Authorized or required by statute
FAR 6.302-5 allows agencies to limit competition when a statute expressly requires or authorizes procurement from a specific source, but strict compliance with statutory and documentation requirements is essential.
Overview
FAR 6.302-5 outlines the circumstances under which agencies may limit competition in federal contracting when authorized or required by statute. This section allows agencies to bypass full and open competition if a statute expressly mandates procurement from a specific source or through another agency, or for brand name commercial products for authorized resale. It lists specific statutory authorities, such as UNICOR, AbilityOne, Government Printing, and various small business sole source programs (8(a), HUBZone, SDVOSB, WOSB). The section also details limitations, including when this authority cannot be used, and exceptions to justification and approval requirements for certain awards.
Key Rules
- Statutory Authorization or Requirement
- Agencies may restrict competition if a statute expressly authorizes or requires procurement from a specified source or through another agency, or for brand name resale items.
- Specific Statutory Programs
- Applies to procurements from UNICOR, AbilityOne, Government Printing Office, and sole source awards under 8(a), HUBZone, SDVOSB, and WOSB programs.
- Limitations on Use
- Cannot be used for non-Federal entities unless the law specifically identifies the entity, references the correct statute, and allows bypassing merit-based selection, with certain exceptions.
- Justification and Approval
- Written justification and approval are generally required unless exceptions apply (e.g., mandatory sources, certain sole source awards under $25M).
Responsibilities
- Contracting Officers: Must verify statutory authority, ensure compliance with limitations, and prepare justifications when required.
- Contractors: Must understand eligibility for sole source or statutory programs and provide necessary documentation.
- Agencies: Must oversee compliance, maintain records, and ensure proper use of statutory authorities.
Practical Implications
- This section enables streamlined acquisitions when Congress has mandated or authorized specific sources, supporting policy goals like prison industries or small business development.
- Misuse or misunderstanding of statutory authority can lead to protests or contract invalidation.
- Proper documentation and awareness of exceptions are critical for compliance.