AFARS -- Part 13
Simplified Acquisition Procedures
June 1, 1996
Subpart 13.2 -- Blanket Purchase Agreements
13.203 -- Establishment of Blanket Purchase Agreements.
(j)
(1) When practicable, contracting officers shall establish prepriced BPAs by negotiating firm unit prices for specific periods of time or by incorporating supplier's price lists or catalogs in BPAs.
(4) Blanket purchase agreements shall not be established for supplies or services for which unpriced purchase orders should be used (FAR 13.502).
13.204-90 -- Use of Blanket Purchase Agreements.
(a) The contracting officer shall --
(1) Ensure that those individuals authorized to place calls under BPAs have received training and orientation in accordance with (b);
(2) Provide a copy of the BPA to individuals authorized to place BPA calls;
(3) Ensure that individuals have ready access to price lists or catalogs incorporated in BPAs;
(4) Ensure that suppliers are provided the names of individuals authorized to place calls; and
(5) Inform individuals authorized to place calls that the authority may not be redelegated to others.
(b) Training for use of BPAs shall be the same as that required for the use of purchase cards. See 13.9003(e), (f) and (g). Orientation shall focus on the BPA process, except that if the same individual will also be a purchase cardholder, BPA orientation shall be in addition to the Purchase Card Program orientation. The chief of the contracting office is responsible for approving training course content and instructor qualifications when training is provided by someone outside the contracting office.
(b) In addition to the review procedures in FAR 13.205, contracting officers who authorize individuals to place calls under BPAs shall --
(i) Ensure that individuals equitably distribute calls among suppliers with BPAs;
(ii) Ensure that individuals do not split requirements to evade monetary limitations;
(iii) Require that individuals refer all cases where prices are not considered reasonable to the contracting officer for determination; and
(iv) Maintain continuing surveillance over individuals to ensure compliance with acquisition regulations and that authorizations at 13.204 continue to be essential.
13.402 -- Agency Responsibilities.
(c)
(1) Imprest fund cashiers shall not be appointed ordering officers and shall not be authorized to make purchases using imprest funds.
(2) AR 37-103 prescribes policy and procedures on the use of imprest funds.
(e) Use Standard Form 1165 to document imprest fund transactions.
Subpart 13.5 -- Purchase Orders
13.503 -- Obtaining Contractor Acceptance and Modifying Purchase Orders.
It is not necessary to modify a purchase order to document a shortage in the final shipment, provided the shortage is negligible.
13.505 -- Purchase Order and Related Forms.
13.505-3 -- Standard Form 44, Purchase Order-Invoice-Voucher.
(e)
(i) The signature of the contracting officer constitutes certification of fund availability under the appropriation cited on the order. The contracting officer is responsible for ensuring that funds are available and for entering the proper accounting classification on the order.
(ii) When the bulk funding concept defined at FAR 13.101 and prescribed at FAR 13.104(c) is used, the contracting officer shall inform the finance and accounting officer at the close of each accounting month of the amount of all purchases made from the bulk funding accounting by use of the Standard Form 44.
(iii) If the supplier agrees, the contracting officer may hold completed Standard Forms 44 until the end of a month and prepare Standard Form 1034 as the payment voucher with the Standard Forms 44 attached as subvouchers. In such cases the signature of the contracting officer on Standard Form 1034 shall be sufficient in place of a signature on each Standard Form 44 attached. If the supplier does not agree to use this procedure or if a time payment discount offered cannot be taken because of this procedure, the individual Standard Form 44 shall be processed without delay to take the time payment discount.
Subpart 13.90 -- Government Purchase Cards
This subpart provides guidance on purchases made using the International Merchant Purchase Authorization Card (I.M.P.A.C.). The guidance and requirements herein are in addition to that provided by the Governmentwide Commercial Credit Card Service Contract Guide and the Sample Agency Internal Operating Procedures published by the General Services Administration (GSA).
(a) The purchase card provides procurement and nonprocurement personnel with a simplified method of purchasing commercially available supplies and services which do not exceed the micropurchase threshold.
(b) The purchase card may be used as a method of payment on transactions above the micropurchase threshold in accordance with requirements outlined in this subpart.
(c) Purchase cards shall be issued only to individuals who have received the orientation/training on the purchase card program as required in these procedures.
(d) Contracting offices shall not issue purchase cards to contractors. If contractors working on cost type contracts request cards, their request shall be forwarded to Rocky Mountain Bank Card System with a letter from the contracting office stating that the card is being requested pursuant to 48 CFR 51.102.
13.9002 -- Agency/Command Responsibilities.
(a) PARCs at the major commands are responsible for the overall implementation and administration of the purchase card program at their subordinate commands and installations.
(b) Chiefs of Contracting Offices shall --
(i) Develop internal operating procedures and incorporate appropriate controls in the Command or Installation Internal Control Program. Procedures and controls shall be written so as to place minimum burdens on cardholders;
(ii) Designate an agency program coordinator and approving officials;
(iii) Issue delegations of authority to cardholders;
(iv) Approve training course content and instructor qualifications;
(v) Ensure prescribed training of cardholders and approving officials;
(vi) Ensure appropriate functional participation in the development and administration of the program (e.g., Finance and Accounting, Director of Logistics, Director of Public Works, etc.); and
(vii) Establish controls to assure individuals who have not completed the certification required by FAR 3.104-12 do not exceed $20,000 in total annual purchases.
(c) Agency Program Coordinators (APC) shall serve as the purchase card focal point at each activity. The APC shall be the liaison between the activity, GSA, Rocky Mountain Bank Card System and the various directorates on the installation.
(d) Cardholders shall reconcile the bank's monthly statement of account with purchases actually made within 5 working days of receipt. They shall maintain adequate records of purchases to validate required procedures were followed and appropriate approvals were obtained.
(e) Approving officials shall ensure cardholders adhere to appropriate internal procedures and forward certified cardholders' monthly statements of account to the official billing office within 22 days after the end of the billing period.
Use of the purchase card must meet the following conditions in addition to conditions imposed by the FSS contract:
(a) A single purchase transaction may include multiple items, but the total amount, to include incidental charges, e.g., transportation costs, shall not exceed the single purchase limit. Each transaction shall involve a single delivery and payment. Purchases shall not be "split" in order to stay within the single purchase limit. Receipt of the item should be within the billing cycle or by the time the monthly report is received to simplify monthly reconciliations.
(b) Cardholders shall advise Merchant/Vendors at the time the transaction(s) is/are made that items purchased with the card are "For Official United States Government Use." Most states will exempt purchases made by the Government from state and local taxes.
(c) Dollar limits. Cardholders shall not exceed the micropurchase threshold for a single purchase. The card may be authorized for use as a method of payment when specifically authorized in the letter of authorization, and
(i) the card is being used in conjunction with a Simplified Acquisition Procedure such as a Purchase Order or Blanket Purchase Agreement, or
(ii) the card is being used to initiate calls or orders placed against existing contracts or agreements which include applicable clauses/provisions.
(iii) contract provisions identify method of payment as government purchase card.
13.9004 -- Training Requirements.
(a) Cardholders and approving officials shall receive training and orientation covering the use of the card prior to being delegated authority under the program. Training may be locally developed, but specifically designed to cover federal, defense, and departmental regulations, policies and procedures pertaining to micropurchases and simplified acquisition procedures, as applicable. Orientation shall address GSA, Rocky Mountain Bank Card System and installation-unique procedures for use of the IMPAC Card.
(b) Individuals who have completed Purchasing Fundamentals (PUR 101) or Contracting Fundamentals (CON 101) require only the purchase card orientation training.
(c) Cardholders shall receive procurement ethics training. Cardholders shall execute the procurement integrity certification required by FAR 3.104-12 if the sum of their annual purchases is expected to exceed $20,000.
(d) The Chief of the Contracting Office may require additional training depending on the thresholds and circumstances established for the card's use.