Supporting Statement 2700-0086

SUPPORTING STATEMENT November 2006

2700- 0086: Acquisition Process Purchase Orders for Goods and Services with a Value of $100,000 or Less

A. Justification.

1. Explain the circumstances that make the collection of information necessary.

Identify any legal or administrative requirements that necessitate the collection.

This information collection is necessary to evaluate quotes (bids) submitted to NASA for the purchase of goods and services less than $100,000 in support of its mission, and for the administrative requirements from such orders. Bids are requested and evaluated in accordance with OFPP Policy Act as amended by P.L. 96-83, the NASA Space Act, 42 U.S.C. et seq., and approved mission requirements.

2. Indicate how, by whom, how frequently, and for what purpose the information will be used. Except for a new collection, indicate the actual use the agency has made of the information received from the current collection.

As the need arises for goods and services valued less than $100,000, Federal agencies are required to follow the procedures set for in Federal Acquisition Regulation (FAR) Part 13 and NASA FAR Supplement (NFS) Part 1813 before an order can be awarded. Similarly, in quotes voluntarily submitted in response to RFQs, contractors must furnish all information required by the FAR, the NFS, and Agency needs. This solicited information is used by NASA project and procurement managers in the selection of contractors for goods and services required to meet the Agency’s mission.

3. Describe whether, and to what extent the collection of information involves the use of automated, electronic, mechanical, or other technological collection techniques or other forms of information technology. Also describe any consideration of using information technology to reduce burden.

NASA encourages the use of computer technology and is participating in Federal efforts to extend the use of information technology to more processes via the Internet. Currently, for commercial items between $25K and $100K, the NASA Acquisition Internet (NAIS) Request for Quote System (RFQS) allows contractors to submit quotes electronically. The Government-wide purchase card is used to the maximum extent practicable by NASA to reduce the burdent on all parties and to expedite the process.

4. Describe efforts to identify duplication.

NASA procurement procedures are continually reviewed to determine duplication of effort and other inefficiencies. Each procurement is a stand-alone action which is based upon unique project requirements and cannot be used to collect information for other requirements . There is no other known report in existence that collects this information.

5. If the collection of information impacts small businesses or other small entities (Item five of form OMB 83-I, the Paperwork Reduction Act Submission form), describe any methods used to minimize burden.

Responses by contractors are voluntary, and for the benefit of obtaining new business from NASA. Each acquisition of supplies or services that has an anticipated dollar value exceeding the micropurchase threshold (currently $3,000) and less than $100,000 is reserved exclusively for small business concerns in accordance with Section 13.003 of the FAR. This substantially increases the opportunities for small business concerns to gain Government business. The burden is the minimum necessary consistent with prudent business practices.

6. Describe the consequence to Federal program or policy activities if the collection is not conducted or is conducted less frequently.

If any restrictions were placed on the collection of information, NASA would not be able to meet its mission requirements.

7. Explain any special circumstances that would cause an information collection to be conducted in certain manners (as listed).

Not applicable.

8. If applicable, provide a copy and identify the date and page number of publication in the Federal Register of the agency's notice, required by 5 CFR § 1320.8 (d), soliciting comments on the information collection before submission to OMB.

See attached Federal Register notices. No comments on the collection were received.

9. Explain any decision to provide any payment or gift to respondents, other than renumeration of contractors or grantees.

Not applicable.

10. Describe any assurance of confidentiality provided to respondents and the basis for the assurance in statute, regulation, or agency policy.

The confidentiality of information provided in response to a solicitation is governed by statutes, the Freedom of Information Act, and FAR and NFS provisions and clauses contained in the solicitation.

11. Provide additional justification for any questions of a sensitive nature, such as sexual behavior and attitudes, religious beliefs, and other matters that are commonly considered private.

Not applicable.

12. Provide estimates of the hour burden of the collection of information.

The number of bank card transactions (112,183), multiplied by an estimated one third hour per response equals a total estimated burden of 37,020 hours.

The number of bids on purchase orders (17,519) plus the number of invoices for awarded purchase orders (7,384) multiplied by an estimated quarter hour per response equals a total estimate of 6,225 burden hours.

Total estimate of the burden is 43,245 hours.

13. Provide an estimate of the total annual cost burden to respondents or recordkeepers resulting from the collection of information.

Estimated annual contractor costs are calculated by multiplying the estimated hours for preparation of bids and invoices (43,245) by an estimated cost rate of $30.00 per hour. This totals approximately $1,297,350.

14. Provide estimates of annualized cost to the Federal government. Also, provide a description of the method used to estimate cost, which should include quantification of hours, operational expenses, and any other expense that would not have been incurred without this collection of information.

Estimated annual cost to NASA for preparattion of solicitation documents and evalution of bids, for contracts estimated to be valued less than $100,000 is $1.1 million. This estimate is calculated by determining the average salary costs of procurement personnel and multiplying that by the percentage of the workload that is allocated to the solicitation process.

15. Explain the reasons for any program changes or adjustments reported in Items 13 or 14 of the OMB Form 83‑I.

The was a slight downward change as a result of in the number of purchase orders due to increased use of the purchase card which continues to reduce the paperwork burden on contractors.

16. For collections of information intended for publication, outline plans for tabulation and publication.

Various levels of vendor information will be available to the public via the NAIS on-line system. However, sensitive information is not intended for publication.

17. If seeking approval to not display the expiration date for OMB approval of the information collection, explain the reasons that display may be inappropriate.

Not applicable.

18. Explain each exception to the certification statement identified in item 19, “Certification for Paperwork Reduction Act Submissions” of OMB Form 83-1.

Not applicable.

B. Collections of Information Employing Statistical Methods.

Not applicable.

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