FAC-C Professional key terms

An internal strategy document describing how an agency will satisfy a need: the requirement, competition approach, contract type, evaluation method, schedule, funding, and known risks. It guides the whole acquisition and is updated as conditions change.

The government's own estimate of what a requirement should cost, built from historical data, market research, and technical judgment. It supports budgeting, price reasonableness checks, and evaluation of proposed prices.

A description of the tasks, deliverables, and standards a contractor must satisfy, often written prescriptively so the contractor follows government-specified methods. Common for well-defined requirements such as services with clear processes.

A statement of required results rather than methods, expressing outcomes, measurable performance standards, and quality levels. It shifts how-to decisions to the contractor and pairs with a surveillance plan for monitoring.

A written document supporting a decision not to use full and open competition. It states the legal exception, the facts, market research performed, and efforts to remove barriers to competition, and must be approved by the proper official.

A situation in which a contractor's other work or relationships could impair objectivity or give an unfair competitive edge, such as drafting a specification and then bidding on it. It must be identified early and avoided, neutralized, or mitigated.

A contract type in which the contractor commits to a set price for defined work and absorbs cost overruns. It is preferred when requirements are stable and foreseeable, because it places maximum cost risk on the contractor.

A contract type that pays the contractor its allowable incurred costs plus a fee, up to a funded ceiling. Used when requirements are uncertain; it demands cost accounting systems, close oversight, and careful fund management.

An agreement made by a person without contracting authority that obligates the government to pay for goods or services. It is not a valid contract and requires review and ratification before any payment can occur.

The authorized approval of an unauthorized commitment after review, making the obligation valid. It requires findings that funds were available, the price is fair, and the government received a benefit.

The structured collection and analysis of information about market capabilities, prices, practices, and potential sources before finalizing a requirement and choosing an acquisition strategy. It supports competition, small business participation, and realistic pricing.

A market research announcement asking vendors to describe their capabilities, experience, and interest. Responses help the agency judge the competitive market, decide small business set-aside feasibility, and shape the requirement.

A solicitation used in negotiated acquisitions that states the requirement and evaluation approach and invites offerors to submit proposals. Proposals may later be discussed and revised before award.

Two parts of a solicitation that work together: Section L tells offerors how to organize and submit their proposals, while Section M states the factors and relative importance the agency will use to evaluate them.

A specification approach that names a product as a reference point for salient characteristics and allows offerors to propose an equivalent. It must describe the essential physical and functional features so competition remains possible.

The industry classification assigned to an acquisition and the employee-count or revenue threshold that defines a small business within it. Together they determine set-aside eligibility and small business participation reporting.

Reserving a requirement for small businesses when there is a reasonable expectation that at least two responsible small firms will compete and award will be made at a fair market price. It may be total or partial.

A product or service of a type customarily sold or offered to the general public, or one offered with minor modifications. Treating a requirement as commercial unlocks streamlined rules and often simpler terms and pricing.

An internal document setting out how a competitive acquisition will be evaluated: team roles, rating and confidence methods, consensus procedures, and the decision process. It is not released to offerors.

A group of technical and other specialists who independently review proposals against the stated factors, document strengths, weaknesses, and deficiencies, and report consensus findings to the selecting official.

A criterion stated in the solicitation, such as technical approach, past performance, or price, against which proposals are assessed. Factors carry stated relative importance and cannot be changed after proposals are received.

The set of offerors whose proposals the agency decides have a reasonable chance of receiving award and therefore will be included in discussions. Offerors outside the range may be excluded from further consideration.

Limited exchanges with offerors to resolve minor or clerical matters, such as missing pages or unclear formatting. They do not address price, technical approach, or terms and therefore do not open discussions or allow proposal revisions.

Negotiations with offerors in the competitive range in which the agency identifies deficiencies and significant weaknesses and gives each offeror a chance to revise its proposal before final evaluation.

An award approach in which the agency weighs the benefits of higher-rated technical and past performance proposals against their prices and selects the offer representing the greatest overall value, not necessarily the lowest price.

Evaluating a proposed price without examining its individual cost elements, usually by comparing it with competing offers, prior prices, catalog or market prices, or the independent government estimate. It supports the determination that a price is fair and reasonable.

A review of whether an offeror's proposed costs are realistic for the work, including labor rates, hours, and other elements. It is used when cost-reimbursement or incentive contracts are contemplated so unrealistically low offers are not rewarded.

Assessing how well an offeror performed on similar prior contracts, considering quality, schedule, cost control, management, and customer satisfaction. Relevance of the prior work to the current requirement matters as much as the ratings themselves.

The contracting officer's judgment, separate from proposal evaluation, that a firm has the capability, capacity, integrity, tenacity, and facilities to perform. It typically examines financial resources, past performance, and necessary licenses or registrations.

A post-award explanation provided to an unsuccessful offeror on request, covering the basis for award and the evaluated strengths and weaknesses of its own proposal. It helps support informed protests or improved future proposals.

A written change to a contract's terms, signed by the contracting officer. It is bilateral when both parties agree, such as a supplemental agreement, and unilateral when issued under a clause authorizing the officer to act alone.

A change resulting from government conduct, such as informal direction or interference by a representative lacking authority, that alters the work without a formal modification. The contractor may be entitled to an adjustment.

A fair revision of price, delivery schedule, or both that compensates a contractor when government action increases or decreases the cost or time needed to perform. It aims to leave the contractor neither better nor worse off.

The government's plan for monitoring contractor performance against contract standards, specifying what will be checked, how often, by what method, and how results are documented. It corresponds to the performance standards in the statement of work.

A person designated in writing to monitor technical performance, inspect deliverables, and report on quality for the contracting officer. A COR cannot change price, scope, terms, or delivery dates and cannot authorize additional work.

The federal system in which agencies record and share past performance evaluations of contractors, covering quality, schedule, cost control, management, and other areas. The reports are used as past performance information in later source selections.

Ending a contract because it serves the government's interest, not because of contractor fault. The contractor recovers payment for accepted work, allowable costs, a reasonable profit on completed work, and settlement expenses.

Ending a contract because the contractor failed to perform or to make adequate progress. The government may obtain the undelivered items elsewhere and charge the contractor excess reprocurement costs, while retaining other rights and remedies.

A written decision by the contracting officer resolving a contractor claim, stating the reasons and informing the contractor of appeal rights. It starts the time limit for appealing to a board or filing suit in court.