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BPA guidance for contract renewal
[BPA letterhead, sent to all contractors]
December 31, 2002
Dear Fish and Wildlife Contractor,
As you may know, Bonneville Power Administration (BPA) policy is to
make every effort to ensure that fish and wildlife projects funded by
ratepayers achieve the maximum biological benefits at the least
cost. This policy has been stated publicly on many occasions and in
many forums. BPA is now facing one of the most challenging financial
crises in its history. This fact has added new urgency to
implementing improved efficiencies in its fish and wildlife contracting
procedures as well as other programs agency-wide.
In working with your BPA project manager on contract renewals please be
aware that this guidance has been given to them as standards for contract
renewal. Specifically, fish and wildlife contractors will use the
following standards when preparing budgets for Fiscal Year (FY) 03
contract renewal:
- Eliminate 10% rule that enables "budget creep" above
approved project budget.
- Eliminate all ?carry over? (contracted project balance).
Set FY 03 budget consistent with BPA decision document/Northwest Power
Planning Council (Council) recommendations, which are similar in most
instances.
- Eliminate the 3.4% Cost of Living Adjustment (COLA) Rule. For
the interim until we have an agreed upon start of year FY 03 Budget,
use the BPA FY 02 contracted amount for FY 02 rather than assuming any
amount for a COLA.
- Be sure to include a section in the Statement Of Work (SOW) that
explains/details the travel and potential training costs in the
budget. These must be directly connected to the project proposal
as submitted in the Provincial Review Process and as recommended by
the Council.
- Travel must be associated with implementation of the project and
clearly explained in the SOW and detailed in the budget.
- Training must be essential for implementation of the project and
specifically identified in the project proposal. There must be a
clear tie between the training and the work described in the
objectives and tasks.
- Conferences will not be paid for under BPA contracts. All
conference attendance and associated travel is to be covered by the
contractor.
- Scrutinize housing and equipment purchases to achieve scope of the
project.
- Extend the life cycle of equipment such as computers, printers,
vehicles, boats, etc. In other words, postpone replacement
of this equipment as long as possible without jeopardizing safety
and/or project scope integrity.
If you are unsure of any of this guidance as you prepare a new SOW and
budget for FY 03, please talk with your BPA contract manager/Contracting
Officer's Technical Representative (COTR) for clarity. For
detailed information about BPA COTR roles and responsibilities, please
refer to the Bonneville
Purchasing Instructions available online. Please keep in mind
that BPA Contracting Officers have the final authority for contract
renewal commitments and acceptance.
We will soon provide additional reporting guidelines to you for
projects that are anticipated to meet Biological Opinion
requirements. This information is critical for BPA to verify the
performance of offsite mitigation measures during our 3, 5, and 8-year
check-ins with the National Marine Fisheries Service and US Fish and
Wildlife Service.
Sincerely,
Sarah McNary, Manager
Fish and Wildlife Division
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