Middle Tier of Acquisition (MTA)

Reference Source: Contracting Cone – IDIQ (FAR Part 16.5)

IDIQ contracts provide a method to order from existing agency indefinite-delivery contracts as well as contracts awarded by another agency (i.e. Government-wide Acquisition Contracts (GWAC) and Multi-Agency Contracts (MAC)).

Restrictions

• Scope determination required (work, period of performance, and ceiling)
• Fair opportunity required for a delivery-order or task-order exceeding micro-purchase threshold unless one of the following statutory exceptions applies:
  • The agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays
  • Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized
  • The order must be issued on a sole-source basis in the interest of economy and efficiency because it is a logical follow-on to an order already issued under the contract, provided that all awardees were given a fair opportunity to be considered for the original order
  • It is necessary to place an order to satisfy a minimum guarantee
  • For orders exceeding the simplified acquisition threshold, a statute expressly authorizes or requires that the purchase be made from a specified source
  • In accordance with section 1331 of Public Law 111-240 (15 U.S.C. §644(r)), contracting officers may, at their discretion, set aside orders for any of the small business concerns identified in FAR Part 19.000(a)(3). When setting aside orders for small business concerns, the specific small business program eligibility requirements identified in FAR Part 19 apply.

See additional references and resources for this strategy in the Contracting Cone – IDIQ.

Reference Source: Contracting Cone – SBIR/STTR

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Small Business Innovation Research (SBIR) is a competitive program that encourages small businesses to engage in Federal Research and Development (R&D) with the potential for commercialization to stimulate innovation.

Small Business Technology Transfer (STTR) is another program to facilitate cooperative R&D between small business concerns and non-profit U.S. research institutions with the potential for commercialization of innovative technological solutions.

Federal agencies with R&D budgets exceeding $100 million are required to allocate a percentage of their R&D budget to these programs. Participating agencies determine relevant R&D topics for their programs.

SBIR/STTR is a gated process with three (3) phases executed through BAA contracts, grants, or agreements:

• Phase I Concept Development: Explore technical merit and feasibility of an idea or technology and determine the quality of performance of the small business prior to providing further Federal support in Phase II. Contracts are no more than 6 months in duration and are funded by the SBIR/STTR program. Typically, Phase I awards are typically less than $150,000.
• Phase II Prototype Development: Continue R&D efforts initiated in Phase I and evaluate commercialization potential. Contracts are no more than 24 months, are funded by the SBIR/STTR program, and typically are less than $1 million. Award amounts are based on Phase I results and scientific and technical merit for commercialization.
• Phase III Commercialization: Work that derives from, extends, or completes R&D efforts under prior SBIR/STTR Phase I/II and enables a small business to pursue commercialization. Phase III work may be for products (including test and evaluation), production contracts, and/or R&D activities. There is no limit on the number, duration, type, or dollar value of Phase III award. Phase III awards cannot be funded by the SBIR program. Agencies may enter into a Phase III SBIR contracts, grants, or agreements at any time (competitively or non-competitively) with a Phase I or Phase II awardee.

Restrictions

• SBIR/STTR data rights protection: Apply to all phases and restricts the Government from disclosing SBIR data outside the Government. Government cannot compete technologies containing SBIR data.
• Sole source Phase III awards may not be appropriate in all cases if multiple sources exist in the open market for similar product.

See additional references and resources for this strategy in the Contracting Cone – SBIR/STTR.

Reference Source: Contracting Cone – Commercial Solutions Opening (CSO)

Section 803 of the FY22NDAA provided the DoD with permanent CSO authority, codified in 10 U.S.C. §3458, to obtain solutions or new capabilities that fulfill requirements, close capability gaps, or provide potential technological advances. CSO procedures are similar to those for Broad Agency Announcements (BAAs), with the exception that a CSO can be used to acquire innovative commercial items, technologies, or services that directly meet program requirements, whereas BAAs are restricted to basic and applied research. The CSO program may also be used to acquire R&D solutions from component development through operational systems development.

For CSO purposes, innovation is defined as any technology, process, or method, including research and development that is new as of the date of proposal submission or any application of a technology, process, or method that is new as of proposal submission.

See additional references and resources for this strategy in the Contracting Cone – Commercial Solutions Opening (CSO)

Reference Source: Contracting Cone – Procurement for Experimental Purposes

Procurement for Experimental Purposes (10 U.S.C. §4023) authorizes the government to acquire quantities necessary for experimentation, technical evaluation, assessment of operational utility, or to maintain a residual operational capability. This authority currently allows for acquisitions in the following nine areas:

The Procurement for Experimental Purposes authority can be competitive or non-competitive and awarded using a contract or agreement. FAR and DFARS are not applicable, therefore, formal competitive procedures do not apply and any resultant contract is not required to include standard provisions and clauses required by procurement laws. Instead, a contract could be written using commercial terms. Another option is to leverage the authority of 10 U.S.C. §4021 or 10 U.S.C. §4022 and execute a research or prototype OT for the items allowed under this statute.

A Determination & Finding (D&F) identifying the following information is required to execute a 2373 award:

• A description of the item(s) to be purchased and dollar amount of purchase
• A description of the method of test/experimentation
• The quantity to be tested
• A definitive statement that use of the authority at 10 U.S.C. §4023 is determined to be appropriate for the acquisition

Restrictions

• FAR/DFARS N/A
• SECDEF delegation required (currently delegated to DARPA, Navy, and selectively within Air Force and Army)
• Contracting Officer must have Agreement Officer authority to execute
• Purchases limited to quantities necessary for experimentation, technical evaluation, assessment of operational utility, or safety or to provide a residual operational capability
• Appropriate for use in select situations to prevent inappropriate use/abuse and potential revocation of authority

See additional references and resources for this strategy in the Contracting Cone – Procurement for Experimental Purposes.

Reference Source: Air Force Guidance Memorandum for Rapid Acquisition Activities, 27 June 2019

 

• Section 1.4. Rapid acquisition activities should be executed using expedited contracting vehicles consistent with applicable authorities and streamlined acquisition procedures, wherever possible, including, but not limited to, IDIQ contracts, cooperative agreements (when authorized by statute), other transactions for research (10 U.S.C. §4021), experimental authority (10 U.S.C. §4023), and FAR Part 12 procedures (where appropriate).
• Section 1.4.1. Achieving speed is just as contingent on creative contracting as it is on creative program management. Contracting officers are encouraged to be aggressive using vehicle types, incentives and penalties to encourage timeliness and performance valued by the program. Whenever possible, contracting officers should be heavily consulted in building the acquisition strategy.