PGI 215.403-3 Requiring          data other than certified cost or pricing data.       To the extent that certified cost or pricing data are not required             by FAR 15.403-4 and there is no other means for the contracting             officer to determine that prices are fair and reasonable, the             offeror is required to submit “data other than certified cost or             pricing data” (see definition at FAR 2.101). In accordance with FAR             15.403-3(a), the offeror must provide appropriate data on the prices             at which the same or similar items have previously been sold,             adequate for determining the reasonableness of the price. The             following clarifies these requirements:          (1) *Data other than certified*             *cost or pricing data*. When             certified cost or pricing data are not required, the contracting             officer must obtain whatever data is necessary in order to determine             the reasonableness of the price. The FAR defines this as “data other             than certified cost or pricing data.” When TINA does not apply and             there is no other means of determining that prices are fair and             reasonable, the contracting officer must obtain appropriate data on             the prices at which the same or similar items have been sold             previously, adequate for evaluating the reasonableness of the price.             Sales data must be comparable to the quantities, capabilities,             specifications, etc., of the product or service proposed. Sufficient             steps must be taken to verify the integrity of the sales data, to             include assistance from the Defense Contract Management Agency, the             Defense Contract Audit Agency, and/or other agencies if required.             See PGI 215.404-1 (DFARS/PGI view) for more detailed procedures for             obtaining data from offerors to determine price reasonableness.          (2) Previously been sold.             Contracting officers shall request offerors to provide data related             to prior sales (or “offered for sale”) in support of price             reasonableness determinations.          (3) Adequacy of sales data             for pricing. The contracting officer must determine if the prior             sales data is sufficient for determining that prices are fair and             reasonable. If the sales data is not sufficient, additional data             shall be obtained, including cost data if necessary. See PGI             215.404-1 (DFARS/PGI view) for more detailed procedures for             obtaining whatever data is needed to determine fair and reasonable             prices.          (4) *Analysis of historical prices                paid by the Government*.          (i) The contracting officer shall             consider prices paid by the Government and commercial customers. The             contracting officer shall not rely solely on a prior price paid by the             Government, without further analysis (see FAR 15.404).          (A) The contracting officer shall             verify and document that sufficient analysis was performed to             determine that the prior price was fair and reasonable. Sometimes,             due to exigent situations, supplies or services are purchased even             though an adequate price or cost analysis could not be performed.             The problem is exacerbated when other contracting officers assume             these prices were adequately analyzed and determined to be fair and             reasonable.          (B) The contracting officer also             shall investigate and document the following considerations:          (*1*) verify that the             quantities were similar for pricing purposes, making adjustments as             necessary to ensure comparability with the current quantity             requirement;          (*2*) Consider whether the             historical purchases were recent enough to be relevant for the             purpose of establishing price reasonableness of the current             acquisition, and escalate or deflate the historical prices as             appropriate to facilitate comparison to the current proposed price;             and          (*3*) Validate that the terms             and conditions associated with the historical purchases were             comparable to the current terms and conditions, or adjust the             historical prices in a manner that accounts for the materially             differing terms and conditions .          (ii) Not verifying that a previous analysis was performed, or the consistencies in quantities, has been a recurring issue on sole source commercial products and commercial services reported by oversight organizations. Sole source commercial products and commercial services require extra attention to verify that previous prices paid on Government contracts were sufficiently analyzed and determined to be fair and reasonable.          (iii) At a minimum, a contracting             officer reviewing price history shall discuss the basis of previous             prices paid with the contracting organization that previously bought             the item. These discussions shall be documented in the contract             file.          (5) *Canadian Commercial                Corporation.* All contracts with the Canadian Commercial             Corporation (CCC) are placed in accordance with the practices,             policies and procedures of the Government of Canada covering             procurement for defense purposes (See PGI 225.870 ).             Contracting Officers may rely on the confirmation and endorsement of             the offer from the Canadian Commercial Corporation at 225.870-3(a) as an endorsement of the             cost/price as no more than would be charged to the Canadian             government.          (i) When 252.215-7003 or                252.215-7004 are             included in a solicitation with the Canadian Commercial Corporation,             the data required by paragraph (b)(i) and (ii), in concert with the             confirmation and endorsement of the offer, is intended to meet the             requirements of FAR 15.404-1 for documentation of fair and             reasonable pricing.          (ii) Use of 252.215-7003 or                252.215-7004 in             sole source acquisitions not meeting the threshold at 215.408(2)(i)(A) or (ii)(A)*(1)* or competitive acquisitions at any dollar value shall be             supported by a determination and finding justifying the anticipated             need for data other than certified cost or pricing data to determine             a fair and reasonable price.          (iii) When the contracting             officer anticipates the need for additional data to establish a fair             and reasonable price, specific data should be requested at time of             solicitation as detailed in DFARS 252.215-7003.          (iv) Examples of clause             use:          Scenario Requirement          Sole source to CCC, fixed price,                            with estimated value of $600 million.                      Include provision and clause in                            accordance with 215.408(2)(i)(A)*(2)*and (ii)(A(*1*)*(ii)*, respectively,                            because estimated value exceeds $500 million.Sole source to CCC, cost                            reimbursement, with estimated value of $800,000.                      Include provision and clause in                            accordance with 215.408(2)(i)(A)*(1)*and (ii)(A(*1*)*(i)*, respectively,                            because estimated value exceeds $750,000.Sole source to CCC,                            cost-reimbursement, with estimated value of                            $500,000.                      Do not include provision and                            clause, unless D&F is approved in accordance with                               215.408(2)(i)(B)and (ii)(A)(*2*)), respectively,                            because estimated value does not exceed $750.000.Sole source to CCC, fixed price,                            with estimated value of $800,000                      Do not include provision and                            clause, unless D&F is approved in accordance with                               215.408(2)(i)(B)and (ii)(A)(*2*)), respectively,                            because estimated value does not exceed $500                            million.Modifications to contracts that                            include the clause 252.215-7004.                      If 252.215-7004 is                            included in the contract, then data are required for                            modifications valued above the simplified acquisition                            threshold, or a higher threshold specified in the                            solicitation by the contracting officer, in                            accordance with 252.215-7004(b).(6) *Reporting requirements*.          (i) All contracting officers are             required to document, collect, and provide a report in the standard             digital format (see paragraph (ii) of this section to the (HCA) of             all denials of contracting officer requests to offerors/contractors             for data other than certified cost or pricing data that are not             resolved through the elevation process at PGI 215.404-1 (a)(i)(A)             and, therefore, require a determination by the (HCA) in accordance             with FAR 15.403-3(a)(4).          (ii) The (HCA) shall consolidate and             validate this information for all impacted contracts and             modifications regardless of dollar value and submit the information             in the standard digital format available at https://www.acq.osd.mil/dpap/dars/pgi/docs/Denials_Template_1-24-21. A completed report or note of             no findings is required to the Principal Director, Defense Pricing             and Contracting (DPC). Reports are due to DPC 30 days after the end             of each quarterly reporting period. Transmit reports electronically             to DPC at osd.pentagon.ousd-a-s.mbx.dpc-pcf@mail.mil.          (7)                *Delegation.* The HCA may delegate, no lower than one level             above the contracting officer, the authority to determine whether it             is in the best interest of the Government to issue an award in             accordance with DFARS 215.403-3(a)(4). This             designee may be the individual responsible for approval of the             prenegotiation objective (see DFARS 215.406-1), unless that             individual is the contacting officer.    **Parent topic:** PGI 215.403 Obtaining certified cost or pricing data.