**PART WBR 1401**

**RECLAMATION ACQUISITION REGULATIONS SYSTEM**

**Last Updated:** **ET 06-04, Supplement 1 (10/26/05)**

# TABLE OF CONTENTS

**SUBPART WBR 1401.3 \-- AGENCY ACQUISITION REGULATIONS**

[WBR 1401.301 Policy.](#anchor17802)\
[WBR 1401.303 Publication and codification.](#anchor22281)\
[WBR 1401.303-80 Arrangement of Reclamation acquisition
regulations.](#anchor22492)\
[WBR 1401.304 Agency control and compliance procedures](#anchor22890).\
[WBR 1401.370 Interior Acquisition Regulation Council.](#anchor89872)

**SUBPART WBR 1401.4 \-- DEVIATIONS FROM THE RAR**

[WBR 1401.480 Individual and class deviations from the
RAR.](#anchor90406)

**SUBPART WBR 1401.6 \-- CAREER DEVELOPMENT, CONTRACTING AUTHORITY, AND
RESPONSIBILITIES**

[WBR 1401.601 General.](#anchor90752)\
[WBR 1401.602 Contracting officers.](#anchor93049)\
[WBR 1401.602-1 Authority.](#anchor93402)\
[WBR 1401.602-3 Ratification of unauthorized
commitments.](#anchor97036)\
[WBR 1401.603 Selection, appointment, and termination of
appointment.](#anchor100721)\
[WBR 1401.603-1 General.](#anchor100866)\
[WBR 1401.603-3 Appointment.](#anchor101169)\
[WBR 1401.603-4 Termination](#anchor101601)\
[WBR 1401.670 Appointment and termination of appointment of contracting
officers\' representatives.](#anchor101944)\
[WBR 1401.670-2 COR Certification Programs.](#anchor1218576)\
[WBR 1401.670-4 Appointment.](#anchor102066)\
[WBR 1401.670-80 Appointment memoranda.](#anchor102412)\
[WBR 1401.670-81 Reclamation contract clauses.](#anchor102757)

**SUBPART WBR 1401.70 \-- ACQUISITION REVIEWS**

[WBR 1401.7000 Scope of section.](#anchor103068)\
[WBR 1401.7001-3 Administrative review and approval by bureaus and
offices.](#anchor104000)\
[WBR 1401.7001-4 Acquisition performance measurement
systems.](#anchor105463)\
[WBR 1401.7080 Distribution of informational copies.](#anchor106426)\
[WBR 1401.7081 Internal and external audits.](#anchor107839)\
[WBR 1401.7081-1 Policy.](#anchor108297)\
[WBR 1401.7081-2 Definitions.](#anchor115475)\
[WBR 1401.7081-3 Responses to audit reports.](#anchor116932)\
[WBR 1401.7081-4 Follow-ups to audit reports.](#anchor117439)

**SUBPART WBR 1401.80 \-- ACQUISITION INITIATION**

[WBR 1401.8000 General](#anchor117921)\
[WBR 1401.8001 Responsibilities.](#anchor118115)

**SUBPART WBR 1401.3 \-- AGENCY ACQUISITION REGULATIONS**

[]{#anchor17802 .anchor}**WBR 1401.301 Policy.**

\(a\) The Bureau of Reclamation implements and supplements the Federal
Acquisition Regulation (FAR) and the Department of the Interior
Acquisition Regulation (DIAR) through the Reclamation Acquisition
Regulation (RAR) System.

\(b\) The RAR is issued pursuant to the authority delegated under Part
255, Chapter 3.1 of the Departmental Manual (255 DM 3.1) and the
Reclamation Manual (RCD 03-01).

(c)(1) Except as provided in subparagraph (c)(2) below, all RAR
revisions are issued for comment prior to issuance.

\(2\) When statutory implementation dates preclude sufficient time for
comment, interim procedures shall be issued with a concurrent request
for comments.

[]{#anchor22281 .anchor}**WBR 1401.303 Publication and codification.**

[]{#anchor22492 .anchor}**WBR 1401.303-80 Arrangement of Reclamation
acquisition regulations.**

\(a\) Numbering.

\(1\) RAR System issuances conform to the numbering conventions
contained in [FAR
1.105-2.](http://www.arnet.gov/far/current/html/Subpart_1_1.html#999172)

\(2\) Supplementary coverage for which there is no counterpart in the
FAR or DIAR is identified using part, subpart, section, or subsection
numbers of 80 and up (e.g., WBR 1401.303-80).

\(3\) Solicitation provisions and contract clauses issued for local use
shall be identified in accordance with
[1452.103-80.](../1452p2.html#anchor744763)

\(b\) Citations. Pursuant to the DIAR, citations of issuances under the
RAR use the prefix \"WBR\" followed by the number designated in
accordance with paragraph (a) above.

[]{#anchor22890 .anchor}**WBR 1401.304 Agency control and compliance
procedures.**

\(a\) The BPC is responsible for \--

\(1\) Development and maintenance of the RAR System;

> \(2\) Ensuring that periodic reviews are conducted of the RAR System
> to control and limit issuances and ensure compliance with FAR Part 1
> and DIAR Part 1401.

\(b\) The CCO is responsible for issuance of any local procedures
necessary to implement or supplement higher level acquisition issuances.

[]{#anchor89872 .anchor}**WBR 1401.370 Interior Acquisition Regulation
Council.**

The BPC is the Reclamation member of the Interior Acquisition Regulation
Council (IARC).

**SUBPART WBR 1401.4 \-- DEVIATIONS FROM THE RAR**

[]{#anchor90406 .anchor}**WBR 1401.480 Individual and class deviations
from the RAR.**

\(a\) The BPC is authorized to approve any deviations from the RAR.

\(b\) Requests shall be submitted by the CCO and shall include a
justification for the deviation and the impact if it is not granted. For
class deviations, the justification shall indicate an estimate of the
contract actions affected.

\(c\) The justification and the approval shall be included or referenced
in each applicable contract file.

**SUBPART WBR 1401.6**

**CAREER DEVELOPMENT, CONTRACTING AUTHORITY AND RESPONSIBILITIES**

[]{#anchor90752 .anchor}**WBR 1401.601 General.**

The Secretary\'s authority and responsibility to contract for supplies
and services has been redelegated to the Assistant Secretary - Water and
Science in Part 205, Chapter 11.1 of the Departmental Manual (205 DM
11.1). This authority has been further redelegated to the Commissioner
in Part 255, Chapter 3.1H of the Departmental Manual (255 DM 3.1H).
Pursuant to [DIAR 1401.601](http://www.ios.doi.gov/pam/1401.html#601)(c)
and [Subpart 1402.1](http://www.ios.doi.gov/pam/1402-3.html#1), the
Director, Management Services, D-7000, is the HCA for Reclamation and
may redelegate contracting authority in accordance with the procedures
in [WBR 1401.603.](#anchor100721)

[]{#anchor93049 .anchor}**WBR 1401.602 Contracting officers.**

[]{#anchor93402 .anchor}**WBR 1401.602-1 Authority.**

To comply with the information requirements of [DIAR
1401.602-1](http://www.ios.doi.gov/pam/1401.html#602-1) \--

\(a\) AAMD shall maintain a database containing information on CO
appointments; and

\(b\) The CCO shall ensure that records are maintained which identify
\--

\(1\) Each CO in the contracting office holding a permanent or interim
certificate of appointment (certificate);

\(2\) The amount and limitation of the certificate; and

\(3\) The maintenance training obtained by each CO for each fiscal year.

[]{#anchor97036 .anchor}**WBR 1401.602-3 Ratification of unauthorized
commitments.**

\(a\) Notification. Upon receipt of information regarding an
unauthorized commitment made by a Reclamation employee, the CCO shall
\--

\(1\) Confirm the commitment with the employee;

\(2\) Provide written notice of the action to the employee\'s
supervisor, and any other party deemed appropriate; and

\(3\) Request that a statement of facts be prepared in accordance with
paragraph (b) below.

\(b\) Statement of facts.

\(1\) Upon receipt of a request under subparagraph (a)(3) above, the
initiating office shall prepare a written statement of facts which shall
be signed by the employee and the employee\'s supervisor. The statement
shall include, as a minimum, the following information:

\(i\) The name, title, office location, and telephone number of the
employee who made the unauthorized commitment;

\(ii\) A detailed summary which demonstrates compliance with [FAR
1.602-3(c)(1)](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128)
through (c)(3) and FAR 1.602-3(c)(6);

(iii)(A) A list of the acquisition sources solicited, if any, and the
rationale for the source selected; or

\(B\) A justification for the absence of competition in accordance with
[FAR
13.106-1(b)](http://www.acqnet.gov/far/current/html/Subpart_13_1.html);

\(iv\) Identification of any previous unauthorized commitments made by
the employee;

\(v\) Action taken to prevent a recurrence of the commitment; and

\(vi\) A copy of all relevant documents and records pertaining to the
commitment.

\(2\) The signed statement of facts shall be forwarded to the CCO for
action under paragraph (c) below.

\(c\) Contracting officer action. Upon receipt of the statement of facts
prepared in accordance with paragraph (b) above, the CCO shall be
responsible for preparation of a determination and findings to support a
ratification decision under paragraph (d) below.

\(1\) If ratification is recommended \--

\(i\) A determination and findings shall be prepared to document full
compliance with the limitations contained in [FAR
1.602-3(c)](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128)
and shall include \--

\(A\) A determination of price reasonableness and payment;

\(B\) A statement as to whether the action proposed for ratification
resulted from a CO exceeding the limitations specified in the CO\'s
certificate of appointment; and

\(C\) Reasons for the CO exceeding the limitations, if applicable;

\(ii\) A bilateral contract document (or, if appropriate, a purchase
order signed by both parties) shall be prepared and shall contain the
following statement in a prominent location: \"This action involves an
unauthorized commitment which has been ratified pursuant to [FAR
1.602-3](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128);\"
and

\(iii\) Legal review of the documents in subparagraphs (c)(l)(i) and
(c)(l)(ii) shall be obtained from the Office of the Solicitor for
commitments in excess of the micropurchase threshold pursuant to
[***DIAPR
2001-3***](http://www.usbr.gov/pmts/acquisitions/et/0110.html).

\(2\) If ratification is not recommended, a determination and findings
shall be prepared to support such position. Advice shall be obtained
from the Office of the Solicitor regarding possible resolution of the
matter as a claim to the General Accounting Office under [FAR
1.602-3(d).](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128)

\(3\) The determination and findings shall be prepared in accordance
with subparagraph (c)(l) or (c)(2) above, signed by the CO and submitted
for approval under paragraph (d) below. The statement of facts
prescribed by subparagraph (b), and the contractual document prepared in
accordance with subparagraph (c)(1)(ii) above shall also be submitted
for approval.

\(d\) Approvals.

\(1\) Except as provided in subparagraph (d)(2) below, CCOs are
authorized to ratify unauthorized commitments pursuant to [FAR
1.602-3(b)](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128)(2)
and [DIAR 1401.602-3](http://www.ios.doi.gov/pam/1401.html#602-3). If a
CCO does not hold a certificate of appointment to cover the commitment
amount, the HCA shall approve the ratification.

\(2\) Unauthorized commitments which result from a CO exceeding the
limitations of the certificate of appointment shall be ratified by the
HCA. In reviewing the circumstances involving the commitment, the HCA
shall determine what, if any, revisions shall be made to the certificate
of appointment.

\(e\) Payment.

\(1\) In cases where an invoice has been received for an unauthorized
commitment which has not been approved under paragraph (d) above, the
invoice shall be considered as an improper invoice and shall be returned
within 7 calendar days with the notification required by [FAR
32.905(e](http://www.arnet.gov/far/current/html/Subpart_32_9.html#998242)).
The notification shall indicate that the invoice involves an
unauthorized commitment requiring ratification and if ratified, a
contract document (or purchase order) will be transmitted for signature
and an invoice for payment may then be resubmitted.

\(2\) If the commitment is not ratified, advice shall be obtained from
the Office of the Solicitor regarding notification for possible
submission of a claim to the General Accounting Office under [FAR
1.602-3
(d](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128)).

[]{#anchor100721 .anchor}**WBR 1401.603 Selection, appointment, and
termination of appointment.**

[]{#anchor100866 .anchor}**WBR 1401.603-1 General.**

\(a\) Pursuant to [DIAR
1401.603-1](http://www.ios.doi.gov/pam/1401.html#603-1), the BPC is
authorized to appoint CO\'s and terminate their appointments in
accordance with the [Department of the Interior Contracting Officers\'
Warrant System (COWS) Manual.](http://www.ios.doi.gov/pam/cows.html)
Requests for appointment, deviations, terminations of appointment, or
other information on the COWS shall be submitted to AAMD, D-7800, for
action in accordance with [WBR 1401.603-3.](#anchor101169)

[]{#anchor101169 .anchor}**WBR 1401.603-3 Appointment.**

\(a\) Nomination. The CCO is responsible for nominating individuals for
contracting officer appointments. As required by [FAR
1.603-2,](http://www.arnet.gov/far/current/html/Subpart_1_6.html#999128)
the nomination request shall document ability to comply with the
standards contained in the COWS Manual and shall be submitted using the
Contracting Officer Warrant Application Format, Qualifications Data
History.

\(b\) Interim certificates.

\(1\) Interim certificates of appointment, as prescribed in the COWS
Manual, may be issued for Level III and IV CO\'s only when there is no
existing Level III or IV contracting officer on site or when necessary
to carry out Reclamation\'s mission.

\(2\) When an interim certificate is requested, the CCO is responsible
for ensuring that --

\(i\) The training needed to qualify the individual for a permanent
certificate is funded and scheduled prior to the request for an interim
appointment; and

\(ii\) A fully documented request for converting an interim certificate
to a permanent certificate is promptly submitted to AAMD when the
minimum qualifications have been met.

\(c\) Maintaining a certificate.

\(1\) CO\'s who have been issued permanent certificates of appointment
are required to complete continuing education, as prescribed in the COWS
Manual. The CCO is responsible for ensuring that the training needed for
maintaining permanent certificates is completed in a timely manner.

[]{#anchor101601 .anchor}**WBR 1401.603-4 Termination.**

\(a\) Termination by the CCO.

\(1\) Pursuant to paragraph VIII.A. of the COWS Manual, authority is
delegated to the CCO to terminate appointments for administrative
reasons.

\(2\) The CCO shall furnish a copy of each termination of appointment to
AAMD, D-7800, for the updating of the records under
[WBR1401.602-1](#anchor93402)(a).

\(b\) Termination by the BPC. Terminations other than those permitted by
paragraph (a) above shall be made by the BPC pursuant to [DIAR
1401.603-1](http://www.ios.doi.gov/pam/1401.html#603-1) and paragraph
VIII.B. of the COWS Manual. The CCO shall provide prompt notification to
the BPC whenever a CO appointment should be terminated. This requirement
does not apply to appointments automatically terminated by expiration of
an interim certificate.

[]{#anchor101944 .anchor}**WBR 1401.670 Appointment and termination of
appointment of contracting officers\' representatives.**

[]{#anchor1218576 .anchor}**WBR 1401.670-2 COR Certification Programs.**

CCOs shall ensure that any proposed COR has satisfied the certification
for eligibility requirements prior to receiving the designated COR
authority. Therefore, contracting offices are responsible for keeping a
record of who has taken the training required by DIAR 1401.670-3 and
when.\
\
[]{#anchor102066 .anchor}**WBR 1401.670-4 Appointment.**

\(a\) Level III and IV CO\'s are authorized, within the limits and scope
of their own nondelegable authority, to appoint and terminate the
appointment of \--

\(1\) CO representatives (CORs); and

\(2\) Technical approval officers (TAOs), personnel who approve or
disapprove drawings and other submittals delivered under a contract.
Such appointments may be made by position rather than by designated
individual without violation of [DIAR
1401.670-1](http://www.ios.doi.gov/pam/1401.html#670-1) since TAOs serve
as aides to the COR.

\(b\) Appointments shall be made in accordance with the requirements of
[WBR 1401.670-80](#anchor102412). A copy of the appointment memorandum
shall be furnished to, and acknowledged by, the contractor as required
by [DIAR 1401.670-4.](http://www.ios.doi.gov/pam/1401.html#670-4) An
additional copy of the appointment may be furnished to the CORs
supervisor for information purposes.

\(c\) Pursuant to [DIAR
1401.670](http://www.ios.doi.gov/pam/1401.html#670-3), only employees
who have completed the required COR training and who are COR certified
are eligible to serve as CORs.

[]{#anchor102412 .anchor}**WBR 1401.670-80 Appointment memoranda.**

\(a\) For delegation of authority to a COR who holds a CO warrant, the
contracting officer shall use a format substantially the same as the
format illustrated in [WBR 1453.303-1401-1,](../1453.html#anchor1365232)
Contracting Officer\'s Representative (With Warrant) Memorandum.

\(b\) For delegation of authority to a COR who does not hold a warrant,
the CO shall use a format substantially the same as the format
illustrated in [WBR 1453.303-1401-2](../1453.html#anchor1365667),
Contracting Officer\'s Representative (Without Warrant) Memorandum.

\(c\) The CO shall appoint TAOs using a format substantially the same as
the format illustrated in [WBR
1453.303-1401-3,](../1453.html#anchor1365888) Technical Approval
Officer\'s Memorandum.

[]{#anchor102757 .anchor}**WBR 1401.670-81 Reclamation contract
clause.**

The CO shall insert the clause at [WBR
1452.201-80,](../1452p2.html#anchor746118) Authorities and Limitations
\-- Bureau of Reclamation in all solicitations and contracts, except for
acquisition of commercial items and services - FAR Part 12.

**SUBPART 1401.70 \-- ACQUISITION REVIEWS**

[]{#anchor103068 .anchor}**WBR 1401.7000 Scope of section**. This
section contains criteria for legal review of acquisition actions as
required by [DIAR 1401.7000](http://www.ios.doi.gov/pam/1401.html#7000).

[]{#anchor104000 .anchor}**WBR 1401.7001-3 Administrative review and
approval by bureaus and offices.**

\(a\) Prior review or approval by the Head of the Contracting Activity
(HCA). This paragraph prescribes policies and procedures for obtaining
approvals by the HCA and reviews by the HCA prior to submission to other
offices for approval (e.g., Department of the Interior).

\(1\) Stage of review or approval. Except for legal sufficiency reviews,
all other reviews or approvals, (e.g., independent reviews) shall be
obtained prior to any submittal to the HCA. For expediency, legal
sufficiency reviews may be requested concurrently with requests for HCA
approval.

\(2\) Information required for review or approval.

\(i\) Transmittal memoranda. The memorandum transmitting the request for
review or approval shall identify the action, the supporting documents
provided, and any special circumstances relating to the action which
need to be taken into consideration.

\(ii\) Documents. Submission of requests for review or approval shall
contain the documents or information required by the regulation
prescribing the review or approval. Any proprietary information or
source selection information to be submitted shall be marked and
protected in accordance with [FAR
3.104-5.](http://www.arnet.gov/far/current/html/Subpart_3_1.html#1039230)

\(3\) Review or approval process.

\(i\) Requests for review or approval by the HCA shall be addressed to
Director, Management Services, Attention: D-7800.

\(ii\) Upon completion of the approval process, the initiating office
will be informed by the HCA, in writing, of final approval or
disapproval of the action.

\(b\) Prior approval by Acquisition and Assistance Management Division
(AAMD). As required by [DIAR
1401.7001-3](http://www.ios.doi.gov/pam/1401.html#7001-3) this paragraph
provides policies and procedures for review and approval of significant
acquisition actions by AAMD, D-7800, in order to ensure that sound
business practices are being used; actions are in compliance with
applicable laws, executive orders, and acquisition regulations; actions
serve the Government\'s best interest; and actions meet the requirements
of OMB Circular A-123, Management Accountability and Control and
Executive Order 12931, Federal Procurement Reform.

\(1\) Stage of approval. Written requests for review shall be
transmitted, and approval obtained, prior to taking any of the actions
listed in [WBR 1401.7001-3(b)(2)](#anchor104000). For expediency, legal
sufficiency reviews may be requested concurrently with requests for
approval under paragraph (a) above. All other reviews or approvals
(e.g., independent reviews) which are required shall be obtained prior
to request for AAMD approval.

\(2\) Actions requiring approval.

\(i\) Representative sample. In recognition of acquisition office
workload variance, each Regional acquisition office (including D-7810)
shall negotiate an annual review agreement with AAMD, D-7800, no later
than August 31 of each year, which establishes office-specific review
thresholds for each type of action listed in WBR 1401.7001-
3(b)(2)(iii)(A) through (F**)** and (H). The review threshold for (G) is
the same for all offices.

\(ii\) Dollar amounts. For purposes of approval under this paragraph,
the dollar amount of an action shall include\--

\(A\) All option amounts;

\(B\) For requirements contracts, the estimated total contract amount
corresponding to the total quantity required by [FAR
16.503(a)(1)](http://www.arnet.gov/far/current/html/Subpart_16_5.html#1046505);
and

\(C\) For indefinite-delivery contracts, the total amount which
corresponds with the stated maximum quantity required by [FAR
16.504(a)(1).](http://www.arnet.gov/far/current/html/Subpart_16_5.html#1046513)

\(iii\) Approval requirements. The following actions require prior AAMD
approval \--

[]{#anchor106426 .anchor}(A) For contracts to be awarded pursuant to FAR
Part 12 (irrespective of the procedure used), executing the action when
the contract amount exceeds the acquisition office threshold.

\(B\) For contracts to be awarded pursuant to FAR Part 14, executing the
action when the contract amount exceeds the acquisition office
threshold.

\(C\) For contracts to be awarded without discussions pursuant to FAR
Subpart 15.3, executing the action when the contract amount exceeds the
acquisition office threshold.

[]{#anchor65577 .anchor} (D) For contracts to be awarded after
negotiations pursuant to FAR Subpart 6.1, 6.2, or 6.3, entering into
negotiations when the prenegotiation objective exceeds the acquisition
office threshold;

\(E\) For construction contracts (see [25 CFR 900.110 through
900.137](http://frwebgate1.access.gpo.gov/cgi-bin/waisgate.cgi?WAISdocID=7845322872+6+0+0&WAISaction=retrieve))
awarded pursuant to the Indian Self-Determination and Education
Assistance Act, as amended, 25 U.S.C. 450 et seq., entering into
negotiations when the prenegotiation objective for a contract exceeds
the acquisition office threshold (for other than construction
transactions with Indian Tribes requiring approval, see RM ACM 01-01 of
the Reclamation Manual);

\(F\) For contract modifications, entering into negotiations when the
prenegotiation objective will result in a price adjustment expected to
exceed the acquisition office threshold. Price adjustment amounts shall
consider both increases and decreases as explained in [FAR
15.403-4((a)(1)(iii).](http://www.arnet.gov/far/current/html/Subpart_15_4.html#1087860)

> [(G) Statements of Work for services expected to equal or exceed
> \$100,000 that are]{.mark}

[not in the format prescribed in FAR 37.601, generally known as
Performance-Based Service Acquisition (PBSA), are required to be
submitted to D-7800 for review and approval. The submission shall
include a detailed justification for not utilizing the PBSA format;
or]{.mark}

\(H\) For orders to be awarded under multiple award contracts pursuant
to [FAR
16.505(b),](http://www.acqnet.gov/far/current/html/Subpart_16_5.html)
executing the action when the award amount exceeds the acquisition
office threshold.

\(3\) Information required for approval.

\(i\) General. Requests for approval shall include, as a minimum, the
information set forth in this paragraph, if pertinent to the action, and
shall be forwarded to the AAMD in sufficient time to allow at least five
working days from receipt for review and approval.

\(ii\) Transmittal memoranda. The memorandum transmitting the request
for approval shall identify the action submitted, the supporting
documents provided, and any peculiar or extraordinary circumstances
relating to the action which needs to be taken into consideration.

\(iii\) Documents. Documents submitted for review will be retained by
the AAMD for record purposes. Any proprietary information or source
selection information shall be marked and protected in accordance with
[FAR
3.104-5.](http://www.arnet.gov/far/current/html/Subpart_3_1.html#1039230)
The following documents, if pertinent to the action, shall be submitted
with the request for approval:

\(A\) Justification for other than full and open competition.

\(B\) Undefinitized modification.

\(C\) Solicitation with all amendments and record of any independent
review.

\(D\) Government cost estimate.

\(E\) Option justification.

\(F\) Proposal or claim.

\(G\) Proposal evaluation reports (e.g., technical evaluation, technical
analysis; cost and/or price analysis).

\(H\) Audit or waiver.

\(I\) Fair market price estimate for Section 8(a) contract awards under
FAR Subpart 19.8.

\(J\) Determination of competitive range.

\(K\) Calculation of profit/fee objectives.

\(L\) Prenegotiation memorandum and any record of independent review.

\(M\) Proposed modification.

\(N\) For sealed bids, documentation for awarding as required by [FAR
14.408-7](http://www.arnet.gov/far/current/html/Subpart_14_4.html#1046684)

\(4\) Approval process. Upon completion of the review process, the
initiating office will be informed by AAMD, in writing, of approval or
disapproval of the action. Disagreements that cannot be reconciled by
the CO and the AAMD procurement analyst reviewer must be resolved by the
BPC. If AAMD gives conditional approval, requiring the CO to take
corrective action within a specified period of time, the CCO shall
ensure that corrective actions are accomplished within the time
prescribed. Copies of all conditional approvals shall be furnished to
the Director of Policy, Management and Technical Services (W-2000).

(c) Independent review at the contracting office. In accordance with
[DIAR 1401.7001-3](http://www.ios.doi.gov/pam/1401.html#7001-3), this
paragraph prescribes policies and procedures for independent review of a
representative sample of proposed acquisition actions.

\(1\) Authority. In order to provide maximum flexibility, the CCO is
authorized to establish written procedures for independent reviews.
Copies of the written procedures and any subsequent modifications shall
be furnished to AAMD, D-7800, for approval. Procedures shall be reviewed
at least every two years with appropriate notification provided to AAMD,
D-7800

\(2\) Content. Procedures for independent review shall, as a minimum,
include the following policies:

\(i\) The requirement for the review to be performed prior to taking a
specified action.

\(ii\) The requirement for a representative sample of all acquisition
actions to be reviewed (including dollar thresholds, stage of review,
and types of contract actions).

\(iii\) Review procedures when an action is both prepared and signed by
the same CO.

\(iv\) Designation of an individual independent reviewer, an independent
review board, or a combination thereof, to perform the review. When the
independent review is conducted by an individual, the reviewer shall be
an acquisition professional. When the independent review is conducted by
a Board, at least one member shall be an acquisition professional.

\(v\) Individual reviewer (or review board member) procedures that
require the individual reviewer be other than the preparer of the
acquisition action.

\(3\) Forms. The independent review shall be documented using a format
substantially the same as the Record of Independent Review format
(illustrated in [WBR 1453.303-1401-5](../1453.html#anchor1373388)).

\(i\) Independent reviewer action. The form shall be signed and dated by
the reviewer and returned with the action file to the preparer.

\(ii\) Preparer action. The preparer shall review the recommendations,
annotate the review form with a response to each recommendation
including concurrence or nonconcurrence and the basis therefor, and
comply with the concurred recommendations. If the preparer does not
concur with a recommendation, the review form and the proposed action
file shall be forwarded to the contracting officer for disposition under
subparagraph (c)(2)(iii).

\(iii\) Contracting officer action. The CO shall review the
recommendations made by the reviewer and the preparer\'s response(s),
and resolve any disagreements.

\(iv\) Record of independent review. The annotated review form including
documentation of the resolution of any disagreements pursuant to
subparagraph (c)(2)(iii) shall be made a part of the contract file. A
copy of the form shall be returned to the reviewer.

[]{#anchor105463 .anchor}**WBR 1401.7001-4 Acquisition performance
measurement systems.**

\(a\) Scope of section. This section prescribes general policies and
procedures for the conduct of onsite acquisition and assistance
management reviews (AAMRs) at Reclamation contracting offices and other
offices executing and administering financial assistance actions.

\(b\) Policy. AAMRs of major and subordinate acquisition offices will be
conducted as directed by PAM.

\(c\) Responsibility. The Acquisition and Assistance Management Division
(AAMD), D7800, is responsible for conducting AAMRs of Reclamation\'s
major acquisition and assistance offices. CCOs are responsible for
conducting AAMRs of subordinate offices.

\(d\) Subject areas to be reviewed. The acquisition subject areas to be
reviewed in AAMRs are delineated in DOI's AAMR Handbook.

\(e\) AAMR reports. Reports shall be prepared and submitted in
accordance with guidelines established by PAM.

**WBR 1401.7080 Distribution of informational copies.**

An informational copy of each of the following acquisition documents
shall be forwarded to AAMD, D-7800:

\(a\) AAMR reports submitted pursuant to [WBR 1401.
7001-4](#anchor105463);

\(b\) Audit report responses submitted pursuant to [WBR
1401.7081-3](#anchor116932);

\(c\) Administrative determinations made pursuant to [DIAR
1414.406-3(c)](http://www.ios.doi.gov/pam/1414-3.html#406-3).

\(d\) BUDS appointments;\
\
(e) Approved subcontracting plans submitted under FAR or the
determination required by [FAR
19.705-2(c).](http://www.arnet.gov/far/current/html/Subpart_19_7.html#1046539)
(See [WBR 1419.705-2(b)](../1419.html#anchor82216));

> \(f\) Subcontracting Reports for Individual Contracts, Standard Form
> 294, submitted pursuant to [WBR
> 1419.705-6(j)](../1419.html#anchor83947).\
> \
> (g) Subcontracting program review reports submitted pursuant to [WBR
> 1419.705-6(k)](../1419.html#anchor83947).

\(h\) Liquidated damages determinations submitted pursuant to [WBR
1419.705-7](../1419.html#anchor100045).

> \(i\) Protest reports submitted pursuant to [WBR
> 1433.104](../1433.html#anchor483906);\
> \
> (j) Construction contractor performance evaluation reports (SF 1420).
> (See [DIAR 1436.201](http://www.ios.doi.gov/pam/1436-3.html#201)(c));
> and
>
> \(k\) Architect-engineer performance evaluation reports (SF 1421).
> (See [DIAR 1436.604](http://www.ios.doi.gov/pam/1436-3.html#604) (c)).

\(l\) Contractor performance evaluation reports (other than construction
and architect-engineer services, which are covered separately above).
Annual and/or final evaluation reports shall be submitted simultaneously
to D-7800 and the contractor.

\(m\) Local directives and guidelines as soon as they are issued.

\(n\) Final negotiation memoranda if prenegotiation objectives were
approved under [WBR 1401.7001-3(b)(2)(iii)(D) through
(F).](#anchor65577)

\(o\) Documentation verifying compliance with AAMD conditional approvals
under [WBR 1401.7001-3(b)(2)(iii)(A) through (C) and
(H).](#anchor106426)

[]{#anchor107839 .anchor}**WBR 1401.7081 Internal and external audits.**

[]{#anchor108297 .anchor}**WBR 1401.7081-1 Policy.**

This section prescribes policies and procedures for compliance with
audit management guidelines under management of the Director, Program
Analysis Office (D-5000), pursuant to the requirements of Part 360,
Department Manual, Chapters 1-6, and Part 361, Departmental Manual,
Chapters 1 and 2 (360 DM 1-6 and 361 DM 1 and 2).

[]{#anchor115475 .anchor}**WBR 1401.7081-2 Definitions.**

\(a\) \"Internal audit,\" as used in this section, means an audit of a
Reclamation acquisition program, function, or activity.

\(b\) \"External audit,\" as used in this section, means a preaward
audit, an equitable adjustment proposal audit, an audit of a claim, a
final indirect cost proposal audit, or a termination settlement proposal
audit of a Reclamation contractor or lessee.

[]{#anchor116932 .anchor}**WBR 1401.7081-3 Responses to audit reports.**

\(a\) Internal audits.

\(1\) Responsibility. The Program Analysis Office (PAO), (D-5000), will
assign the lead responsibility for responding to an internal audit
report and provide any additional instructions which may be necessary.

\(2\) Response dates. Responses to draft and final audit reports are due
to D-5000 on the date assigned in the transmittal memorandum.

\(3\) Content. Responses to final audit reports shall contain the
information required by 360 DM 5.3F for each finding and recommendation.
Any response to a recommendation which will impact Reclamation\'s
acquisition policies or procedures shall first be coordinated with the
AAMD, (D-7800).

\(b\) External audits.

\(1\) Response dates. Responses to external audit reports are due within
90 days after the date of the report unless another date is requested in
the report transmittal memorandum. If final action cannot be completed
by the requested response date, the contracting officer shall furnish a
written status report to the cognizant Office of Inspector General
organizational element specified in the transmittal memorandum. A copy
of the status report shall also be sent to the AAMD, (D-7800).
Unresolved questions regarding a recommendation shall be processed in
accordance with [DIAR
1415.805-5](http://www.ios.doi.gov/pam/1415-3.html#805-5) (g),

\(2\) Content. Pursuant to [FAR
15.406-3](http://www.arnet.gov/far/current/html/Subpart_15_4.html#1088050)
and [DIAR
1415.808-70](http://www.ios.doi.gov/pam/1415-3.html#808-70)(c)(7), the
price negotiation memorandum required or, if applicable, the settlement
negotiation memorandum (see FAR 49.110(a)), shall discuss disposition of
each recommendation (including any reasons for variances from the
recommendation) made in a field pricing report requested under \--

\(i\) [FAR
15.404-2](http://www.arnet.gov/far/current/html/Subpart_15_4.html#1087943)
for a preaward audit, an equitable adjustment proposal audit, or an
audit of a contractor claim;

\(ii\) [FAR
42.705](http://www.arnet.gov/far/current/html/Subpart_42_7.html#1046883)
for a final indirect cost proposal audit; or

\(iii\) [FAR
49.107](http://www.arnet.gov/far/current/html/Subpart_49_1.html#1046701)
for a termination settlement proposal audit of a Reclamation contractor
or lessee.

\(3\) Distribution.

\(i\) As required by [FAR
15.406-3,](http://www.arnet.gov/far/current/html/Subpart_15_4.html#1088050)
a copy of each approved price negotiation memorandum [(WBR
1415.406-3)](../1415.html#anchor56662), contracting officer\'s final
decision [(DIAR 1433.211)](http://www.ios.doi.gov/pam/1433-3.html#211),
or termination settlement negotiation memorandum [(WBR
1449.107](../1449.html#anchor729221)), involving audit recommendations
in subparagraph (b)(2) above shall be sent to the cognizant audit office
with a copy forwarded to \--(A) The Office of the Inspector General,
Director of Audit Follow-up and Quality Assurance; and (B) The AAMD,
(D-7800).

\(ii\) Additional guidance on distribution is provided in 360 DM 5.3G.

[]{#anchor117439 .anchor}**WBR 1401.7081-4 Follow-ups to audit
reports.**

\(a\) Policy. Policies and procedures for audit follow-ups are contained
in 361 DM 1 and 2.

\(b\) Responsibility. D-5000 serves as the Audit Liaison Officer (ALO)
for Reclamation and is the single point of contact for all activities
pertaining to audit follow-up.

\(c\) Internal audits.

\(1\) Status reports on resolved audit recommendations shall be
submitted to D-5000 on a quarterly basis in accordance with instructions
provided by D-5000.

\(2\) Unresolved audit recommendations are referred by the Office of the
Inspector General to the Departmental Audit Coordination Official for
resolution in accordance with the procedures in chapter 361 DM 1.5D(1).

\(d\) External audits. External audit reports, except those for preaward
audits, are referred by the Office of the Inspector General to the
Departmental Audit Coordination Official for resolution when the audit
response has not been received within 120 days. To meet the information
requirements of 361 DM 1.5C(4) and (5), follow-up reports on referred
audit reports shall be in the format illustrated in [WBR
1453.303-1401-4,](../1453.html#anchor1372874) Status of Audit
Requests/Claims Settlement, and submitted to the AAMD, (D-7800), for
submission to the ALO by the last day of each fiscal year quarter.

**SUBPART WBR 1401.80 \-- ACQUISITION INITIATION**

.[]{#anchor117921 .anchor}**WBR 1401.8000 General.**

\(a\) Department of the Interior Form DI-1, Requisition, or electronic
equivalent, shall be used for initiating acquisition transactions by
acquisition offices. Reclamation form 7-702, Requisition, may continue
to be used until IDEAS is implemented.

\(b\) In accordance with the Reclamation Purchase Card Handbook,
acquisitions made by individuals located outside of acquisition offices
do not require a requisition.

[]{#anchor118115 .anchor}**WBR 1401.8001 Responsibilities.**

\(a\) Property and Offices Services (POS). POS, Reclamation Service
Center, (D-7900), is responsible for developing policies and procedures
for use and preparation of requisitions.

\(b\) Approval officials. Approval authority is delegated from the
Commissioner to Regional Directors and the Director, Reclamation Service
Center. These officials are responsible for developing local procedures
for further redelegation. Copies of delegations shall be sent to POS,
D-7900 and to the servicing acquisition office.

\(c\) Screening. Approval officials are responsible for screening the
request against stock inventory and other Government sources of supply
required by FAR Part 8.

\(d\) Budget officer. After a requisition has been approved, it shall be
forwarded to the responsible budget officer who shall certify that funds
have been reserved and remain available for the acquisition. The
certification shall be documented by the signature of the budget officer
on the requisition (or other locally-developed form). This may be
accomplished by electronic signature when using an automated acquisition
system. Blanket certification procedures for small dollar value
transactions may be established by the budget office.