9.701
Definition
A contractor group is not a FAR 9.701 "pool" unless it has a formal joint agreement and approval from SBA or another authorized official for defense production or R&D contracting.
Overview
- FAR 9.701 defines the term "pool" for purposes of Subpart 9.7, which addresses defense production pools and research and development pools.
- The definition matters because only groups meeting all stated elements qualify as a recognized pool under this subpart.
Key Rules
- Group of concerns acting jointly
- A pool is a group of business concerns that associate to obtain and perform defense production or R&D contracts together, either jointly or in conjunction with one another.
- Formal governing agreement
- The participating concerns must enter into an agreement that establishes their organization, relationship, and operating procedures.
- Required approval authority
- The agreement must be approved either by the Small Business Administration (SBA) under sections 9 or 11 of the Small Business Act and 13 CFR 125, or by a designated official under Executive Order 10480 and section 708 of the Defense Production Act.
Responsibilities
- Contracting Officers: Verify whether an offeror claiming pool status meets the FAR 9.701 definition and has the required approval.
- Contractors: Ensure any claimed pool arrangement is formally documented and properly approved before relying on pool status.
- Agencies: Apply the definition consistently when evaluating participation under Subpart 9.7.
Practical Implications
- This section exists to distinguish informal teaming from officially recognized defense production or R&D pools.
- For contractors, the key compliance issue is proving both the existence of a governing agreement and approval by the proper authority.
- A common pitfall is assuming a collaborative arrangement qualifies as a pool without formal approval.