Policy
Use simplified acquisition procedures for eligible purchases to streamline procurement, maximize small business participation, and ensure compliance with thresholds and competition requirements.
Overview
FAR 13.003 establishes the policy for using simplified acquisition procedures (SAP) for government purchases of supplies and services not exceeding the simplified acquisition threshold (SAT). Agencies are directed to use SAP to the maximum extent practicable, except when required sources, existing IDIQ contracts, or other established contracts are available. The section mandates small business set-asides for acquisitions above the micro-purchase threshold but at or below the SAT, and outlines the use of various small business programs. It also sets clear thresholds for when SAP may be used, prohibits splitting requirements to avoid thresholds, and encourages the use of electronic commerce and purchase cards. Contracting officers are required to promote competition, set reasonable deadlines, consider all timely offers, and use innovative approaches in SAP awards.
Key Rules
- Use of SAP
- Agencies must use simplified acquisition procedures for purchases at or below the SAT unless required sources or existing contracts apply.
- Small Business Set-Asides
- Acquisitions above the micro-purchase threshold and at or below the SAT must be set aside for small businesses, with options for 8(a), HUBZone, SDVOSB, and WOSB programs.
- Thresholds and Prohibitions
- SAP cannot be used for acquisitions exceeding the SAT or $9M/$15M for commercial items under 13.5, and requirements cannot be split to stay under thresholds.
- Electronic Commerce and Purchase Cards
- Agencies should maximize use of purchase cards and electronic commerce for SAP.
- Competition and Innovation
- Contracting officers must promote competition, set fair deadlines, consider all timely offers, and use innovative approaches.
Responsibilities
- Contracting Officers: Must apply SAP appropriately, set aside eligible acquisitions for small businesses, ensure compliance with thresholds, promote competition, and use electronic tools.
- Contractors: Must understand eligibility for small business set-asides and respond to solicitations in a timely manner.
- Agencies: Oversee proper use of SAP, maximize electronic commerce, and ensure compliance with statutory requirements.
Practical Implications
This section streamlines government purchasing for lower-value acquisitions, prioritizes small business participation, and encourages efficiency through electronic tools. Contractors should be aware of set-aside opportunities and thresholds, while contracting officers must avoid improper splitting of requirements and ensure fair competition. Common pitfalls include misapplying thresholds, failing to set aside for small businesses, or not using required sources.