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OTAs given greater flexibility to foster innovation in coronavirus response

Defense Department leaders and agencies have been granted much-needed flexibility to respond to the coronavirus pandemic. 
Click on image above to open memorandum.

Last week, Under Secretary of Defense for Acquisition & Sustainment Ellen Lord delegated approval authority for Other Transaction Agreements (OTAs) related to the coronavirus response, consistent with Section 13006 of the CARES Act.

In an April 5 memorandum, Under Secretary Lord designated approval authorities for OTA prototype projects and follow-on production contracts and agreements as follows:

  • Above $100 million, and up to $500 million, to the Directors of Defense Agencies/Field Activities with contracting authority, as well as the Director of the Defense Innovation Unit. This authority was otherwise vested in the Senior Procurement Executives (SPEs) of the Military Departments, the Director of the Defense Advanced Research Projects Agency (“DARPA”), and the Director of the Missile Defense Agency (MDA).
  • Above $500 million, to the SPEs of the Military Departments, and the Directors of DARPA and the MDA. This authority was otherwise restricted to the Under Secretaries for Acquisition & Sustainment and Research & Engineering. Approval authority for OT prototype actions between $100 million and $500 million may now be further delegated by the SPE or Director.

In addition, in lieu of providing 30 days’ advance notice to congressional defense committees of OTAs above $500 million that are related to COVID-19, Section 13006 permits Under Secretary Lord or the Under Secretary of Defense for Research & Engineering to provide notice as soon as practicable after the OTA’s commencement.

Keep reading this article at: https://www.insidegovernmentcontracts.com/2020/04/other-transaction-authorities-given-greater-flexibility-to-foster-innovation-in-coronavirus-response/

The Contracting Education Academy at Georgia Tech has established a webpage where all contract-related developments related to the coronavirus (COVID-19) are summarized.  Find the page at: https://contractingacademy.gatech.edu/coronavirus-information-for-contracting-officers-and-contractors/

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Newest DoD industry guidance clarifies repayments, makes prototyping easier

As part of its ongoing effort to bolster the defense industrial base, the Pentagon has issued two new pieces of guidance — one focused on workers, and one focused on prototype contracts.

Overall, the department has now issued 17 different actions, ranging from basic guidance for industry to memos changing how the department pays contractors, since March 5.

In an April 6 memo, acquisition head Ellen Lord changed the rules for issuing prototype contracts through other transaction authorities.

OTAs are small contracts awarded to companies of any size, in theory targeted at nontraditional defense contractors, with the purpose of conducting research or prototype efforts on a specific project; they are not subject to Federal Acquisition Regulation rules. By comparison, SBIR contracts are targeted at small businesses in order to act as seed money for them to conduct research and development efforts; they are subject to the FAR rules.

Keep reading this article at: https://www.defensenews.com/coronavirus/2020/04/09/newest-dod-industry-guidance-clarifies-repayments-makes-prototyping-easier/

The Contracting Education Academy at Georgia Tech has established a webpage where all contract-related developments related to the coronavirus (COVID-19) are summarized.  Find the page at: https://contractingacademy.gatech.edu/coronavirus-information-for-contracting-officers-and-contractors/

By

Newest DoD industry guidance clarifies repayments, makes prototyping easier

As part of its ongoing effort to bolster the defense industrial base, the Pentagon has issued two new pieces of guidance — one focused on workers, and one focused on prototype contracts.

Overall, the department has now issued 17 different actions, ranging from basic guidance for industry to memos changing how the department pays contractors, since March 5.

In an April 6 memo, acquisition head Ellen Lord changed the rules for issuing prototype contracts through other transaction authorities.

OTAs are small contracts awarded to companies of any size, in theory targeted at nontraditional defense contractors, with the purpose of conducting research or prototype efforts on a specific project; they are not subject to Federal Acquisition Regulation rules.

By comparison, SBIR contracts are targeted at small businesses in order to act as seed money for them to conduct research and development efforts; they are subject to the FAR rules.

Keep reading this article at: https://www.defensenews.com/coronavirus/2020/04/09/newest-dod-industry-guidance-clarifies-repayments-makes-prototyping-easier/

The Contracting Education Academy at Georgia Tech has established a webpage where all contract-related developments related to the coronavirus (COVID-19) are summarized.  Find the page at: https://contractingacademy.gatech.edu/coronavirus-information-for-contracting-officers-and-contractors/

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Thornberry unveils potential punishments for DoD’s slow implementation of acquisition reforms

After spearheading the passage of dozens of reforms to the defense acquisition system over the last five years, House Armed Services Committee Ranking Member Mac Thornberry (R-Texas) is proposing some measures to speed up the Defense Department’s implementation of those changes.

In a draft bill, which may be folded into the committee’s version of the 2020 defense authorization legislation, Thornberry is proposing a handful of measures to quicken DoD’s execution of its new powers and hasten efficiencies mandated by Congress in previous laws.

“The Pentagon’s record of implementing important reforms is mixed. This year, Thornberry’s bill is focused on compelling DoD to implement those reforms Congress has already passed into law,” a factsheet from Thornberry’s office states.

One of the more dramatic provisions in the bill prods DoD into reforming its fourth estate — the agencies that do not fall under military services. The 2019 defense authorization act mandated the Pentagon come up with a plan to reduce the fourth estate by 25%. DoD’s report to Congress was late and Thornberry felt it was inadequate and failed to identify mandatory savings.

Keep reading article at: https://federalnewsnetwork.com/defense-main/2019/05/thornberry-unveils-potential-punishments-for-dods-slow-implementation-of-acquisition-reforms

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Georgia Tech hosting event promoting ‘defense innovation’ to be held on Jan. 14th

Companies who believe that they have the next key discovery or the next great idea that could benefit the Department of Defense (DoD) are invited to participate in a Georgia Tech-hosted event on Monday, January 14, 2019.

On that date, Georgia Tech’s Procurement Assistance Center (GTPAC) will host a day-long event designed to benefit innovative small businesses – with priority given to small technology companies that have the potential to directly enhance achievement of DoD’s mission.

Lisa R. Sanders, Director of Science and Technology for U.S. Special Operations Command (USSOCOM), is a featured speaker at the Defense Innovation Conference.  (More details here: https://gtpac.org/2018/12/17/special-operations-science-and-technology-director-is-speaking-at-jan-14-gtpac-event)

Registration is now open at: https://www.eventbrite.com/e/creating-the-next-defense-innovation-conference-tickets-53056770228     Advance registration is required for this event; on-site registration will not be allowed.  The registration fee is $50.

By attending, companies will learn all about the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, the Rapid Innovation Fund (RIF), Other Transaction Authority (OTA) for prototype projects, and additional contracting vehicles aimed at attracting innovative companies to help the U.S. Department of Defense.

See promotional flyer here: Defense Innovation Conference – Jan. 14 2019 Event

Registration for the event is now open at: https://www.eventbrite.com/e/creating-the-next-defense-innovation-conference-tickets-53056770228

Full Agenda and Featured Speakers

An advance copy of the conference agenda is available here: Agenda – Defense Innovation Conference – 01.14.2019 – Final.

Biographical sketches of all the featured speakers is available here: Featured Speakers – Defense Innovation Conference 01.14.2019.

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