1699.1 When used in this chapter, the following words and terms shall have the meanings ascribed:

Clarification - communication with an offeror for the sole purpose of eliminating minor irregularities, informalities, or apparent clerical mistakes in the proposal. It is achieved by explanation or substantiation, either in response to District inquiry or as initiated by the offeror.

Contribution - a concept, suggestion, or idea presented to the District for its use with no indication that the source intends to devote any further effort to it on the District's behalf.

Cost analysis - the review and evaluation of the separate cost elements and proposed profit of an offeror's or contractor's cost or pricing data and the judgmental factors applied in projecting from the data to the estimated costs, in order to form an opinion on the degree to which the proposed costs represent what the contract should cost, assuming reasonable economy and efficiency.

Cost or pricing data - all facts as of the time or price agreement that prudent buyers and sellers would reasonably expect to affect price negotiations significantly. Cost or pricing data are factual, not judgmental, and are therefore verifiable. While they do not indicate the accuracy of the prospective contractor's judgment about estimated future costs or projections, they do include the data forming the basis for that judgment. Cost or pricing data are more than historical accounting data; they are all the facts that can be reasonably expected to contribute to the soundness of estimates of future costs and to the validity of determinations of costs already incurred. They also include factors such as vendor quotations; nonrecurring costs; information on changes in production methods or purchasing volume; data supporting projections of business prospects and objectives and related operational costs; and unit cost trends, such as those associated with labor efficiency, make-or-buy decisions, estimated resources to attain business goals, and information on management decisions that could have a significant bearing on cost.

Deficiency - any part of a proposal that fails to satisfy the District's requirement.

Director - the Director of the Office of Contracting and Procurement or the District of Columbia Chief Procurement Officer.

Discussion - any oral or written communication between the District and an offeror (other than communications conducted for the purpose of minor clarification) whether or not initiated by the District, that involves information essential for determining the acceptability of a proposal, or provides the offeror an opportunity to revise or modify its proposal.

Price - cost plus any fee or profit applicable to the contract type.

Price analysis - the process of examining and evaluating a proposed price without evaluating its separate cost elements and proposed profit.

Solicitation - request for proposals (RFP), except as provided otherwise in §1603.

Technical analysis - the examination and evaluation by personnel having specialized knowledge, skills, experience, or capability in engineering, science, or management of proposed quantities and kinds of materials, labor, processes, special tooling, facilities, and associated factors set forth in a proposal.

Unsolicited proposal - a written proposal that is submitted to an agency on the initiative of the submitter for the purpose of obtaining a contract with the District that is not in response to a

solicitation.

SOURCE: Final Rulemaking published at 35 DCR 1465 (February 26, 1988).