Myth-busting the new fire grant rules

In recent weeks the pending implementation of 2 CFR, also known as Super Circular 2, has raised a third-alarm controversy among some firefighters and vendors. This new regulation will drastically alter the way fire departments have received bids, specifications and price estimates from vendors for grant applications in the past. 

For anyone who may have missed the news over the past year, the Office of Management and Budget has been working with all federal agencies that administer grants, loans, contracts and other types of financial assistance to implement 2 CFR. All federal agencies must adhere to 2 CFR by Dec. 26.

This will streamline eight federal regulations into a single regulation. Under the new 2 CFR there are really three main areas that concern fire departments.

• The department must have a written procurement policy.
• If a department receives specifications or similar documents from a vendor or manufacturer for a federal grant funded project, that vendor or manufacturer is forbidden from competing in the procurement process.
• Fire departments will be responsible for ensure that vendors, manufacturers, and even the contracted grant writers are not debarred from doing business with the federal government.

Panic in the streets
The reaction to these new regulations has been chaotic and there is really no reason for panic.

We have heard of vendors who will no longer give price estimates to departments for their AFG application. We have heard of departments who are struggling to write their own procurement policy.

We have also heard of vendors who are pulling their advertising brochures because they think that handing it out to a department could eliminate their chance of being considered for a sale. And we have heard of departments who may not apply for AFG because they don't think that they can write their own specs if they are awarded.

Let's take a minute and size up the situation. When you do, you will find that you can probably handle this incident on your own with just a little "mutual aid."

4 myths busted
First your department needs a written procurement policy. This policy can be no less restrictive then the federal policy. If you don't already have a policy that meets this requirement, the simplest thing to do is adopt the federal policy by resolution at your next meeting. Once you do so you comply with that section of 2 CFR.

Next, to get a price estimate to use for an AFG application, contact a vendor and ask for a price on the item. Ask for nothing more and nothing less.

The vendor can supply you with a price and remain eligible to compete in your procurement process if you are awarded funding. You can also get prices from vendor catalogues or websites. Both of these are eligible ways to get prices under 2 CFR.

Third, don't worry if you are unable to write technical specs if awarded a grant. Many manufacturers and vendors have product specifications on their websites.

You can use these specifications if you copy them from a website. You can also get specifications from another fire department. If you know that a department in your area recently purchased an item you can get the specifications from them and reuse them as part of your procurement process.

Finally, it is the department's responsibility to determine if any party that it is dealing with is debarred or suspended from doing business with the Federal government. The easiest way to check is through SAM.gov.

FAQ
Here's a brief list of some frequently asked questions about 2 CFR.

• Can a vendor give me a price or cost estimate for turnout gear and still compete for my business if we are awarded a grant? Yes.
• If we are awarded a grant for a new vehicle, can I take specs from the neighboring department and use them as our specs? Yes.
• We want to take the money earned from our summer festival and buy new SCBA. Do I have to comply with 2 CFR regulations? No, federal funds are not being used.
• Can I take the specs a vendor gave me and use them to get prices from other vendors for my grant application? No.

I hope this information has helped to calm your fears about the new procurement regulations. I also hope that it has persuaded you to move forward with an AFG application for 2014.

We will bring you additional information on Super Circular 2 as we receive it.