13.103
Use of standing price quotations
Standing price quotations may be used for purchases if pricing is current and the government secures maximum discounts before award.
Overview
FAR 13.103 allows authorized government personnel to use standing price quotations instead of obtaining new, individual price quotes for each purchase under simplified acquisition procedures. This is permitted as long as the pricing information is current and the government secures the maximum available discounts before making an award. The regulation streamlines the purchasing process for repetitive or routine buys, reducing administrative burden while ensuring cost-effectiveness.
Key Rules
- Use of Standing Price Quotations
- Standing price quotations can be used in place of obtaining new quotes for each purchase, provided certain conditions are met.
- Current Pricing Requirement
- The pricing information must be up-to-date to ensure fair and reasonable pricing.
- Maximum Discounts
- The government must ensure it receives the maximum available discounts before awarding a contract based on standing quotations.
Responsibilities
- Contracting Officers: Must verify that standing price quotations are current and that maximum discounts are obtained before award.
- Contractors: Should provide updated pricing and offer maximum discounts to remain competitive.
- Agencies: Should maintain procedures to ensure compliance with these requirements and periodically review standing quotations for currency and competitiveness.
Practical Implications
- This section exists to expedite small purchases and reduce repetitive administrative work.
- It impacts daily contracting by allowing faster procurement cycles for frequently purchased items or services.
- Common pitfalls include relying on outdated pricing or failing to secure the best available discounts, which can lead to non-compliance or missed savings.