NOVATION AND CHANGE OF NAME AGREEMENTS

1
NOVATION AND CHANGE OF NAME AGREEMENTSWHAT THEY
MEAN IN REALITY AND IN SAP

• LEVEL 1 PIPKIMBER RUSSELL
• JUNE 1, 2006

2
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• AGENDA
• OBJECTIVE
• DEFINITIONS
• WHY DOES DEFENSE CONTRACT MANAGEMENT AGENCY
  (DCMA) PROCESS NASAS NOVATION AND CHANGE OF NAME
  AGREEMENTS?
• WHAT IS A CONTRACTORS RESPONSIBILITY, WHEN A
  SUCCESSOR IN INTEREST REQUESTS A NOVATION OR
  CHANGE OF NAME AGREEMENT?
• HOW DO NOVATION AND CHANGE OF NAME AGREEMENTS
  AFFECT PROCUREMENT?
• LESSONS LEARNED
• RECOMMENDATIONS

3
NOVATION AND CHANGE OF NAME AGREEMENTS
WHAT THEY MEAN IN REALITY AND IN SAP

• OBJECTIVE
• TO INFORM AND EDUCATE THE PROCUREMENT COMMUNITY
  ABOUT NOVATION AND CHANGE OF NAME AGREEMENTS

4
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• DEFINITIONS
• NOVATION AGREEMENT A LEGAL DOCUMENT BY WHICH,
  THE CONTRACTOR (TRANSFEROR) GUARANTEES
  PERFORMANCE OF THE CONTRACT AND THE SUCCESSOR IN
  INTEREST (TRANSFEREE) ASSUMES ALL OBLIGATIONS
  AND RELATED ASSETS UNDER THE CONTRACT
• CHANGE OF NAME AGREEMENT A LEGAL DOCUMENT
  EXECUTED BY THE CONTRACTOR AND THE FEDERAL
  GOVERNMENT THAT RECOGNIZES THE NAME CHANGE
  WITHOUT DISTURBING THE CONTRACTUAL OBLIGATIONS

5
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• WHY DOES DCMA PROCESS NASAS NOVATION AND CHANGE
• OF NAME AGREEMENTS?
• NASA HAS A MEMORANDUM OF AGREEMENT (MOA) WITH THE
  DEFENSE CONTRACT MANAGEMENT AGENCY (DCMA)
• DCMA AGREED TO PROVIDE IN-PLANT SUPPORT TO NASA
• DCMA PROCESSES THE AGREEMENTS TO PROTECT THE
  GOVERNMENTS INTEREST

6
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• DOES NASA HAVE TO PAY FOR THIS SERVICE?
• YES
• NASA AGREED TO REIMBURSE THE DEPARTMENT OF
  DEFENSE (DOD)
• THE MEMORANDUM OF AGREEMENT IS NEGOTIATED
  ANNUALLY
• EACH DEPARTMENT AND AGENCY OF THE FEDERAL
  GOVERNMENT, MUST COOPERATE FULLY WITH THE
  ADMINISTRATION IN ACCORDANCE WITH FAR 42.002

7
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• DOES NASA HAVE TO PAY FOR THIS SERVICE? - - -
  contd
• NATIONAL SPACE ACT OF 1958, 42 U.S. CODE 2473 (c)
  (6), WAS ENACTED AS PART OF PUBLIC LAW 85-568

8
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• WHAT IS A CONTRACTORS RESPONSIBILITY, IF A
  SUCCESSOR IN
• INTEREST REQUESTS A NOVATION OR CHANGE OF NAME
• AGREEMENT TO A GOVERNMENT CONTRACT?
• NOVATION AGREEMENT
• THE CONTRACTOR SHALL SUBMIT THE FOLLOWING IN
  ACCORDANCE WITH FAR 42.1204 (e)
• A PURCHASE SALE AGREEMENT
• A LIST OF ALL AFFECTED CONTRACTS
• DATE OF SALE OR TRANSFER OF ASSETS

9
NOVATION AND CHANGE OF NAME AGREEMENTSWHAT
THEY MEAN IN REALITY AND IN SAP

• WHAT IS A CONTRACTORS RESPONSIBILITY, IF A
  SUCCESSOR
• IN INTEREST REQUESTS A NOVATION OR CHANGE OF
• NAME AGREEMENT ON A GOVERNMENT CONTRACT? ---
  contd
• NAME, ADDRESS, CONTRACT NUMBER AND TYPE
• TOTAL DOLLAR VALUE AND APPROXIMATE UNPAID BALANCE
• EVIDENCE OF THE TRANSFEREES CAPABILITY TO
  PERFORM
• THE OPINION OF LEGAL COUNSEL
• COPY OF SECURITY CLEARANCES

10
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• WHAT IS A CONTRACTORS RESPONSIBILITY, IF A
  SUCCESSOR
• IN INTEREST REQUESTS A NOVATION OR CHANGE OF
• NAME AGREEMENT ON A GOVERNMENT CONTRACT? ---
  contd
• CHANGE OF NAME AGREEMENT
• WHEN A CONTRACTOR CHANGES ITS NAME ONLY , THEY
  MUST FORWARD THE FOLLOWING DOCUMENTATION IN
  ACCORDANCE WITH FAR.1205(a)
• A COPY OF THE DOCUMENT AFFECTING THE NAME CHANGE
• DOCUMENTATION FROM LEGAL COUNSEL STATING THE
  CHANGE OF NAME WAS PROPERLY EXECUTED

11
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• WHAT IS A CONTRACTORS RESPONSIBILITY, IF A
  SUCCESSOR
• IN INTEREST REQUESTS A NOVATION OR CHANGE OF
• NAME AGREEMENT ON A GOVERNMENT CONTRACT? ---
  contd
• A LIST OF ALL AFFECTED CONTRACTS
• NAME, ADDRESS, CONTRACT NUMBER AND TYPE
• TOTAL DOLLAR VALUE AND UNPAID BALANCE

12
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• HOW DO NOVATION AND CHANGE OF NAME AGREEMENTS
• AFFECT PROCUREMENT?
• eLECTRONIC SUBCONTRACTING REPORTING SYSTEM (eSRS)
• THE ELECTRONIC SUBCONTRACTING REPORTING SYSTEM IS
  THE NEW SUBCONTRACTING DATABASE SYSTEM THAT
  REPLACED THE INTEGRATED SUBCONTRACTING REPORTING
  SYSTEM (iSRS) ON SEPT. 2005. THE AFFECT IS
• WHEN THE DUNS NUMBER OR THE CONTRACTOR NAME IS
  INCORRECT, IT PROHIBITS THE CONTRACTORS FROM
  SUBMITTING THEIR NEW REPORTS

13
NOVATION AND CHANGE OF NAME AGREEMENTS
WHAT THEY MEAN IN REALITY AND IN SAP

• HOW DO NOVATION AND CHANGE OF NAME AGREEMENTS
• AFFECT PROCUREMENT? - - contd
• AFTER RECEIVING A NOVATION OR CHANGE OF NAME
• AGREEMENT FROM DCMA, THE CONTRACT SPECIALIST MUST
  
• DO THE FOLLOWING
• ACCESS THE CENTRAL CONTRACT REGISTER www.ccr.gov
• ACCESS SAP
• ACCESS THE ONLINE QUICK REFERENCE (OLQR)
  http//olqr-cf.ifmp.nasa.gov, to RETRIEVE FORMS
• MASTER DATA FORMS

14
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• HOW DO NOVATION AND CHANGE OF NAME AGREEMENTS
• AFFECT PROCUREMENT? - - contd
• ACCOUNTS PAYABLE PURCHASING FORMS
• HOW TO REQUEST VENDOR MASTER NAME CHANGES
• REQUEST FOR NEW/CHANGE PROCUREMENT KRED VENDOR
  MASTER RECORD
• REQUEST A COPY OF THE LAST INVOICE

15
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• HOW DO NOVATION AND CHANGE OF NAME AGREEMENTS
• AFFECT PROCUREMENT? - - - contd
• FAX (x6-1749) ALL FORMS AND FORWARD SUPPORTING
  DOCUMENTS TO THE CORE FINANCIAL HELPDESK _at_
  cfhelpdesk_at_listserv.gsfc.nasa.gov
• PREPARE AN SF 30, INCORPORATING A SUMMARY OF
  AGREEMENT AND A COMPLETE LIST OF AFFECTED
  CONTRACTS IN THE MEMORANDUM FOR RECORD
• UPDATE CONTRACTUAL INFORMATION IN SAP

16
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• HOW DO NOVATION AND CHANGE OF NAME AGREEMENTS
• AFFECT PROCUREMENT? - - - contd
• MAKE DISTRIBUTION
• RETAIN ORIGINAL COPY IN THE FILE

17
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• LESSONS LEARNED
• NOVATION AND CHANGE OF NAME AGREEMENTS AFFECT THE
  FOLLOWING
• CONTRACT ADMINISTRATION
• INTERNAL DATABASES THAT CAPTURE CONTRACT DATA
• ABILITY TO ACCURATELY RESPOND TO DATA CALLS FROM
  NASA HQs

18
NOVATION AND CHANGE OF NAME AGREEMENTS WHAT
THEY MEAN IN REALITY AND IN SAP

• RECOMMENDATIONS
• CONDUCT A TRAINING HUDDLE TO ENSURE ALL ASPECTS
  OF THE PROCESS ARE COMPLETED
• IN ADDITION TO PLACING PIP ON PROCUREMENT
  HOMEPAGE UNDER 210 TRAINING AND DEVELOPMENT
  WEBPAGE, UNDER PIP, ADD TO PROCUREMENT SYSTEM
  GUIDANCE
• IDENTIFY KNOWLEDGABLE POCs IN PROCUREMENT
  ORGANIZATION TO ASSIST OTHERS WITH PROCESS