6.302-4 International agreement
Source: FAR 6.302-4 on acquisition.gov
FAR 6.302-4 permits limiting competition in federal contracts when required by international agreements, treaties, or written foreign government directions, but mandates written justification for most agencies.
Overview
FAR 6.302-4 allows agencies to limit competition in federal contracting when required by international agreements, treaties, or written directions from foreign governments reimbursing the U.S. for acquisitions. This exception to full and open competition is grounded in statutory authority and is typically invoked when a foreign government or international organization specifies particular sources or firms for procurement, or when acquisition terms are dictated by treaty or agreement. The regulation outlines specific scenarios where this authority applies, such as acquisitions reimbursed by a foreign country or those performed in another country’s territory with source restrictions. For most agencies (excluding DoD, NASA, and the Coast Guard), use of this authority requires written justifications and approvals as detailed in FAR 6.303 and 6.304.
Key Rules
- Authority for Exception
- Full and open competition is not required when precluded by international agreements, treaties, or written foreign government directions for reimbursed acquisitions.
- Application Scenarios
- Applies when a foreign country reimburses the U.S. and requires procurement from a specified firm, or when treaties/agreements limit eligible sources for services or supplies in another country.
- Justification Requirement
- Agencies (except DoD, NASA, Coast Guard) must prepare written justifications and obtain approvals per FAR 6.303 and 6.304 when using this authority.
Responsibilities
- Contracting Officers: Must verify the existence of applicable international agreements or written directions, ensure compliance with source restrictions, and prepare required justifications and approvals (unless exempted).
- Contractors: Must comply with any sourcing or performance limitations imposed by the agreement or foreign government direction.
- Agencies: Must oversee compliance, maintain documentation, and ensure proper justification and approval processes are followed.
Practical Implications
- This section exists to honor U.S. international obligations and facilitate cooperation with foreign governments and organizations.
- It impacts contracting by allowing exceptions to competition rules, but only under specific, documented circumstances.
- Common pitfalls include failing to obtain proper written direction, neglecting justification requirements, or misapplying the exception outside its intended scope.
(a) Authority.
(1) Citations: https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title10-section3204&num=0&edition=prelim" target="_blank">10 U.S.C. 3204(a)(4) or http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title41-section3304(a)(4)&num=0&edition=prelim" target="_blank">41 U.S.C. 3304(a)(4).
(2) Full and open competition need not be provided for when precluded by the terms of an international agreement or a treaty between the United States and a foreign government or international organization, or the written directions of a foreign government reimbursing the agency for the cost of the acquisition of the supplies or services for such government.
(b) Application. This authority may be used in circumstances such as-
(1) When a contemplated acquisition is to be reimbursed by a foreign country that requires that the product be obtained from a particular firm as specified in official written direction such as a Letter of Offer and Acceptance; or
(2) When a contemplated acquisition is for services to be performed, or supplies to be used, in the sovereign territory of another country and the terms of a treaty or agreement specify or limit the sources to be solicited.
(c) Limitations. Except for DoD, NASA, and the Coast Guard, contracts awarded using this authority shall be supported by written justifications and approvals described in 6.303 and 6.304.