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    At least for the purpose of determining whether various service contract requirements apply (performance-based PWSs, QASP, and specifically the Army's COR and service contract approval requirements), is construction considered to be a service? What about each of these other categories: R&D, A&E, RESET, facility rental, software license? Thank you, Sharon Wisniewski


    Answer

    1. The DFARS and DFARS PGI references quoted below in pertinent part are applicable to this response.

    DFARS SUBPART 237.1 -- SERVICE CONTRACTS--GENERAL
    DFARS 237.102-74 -- Taxonomy for the acquisition of services
    See PGI 237.102-74 for OUSD(AT&L) DPAP memorandum, “Taxonomy for the Acquisition of Services,” dated November 23, 2010.
    PGI 237.102-74 -- Taxonomy for the acquisition of services
    Click here for OUSD(AT&L) DPAP memorandum, “Taxonomy for the Acquisition of Services,” dated November 23, 2010. An Excel version of “Acquisition of Services Taxonomy” is available here.

    DFARS 237.102-75 -- Guidebook for the acquisition of services
    See PGI 237.102-75 for the “Guidebook for the Acquisition of Services.”
    PGI 237.102-75 -- Guidebook for the acquisition of services
    The “Guidebook for the Acquisition of Services” is available here. This document provides acquisition teams with a step-by-step guide explaining the process of acquiring services.

    2. Section I.2 of the DoD Guidebook for the Acquisition of Services dated July 20, 2011 states the following:
    I.2 What is a Service Requirement?
    A service requirement’s primary purpose is to perform an identifiable task rather than furnish an end item of supply. Its primary purpose directly engages a contractor’s time and effort. A service requirement may be either non-personal or personal and performed by professional or nonprofessional workers whether on an individual or organizational basis. Some of the areas in which service requirements are found include the following:
     •  Maintenance, overhaul, repair, servicing, rehabilitation, salvage, modernization, or modification of supplies, systems, or equipment
     •  Routine recurring maintenance of real property
     •  Housekeeping and base services
     •  Advisory and assistance services (A&AS)
     •  Operation of government-owned equipment, facilities, and systems
     •  Communication services
     •  Architect-engineering (see FAR part 36.6)
     •  Transportation and related services (see FAR part 47)
     •  Research and development (see FAR part 35)
    For DoD, the various types of services are grouped into portfolio categories within the taxonomy for the acquisition of services (reference DFARS Procedures, Guidance, and Instruction PGI 237.102-74).

    3. Based on the above, and our review of the detailed “Acquisition of Services Taxonomy” listing set forth in Attachment 2 of the OUSD(AT&L) DPAP memorandum, “Taxonomy for the Acquisition of Services,” dated November 23, 2010, we would conclude that R&D, A&E, and RESET (i.e., equipment maintenance, repair, overhaul and modification) and facility rental are considered by DoD to be services. However, our review of both the July 2011 DoD Guidebook and the November 2010 DPAP memorandum indicates that construction and software licenses are not considered to be services as far as DoD is concerned because these acquisitions do not appear to be specifically listed and/or addressed in these documents as services.


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