Required use of an EVMS system.  A government-wide rule requires use of an earned value management system (EVMS) where all contracts for programs designated as major acquisitions must include a clause requiring the contractor implement an EVMS as describerd in the American nations Standards Institute (ANSI/Electronic Industries Alliance (EIA) Standard 748.  Recognizing some businesses may not have a compliant EVMS when they submit offers, the final rule clarifies that these offers would not be disqualified from contract award provided an EVMS implementation plan is included in the proposal.  EVM is a method for objectively measuring the amount of work accomplished on a contract where cost, schedule and work measure provide for continuous measurement of different variable.  The rule does not specify specific dollar thresholds, leaving it up to the individual agencies to establish, but major acquisitions have generally excluded those at or below $20 million in total cost (Fed. Reg. 38250, July 5, 2006).

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