David W. Garrett Headquarters, Washington, D.C. November 30, 1992 (Phone: 202/453-8400) RELEASE: 92-211 NASA SEEKS PUBLIC COMMENT ON NEW PROCUREMENT PROCEDURES NASA plans to publish a request in the Federal Register for public and industry comment on new procedures to simplify and expedite the award of mid-range contracts, which account for 80 percent of the agency's procurement actions. "It is incredible to think that these contracts, which range from $25,000 to $2.5 million, frequently require as much paperwork and time to complete as contracts worth hundreds of millions of dollars. This is a costly, wasteful situation that discourages small business, and we aim to change it," said NASA Administrator Daniel S. Goldin. Goldin said that under the proposed procedures, both solicitations by the agency and documentation required of potential contractors would be greatly simplified. The goal is to reduce cost, improve the quality of goods and services purchased by NASA, and encourage small and disadvantaged business to participate in the nation's space and aeronautics research programs. "This procurement reform is perhaps the most revolutionary approach to government contracting in many years," Goldin said. "This will merge the capabilities of electronic technologies of the 1990s with greater empowerment of people directly responsible for the process, straightforward evaluation and documentation simplification. We aim to create a system -- with input from the public and industry -- which will significantly reduce the time and effort involved in procurement." After the 45-day public comment period, the new mid- range procedures initially will be tested at a NASA field center. Based upon the results of this test, the agency will seek authority to expand mid-range procedures to the remainder of its centers. Electronic Bulletin Board to Speed Process An electronic bulletin board -- called the NASA Acquisition Bulletin Board (NABB) -- would be used as the primary means of publicizing requirements and providing copies of solicitations. There would be no charge for access to the NABB other than the user cost of a phone call. This would eliminate the inherent delays in using Commerce Business Daily to publicize requirements and the mails to provide copies of solicitations. NASA mid-range solicitations would clearly explain requirements considered of major importance. A buying team -- a group of two to four people intimately familiar with the procurement requirements and unburdened by layers of bureaucracy -- will focus on these key aspects in the evaluation and source selection. "Mid-range solicitations would be stripped of much of the 'boilerplate' language associated with government procurement. Small firms would be encouraged to do business with the government rather than be intimidated. The buying team's documentation requirements would be relaxed to a more reasonable standard," Goldin said. All procurement decisions would be made by the buying team. It is expected that these new, simplified procedures could ultimately be used for all but the most complex procurements.