding) OTSB planned subcontract $ : $100,000 OTSB MQR TCV $: $1,000,000 Do the Math: SBs get $20,000 (20% of $100,000 = $20,000) SBs get $200,000 (20% of $1,000,000 = $200,000) The example on this slide is based on a scenario with a total contract value of $1,000,000. For the SB subcontracting plan, a 20% goal means that small businesses will get 20% of the planned subcontracting dollars. If an offeror’s planned subcontracting dollars are $100,000, small businesses will get $20,000. For a SBPCD, a 20% MQR is required (contractually binding). If the TCV is $1,000,000, small businesses will get $200,000. In this example, the 20% MQR yields 10 times more work for small businesses than the subcontracting plan goal. Increased small business utilization helps to strengthen the industrial base—more sources and increased competition. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

The Subcontracting Plan Checklist
Not a standard form Based on requirements in FAR Subpart 19.7 OSD OSBP is in the process of incorporating into the DFAR PGI a standard checklist for reviewing small business subcontracting plans; however, in the interim a generic checklist, based on the small business subcontracting plan requirements of FAR and DFARs Subpart 219.7, is being used. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Subcontracting Plan Checklist – Table of Goals
Fill in separate tables for the base period and each option period “SB” row should only be filled in if the offeror provides information on small businesses with no socioeconomic categories If information needed to fill in the table is missing from the subcontracting plan, leave that part of the table blank Base Period (SB = Small Business, SDB = Small Disadvantaged Business, WOSB = Women-Owned Small Business, HUBZone = Historically Underutilized Small Business, VOSB = Veteran-Owned Small Business, SDVOSB = Service-Disabled Veteran-Owned Small Business, SB* = Small Businesses with no socioeconomic category status) Category Percentage of total planned subcontracting dollars Planned subcontracting dollars SB % $ SDB WOSB HUBZone VOSB SDVOSB SB* Other than SB Total 100% Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Subcontracting Plan Checklist – Assurances
To be deemed acceptable, a small business subcontracting plan must make affirmative statements of assurance This enhances the enforceability of the plan Stating that something is company policy is not sufficient Offerors must state that they shall/will/agree to/commit to complying with the particular element that requires their assurance 9. Assurances that the contractor will include FAR (Utilization of Small Business Concerns and Small Disadvantaged Business Concerns) and FAR (Small Business and Small Disadvantaged Business Subcontracting Plan) in all subcontracts that offer further subcontracting opportunities (FAR (a)(9)) 10. Assurances that the offeror will (i) cooperate in any studies or surveys that may be required; (ii) submit periodic reports in order to allow the Government to determine the extent of compliance by the offeror with the subcontracting plan; (iii) submit ISRs and/or SSRs in eSRS and ensure that its large subcontractors comply with the same; (iv) ensure that its subcontractors with subcontracting plans agree to submit the ISR and/or the SSR using the eSRS; (v) provide its prime contract number and its DUNS number, and the address of the offeror’s official responsible for acknowledging receipt of or rejecting the ISRs to all first-tier subcontractors with subcontracting plans; (vi) require that each subcontractor with a subcontracting plan provide the prime contract number, its own DUNS number, and the address of the subcontractor’s official responsible for acknowledging receipt of or rejecting the ISRs, to its subcontractors with subcontracting plans (FAR (a)(10)) Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Subcontracting Plan Checklist – Comments/Recommendations
In the Comments/ Recommendations area: State whether or not the subcontracting plan is acceptable and provide rationale If deficiencies were found, the plan is unacceptable and can be corrected during negotiations. List the deficiencies that must be corrected If no deficiencies were found, state that the plan is acceptable because it meets the FAR requirements Small Business Professional (Specialist): _____________________ Date: _________ Comments/Recommendations: _______________________________________________________________________________________________________________________________________________________________________________________ Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.3: Assess Acceptability of Offeror’s Small Business Subcontracting Plan Work individually to assess the small business subcontracting plan, using the review checklist Write down the page number and Roman numeral of the section where the information is found (or expected to be found) Write your comments and recommendations (acceptable or not, and if not, what needs to be corrected) This is a graded activity (20 points) Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.3 Assess Acceptability of Offeror’s SB Subcontracting Plan – Grading Rubric Assessment Element Points Table of Goals Up to 3 Yes/no responses, locations of items, and rationales Up to 12 In comments and recommendations, gave correct overall assessment (acceptable/not acceptable) Up to 2 In comments and recommendations, gave correct rationale (including list of deficiencies that need to be corrected, if plan is not acceptable) You must correctly fill in the table of goals and identify whether all required elements are present, along with where the element is located in the small business subcontracting plan. For the location, you need to give the page number and Roman numeral of the section. You must give the correct overall assessment (acceptable/unacceptable) and rationale. Partial credit will be given. (For example, you get 12 points if you miss 0 or 1 yes/no items, 11 points if you miss 2-3 items, etc.) This activity is graded, with 20 points maximum based on the completeness of your small business subcontracting plan evaluation. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.3: Assess Acceptability of Offeror’s Subcontracting Plan
Group Discussion Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Activity 6.3 Key Points The assessment of a Small Business Subcontracting Plan must be based on the requirements of FAR and FAR The subcontracting plan’s dollars to be awarded to small businesses must meet or exceed any stated SBPCD MQR dollars Small Business Subcontracting Plans may need to be negotiated for acceptability Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Lesson Summary Assess acceptability of a proposed subcontracting plan Evaluate Small Business Participation Commitment Documents Evaluate small business past performance You have just completed mock evaluations for small business participation requirements in a simulated competitive, negotiated acquisition, including: Evaluating an offeror’s proposed Small Business Participation Commitment Document IAW the evaluation criteria stated in Section M of the solicitation Evaluating an offeror’s small business past performance IAW the evaluation criteria stated in Section M of the solicitation Assessing an apparently successful offeror’s proposed Small Business Subcontracting Plan IAW FAR Proposal evaluations must be conducted strictly IAW the solicitation and approved SSP. The apparently successful offerors Small Business Subcontracting Plan and SBPCD must match in terms of any overlapping content. Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Action Planning Identify one key insight from this lesson Identify one thing you will do differently on the job Discuss with your accountability partner Intermediate Small Business Programs, Part B Proposal Evaluation and Source Selection

Lesson 6: Proposal Evaluation and Source Selection

Similar presentations

Presentation on theme: "Lesson 6: Proposal Evaluation and Source Selection"— Presentation transcript:

Similar presentations

About project

Feedback

Log in

Auth with social network:

Lesson 6: Proposal Evaluation and Source Selection

Similar presentations

Presentation on theme: "Lesson 6: Proposal Evaluation and Source Selection"— Presentation transcript:

Similar presentations

About project

Feedback