You are more likely to get a sole source procurement once you have some government contracts and have an open contract vehicle available. × Under the new rule, the SBA may not accept for negotiation a DoD sole source award to an 8(a) small business above the new $100 million threshold, unless DoD issues and approves a J&A in accordance with FAR 6.303-2 and the new DFARS rule 206.303-1(b).   Pasted as rich text. Sole Source is also known as: sole source procurement, sole sourcing, sole-sourced contract, direct sourcing, sole supplier, This procurement is rare and must be documented very well by the government. But Defense contracting can be profitable and rewarding. While this could mean other small businesses may miss out on certain contracts, it is a great boon to 8(a) contractors who are eligible for these sole source awards. Purchases over $25,000 are publicized on the Federal Business Opportunities website. Late proposals are rejected. We appreciate the DOD realizing how great a partnership could be with an 8a designated company and this increase in fund support shows that. Section 823 also directed the Secretary of Defense to issue guidance to implement this amendment no later than 90 days after the enactment of the Act or March 13th. Contracting with the Defense Department can be complicated – better to know what you are agreeing to than finding out after signing a legally binding contract. Recently LDF Construction was awarded a contract through the United States Department of Agriculture due to our 8(a) designation. This finding in the protester’s favor, though perhaps significant for future protesters, was at … ThoughtCo uses cookies to provide you with a great user experience. Quick Sheet: Justification and Approval (J&A) Primer Template: Justification & Approval (J&A) Template – 13 Sept 2017 March 20.   Your previous content has been restored. This Department of Defense class deviation implements the higher dollar amount that Congress set in the 2020 National Defense Authorization Act.   Your link has been automatically embedded. Paste as plain text instead, × Sole source procurements are made when there is only one company that can fulfill the contract. This deviation means that DOD contracting officers must use a threshold of $100 million in lieu of the $22 million threshold currently in a number of rules in the Federal Acquisition Regulation. Powered by Invision Community, DOD: Sole-Source Contracts up to $100 Million Don’t Need Justification, SmallGovCon Week In Review: March 16 – March 20, 2020, Announcing the COVID-19 Contractors’ Toolkit, Contracting Legislation of the Current Congress. This deviation means that DOD contracting officers must use a threshold of $100 million in lieu of the $22 million threshold currently in a number of rules in the Federal Acquisition Regulation. This rule change has no effect on these limits, which are found in SBA’s rules at 13 C.F.R. Multiple award contracts (MAC) such as GSA schedules, Navy Seaport-e, and Air Force NETCENTS II involve companies obtaining a contract and then compete for task orders. LDF Construction will restore, rehabilitate and re-roof the Mondeaux lodge, quarters building, garage, and a variety of other site work. Justification and Approval (J&A) is a document required by the Federal Acquisition Regulation (FAR) (Subpart 6.3) that justifies and obtains approval for contract solicitations that use Other than Full & Open Competition (FOC).Also called sole source. FAR 6.302-5(b)(4) applies to sole source awards under the 8(a) Program. Increasing the threshold from $22 million to $100 million will make it easier for contracting officers to award much larger contracts as 8(a) sole sources without competition to 8(a) concerns owned by a tribe, ANC, or NHO. Sole Source Procurements . In particular, FAR 6.302-5(b)(4), 6.303-1(b), and 19.808-1(a) will now allow sole-source contracts up to $100 million contract value with fewer agency requirements. It is now time to complete the contract and obtain more work. Some purchases will not require negotiations so the government will issue you a purchase order. (h) Reporting. The National Defense Authorization Act (NDAA) 2020, Section 823 increased the threshold for Department of Defense sole-source contracts that require justification and approval from $22 million to $100 million. Defense Department purchases typically begin at one of three points: Sole source procurements are made when there is only one company that can fulfill the contract. 1.0 3 Jun 2014 Baseline standard process reviewed and approved … An example of LDF Construction’s military contracting work can be viewed in our Fort McCoy construction of guard shacks. For 8(a) sole source awards over $100 million, (1) a contractor must provide a written justification, (2) the justification must be approved by a higher-up agency official (for DoD this will be the head of the procuring activity), and (3) the justification must be made public after award. This procurement is rare and must be documented very well by the government. SOLE SOURCE Sole source is a non-competitive purchase or procurement process accomplished after soliciting and negotiating with only one source, so-called sole source, thus limiting Full and Open Competition (FOC). LDF Construction Earns Safety Award for Zero Recordable Accidents, RES 2020 - Highlights - LDF Construction Recent Trip, LDF Construction Certified 8(a) Contractor by US Small Business Association. The regulations can be daunting since they seem to be the size of the tax code. Generally speaking, contracting officers can award a contract to an 8(a) business on a sole source basis if the estimated cost is $4 million or less ($7 million for manufacturing). On March 17th 2020 some major changes occured in the way the Department of Defense (DOD) works with 8(a) designated companies  (like LDF Construction) can participate in sole-source awarded contracts. This change will only matter for 8(a) concerns owned by an Indian Tribe, Alaska Native Corporation (ANC) or Native Hawaiian Organization (NHO), as other 8(a) firms are limited to a smaller dollar amount for sole source awards. Display as a link instead, × If negotiations go well a contract will be finalized. There are a variety of contract types – each with its own pluses and minuses. (g) The contracting officer shall include the request, the approval, and all supporting documentation in the contract file. Meaning the Pentagon (or DOD) can simply offer a contract to someone who is in the 8(a) program without having to do a bid or RFP (Request for Proposal) or similar request. Proposals are evaluated by the government according to the procedures listed in the RFP. Sometimes there may be questions asked but not always. Read the documents very carefully and write a proposal in response and in complete compliance with the RFP documents. FAR 19.808-1(a), in turn, now allows the SBA to accept a sole source 8(a) contract up to $100 million without a DoD agency justification. You are more likely to get a sole source procurement once you have some government contracts and have an open contract vehicle available. The court noted that all parties agreed that Harmonia would have competed for the sole-source bridge contract and that Harmonia was a qualified bidder under the original contract. How Much You Can Give to Political Candidates and Campaigns, How to Get Government Help Buying a Fixer-Upper Home, Behavior Contracts to Support Good Behavior, procurement under an existing multiple award contract. BAAs are solicitations issued by an agency when it seeks basic research work. Only those companies with a multiple award contract can compete for the task orders and task orders are the work.   You cannot paste images directly. Once you are awarded the contract, a contracting officer will send you a letter and contact you to negotiate a contract. Clear editor. This Department of Defense class deviation implements the higher dollar amount that Congress set in the 2020 National Defense Authorization Act. On this website, you will find Requests for Proposals (RFPs) for practically everything the government purchases. The expected six month federal 8(a) contract in Westboro, Wis., started in September. This would have an impact for LDF Construction to be able to offer our quality services without having to go through as much of an extensive bidding process for any DOD jobs like some of the military bases in Wisconsin or other Federal Defense contracts needing construction. Simplified acquisitions are purchases under $25,000 and require the government purchasing agent to obtain quotes either orally or through a brief written quote. In particular, FAR 6.302-5(b)(4), 6.303-1(b), and 19.808-1(a) will now allow sole-source contracts up to $100 million contract value with fewer agency requirements. Effective March 17, DOD contracting officers won’t have to issue a justification or obtain approval for award of a sole-source contract under the Small Business Administration’s 8(a) program for awards up to $100 million, up from the prior $22 million limit.