CERP Project Purchasing Officer PPO Training

1. CERP Project Purchasing Officer (PPO) Training

2. OVERVIEW

3. CERP BASICS CERP – Commanders Emergency Response Program (don’t confuse this with other funds) Congress did not intend for CERP-APF to be used to train and equip security forces Used to: Build Iraqi Infrastructure, social programs, and the betterment of the Iraqi People (when in doubt call Contracting or Comptroller) US Appropriated funds which must be used in accordance with sound business practices. Contracting Officer provides business advice

4. CERP References MNF-I FRAGO 087 Dtd 29 Jun 04 MNF-I FRAGO 087 MOD 1 Dtd 23 May 05 MNF-I FRAGO 318 Dtd 01 Sep 04 MNF-I FRAGO 318 MOD 1 Dtd 10 Nov 04 MNC-I FRAGO 92 Dtd 02 Jun 05 MNC-I FRAGO 205 DTU dtd 24 Jan 05 MNC-I FRAGO 93 dtd 3 Jun 05

5. CERP PPO/PA TEAMS

6. CERP PPO/PA TEAMS

7. CERP PPO/PA TEAMS

8. CERP CAN BE USED FOR Reconstructing Damage due to Combat Operations: Homes, Roads, Mosques, Schools Emergency Repairs on Critical Infrastructure: Hospitals, Water Treatment Facilities, Electrical Plants Resolving Critical Infrastructure Shortfalls that can be RAPIDLY Fixed: Bridges, Sewage Systems and Telephone Reducing Risk of Injury to the local populace Procuring critical equipment to replace lost, stolen, non-repairable items or to establish critical community essential services. EMPLOY AS MANY IRAQIS AS POSSIBLE

9. CERP CAN NOT BE USED FOR Direct or indirect benefit of coalition forces (ISF) Entertainment of local Iraqi population To fund any type of weapons buy-back or rewards program To buy firearms, ammo, or remove unexploded ordnance For duplicating services available through municipal governments Augment OMA or other sources of funds To provide support to individuals or businesses unless damage caused by coalition forces To pay any Iraqi military or civilian government employee salary or pension No Grants

10. CERP PRICE AND REASONABLENESS REQUIREMENTS (1/4)

11. CERP PRICE AND REASONABLENESS REQUIREMENTS (2/4)

12. CERP PRICE AND REASONABLENESS REQUIREMENTS (3/4)

13. CERP PRICE AND REASONABLENESS REQUIREMENTS (4/4)

14. General Process Decide what you want. Get Approval (Commander) and Funding (Comptroller) Advertise (bid board, bidders conference, word of mouth) Evaluate Award Monitor Pay Close

15. STANDARDS OF CONDUCT Must maintain highest standards of Integrity DoDD 5500.7-R, Joint Ethics Regulation Spending American Taxpayers’ Money Be aware of perceptions of ‘Undue Influence’ what others think can be just as damaging as actual wrong doing Shall not solicit or accept, directly or indirectly, any gratuity, gift, favor, entertainment, loan, or anything of monetary value from a vendor Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation

16. Professional/Personal Liability Professional: A Project Purchasing Officer breaks the law when he / she purchases prohibited items or services or exceeds the $200,000 threshold Personal: “Pecuniary Liability” A Project Purchasing Officer can be held financially liable when he or she purchases prohibited items or services or exceeds the $200,000 threshold The government can and will take the money from you and/or take UCMJ actions Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation

17. Ratification Improper Procurements or Unauthorized Commitments – telling contractor to start work with no funding. PPO Memorandum Commander’s Memorandum (O-7 or Above) Illegal contracts can not be ratified; A warranted contracting officer must be able to make the purchase Painful Process; PPOs need to avoid When in Doubt ask the Contracting Officer! Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation

18. HOW TO BECOME A PPO

19. HOW TO BECOME A PAY AGENT

20. HOW TO DRAW MONEY

21. AWARDING CONTRACTS

22. SF 44 – CONDITIONS FOR USE At or below $200,000; do not split requirements Sufficient funds are available from DA 3953 (Anti-Deficiency Act Violations/Ratifications) Supply or Service immediately available from local vendor (on the spot purchase preferable) Construction/Recurring service needs to be clearly understood by both parties Fair and Reasonable Price; Cannot always use same Vendor(s) Ensure supply channels can’t get in a timely fashionEnsure supply channels can’t get in a timely fashion

23. SF 44 PREPARATION Date Of Order Order Number (W27P4K-05-CXX-XXXX)-(Use initials and start with 0001) Seller Information Unit Name and Address (POC, Phone, E-Mail) Supplies or Services, Quantity, and Unit Price Amount and Total Date Invoice Received “Same as Order Date” Finance Office Name and Address Print & Sign Name; Title “Project Purchasing Officer” Fund Cite from Block 19, DA 3953; In full Received by “Signed by a unit representative” “X” Payment Received and write total amount Seller signs and dates All other spaces are filled in by the Class A Agent Ensure supply channels can’t get in a timely fashionEnsure supply channels can’t get in a timely fashion

25. SF 44 Distribution Follow the sample (provided in your PPO Folder) Make 3 copies of the Completed SF 44 1 copy for your PPO records 1 copy for Contracting 1 copy for Paying Agent 1 copy for Resource Management (C-8) Original to Class A Agent to clear with Finance Make 3 copies of the Vendor’s Receipt 1 copy for your PPO records 1 copy for Contracting 1 copy for Resource Management (C-8) Original to Class A Agent to clear with Finance

27. Purchase Ordering Officer Folder Left Side: Original DA Form 3953 Copy of Pay Agent Appt. Funding Increases or Decreases Backside of DA Form 3953 (filled out as purchases are made) Right Side: Project Approval Letter. Certification of PPO Training Signed PPO Appointment Letter Competition Determination or Sole Source Justification Documentation of Price Reasonableness One memorandum, covers all SF 44 purchases, signed by the unit Commander SF 44 Ledger (signed) Copy of SF 44’s and Vendor Receipts Interim Clearance Memorandum from Contracting Officer After final reconciliation, Ordering Officer Termination Order Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation Explain split purchase…..1 requirement for > 2,500, paid for in 2 separate transactions Why split a purchase? To stay under the $2,500 limitation

28. Monthly Reconciliation Contracting Officer issues Interim Clearance Memorandum Contact the Appointing Contracting Officer or the nearest JCC-I Contracting Office to make an appointment to clear (once a month or as directed) Required Records From the Unit Commander, Request for Reconciliation Memorandum of all SF 44’s (See sample in Appointment Order Packet) Copies of all SF 44 purchases Copies of Vendor Receipts Construction/Services Attachment and good SOW Signed SF 44 Ledger (See template in package) Hand receipts for durable items (if necessary) Ensure supply channels can’t get in a timely fashionEnsure supply channels can’t get in a timely fashion

29. SF 44 CLOSE OUT W/CONTRACTING 1. Contact The Appointing Contracting Officer by locating the nearest JCCI-I Contracting Office 2. Required Records – Backside of DA 3953 filled out – Copies of all SF 44 purchases – Unused SF 44s (accountable item) – From the unit commander, Memorandum of Authorization for all SF 44 purchases. – Store Receipts from Sellers – Hand receipts for durable items 3. Reconcile SF 44s both Contracting and Ordering Officer 4. Close-out SF 44 5. Contracting Officer issues letter of termination and a letter of release from any future liability

30. CLEARING THE COMPTROLLER

31. TerminationOther Than Close Out By the request of the Unit Commander As a result of making Unauthorized Purchases or other Misconduct A Contracting Officer may terminate a Project Procurement Ordering Officer without the concurrence of the requesting command Ensure supply channels can’t get in a timely fashionEnsure supply channels can’t get in a timely fashion

32. FORCE PROTECTION

33. Reminders/Hints Acquisition Regulations are law!! All prices have to be determined to be fair and reasonable even if no competition is available Avoid even the appearance of impropriety No longer in mobilization phase, more scrutiny over all actions Your records will be audited Ratification of an unauthorized commitment is painful & can cost you money HINTS: Use a Calculator to convert currency Use common sense and protect yourself by being organized Establish good relationships—You represent their view of All Americans Don’t accept gifts if accepted, so as not to embarrass gift giver, have legal review gift and decide whether or not servicemember can keep $15 limit per gift per vendor. No > $100 of gifts total per year EVERY SF44 will be audited upon return to duty station Don’t accept gifts if accepted, so as not to embarrass gift giver, have legal review gift and decide whether or not servicemember can keep $15 limit per gift per vendor. No > $100 of gifts total per year EVERY SF44 will be audited upon return to duty station

34. QUESTIONS?