Government Contracting Flashcards


Systems Engineering and Technical Assistance


Firm Fixed Price

NAICS 336611

Ship Building and Repairing (SB)


The remaining amount of contract's current funding or total pipeline potential.

Billing Rate or Target Rate

An indirect cost rate established temporarily for interim
reimbursement of incurred indirect costs and adjusted as necessary
pending settlement of a final indirect cost rate.


Bill of materials.
List of the quantities of materials required to produce a product. A
normal format used to summarize the material costs a contract has
included in its estimate of contract price.


Best and Final Offer.
Upon completion of discussions during a negotiated procurement,
contractors may submit a revised proposal addressing issues raised.


Contractor and Govt Entity Code.
Required five-character number assigned to a company in order to
work with the government.


Cost Accounting StandardsRegulations applicable to select
contractors to address the measurement, assignment, and allocation of
costs to government contracts.


Central Contractor Registation. A registry of commercial
contractors and governmental jurisdictions that plan to enter into
contracts or receive grants from the federal govt


A backlog is a buildup of work that needs to be completed. The term
"backlog" has a number of uses in finance; it may refer to a
company's sales orders waiting to be filled

NAICS 541511

Custom Computer Programming Services

NAICS 541512

Computer Systems Design Services

NAICS 541513

Computer Facilities Management Services

NAICS 541519

Other computer related services


Contract Line Number: A specific unit of work to be performed by the contractor.


(Cost-Plus-Award-Fee): Reimburses the contractor for allowable costs
and adds a fee consisting of a base fee (which may be zero) and an
award fee., determined at the periodic milestones set forth in the contract.


(Cost Plus Fixed Fee): Reimburses the contractor for costs and adds a
negotiated fee.


(Cost plus incentive fee): Reimburses the contractor for costs and
adds a negotiated fee, which is adjusted by a formula based on target
costs, providing an incentive to keep costs low.


(Defense Contract Audit Agency): Responsible for auditing Depart of
Defense contracts and can be brought in by other agencies to assist
with audits.


Defense Contract Management Agency: Responsible for ensuring that
contractors deliver goods and services to the Dept of Defense on time,
at cost, and in a sufficient manner


(Defense Federal Acquisition Regulation Supplement) A FAR supplement
issued by the Dept of Defense


(Estimate at completions): The total estimated cost of a project at completion.


(Estimate to complete): The work remaining to complete an activity,
in hours or dollars.


(Earned Value Management): A project management methodology to
support project planning, execution, and assessment of how the project
is performing against the plan.


(Federal Acquisition Regulations): The primary set of rules used by
agencies when purchasing goods and services. Include
meeting the buyers needs in terms of cost, quality, and timeliness.;
minimizing admin operator costs (overhead); ensuring integrity,
fairness, and openness; and fulfilling other public policy objectives.


(Firm Fixed Price): A contract where the price is set and fixed by
unit of product or measure. FFP contracts impose the maximum risk on
the contractor and minimum administrative burden on the customer.


(Fixed-price Incentive): A fixed price contract that provides for
adjusting profit and establishing the final contract price by
application of a formula based on the total target cost.


(Forward Price Rate Agreement): FAR 15.407-3


(General and Administrative): An indirect cost pool that collects
costs related to the overall operation of the business.


(General Services Administration): The major supply arm of gov't,
which does most of the govt's buying.
Self-funded got agency that helps the govt obtain goods and
services. Responsible for managing what's know as the GSA Schedules,
itemizing listings of vendors providing commercial goods and services.


(Gov't Wide Acquisition Contract): A multi-award, indefinite quantity
contract that helps agencies meet their technology requirements
through a customizable solutions.


(Incurred Cost Electronically model): Electronic version of the
incurred cost submission, designed to aid contractors in preparing an
adequate incurred cost proposal.


(Indefinite Delivery Indefinite Quantity): An IDIQ is a type of
procurement vehicle. The gov't allots a certain amount of money for
purchases it will make with specified vendors, but leaves open the
dates the purchases will be made and the exact quantity of each item
that will be bought.


(Office of Federal Procurement Policy): Part of the Office of
Management and Budget, it tracks the various procurement regulations
for every federal gov't agency.


(Office of Management and Budget): Part of the Executive Office of
the President; oversees preparation of the federal budget.
Office of Mang and Budget. Primarily responsible for outlining
the Presidents Budget each year. As the Presidents "right hand
man" when it comes to budget management, the OMB also sets and
enforces procurement regulations


(Program Office): The office within the awarding agency with primary
interest in, and responsibility for, the contract.
The "customer" to the govt contractors are selling to.
Decides who the stakeholders are (who will be using what is
purchased), what the functional capabilities and needs are (how it
works and what is needed of improvement), and what the overall cost
encompasses. *one this is sorted out then the contract moves to the
Contracting Office (CO).

prime contract

A contract awarded directly by the gov't.


(Request for Proposal): RFP's are generally issued when the gov't
wants a detailed technical proposal. With RFP's, contracts are
negotiated (as opposed to low bid wins).


(Request for quote): RFQs are sometimes used or fact finding when the
gov't is merely checking into the possibility of acquiring a product
or service. They are not binding on either party.


(Small Business Administration): As the gov'ts small business
advocate, the SBA oversees various federal procurement initiative and
serves as an information resource for small businesses looking to
learn more about contracting.


(Small Disadvantage Business): The catch-all term used in federal
procurement for minority-owned businesses.


(standard form): used in front of gov't contract template and
followed by a number, for example: SF 1034


(Statement of work): Captures the activities and deliverables to be
performed by the contractor


An agreement between a prime contractor and another organization to
provide goods or services, either directly for a federal contract or
for another subcontract


An agreement by a potential prime contractor with one or more other
companies in an attempt to win a contract.


(time & material): Time and Materials payments are based on
hourly rates and costs of materials used.


(Truth and Negotiations Act): A public law enacted for the purpose of
providing for full and fair disclosure by contractors in the conduct
of negotiations with the gov't


(wide area workflow): An electronic invoicing and receipt system that
routes documents to appropriate officials.


(Work Breakdown Structure): Provides a hierarchy of program elements
that supports the measurement of a contract's cost and schedule performance.

Executive Branch

Every year, the competition for contracting begins when the President
issues a Federal Budget Request, prepared y the executive branch's
Office of Management and Budget (OMB).

Legislative Branch

The division of government that makes and modifies laws. What's most
important in the contracting world is that the legislative branch
authorizes the existence of programs and appropriates the funds
itemized in the President's budget request.

Judicial Branch

The court systems right to explain and apply laws has an influence
over how the legislative and executive branches create regulations.


Contracting Office. Assists in the execution of contracts (and is
responsible for ensureing your payment). Acts as
personal shopper for the PO and the Contracting Office is considered
the "buyer" of the acquisitions process, making sure that
all the laws are followed and that the PO is getting the best value
from the contracts it purchases.

Disadvantage Business

Govt sets aside percentage of its purchases to small or
underrepresented businesses to give them a fair opportunity to compete
for govt business.
Ex:Minority Owner Small Business, Historically Underutilized
Business Zone (HUBzone), Service Disables Veteran Owned Small Business
(SDVOSB), Women owned small business (WOSB)

NAICS 541330

Engineering Services

NAICS 334511

Srch, Dtctn, Nvgtn, Gudnc, Aeronaut & Naut Sys & Instru Manu

NAICS 541712

R&E in the Physical, Engrg, & Life Sciences (except Biotech)

NAICS 336413

Other Aircraft Parts & Aux Equip Manu

NAICS 541990

All Other Professional, Scientific, & Tech Services

NAICS 561210

Facilities Support Services

NAICS 541512

Computer Systems Design Services

NAICS 517110

Wired Telecommunications Carriers

NAICS 334220

Radio and TV Broadcasting & Wireless Comms Equip Manu

NAICS 236220

Commercial & Institutional Bldg Construction


An incumbent is an individual who is responsible for a specific
office within a corporation or government position; this person has an
obligation to the position or office she holds. All incumbents of an
organization, such as directors and officers, are listed on an
incumbency certificate. This is an official or regime currently
holding office or a post. Read more: Incumbent
Definition | Investopedia
Follow us: Investopedia on Facebook

GSA Multiple Award Schedule

One of the biggest contract vehicles, with more than 8,600 suppliers.


Contracts that state limits to supplies and services during a fixed
period of time, without setting a specific quantity as an end result.
Bakery analogy: bakery gives apprentice ingredients with
a minimum expectation of how many pies he will be able to make at the
end of the day.


Multi- Agency Contract. An ID/IQ. Some agencies operate contracts
with a set of vendors and make those contracts available to other
agencies. Sometimes a CO may decide that there's another agency that
has a contract they would like to use to get the POs need fulfilled.


Govt Wide Acquisitions Contract. As a type of MA ID/IQ what makes
GWACs unique is that they may be used by all agencies. Most GWACs are
operated by a GSA to help COs across the govt fulfill complex needs.


Multiple Award Indefinite Delivery/Indefinite Quantity. Sometimes a
CO will expect a lot of demand for a certain set of products and
services and they can get a better deal if they leverage their buying
power. They may establish a contract with a selected group of vendors.
Although there may be multiple awardees on these contacts, they are a
closed community, and competition for task or delivery orders on these
vehicles may only occur amount members of that community.