OCI MitigationAF Life Cycle Management Center
Office of the Staff Judge Advocate
66 Air Base Group
Hanscom AFB, MA
Organizational Conflict of
Interest
Definition
FAR 2.101
Because of other activities or Relationships . . .
- a person is unable or potentially unable
to render impartial assistance or advice, or
the persons objectivity is or might be
impaired, or
- a person has an unfair competitive
advantage.
Governing FAR Provisions
FAR 9.504
- Potential conflicts of interest must be mitigated
before contract award
- Contracting officers should obtain the advice of
legal counsel and technical experts in evaluating
potential conflicts
Governing FAR Provisions
FAR 9.505
- Each individual situation should be examined on the
basis of its particular facts and the nature of the
proposed contract
- Evaluation requires the exercise of common sense,
good judgment, and sound discretion
GAO Precedent
Aetna Government Health Plans, Inc.,
B-254397.15 et al., July 27, 1995, 95-2
CPD 129
In some cases, an OCI cannot be mitigated
Types of OCI
Biased Ground Rules
- Systems Engineering and Technical Direction
- Preparation of Statement of Work; Requirements
(FAR 9.505-1)
(FAR 9.505-2)
Impaired Objectivity
- Providing Evaluation Services
(FAR 9.505-3)
Unequal Access to Information
- Access to Proprietary Information
(FAR 9.505-4)
AFLCMC OCI Review Panel
AFLCMC Process Guide, R107, 13 Mar 13
- Established OCI Review Panel to ensure
AFLCMC OCI policy is consistently applied
- Chaired by Senior members of
Contracting, the Legal Office,
and the Acquisition Center of Excellence
OCI Review Process
OCI Plan from prime contractor to
Contracting Officer (prime contractor
incorporates all subcontractor OCI plans)
Contracting Officer to program team
Those inputs go to Program Attorney
Consolidated comments go to
OCI Review Panel
OCI Mitigation
Organization Charts (Prime & Subcontractors)
- One chart showing current organization and
reporting chain up through parent company
- Second chart showing new corporate structure
and reporting chain if restructure of Organization
is proposed as mitigation
- Organization chart needed for each member of your
team (Prime & Subcontractors)
OCI Mitigation
Contract Types with Potential OCIs
- Systems Contracts or Programs
- Advisory & Assistance (A&AS) Contracts
(Program Office Support, PASS, ETASS, etc.)
OCI Mitigation
OCI Firewalls (5 Factor Mitigation)
Isolate Work in Separate Business Unit
- Geographic & Physical Separation
Independent Management & Reporting
Chains
- Prohibition Against Transfer of Personnel
- Prohibition Against Transfer of Information
OCI Mitigation Plans
Administrative Section
- Definitions
- OCI Training for new and existing employees
- Employee Transfer Rules- OCI Enforcement
Information Transfer Rules
Employee OCI reporting requirements
Consequences for OCI violations
Disclosure of violations to Government
- OCI / Debriefing Certification
- Nondisclosure Agreement
OCI Mitigation Plans
OCI Mitigation Section
- Separate Section for Prime and each Subcontractor
- Organization Chart
- Agree to Adopt Administrative Section
(or explain any deviations)
- Identify and Mitigate Potential OCIs
Identify & Mitigate Potential
Identify All Divisions or Business Units
(Combine within by Systems / A&AS Contracts)
- Location
- Explain the Management and Reporting Chain
Identify & Explain Contracts in the Division or
Business Unit with Potential OCIs
Identify & Mitigate Potential
Identify the Potential OCIs
- Analyze work under specific contracts for actual
or potential conflicts of interest and conclude
whether a conflict of interest exists
Identify & Mitigate Potential
Propose Mitigation Strategies
- Propose concrete solutions for mitigating any
conflicts of interest that have been identified
Firewalls (5 Factor Mitigation Analysis)
Restructure of organization and reporting chains
Other steps the contractor will take to preclude
the perception that it will favor its own products
or services
Conclusion
AFLCMC OCI Review Process
Obtain OCI Mitigation Plan Outline
Submit plans to the Contracting Officer
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