9.507-1
Solicitation provisions
Solicitations must clearly disclose potential organizational conflicts of interest, proposed restrictions, and whether those restrictions are negotiable, ensuring transparency and compliance for all offerors.
Overview
FAR 9.507-1 requires that solicitations for contracts where organizational conflicts of interest (OCI) may arise must include specific provisions to address and mitigate those conflicts. The regulation ensures that offerors are made aware of potential OCIs, the nature of any restrictions that may be imposed on future contracting opportunities, and whether these restrictions are negotiable. This is a proactive measure to maintain fairness and integrity in the procurement process by preventing contractors from gaining unfair competitive advantages due to conflicting interests.
Key Rules
- Attention to Subpart
- Solicitations must direct offerors to review the relevant OCI regulations in this subpart.
- Disclosure of Potential Conflict
- The contracting officer must clearly state the perceived nature of the potential OCI in the solicitation.
- Description of Proposed Restraint
- The solicitation must specify what restrictions or restraints may be imposed on the contractor’s future activities to resolve the OCI.
- Negotiability of Terms
- The solicitation must indicate whether the proposed OCI clause and its application are open to negotiation, depending on the acquisition’s nature.
Responsibilities
- Contracting Officers: Must include the required OCI provisions in solicitations, clearly describe the conflict, proposed restraints, and negotiability.
- Contractors: Must review and understand the OCI provisions, assess their impact, and be prepared to negotiate if allowed.
- Agencies: Must ensure solicitations comply with these requirements to prevent OCIs and maintain procurement integrity.
Practical Implications
- This section exists to prevent unfair competitive advantages and protect the integrity of the federal procurement process.
- Contractors must carefully review solicitation provisions for OCI restrictions, as these can limit future business opportunities.
- Failure to address or comply with OCI provisions can result in disqualification or future ineligibility for related contracts.