Government Contracting - FAR Supplements - AIDAR - Agency For International Development

FAR SUPPLEMENTS
------------------------
COMPLIMENTARY
WEBINAR SERIES
2022

FAR SUPPLEMENTS - COMPLIMENTARY WEBINAR SERIES – 2022
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Contractors
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About The FAR SUPPLEMENTS Webinar Series - 2022
 Complimentary
 Recorded (YouTube & JS Website)
 Wednesdays 12pm eastern
 Federal Acquisition Regulations covering Department procurement rules
 Speakers are SME and Govt Contracts Attorneys
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Webinar Wednesday - Schedule At A Glance
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1/12/22 – FAR
1/19/22 – FAR CAS
1/26/22 – DOD
2/2/22 – DPGI
2/9/22 – ARMY
2/16/22 – AIR FORCE
2/23/22 – DISA
3/2/22 – DLA
3/9/22 – USMC
3/16/22 - SPECIAL OPS
3/23/22 -TRANS COMMAND
3/30/22 – AGRICULTURE
4/6/22 – AIDAR
4/13/22 – DOC
4/20/22 – DOE
4/27/22 – DOI
5/4/22 – DOL
5/11/22 – DOS
5/18/22 – DOT (Treasury)
5/25/22 – DOEd
6/1/22 – EPA
6/8/22 – FEHB
6/15/22 – GSA
6/22/22 – HHS
6/29/22 – DHS
7/6/22 – HUD
7/13/22 – BBG
7/20/22 – DOJ
7/27/22 – OPM
8/3/22 – NASA
8/10/22 – NRC
8/17/22 – DOT
(Transportation)
8/24/22 – VA

FRIDAY PLAYBOOKS - Schedule At A Glance
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1/12/22 – N/A
1/19/22 – N/A
1/28/22 – DOD
2/2/22 – N/A
2/11/22 – ARMY
2/18/22 – AIR FORCE
2/25/22 – DISA
3/4/22 – DLA
3/11/22 – USMC-NAVY
3/18/22 - SPECIAL OPS
3/25/22 -TRANS COMMAND
4/1/22 – AGRICULTURE
4/8/22 – AIDAR
4/15/22 – DOC
4/22/22 – DOE
4/29/22 – DOI
5/6/22 – DOL
5/13/22 – DOS
5/20/22 – DOT (Treasury)
5/27/22 – DOEd
6/3/22 – EPA
6/10/22 – FEHB
6/17/22 – GSA
6/24/22 – HHS
7/1/22 – DHS
7/8/22 – HUD
7/15/22 – BBG
7/22/22 – DOJ
7/29/22 – OPM
8/5/22 – NASA
8/12/22 – NRC
8/19/22 – DOT
(Transportation)
8/26/22 – VA

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202-365-0598

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2022 – FAR DEPARTMENT SUPPLEMENT – AIDAR – USAID
Date: Wednesday, April 6, 2022
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AGENCY OF INTERNATIONAL DEVELOPMENT
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SPEAKER
INSERT YOUR
LOGO HERE
MEET OUR SPEAKER
Gregory Jacobs
Polsinelli
gjacobs@polsinelli.com
202.626.8368
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Topics
1. The USAID Environment
2. USAID’s Hybrid Approach
3. Key AIDAR Features
4. Other Common Legal Issues
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The USAID Environment
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USAID’s Mission
On behalf of the American people, we promote and demonstrate democratic values abroad, and advance a free,
peaceful, and prosperous world. In support of America's foreign policy, the U.S. Agency for International
Development leads the U.S. Government's international development and disaster assistance through
partnerships and investments that save lives, reduce poverty, strengthen democratic governance, and help
people emerge from humanitarian crises and progress beyond assistance.
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USAID Spending Facts
 In FY 2020, USAID spent $22,144,920,167 worldwide.
 This includes spending in 154 countries, across a wide range of industries: Agriculture; Sanitation; Health;
Civil Society; Commerce and Trade; etc.
 USAID programs stretch through Mexico and South America, Southern Asia, the Middle East, Eastern
Europe, and much of Africa.
 Largest 2020 spend: Jordan ($1.9b), Afghanistan ($1.1b), Congo ($701m), Nigeria ($701m), Ethiopia
($700m), Syria ($700m)
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USAID Spending By Sector
Emergency Response $5.2b
HIV/AIDS $4.3b
Government and Civil Society $3.1b
Operating Expenses $2.3b
Basic Health $1.8b
Maternal and Child Health, Family Planning $969m
Agriculture $846m
Basic Education $670m
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Conflict, Peace, and Security $401m
Energy $377m
General Environmental Protection
$360m
Developmental Food Aid/Food Security
Assistance $347m
Water Supply and Sanitation $317m
Business and Other Services $260m
Disaster Prevention and Preparedness
$168m
Other Multisector $150m
Post-Secondary Education $129m

USAID’s Hybrid Approach
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USAID Acquisition / Assistance
 USAID uses contract, grants, and cooperative agreements to acquire goods and services and support its
programs abroad
 Contracts: procurement of goods and services
 Used for both internal USAID needs and development programs
 Grants: transfer of federal money to a recipient in support of a government goal
 Cooperative Agreement: transfer of federal money, with government involvement in performance
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Implications of Hybrid Approach
 Development contractors are typically operating under multiple agreement types at the same time
 Contracts may be fixed price or cost-type
 Grants and Cooperative Agreements are almost always cost-type
 Implications on demonstrating allowability and allocability are significantly different
 USAID negotiates indirect cost rates through NICRAs that apply to both contracts and grants/cooperative
agreements
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Applicable Law
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CONTRACTS
1. Federal Acquisition Regulation (FAR) (48
C.F.R. Chapter 1)
2. Agency for International Development
Acquisition Regulations (AIDAR) (48
C.F.R. Chapter 7)
3. Contract-specific provisions
GRANTS/COOPERATIVE
AGREEMENTS
1. Uniform Guidance (2 C.F.R. Part 200)
2. USAID Grant Rules (2 C.F.R. Part
700)
3. Agreement-specific provisions

Key AIDAR Features
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Role of the Mission Director
 Mission Director means “the principal officer in the Mission in the Cooperating Country, or his/her designated
representative”
 Most federal contracting vests authority with the Contracting Officer
 USAID contracts vest the Mission Director with a wide range of operational authority to determine how, when,
and where the contractor will perform the work
 It is important for contractors to understand who has authority to approve specific items
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Other Key Roles
 Chief of Party: The contractor’s lead representative in the cooperating country, with responsibilities for
supervision of staff and performance
 Cooperating Country National: A citizen of the cooperating country who is working for the contractor
 Third Country National: A citizen of a third country who is working in the cooperating country
 Dependent: Spouse; Children under 21 (or incapable of self-support); Parents and Siblings at least 51%
dependent
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Vetting Requirements (AIDAR 752.204-71; Subpart 704.70)
 USAID engages in “Partner Vetting” on certain procurements for national security reasons
 Vetting activity is separate from the proposal evaluation process and is conducted by a vetting official
 Vetting includes key contractor and subcontractor individuals
 Key Individuals include governing body officers, the organization’s principal and deputy officers, and the CoP or
PM
 Also requires new vetting of any replacement key individuals
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Small Business Subcontracting (AIDAR 752.219-8; Part 719)
 Any USAID foreign assistance contracts that include FAR 52.219-8, Utilization of Small Business Concerns
must also include AIDAR 752.219-8, Utilization of Small Business Concerns and Small Disadvantaged
Business Concerns
 In addition to the normal small business requirements for federal agencies, USAID is subject to the small
business preferences in the Foreign Assistance Act
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Small Business Subcontracting (AIDAR 752.219-8; Part 719) (cont)
 Under AIDAR 752.219-8, a contractor is required – to the maximum extent possible – to provide notice to the
Office of Small and Disadvantaged Business Utilization at least 45 days before making a purchase of goods or
services that exceeds the SAT
 The required information to OSDBU is:
 Brief general description and quantity of commodities or services;
 Closing date for receiving quotations or bids; and
 Address where invitations or specifications may be obtained.
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MEDEVAC Services (AIDAR 752.228-70)
 AIDAR 752.228-70 is required in all contracts requiring performance of contractor employees overseas
 A contractor is required to provide MEDEVAC coverage for all overseas U.S. citizen, U.S. resident alien, and
Third Country National employees and their authorized dependents
 Coverage costs are reimbursable
 Not required for employees and dependents who have MEDEVAC coverage in their health insurance
 Mission Director may determine that an exception applies due to quality of available local health care
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Contractor-Mission Relationships (AIDAR 752.713)
 AIDAR 752.13, Contractor-Mission Relationships, is required in all contracts involving overseas performance
 The clause states that the contract is an important part of the Foreign Assistance Program. While the contractor
is responsible for the work under the contract, the Mission Director is responsible for the aspects of
performance that impact U.S. foreign policy
 The contractor is required to keep the Mission Director informed
 The clause also states that the U.S. Ambassador can remove any employee from the contract at no charge to
USAID
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Physical Fitness (AIDAR 752.7033)
 AIDAR 752.7033, Physical Fitness, is required in all contracts involving overseas performance
 Assignments of less than 60 days: for each employee, a contractor must obtain a statement from a licensed
doctor that the individual is physically able to perform the activity and live in the country
 Assignments of 60 days or more: employees and dependents must have USAID Contractor Employee Physical
Examination Form completed and submit a copy to the embassy health unit
 Does not apply to Cooperating Country Nationals
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Other Common Legal Issues
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Cost Disallowance
 The most common legal issue faced by USAID contractors and assistance recipients is cost disallowance
 Contractors operating in challenging environments sometimes find it difficult to meet requirements for
procurement of goods and services
 The best approach is to have well-documented processes for approval and documentation of costs and a close
relationship with the Mission Director for emergency circumstances
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Whistleblower Protection
 Due to nature of spending and overseas operations, USAID is highly focused on identifying and fighting fraud,
waste, and abuse
 USAID was one of the main implementers of the Pilot Program for whistleblower protections for contractor and
grantee employees
 USAID Inspector General takes a very negative view of contractor confidentiality requirements that could block
valid whistleblowing activity
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SPEAKER
INSERT YOUR
LOGO HERE
THANK YOU TO OUR SPEAKER
Gregory Jacobs
Polsinelli
gjacobs@polsinelli.com
202.626.8368
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THANK YOU FOR ATTENDING!
FAR SUPPLEMENTS
FEDERAL ACQUISITION
REGULATIONS
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ON OU R W EB SITE A N D YOU TU B E C H A N N EL.
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