Contents

1. Definition of Contracting Officer
2. Definition of Contract Monitor
3. Responsibilities of Contract Monitor
4. Duties of Contract Monitor
5. Procedures
6. Reports
7. Reviews
8. Modifications

Appendix 1: Form 112, Delivery Receipt
Appendix 2: EEOC Form 123, Requisition for Supplies, Equipment, Services, Furniture
Appendix 3: Standard Form 30, Amendment of Solicitation/Modification of Contract

Contract Monitor's Duties and Responsibilities¹

One of the most important aspects of the procurement process occurs after the actual award of a contract; that is, the monitoring of contracts that have been made by the Government.

1. Definition of Contracting Officer

Contracting Officers are agents of the federal government empowered to execute contracts and obligate government funds. The Contracting Officer has authority delegated from the Chair or Management Director according to Federal Acquisition Regulation 1.603. The Contracting Officer's authority is governed by procurement law, executive orders, regulations and other applicable procedures, clearances and approvals. Only a Contracting Officer is authorized to obligate agency funds. The EEOC's Contracting Officer is located in headquarters in the Office of the Chief Financial Officer and Administrative Services, Procurement Management Division (PMD).² The Procurement Management Division Director can be contacted to answer any questions regarding procurement laws or regulations.

2. Definition of Contract Monitor

A Contract Monitor is a qualified technical representative recommended by a Program Director for designation by the Contracting Officer to a particular contract. A Contract Monitor is EEOC's point of contact with the Contractor and as such has specific responsibilities. Neither the Contract Monitor nor any other OGC employee has the authority to obligate agency funds for any purpose. A detailed description of the Contract Monitor's responsibilities and duties is provided below. All questions concerning the Contract Monitor's duties and responsibilities should be directed to PMD, at (202) 663-4222.

3. Responsibilities of Contract Monitor

OGC in the past has experienced problems with monitoring expert witness procurements. The areas of concern range from the Contract Monitor's failure to request in a timely manner that the Commission exercise its option to extend a period of performance, to the unauthorized commitment of funds. Court imposed litigation deadlines are never a sufficient reason for failing to follow proper procurement procedures.

The Contract Monitor is responsible for the following:

1. Reviewing and assuring the contractor's compliance with the technical requirements of the contract, including providing the Contractor with technical direction, which must remain within the scope of the contract as it is written.
2. Inspecting and certifying acceptability of the services rendered throughout the period of performance in terms of quantity, quality, timeliness and cost as these terms are defined in the contract.
3. Making sure that the Contractor is fully aware of the following:
   1. (1) That the contract shall not cover charges for any items that are not specifically provided for by the contract. The Contractor is to be cautioned that if he or she provides services/supplies during the performance of the contract that are not specifically set forth as priced items in the contract, regardless of who requests them (including the Contract Monitor), payment will not be made for them under the contract;
   2. (2) That the Contractor must notify the Contract Monitor when less than 20% of a particular phase's funds remain unused, and when it is necessary to obtain additional funds for a particular phase.
4. Ensuring that his or her supervisor is informed/consulted when:
   1. (1) The Contractor reports or materials are to be rejected;
   2. (2) The Contractor's performance is not satisfactory or problems with the contractor are anticipated;
   3. (3) The Contractor desires to propose changes to the contract.

[Note: In the case of litigation support contracts for over $25,000, the Deputy General Counsel and the Director, ATSS, must be sent copies of all billing and contract-related information provided to supervisors.]

4. Duties of Contract Monitor

The Contract Monitor acts on behalf of the Contracting Officer by performing the following specific duties:

1. Reviews and approves reports and all materials provided by the Contractor as called for by the contract. Notifies the Contracting Officer and Supervisor if reports or other items submitted are to be rejected and states the basis for rejection.
2. Completes and forwards timely progress reports, and final reports to the Contracting Officer.
3. Certifies the Contractor's invoices for payment, including any credit due the Government. This includes the authority to request the Contractor to make corrections and/or submit new invoices when clerical or other errors are detected.

   [Note: The Prompt Payment Act requires notification to the Contractor within 7 days of receipt of an invoice containing errors, and suitable documentation of such notification.]

4. Keeps detailed records of the Contractor's performance, and if it is not satisfactory or if problems are anticipated, notifies the Contracting Officer and supervisor, in writing, as to the cause and recommends a course of action from a technical standpoint. Immediate notification is essential to assure that the Contracting Officer takes timely and appropriate action to protect the Government's rights under the contract.
5. Provides copies of all correspondence between the Contract Monitor and the Contractor relating to contract issues to the Contracting Officer and supervisor.
6. Prepares memoranda for the record covering all meetings/discussions between the Contract Monitor and the Contractor and forwards copies to the Contracting Officer and supervisor. It is critically important to keep the Contracting Officer informed of the context of all communications with the Contractor to prevent misunderstandings or situations that could affect the contract terms or conditions and become the basis of future claims against the Government.
7. Advises the Contractor that in the event the Contractor desires to propose a change, he or she should submit the request in writing to the Contract Monitor and specifically identify the effect that the proposed change(s) will have on the terms of the contract (technically and/or monetarily). The Contract Monitor will review the proposed change(s) and if he or she agrees that the changes are necessary to achieve the desired outcome, he or she will recommend to the Contracting Officer and supervisor, in writing, that the proposed change(s) should be incorporated into the contract.
8. Assures that changes in work under the contract are not implemented before written authorization or a contract modification is issued by the Contracting Officer. Costs for work performed may not be allowed if not authorized under the contract. No change or commitment should be directed without prior written authorization by the Contracting Officer.
9. Recommends, in writing, to the Contracting Officer through the supervisor any changes in the contract required by the Government with detailed justification for the proposed change.
10. Makes site visits, when appropriate, to the Contractor's facility and checks contractor performance to include:
    1. (1) Actual performance versus scheduled and reported performance. The Contracting Officer and supervisor should be informed of any adverse conditions noted;
    2. (2) Changes in technical performance which may affect the Contractor's financial status, create personnel or labor difficulties, overextend facilities, etc.;
    3. (3) Verification that the employees charged to the contract are actually performing work under the contract;
    4. (4) Verification that all Government Furnished Property (GFP) is being used strictly for the contract and that proper safeguards are in place to protect all GFP from theft or damage.
11. Ensures timely notification by the Contractor of any anticipated overrun or underrun of the estimated cost under cost-reimbursement contracts.
12. Advises the Contracting Officer through the supervisor on the status of the following at the completion of the contract:
    1. (1) Whether all articles and services required to be furnished or performed under the contract have been technically accepted;
    2. (2) The disposition of all Government Furnished Property or materials;
    3. (3) Any other outstanding technical issues.
13. Prepares requests to (i) fund each contract phase, (ii) obtain additional funding, if necessary, for each phase, and (iii) exercise the option contained in most expert services contract to extend the period of performance to ensure successful completion of the expert's services. Before extending the period of performance, the Contract Monitor should confer with the Contractor to determine whether the Contractor intends to exercise an option to increase his or her hourly rates. If so, the Contract Monitor should request additional funding to cover future rate increases. This request shall include a document certifying that funds are available and shall be submitted at least 90 days before the period of performance expires.
14. Although the Contracting Officer is ultimately responsible for the following, the Contract Monitor shall also provide technical support, when requested, in the following areas:
    1. (1) Approving premium overtime;
    2. (2) Debriefing unsuccessful offerors;
    3. (3) Resolving post-award disputes/protests;
    4. (4) Resolving terminations and claims;
    5. (5) Negotiating/issuing time extensions;
    6. (6) Approving key personnel changes;
    7. (7) Issuing suspensions/stop work orders;
    8. (8) Assessing/approving liquidated damages;
    9. (9) Negotiating/issuing equitable adjustments;
    10. (10) Documenting/issuing Contracting Officer's final decisions;
    11. (11) Preparing appeal files;
    12. (12) Determining whether a conflict of interest exists; and
    13. (13) Preparing data/responses for audit/Congressional inquiries.

5. Procedures

The procedures to be used to inspect and accept the work of the Contractor for conformance with terms of the contract are determined by the Contract Monitor. If the goods or services are acceptable, an EEOC Form 112, Delivery Receipt, should be prepared immediately and forwarded to:

Financial Management Division
1801 L Street, N.W., Room 2005
Washington, D.C. 20507

A copy of the Form 112 should be sent to ATSS.³

An invoice cannot be paid without the delivery receipt. The Prompt Payment Act requires agencies, in the absence of contractually specified payment dates, to pay a proper invoice within 30 days of initial receipt by PMD. OMB Circular A-125, Prompt Payment, requires agencies to make payments as close as possible to, but not later than, the due dates, or if approved, the discount date. Payment will be based on receipt of proper invoices and satisfactory performance of contract items. If an agency takes a discount after the expiration of the discount period or fails to make timely payment, interest penalties must be paid from the funds available for the administration or operation of the program for which the penalty was incurred. The interest penalty must be paid whether the Contractor requests it or not. If the goods or services are unacceptable, the Contracting Officer must be contacted for instructions.

A copy of EEOC Form 112, Delivery Receipt, is appendix 1, hereto.

6. Reports

Copies of certified invoices and/or any correspondence dealing with the contract should be sent to:

U.S. Equal Employment Opportunity Commission
Financial Management Division
P.O. Box 33459
Washington, D.C. 20033-0459

7. Reviews

1. For cost-reimbursable type contracts, the Contract Monitor should review weekly the costs of services being provided to determine if the costs will exceed the amount obligated by the contract. Since invoices are usually received long after the fact, monitors have an obligation to request estimated costs from the vendor if it appears that the obligated funds will be exhausted. In those cases where, after review, it appears that the costs will exceed the amount obligated by the contract, the Contract Monitor should immediately prepare an EEOC Form 123, Requisition for Supplies, Services, Equipment, Furniture, requesting a contract modification, and transmit the Form 123 to the Contracting Officer. The request for modification must contain adequate justification for the increased costs.
2. For firm-fixed price type contracts, the Contract Monitor, on a regular basis, should review the costs of services being provided to ensure they do not exceed the amount obligated by the contract. In those cases where after review it appears that a change in the scope/requirements of the contract is necessary, the Contract Monitor should immediately prepare an EEOC Form 123 requesting a contract modification, and transmit the Form 123 to the Contracting Officer. The request must contain adequate justification for the requested modification.
3. Contract Monitors are also responsible for continually determining whether the contract is on schedule, estimating whether the work will be completed within the contractually specified performance period, and requesting time extensions, when appropriate, well in advance of the contract termination date.

   A copy of EEOC Form 123, Requisition for Supplies, Services, Equipment, Furniture, is appendix 2, hereto.

8. Modifications

The EEOC Contracting Officer is the only person who can authorize a modification to the contract. Requests to alter the contract in any manner must be in writing and must be sent to the Contracting Officer. Changes to the contract cannot be honored unless there is a copy of Standard Form 30, Amendment of Solicitation/Modification of Contract, signed by both the Contracting Officer for EEOC and, if necessary, an official of the Contractor.

All requests for modifications, especially those involving increased costs, should be submitted as soon as possible. Federal regulations forbid payments in excess of the amount obligated on the procurement documents. Payments in excess of the existing obligation cannot be made even though services have been received unless a modification has been processed obligating the additional amount of money.

A copy of Standard Form 30, Amendment of Solicitation/Modification of Contract, is appendix 3, hereto.

¹ Since this section was originally written, the Commission has begun using the Interior Department Electronic Acquisition System - Procurement Desktop (IDEAS - PD) to prepare, process, and track procurement documents. (See IDEAS-PD User's Guide). In addition, the Commission has required use of the Integrated Financial Management System (IFMS) since October 2002 for all purchases of $2,500.00 and more and for any purchases (awards, purchase requisitions, contracts, and inter-agency agreements) made with purchase orders. This subsection does not address any changes to the procurement process made subsequent to Commission adoption of IDEAS-PD and IFMS.

² For contracts processed at the field office level (those of $25,000 or less), PMD designates the Office Director as the Contracting Officer.

³ In the case of litigation support contracts not exceeding $25,000, a copy of Form 112 should be sent to the Field Office Administrative Officer.

Appendix 1
Form 112
form112.pdf

Appendix 2
EEOC Form 123
form123.pdf

Appendix 3
Standard Form 30
Amendment of Solicitation/Modification of Contract