Veterans Affairs Memorandum
Department ofVeterans AffairsDate:From:Subj:To:MemorandumMarch 1, 2020Executive Director, Office of Acquisition and Logistics (003A),and Senior Procurement ExecutiveVA Procurement Policy Memorandum (PPM) 2020-02, Head of Contracting Activity (HCA)Nomination and Appointment Procedures (VIEWS 00196481)Heads of the Contracting Activities1. Purpose. The purpose of this PPM is to establish procedures for nominating,appointing and terminating the Head of a Contracting Activity. This PPM rescinds PPM2019-05 and adds the HCA qualification requirements and the HCA nomination memotemplate.2. Background. In accordance with VA Acquisition Regulation (VAAR) 801.695-1, theDepartment of Veterans Affairs’ (VA’s) policy is to have a minimum number of HCAs. Theauthority vested in the Secretary to select, appoint, and terminate HCAs is delegated tothe Senior Procurement Executive (SPE).Federal Acquisition Regulation (FAR) Subpart 2.101 defines the HCA as the official whohas overall responsibility for managing the contracting activity.3. Effective Date. March 1, 2020.4. Expiration Date. This PPM expires once incorporated into the revised VAAR or theVeterans Affairs Acquisition Manual (VAAM).5. Applicability. This guidance applies to all Heads of Contracting Activities.6. Action Required.a. HCA Nomination Procedures. An HCA is an individual in a senior level acquisitionposition. HCAs are delegated broad authority to manage the agency's contractingfunctions. Officials who occupy an HCA position must have the education, training, andexperience necessary to make and support sound business decisions. The nominee shallpossess the required end-to-end acquisition lifecycle expertise focusing on proven andsustainable business practices from government and industry, along with the ability toserve as a senior business advisor for VA contracting activities. Nominations for HCAappointment shall be made using the template at Attachment A. A current copy of thenominee’s resume will be submitted with the nomination package. Nominees must alsopossess a valid Federal Acquisition Certification (FAC) in Contracting or Project/ProgramManagement. Another option is to use the FAC Fulfillment process where the SPE will
Page 2Subj: VA PPM 2020-02, Head of Contracting Activity Nomination and AppointmentProceduresrecommend approval of a FAC based on a review of documentation to determine if thenominee has acquired the requisite education, training, and experience required.b. HCA Appointment Procedures. In accordance with VAAR 801.695-2, an HCAmust be appointed in writing and in accordance with internal VA policy as contained herein.The written delegation must state any limitation on the HCA’s authority, other than alimitation contained in an applicable law or regulation.(1) Delegation of HCA Authority. The authority delegated to an HCA may beeither non-delegable or delegable. Non-delegable authority is one that cannot be redelegated by the HCA to someone else; e.g., authorities which are deemed to be of suchimportance or sensitivity that the personal attention, expertise, or involvement of the HCAis considered necessary. All delegations of HCA authority must be in writing and must setforth the specific limitations on the designee’s authority.(2) Limitations of HCA Authority. Limitations on the HCA’s authority shall belisted in the attachments to the HCA appointment letter. HCAs shall have full authority todelegate tasks listed in Attachment A. Tasks that may not be delegated are listed inAttachment B of the HCA appointment letter.c. HCA Responsibilities. See VAAR 801.695-3, Authority of the HCA.d. Rescission of HCA Authority. The SPE has the authority to rescind the HCA’sauthority. The HCA’s appointment shall be rescinded in writing. The template atAttachment C shall be used to rescind the HCA’s appointment.7. Questions or Concerns. Please direct questions regarding this PPM to the Office ofAcquisition and Logistics (003A), Procurement Policy and Warrant Management Service(003A2A), via email at VA.Procurement.Policy@va.gov./s/Angela Billups, Ph.D.Attachments (3)
ATTACHMENT AMemorandumDepartment ofVeterans AffairsDate:From:Subj:To:Request for Head of Contracting Activity (HCA) AppointmentExecutive Director, Office of Acquisition and Logistics (003A) andSenior Procurement Executive (SPE)1. As authorized by Federal Acquisition Regulation (FAR) Part 1.601, I am nominating theindividual identified in paragraph 2 below to serve as the Head of the Contracting Activitywith the authority and responsibility to contract for authorized goods and services alongwith managing the Contracting Activity.2. The basis for my nomination is experience, training, education, business acumen, judgment,character, and reputation; documentation is attached. I certify the nominee possesses therequired end-to-end acquisition lifecycle expertise focusing on proven and sustainable businesspractices from government and industry, along with the ability to successfully serve as a seniorbusiness advisor and execute the duties of the HCA as authorized in the FAR and VeteransAffairs Acquisition Regulation (VAAR).Nominee’s Legal Name:Grade and Series:Years of Acquisition and/or Operational Contracting Related Experience:Current Federal Acquisition Certification (Contacting, Project/Program Management):Resume and Other Documents:.3. I certify the nominee's working knowledge of the FAR, VAAR, VA Acquisition Manual (VAAM),and other applicable laws, and executive orders are adequate to execute the duties of an HCA.4. I further certify the nominee maintains high standards of conduct and avoids apparentconflict of interest situations.Full Name of Nominating OfficialTitle:Email address:Phone number:DateSignature
ATTACHMENT BDepartment ofVeterans AffairsMemorandumDate:From:Subj:To:Executive Director, Office of Acquisition and Logistics (003A),and Senior Procurement ExecutiveHead of Contracting Activity (HCA) Appointment (VIEWS 000XXXXX)(Title), (Organization)1. In accordance with Federal Acquisition Regulation (FAR) 1.601 and Department of VeteransAffairs Acquisition Regulation (VAAR) 801.695-2, I hereby appoint you, Mr./Ms. (Name), as Head ofContracting Activity (HCA) for (Organization). This appointment is effective (Date).2. By virtue of this appointment, all previous HCA delegations within (Organization) are herebyrescinded.3. As HCA, you have full authority to exercise the tasks shown in Attachment A. These tasks maynot be delegated.4. The tasks which may be delegated are listed in Attachment B. These tasks may only bedelegated as indicated.5. This appointment shall remain in effect until terminated by the VA Senior ProcurementExecutive (SPE).6. Please direct any questions regarding this delegation to the Procurement Policy and WarrantManagement Service via e-mail at vacovaproc@va.gov or (202) 632-5288.Senior Procurement ExecutiveAttachments (2)
ATTACHMENT BPage 2Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Cannot be Re-Delegated by the HCA"Attachment ATitleTaskDelegationLevelDescription of Delegated TasksFAR/VAAR ReferenceHCAA contracting officer must not ratifyunauthorized commitments made byother VA personnel or by anothercontracting officer who lacks authoritywithout prior approval as specified inparagraphs (b)(1) through (b)(3) of thissection. The specified approvalauthorities may not be re-delegated.Refer to VA Directive and Handbook7401.7 for more detail.VAAR 801.602-3(b)HCAHCAs are responsible for the dutieslisted in VAAR 801-690-3(d) regardingthe Contracting Officers CertificationProgram.VAAR 801-690-3(d)Voiding and RescindingContractsHCAIf there is a final conviction for anoffense punishable undersubsection 27(e) of the OFPP Act, or ifthe head of the agency, or designee,has determined that the contractor hasengaged in conduct constituting such anoffense, then the HCA shall consider, inaddition to any other penalty prescribedby law or regulation, declaring void andrescinding contracts or recommendingthe initiation of suspension or debarmentproceedings.FAR 3.704(c)Sole Source - Approval ofthe JustificationHCA orCompetitionAdvocateApproval of Sole Sources in accordancewith FAR 6.304.FAR 6.304Ratification of UnauthorizedCommitmentResponsibilities Under theCOCPContract ClausesHCACancellation of InvitationsAfter OpeningHCAPage 1In exceptional cases, the HCA maywaive the requirement for inclusion ofthe clause (52.214-27) in a contract witha foreign government or agency of thatgovernment.The HCA may approve cancellation ofinvitations for bid after opening and mayapprove completion of the acquisitionafter cancellation, as provided in FAR14.404-1(e).FAR 14.201-7(b)(2)VAAR 814.404-1(b)
ATTACHMENT BPage 3Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Cannot be Re-Delegated by the HCA"Attachment ATitleTaskDelegationLevelSealed Bidding - OtherMistakes Disclosed BeforeAwardHCAProhibition on ObtainingCost or Pricing DataHCARequiring Cost or PricingDataHCALimitations - Types ofContractsHCALetter Contracts ApplicationHCAMulti-Year ContractsHCAMulti-Year ContractsHCAPage 2Description of Delegated TasksAuthority to make the administrativedetermination set forth in FAR 14.4073(a),(b),(e), and (d) are furtherdelegated to the HCA without power ofredelegation.The HCA may, without power ofdelegation, waive the requirement forsubmission of cost or pricing data inexceptional casesUnless prohibited because of anexception at 15.403-1(b), the HCA,without power of delegation, mayauthorize the contracting officer toobtain cost or pricing data for pricingactions below the pertinent thresholdprovided the action exceeds thesimplified acquisition threshold.Fixed-ceiling-price contracts withretroactive price redetermination shallnot be used unless the HCA (or ahigher-level official, if required byagency procedures) approves its use inwriting. (VAAR does not require ahigher-level official)If the contracting officer and thecontractor cannot negotiate a definitivecontract because of failure to reachagreement as to price or fee, thecontracting officer may, with theapproval of the HCA, determine areasonable price or fee.The contracting officer may enter into amulti-year contract if the HCAdetermines appropriate.HCAs may approve multi-year contractsthat do not require legal/technicalreviews under 801.602-70 and that donot contain a first year cancellationceiling exceeding 20 percent of thecontract value over the full multi-yearterm.FAR/VAAR ReferenceVAAR 814.407-3FAR 15.403-1(c)(4)FAR 15.403-4(a)(2)FAR 16.206-3(d)FAR 16.603-2(c)(3)FAR 17.105-1(a)VAAR 817-105-2(a)
ATTACHMENT BPage 4Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Cannot be Re-Delegated by the HCA"Attachment ATitleTaskDelegationLevelHUBZone wned SmallBusiness Set-AsideProceduresHCAResolving DifferencesBetween VA and the SBAHCA w/concurrencefrom OSDBULabor RelationsHCAExceptionsHCAPage 3Description of Delegated TasksUpon receipt of notice of SBA’s intent toappeal (HUB Zone set-aside decision),the contracting officer shall suspendaction on the acquisition unless the HCAmakes a written determination thaturgent and compelling circumstancesexist.Upon receipt of notice of SBA’s intent toappeal (SDVOB set-aside decision), thecontracting officer shall suspend actionon the acquisition unless the HCAmakes a written determination thaturgent and compelling circumstancesexist.Before appealing a certificate ofcompetency, the HCA must seekconcurrence from the Director, OSDBU.The HCA may designate programs orrequirements for which it is necessarythat contractors be required to notify theGovernment of actual or potential labordisputes that are delaying or threaten todelay the timely contract performance.IAW FAR the HCA may make adetermination that an article, material, orsupply is not mined, produced, ormanufactured in the United States insufficient and reasonably availablecommercial quantities of a satisfactoryquality. IAW VAAR if the HCA believesthat the non-availability of an article islikely to affect future acquisitions,include a recommendation that a copy ofthe determination and supportingdocumentation be forwarded to theCivilian Agency Acquisition Council(CAAC) for possible addition to the list ofnon-available articles in FAR 25.104.FAR/VAAR ReferenceFAR 19.1305FAR 19.1405VAAR 819-602-3FAR 22.101-1(e)FAR 25.103(b)(2) & VAAR825.103(b)(2)
ATTACHMENT BPage 5Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Cannot be Re-Delegated by the HCA"Attachment , Omitted orIncorrect MarkingsHCAOther Types of BondingHCASubstitution of SuretyBondsHCACommercial Item PurchaseFinancingHCAProtestsHCAProtests to the AgencyHCAPage 4Description of Delegated TasksIAW FAR the HCA may determine that aparticular construction material is notmined, produced, or manufactured in theUnited States in sufficient andreasonably available commercialquantities of a satisfactory quality. IAWVAAR if the HCA believes that the nonavailability of an article is likely to affectfuture acquisitions, include arecommendation that a copy of thedetermination and supportingdocumentation be forwarded to theCivilian Agency Acquisition Council(CAAC) for possible addition to the list ofnon-available articles in FAR 25.104.Provide CO with concurrence thatcontractor proprietary markings are notauthorized and can be canceled orignored.The HCA may approve using othertypes of bonds in connection withacquiring particular supplies or services.A new surety bond covering all or part ofthe obligations on a bond previouslyapproved may be substituted for theoriginal bond if approved by the HCA, oras otherwise specified in agencyregulation.Approve, before award, contracts thatincludes unusual contract financing.This authority is not re-delegable.Prior to issuing a final decision regardingcollection of costs associated with a postaward protest, the contracting officershall request review of the matter by theHCA.For protests filed with the contractingofficer, the HCA shall be the approvingofficial for the determinations identifiedin FAR 33.103(f)(1) and (f)(3).FAR/VAAR ReferenceFAR 25.202(a)(2) & VAAR825.203(b)(3)FAR 27.404-5FAR 28.105FAR 28.106-2(a)VAAR 832.201.1 FAR32.202-1(d)FAR 33.102(b)(3)(ii)VAAR 833.103(c)
ATTACHMENT BPage 6Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Cannot be Re-Delegated by the HCA"Attachment ADelegationLevelDescription of Delegated TasksFAR/VAAR ReferenceConcurrent Performance ofFirm Fixed-Price and OtherTypes of ConstructionContractsHCAIn view of potential labor andadministrative problems, cost-plus-fixedfee, price-incentive, or other types ofcontracts with cost variation or costadjustment features shall not bepermitted concurrently, at the same worksite, with firm-fixed-price, lump sum, orunit price contracts except with the priorapproval of the HCA.FAR 36.208Two-Phase Design-BuildSelection ProceduresHCAMay establish criteria to be used in twophase design-build selection procedures.FAR 36.301HCAThe contracting officer shall notify GSAprior to acquiring utility services withoutexecuting a tendered contract, providedthat a determination is approved by theHCA that a written contract cannot beobtained and that the issuance of apurchase order is not feasible.FAR 41.202(c)(2)HCAThe HCA may determine the cost ofcomputing and tracking collateralsavings for a contract, or class ofcontracts, will exceed the benefits to bederived.FAR 48.201(e)HCAThe HCA may determine the cost ofcomputing and tracking collateralsavings for a contract, or class ofcontracts, will exceed the benefits to bederived.FAR 48.202Title/TaskUtilities - ProceduresValue Engineering Collateral Savings Not CostEffective for Supply/ServiceContractsValue Engineering Collateral Savings Not CostEffective for ConstructionContractsPage 5
ATTACHMENT BPage 7Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Can be Re-Delegated by the HCA"Attachment BTitle/TaskDelegation LevelDescription of Delegated TasksFAR/VAAR ReferenceOne Level Abovethe CO; Director ofContracting for VHATake appropriate action if violation ofconflict of interest occurs IAW FAR 3.1047(b)-(f). The HCA may delegate his orher authority under this subsection to anindividual at least one organizational levelabove the contracting officer and ofGeneral Officer, Flag, Senior Executive,or equivalent rank IAW FAR 3.104-7(g).FAR 3.104-7Debarment,Suspension, andIneligibility - Effect ofListingNo Level Lower thanthe Chief/Director ofthe ContractingOfficeVAAR 809.405Continuation ofCurrent ContractsNo Level Lower thanthe Chief/ Director ofthe ContractingOfficeThe authority under FAR 9.405(a),9.405(d)(2), and 9.405(d)(3) to determinewhether to solicit from, evaluate bids orproposals from, or award contracts tocontractors whose names appear on theExcluded Parties List System is furtherdelegated to the HCA or designee.Authority to make the determinationsunder FAR 9.405-1 is delegated to theHCA or designee.VAAR 809.405-1When a subcontract is subject toGovernment consent, authority to makethe written determination required underFAR 9.405-2 consenting to a contractor'suse of subcontractor who is debarred,suspended, or proposed for debarment isfurther delegated to the HCA or designee.VAAR 809.405-2The requirements of FAR 11.103 havebeen further delegated to the HCA ordesignee.VAAR 811.103Provide approval in advance to aContracting Officer for deviation fromspecifications contained in the FederalSupply Catalog, Stock List, FSC Group89, Subsistence, and IMPs is delegatedto the HCA or designee.VAAR 811.202(b)(3)Conflict of Interest Violations or PossibleViolationsRestrictions onSubcontractingNo Level Lower thanthe Chief/Director ofthe ContractingOfficeDescribing AgencyNeeds - MarketAcceptanceNo Level Lower thanthe Chief/Director ofthe ContractingOfficeMaintenance ofStandardizationDocumentsNo Level Lower thanthe Chief/Director ofthe ContractingOfficePage 1
ATTACHMENT BPage 8Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Can be Re-Delegated by the HCA"Attachment BTitle/TaskSealed Bidding Mistakes After AwardLetter Contract LimitationsDelegation LevelNo Level Lower thanthe Chief/Director ofthe ContractingOfficeOne Level Abovethe CO; Director ofContracting for VHASpecial ContractingMethods - ContractsNo Level Lower thanthe Chief/Director ofthe ContractingOfficeHCA Responsibilities Small BusinessProgramsNo Level Lower thanthe Chief/Director ofthe ContractingOffice; with writtenapproval fromOSDBURejecting SBARecommendationsOne Level Abovethe CO; Director ofContracting for VHAPayment Bond Furnishing InformationCOUnusual ProgressPaymentsOne Level Abovethe CO; Director ofContracting for VHAConstructionContracting Presolicitation NoticesOne Level Abovethe CO; Director ofContracting for VHAPage 2Description of Delegated TasksFAR/VAAR ReferenceThe requirements contained in VAAR814.407-4 are delegated to the HCA ordesignee.VAAR 814.407-4A letter contract may be used only afterthe HCA or designee determines inwriting that no other contract is suitable.Authorize awarding a contract thatincludes options exceeding the 5-yearslimitation specified in FAR 17.204(e). TheDSPE has delegated this authority to theHCA or designee.An HCA performs functions listed inVAAR 819-202-70, or functions can bedelegated with written approval of theDirector, OSDBU.The SBA procurement centerrepresentative may appeal thecontracting officer’s rejection to the HCA(or designee) IAW FAR 19.606(b).IAW FAR when a payment bond hasbeen provided for a contract, the head ofthe agency or designee shall furnish acertified copy of the bond and thecontract. IAW VAAR the contractingofficer for the applicable contract willfurnish copies of payment bonds to arequestor under the provisions of FAR28.106-6(c).The contracting officer may provideunusual progress payments only if thecontractor’s request is approved by theHCA or designee.Unless the requirement is waived by theHCA or a designee, the contracting officershall issue presolicitation notices on anyconstruction requirement when theproposed contract is expected to equal orexceed the Simplified AcquisitionThreshold.FAR 16.603-3VAAR 817.204VAAR 819.202-70FAR 19.505(b)FAR 28.106-6(c) & VAAR828.106-6FAR 32.501-2FAR 36.213-2(a)
ATTACHMENT BPage 9Subj: HCA Appointment LetterHead of Contracting Activity (HCA) Task Delegations"Authorities which Can be Re-Delegated by the HCA"Attachment BTitle/TaskDelegation LevelDescription of Delegated TasksA/E Contracting Evaluation BoardsSenior CO on SiteIAW FAR 36.603-3 the evaluation boardshould be under the general direction of thehead of the contracting activity. IAW VAAR836.602-2 the evaluation board for a VA fieldfacility will consist of no less than twomembers, one of whom will be the HCA (orthe senior contracting officer at a facility ifthere is no HCA on site) and the other theChief, Engineering Service, or their alternate.VAAR 836.602-2A/E - Design WithinFunding LimitationsOne Level Abovethe CO; Director ofContracting forVHAThe HCA or a designee may determine inwriting that cost limitations are secondary toperformance considerations and additionalproject funding can be expected.FAR 36.609-1(c)(1)FuneralAuthorizationGSA AreawideContractsAssignment ofContractAdministrationPage 3COOne Level Abovethe CO; Director ofContracting forVHAOne Level Abovethe CO; Director ofContracting forVHAa) When a Veteran dies while receiving carein a VA health care facility and the decedent'sremains are unclaimed, the HCA will receive aproperly executed VA form 10-2065, FuneralArrangements, requesting that funeral andburial services for the deceased.IAW FAR 41.204(c)(1) Any Federal agencyhaving a requirement for utility services withinan area covered by an areawide contract shallacquire services under that areawide contractunless—(ii) The HCA or designee otherwisedetermines that use of the areawide contractis not advantageous to the Government.IAW FAR 42.202(c) Delegating additionalfunctions. For individual contracts or groups ofcontracts, the contracting office may delegateto the CAO functions not listed in 42.302,provided that— (2) In the case of authority toissue orders under provisioning procedures inexisting contracts and under basic orderingagreements for items and services identifiedin the schedule.FAR/VAAR ReferenceVAAR 837.7003(a) and(e)FAR 41.204(c)(1)(ii)FAR 42.202(c)(2)
ATTACHMENT CDepartment ofVeterans AffairsMemorandumDate:From:Subj:To:Executive Director, Office of Acquisition and Logistics (003A),and Senior Procurement ExecutiveHead of Contracting Activity (HCA) Appointment Rescission (VIEWS 000XXXXX)Mr./Ms. (Name), (Title), (Organization)1. In accordance with Department of Veterans Affairs Acquisition Regulation 801.695-2, I herebyrescind your appointment as the Head of Contracting Activity (HCA) for (Organization), effective(Date).2. Mr./Ms. (Name), the (Title), has been appointed as (Organization)’s HCA. By virtue of Mr/Ms.(Name)’s appointment, all previous HCA delegations within (Organization) are rescinded.3. Please direct any questions regarding this rescission to the Procurement Policy and WarrantManagement Service via e-mail at vacovaproc@va.gov or (202) 632-5288.Senior Procurement Executive
Department of Veterans Affairs Memorandum. Date: March 1, 2020. From: Executive Director, Office of Acquisition and Logistics (003A), and Senior Procurement Executive. Subj: VA Procurement Policy Memorandum (PPM) 2020-02, Head of Contracting Activity (HC
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Act 165 of 2013 authorized the Director of the Department of Veterans Affairs to establish and maintain a Veterans’ Home at a location selected by the director, after seeking advice from the Arkansas Veterans’ Commission and the Arkansas Veterans Home Task Force, a
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See Distribution List 1. Purpose. This memorandum establishes VA’s Small Business Program procurement review policy and process and complements the Small Business Operating Plans prepared in accordance with VAAR 819.202-70. The review procedure is effective as of the date of this memorandum. This memorandum supersedes and replaces OSDBU Small .
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