COMPETITION REQUIREMENTS FAR Part 6 COMPETITION REQUIREMENTS

Scope FAR Part 6 establishes policies and procedures to promote Full and Open Competition Also addresses Full and open competition after exclusion of sources Other than full and open competition Competition advocates FAR Part 6 - Page 2

Applicability Subpart 6.001 Applies to ALL acquisitions EXCEPT Contracts awarded using Simplified Acquisition Contracts awarded by “other procedures” allowed by statute Orders under requirements contracts or definite quantity contracts Orders placed under indefinite-quantity (IQ) if The IQ was awarded under F&OC and all sources allowed to compete The IQ was awarded as Other than F&OC and the justification covers the order Orders placed against Task Order or Delivery Order contracts FAR Part 6 - Page 3

Full and Open Competition (F&OC) Subpart 6.1 COs shall promote F&OC in soliciting offers and awarding Gov’t contracts COs shall provide for F&OC through the use of Competitive procedures … best suited to the circumstances … and consistent with the need to fulfill Government’s requirements efficiently FAR Part 6 - Page 4

Competitive Procedures Subpart 6.102 Competitive Procedures available include: Sealed Bids Competitive Proposals Combination of competitive procedures e.g., two step sealed bids Other competitive procedures Using the FAR Part 36 procedures for Construction & Architect-Engineer contracts Using the FAR Part 35 (R&D) procedures for BAAs Use of Multiple Award Schedules from the GSA FAR Part 6 - Page 5

Full and Open Competition After Exclusion of Sources Subpart 6.2 Still required to use “Competitive Procedures” May exclude a source to establish or maintain an alternative source (Requires a D&F) Must result in increasing or maintaining competition Be in interest of National Defense Ensure continuous availability of a reliable source of supply Satisfy projected needs or critical need for supplies Small Business Set-aside – FAR 19.5 Section 8a Competition – FAR 19.8 Hub Zone Set-aside – FAR 19.1305 Service Disabled Veterans Set aside – FAR 19.405 EDWOSB or WOSB – FAR 19.1505 Local firms following major disaster or emergency – FAR 26.2 FAR Part 6 - Page 6

Other than Full and Open Competition Subpart 6.3 Is a violation of statute unless permitted by an exception Each contract so awarded must reference the specific authority under which it was awarded May NOT be justified based on urgency due to lack of planning or expiration of funds. FAR Part 6 - Page 7

Circumstances Permitting Other than Full and Open Competition Subpart 6.302 Only one responsible source and no other supplies or services will satisfy agency requirements (long list of attributes) - FAR 6.302-1 (discussed in detail on next few slides) Unusual and Compelling Urgency – 6.302-3 Industry Mobilization; engineering developmental or research capabilities; or expert services – 6.302-3 Required by International Agreement – 6.302-4 Authorized or required by statute - 6.302-5 National Security – 6.302-6 Public Interest - 6.302-7 FAR Part 6 - Page 8

Only One Responsible Source Unsolicited research proposal demonstrating unique and innovative technique not otherwise available to the Government Does not resemble the substance of a pending solicitation Follow-on contract for continued development of system or specialized equipment if Would result in substantial duplication of cost or unacceptable delays Follow-on Services if would result in substantial duplication of costs or unacceptable delays FAR Part 6 - Page 9

Only One Responsible Source Justification Required When Reasonable basis to conclude agency’s minimum needs can only be met by Unique supplies or services available from only one source with unique capabilities (Civilian) Unique supplies or services available from only one or a limited number of sources or from only one or a limited number of suppliers with unique capabilities The existence of intellectual property rights or secret processes make supplies and services available from only one source Utility services When agency head has determined the agency standardize on one specified makes/models of equipment FAR Part 6 - Page 10

Only One Responsible Source Brand Names Use of brand name does not promote full and open competition regardless of number of sources solicited Any brand name procurement must be approved by a justification for other than full and open competition (aka “Sole Source”) “Brand name or equal” is acceptable if it permits suppliers to provide other brands of supplies or equipment that meet the essential requirements FAR Part 6 - Page 11

Only One Responsible Source Justification Process CO must justify decision in writing (See required content in 6.303-2) certify the accuracy and completeness of the justification obtain required approval Certification shall contain sufficient facts and rationale to justify the use of the authority cited Justification shall be approved in writing by: CO if < $650k and agency does not establish higher limit Competition Advocate if > $650K and < $12.5M The head of the procuring activity if > $12.5M and < $62.5M (< $85.5M if DoD, NASA, and Coast Guard) who is: A general or flag officer If a civilian, above GS-15 The Senior Procurement Executive of the procuring activity who is designated by agency procedures if >$62.5M (>$85.5M if DoD, NASA, and the Coast Guard) Justification shall be made a public record within 14 days following contract award. FAR Part 6 - Page 12

Sealed Bidding and Competitive Proposals Subpart 6.4 Both are acceptable procedures when appropriate Sealed Bids Time must permit the solicitation, submission and evaluation of bids The award will be based on the basis of price and other price related factors Discussions not required Reasonable expectation of receiving more than one bid. Competitive proposals May be requested if sealed bids not appropriate If discussions are required prior to award. Typically applies to contracts awarded outside U.S. territory FAR Part 6 - Page 13

Competition Advocates One designated for each executive agency and one for each procuring activity Responsible for promoting acquisition of commercial items promoting full and open competition challenging requirements written so as to limit competition Report on actions taken to advance the above actions as well as ensuring task order awards over $1M are properly planned and comply with other FAR requirements Recommend goals and plans for increasing competition. FAR Part 6 - Page 14