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  • Question

    Are FMS contracts subject to CSDR requirement? Where in policy is this articulated?


    Answer

    The specific DoD FMS contracting course of action on this matter will depend on which of the following three 'fact patterns' apply:

     

    (1) If the FMS contracting action is a 'bundled acquisition' with DoD requirements and foreign nation FMS requirements combined in same contracting action for an ACAT I Program of Record (POR), then standard CSDR requirements for ACAT I programs would apply to both DoD and FMS contract requirements.

     

    (2) If the FMS contracting action is a 'stand alone' FMS contract (or contract mod or option) for foreign nation acquisition of an ACAT I POR system, CSDR ACAT I reporting requirements SHOULD be implemented on the FMS contracting action since other related DoD contracting actions for the ACAT I POR system would certainly include ACAT I CSDR reporting requirements.  Accordingly, any 'stand alone' FMS contracting efforts in this circumstance should also include ACAT I CSDR reporting requirements to ensure consistency of approach across the ACAT I program's contracting activities (both domestic and foreign).

     

    (3) If the FMS contracting action is a 'stand alone' FMS contracting action for a non-POR program that is not a DoD 5000 ACAT I program then standard CSDR ACAT I reporting requirements should definitely NOT apply since the non-POR program is NOT a DoD 5000 program.  Accordingly, application of ACAT I financial/other thresholds to an non-POR program would be irrelevant and inappropriate vis-a-vis a non-POR FMS program/contract(s).  (Note:  DoD does not require FMS 'Yockey waivers' for non-POR FMS acquisition efforts since it would be impossible for such a system to successfully complete DoD OT&E since a DoD OT&E could never be conducted for a non-POR system.)

     

    DAU recommends that the Questioner assess their circumstances vis-à-vis these three fact patterns in the response and decide which one applies. 

     

    DAU developed this response in consultation with Mr. Jeff Grover, OUSD/AT&L DPAP/CPIC/IC based on existing DFARS and DAG policy, specifically DFARS Clause 252.234-7003 and https://acc.dau.mil/CommunityBrowser.aspx?id=488339#3.4.4.2.1.2, as well as customary DoD FMS contracting practice.   More generally, information on DoD acquisition workforce international contracting policy and practices may be obtained from the DPAP/CPIC/IC website, http://www.acq.osd.mil/dpap/cpic/ic/index.html, and/or DPAP/CPIC/IC staff members.  

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