252.234-7998 Notice of Earned Value Management System

This clause was introduced by the Revolutionary FAR Overhaul (EO 14275) and does not appear in the codified eCFR. It applies to contracts using the RFO model.

RFO Prescription

As prescribed in 234.203(1), use the following provision:

Current Text (RFO)

NOTICE OF EARNED VALUE MANAGEMENT SYSTEM (FEB 2026) (DEVIATION
2026-O0011)

(a) If the offeror submits a proposal in the amount of $100 million or more—

(1) The offeror shall provide documentation that the Cognizant Federal Agency
(CFA) has determined that the proposed Earned Value Management System (EVMS)
complies with the EVMS guidelines in the Electronic Industries Alliance Standard 748,
Earned Value Management Systems (EIA-748). (current version at time of solicitation).
The Government reserves the right to perform reviews of the EVMS when deemed
necessary to verify compliance.

(2) If the offeror proposes to use a system that has not been determined to be in
compliance with the requirements of paragraph (a)(1) of this provision, the offeror shall
submit a comprehensive plan for compliance with the guidelines in EIA-748.

(i) The plan shall—

(A) Describe the EVMS the offeror intends to use in performance of the
contract, and how the proposed EVMS complies with the EVMS guidelines in EIA-748;

(B) Distinguish between the offeror's existing management system and
modifications proposed to meet the EVMS guidelines;

(C) Describe the management system and its application in terms of the
EVMS guidelines;

(D) Describe the proposed procedure for administration of the EVMS
guidelines as applied to subcontractors; and

(E) Describe the process the offeror will use to determine subcontractor
compliance with EIA-748.

(ii) The offeror shall provide information and assistance as required by the
Contracting Officer to support review of the plan.

(iii) The offeror's EVMS plan must provide milestones that indicate when
the offeror anticipates that the EVMS will be compliant with the guidelines in EIA-748.

(b) If the offeror submits a proposal in an amount less than $100 million—

(1) The offeror shall submit a written description of the management procedures
it will use and maintain in the performance of any resultant contract to comply with the
requirements of the Earned Value Management System clause of the contract. The
description shall include—

(i) A matrix that correlates each guideline in EIA-748 (current version at
time of solicitation) to the corresponding process in the offeror's written management
procedures; and

(ii) The process the offeror will use to determine subcontractor compliance
with EIA-748.

(2) If the offeror proposes to use an EVMS that has been determined by the CFA
to be in compliance with the EVMS guidelines in EIA-748, the offeror may submit a
copy of the documentation of such determination instead of the written description
required by paragraph (b)(1) of this provision.

(c) The offeror shall identify the subcontractors (or the subcontracted effort if
subcontractors have not been selected) to whom the EVMS requirements will apply.
The offeror and the Government shall agree to the subcontractors or the subcontracted
effort selected for application of the EVMS requirements. The offeror shall be
responsible for ensuring that the selected subcontractors comply with the requirements
of the Earned Value Management System clause of the contract.

(End of provision)