# Presentation: 841101

## Advanced Certifications & NASA Acquisition

**Advanced Certifications & NASA Acquisition**

**Discussion with the National Women’s Chamber of Commerce**
**Kennedy Space Center**
**September 6, 2007**

## Advance Certifications

**NASA doesn’t create or rely on a “Qualified Bidders List” for our acquisitions**
**But, there are certain certifications that may be required for specific procurements, either as a flowdown of federal acquisition regulations or as requirements of the contract Statement of Work**
**There are some widely-recognized certifications that can enhance a company’s competitive posture, and may be required by prime contractors or subcontractors as a condition of subcontract eligibility**

## The Main Certifications

- ISO 9000 series
- AS 9100
- OSHA VPP
- Others:  affirmative procurement, LEED, EEE Parts, DAU equivalency, etc.

## ISO 9000 and AS 9100 series certifications

**The International Standard Organization sets 3 quality management standards to ensure vendor quality:**
**9001 for design & development, manufacturing, software development, etc.**
**9002 for production & installation**
**9003 for final inspection & testing**
**More and more large companies are demanding that their suppliers demonstrate ISO 3****rd****-party certification, not merely ISO-compliant practices**

## Certifications, Contd.

**Preparing for ISO 9000 certification can cost a small- to mid-size company from $25,000 to $50,000 or more in consultant fees, training programs, auditing costs, and registration.**
**Some companies say they get payback within 3-5 years, from improved processes and increased revenues accruing from new sales opportunities **
**One study of compared the 10 yr financial performance of ISO-certified versus non-certified companies in three US business sectors and found those with an ISO certification performed better with respect to Return on Assets than the control group without**
**The Aerospace Standard 9100 is tailored to companies in the aerospace industry.  **
**One of its objectives was to enhance competitiveness in the aerospace community by enabling consortiums of suppliers, whose quality systems can be audited by the prime contractor, and who support the prime’s AS certification and quality assurance.**

## ISO 9000 and AS 9100 Series Certifications, cont’d.

**The Johnson Space Center is certified to ISO 9001 for non-critical and non-complex activities, and to AS 9100 for critical or complex activities (directly related to manned space flight)**
**While JSC doesn’t make ISO or AS certification a pre-requisite for bidding on or winning a procurement, in nearly all RFP’s offerors are asked to explain how they will comply with JSC’s ISO and AS certifications.  **
**Typically, achieving ISO/AS standards is viewed as a strength in past performance evaluations and under mission suitability**

## OSHA Voluntary Protection Program (VPP) Certification

**The VPP has been established by OSHA to promote effective safety & health management systems through a partnership between management, labor, and OSHA.  **
**Cost savings or cost avoidance attributable to VPP programs come in a number of areas**
**Employee turnover rates**
**Worker compensation rates**
**Numbers and amounts of fines and penalties assessed**
**Results of external inspections**
**Cost of property damage, and insurance rates**
**Lost worktime days**

## VPP Certification, cont’d.

**JSC secured the VPP Star certification in 1999, the 1****st**** year it was available to government organizations**
**17 of our contractor team members have also achieved VPP Start certification—large and small businesses alike**
**For CY2006, the JSC Team Rate for total injury/illness was *****77.3% below***** the industry average, which is a positive outcome of VPP certification, and translates directly into cost savings and cost avoidance**

## VPP Certification, cont’d.

**JSC doesn’t make VPP certification a mandatory pre-requisite for our acquisitions. **
**RFP’s do require offerors to explain how their proposed processes will support JSC’s VPP Star status**
**Bidders must submit a safety & health plan with their proposals. **
** ****As part of the evaluation process JSC evaluates lost time rates, OSHA citations, and workers’ compensation experience modifiers **

## Other Certifications	

***LEED Accreditation***** For Construction Projects**
**	****NASA Policy Directive (NPD) 8820.3 requires incorporation of sustainable design principles to the maximum extent possible.  **
**	****The United States Green Building Council (USGBC) Leadership in Energy and Environmental Design (LEED) concepts are the primary implementation methodology used  to facilitate this initiative at JSC. **
** ****Projects that incorporate LEED requirements may require the contractor team to include a LEED Accredited Professional. **
**Information regarding the USGBC LEED Accreditation Program can be found at: **_[http://](http://www.usgbc.org/DisplayPage.aspx?CategoryID=1306)__[www.usgbc.org/DisplayPage.aspx?CategoryID](http://www.usgbc.org/DisplayPage.aspx?CategoryID=1306)__[=1306](http://www.usgbc.org/DisplayPage.aspx?CategoryID=1306)_**.**

## Other Certifications, cont’d.

**For Construction contracts**
**Bid Guarantees - Each bidder is required to submit with its bid a bid bond (Standard Form 24) with good and sufficient surety or sureties acceptable to the Government, or other security as provided in Federal Acquisition Regulation clause **_[52.228-1](http://www.arnet.gov/far/current/html/52_228_231.html)__, in the amount of twenty percent (20%) of the bid price, or $3 million, whichever is the lower amount. _
**Certification of Compliance with Davis Bacon Act (FAR 52.222-6) - Establishes the requirement for paying prevailing wages on public works projects. All Federal government construction contracts over $2,000, must include provisions for paying workers on-site no less than the locally prevailing wages and benefits paid on similar projects.**

## Other Certifications, cont’d.

**For **_**affirmative procurement**_** (see FAR and Executive Order 13101), or “green purchasing”, certifications regarding the use of recycled product contents and recovered materials during the course of contract performance may be required**
**Examples are the types, contents, and brand names/manufacturers of products such as janitorial supplies, paints, solvents, building materials, etc.**
**See NPG 8830.1 for NASA’s Affirmative Procurement Program**
**For **_**space flight certified hardware**_**, certifications of parts pedigree (e.g., for EEE parts) are required.**

## Other Certifications, cont’d.

**The *****typical business certifications***** regarding business size, and socioeconomic status, and SBA program participation are required for NASA procurements.**
***Standard certifications***** associated with procurements over $25,000 include compliance with the Buy American Act & North American Free Trade Agreements Act and child labor laws (requires certification of place of manufacture of end items)**
**Other contractor certifications which are **_**procurement-specific**_** appear in Section K of the Request for Proposal/Invitation for Bids.**