Defense Logistics Acquisition Directive · Revision 5 · January 2026

PART 1 – FEDERAL ACQUISITION REGULATIONS SYSTEM

(Revised January 31, 2022 through PROCLTR 2022-01)

1.105 Issuance. 1.105-3 Copies. 1.170 Peer reviews.

1.201-90 Maintenance of the DLAD. 1.201-91 Amendment of regulations.

1.301 Policy. 1.304 Agency control and compliance procedures.

1.402 Policy.

1.501-2 Opportunity for public comments.

SUBPART 1.1 – PURPOSE, AUTHORITY, ISSUANCE

(Revised February 25, 2019 through PROCLTR 2019-04)

1.105 Issuance.

1.105-3 Copies.

(S-90) The DLA Acquisition Compliance, Policy and Pricing Division—

(1) Maintains the published version of the Defense Logistics Acquisition Directive (DLAD) with Procedures, Guidance, and Information (PGI) (https://www.dla.mil/HQ/Acquisition/Offers/DLAD.aspx) on the Acquisition -- J7 SharePoint Website (https://dlamil.dps.mil/Sites/Acquisition/Pages/default.aspx) (scroll to Defense Logistics Acquisition Directive (DLAD) Revision 5 with PGI); and see DLA Acquisition Policy and Directives (J7) (https://www.dla.mil/HQ/Acquisition/Policy-and-Directives/), and scroll to Defense Logistics Acquisition Directive (DLAD) Revision 5 with PGI); and

(2) Provides the published version of the DLAD for posting on ACQUISITION.GOV (https://www.acquisition.gov/).

(S-91) The DLA Transformation Policy Management Division maintains the Official Repository for DLA Issuances (https://issue-p.dla.mil/Pages/default.aspx).

1.170 Peer reviews.

(b) Component peer reviews.

(i) HCAs are responsible for—

(A) Developing a peer review plan consistent with the requirements of DFARS 201.170 covering all procurement organizations within the Major Subordinate Command (MSC) by conducting regular peer reviews;

(B) Volunteers should be selected to conduct peer reviews from separate MSC and/or procuring organizations under a different HCA;

(C) HCA will provide MSC and/or procurement organization volunteers to support the Enterprise peer review initiative; and

(D) The MSC peer review coordinator will share best practices, lessons learned and challenges with the J73 Coordinator for annual reporting. J73 will issue a TMT requesting MSC/procuring organization input.

(ii) The J73 Coordinator is responsible for

(A) Collecting nominations for Defense Pricing, Contracting and Acquisition Policy (DPCAP) requirements quarterly;

(B) Managing the volunteer candidates across the enterprise and supporting the volunteer assignments as necessary;

(C) Ensuring volunteer participation is evenly distributed for review; and

(D) Compiling the annual report of best practices, lessons learned and challenges for shared across the enterprise.

(S-90) J7 reserves the right to request a review of any acquisition, based on various strategic concerns to include but not limited to procurement risk, dollar value, programmatic developments, etc.

SUBPART 1.2 – ADMINISTRATION

(Revised February 25, 2019 through PROCLTR 2019-04)

1.201-90 Maintenance of the DLAD.

1.201-91 Amendment of regulations.

Submit recommendations for amending the FAR or the DFARS to the DLA Acquisition Compliance, Policy and Pricing Division for approval by the DLA Acquisition Director and submission to the DAR Council.

SUBPART 1.3 – AGENCY ACQUISITION REGULATIONS

(Revised February 25, 2019 through PROCLTR 2019-04)

1.301 Policy.

(a)(1)(S-90) The Defense Logistics Agency (DLA) Director has authorized the DLA Acquisition Director to issue the Defense Logistics Acquisition Directive (DLAD). The DLAD implements and supplements requirements of the Federal Acquisition Regulation (FAR), the Defense FAR Supplement (DFARS), DFARS Procedures, Guidance and Information (PGI), Department of Defense publications, and DLA Issuances. Pursuant to FAR 1.304, the DLAD establishes DLA regulations relating to the acquisition of supplies and services under the authority of Title 10 USC Chapter 137, or other statutory authority.

(S-91) Only the DLA Acquisition Director is authorized to approve acquisition policies and procedures for use by DLA acquisition personnel. Procuring organizations shall not issue acquisition policies or procedures. The DLA Acquisition Director signs procurement policy letters (PROCLTRs) to issue policies revising the DLAD. The DLA Acquisition Compliance, Policy and Pricing Division assigns PROCLTR numbers, distributes PROCLTRs, and posts PROCLTRs on the Acquisition – J7 SharePoint site. Policies issued by PROCLTR are effective immediately, unless stated otherwise in the PROCLTR, and take precedence over the published version of the DLAD until the DLA Acquisition Compliance, Policy and Pricing Division incorporates the revisions into the published version.

(S-92) Provisions and clauses. When solicitation provisions or contract clauses are required, the following procedures apply:

(A) The CCO may approve provisions and clauses developed for a single procurement that fulfill a specific and unique requirement of the acquisition or are a result of negotiations, subject to review by Office of Counsel prior to incorporation into a solicitation or contract. Such provisions and clauses shall not constitute a deviation from higher-level regulations or from the DLAD, or otherwise require DPC approval. The CCO may delegate this authority to a level not lower than the Procurement Policy Chief. These provisions and clauses can be approved for one- time use only in a single acquisition or contract. One-time use provisions and clauses are not assigned DLAD numbers, but shall be identified in accordance with FAR 52.103 by title, date, and name of procuring organization that developed them.

(B) For a proposed repetitive-use provision, clause, or procurement note, or for a substantive change to an existing provision, clause, or procurement note, submit requests to the DLA Acquisition Compliance, Policy and Pricing Division. Include prescriptive policy for use of the provision, clause, or procurement note on either an enterprise or non-enterprise basis.

(a)(2) Procuring organizations are authorized by the DLA Acquisition Director to issue internal guidance within the limitations of FAR 1.301(a)(2).

1.304 Agency control and compliance procedures.

(1)(i) Submit requests for approvals required by DFARS 201.304(1)(i) to the DLA Acquisition Compliance, Policy and Pricing Division.

SUBPART 1.4 – DEVIATIONS FROM THE FAR

(Revised February 25, 2019 through PROCLTR 2019-04)

1.402 Policy.

(S-90) Submit requests for deviations to the DLA Acquisition Compliance, Policy and Pricing Division.

(S-91) The DLA Acquisition Compliance, Policy and Pricing Division assigns DEVIATION numbers, distributes DEVIATIONs, and posts DEVIATIONs at Acquisition DEVIATIONs (https://dlamil.dps.mil/sites/Acquisition/Pages/DEVIATIONs.aspx). The DLA Acquisition Compliance, Policy and Pricing Division provides a Standard Operating Procedure at Deviation Routing and Request Procedures.

SUBPART 1.5 – AGENCY AND PUBLIC PARTICIPATION

(Revised February 25, 2019 through PROCLTR 2019-04)

1.501-2 Opportunity for public comments.

(b)(2) Submit comments on proposed rules in the Federal Register to the DLA Acquisition Compliance, Policy and Pricing Division.

SUBPART 1.6 – CAREER DEVELOPMENT, CONTRACTING AUTHORITY AND RESPONSIBILITIES

(Revised March 20, 2025, through PROCLTR 2025-12)

1.601 General.

(a)(S-90) Contracting authority flows from the DLA Acquisition Director to the five HCAs for the DLA contracting activities designated in DFARS PGI 202.101. (See PGI 1.601 for limitations on HCA authority.)

(S-91) HCAs and CCOs may delegate their authorities under any paragraph of the DLAD with power of redelegation to other officials, unless the FAR, DFARS, DLAD or statute limits delegation of the authority. The CCOs will maintain a list of delegations authorized in this policy.

(S-92) Upload written delegations of authority in Document Automated Content Services- Records Management (DACS-RM) (https://www.private.dacs.dla.mil/dacsrm/cs?func=llworkspace).(DACS-RM training and access are required.)

(S-93) When acquisition documentation requires review and/or approval by the SPE or CAE, obtain Office of Counsel review, and submit the documentation through the HCA.

1.601-90 Critical acquisition responsibilities.

The HCA is responsible for maintaining oversight of the contracting function, which includes ensuring adequate oversight of all acquisitions conducted by the contracting activity and the fundamental integrity of its contracting system.

1.601-91 Contract Quality Review (CQR) Program.

(a) The CQR Program is a formal data-driven evaluation of quality performance to predetermined standards and the presentation of that evaluation in a manner that induces change towards improved contract quality. This continuous review cycle, using a standardized checklist, collects and maintains data to enable enterprise oversight, decision making, and corrective action planning. The CQR is synchronized with Contracting Officer (KO) Warrant Program reviews (see 1.602-90).

(b) For procedures associated with CQR Program roles and responsibilities, see DLAM 5025.03, Contract Quality Review (CQR) Program (https://issue-p.dla.mil/Published_Issuances/5025.03.pdf).

1.602-2 Responsibilities.

(d)(S-90)Contracting Officer’s Representative (COR). For information on COR function and requirements, see DoDI 5000.72, Change 2, DoD Standard for Contracting Officer’s Representative (COR) Certification DoDI 5000.72, Change 2, DoD Standard for Contracting Officer’s Representative (COR) Certification (https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodi/500072p.PDF?ver=Gz57VcITZqrt78aS_jH2Jg%3d%3d).

(d)(S-91)Joint Appointment Module (JAM) and Surveillance and Performance Monitoring (SPM) Module.

(i) JAM is the enterprise-wide module for executing nomination and appointment functions. SPM is the enterprise- wide module for executing COR monitoring functions. See Procurement Integrated Enterprise Environment (PIEE) (https://wawftraining.eb.mil/piee-landing/) for access to JAM and SPM. For training, see Joint Appointment Module (JAM) - Web Based Training (https://wawftraining.eb.mil/wbt/xhtml/wbt/jam/index.xhtml), which includes SPM and Government Purchase Card (GPC) roles.

(ii) The DISA DECC Ogden Electronic Business Service Desk is available to assist with technical problems with PIEE at Government Customer Support - Submit Issue (https://wawf.eb.mil/xhtml/unauth/web/homepage/governmentCustomerSupport.xhtml). Department Administrators at each procuring organization can assist with access and navigation issues.

(d)(S-92) For procedures associated with COR Program oversight roles and responsibilities, see DLAM 5025.14, Contracting Officer’s Representative (COR) Program (https://issue-p.dla.mil/Published_Issuances/COR%20PROGRAM%20CHANGE%201.pdf). Contracting officers shall appoint a nominated replacement COR, who is qualified and certified, within a maximum of 30 calendar days after the date either (i) the current COR appointment is terminated; or (ii) there is a requirement for a replacement due to a change in circumstances of the current COR, resulting in a reasonable expectation of the inability to perform effectively (e.g., conflict of interest, reassignment, separation from the Government). COR management shall proactively nominate a qualified and certified replacement COR in a timely manner to allow the contracting officer the ability to appoint the replacement within a maximum of 30 calendar days. Additional guidance on the appointment and duties of CORs is provided in the DoD COR Guidebook (https://www.acq.osd.mil/dpap/cpic/cp/docs/USA002477-17_DoD_COR_Guidebook.pdf).

1.602-2-90 Automated Procurement Systems Internal Controls (APSIC) Program.

(a) The APSIC Program standardizes the oversight of automated procurement system functional outcomes, pricing and responsibility logic, contracting officer training and documentation, postaward reviews of automated award files, and price trend analysis.

(b) For procedures associated with the APSIC Program, see DLAM 5025.06, Auotmated Procurement System Internal Control (APSIC) (https://issuep.dla.mil/Published_Issuances/Automated%20Procurement%20System%20Internal %20Control%20(APSIC).pdf )

1.602-2-91 Pricing Oversight Program.

(a) The Pricing Oversight Program implements consistent, process-driven verification and/or statistical sampling validation to ensure procuring organizations use acceptable cost or pricing analysis techniques. It promotes proven methodologies in acquisition strategy planning, evaluation, and award.

(b) For procedures associated with the Pricing Oversight Program, see All DLA Official Issuances (https://issue-p.dla.mil/Pages/ViewAllIssuances.aspx). Select “Issuance #”, and scroll to DLAM 5025.08, Pricing Oversight Program.

1.602-3 Ratification of unauthorized commitments.

(b) Policy.

(2) The HCA is authorized to approve ratification actions valued over the SAT. This authority is nondelegable.

(3) The CCO is authorized to approve ratification actions valued at or below the SAT. This authority is nondelegable.

(c)Limitations. The contracting officer shall—

(S-90) Prepare a request for ratification that conforms to requirements in the Ratification of Unauthorized Commitments Checklist at PGI 1.602-3(c)); and

(S-91) Submit the request to the CCO or HCA, as applicable (see 1.602-3(b)(2) and 1.602- 3(b)(3)).

(d)Nonratifiable claims.

(S-90) An unauthorized commitment does not exist when—

(i) The contractor—

(A) Performed without a contract;

(B) Acted in good faith; and

(C) Submitted a claim to the Government; and

(ii) The Government—

(A) Did not direct the contractor to perform without a contract; and

(B) Received a benefit from the contractor’s voluntary performance.

(S-91) The contracting officer may recommend payment on a quantum meruit basis for goods received or services rendered.

(S-92) To request relief on a quantum meruit basis, the contracting officer shall—

(i) Prepare a request for relief that conforms to requirements in the Quantum Meruit Checklist at PGI 1.602-3(d);

(ii) Coordinate the request through Office of Counsel and the procuring organization chain of command; and

(iii) Submit the request to the DLA Acquisition Operations Division for CAE approval. The CAE approval authority is nondelegable.

1.602-90 Contracting Officer (KO) Warrant Program.

(a) The KO Warrant Program establishes a standard program for the selection, appointment, termination, and reinstatement of contracting officers to ensure that only those individuals who fully meet selection criteria are appointed and retained as contracting officers. Warrant candidates must satisfy prequalification appointment standards and proficiency assessments. KO Warrant Program reviews are synchronized with CQRs (see 1.601-91) and conducted to objectively assess compliance outcomes. Individual proficiency reviews are conducted continuously to ensure integrity of all warranted KOs through comprehensive work product reviews. Procuring organizations shall maintain all evidentiary matter in two central repositories as follows:

(1) Maintain all documents in the procuring organization repository; and

(2) Maintain copies of all Standard Forms 1402 in the DLA Contracting Officer Warrant Database.

(b) For procedures associated with the KO Warrant Program, see DLAM 5025.04, Contracting Officer (KO) Warrant Program (https://issue-p.dla.mil/Published_Issuances/Contracting%20Officer%20(KO)%20Warrant%20Program%20wi th%20CAP%20changes.pdf); or DLA Issuances (https://issue-p.dla.mil/Pages/ViewAllIssuances.aspx, select “Issuance #”, and scroll to DLAM 5025.04

1.602-91 Nonappropriated funds.

DoD policy for contracting actions using nonappropriated funds is in DoD Directive (DoDD) 4105.67 and Army Regulation (AR) 215-4, Nonappropriated Fund Contracting.

1.603-3-90 Micro-purchase contracting authority.

(a) Holders of a Government Purchase Card (GPC) have authority to make micro-purchases. DLA’s GPC policies and procedures are provided in DLAM 5025.07, Government Purchase Card (GPC) Program (https://issue-p.dla.mil/Published_Issuances/Government%20Purchase%20Card%20Program%20(GPC).pdf). The Sub Process Owner will upload written appointments of GPC holders in Document Automated Content Services-Records Management (DACS-RM) (https://www.private.dacs.dla.mil/dacsrm/cs?func=llworkspace). (DACS-RM training and access are required.)

(b) The HCA may issue written designations of authority to make micro-purchases by means other than the GPC to individuals who have completed CON 237, Simplified Acquisition Procedures. The Sub Process Owner will upload written designations in Document Automated Content Services-Records Management (DACS-RM) (https://www.private.dacs.dla.mil/dacsrm/cs?func=llworkspace). (DACS-RM training and access are required.)

1.603-3-91 Ordering officers.

(a)(l) This policy covers DLA ordering officers only.

(2) Contracting officers have the authority to appoint qualified DLA personnel as ordering officers for the purpose of placing orders under fixed-price indefinite delivery contracts (IDCs) or blanket purchase agreements (BPAs) awarded by DLA contracting officers for supplies or services. The contracting officer shall not appoint ordering officers for IDCs or BPAs that require negotiation of prices or any other contract terms. The contracting officer does not have authority to appoint ordering officers to execute modifications. (Refer to FAR 43.102(a)(1).)

(b) Include procurement note L23 in IDCs or BPAs when the contracting officer has assigned an ordering officer.

(c) Appointment of ordering officer.

(1) The contracting officer shall appoint a DLA ordering officer using the appointment letter in 53.9001(a). The contracting officer shall insert the IDC or BPA number and the name and contact information of the appointed ordering officer in procurement note L23 in the contract.

(i) The contracting officer shall present the appointment letter to the DLA ordering officer and provide instructions on authorities and responsibilities. The DLA ordering officer shall sign the appointment letter to signify receipt of instructions and understanding.

(ii) The contracting officer shall include the appointment letter, and training documents, as stated in 1.603-3-91(f), in the contract file and send an electronic copy to the procuring organization warrant program manager.

(2) The procuring organization warrant program manager shall record the appointment in the Active Ordering Officer Warrant List and take appropriate actions to load authority in the contract writing system. For Enterprise Business System ordering officers, the procuring organization warrant program manager shall enter the ordering authority amount in the "Output Limit" field only. Do not enter data in the “Approval Limit” field.

(3) If an IDC or BPA has a contracting officer’s representative (COR) assigned, the contracting officer shall distribute a copy of the ordering officer’s appointment letters to the COR.

(4) The contracting officer shall notify contractors and other appropriate personnel in writing when an ordering officer’s appointment is terminated or a new ordering officer is appointed prior to completion of the IDC or BPA.

(d) Ordering officer official file.

(1) DLA ordering officers shall maintain an official ordering officer file for each IDC and BPA for which they are authorized as an ordering officer. The ordering officer shall include in each file, at a minimum, the appointment letter and a spreadsheet listing all orders issued by the ordering officer.

(2) DLA ordering officers shall provide to the contracting officer on a monthly basis the list of orders they have issued.

(e) Limitations. Ordering officers are not authorized to and shall not—

(1) Delegate their ordering authority.

(2) Place an order for supplies or services not expressly within the scope of the IDC or BPA.

(3) Take any action that could be considered an alteration of the terms and conditions of the IDC or BPA in any way, either directly or by implication.

(4) Take any action that could be considered a termination of the IDC or BPA in any way, either directly or by implication.

(5) Issue modifications to the IDC, BPA, or individual orders.

(6) Issue instructions to the contractor to start or stop work.

(7) Take any other action identified in their appointment letter as a limitation of their authority.

(f) Qualifications. The contracting officer shall only appoint DLA ordering officers who—

(1) Are DLA employees.

(2) Have completed, at a minimum, the following continuous learning courses through Defense Acquisition University (https://www.dau.edu/):

(i) CLC005 Simplified Acquisition Procedures.

(ii) CLM049 Procurement Fraud Indicators.

(iii) DLA Annual Ethics Training or CLM003 Overview of Acquisition Ethics.

(g) Oversight.

(1) The contracting officer shall ensure ordering officers—

(i) Operate within the scope and limitations of authority delegated and FAR Subparts 3.1 and 3.2.

(ii) Maintain standards of conduct prescribed in DoD Directive 5500.07, Standards of Conduct, and DoD 5000.07-R, The Joint Ethics Regulation (JER), and FAR Subparts 3.1 and 3.2.

(iii) Do not engage in improper practices, such as splitting purchase transactions to avoid monetary limitations or delegating authority to others.

(iv) Establish and maintain an official ordering officer file for each IDC and BPA for which they are authorized as an ordering officer; which file shall include, at a minimum, the appointment letter and a spreadsheet listing all orders issued by the ordering officer.

((v) Submit correct and timely information for contracting action reporting purposes.

(vi) Comply with any additional requirements stated in their appointment letter or required by the IDC or BPA.

(2) The contracting officer or the procuring organization warrant program manager shall review a sample of orders issued by the ordering officer to ensure compliance with the authorities authorized in the appointment.

(i) The sample size shall be sufficient to ensure the ordering officer is satisfactorily performing ordering officer duties.

(ii) The review shall verify the ordering officer did not perform unauthorized actions as outlined in section 2a of the appointment letter.

(iii) The review shall verify the ordering officer properly performed the following actions:

(A) Ordered only supplies or services expressly within the scope of the IDC or BPA.

(B) Promptly notified the contracting officer when the ordering officer recommended increasing the quantity or dollar value or extending the ordering period to meet emergency requirements, if the contract terms and conditions permit.

(C) Established and maintained an official ordering officer file for each IDC and BPA for which they have ordering officer authority; including, at a minimum, the appointment letter and a spreadsheet listing all orders issued by the ordering officer.

(D) Complied with any additional requirements stated in their appointment letter or required by the IDC or BPA.

(iv) The contracting officer or the procuring organization warrant program manager shall conduct the review on an annual basis.

(v) The contracting officer or the procuring organization warrant program manager shall ensure copies of review findings are retained in the official ordering officer’s file.

(h) Termination.

(1) Appointing authorities may terminate ordering officer appointments at any time.

(2) The contracting officer shall normally terminate ordering officer authority promptly when—

(i) An ordering officer exceeds the delegated authority or fails to perform properly within the appointment authority; or

(ii) An ordering officer fails to complete assigned corrective actions noted during review.

(3) The contracting officer shall execute terminations in writing; except that ordering officer appointments are automatically terminated when the IDC or BPA ends or when the ordering officer leaves Government employment.

(4) Upon termination of the appointment, the contracting officer shall verify if the individual is an ordering officer on any other IDCs or BPAs. If they are not, the contracting officer shall contact the procuring organization warrant program manager, who shall take appropriate actions to remove the terminated ordering officer from the contract writing system.

(i) Disposition.

(1) Upon completion of the IDC or BPA, the ordering officer shall forward to the contracting officer any hard copy records maintained.

(2) If an appointment is terminated before the IDC or BPA completion, the ordering officer shall provide all records to the ordering officer’s successor and the contracting officer.

1.604 Contracting officer’s representative (COR).

For policies regarding the Joint Appointment Module (JAM) and Surveillance and Performance Monitoring (SPM) Module in the Procurement Integrated Enterprise Environment (PIEE), see.see 1.602-2 Responsibilities.

1.670 Appointment of property administrators and plant clearance officers.

(a) The appropriate agency appointment authority is the HCA. This authority may be delegated no lower than the O6/GS-15 level.

(b) DLA employees who meet the requirements specified in DFARS 201.670(b), including employees serving in the 1103 or 1150 job series or military equivalent job series, may be considered for appointment as Property Administrators or Property Managers. DLA does not appoint Plant Clearance Officers. Property administrator duties are identified in the DoD Guidebook for Contract Property Administration, dated DoD Guidebook for Contract Property Administration, dated December 2014 (https://dodprocurementtoolbox.com/cms/sites/default/files/resources/GFP%20Guidebook%20DEC%20Fomatted%2011122014.pdf).

1.690 Contract clearance and oversight.

1.690-1 Establishment of business clearance authority.

(a) The DLA Acquisition Director has delegated clearance authority to the lowest possible level consistent with law and regulation. Clearance for purposes of this section is the authorization to proceed to the next stage in the acquisition. This section applies to all acquisitions regardless of funding source. Clearance must be obtained at three stages of an acquisition: (1) Acquisition Strategy, (2) Pre-Solicitation, and (3) Pre-Award. At each stage, a cross-functional panel or board will review the submitted package and advise the clearance decision-maker of considerations affecting clearance. For Senior Procurement Executive (SPE)-level clearance, schedule with J73, Acquisition Operations Division, as early in the acquisition process as possible.

(1) Acquisition Strategy Review Panel (ASRP). The documents required for ASRP review include market research, Business Case Analysis (BCA) (if applicable), and ASRP slide deck, and a Staff Summary Sheet (SSS) evidencing review and coordination at the local MSC / Contracting Activity level.

(2) Pre-solicitation Integrated Acquisition Review Board (IARB): The documents required for Pre-Solicitation IARBinclude market research, BCA/revalidation (if applicable), DD Form 2579, the acquisition plan, the source selection plan (if applicable), proposed solicitation (with attachments), draft Contract Management Plan (if applicable), Pre-solicitation IARB slide deck, and a Staff Summary Sheet. (SSS) evidencing review and coordination at the local MSC / Contracting Activity level.

(3) Pre-award IARB: The documents for will include the final solicitation including amendments, the Price Negotiation Memorandum (if applicable), the draft Source Selection Decision document or Award Decision Document, signed staff summary sheet, and the Pre- Award slide deck, and a Staff Summary Sheet (SSS) evidencing review and coordination at the local MSC / Contracting Activity level.

(4) All clearance slide deck template are found on the J7 SharePoint Page.

(5) All clearance packages shall be submitted via TMT to J7 Acquisition Operations Division at least 10 business days prior to the scheduled clearance meeting. If the submitted package is incomplete, the acquisition team risks delay of the scheduled clearance meeting.

(6) Requests to hold a combined ASRP/Pre-Solicitation IARB should be atypical and shall be thoroughly justified by the acquisition team. Such requests should be made early 5 in the acquisition planning process to allow sufficient time to hold an ASRP if the clearance authority does not approve the combined request.

(7) Minutes shall be drafted of all clearance meetings, capturing the clearance decision and any action items required to be completed prior to granting business clearance approval. Minutes shall be maintained in the contract file.

(b) Clearance authority thresholds:

(1) Clearance authority for Major Defense Acquisition Program (MDAP) is OSD unless authority has been delegated to DLA. MDAP includes procurements of more than $3.065 billion and RDT&E expenditures of more than $525 million.

(2) Clearance authority for Major Systems is the Component Acquisition Executive (CAE). This authority cannot be further delegated. A Major System includes procurements of more than $930 million and RDT&E expenditures of more than $200 million.

(3) Clearance authority for the acquisition of services over $250M and less than $1B (less than $500M for IT services) is the Senior Procurement Executive (SPE) in coordination with the Senior Services Manager (SSM). This authority cannot be further delegated.

(4) Clearance authority for the acquisition of services up to $250M is the HCA. HCAs are authorized to redelegate, in writing, clearance authorities within their contracting activity.

(5) Clearance authority for the acquisition of supplies over $1B is the SPE. The SPE may delegate this authority to the HCA, in writing on an individual solicitation or award basis. This authority cannot be further delegated.

(6) Clearance authority for the acquisition of supplies up to $1B is the HCA. HCAs are authorized to redelegate, in writing, clearance authorities within their contracting activity.

(7) Clearance authority for acquisitions valued at or over $2M which includes bundling is the SPE. This authority cannot be further delegated. For these acquisitions, an ASRP is required.

(8) The clearance authority thresholds apply to all acquisitions requiring a BCA. A SPE level ASRP is required for all acquisitions regardless of dollar value with BCAs impacting operations from another Major Subordinate Command (MSC).

(9) Clerance authorities such as the SPE, the CAE, and SSM (for acquisition of services) reserve the right to review any acquisition at any dollar value with that has an impact to mission criticality, warfighter operational support, financial investment, stewardship responsibilities, or where there is known special or significant interest.

1.690-2 Portfolio reviews.

The SPE will conduct biannual portfolio reviews of each contracting activity. The reviews will address:

(a) Oversight program.

(b) Pricing.

(c) Competition.

(d) Systems support.

(e) Better Buying Power implementation and metrics.

(f) Small Business program and implementation.

(g) Strategic acquisitions.

(h) Feedback from CCOs and contracting officer supervisors.

1.690-3 Strategic solution analysis reviews.

(a) Major Subordinate Commands (MSCs) shall use the Strategic Solution Analysis Template (https://dlamil.dps.mil/sites/Acquisition/Shared%20Documents/Acquisition%20Home%20Page/Template%20-%20Strategic%20Solution%20Analysis%2020180913.docx) when analyzing and recommending strategic solutions, for sustainment strategies, that would impact multiple MSCs.

(b) MSCs shall complete the Strategic Solution Analysis Template during the requirement development phase and prior to approval of the acquisition strategy.

(c) The MSC who is leading the strategic solution to conduct the analysis shall coordinate with the other MSCs, and obtain approval from the Enterprise Operations Planning Council prior to approval of the acquisition strategy.

(d) The Strategic Solution Analysis is in addition to the requirements of DLAI 5010.06,

“Business Case Analysis” (see 1.690-5).

1.690-4 Enterprise strategic requirements and acquisition plan (STRAP) review and

collaboration.

(a) STRAP is defined as planned requirements and acquisitions valued above the simplified acquisition threshold that represent high risk and constitute critical impact to the Agency’s mission and/or acquisition business as defined in 2.101.

(b) STRAP candidates are prioritized and nominated by the MSC, SCRM, Warstopper, or other Agency element, based on qualitative/quantitative analysis and assessment of risk and critical impact to the Agency’s mission and acquisition business.

(c) STRAP candidates that are deemed high risk and constitute critical impact to the Agency’s mission and acquisition business will be nominated for an enterprise review and collaboration.

(d) J73/J32 will co-lead, coordinate, and facilitate the enterprise review and Performance-to- Promise (P2P) battle rhythm event with the MSC and J/D (J1, J3, J6, J8, DB, DG, DI) representatives.

(e) MSC and J/D representatives will participate in the enterprise review and collaboration for discussion, input, comments, feedback, and validation of risk assessment and critical impact to the Agency’s mission and acquisition business.

(f) Expected outcomes from the enterprise review and collaboration are validated risk and critical impact to the Agency’s mission and acquisition business and selection of prioritized STRAP candidate(s) for presentation at the P2P event.

(g) The MSC will champion and brief selected STRAP candidate at the P2P event.

(h) In collaboration with the MSC, J7 and J/D representatives reserves the right to select and recommend STRAP candidates, regardless of the dollar value, for an enterprise review/collaboration and P2P presentation.

(i) Refer to PGI 1.690-4, (S-90) for risk analysis/assessment and (S-91) for the enterprise review and collaboration procedures.

1.690-5 Business case analysis (BCA).

In accordance with DLAI 5010.06, Business Case Analysis (https://issuances.dla.mil/Published_Issuances/Business%20Case%20Analysis%20(BCA).pdf), and Office of Management and Budget Circular A-94, procuring organizations shall—

(a) Conduct appropriate cost analyses to validate the acquisition strategy, including cost-benefit analyses.

(b) Revalidate any BCA performed in support of the acquisition strategy prior to each change in the acquisition strategy or every five years, whichever occurs first.

(c) Include in BCAs for services an independent government cost estimate (IGCE) in accordance with guidance at DoD Independent Government Cost Estimate (IGCE) Handbook for Services Acquisition (https://www.acq.osd.mil/dpap/sa/Policies/docs/DoD_IGCE_for_SA_Handbook.pdf).

1.691 Legal review.

(a) For purposes of this section, “contract action” includes both FAR and non-FAR procurements (including other transaction agreements), contracts, and related actions, including contract administration modifications such as option exercises and other substantive modifications, but excluding administrative modifications not requiring the significant exercise of discretion by the contracting officer; “simplified acquisition threshold” (SAT) means the threshold amount stated in its definition in FAR Subpart 2.1 (or as increased by FAR deviation if a statutory increase has not yet been implemented in the FAR), without adjustment for special circumstances.

(b) DLA contracting activities shall, at a minimum, require legal review for all contract actions, including supporting documents such as required determinations and findings, requiring review and/or approval by the HCA or Chief of the Contracting Office (Director of Supplier Operations for Depot Level Reparable (DLR) sites); the DLA Acquisition Director, the Senior Procurement Executive, or the Component Acquisition Executive; the DLA Logistics Operations Director; or the Agency Director.

(c) Contracting offices under the DLA Acquisition contracting activity shall ensure that legal review is accomplished on all contract actions, including supporting documents such as required determinations and findings, requiring review and/or approval by the HCA or Chief of the Contracting Office (Director of Supplier Operations for DLR sites); the DLA Acquisition Director, the Senior Procurement Executive, or the Component Acquisition Executive; the DLA Logistics Operations Director; or the Agency Director; and all other contract actions with an estimated value over the following thresholds:

(1) DLA Contracting Services Office -- Philadelphia – $700,000;

(2) DLA Contracting Services Office – Other – $500,000;

(3) DLA Disposition Services - $700,000;

(4) DLA Distribution - $1 million;

(5) DLA Strategic Materials - $700,000.

(d) Pre-award review will include at least the following documents:

(1) Solicitation packages, including solicitation documents (e.g., RFP, RFQ) with SOW/PWS/SOO, acquisition plans, source selection plans, justifications and approvals/limited source justifications, required determinations and findings, and related documents; and

(2) Negotiation and preaward documents for best value awards, including competitive range determinations and award documentation (e.g., price negotiation memorandum and source selection decision document).

(e) All DLA procuring organizations shall obtain legal review and advice of Office of Counsel:

(1) In the preparation and review of acquisition documents for procurements that are subject to procuring organization or DLA ASRP and IARB, DLA or DoD Peer Review, or are included on the list of STRAP procurements that are reported to the Agency Director.

(2) In the preparation of procurement notes, provisions, or clauses that are not in the FAR, DFARS, or DLAD, and are not required to be approved by DLA Acquisition, which are to be contained in solicitations, including all DLA EPA clauses and revisions to EPA clauses; prior to taking action to resolve any instance of defective cost or pricing data or false claim; and on any questionable legal areas in acquisitions, such as the preparation and/or execution of contractual documents.

(3) All actions listed below. Some of the listed actions are subject to value thresholds; where a threshold is not stated, the action requires legal review regardless of value.

(i) Justifications and approvals/limited source justifications/brand name justifications for exceptions to fair opportunity for contract actions valued over the SAT (valued over $700,000 for DCSO – Philadelphia), and redaction of justification documents required to be made publicly available;

(ii) Non-responsibility determinations (FAR Subpart 9.1);

(iii) Waivers to tailor commercial clauses (FAR 12.302);

(iv) Offeror-proposed terms and conditions or exceptions to solicitation requirements;

(v) Late offer determinations (FAR 15.208);

(vi) Bundling and/or consolidation memoranda;

(vii) Mistake in bid/offer type issues;

(viii) Multi-year contract determinations (see FAR Subpart 17.1);

(ix) Waivers of certified cost or pricing data requirements;

(x) Cost Accounting Standards issues to include waivers;

(xi) Buy American Act, Balance of Payments Program, and/or Trade Agreements Act waivers;

(xii) No-cost contracts;

(xiii) Letter contracts and other undefinitized contract actions (see Subpart 17.74);

(xiv) Solicitation and award of non-firm-fixed price and non-fixed price with EPA type contracts/orders valued over the SAT;

(xv) Procurements valued over the SAT (valued over $25 million for DCSO – Philadelphia) using non-DOD contracts (direct or assisted);

(xvi) Equipment or vehicle leases valued over the SAT;

(xvii) Advance payments and contract financing (see FAR Subparts 32.1 through 32.5, and 32.10);

(xviii) Research and development procurements and broad agency announcements valued over the SAT (valued over $2 million for DCSO – Philadelphia);

(xix) Small Business Program matters, including:

(A) Protests of small business size status and representations for all Small Business Administration (SBA) programs (FAR Subpart 19.3);

(B) Disagreements with the SBA regarding small business set-asides or bundling or consolidation issues (FAR Subpart 19.5; FAR Subpart 7.1);

(C) Certificate of Competency referrals to the SBA (FAR Subpart 19.6);

(D) Disagreements with the SBA regarding any aspect of the Section 8(a) program (FAR Subpart 19.8);

(E) SDVOSB matters (FAR Subpart 19.14);

(xx) Tax matters and negotiations, including foreign taxes and exemptions (FAR Part 29);

(xxi) Assignment of claims (FAR Subpart 32.8);

(xxii) Requests from non-DLA activities and agencies for contracting support or by other countries for support under Acquisition and Cross-Servicing Agreements (ACSA) or Fuel Support Agreements;

(xxiii) Revisions and additions to procurement policy;

(xxiv) Cost allowability/reasonableness/allocability determinations;

(xxv) Novation and change of name agreements;

(xxvi) Bankruptcy related issues;

(xxvii) Ratifications and Quantum Meruit Claims;

(xxviii) Conflict of interest issues and determinations;

(xxix) Equitable adjustments valued over the SAT;

(xxx) Contracting officer final decisions;

(xxxi) Claims, disputes, and protests, including related actions such as stay overrides;

(xxxii) Cure/show cause notices in procurements valued over the SAT;

(xxxiii) Terminations for default/cause or convenience (not applicable to unilateral purchase orders);

(xxxiv) Requests for extraordinary contract relief, including indemnification for nuclear or other unusually hazardous risks (see FAR Part 50).

(4) When legal review is required by or conducted in accordance with another section of the FAR/DFARS/DLAD, the requirements of that section will govern.

(5) Legal review is not required for routine issuance of task or delivery orders against existing DLA contracts (competed task orders are not considered routine), contracts developed by another agency in conjunction with DLA (e.g., Department of Veterans Affairs medical/pharmaceutical contracts), or for administrative modifications not requiring the exercise of discretion by the contracting officer.

(f) Procuring organizations shall promptly refer matters for legal review. All acquisition matters referred for legal review shall be accompanied by a complete file with supporting material as appropriate (hardcopy or digital) or with a link to the relevant contract documents if maintained on a networked system to which the legal office has access. Procuring organizations should consider and include the anticipated time for legal review in acquisition planning timelines. If a procuring organization is contacted by a non-government attorney, the activity or office will immediately notify Office of Counsel.

(g) This policy shall not be further supplemented without the approval of the DLA Acquisition Director in consultation with the DLA General Counsel, except as stated herein. Procuring organizations may submit a request for exception to a specific part of the policy in this section to the DLA Acquisition Director, who will determine whether to grant an exception in consultation with the DLA General Counsel. Requests for exception shall be coordinated with the appropriate Chief Counsel and shall include a detailed and complete rationale for the exception. Procuring organizations do not require approval to supplement this policy to require legal review in situations not covered by this policy, or at lower thresholds than stated in this policy. Contracting officers do not require approval to request legal review at the contracting officers’ discretion for situations where this policy does not require legal review.

Back to the Subchapter A — General contents

PART 2 – DEFINITIONS OF WORDS AND TERMS

(Revised January 10, 2023 through PROCLTR 2023-02)

2.101 Definitions.

SUBPART 2.1 – DEFINITIONS

(Revised December 6, 2023, through PROCLTR 2022-11, 2022-15, 2023-10)

2.101 Definitions.

“Acquisition Strategy Review Panel (ASRP)”means an oversight group that conducts a review after completion of the market research report and the Business Case Analysis (BCA), if applicable, and prior to development of the acquisition plan to analyze and approve the proposed contracting approach. The Senior Procurement Executive (SPE) is the chair and clearance authority. Panel members should include HQ personnel from the following functional areas, as applicable: Logistics Operations; Information Operations; Finance; and Military Service Program or Technical Manager. Panel advisors should include DLA HQ personnel from the following functional areas, as applicable: Competition Advocate (COMPAD); General Counsel; and Small Business Programs. The SSM and Component Portfolio Manager (CPM) should be included as panel advisors for the acquisition of services. MSCs are encouraged to conduct an ASRP with personnel from the equivalent functional areas at their local level. See 1.690-1, Establishment of business clearance authority, for the minimum documents requiring review.

“Bridge action ”means a non-competitive action requiring justification to retain the current or similar product or service due to a delay in the negotiation, award of a follow-on contract. Bridge actions by new contract may be awarded to other than the existing contractor.

“Chief of the Contracting Office (CCO)” means a Government employee with certification in the acquisition career field who has direct managerial responsibility for the operation of a contracting office as defined in FAR 2.1. CCOs are listed below.

“Collaboration folders”, also known as cFolders, means the DLA point of access to technical data associated with open solicitations issued from DLA’s Enterprise Business System (EBS) and the staging area for technical data for other projects not associated with open solicitations issued from DLA’s EBS.

“Controlled unclassified information (CUI)” means unclassified information the Government creates or possesses, or that an entity creates or possesses for or on behalf of the Government, that a law, regulation, or Government-wide policy requires or permits an agency to handle using safeguarding or dissemination controls. Specific definitions and categories of CUI are available at 32 CFR § 2002.4(h) https://ecfr.io/Title-32/Section-2002.4; DoDI 5200.48, Controlled Unclassified Information (CUI) (https://www.dodcui.mil/Portals/109/Documents/Policy%20Docs/DoDI%205200.48%20CUI.pdf); DLAI 5200.48, Controlled Unclassified Information (CUI) (https://dlamil.dps.mil/sites/Intelligence/Shared%20Documents/DLAI%205200.48%20CUI.pdf), which establishes the DoD CUI Registry of Categories (http://www.dodcui.mil/home/dod-cui-registry). All Source Selection Information is CUI.

“Covered Nation”means

(i) the Democratic People’s Republic of North Korea;

(ii) the People’s Republic of China;

(iii) the Russian Federation; and

(iv) the Islamic Republic of Iran “DLA Export Control Technical Data Access” means DLA requirements in EBS that limit distribution of export-controlled technical data to contractors that have DLA controlling authority approval to access the export-controlled data within the cFolders. To obtain approval, contractors must have an active United States/Canada Joint Certification Program (JCP) certification and a DLA Internet Bid Board System (DIBBS) account; and must have completed the “Introduction to Proper Handling of DoD Export-Controlled Technical Data Training” and the DLA “Export Control Technical Data” questionnaire.

“Head of agency” or “agency head” means the DLA Acquisition Director.

“Enhanced validation” means the process used to vet contractors before the DLA controlling authority approves access to DLA export-controlled data. This also refers to the enhanced validation requirement in the DLA Master Solicitation for Automated Simplified Acquisitions.

“Integrated Acquisition Review Board (IARB)”means an oversight group that conducts a review at key decision points typically Acquisition Plan/Solicitation and Award stages. The IARB has the authority to continue the acquisition, modify the strategy, terminate the process, or determine how next phases should proceed. The Senior Procurement Executive (SPE) is the chair and clearance authority. Board members should include DLA HQ personnel from the following functional areas, as applicable: General Counsel; Contract Review, Small Business Programs; Finance; and Logistics Operations. The SSM and Component Portfolio Manager (CPM) should be included as board advisors for the acquisition of services. MSCs are encouraged to conduct an IARB with personnel from the equivalent functional areas at their local level. See 1.690-1, Establishment of business clearance authority, for the minimum documents requiring review at the appropriate acquisition stage.

“Federal Supply Class (FSC) 5962, Electronic Microcircuit”means

(i) a small circuit having a high equivalent circuit element density, which is considered as a single part composed of interconnected elements placed and/or formed on or within a single substrate to perform an electronic circuit function. The elements may be formed on or within a semiconductor material substrate. They may consist of conductive film(s) formed on an insulating substrate or may be a combination of one or both of these types with discrete elements;

(ii) designed specifically to generate, modify, or process electrical signals included in FSC 5962;

(iii) a supply class identified as being high-risk for counterfeiting; and

(iii) includes Integrated Circuit Devices; Integrated Circuit Modules, Integrated Electronic Devices: Hybrid, Magnetic, Molecular, Opto-Electronic, and Thin Film “JCP Certification” means the United States/Canada Joint Certification Program (JCP). Contractors must have an active JCP certification to obtain access to unclassified technical data disclosing critical technology controlled in the United States.

“Major Subordinate Command (MSC)” means the following six DLA field organizations: DLA Weapons Support, DLA Energy, DLA Troop Support, DLA Disposition, and DLA Distribution.

“Procuring Organizations” means all DLA activities with contracting authority and includes both contracting activities and contracting offices.

“Strategic requirements and acquisition plan (STRAP)”, formerly known as strategic contracts (STRATCON”) [,] means [planned requirements and acquisition plan valued above the simplified acquisition threshold that are determined high risk and constitute critical impact to the Agency’s mission and/or acquisition business as defined in 1.690-4. Determining risk and critical impact are accomplished through risk assessment and documented in the strategic solution analysis template (see 1.690-3) and business case analysis (see 1.690-5). STRAP that are considered high risk and constitute critical impact to the Agency’s mission and/or business are nominated for an enterprise review and collaboration at the Performance-to-Promise (P2P) battle rhythm. Refer to PGI 1.690-4, (S-92) for STRAP process and procedures. STRAP may include, but are not limited to, the following:

(a)High risk and critical impact to missioninvolving the Agency’s ability to support and sustain campaign/contingency plans (e.g., OPLAN, CONPLAN) and current operations (e.g., contingencies, humanitarian assistance, disaster relief/recovery, pandemic) designated as high priority by Defense Secretary and Chairman of the Joint Chiefs of Staff (CJCS) in supporting Combatant Commands (CCMD), Military Services and Whole-of-Government (WoG) customers/partners in accordance with (IAW) the Agency mission essential tasks (AMET).

(b)High risk and critical impact to OPERATIONinvolving the Agency’s ability to support and sustain armed services and other recipients of DLA logistics support readiness and operations. Examples may include Readiness Dashboard items, high-risk items (currently known or identified by “to be” SCRM process), or other items of interest.

(c)High risk and critical impact to acquisition businessinvolving supply chain security, industrial base vulnerabilities/threats, cybersecurity, cash flow/obligation authority, and contracting activities (cost, schedule, performance, new laws/regulations/policies).

(d)“Critical impact”means critical impact of strategic requirements and acquisition plan (STRAP) that are of indispensable and/or vital nature that will result in catastrophic and/or mission failure, serious injury, loss of life if item/service is not available for any reason. Critical impact is identified and determined from risk analysis and assessment. STRAP that are high risk and constitutes critical impact are nominated for an enterprise review and collaboration.

“Tailored Logistics Support (TLS) Contract” means an acquisition that targets support to the point of the customer’s need, and supports the full range of logistics functions, including shipping, receiving, storage, inventory management, and transportation or traffic visibility, to achieve a solution for a customer.

Back to the Subchapter A — General contents

PART 3 – IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF INTEREST

(Revised March 23, 2020 through PROCLTR 2020-04)

3.103 Independent pricing. 3.104 Procurement integrity. 3.104-1 Definitions. 3.104-3 Statutory and related prohibitions, restrictions and requirements. 3.104-4 Disclosure, protection, and marking of contractor bid or proposal information and source selection information. 3.104-7 Violations or possible violations.

3.203 Reporting suspected violations of the FAR Gratuities clause. 3.204 Treatment of violations.

3.301 General.

3.705 Procedures.

SUBPART 3.1 – SAFEGUARDS

(Revised Jannuary 10, 2023 through PROCLTR 2023-02)

3.103 Independent pricing.

Disclosure of prices during a reverse auction conducted by the Government, in which each offeror consents to public disclosure of its prices, including to other offerors, does not constitute a disclosure.

3.104 Procurement integrity.

3.104-1 Definitions.

“Access to controlled unclassified information (CUI)” means the ability or opportunity to acquire, examine, or retrieve CUI.

“Contracting activity ethics official” means the Chief Counsel.

“Contracting office ethics official” means the designated Counsel.

“Designated agency ethics official” means the General Counsel.

“Ombudsman for Procurement Integrity” means the DLA Acquisition Deputy Director.

3.104-3 Statutory and related prohibitions, restrictions, and requirements.

In accordance with 41 U.S.C. 2107(1), offerors participating in a particular DLA reverse auction and their designated employees, and commercial auction providers and their designated employees are authorized to disclose and obtain the prices submitted by all offerors participating in that reverse auction.

3.104-4 Statutory and related prohibitions, restrictions, and requirements.

(a) Oversight officials have authority to access contractor bid or proposal information or source selection information to the extent necessary to perform their official duties.

(b) All Government employees, and non-government personnel participating in activities that require access to CUI, as defined in 3.104-1, including source selection information or other protected information such as contractor proprietary information, shall sign a non-disclosure agreement NDA using the applicable mandatory template prescribed at PGI 3.104-4 paragraph (a)(1), (a)(2), or (a)(3,) before gaining access to the CUI.

3.104-7 Violations or possible violations.

(a)(1) The designee is the Chief of the Contracting Office. Only forward the information after receipt of a written legal review by the local Office of Counsel attorney for that acquisition.

(b)-(e) HCA action shall first be coordinated in writing with Office of Counsel.

(f) HCA action shall first be coordinated in writing with Office of Counsel. The HCA must notify the DLA Acquisition Director prior to providing authorization to make contract award or modification.

SUBPART 3.2 - CONTRACTOR GRATUITIES TO GOVERNMENT PERSONNEL

(Revised July 26, 2016 through PROCLTR 2016-08)

3.203 Reporting suspected violations of the FAR Gratuities clause.

(a) Report suspected violation to the CCO and Office of Counsel.

(b) If the CCO reports a finding, refer the matter to the HCA.

3.204 Treatment of violations.

(a) The HCA is the designee.

(b) If the contractor requests a hearing, the HCA will conduct a hearing in coordination with designated counsel. Information submitted by the contractor during the hearing will be considered in reaching a final decision. If the contractor elects not to have a hearing but submits information, that information will be considered in reaching a final decision.

SUBPART 3.3 – REPORTS OF SUSPECTED ANTITRUST VIOLATIONS

3.301 General.

(b) Report suspected antitrust violations to the Office of Counsel.

SUBPART 3.7 – VOIDING AND RESCINDING CONTRACTS

(Revised July 26, 2016 through PROCLTR 2016-08)

3.705 Procedures.

(a) Reporting. The General Counsel is the designee.

SUBPART 3.8 – LIMITATION ON THE PAYMENT OF FUNDS TO INFLUENCE FEDERAL TRANSACTIONS

(Revised July 26, 2016 through PROCLTR 2016-08)

3.806 Processing suspected violations.

Suspected violations shall be referred to Office of Counsel.

SUBPART 3.9 – WHISTLEBLOWER PROTECTIONS FOR CONTRACTOR EMPLOYEES

(Revised July 26, 2016 through PROCLTR 2016-08)

3.903 Policy.

(5) Complaints shall be forwarded to Office of Counsel.

Back to the Subchapter A — General contents

PART 4 – ADMINISTRATIVE MATTERS

(Revised August 16, 2022 through PROCLTR 2022-11)

4.190 Contract team arrangements.

4.270 Electronic Document Access. 4.270-2 Procedures.

4.502 Policy. SUBPART 4.6 – CONTRACTING REPORTING 4.606 Reporting Data. 4.606-90 Source selection process data element.

4.703 Policy.

4.802 Contract files. 4.804 Closeout of contract files. 4.805 Storage, handling and contract files.

4.1302 Acquisition of approved products and services for personal identity verification. 4.1303 Contract clause. 4.1303-90 Contract clause – personal identity verification of contractor personnel.

4.1601 Policy.

4.7103-2 Numbering procedures. 4.7104-2 Numbering procedures.

4.7602 Applicability. 4.7604 Solicitation provision. SUBPART 4.9 – ELECTRONIC MICROCIRCUITS RESTRICTION 4.90 Electronic Microcircuits Restriction.

SUBPART 4.1 – CONTRACT EXECUTION

(Revised August 16,2022 through PROCLTR 2022-09)

4.190 Contractor team arrangements.

(a) Definitions. As used in this section—

“Contractor team arrangement agreement” (hereafter referred to as CTA Agreement) means a written document between the contractor team arrangement (CTA) members that sets forth the different responsibilities, roles, and work allocation of the members as relates to the acquisition.

“CTA Lead”means the contractor designated by the CTA members as the leader and whose responsibilities have been outlined in the CTA Agreement.

(b) The contracting officer shall include procurement note L34 Contractor Team Arrangements – Solicitation and Award in solicitations and awards when the use of contractor team arrangements (CTAs) is contemplated (see 7.107-6(S-90), 8.403(b)(S-90), and 9.603(S-90)).

(1) Offerors complete fill-ins with CTA and member information and submit with proposal.

(2) The contracting officer shall include procurement note L34 in awards along with the contract number and vendor submitted CTA information. The contracting officer shall not include procurement note L34 in award if there is no CTA.

(3) If the CTA members change before or after award, the CTA Lead will provide written notice to the contracting officer within two working days after the date the CTA Agreement incorporating the change is signed. Upon review and acceptance of the CTA change, the contracting officer shall issue a bilateral contract modification to update the table in procurement note L34.

(c) The contracting officer shall include procurement note L35 Contractor Team Arrangements – Task and Delivery Orders—

(1) In contract awards when a contractor team arrangement (CTA) is the awardee, procurement note L34 is included in the award, and task/delivery orders will be issued; and

(2) In solicitations for task/delivery orders and awards when CTAs are eligible to compete.

(i) CTAs complete fill-ins with information of CTA members proposed to perform on the

order and submit with proposal.

(ii) For task/delivery order awards, the contracting officer shall include procurement note L35 along with the task/delivery order number and awardee submitted CTA information. If task/delivery order award is not made to a CTA, the contracting officer shall not include procurement note L35 on the task/delivery order.

(iii) If the CTA members change before or after task/delivery order award, the CTA Lead will provide written notice to the contracting officer within two working days of change. Upon 4 review and acceptance of the CTA change, the contracting officer shall issue a bilateral task/delivery order modification to update the table in procurement note L35.

SUBPART 4.2 – CONTRACT DISTRIBUTION

(Revised September 9, 2016 through PROCLTR 2016-09)

4.270 Electronic Document Access.

4.270-2 Procedures.

(a)(2) Contracting officers will accept or reject contract deficiency reports (CDRs) in EDA within 10 days of submission, and resolve the CDR within 30 days of submission. The DLA Acquisition Operations Division is responsible to track and report performance on a monthly basis to the SPE. Procuring organizations shall track and report monthly to the HCA.

SUBPART 4.5 – ELECTRONIC COMMERCE IN CONTRACTING

(Revised June 11, 2020 through PROCLTR 2020-12)

4.502 Policy.

(b) The DLA Internet Bid Board System (DIBBS) (https://www.dibbs.bsm.dla.mil/) is the DLA supplier-facing portal for DLA Enterprise Business Systems (EBS) managed requirements utilized to:

(i) Post solicitations, solicitation amendments, awards, and award modifications;

(ii) Facilitate submission of quotations by suppliers in response to request for quotations;

(iii) Enable upload of offers in response to request for proposals;

(iv) Convey important messages to the supplier community; and

(v) Transmit notices of proposed contract actions and awards to Contract Opportunities (https://sam.gov/content/opportunities) at SAM.gov (https://sam.gov/content/home). Contracting officers shall include procurement note L01 in DIBBS solicitations for purchase orders and contracts (except indefinite delivery/indefinite quantity task or delivery order contracts, requirements contracts, and multiple award federal supply schedule-type contracts).

Contracting officers shall include procurement note L02 in DIBBS solicitations for indefinite- delivery/indefinite quantity task or delivery order contracts, requirements contracts, and multiple award federal supply schedule-type contracts.

SUBPART 4.6 – CONTRACTING REPORTING

(Added October 13, 2020 in accordance with PROCLTR 2020-23)

4.606 Reporting Data.

4.606-90 Source selection process data element.

(a) In accordance with (DPC) MemorandumReporting Source Selection Process in Federal Procurement Data System (FPDS)(https://www.acq.osd.mil/dpap/policy/policyvault/USA000991-20-DPC.pdf), dated May 21, 2020, contracting officers shall report the Source Selection Process data element in FPDS using one of the following codes, unless an exception at 4.606-90(b) applies: CODES FOR REPORTING “SOURCE SELECTION PROCESS” IN FPDS

(b) The Source Selection Process data element is not a required data field for blanket purchase agreements (BPAs) issued using part 13 procedures; task and delivery orders issued using single- award indefinite-delivery contracts; and call orders issued under single-award BPAs and using FAR part 8 procedures.

(c) Contracting officers shall not leave the Source Selection Process data field blank.

(d) Contracting officers shall enter—

(1) O for non-competitive awards.

(2) One of the choices in the table at 4.606-90(a) for competitive awards.

(3) LPTA or TO when the contracting officer used a source selection process on awards issued using FAR section 15.101.

(4) O for fully automated actions. In accordance with the DLA Master Solicitation for Automated Simplified Acquisitions, the program evaluates all qualified quotations based on price alone and does not consider quantity price breaks.

(5) TO for automated requirements that are evaluated and awarded manually. In accordance with the DLA Master Solicitation for Automated Simplified Acquisitions, manual evaluation factors include price, delivery, and past performance in accordance with the terms in the solicitation.

(6) The code consistent with the evaluation procedures cited in the RFQ/RFP for all manually solicited requirements, even if only one offeror responded.

(7) TO for all manual solicitations that may include language for a potential best value trade- off (e.g. use of past performance).

SUBPART 4.7 - CONTRACTOR RECORDS RETENTION

(Revised June 16, 2023 through PROCLTR 2023-07)

4.703 Policy.

(a) Contracting officers shall include procurement note C03 in solicitations and awards. C03 Contractor Retention of Supply Chain Traceability Documentation (JUN 2023)

(1) By submitting a quotation or offer, the contractor is confirming it currently has, or will obtain before delivery, and shall retain supply chain traceability documentation, as described in paragraph (2) of this procurement note, demonstrating the item conforms to the technical requirements, and, for part numbered items, is from an approved manufacturer.

(2) Supply Chain Traceability Documentation

(i) Supply chain traceability documentation shall include: basic item description; part number; drawing or specification; national stock number; manufacturing source; manufacturing source’s Commercial and Government Entity (CAGE) code; and clear identification of the name and location of all supply chain intermediaries between the manufacturer to the contractor to Government acceptance.

(ii) Supply chain traceability documentation shall also include, when available, the manufacturer's batch identification for the item(s), such as date codes, lot codes, or serial numbers. For part numbered items, contractors can find examples of acceptable supply chain traceability documentation at the Counterfeit Detection and Avoidance Program (CDAP) website (https://www.dla.mil/Land-and-Maritime/Business/Selling/Counterfeit-Detection-AvoidanceProgram/).

(iii) In addition, the contractor will obtain, retain, and provide to the contracting officer written documentation of all inspections and tests necessary to substantiate that the supplies furnished under this contract conform to contract requirements, including any applicable technical requirements for specified manufacturers’ parts. Such records shall include, without limitation, test reports, test data, material certification, and manufacturing process sheets, in addition to any other information identified in the technical specifications applicable to the item.

(3) The contractor shall make supply chain traceability documentation available to the contracting officer within three business days upon the contracting officer’s request. The contracting officer determines the acceptability and sufficiency of documentation. The contractor shall retain supply chain traceability documentation for ten years after final payment under this contract for audit and other valid government purposes. If the contractor fails to retain or provide the documentation, or the contracting officer finds the documentation to be unacceptable, the contracting officer may take corrective action, including, but not limited to, cancellation of undelivered orders or rejection of delivered supplies.

SUBPART 4.8 – GOVERNMENT CONTRACT FILES

(Revised March 31, 2021 through PROCLTR 2021-08)

4.802 Contract files.

(f) DLR sites shall follow the processes and systems at the Military Services sites.

4.804 Closeout of contract files.

(S-90) Subject to DLAD 4.802(f), contracting officers shall follow the FAR standard timeframe for closeout. Contracting officers shall assess the validity of their unliquidated obligations (ULOs) that are 90 calendar days or more past the contract delivery date in accordance with). DLAM 7200.01, Funds Control – Unliquidated Obligations (ULO) Management Process https://issuances.dla.mil/Published_Issuances/Funds%20Control%20-%20Unliquidated%20Obligations%20(ULO)%20Management%20Process.pdf (S-91)(1) Definition.

“Excess funds”means any funding amount remaining obligated on a contract at the time of contract closeout that is not needed to pay for contract performance or for contract adjustments (see DLAM 7010.02, Encl. 3, Table 1 for valid reasons funds should remain obligated). Excess funds are a subset of “unliquidated obligation(s).”

(2) Contracting officers shall deobligate excess funds via bilateral or unilateral (see 43.103(b)(S-90)) contract modification as part of the contract closeout process. The record of the contract obligation amount is maintained in DLA’s electronic business system and shall be updated to remove all deobligated excess funds as part of contract closeout.

4.805 Storage, handling, and contract files.

(a) For non-DLR sites procuring organizations shall follow the Records Management Procurement Job Aid for storage and retrieval of electronic documents.

(1) Procuring organizations shall store all acquisition contract file records in EProcurement “Records Management,” the official DLA records repository, except as stated in 4.805(b).

(2) Procuring organizations shall upload to Records Management all obligations documents (e.g. contract awards; and modifications affecting the overall contract obligation, such as those for equitable adjustments or raising the contract ceiling), to include bilateral signature pages. Follow the procedures for saving and naming conventions in the Procurement Job Aid entitled Completing Forms in Document Builder (https://dlamil.dps.mil/:w:/r/sites/InfoOps/_layouts/15/doc2.aspx?sourcedoc=%7B950AD3EC-CE42-444C-B2E6-1A3BB848637A%7D&file=Completing%20Forms%20in%20Document%20Builder%20-15%20Feb%2019.doc&action=default&mobileredirect=true).

(3) When a condition at 4.805(b) applies, include a reference statement in the Records Management contract file notifying authorized users of the location of any document or material maintained outside Records Management.

(b) Procuring organizations shall maintain contents of contract files outside EProcurement Records Management in accordance with the following:

(1) Maintain documents containing personally identifiable information (PII), legal reviews, documents marked as contractor proprietary information, and oversized or voluminous documents as a hard copies or in an electronic, restricted-access location (e.g., eWorkplace Sharepoint site or local share drive).

(2) Maintain classified documents in hard copy only.

(3) Maintain material that cannot be converted to electronic format (e.g., samples, models) in a secured, restricted-access location.

(4) Maintain contractor bid or proposal information or any other source selection information not marked proprietary as hard copies or in an electronic, restricted-access location until time of award. After award, procuring organizations may upload the documents into Records Management or maintain them in an electronic, restricted-access location. Procuring organizations may maintain oversized or voluminous documents as hard copies.

(c) HCAs shall ensure compliance with this policy.

(S-90) Retain Financial Management Regulation records for 10 years in accordance with DLA Finance Director memorandum dated September 15, 2016, SUBJECT: New DoD Change for Financial Record Retention in Support of Audit Compliance. This policy applies only to records necessary to support financial transactions and financial statement balances; and document evidence of effective internal controls over financial reporting (e.g., reviews and approvals).

SUBPART 4.13 – PERSONAL IDENTITY VERIFICATION

(Revised January 30, 2022 through PROCLTR 2022-04)

4.1302 Acquisition of approved products and services for personal identity verification.

(c) DLA Information Operations is responsible for determining compliance.

4.1303 Contract clause.

4.1303-90 Personal identity verification of contractor personnel.

(a) The contracting officer shall insert procurement note H14, Contractor Personnel Security Requirements, in solicitations and contracts that contain FAR 52.204-9, Personal Identity Verification of Contractor Personnel, when contract performance requires contractor access to Federally controlled facility and/or access to a Federally- controlled information system. Contractors requiring intermittent access for a period of less than six months shall obtain approval from the installation security office through the contracting officer. When the contractor employee(s) is/are required to obtain a Common Access Card (CAC) and DLA will serve as the Trusted Agent, follow the procedures in DLAM 1000.13, Issuance and Accountability of Common Access Cards for DLA Contracts. Issuance and Accountability of Common Access Cards for DLA Contracts (b) For all contracts where contractor CACs and/or Installation Access Badges will be issued, contracting officers shall ensure that responsibilities for oversight and retrieval of contractor CACs and Installation Access Badges are addressed in the COR designation letter. If a COR is not designated, the contracting officer is responsible for oversight and retrieval of contractor CACs and Installation Access Badges issued under the contract.

(c) If contract performance is to occur at a non-DLA site and the site has physical site and/or information technology security requirements, in addition to the DLA CAC requirements, the contracting officer shall identify those requirements and include it in the solicitation and subsequent contract.

4.1303-91 Operations Security (OPSEC) For On-site Contractors.

The contracting officer shall insert procurement note H16 in solicitations and contracts when contract performance requires contractors to have intermittent and/or routine physical access to a Federally-controlled facility and/or intermittent and/or routine access to a Federallycontrolled information system.

SUBPART 4.16 – UNIQUE PROCUREMENT INSTRUMENT IDENTIFIERS

(Revised September 9, 2016 through PROCLTR 2016-09)

4.1601 Policy.

(a) This process, for Business Process Analyst use only, is located in the Procurement Job Aid applicable to PIIN maintenance in EP and ECC: Supplier Relationship Management (SRM)/EProcurement: Table Maintenance - Maintaining PIIN Tables (https://dlamil.dps.mil/sites/InfoOps/Shared%20Documents/Forms/AllItems.aspx?FolderCTID=0x012000D3D259D71343A94E992AA17310CB0231&viewid=bb1b25a6%2D56d8%2D4398%2Dac48%2D5f987c946cca&id=%2Fsites%2FInfoOps%2FShared%20Documents%2FEBS%20ONLINE%20HELP%2FePROCUREMENT%2FTable%20Maintenance) Table Maintenance - Maintaining Basic Agreement PIIN/SPIIN Tables (https://dlamil.dps.mil/sites/InfoOps/Shared%20Documents/Forms/AllItems.aspx?FolderCTID=0x012000D3D259D71343A94E992AA17310CB0231&viewid=bb1b25a6%2D56d8%2D4398%2Dac48%2D5f987c946cca&id=%2Fsites%2FInfoOps%2FShared%20Documents%2FEBS%20ONLINE%20HELP%2FePROCUREMENT%2FTable%20Maintenance). Enterprise Core Component (ECC): Table Maintenance - PIIN and Call Number Table Maintenance and Associated Error Workflow Tables (https://dlamil.dps.mil/sites/InfoOps/Shared%20Documents/Forms/AllItems.aspx?FolderCTID=0x012000D3D259D71343A94E992AA17310CB0231&viewid=bb1b25a6%2D56d8%2D4398%2Dac48%2D5f987c946cca&id=%2Fsites%2FInfoOps%2FShared%20Documents%2FEBS%20ONLINE%20HELP%2FPROCUREMENT%20DOCUMENTS%2FTable%20Maintenance).

SUBPART 4.71 – UNIFORM CONTRACT LINE-ITEM NUMBERING SYSTEM

4.7103-2 Numbering procedures.

DEVIATION 20-01 authorizes DLA Disposition Services to use a hazardous waste (HW) Profile-Based CLIN/sub-CLIN numbering structure. This deviation expires on November 17, 2022.

4.7104-2 Numbering procedures.

Reference 4.7103-2.

SUBPART 4.73—SAFEGUARDING COVERED DEFENSE INFORMATION AND CYBER INCIDENT REPORTING

(Revised April 30, 2021 through PROCLTR 2021-10)

4.7301 Definitions.

See 2.101 for definitions of “collaboration folders,” “DLA Export Control Technical Data Access,” “enhanced validation,” and “JCP Certification.” See DFARS 204.7301 for definitions of “controlled technical information” and “covered defense information.” See DFARS 252.204- 7012, Safeguarding Covered Defense Information and Cyber Incident Reporting, paragraph (a) for definitions of “covered defense information,” “operationally critical support,” and “cyber incident.” See DoDD 5230.25, Withholding of Unclassified Technical Data From Public Disclosure, E2.1.2 for definition of “critical technology.”

4.7303-1 General.

Contracting officers shall follow the guidance at DFARS PGI 204.7303-1(a) and (b), Safeguarding Covered Defense Information and Cyber Incident Reporting, Procedures, General.

(a) In addition to the requirements at DFARS PGI 204.7303-1(a):

(1) For services and items without a material master that require access to controlled technical data or information,the requiring activity will provide a performance work statement (PWS) or performance specification that identifies the need for contractors to access covered defense information (CDI). Contracting officers shall review the PWS or performance specification and associated data that the requiring activity determined contains, utilizes, or may result in the generation of CDI and conditions that may potentially arise after award that may result in the generation of CDI to confirm the requiring activity identified the need for contractors to access CDI.

(2) For NSN and LSN items that require access to controlled technical data or information, the product specialist will update the Purchase Order Text (POT) to include Standard Text Objects (STOs) RD002“Covered Defense Information Applies”, and RQ032, “Export Control of Technical Data” (see 25.7901-4(S-90)), or both. These STOs constitute notice to contracting officers that the requiring activity expects the solicitation to result in a contract, task order, or delivery order that will involve controlled technical information. STO RD003 “Covered Defense Information May Apply" is included when the contract, task order, or delivery order does not contain CDI/CUI at the time of award; yet, has the potential to generate such information during contract performance.

(b) DLA may require additional contractor qualifications to access controlled technical information. For export-controlled items, see subpart 25.79.

(S-90) The requiring activity may be internal to DLA or external. Contracting officers should coordinate with the supply planner or other customer-facing personnel to identify the requiring activity, if unknown. Contracting officers should collaborate with the requiring activity to identify covered defense information and/or operationally critical support.

4.7303-2 Verification and Documentation of Contractor NIST Assessment Score.

Contracting Officers shall follow the guidance at DLAD PGI 4.7303-2, Verification and Documentation of Contractor NIST Assessment Score, if a NIST assessment is required in accordance with DFARS 204.73, Safeguarding Covered Defense Information and Cyber Incident Reporting.

4.7303-3 Cyber incident and compromise reporting.

(a)(S-91) If the contracting officer receives notice from the DoD Cyber Crime Center (DC3) and DLA is the requiring activity—

(i) Following receipt of the DC3 ICF notification of a cyber incident, the DLA requiring activity will—

(A) Communicate directly only with the contracting officer regarding the incident. The contracting officer is the only individual responsible for all direct communications with the contractor regarding the cyber incident;

(B) Submit a Special Situation Report (Special SITREP) in accordance with instructions and template at DLA DTM 17-017, Commander’s Critical Information Requirements (CCIR) Reporting Policy Changes (https://dlamil.dps.mil/sites/InfoOps/CCIR/Forms/AllItems.aspx); and

(C) Contact the Damage Assessment Management Office (DAMO) (OSD Liaison Telephone (410) 694-4380), and request point of contact information if the DAMO has not already initiated contact;

(D) Coordinate with the DAMO to decide whether to submit a request for contractor media in accordance with the clause at DFARS 252.204-7012, Safeguarding Covered Defense Information and Cyber Incident Reporting, paragraph (e); and provide notice of the decision with supporting rationale to the contracting officer; and

(E) Assess and implement appropriate programmatic, technical, and operational actions to mitigate risks identified in the damage assessment report and update the Program Protection Plan to reflect any changes resulting from the assessment.

(ii) The DLA Information Operations Cyber Security Team Manager/System Security Engineer, J61, will—

(A) Provide support to the DLA requiring activity by assisting in the assessment of risk and mitigation strategy associated with the cyber incident; and

(B) If the requiring activity requests an assessment of contractor compliance with the requirements of DFARS 252.204-7012, consult with the contracting officer before beginning the assessment.

(S-92) If the contracting officer receives notice from the DC3 and the requiring activity is external to DLA, the contracting officer shall—

(i) Submit the Special SITREP (see 4.7303-3(a)(S-91)(i)(B))); and

(ii) Provide the DC3 notice to the DLA Cyber Emergency Response Team (CERT) (cert@dla.mil)

SUBPART 4.75— CYBERSECURITY MATURITY MODEL CERTIFICATION (CMMC)

(Revised December 19, 2025 through PROCLTR 2025-01).

4.7501 Definitions.

See DFARS 204.7501 Cybersecurity Maturity Model Certification for additional details.

4.7502 Policy.

(a)(i) DLA is implementing Cybersecurity Maturity Model Certification (CMMC) using a three- year phased approach beginning November 10, 2025, in accordance with 32 CFR part 170, CMMC Program and DFARS 204.75 CMMC. Upon full implementation on or after November 10, 2028, DLA contractors shall have a current CMMC at the CMMC level required by the contract and maintain the certification for the duration of the contract to remain eligible for award.

(ii) The requiring activity is responsible for determining the applicable CMMC level based on the sensitivity of the information.

(S-90) When CMMC applies, contracting officers will follow the guidance at DFARS 204.75, DLAD 4.75, DLAD 4.73.

4.7503 Procedures.

(S-91)There are two types of CMMC statuses: Final and Conditional. A Final status indicates the contractor has completed all CMMC requirements. A Conditional status means the contractor has submitted all required documentation and is awaiting final validation. Conditional status is valid for up to 180 days from the date of issuance. Within DLA, offerors with a CMMC Conditional status require manual review. If the contracting officer determines to award to a contractor with a Conditional status, the following procedures apply. See 32 CFR part 170 CMMC for more details: https://www.federalregister.gov/documents/2024/10/15/2024-22905/cybersecurity-maturity-model-certification-cmmc-program (1) Approvals for CMMC Conditional:

(i) Requests for authorization to award to a contractor that has a CMMC Conditional status

should include appropriate justification. Justification may include a CMMC report from

Supplier Performance Risk System (SPRS), accompanied by a risk assessment, and a

plan for tracking contractor progress toward CMMC Final status.

(ii) Contracting Officers may award a contract with a CMMC Conditional approval with

prior authorization at the appropriate level; The Head of Contracting Activity (HCA) is

the approval authority for Level 2 (Self and Certified Third-Party Assessment), and this

authority is delegable to a level no lower than the Chief of Contracting Office (CCO).

The DLA Senior Procurement Executive (SPE) is the approval authority for CMMC

Level 3, and this authority is not delegable.

(iii) Contractor’s CMMC Conditional status must be monitored by the requiring activity and

the contracting officer IAW DFARS 204.7504.

(iv) If a contractor does not obtain a Final CMMC certification within the 180-day

Conditional period, the contracting officer and requiring activity will make a risk-based

decision on applicable remedies including but not limited to issuing a show cause notice,

stop work order, or termination notice. The contractor is not eligible for future contract

awards that involve CMMC until Final certification is achieved.

(2) For National Stock Number (NSN) and Local Stock Number (LSN) items that include controlled technical data or information or CUI, the product specialist updates the Purchase Order Text (POT) to include Standard Text Objects (STOs) RD004 or RD005. These STOs constitute notice to contracting officers that the requiring activity expects solicitation to result in a contract, task order, or delivery order that will require a CMMC.

(S-92) Verification and documentation of Contractor CMMC. Contracting officers must follow the guidance at DLAD PGI 4.7503-90, Verification and documentation of Contractor CMMC, if a CMMC assessment is required in accordance with DFARS 204.75, Cybersecurity Maturity Model Certification.

(S-93)In the absence of a Standard Terms of Order (STO) for non-National Stock Number (NSN) procurements (DLA managed items),the requiring activity is responsible for determining the appropriate CMMC level based on the sensitivity of the information involved. Once the requiring activity communicates the CMMC level requirement, the contracting officer must include the applicable Procurement Note (L39, L40, L41, or L42) in the solicitation and resulting contract. For additional information, refer to the DFARS subpart 204.75, DFARS clause 252.204-7021, Cybersecurity Maturity Model Certification (CMMC) https://www.federalregister.gov/documents/2024/08/15/2024-18110/defense-federal-acquisition-regulation-supplement-assessing-contractor-implementation-of. Requirements, and the CMMC Implementation Policy Memo issued by the Office of the Secretary of Defense, available at: https://dodprocurementtoolbox.com/uploads/DOPSR_Cleared_OSD_Memo_CMMC_Implement ation_Policy_d26075de0f.pdf

L40 Cybersecurity Maturity Model Certification (CMMC) Level 2 Self-Assessment Requirement (NOV 2025) This solicitation or contract contains, utilizes, or will generate Controlled Unclassified Information (CUI), as defined in the DoD CUI Registry, https://www.dodcui.mil/, which requires safeguarding and dissemination controls pursuant to U.S. law, the DoD CUI Program, and DFARS 252.204-7021. Contractors requiring access to the CUI for this solicitation or contract shall upload a CMMC Level 2Self-Assessmentto the DoD Supplier Performance Risk System (SPRS) IAW DFARS CMMC Clause 252.204-7021. Effective November 10, 2025, any contract containing this procurement note requires the contractor to have a completed CMMC Level 2 Self-Assessment uploaded to SPRS in advance to be eligible for contract award. The instructions for completing and uploading a CMMC Level 2 Self-Assessment on SPRS can be found at https://www.sprs.csd.disa.mil/nistsp.htm. Information on DoD cybersecurity requirements to include CMMC and CMMC resources can be found at https://www.dla.mil/Small-Business/Resource-Center/Cybersecurity-Resources/#cmmccert.

L42 Cybersecurity Maturity Model Certification (CMMC) Level 3 Defense Industrial Base Cybersecurity Assessment Center (DIBCAC) Assessment Requirement (NOV 2025) This solicitation or contract contains, utilizes, or will generate Controlled Unclassified Information (CUI) that requires enhanced safeguarding, and dissemination controls pursuant to U.S. law, the DoD CUI Program, and DFARS 252.204-7021. For more information on CUI, refer to the https://www.dodcui.mil/. Contractors requiring access to CUI for a DLA solicitation or contract must: Obtain a CMMC Level 2 Certification conducted by a Third-Party Assessment Organization (C3PAO), have the certification uploaded to the DoD Supplier Performance Risk System (SPRS) and afterwards complete a CMMC Level 3 Assessment performed by the Defense Contract Management Agency’s (DCMA) Defense Industrial Base Cybersecurity Assessment Center (DIBCAC). Effective November 10, 2027, any contract containing this procurement note requires the contractor to have CMMC Level 3 completed and uploaded by DIBCAC to SPRS in advance to be eligible for contract award. To locate a C3PAO, visit the https://cyberab.org/Catalog#!/c/s/Results/Format/list/Page/1/Size/9/Sort/NameAscending . Additional CMMC guidance and resources are available on the https://www.dla.mil/Small-Business/Resource-Center/Cybersecurity-Resources/#cmmccert.

SUBPART 4.76 – SUPPLIER PERFORMANCE RISK SYSTEM

(Revised September 6, 2024 through PROCLTR 2024-09

4.7602 Applicability.

In addition to the exclusions stated in DODI 5000.79 for the procurement of certain supplies or services, the use of SPRS risk assessments is not required for solicitations equal to or less than the micro purchase threshold.

4.7604 Solicitation provision.

The provision at DFARS 252.204-7024, Notice on the Use of the Supplier Performance Risk System, is not required in solicitations equal to or less than the micro purchase threshold.

SUBPART 4.90 - ELECTRONIC MICROCIRCUITS RESTRICTION

(Revised August 16, 2022 through PROCLTR 2022-11)

4.90 Electronic Microcircuits Restriction.

4.9000 Policy.

Contracting officers shall include procurement note H17, Restriction on FSC 5962, Electronic Microcircuits, in solicitations and contracts equal to or under the micro-purchase threshold. Procurement note H17 applies only to procurements involving Federal Supply Class (FSC) code 5962, Electronic Microcircuits.

4.9001 Definitions.

(a) For the purpose of this section:

(1) “Covered Nation” means

(i) the Democratic People’s Republic of North Korea;

(ii) the People’s Republic of China;

(iii)the Russian Federation; and

(iv) the Islamic Republic of Iran

(2) “Federal Supply Class (FSC) 5962, Electronic Microcircuit” means

(i) a small circuit having a high equivalent circuit element density, which is considered as a single part composed of interconnected elements placed and/or formed on or within a single substrate to perform an electronic circuit function. The elements may be formed on or within a semiconductor material substrate. They may consist of conductive film(s) formed on an insulating substrate or may be a combination of one or both of these types with discrete elements;

(ii) designed specifically to generate, modify, or process electrical signals included in FSC 5962;

(iii) a supply class identified as being high-risk for counterfeiting; and

(iv) includes Integrated Circuit Devices; Integrated Circuit Modules, Integrated Electronic Devices: Hybrid, Magnetic, Molecular, Opto-Electronic, and Thin Film.

4.9002 Prohibition.

(a) The offeror shall not propose to deliver FSC 5962, Electronic Microcircuits, from a covered nation to the Government under any solicitation or resulting contract.

(b) If the contracting officer is unable to determine whether the FSC 5962, Electronic Microcircuits is from a covered nation based on traceability documentation or other means on the offeror’s representation, then the award shall not be made to that offeror.

4.9003 Requirements.

(a) The awardee must meet the following requirements:

(i) Provide post award traceability documentation. If the contracting officer is unable to obtain traceability accounting for 100% of the material, the contracting officer reserves the right to reject the material based on the prohibition in DLAD 4.9002;

(ii) Obtain written contracting officer approval prior to shipment.

4.9004 Procurement note.

As prescribed in DLAD 4.9000, use procurement note H17 for procurements involving FSC 5962 only that are equal to or under the micro-purchase threshold. H17 RESTRICTION ON FSC 5962, ELECTRONIC MICROCIRCUITS (MAY 2022)

(a) Application. This procurement note shall apply only to actions at or under the micro-purchase threshold.

(b) Definitions. As used in this procurement note.

(1) “Covered Nation” means

(i) the Democratic People’s Republic of North Korea;

(ii) the People’s Republic of China;

(iii) the Russian Federation; and

(iv) the Islamic Republic of Iran.

(2) “Federal Supply Class (FSC) 5962, Electronic Microcircuit” means

(i) a small circuit having a high equivalent circuit element density, which is considered as a single part composed of interconnected elements placed and/or formed on or within a single substrate to perform an electronic circuit function. The elements may be formed on or within a semiconductor material substrate. They may consist of conductive 8 film(s) formed on an insulating substrate or may be a combination of one or both of these types with discrete elements;

(ii) designed specifically to generate, modify, or process electrical signals included in FSC 5962;

(iii) a supply class identified as being high-risk for counterfeiting; and

(iv) includes Integrated Circuit Devices; Integrated Circuit Modules, Integrated Electronic Devices: Hybrid, Magnetic, Molecular, Opto-Electronic, and Thin Film.

(c) Prohibition. The offeror represents by the submission of its quotation that it shall not propose to deliver FSC 5962, Electronic Microcircuits from a covered nation to the Government under this solicitation or any resulting contract. If the contracting officer is unable to determine whether the FSC 5962, Electronic Microcircuits is from a covered nation based on traceability documentation or other means on the offeror’s representation, as described above, then the award shall not be made to that offeror.

(d) Requirements. The awardee must also meet the following requirements:

(i) Provide post award traceability documentation. If the contracting officer is unable to obtain traceability accounting for 100% of the material, the contracting officer reserves the right to reject the material based on the above prohibition.

(ii) Obtain written contracting officer approval prior to shipment. .

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