Long-Lead Item Approval Criteria

Briefly describe the various types of proposed long-lead items, and the end item(s) they support. Substantiate the need for the quantities of each item. Itemize the costs. Are the cost of your proposed components, material, parts, and effort budgeted for advance procurement low compared to the remaining portion of the cost of the end item? What percentage of the cost do the long-lead items represent? What is the urgency or critical path need? o Do your proposed long-lead items have significantly longer lead-times than other components, parts, and material of the same end item? o Must your efforts be funded in an advance procurement timeframe in order to maintain the planned production schedule? o Are there separate and distinct contracting actions required for the long lead procurement? What contracts/contract actions are needed that create the needdate or urgency for the long-lead acquisition? Explain how and whether the proposed long-lead items require purchase early in order to reduce the overall procurement lead-time of the major end item. Has the long-lead requirement been reflected in the Presidents budget request? Each budget request for advance procurement shall represent, at a minimum, the termination liability associated with the total cost of the long lead-time components, material, parts, and effort for which the advance procurement request is being made. Provide a copy of the budget request. Are the long-lead items already included in major procurement appropriations? Are the lead times greater than the life of the appropriation? Have specific exit criteria for the long lead items been developed? If so, provide. If the long-lead items are to be procured prior to a Milestone C decision, will the long lead procurement either be conducted pursuant to a separate contract action or as an option separate from end items to be procured in future fiscal years, such that there is no legal liability on the Government beyond the long-lead item procurement? For multi-year contracts that include the acquisition of long-lead items, has the contract term been limited to five-years or less, inclusive of the long lead procurement? See, 10 U.S.C. 2306b(k).

For programs with multi-year contracts that include the acquisition of long-lead items, are the long lead items limited to those related end items that are being procured under the multi-year contract?