**STEPS AND DOCUMENTS FOR PLACEMENT OF PURCHASE CARD ORDERS**

**(SINGLE---PURCHASE LIMIT) ABOVE \$3,0**00 BUT NOT TO EXCEED \$25,000

+-----------------------+----------------------------------------------+
| # **DESCRIPTION**     | ### SUMMARY                                  |
+-----------------------+----------------------------------------------+
| Checklist to Place    | -   For placement of all orders, utilize     |
| Purchase Card Orders  |     checklist to follow essential            |
| above \$3,000         |     procurement steps.                       |
+-----------------------+----------------------------------------------+
| Purchase Card (PC)    | -   Cardholder to complete the worksheet and |
| Worksheet for Vendor  |     submit to three vendors to obtain quotes |
| Quotes                |     as well as providing copies of clauses   |
|                       |     and terms and conditions.                |
+-----------------------+----------------------------------------------+
| Cover Fax Sheet for   | -   Cardholders to complete the cover fax    |
| PC Quotes             |     sheet and transmit to vendors along with |
|                       |     worksheet.                               |
+-----------------------+----------------------------------------------+
| Listing of Restricted | -   All orders must be screened against      |
| Items                 |     Listing of Restricted Items.             |
+-----------------------+----------------------------------------------+
| Required Sources of   | -   All orders must be screened against      |
| Supply                |     Required/Mandatory Sources of            |
|                       |                                              |
|                       | Supply and other contractual instruments.    |
+-----------------------+----------------------------------------------+
| Documentation for     | -   Complete determination of fair and       |
| Orders Over \$3,000   |     reasonable price (i.e., if competition   |
|                       |     is not viable, document absence of       |
|                       |     competition, document file by obtaining  |
|                       |     3 quotes and price analysis;             |
|                       |                                              |
|                       | ```{=html}                                   |
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|                       | -   Must award to small business and         |
|                       |     document file;                           |
|                       |                                              |
|                       | -   Obtain DOL wage rates for the Service    |
|                       |     Contract Act;                            |
|                       |                                              |
|                       | -   Give preference to U.S. products by      |
|                       |     applying Buy American differential; and  |
|                       |                                              |
|                       | -   Is the vendor 508 compliant?             |
+-----------------------+----------------------------------------------+
| Identifying           | -   Requisitioner or cardholder can use web  |
| Sources/Market        |     sites to identify vendors.               |
| Research              |                                              |
+-----------------------+----------------------------------------------+
| Are Vendors Section   | -   Obtain certification from vendor that    |
| 508 Compliant?        |     supplies or services are 508 compliant.  |
+-----------------------+----------------------------------------------+
| Posting Instructions  | -   For acquisitions in excess of \$10,000,  |
|                       |     FAR Part 5 requires posting the          |
|                       |     requirement for public display for 10    |
|                       |     days prior to placing an order.          |
+-----------------------+----------------------------------------------+
| Buy American Act      | -   When obtaining price quotes, find out if |
|                       |     the products are foreign or domestic.    |
+-----------------------+----------------------------------------------+
| SOW Sample            | -   Utilize sample format for items that are |
|                       |     difficult to describe.                   |
+-----------------------+----------------------------------------------+

(Note: Applicable documents must be completed and maintained in the
Purchase Card file, along with the Quik

Procurement System (QPS) log sheets and receipts.)

**CHECKLIST TO PLACE PURCHASE CARD ORDERS OVER \$2,500**

Please note, when placing a Purchase Card order over \$2,500", take the
following steps:

1.  Is the supply or service on the "Listing of Restricted Items"? If
    you answer yes, you would be unable to use the Purchase Card.

2.  Although your item may not appear on the Listing of Restricted
    Items, you are required to screen against "Required Sources of
    Supply" prior to placing an order with your Purchase Card. A
    required source MUST be considered if it satisfies the need. Prior
    to placing an order with your Purchase Card, each purchase must be
    investigated to determine whether the mandatory requirement applies
    in that situation. Did you screen against required sources of supply
    and other contractual mechanisms and have adequate justification to
    document your file? For screening convenience, please access the
    below internal NIST purchase card url:
    <http://www-i.nist.gov/admin/aad/bankcard/frameset.htm> (click on
    Listing of Restricted Items or Mandatory Sources of Supply to access
    the electronic catalogs.) **TIP**: Allow your requisitioner to
    access the required sources of supply web site and locate a vendor

3.  Have you obtained "prior written approval" from your supervisor or
    approving official BEFORE making any purchase and documented the QPS
    log sheet with your findings?

4.  Utilize the "Purchase Card Worksheet for Vendor Quotes" along with
    "Cover Fax Sheet for Purchase Card Quotes" and place order with
    required source of supply using the Purchase Card.

5.  Only proceed to obtain quotes by open market/outside vendor, if you
    have exhausted the above steps. THEN FOLLOW

STEP 3.

6.  Utilize the "Purchase Card Worksheet for Vendor Quotes" along with
    "Cover Fax Sheet for Purchase Card Quote" and obtain quotes from
    open market/outside vendors.

7.  Use different vendors as frequently as possible. This is required by
    regulations. See document "Identifying Sources/Market Research." If
    you use the purchase card for Internet purchases, use only secure
    web sites.

8.  Have you completed the "Documentation for Orders Over \$2,500" which
    includes:

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a.  Completing the determination of fair and reasonable price;

b.  Documenting absence of competition;

c.  Soliciting 3 quotes;

d.  Perform a price analysis;

e.  Awarding to small business;

f.  Obtaining DOL wage rates for the Service Contract Act;

g.  Applying the Buy American differential to foreign products; and

h.  Completing documentation on Section 508 compliance.

9\. When you contact the vendor(s):

a.  Ask for Government sales;

b.  Ask if the contractor will accept the Government Purchase Card;

c.  Provide your name, agency, and location; and

d.  Ask if the items are in stock. Try to avoid partial deliveries.
    \[This hint will keep your bookkeeping to a minimum.\]

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10. Provide to the vendor:

> a\. The "Purchase Card Worksheet for Vendor Quotes" along with the
> "Cover Fax Sheet for Purchase Card Quotes."

(Note: The key to proper and consistent oral quotes is use of the
aforementioned Work and Fax Sheets that identifies all

of the information to be provided and obtained. Otherwise, you will
often fail to (i) comply with regulatory requirements

and (ii) provide/obtain important purchase information.) Cardholder
should complete the first page of the Worksheet

along with Fax Sheet. Cardholder should transmit the entire Worksheet so
the vendor may complete their portion and

return promptly to cardholder. If you are ordering a few items, you can
ask the questions contained on the Worksheet to

the vendor and complete the response on the document. At a minimum,
provide provisions and clauses to vendor as

well as asking all questions contained on the Worksheet;

b.  In some instances, typically service quotes, it may be necessary to
    attach to the Worksheet, the Statement of Work.

(See Statement of Work.); and

c.  Tell the vendor that the Government is tax exempt and give the
    applicable tax-exempt number. For example, Colorado's

tax exemption number is 98-04333.

11\. Obtain from the vendor:

a.  Name of the person quoting the price;

b.  The price(s) being quoted shall be **FREE ON BOARD (FOB)
    DESTINATION. FOB Destination means all costs shall be included in
    the quoted price, such as:** (i) transportation; (ii) special
    handling charges; (iii) any other type of charge; (iv) not‑to‑exceed
    price that you will be charged, if applicable, (i.e., the computer
    requires servicing and the vendor is not sure of the cost, you must
    obtain from the vendor, a not‑to‑exceed figure); (v) **Negotiate all
    terms up front.** Assure the prices being quoted include discounts.

c.  Whether the items quoted are of "domestic origin" (i.e.,
    applicability to the Buy American Act (yes or no). If yes, for
    evaluation purposes, you must apply a 6 or 12 percent differential.
    Document your findings;

d.  Agreement on all provisions and clauses; and

e.  Allow vendors 5-10 workdays to submit quote information. (**Note**:
    If the vendor cannot quote "on-the-spot", identify a date by which
    he should submit the oral quote. If descriptive literature is
    needed, request that it be mailed or faxed to you.)

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12. Ensure the "Purchase Card Worksheet for Vendor Quotes" is completed
    correctly and maintained in your files.

13. If applicable, post your order on a public board for 10 days prior
    to placement of order.

14. Up front, on the cover fax sheet, inform the vendor of the award
    criteria to evaluate the quotes. You must evaluate the quotes or
    offers received in order to determine which represents the most
    favorable deal for the Government. The critical determining factor
    is typically PRICE. When performing your price analysis, the two
    best methods are: Competitive quotes or offers or catalog or list
    prices:

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a.  Competitive quotes or offers -- The simple act of comparing the
    prices received are a form of price analysis. Unless there

> is some doubt about the adequacy of competition, this method is
> generally considered conclusive as to the reasonableness
>
> of price. You must be sure that the prices compared are submitted on
> the same basis and that factors such as
>
> transportation charges to be paid have been considered.

b.  Catalog or list prices -- Contractors publish prices for items
    regularly offered for sale. Quotes can be compared to

published prices. But take several precautionary steps. First, make sure
that the catalogs represent the actual prices that

are current or were recently being charged. Second, be sure that the
price listed is for an item sufficiently similar to the

required item to provide a sound comparison. Third, be sure that the
catalog or price list applies to the same class of

trade. If you are buying in wholesale quantities, the Pennys or Ward
prices are not indicative since they do not reflect

normal trade or quantity discounts.

15\. After completing the price analysis and selection of a vendor:

a.  Identify to the vendor that you are placing a purchase card
    purchase. Give your QUIK Procurement System

(QPS) number and VISA card number.

b.  Give the shipping and billing addresses as follows:

**For Purchase Card Purchases** ‑‑‑ The shipping AND billing addresses
are the same. Ensure you include

> the building and room numbers and that the zip code is ZIP 4
> compliant. For example:

DOC NIST Boulder

Attn: Jane Doe

325 Broadway 814.01

Boulder, CO 80305-3328

c.  When placing Purchase card orders, ask the vendor to include your
    QPS number **\"and name\"** on the shipping label and **\"DO NOT\"**
    include your card number.

d.  Enter ordering information into the QPS (log sheet) at this time
    (i.e., \"draft\" log sheet).

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e.  When the item/service is received, annotate the date on the NIST
    "Worksheet".

f.  Include on your QPS log sheet:

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a.  A brief, but \"clear\" description of procurement.

b.  Comments on screening against Required Sources of Supply or any
    other pertinent information should be placed in the field entitled
    \"comments\"); Invoice/Receipt ‑‑‑ \[**NOTE** ‑‑ The ***Original***
    should be maintained by purchase cardholder\];

c.  508 complaint;

d.  The accurate order date as well as accurate dates of service; and

e.  Any pertinent information relevant to order (use the field
    \"comments\").

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g.  Retain your purchase card documents for 3.3 years then follow the
    NIST procedures to retire files.

h.  Be prepared to have your documents reviewed periodically by
    MASC/AMD.

> PURCHASE CARD WORKSHEET FOR VENDOR QUOTES

(This is not an order)

# **CARDHOLDER SHOULD COMPLETE THE INFORMATION BELOW PRIOR TO SENDING TO THE VENDOR FOR QUOTE**

+---------------------+------------------------------------------------+
| ## Date of Request  |                                                |
+---------------------+------------------------------------------------+
| ### Vendor's Name   |                                                |
|                     |                                                |
| Address             |                                                |
|                     |                                                |
| Point of Contact    |                                                |
|                     |                                                |
| Telephone \#        |                                                |
|                     |                                                |
| Fax \#              |                                                |
+---------------------+------------------------------------------------+
| Item Description    |                                                |
+---------------------+------------------------------------------------+
| Quantity            |                                                |
+---------------------+------------------------------------------------+
| Unit of Measure     |                                                |
+---------------------+------------------------------------------------+
| Place of Delivery   |                                                |
+---------------------+------------------------------------------------+
| Shipping Address    |                                                |
+---------------------+------------------------------------------------+
| Date Quote Due Back |                                                |
| to Cardholder (no   |                                                |
| later than)         |                                                |
+---------------------+------------------------------------------------+

**Return Quote to :**

(cardholder's name, address,

telephone & fax numbers)

**Provisions and Clauses incorporated by reference --** This worksheet
incorporates the following provisions and clauses by reference, with the
same force and effect as if they were given in full text. To view the
provisions and clauses (full text), it can be accessed at URL
<http://www.arnet.gov/far/loadmain52.htm>

a\. 52.212-1 Instructions to Offers -- Commercial Items (October 2000)

b\. 52.212.3 Offeror Representations and Certifications -- Commercial
Items (April 2001)

> c\. 52.212-4 Contract Terms and Conditions -- Commercial Items
>
> d\. 52.212-5 Contract Terms and Conditions Required to Implement
> Statutes of Executive Orders -- Commercial Items
>
> (February 2001)

**Award Criteria:** Award will be based on lowest price.

#### 

####### Vendor to Complete and Submit Quote Back to Cardholder

1\. Vendor's Name :
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Address : \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

Point of Contact :

Telephone \# :

Fax \# :

2.  Requirements

> Line Item :
>
> Item Description :
>
> Quantity :
>
> Unit of Measure :
>
> Unit Price**\*** :

Total Price**\*** :

> Other Costs : \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
>
> (if applicable)

3\. Delivery Date :
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

4\. Are you a Small Business? : Yes \_\_\_\_\_ No \_\_\_\_\_

5\. Are you providing domestically made items: Yes \_\_\_\_\_ No
\_\_\_\_\_

6\. Tax Identification Number (TIN):
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

7\. Are you 508 compliant? : Yes \_\_\_\_\_ No \_\_\_\_\_

Vendor's Signature
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
Date \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

**\*** Price(s) being quoted shall be Free on Board (FOB) destination.
FOB destination means all costs shall be included

in the quoted price inclusive of transportation, special handling
charges, any other type of charge, discounts, etc.

######## COVER FAX SHEET FOR PURCHASE CARD QUOTES

**[National Institute of Standards & Technology]{.smallcaps}**

Boulder, Colorado 80305-3328

303-497-

Fax:

**TO: DATE:**

**FAX #: PAGES: (including cover sheet)**

**FROM:**

**SUBJECT:** Cover Fax Sheet for Purchase Card Quotes

**COMMENTS:**

Please complete the attached Purchase Card Worksheet for Vendor Quotes
and provide the information no later than
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.

***(Note: Always check url:
http://www-i.nist.gov/admin/aad/bankcard/frameset.htm for the most
current version.) PRIOR TO SCREENING AGAINST REQUIRED SOURCES OF SUPPLY,
CARDHOLDERS SHALL REVIEW THE LISTING OF RESTRICTED ITEMS. IF THE SUPPLY
OR SERVICE IS LISTED, YOU WOULD BE UNABLE TO USE THE PURCHASE CARD. IF
THE SUPPLY OR SERVICE DOES NOT APPEAR ON THE LISTING OF RESTRICTED
ITEMS, PROCEED TO THE SCREENING PROCESS WITH THE REQUIRED SOURCES OF
SUPPLY.***

LISTING OF RESTRICTED ITEMS

The following restricted items SHOULD NOT be purchased with the purchase
card:

IMPORTANT: Although your item may not appear on the listing, you are
required to screen against Required Sources of Supply" PRIOR to placing
an order with your purchase card. The required sources of supply are:

(a ) NIST excess property (url:
www-i.nist.gov/admin/aad/property/exframe.htm)

(b) Federal Prison Industries, Inc. (\"UNICOR\")

> General website: [http://www.unicor.gov](http://www.unicor.gov/) or
> call 1-800-827-FSS-0070
>
> Listing of Products: http://www.unicor.gov/unicor/sched2.html

(c) Committee for Purchase from the Persons Who are Blind or Severely
    Disabled NIB/NISH/JWOD

> General website: http:www.jwod.gov or call 1-703-603-7740

(d) GSA Program -- GSA Advantage

> General website: <http://www.gsaadvantage.gov/cgi-bin/advwel> or call
> 1-800-525-8027 or fax your order to 1-800-856-7057

####  RESTRICTED ITEMS

1.  **Meals or light refreshments** **associated with Conference or
    Registration fees**. Although it is acceptable to use your purchase
    card for conference or registration fees, sometimes the fees include
    meals or light refreshments. These expenses are allowable to the
    extent that the meal or refreshment is included in the conference
    and registration fee and is not separate charge, and the conference
    is hosted by a non-government organization. For employees on travel
    status, per diem must be reduced by the cost of the meals provided
    in the conference or registration fee. No deduction is required for
    light refreshments.

2.  **Membership fees (personal).** However, it is allowable to use your
    purchase card for "approved institutional" memberships (Director 's
    Office, NIST). Personal membership expenses are prohibited by
    legislation and/or GAO decisions, some of which are outlined in
    Principles of Appropriate Law, Volume I, Chapter 4.

3.  **Personal convenience items.** This includes, but is not limited
    to:

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a.  Coffeepots

b.  *Refrigerators*

c.  Microwaves

d.  Commuting expenses

e.  Parking tickets

f.  Personal fines

g.  *Gifts*

h.  Entertainment

i.  Personal clothing and footwear

j.  *Decorative items*

k.  Personal qualification expenses

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4.  **Telecommunication services**. However, it is allowable to use your
    purchase card for monthly [*cellular phone* *airtime, monthly pager
    service, monthly internet services, etc. as long as the total for
    each "type of service" does not exceed \$2,500 in the course of a
    Fiscal Year.*]{.underline} (Note: The purchase card is intended to
    be used for purchases of a non-recurring nature, though recurring
    purchases in these area are acceptable within the annual limits
    specified. Offices with recurring requirements for the same or
    similar types of supplies or services should contact the servicing
    acquisition office to explore more cost-effective means of meeting
    their acquisition needs.)

5.  **Business Cards** or paperstock to create your own card. It is
    allowable for **NIST** to purchase business cards with the purchase
    card provided the following has been ensured: (1) Obtain the
    appropriate approvals; (2) Cards will be provided for official
    purposes only; and (3) The cards conform with the required DoC
    business card format. (Note: Cards are required to be ordered from
    the Lighthouse for the Blind. Order form and policy are found at
    url: <http://www-i.nist.gov/admin/aad/bankcard/frameset.htm>)

6.  **Printing and Duplicating**

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a.  Includes printing, binding, blankwork, composition, platemaking,
    presswork, binding and micrographics as well as related supplies
    that are used and equipment that is usable in printing and binding
    operation.

b.  For publication of scientific/research articles in professional
    journals.

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7.  Long-term rental or **lease** of land or **buildings** (Long-term is
    generally defined as one year or more.)

8\. **Travel/Transportation/Vehicles (Department-owned or Leased
Vehicles)*:***

a.  **Travel or travel-related** **expenses** (excluding conference
    rooms, meeting spaces, and location transportation

> services (such as Metro farecards, subway tokens, etc.).

b.  Supplies or services for **Department-owned or Leased Vehicles**.
    Any supplies or services which should be placed on a travel card or
    fleet card, including the purchase of gas or oil. (Exception: On the
    rare occasion that a vendor will not accept the fleet card for
    fleet-related supplies or services, the cardholder must, prior to
    making the purchase, contact the Agency Program Coordinator (APC) or
    Head of the Contracting Office (HCO) to explain the circumstances
    and request approval to place the purchase on the purchase card.)

c.  \***Meals, drinks or lodging** (other than Conference or
    Registration fees listed herein)

d.  \***Leasing of Motor Vehicles** (not associated with official
    travel)

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10. **Cash advances**

11. **Copy paper.** (Note: The paper is available at the MASC Storeroom.
    Exception: The purchase card may be used to purchase paper from
    regional GPO offices, GSA or GSA Federal Supply Schedules.
    Cardholders may purchase copy paper from open-market sources if
    determined to be more cost-effective.)

12. **Construction services** (including building alterations, painting,
    installation of carpet, etc.). However, it is allowable to use your
    purchase card for construction services as long as the service does
    not exceed \$2,000 in a Fiscal Year.

13. \*\***Personnel recruitment advertisements**

14. **\* Paid advertisements in newspapers** (other than for recruitment
    of personnel).

\*Prior to purchase, these supplies or services require a special
approval (waiver) from the Head of the Contracting Office (HCO). (Note:
Cardholder should request this in writing (e-mail is acceptable) and
submit to the HCO for approval.) Approval should be maintained by the
purchase cardholder with the purchase card files.

\*\* Obtain approval from Personnel Manager prior to using the purchase
card.

If items are listed on the "Action Requiring Special Clearances" (url:
http:www-i.nist.gov/admin/aad/clearances/apcweb.htm) (replaced
Subchapter 2.03, Appendix C of the Administrative Manual), you should
obtain clearance from the Division listed with the document prior to
using the PC. The clearance information should be documented on QPS
logsheet within the field entitled Comments.

(NOTE: **Furniture should be screened against required sources of supply
and purchased from UNICOR**.)

**REQUIRED SOURCE OF SUPPLY**

Cardholders are required to adhere to the requirements of FAR 8.001,
which requires agencies to acquire supplies and services from designated
sources if they are capable of providing them. Cardholders must review
the required sources of supply prior to placing an order with an open
market vendor. The required sources of supply can easily be accessed at
the below urls:

(a) NIST excess property

> General website: http://www-i.nist.gov/admin/aad/property/exframe.htm

(b) Federal Prison Industries, Inc. (Unicor)

> General website: [http://www.unicor.gov](http://www.unicor.gov/) or
> call 1-800-827-FSS-0070
>
> Listing of Products: <http://www.unicor.gov/unicor/sched2html>

(c) Committee for Purchase from the Persons Who are Blind or Severely
    Disabled NIB/NISH/JWOD

> General website: [http://www.jwod.gov](http://www.jwod.gov/) or call
> 1-703-603-7740
>
> Listing of Products: <http://www.jwod.gov/suplist.htm>

(d) GSA Program (<https://www.gsaadvantage.gov/cgi-bin/advwel>) or call
    1-800-525-8027 or fax your order to 1-800-856-7057

> (Note: GSA operates an electronic ordering system, which simplifies
> orders from mandatory and optional Federal Supply Schedules.)
>
> **DOCUMENTATION FOR ORDERS OVER \$2,500** (i.e., competition, price
> analysis, 3 quotes, sole source, small business set-aside, Department
> of Labor wage rates, Buy-American applicability, and 508 Compliant)

I.  **DETERMINATION OF FAIR AND REASONABLE PRICE (Required on purchases
    over \$2,500)**

A. Cardholder:
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

(Name) (Signature)

B: Requirement: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

C.  Competition/Quotes Solicited: (3 quotes)
    \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

+--------------+-------------+----------+---------------+--------------+
| ###          | **Small     | ####     | ####          | **Selected   |
|              | Bu          |          |               | for Award?** |
| ###          | siness?\*** | **Date   | #####         |              |
|              |             | Sol      |  Price Quoted | **(check     |
| ### Ven      | **Reminder: | icited** |               | one)**       |
| dor/Merchant | Orders over |          |               |              |
|              | \$2,500 are |          |               |              |
|              | au          |          |               |              |
|              | tomatically |          |               |              |
|              | set-aside   |          |               |              |
|              | for small   |          |               |              |
|              | business**  |          |               |              |
+--------------+-------------+----------+---------------+--------------+
|              |             |          |               |              |
+--------------+-------------+----------+---------------+--------------+
|              |             |          |               |              |
+--------------+-------------+----------+---------------+--------------+
|              |             |          |               |              |
+--------------+-------------+----------+---------------+--------------+

> \*D. Price is determined to be fair and reasonable based on: (check
> one) - competition

+------------+---------------------------------------------------------+
|            | **Competitive Quotes (multiple quotes solicited;        |
|            | multiple quotes received (check one below)**            |
|            |                                                         |
|            | \_\_\_\_\_ Lowest quote was selected                    |
|            |                                                         |
|            | \_\_\_\_\_ Other than low price was selected. Per FAR   |
|            | 13.106-3, you must support the award decision           |
|            |                                                         |
|            | if other than price-related factors were considered in  |
|            | selecting the supplier.                                 |
|            |                                                         |
|            | (Note: You may need to attach a separate sheet for      |
|            | further explanation.)                                   |
+------------+---------------------------------------------------------+
|            | **Multiple quotes were solicited. Only one quote was    |
|            | received. (i.e., Price Analysis)**                      |
|            |                                                         |
|            | Per FAR 13.106-3, the price is determined to be fair    |
|            | and reasonable based on:                                |
|            |                                                         |
|            | **(NOTE: All selections require further explanation     |
|            | below.)**                                               |
|            |                                                         |
|            | **\_\_\_\_\_** Market Research                          |
|            |                                                         |
|            | \_\_\_\_\_ Comparison of proposed price with prices     |
|            | found reasonable on previous purchases                  |
|            |                                                         |
|            | \_\_\_\_\_ Current price lists, catalogs, or            |
|            | advertisements (However, inclusion of a price in a      |
|            | price                                                   |
|            |                                                         |
|            | list, catalog, or advertisement does not, in and of     |
|            | itself, establish fairness and reasonableness           |
|            |                                                         |
|            | of the price.)                                          |
|            |                                                         |
|            | \_\_\_\_\_ A comparison with similar items in a related |
|            | industry                                                |
|            |                                                         |
|            | \_\_\_\_\_ The cardholder's personal knowledge of the   |
|            | item being purchased                                    |
|            |                                                         |
|            | \_\_\_\_\_ Comparison to an independent Government      |
|            | estimate                                                |
|            |                                                         |
|            | \_\_\_\_\_ Other reasonable basis                       |
|            |                                                         |
|            | EXPLAIN:                                                |
|            |                                                         |
|            | (Note: You may need to attach a separate sheet for      |
|            | further explanation.)                                   |
+------------+---------------------------------------------------------+
|            | **Only one quote was solicited.**                       |
|            |                                                         |
|            | Per FAR 13.106-3(b)(3), you must explain the absence of |
|            | competition.                                            |
|            |                                                         |
|            | (Note: You may need to attach a separate sheet for      |
|            | further explanation.)                                   |
+------------+---------------------------------------------------------+

#### \*\*II. JUSTIFICATION FOR PURCHASE/ORDER FROM OTHER THAN SMALL BUSINESS

**(Required if purchase/order over \$2,500 was placed with other than a
small business, per FAR 19.502-2. Must award to**

**small business and document if award results to a large business.)**

The purchase/order was made from other than a small business for the
following reason: (check one and explain)

\_\_\_\_ The order was from a "required source of supply" which is not a
small business.

\_\_\_ The order was against a pre-established DoC contract which is not
a small business. The purchase card is being used to make payment.

\_\_\_\_ Subscription/publication (must be purchased from the publisher,
which is a large business).

\_\_\_\_ The item is proprietary in nature and could only be provided by
one source, which was a large business. (Describe item and attach a

sole source justification.)

\_\_\_\_ An effort was made to contact small businesses, but a small
business could not be located. (Describe efforts.)

\_\_\_\_\_Small business did not quote on all items. (It is not feasible
to split order.)

\_\_\_\_\_Small business did not quote. (explain)

\_\_\_\_\_Price quoted by small business was unreasonably high (explain)

\_\_\_\_\_Small business could not furnish items within the time
required: Delivery required by \_\_ and small business offered \_\_\_\_.

\_\_\_\_\_The order for reprints---page charges must be purchased from
the publisher of the magazine/journal.

\_\_\_\_\_The manufacturer/distributor is the only company able to
provide the parts or service due to restrictions imposed by the
manufacturer, or there is

a unique knowledge and capability from the manufacturer or the
distributor.

\_\_\_\_\_The manufacturer/distributor is the only company able to
provide the parts or service due to restrictions imposed by the
manufacturer, or there is

a unique knowledge and capability from the manufacturer or the
distributor.

\_\_\_\_\_Other -- explain. (Note: You may need to attach a separate
sheet for further explanation.)

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

> **III**. **BUY AMERICAN (BA) APPLICABILITY. BA act provides
> preferential treatment for purchases in the U.S. only domestic-end
> products may be purchased, except as provided in FAR Part 25.1.**
>
> (Yes \_\_ No\_\_\_\_)Requested vendor to state whether BA act is
> applicable. (See page \_\_\_\_???? )

**IV. SECTION 508 of the Rehabilitation Act. Is the vendor 508
compliant?** Yes \_\_\_\_\_ No \_\_\_\_\_\_ (See page ??????)

**[\*COMPETITION AND DETERMINATION OF FAIR AND REASONABLE
PRICE]{.underline}**

a.  Competition must be promoted to the maximum extent practicable. The
    cardholder should solicit 3 vendors.

b.  The cardholder must determine that the proposed price is fair and
    reasonable before making award. The determination must be written
    and contain the information illustrated in the document entitled
    "Determination of Fair and Reasonable Price." The determination that
    a proposed price is reasonable should be based on competitive
    quotations. If only one response is received, or the price variance
    between multiple responses reflects lack of adequate competition, a
    statement should be included in the cardholder's file giving the
    basis of the determination of a fair and reasonable price. The
    determination may be based on a comparison of the proposed price
    with prices found reasonable on previous purchases, current price
    lists, catalogs, advertisements, similar items in a related
    industry, value analysis, the cardholder's knowledge of the item
    being purchased or any other reasonable basis.

c.  When other than price related factors are considered in selecting
    the supplier, the cardholder should document the file to support the
    selection decision. Cardholders may evaluate quotations or offers
    based on price alone or price and other factors (e.g., past
    performance, or quality).

d.  The cardholder should establish and maintain informal records of
    oral price quotations in order to reflect clearly the propriety of
    placing the order at the price paid with the supplier. In most
    cases, this will consist merely of showing the names of the
    suppliers contacted and the prices and other terms and conditions
    quoted by each.

e.  Cardholders should retain data supporting purchases using simplified
    acquisition procedures to the minimum extent and duration necessary
    for management review purposes.

f.  If only one (1) source is solicited, the file must be supported with
    a written justification to explain the absence of competition.

**[\*\*SMALL BUSINESS SET-ASIDE]{.underline}**

a.  Federal law requires that ALL open market purchases in excess of
    \$2,500 be set aside for small businesses to ensure that a fair
    proportion of Government dollars go to the small business community.
    Accordingly, all purchases from large businesses must be justified.

b.  If an order were placed with a large business, it must be supported
    with a written justification that a small business could not be
    located and the small business was not able to satisfy the
    requirements of the purchase. The justification must indicate
    efforts taken to locate small business sources. The justification
    must be maintained with the order documentation.

> **IDENTIFYING SOURCES/MARKET RESEARCH**

Start with the requisitioner who may have found sources through market
research. Also, provide the requisitioner with I-MART and FedCenter
sources. Then, consult your own source list. Otherwise, check the
following, as needed:

a.  Yellow Pages (hardcopy or Internet)

b.  Contractor catalogs or brochures on file with your office or agency

c.  Small Business Administration (SBA) internet web site, "PRO-Net" or
    the below url:

> [http://pro-net.sba.gov](http://pro-net.sba.gov/)

d.  Internet search engines (e.g., Yahoo, Excite, Infoseek) or
    consolidated search engines (e.g.,
    [www.dogpil.com](http://www.dogpil.com/) or [www.googles.com;]()

e.  I-Mart - <http://www.imart.org/>; and

f.  FedCenter -- [http://www.fedcenter.com](http://www.fedcenter.com/)

> **ARE VENDORS SECTION 508 COMPLIANT?**

The Purpose:

-   To ensure that disabled federal employees and members of the public
    have access to and use of information and data that is comparable to
    the access and use of non-disabled individual.

Basics:

-   Electronic and Information Technology (EIT) acquired as of June 25,
    2001, must meet applicable accessibility standards

-   All acquired EIT must meet the standards (or provide comparable
    access), even if there are no identified disabled individuals who
    may use the EIT

-   Certain exceptions apply

-   Remedies are available if an agency fails to comply

-   Applicable to orders over \$2,500

What is Applicable and must be 508 Compliant:

-   EIT includes: (1) "any equipment or interconnected system or
    subsystem of equipment that is used in the creation, conversion, or
    duplication of data or information" such as software applications
    and operating systems, desktop and portable computers, and (2)
    "telecommunications products (such as telephones), information
    kiosks and transaction machines, World Wide Web sites, video and/or
    multimedia products, and office equipment such as copiers and fax
    machines."

Exceptions:

-   EIT meeting the standards is not commercially available

-   Acquisitions for national security systems

-   EIT acquired by the contractor and incidental to the contract

-   Located in a "back office"

-   Adding accessibility would change the fundamental nature of the
    product

-   Acquisition of accessible EIT would impose an undue burden on the
    agency

Micro-Purchase Exception:

-   Exception ends as of 1/1/03

-   Purchase under \$2500 and made on the open market

-   There is no micro-purchase exception for small purchases made
    against the GSA Federal Supply Schedule, or under GWACs.

Section 508 Decision-Making Process:

-   Requiring officials play a key role in the requisitioning phase.

-   For all EIT acquisitions, the market survey by the requiring office
    will determine what accessibility standards are required for the
    procurement

-   Preference is for products that meet the standards to the greatest
    degree, even if they don't provide the "best value" to the
    Government.

Steps in the Cardholder/Requisitioner Process:

-   Determine if an exception other than non-availability or undue
    burden applies

-   Determine the standards that apply to the prospective acquisition

-   Perform a market survey to determine if products that meet the
    applicable standards are available and if meeting the standards
    would not cause an undue burden.

-   If applicable, document nonavailability or request an undue burden
    determination

-   Document the contract file with the results of the market survey and
    include an explanation if a standard does not apply or applies only
    in part

-   Evaluate offers

Evaluation of Offers:

-   Award may only be made for EIT which fully meets all applicable
    standards

-   If no offer meets all applicable standards, then an agency must
    "procure the product that best meets the standards." This can be the
    product that meets applicable standards to the greatest degree or
    the one that better addresses the accessibility needs of the
    intended end users.

-   A best value determination is only made among the offerors who meet
    the applicable standards to the same degree

-   However, if eliminating an offer on the basis of failure to meet the
    standards would result in an undue burden, then the offer can be
    considered

Where is Section 508 Guidance?:

-   The Federal IT Accessibility Initiative Home Page at:

[www.section508.gov/](http://www.section508.gov/) - see the FAQs page,
which is the latest government-wide guidance

-   For DOC acquisition policy guidance, see Procurement Memorandum
    2001-01 (6/22/01) at:

[www.doc.gov/cam/](http://www.doc.gov/cam/)

> **POSTING INSTRUCTIONS**

For orders in excess of \$10,000, but not expected to exceed \$25,000
must be displayed for 10 days prior to award and in accordance with FAR
5.101(a)(2). In accordance with FAR subsection (ii) therein, display is
not required when oral solicitations (i.e., Work Sheet) is used.

> **BUY AMERICAN ACT**
>
> Only domestic-end products may be purchased, except as provided in FAR
> Part 25.1. The Buy American Act requires that only domestic-end
> products be acquired unless: (1) the products or materials are for use
> outside the United States; (2) the cost is unreasonable as determined
> in accordance with FAR 25.105; (3) the agency head determined that
> domestic preferences would be inconsistent with the public's interest;
> or (4) the products or materials are not mined, produced, or
> manufactured in the U.S. in sufficient commercial quantities or of a
> satisfactory quality.
>
> The file must be documented for adherence to the act. To determine
> whether a domestic product is less expensive than a foreign product,
> differentials are applied. Follow the steps outlined:

a.  Select a Contractor: Select the contract who's item best meets the
    requirements at the lowest price. If that contractor proposes to
    furnish a foreign product, the Buy American Act is applicable.

b.  Determine Lowest Price Quote: Examine the lowest (or best value)
    quote for a domestic item and determine if the contractor is
    classified as a small or large business.

c.  Apply Differential: Apply a 6 percent differential to the foreign
    price if the lowest domestic quote is from a large business. Apply
    12 percent if the quote is from a small business.

d\. Buy the Product: Buy from the firm that has the lowest "evaluated"
price.

####### STATEMENT OF WORK

> The purpose of a Statement of Work (SOW) is to communicate clearly,
> completely, and concisely the description of the item(s) or services
> needed by both purchasing personnel and potential contractors. In
> instances where a SOW is needed, the key elements/format can be
> accessed at the below url:
>
> <http://www-i.nist.gov/admin/aad/acquisition/aad-sow1.htm>