Intro to Government Contracting - Greater Spokane€¦ · O providing businesses nationwide with an...
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Government Contracting Essentials: Intro to Government Contracting 101 Jessica Kirk
Transcript of Intro to Government Contracting - Greater Spokane€¦ · O providing businesses nationwide with an...
Government Contracting Essentials:
Intro to Government Contracting 101
Jessica Kirk
About PTAC
PTAC [pea tack] (noun): Acronym for Procurement Technical Assistance
Center.
Layman’s term: Government Contracting Help
Funded by the US Dept of Defense (DoD)
The PTACs' mission is to maximize the number of capable U.S. companies
participating in the government marketplace by...
O providing businesses nationwide with an understanding of the requirements
of government contracting and the marketing know-how they need to
obtain and successfully perform
federal, state, and local government contracts, and
O supporting government agencies in reaching
and working with the suppliers they need.
PTAC Provides Free:
O One-on-one assistance
O Networking Events - opportunities to connect with regional, local, state & federal procurement professionals
O Marketing & Selling Support to regional businesses targeting federal, state & local government agencies & prime contractors
O Training Events - introductory & continuing education
O Assistance:
O Registrations & certifications
O Compliance requirements with federal & state procurement diversity goals for agencies, departments & primes
O Locating bids
O Solicitation interpretations
My 6 Goals For You 1. Assist you in becoming a PTAC Client (Procurement
Technical Assistance Center)
2. Help you understand the basics & provide you with the best tools
3. Teach you about government marketing fundamentals
4. Learn about bids and proposals
5. Participate in government marketplace
6. Win Contracts (report all government awards quarterly)
Basic Questions 1. Are you are committed to winning a government contract and
willing to do your homework?
2. Are you are very patient and are committed to making a substantial effort to win a government contract?
3. Are you are financially capable of performing a contract and are going after the government market in order to increase or stabilize sales?
4. Are you sure you don’t need a government contract to stay in business?
5. Manufacturing? Do you have a quality assurance manual (or are working on one)?
6. Do you keep good records and have a fast and efficient way of finding information?
Why sell to the government?
O World’s biggest customer
O Buys virtually everything
O Open to any business
O In 2015 US Government contracts in
Washington were over $122.9M
2015 Spokane, WA Contracts: over $53.8M Top 10 Agencies
Agency Contracts
1 AMERICAN CONSTRUCTION CO., INC. $ 9,968,205.00
2 INTER-CON SECURITY SYSTEMS, INC. $ 9,074,674.57
3 AHTNA ENGINEERING SERVICES, LLC $ 6,785,701.85
4 APOLLO SHEET METAL, INC. $ 6,496,670.00
5 AMERICAN ALLOY, LLC $ 5,572,850.49
6 BRYMAK UNIVERSAL LLC $ 4,712,662.92
7 EDMO DISTRIBUTORS, INCORPORATED $ 3,067,825.49
8 BERG MANUFACTURING, INC. $ 2,846,338.05
9 ESKRIDGE ENTERPRISES, LLC $ 2,783,540.23
10 GARCO CONSTRUCTION, INC. $ 2,567,493.00
Government presence in WA State
2000-2014
Total Dollars: $132,006,202,095
Number of Transactions: 713,400
Total Sub-Award Dollars: $2,365,252,191
Number of Sub-Award Reports: 4,083
Prime Contractors - Top
Boeing - $33.8B
Batelle - $10.4B
Bechtel - $9.6B
Ch2M – 6.9B
Fluor - $6.6B
URS – $5.9B
Eastern Washington PTAC Supported by Greater Spokane Incorporated
2015 Update:
123 Federal Contracts were awarded to
Spokane, WA companies through WA PTAC
assistance, totaling: $28.9 Million
Jobs created = 578
O Client count = 1640
O Active clients = 379
O Local Counties Served = 12
Government presence in WA State
O Local: Spokane, Spokane Valley, Spokane County, Whitman County, etc.
O State: Colleges & Universities, General Admin, Department of Transportation (DOT), Prisons, etc.
O Federal
O Civilian agencies: General Service Administration (GSA), Forest Service, USPS, Environmental Protection Agency (EPA), Federal Aviation Administration (FAA), etc.
O Department of Defense (DoD): Fairchild, US Army Corps of Engineers, etc.
The Government’s goal is…
O A quality product or service
O Delivered on time
O At a competitive price
O “Best Value”
7 Phases of GovCon
1. Registration
2. Develop a marketing strategy
3. Know the “right people”
4. Consult a reference library
5. Search for opportunities
6. Bid
7. Perform
8. Report
#1 Registration O Dun & Bradstreet: https://iupdate.dnb.com/iUpdate/viewiUpdateHome.htm
O Data Universal Numbering System (DUNS)
O Dun & Bradstreet – Govt Direct = 866-705-5711
O You will need to create an account, and request a DUNS number.
O In 24-48 hours, you will receive your DUNS number
O System Award Management (SAM) https://www.sam.gov/portal/SAM/##11
O You will need to create a user account.
O You will then receive an email from the Federal Service Desk.
O Use the link provided to log into SAM.
O To complete SAM, you will need:
O Bank: Routing Number & Account Number
O North American Industrial Classification System (NAICS) http://www.census.gov/eos/www/naics/
O Tax ID number (TIN) or SSN if sole proprietor
O Valid email address
(Before doing business with anyone, check the Excluded Parties List System http://epls.gov – in SAM. Go to the check status button and put in their DUNS number. This will ensure you are doing business with a legitimate company.)
SAM Data Entry O Self formatting
O Tab from one field to another
O Attention to detail
O NO abbreviations
O NO punctuations
O NO dashes
O NO commas
O ONLY fill in the * items
SAM O SAM - System Award Management – https://www.sam.gov/portal/SAM/##11
O Record all user IDs and passwords
O Protect and safeguard your password – NEVER give out your user ID or
password – DON’T lose them
O After registration, you’ll be assigned a Commercial and Government Entity
(CAGE) Code
O Re-Visit SAM to view and record your CAGE
O Great marketing tool
O DO NOT USE INTERNET EXPLORER
O Complete The Process Sequentially
O Be sure to hit the “SUBMIT” button
Registration
(Update EVERY YEAR)
Examples of what not to use!
O “If you want to do business with the government,
you need to get in our directory.” Pay us $600!
O “Prepare your 8(a) application in 3days in Las
Vegas.” Pay us $10,000!
O “Don’t miss your opportunity to cash in on the
Stimulus.” Pay us $10,000!
Dynamic Small Business Search
http://dsbs.sba.gov
It’s the best government
search tool ever!
http://www.census.gov/eos/www/naics/
Spelling Counts!
Large or Small Business? O Size Determination: Small vs. Large (13 CFR 121.201)
http://www.sba.gov/sites/default/files/Size_Standards_Table.pdf
SBA Regulation and Policy
To ensure that small businesses get their fair share of Federal
Government purchases, statutory goals have been established for
Federal executive agencies. They are:
23 percent of prime contracts for small businesses;
5 percent of prime and subcontracts for women-owned small
businesses;
3 percent of prime contracts for HUBZone small businesses;
3 percent of prime and subcontracts for service-disabled
veteran-owned small businesses.
http://smallbusiness.data.gov
Certifications O So what do all of these goals really mean?
O Certain opportunities are set asides for certified companies
O Types of Federal Certifications
O 8(a) = Socially AND Economically Disadvantaged
O HUBZone = Geographic Location
O WOSB = Woman Owned Small Business
O EDWOSB = Economically Disadvantaged Woman Owned Small
Business
O VOSB = Veteran Owned Small Business
O SDVOSB = Service Disabled Veteran Owned Small Business
8(a) SBA Business Development
Program
http://www.sba.gov/content/8a-business-
development
If you qualify, apply!
http://edocket.access.gpo.gov/cfr_2009/janq
tr/pdf/13cfr124.103.pdf
Mandatory prior to Applying for 8(a)
http://imedia.sba.gov/vd/media1/training/sb
dtool/player.html
Why take time to apply?
http://www.sba.gov/content/applying-
hubzone-program
Do you qualify for HUBZone status?
Located in a HUBZone?
*Woman Owned Small Business How do you get certified as a WOSB or EDWOSB?
O This program is undergoing radical changes.
O Third Party Certification is here for any set aside or sole source.
O See FAR 19.001 for the definition of a woman-owned business
O 83 NAICS Codes covered by the new Woman Owned Small Business Program: http://tiny.cc/dxvg2
http://www.sba.gov/content/women-owned-
small-business-federal-contract-program
Woman Owned Small Business How do you get certified as a WOSB or EDWOSB?
O The SBA has approved four organizations to act as Third Party Certifiers under the WOSB Program. The four organizations and contact information are:
O El Paso Hispanic Chamber of Commerce
O National Women Business Owners Corporation
O US Women’s Chamber of Commerce
O Women’s Business Enterprise National Council (WBENC)
http://www.sba.gov/content/women-owned-
small-business-federal-contract-program
Veteran/Service Disabled
Veteran Owned Business SDVOSB/VOSB?
O Public Law 108-183 – “The Veterans Benefit Act of 2003” signed Nov 11, 2003
O Executive Order signed Oct 20, 2004
O Section 36 amends U.S. Code regarding procurement opportunities for service-disabled veteran-owned small businesses
O SDVOSBs (Service Disabled Veteran Owned Small Business) will benefit via set-asides or restricted procurements
O 3% goal for ALL federal agencies
http://www.vetbiz.gov
Typically takes less
than 30 minutes to
register, but requires
several hours to apply
for CVE certification.
Registration – WA State
O Requires entry and annual upkeep of information
O Search capability for state government buyers and other commercial vendors
O Fees are assessed and applied, solely depending on which type of business you are
(Examples: Sole proprietor, LLC, Corp’s)
O Register for WEBS (Washington’s Electronic Business Solution) to receive Bid notices
Washington State: WBE (Women
Business Enterprise) or MBE
(Minority Business Enterprise)
OMWBE – http://www.omwbe.wa.gov
http://des.wa.gov
Develop marketing strategy
O Consult with your: SBA (Small Business Administration), SCORE or SBDC (Small Business Development Center) to develop a marketing plan
O Identify & target only key buying activities
O Visit small business specialist, buyers & end users
O Always take promotional material: i.e. brochures, line cards, business cards
O Determine procurement cycle
O Periodically re-visit buying activities
O Attend trade shows
O Join your local Chamber of Commerce
Now, let’s continue
1. Registration
2. Develop a marketing strategy
3. Know the “right people”
4. Consult a reference library
5. Search for opportunities
6. Bid
7. Perform
Know the “right people”
At DOD (Department of Defense), Small Business Liaison Officers (SBLOs)
O Officers act as a liaison between supplier & buyer
O They are your conduit to technical person or buyer
O They teach you communication protocol
O Applicable for commodity awards >$650K or construction awards of >$1.5M
O Requires a subcontracting plan with goals
O Good opportunity for new government vendors
O They do not buy anything
Here is the local email address:
http://www.acq.osd.mil/index.html
More about the “right people” O Contracting Officer (CO) – The only person who can
buy, administer or terminate contracts for the government
O Contractor administrator – assists the CO
O End users
O Communication protocol
O Clear and Concise
O Articulate
O Watch for Spam blocks
O Professional business letters
O Lose the “hotmail” type email address
O Get everything in writing!!
OSBP
http://www.acq.osd.mil/osbp/
OSBP
http://sellingtoarmy.com/army-small-
business-specialists
Search for opportunities O Federal Business Opportunities
O www.fbo.gov (>$25k required to be posted)
O Procurement Notices
O Contract Awards
O Subcontract Leads
O Sales of Surplus Property
O Foreign Business Opportunities
O Washington WEBS (WA Electronic Buss Solution)
O BidMatch – PTAC offering
O Facebook – USACE (United States Army Corps of Engineers) (<$25k)
BidMatch - Customized Software Program available for a fee - comprehensive bid &
proposal opportunities with federal, state & local government agencies
Federal: What has the government purchased in
the past and who was awarded the contract?
http://fbo.gov
Search for opportunities
http://www.Naspo.org
Washington O Christine Warnock
Chief Procurement Officer State of Washington Email Phone: (360) 407-9398 Fax: (360) 586-2426 WEBS
O State of Washington Master Contracts & Consulting - Dept. of Enterprise Services 1500 Jefferson St SE FL 6 PO Box 41411 Olympia, WA 98501-1411
O Director Biography:
O Christine is the chief procurement officer for the State of Washington. Christine has 30 years of procurement experience, including state, federal, manufacturing and higher education fields. She has been with the State of Washington, Master Contracts and Consulting for the last 25 years, where she began as a buyer.
O In her current role as the chief procurement officer, Christine is responsible for the State of Washington’s centralized procurement program for goods and services.
O Christine is an active member of the National Association of State Procurement Officials (NASPO), representing the State of Washington. She serves as a member of the NASPO board of directors and is the chair of the Green Purchasing Committee.
O Christine is committed to leadership within the procurement profession, the changing landscape, and the socio-economic factors that must be balanced with other important factors.
What you won’t find on these websites and may
not find through Freedom of Information Act.
O The government can purchase small amounts with credit cards (“government cards”) : Under $2,500 for the federal government
< $3000 = Products
< $2500 = Services
< $2000 = Construction
O < $3,300 = Washington
O < $5,000 = Idaho
O Local agencies set their own thresholds
O The government does NOT have to post everything.
O < $25,000 = the federal government
O < $46,200 = Washington
O < $75,000 = Idaho
O Local agencies can set their own thresholds
When you find an opportunity
O READ the entire synopsis – carefully
O Obtain copy of solicitation by fax, email,
letter, download
O READ the entire solicitation – carefully
O Make a “go” or “no go” decision based
solely on the solicitation
O Follow the directions to the letter
Bidding basics
O Invitation For Bids (IFBs): can be quite short and relatively simple to prepare.
• They can contain as few as 15 pages or as many as 100.
• Their complexity depends on the project or the commodity.
• These types of solicitations are usually awarded primarily on price.
• Competitive pricing here is a key factor.
Bidding continued O Request For Proposals (RFPs):
• Usually more complex than (IFBs).
• They tend to be issued for service oriented contracts with large staffing requirements or complex operations involved.
• In many cases they are looking for comprehensive project management plans, a past performance section, a quality control plan spelled out in detail, and a separate volume on costing broken down line by line.
• Every contract is broken down into sections.
• Address each section in order and let them be your guide to preparing the proposal.
O Request For Quotes (RFQs):
These are generally the easiest to prepare. and it is usually just a question of filling in the blanks. Like IFBs, they are most often evaluated and awarded solely on price.
While IFBs and RFQs are generally awarded solely on the basis price, RFPs tend to be weighted differently. Past Performance and technical capabilities may often count more than price. A strong presentation, or proposal, can be decisive.
O Sealed Bidding: • Rigid procurement process
• Not open to negotiation (exceptions)
• For non-commercial supplies / services greater than $100K
• Clear & detailed specifications
• Awarded on price factors, but also to RESPONSIVE & RESPONSIBLE bidders only!!!
O Negotiated Procurements:
• Most flexible but most complicated procurement method
• Many forms
• 80% of contracts exceeding $100K
• Requests for Proposal (RFPs)
• Evaluation criteria cited in solicitation
• Contracting Officer (CO) may negotiate
O Market Research:
Collecting and analyzing information about capabilities
within the market to satisfy agency needs.
Includes: reviewing priority sources, vendor search in
SAM or Dynamic Small Business, issuing Pre-solicitation
Notices or Sources Sought
Preparation of Bids
• (*READ and RE-READ the solicitation)
• Make a working copy & get waivers
• Use a bid checklist
• Request specifications if required
• Consult your government procurement library
• Your written response must convince the CO that
you can do the job with “best value”
• Familiarize yourself with government jargon
http://www.dau.mil/pubs/glossary/preface.asp
Preparation of Bids Continued
O Obtain product history (previous winner, award data, who is your competition, etc.)
O Submit bid at price you can live with
O Acknowledge amendments
O Fill in original
O Submit on time – not 1 second late
O Attend bid opening, if applicable
O Sign your bid
Bid prep coaching
O Schedule one-on-one as far in advance as possible
O Provide a copy of the government solicitation
marked up with your questions
O Your first draft/best effort at a response required
O Your best effort is mandatory
O We cannot “write your bid” for you
O Incorporate red line comments & suggestions
Feedback Loop O Request a debriefing, (win or lose)
O If meeting cannot be set up, request via FOIA (Freedom of Information Act)
O Ask for suggestions
O Obtain “abstract” or “bid tab” listing of vendors and quoted costs
O Protest can be detrimental to your GovCon experience.
O Lastly, strive to become more responsive and responsible
Review of PTAC assistance
Provides free one-on-one assistance
Assists with registrations
Assists with certifications
Assists with marketing to the government
Assists with locating bids
Assists with specifications, standards, &
drawings
Helps interpret solicitations
Contact
Jessica Kirk
Eastern Washington PTAC
Greater Spokane Incorporated
801 W Riverside, Ste 100
Spokane, WA 99201
509.321.3641
The fine print: GSI, which serves as a Procurement Technical Assistance Center (PTAC), is funded in part through a cooperative agreement from the Dept. of Defense (DOD) through a program administered by the Defense Logistic Agency (DLA). The content of any written materials or verbal communications of the PTAC does not necessarily reflect the official views of or imply endorsement by DOD or DLA.
www.
gsiptac.org
