Ellen Beebe's background is in estimating and pricing. She spent 33 years at different levels of estimating and pricing and has a full understanding of FAR Part 15 and FAR Part 12.
Inside the FAR, where the definitions are in the Federal Acquisition Regulation, it describes what a commercial item is versus what's not commercial. And you can only sell commercial items under FAR Part 12. The Raytheon experience, while we had some commercial items that we sold under FAR Part 12, we are mostly under FAR part 15, either competitive or sole-source.
FAR Part 15 is utilized by the federal government for competitive as well as sole-source proposals. If you are a sole source and you are putting a proposal together that's over $2 million, then you fall under FAR Part 15 table 15.2 and that is a description of how you build certified cost or pricing data for a proposal. Table 15.2 is very descriptive, you have to build a bill of materials, you have to consolidate that bill of materials across all the line items, as well as provide support for all the estimates in the cost.
For commercial items, it's a different story, it is really what will what the market bear. So understanding the marketplace, what your competition is selling those similar items for. Of course, if it is a commercial item, you have to prove commerciality as part of the proposal process. So you'll need to be able to show that it's been sold to the general public in some way, shape or form. Generally that's by providing invoices to the buying command.
"I would think that no matter where you are in the value stream in federal contracting, everything that you're doing, if it's DOD specific, is in support of the war fighter and ultimately our country's mission." - Ellen Beebe, Former Director of Estimating and Pricing at Raytheon
Ellen Beebe recently sat down with USFCR on Masterminds, a weekly live program for Verified Vendors. Check out the full broadcast here: [ Ссылка ]
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