Authority
Section 890 of the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2019 (Pub. L. 115-232), as amended by section 825 of the NDAA for FY 2020 (Pub. L. 116-92), section 818 of the NDAA for FY 2023 (Pub. L. 117-263) and section 841 of the NDAA for FY 2024 (Pub. L. 118-31)
Summary
This deviation rescinds and supersedes Class Deviation 2023-O0004. It implements the Section 890 Pilot Program, allowing contracting officers (Contracting Officers) to determine the extent and format of historical actual cost data offerors must submit instead of complete certified cost or pricing data. Contract actions must exceed $50 million and receive prior approval from the Director, Defense Pricing and Contracting (DPC)/PCF.
Contracting Officer Actions
1
Submit an application (Attachment 1) to osd.pentagon.ousd-a-s-mbx.dpc-pcf@mail.mil and obtain Director, DPC/PCF approval before issuing the solicitation.
2
Use deviation provision 252.215-7010 (Deviation 2024-O0007) in lieu of the basic or alternate of Defense Federal Acquisition Regulation Supplement 252.215-7010 in approved solicitations. Detail the required subset of cost or pricing data and format.
3
Use deviation clause 252.215-7997 (Deviation 2024-O0007) in lieu of Federal Acquisition Regulation 52.215-21 for approved contract modifications. Detail the specific cost or pricing data required in the request for proposal for the modification.
4
Use deviation clause 252.215-7998, Pilot Program to Accelerate Contracting and Pricing Processes (Deviation 2024-O0007), in solicitations and resulting contracts or modifications approved for the Pilot Program.
5
Base price reasonableness determinations primarily on offeror or contractor actual cost data from prior acquisitions, supplemented by traditional certified cost or pricing data where needed.
6
Engage in detailed dialogue with the offeror or contractor about the specific certified cost or pricing data required under the pilot before the solicitation is issued.
7
Submit both sets of pilot results (post-award and post-performance) to osd.pentagon.ousd-a-s-mbx.dpc-pcf@mail.mil as they become available.
Supersession
This deviation rescinds and supersedes Class Deviation 2023-O0004, issued January 17, 2023.
Eligibility threshold
Contract actions must have an anticipated value exceeding $50 million to qualify for the Pilot Program.
Best-suited actions
Recurring contract actions with reliable actual cost data and companies with approved business systems are best suited for the Pilot Program. No preference exists for contract type.
Fixed-price-incentive note
Use of a fixed-price-incentive contract type is not required. It can reduce cost risk and provide measurable results at acquisition conclusion.
Reporting requirements
Two measurements are required. The first occurs within three months after award. The second occurs within three months after completion of performance.
Expiration
This deviation remains in effect until January 2, 2028, or until otherwise rescinded.
Subcontract flowdown
COs may flow down the Section 890 pilot authority to first-tier or lower-tier subcontracts subject to the Truthful Cost or Pricing Data (Truth in Negotiations) Act. The CO must establish the extent and detail of historical actual cost data required from each covered subcontractor.
Point of contact
Contact Ms. Gina Bova at 937-200-4020 or regina.m.bova.civ@mail.mil for questions.
Affected Provisions and Clauses
252.215-7997
CLAUSE
Add clause 252.215-7997
MODIFIED
252.215-7998
CLAUSE
Substitute clause 252.215-7998
MODIFIED