Articles

This is a collection of articles that have been written by SpendLogic staff, related to CPSRs, cost analysis, price analysis, and other FAR-related procurement documentation.

Is This the Death of Cost Analysis?
The Defense Pricing and Contracting “reminder” to Contracting Officers on May 5, 2024, definitely drew our attention. It appears to state that unless a vendor is subject to full CAS, they are exempt from Certified Cost or Pricing Data. 
Is What I am Buying (or Selling) Commercial?

The U.S. Government expects contractors to provide commercial products or services as part of their solution to a solicitation. But how does a Buyer know if what they are procuring is “Commercial”? 

Anyone can Spend Money, but do you Know What it Takes to be a Buyer?
Being a buyer for a government contractor is one of the most stressful, overwhelming, and often under-appreciated positions in a company. The sheer volume of rules and regulations to follow is tough to comprehend. And there’s risk involved. 
Writing a Source Justification That Can’t be Refused (or Rejected)

A Source Justification is more than just paperwork; it’s a beacon of accountability, transparency, and fairness in procurement. Learn why it’s important and how to write one.

Setting the Course for Purchasing System Success in 2024

Eight ways to enhance and improve your current purchasing system operation as you enter the new year.

Unwrapping the Gift of Savings: A Holiday Price Analysis Guide
SpendLogic unwraps some secrets of smart shopping using a variety of price analysis approaches to show you how to optimize savings while still delivering those ideal gifts in our holiday price analysis guide.
Navigating FAR 52.244-2: Consent to Subcontract and Advance Notification in Government Contracts
If you have the Consent and Advance Notice requirement pursuant to FAR Subpart 44.201, you’re going to be held to standards very similar to the CPSR. This article will help you understand what may be required and provide tools that simplify and automate daily efforts.

New FAR Flowdown Clauses Effective December 4, 2023 – ARE YOU READY?

A new interim rule issued by the Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA) goes into effect December 4, 2023.
PERT Review – DOE’s Purchasing System Approval Process
Learn how SpendLogic’s tools can help DOE contractors be compliant with both federal and agency procurement regulations and successfully pass their PERT.

Flowdown Clause: What Rolls Downhill to the Subcontractor?

The prime contractor is required in many instances to “flow down” some FAR clauses to its subcontractor.  Learn how to navigate this flowdown process.

FAR Part 12 vs. FAR Part 15 – The Prequel

If you’re relatively new to government procurement (and even if you’re not new), it might be helpful to understand a few basics about FAR 2.101 commercial products and service and the affect it has on government contractors.  

2023 NCMA World Congress: Top Takeaways
SpendLogic recently attended NCMA’s 2023 World Congress and sat in on the DCMA CPSR Group’s presentation “A Proactive Approach to Contractor Purchasing System Reviews: A Tale of Two Contractors.” Here’s what we learned.

Are Your Purchasing Policies & Procedures Compliant With DFARS 252.244-7001(c)?

A Contractor Purchasing System Review (CPSR) begins with your policies and procedures. And they must be compliant with DFARS 252.244-7001(c).

Sole Source Justifications – Still in CPSR’s Top 5 
Sole Source Justifications are still one of the top 5 deficiencies found during a Contractor Purchasing System Review (CPSR) audit.
DCMA CPSR Group to Focus on Consent to Subcontract 
Consent to Subcontract is a new focus of the DCMA CPSR group. Learn what this means to you and how to simplify it.

Top 5 Deficiencies in a CPSR Audit

All elements of a contractor’s purchasing system are important, but five policies and/or processes are most often found to be deficient during a CPSR audit. Learn how to avoid these top deficiencies and enjoy a 100% CPSR pass rate.

Compare SpendLogic to other procurement automation solutions

Until recently, very little in the way of innovation has been focused on purchasing systems and compliance with DFARS requirements.  SpendLogic recognizes this and has built tools that automate contractors’ daily documentation so that they pass CPSRs with very little, if any, preparation.

DCMA Aims to Simplify CPSRs for Small Businesses

John Foley, DCMA’s CPSR Group Director, recently explained that he is hoping to “…create an environment where small contractors are eased into obtaining an approved purchasing system.”  

2023 NDAA Allows direct-to-government requests for economic price adjustments

One of the hottest topics in defense contracting right now is economic price adjustments on existing contracts due to inflation.  Traditionally, subcontractors were required to go through their Prime to request price adjustment.  But with the 2023 NDAA provision discussed below, this is no longer the case!

Out With the Old, In With the New!  Procurement Document Updates for the Start of 2023

In addition to the de-cluttering, organizing, and updating you might be doing at home, SpendLogic recommends the same be done with your procurement policies and procedures.  The new year is a good time to review what might need updating and/or deleting resulting from legislative and/or regulatory changes that went into effect at the end of 2022.

PowerSecure:  A Case Study in False Claims Act Violations

Certified Cost or Pricing Data, Sole Source, and the DoJ – What do these three things have in common?The short answer is the False Claims Act (“FCA”).

Price Negotiation Memorandum – Template and Guide 

Government scrutiny of price negotiation memoranda is on the rise.  Many contractors are seeing findings in CPSRs related to this document.  This article provides a free template and guide to using it.  It also provides alignment with the requirements found in the FAR.  

DFARS Final Rule Case 2020-D008 

This Final Rule was released in the Federal Register on October 28, 2022.  On the face of it, this DFARS rule revision appears to prohibit the use of historical price data in price analysis.  However, reading more carefully, it appears to reiterate what has always been the case:  Price Analysis may rely on price history, but may not stand on it’s own and must take into account other related factors.

CPSR Requirement #1: Adequate Policies and Procedures

Requirement 1 is the foundation for the entire CPSR and an excellent place to start if you’re new to government contracting.  It reads as follows: Have an adequate system description including…

FAR 12 vs. FAR 15: A Tale of Two Documentation Requirements

It’s easy to figure out the value of an egg; you look at grocery ads, shop around, and determine that $2.99 per dozen is the going rate.  But what if what you want isn’t just any ordinary egg…

Cost and Price Analysis:  A Beginner’s Guide

A discussion of the basics of conducting a cost analysis in alignment with the Federal Acquisition Regulations and Truthful Cost or Pricing Data (formerly known as the Truth in Negotiations Act, or “TINA”)

What Happens if I Fail a CPSR?

Ever wonder why so much emphasis is put on passing the CPSR?  We explain the other side of the coin here…

What is a CPSR? 

High level explanation of the Contractor Purchasing System Review, including the different types of review and timing.

CPSR Preparation Made Simple

Why your company should start preparing for your next CPSR today.

How to Prepare for a Contractor Purchasing System Review

Quick-start guide on preparing for your next CPSR.

Don’t Over-Complicate Your Analysis!

In this case, less is more.  Keeping documentation short and sweet is a better strategy for success in audits.

GSA Calc vs. SpendLogic

The DCMA is issuing findings in CPSRs for using GSA Calc in labor rate analysis.  This article explains why SpendLogic has been determined acceptable by the DCMA as well as why it’s a superior solution. 

What are the Federal Acquisition Regulations?

There are a few sections of the FAR that you should know well.

Weighted Guidelines:  How it fits into a Successful CPSR

If your company analyzes profit as part of your proposal analysis process, it’s critical to use a systematic approach for analysis.  The most common method is the Weighted Guidelines and we explain why it’s important.

APTAC Presentation: Anticipating Market Research

This presentation was aimed at providing small business counselors with the key pieces of information that their clients needed to consider related to government contracting. Making market research easier for buyers will result in new business for sellers.

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