OTA | The Contracting Education Academy

October 16, 2019 By cs

COFC finds no jurisdiction over SpaceX’s OTA protest

The Court of Federal Claims dismissed SpaceX’s OTA bid protest finding that the court lacks subject matter jurisdiction over this OTA protest.

In a recently released decision, the COFC held that the court did not have Tucker Act jurisdiction to resolve a bid protest challenging the award of Other Transaction Agreements (OTAs).

In this case of first impression, SpaceX challenged the Air Force’s award of three OTAs for launch services. SpaceX acknowledged that the Air Force’s prototype OTAs were not “procurement contracts” under the Tucker Act. However, SpaceX noted that, following the government’s investment in the development of launch system prototypes under the OTA, the Air Force plans to procure launch services via a competitive procurement during Phase two of the program. As a result, SpaceX argued that the OTA was awarded “in connection with” the Phase two procurement, and therefore subject to Tucker Act jurisdiction.

The court rejected this argument, finding that the OTA award was not “in connection with a procurement or proposed procurement,” as contemplated by the Tucker Act. The court noted that the OTA and procurement competitions involved separate and distinct solicitations with different acquisition strategies, different start dates, and different goals. The court also noted that the Phase two Procurement will not be limited to the companies awarded the prototype OTAs.

Keep reading this article at: www.mondaq.com/article.asp?articleid=848220

August 19, 2019 By AMK

Money spent through OTAs surges to more than $4 billion

Other Transaction Agreements are an increasingly popular contracting tool, and they’re affecting overall government contracting numbers.

OTA purchases across the government surged from $2.3 billion in fiscal 2017 to over $4 billion in fiscal 2018.

The numbers come from the BGOV200, an annual ranking of the top 200 federal contractors created by Bloomberg Government.

“While multiple-award contracting is expected to dominate spending for years to come, agencies are also leveraging new acquisition methods to buy goods and services more quickly and easily in ways they haven’t before,” the report states.

The OTA authority, which was expanded by the 2016 National Defense Authorization Act, allows agencies to sidestep the Federal Acquisition Regulation and work with innovative, small companies that don’t normally do business with the government.

Keep reading this article at: https://www.fedscoop.com/otas-contracting-fiscal-2018-bgov/

August 13, 2019 By AMK

OTAs primed for growth

Increasingly the Departments of Defense and Homeland Security are looking to “other transaction authority” agreements to acquire emerging technologies.

Procurements made under OTA are exempt from many Federal Acquisition Regulation rules and are typically limited to research, prototypes and in certain cases follow-on production.

The authority dates back to the 1958 Space Act, passed in the wake of the Soviet Union’s Sputnik launch, but in recent years it has heated up as the military and DHS have tried to leverage the innovation of tech startups that haven’t typically looked to the federal market for growth.

According to contracting intelligence firm Deltek, OTA spending hit $4.3 billion in fiscal year 2018, up from $2.1 billion in 2017. Because of increased interest in OTA procurement, Deltek recently began breaking out OTA opportunities and spending as a separate category in its GovWin database.

Part of the reason for renewed interest in OTAs is the need to innovate on the defense side faster than our adversaries.

Keep reading this article at: https://defensesystems.com/articles/2019/08/05/otas-set-for-growth.aspx

August 12, 2019 By AMK

IRS doesn’t have an R&D shop, so it built a $7 million procurement vehicle instead

The ‘Pilot IRS’ program is about to issue its first solicitation, offering the agency a new way to automate low-level functions while testing a new acquisition method.

The IRS — like all federal agencies — is under several mandates to incorporate new and emerging technologies to improve its day to day operations and its mission of administering the nation’s tax code.

But the IRS doesn’t have a research and development office nor special acquisition authorities such as other transaction authority or a commercial solutions opening program. The IRS doesn’t even have funds allocated for R&D.

Instead, a team in the Office of the Chief Procurement Officer used parts 12 and 13 of the Federal Acquisition Regulation to create Pilot IRS, a phased, incremental funding procurement vehicle that will let the agency test new technologies on faster timelines without added risk. If a solution fails to meet expectations, it won’t proceed to the next phase of funding.

Keep reading this article at: https://www.nextgov.com/emerging-tech/2019/08/irs-doesnt-have-rd-shop-so-it-built-7m-procurement-vehicle-instead/158952/

July 25, 2019 By AMK

Audit: Pentagon acquisition reform requires more leadership attention

The Defense Department has made progress implementing acquisition reforms in recent years, but leadership needs to pay more attention for meaningful change to take place, according to an audit released this week by the Government Accountability Office.

The audit was completed at the request of the House and Senate Armed Services committees, which sought to determine whether and how the Pentagon was handling numerous acquisition reforms included in the 2017 and 2018 National Defense Authorization Acts.

The answers are a mixed bag, according to GAO auditors.

On one hand, military departments have taken on a larger share of the decision-making authority for major multibillion-dollar, multiyear defense acquisitions since 2016. That year, the Office of the Secretary of Defense oversaw 30 major defense acquisition programs, compared to 58 overseen by military departments. As of March, OSD only oversaw nine major defense acquisition programs, while military departments oversaw 80.

OSD oversees only those programs that are high-risk, joint or had significant cost or schedule growth, like the F-35 Joint Strike Fighter program or the Army’s Integrated Air and Missile Defense program.

Keep reading article at: https://www.nextgov.com/policy/2019/06/audit-pentagon-acquisition-reform-requires-more-leadership-attention/157548/

The Court of Federal Claims dismissed SpaceX’s OTA bid protest finding that the court lacks subject matter jurisdiction over this OTA protest.

Other Transaction Agreements are an increasingly popular contracting tool, and they’re affecting overall government contracting numbers.

Increasingly the Departments of Defense and Homeland Security are looking to “other transaction authority” agreements to acquire emerging technologies.

The ‘Pilot IRS’ program is about to issue its first solicitation, offering the agency a new way to automate low-level functions while testing a new acquisition method.

The Defense Department has made progress implementing acquisition reforms in recent years, but leadership needs to pay more attention for meaningful change to take place, according to an audit released this week by the Government Accountability Office.

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