other transaction authorities | The Contracting Education Academy

December 1, 2020 By cs

Navy seeing ‘explosion’ in use of OTA for IT, cyber development work

The last several years of Defense spending have a seen a more than seven-fold increase in the amount of money being spent through other transaction agreements for technology development. And although the Navy has been a relative latecomer to OTAs compared to its sister services, the approach is taking off in a big way in the areas of information technology and cybersecurity.

In August, the Navy announced it was increasing the ceiling value for its Information Warfare Research Project OTA to $500 million after having exhausted its initial $100 million ceiling in just a little over a year-and-a-half. Meanwhile, last month, officials announced the project’s first three programs to have moved from prototypes to full-blown production systems.

“It’s been a very large success. We’ve been able to promote this, both internally and with our sponsors to identify requirements that fit our rapid prototyping construct, ultimately with the goal of getting things into the warfighters’ hands quicker than in other contract strategy approaches,” Kevin Charlow, the chairman of the IWRP Executive Steering Group and deputy executive director of Naval Information Warfare Center-Atlantic said in a recent interview for Federal News Network’s On DoD. “As we continue to identify new requirements and as the word gets out, and people get more comfortable using this type of vehicle, the available ceiling has been used up. So we’re pleased about that and we’re looking forward to the future.”

Keep reading this article at: https://federalnewsnetwork.com/on-dod/2020/11/navy-seeing-explosion-in-use-of-ota-for-it-cyber-development-work/

September 21, 2020 By cs

Pentagon seeks TurboTax-like tool for artificial intelligence purchases

It’s part of a new acquisition model that would explore the potential of pursuing contracts outside the Federal Acquisition Regulation, mixed with traditional contracts.

The Pentagon’s Joint Artificial Intelligence Center set sights on producing a new-and-improved business model for purchasing artificial intelligence tools in hopes of driving quicker procurement from both typical and non-traditional companies through a means that’s scalable across the Defense Department.

Together with Army Contracting Command Rock Island, the AI-strategizing center is considering launching a competition for a 501(c) or non-profit manager of the prototype model and would like to engage potential partners, according to a request for information published August 28.

The to-be-created model would incorporate a TurboTax-like automated system to streamline buying information.

The JAIC is also interested in hearing from organizations that would want to participate in a consortium-like body that could deliver AI capabilities for defense-driven missions under the model. Through the new approach, the center would leverage other transaction authorities, a contracting method that bypasses traditional federal procurement rules in an effort to attract new, innovative vendors and solutions.

Keep reading this article at: https://www.nextgov.com/emerging-tech/2020/08/pentagon-seeks-turbotax-tool-artificial-intelligence-purchases/168114/

August 11, 2020 By cs

DHS seeks permanent flexible acquisition authorities

Temporary acquisition authorities that aid the Department of Homeland Security in getting innovative commercial technologies and goods in response to the COVID-19 crisis should be lasting tools in the department’s acquisition toolbox, the agency’s top acquisition official told a Senate panel.

The DHS other transaction authority (OTA) that allows the agency to conduct pilot projects outside of the traditional competitive bidding regulations expires at the end of each fiscal year.

Soraya Correa, the agency’s chief procurement officer, told lawmakers at a recent hearing of the Senate Finance Committee that she’d like permanent authorization for OTAs.

Similarly, the Commercial Solutions Opening Pilot Program (CSOP) expires at the end of 2022. Correa would like to see that become a permanent fixture of agency acquisition.

Keep reading this article at: https://fcw.com/articles/2020/07/29/rockwell-covid-acquisition-dhs.aspx

March 5, 2020 By cs

GAO declines to limit DoD’s ‘experimental purchasing’ authority

In its recent decision in Air Tractor, Inc., the Government Accountability Office (GAO) held that the Department of Defense (DoD) may, at its own discretion, begin a project with agreements under its prototyping Other Transaction (OT) authority, and award later phases of the same project on a sole source basis under its experimental purchasing authority.

In the decision, GAO discussed distinctions between these avenues, and gave a broad reading to the DoD’s authority to award contracts for experimental work.

The past few years have seen a swell of interest in DoD’s ability to sidestep the Federal Acquisition Regulation (FAR) and use more flexible OT authority to enter into contracts. Thus far, the majority of this interest has centered on DoD’s OT authority to enter into prototype projects, now codified at 10 U.S.C. § 2371b.

One of the most powerful features of DoD’s prototype OT authority is that DoD may award a sole source follow-on production contract for a successful prototype. Congress included some limitations on this authority to award sole source follow-on production contracts at 10 U.S.C. § 2371b(f). For example, in its decision in Oracle America, Inc., GAO confirmed that DoD must comply with all notice and other specific preconditions at the prototyping stage in order to award a sole source follow-on production contract.

However, prototype OT authority is not DoD’s only authority to award sole source contracts. The Competition in Contracting Act (CICA) itself allows for sole source awards in certain circumstances. In DRS Sustainment Systems, GAO held that DoD need not comply with 10 U.S.C. § 2371b(f) to award a sole source production contract where DoD invokes one of CICA’s exceptions to separately justify the sole source award. In addition, under 10 U.S.C. § 2373, DoD has authority to make sole source purchases for items it “considers necessary for experimental or test purposes in the development of the best supplies that are needed for the national defense.”

In Air Tractor, GAO held that DoD properly relied on its “experimental purchasing” authority under 10 U.S.C. § 2373 to purchase a set of full production light attack aircraft for use in “experiments” to determine the best use of such planes in combat support. GAO found that this purchase was acceptable because it met the requirements of § 2373 alone, regardless of the Air Force’s initial use of its § 2371b prototype OT authority to compare various candidate aircraft. GAO confirmed that while it will exercise jurisdiction to ensure agency compliance with various statutory authorities to award non-procurement contracts, GAO will not impose requirements beyond those stated in the statutes. In upholding the Air Force’s acquisition strategy, the Air Tractor decision provides valuable insight as to the broad scope of § 2373 “experimental purchasing” authority.

Keep reading this article at: http://www.mondaq.com/unitedstates/Government-Public-Sector/895672/GAO-Declines-To-Limit-DoD39s-Experimental-Purchasing-Authority

February 19, 2020 By cs

A high-profile OTA program goes off the rails

It had to happen at some point. A high-profile, big-ticket Army program using an other transaction authority (OTA) agreement has turned into a fiasco.

One prototype of the Army SMET (squad multipurpose equipment transport) concept.

In December, the Army Contracting Command announced it was canceling and re-soliciting a contract issued in October to manufacture hundreds of robotic mules. This is bad news.

For critics of the Army’s acquisition system, it’s another example of the service’s poor record over the last 20 to 30 years of developing and fielding new weapon systems. While Army leadership say they are going to speed procurement of badly needed technology to take on “great powers” — this is a black mark and will certainly get the attention of Congress.

And the same goes for proponents of other transaction authority agreements — touted as a way to put new technology into the hands of warfighters faster by forgoing the traditional acquisition system.

The program in question is the squad multipurpose equipment transport, or SMET, the Army’s answer to helping dismounted troops lighten their loads. This so-called robotic mule has been on the service’s wish list dating back to the Future Combat Systems program, which was canceled in 2009.

Keep reading this article at: https://www.nationaldefensemagazine.org/articles/2020/2/4/a-high-profile-ota-program-goes-off-the-rails

It’s part of a new acquisition model that would explore the potential of pursuing contracts outside the Federal Acquisition Regulation, mixed with traditional contracts.

Temporary acquisition authorities that aid the Department of Homeland Security in getting innovative commercial technologies and goods in response to the COVID-19 crisis should be lasting tools in the department’s acquisition toolbox, the agency’s top acquisition official told a Senate panel.

It had to happen at some point. A high-profile, big-ticket Army program using an other transaction authority (OTA) agreement has turned into a fiasco.

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