Introduction to NITAAC GWACs

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Contracting officer working on an IT acquisition order.

The FAR 16.505 ordering procedures stipulate how task and delivery orders are placed under IDIQ contracts such as NITAAC GWACs. What are some of the major FAR 16.505 requirements a CO must understand and follow to place an order under NITAAC GWACs?

The following section summarizes the major requirements and steps outlined in FAR 16.505 that a CO should be aware of when placing an order.

Acquisition Planning and Compliance

• Synopsizing Orders (FAR 16.505(a)(1))
  • Generally, orders under indefinite-delivery contracts do not require public notice unless specific exceptions apply.
• Acquisition Planning (FAR 16.505(a)(8))
  • Orders under a GWAC must comply with acquisition planning and the development of an IT acquisition strategy. This ensures that orders adhere to broader planning and consolidation requirements.
  • Acquisition planning is required but you should follow your agency’s procedures for compliance.
• Brand-Name Justifications (FAR 16.505(a)(4))
  • If the order specifies a brand-name product, a justification must be prepared, posted, and approved for acquisitions over $30,000 unless an exception applies. This applies to any part of an order requiring a specific brand-name.
• Market Research (FAR 16.505(a)(4)(i); FAR 16.504(a)(1))
  • Brand-name specifications shall not be used unless the particular brand-name, product, or feature is essential to meet requirements and market research indicates other companies’ similar products, or products are lacking the particular feature, do not meet, or cannot be modified to meet, the agency’s needs.
  • Agencies must prepare a written justification explaining why a specific brand-name product is necessary and why alternatives are insufficient. This document should detail the essential characteristics of the brand-name product and the results of market research supporting the decision.
  • Posting Requirements: For orders exceeding $25,000, the justification must be posted publicly. According to FAR 16.505(a)(4)(iii)(A), the agency is required to post the justification along with the solicitation or contract award notice on a government-wide point of entry (GPE), such as SAM.gov (the official U.S. government website for contract opportunities) within 14 days after award. This ensures transparency and provides other potential vendors the opportunity to review the agency's rationale. 
  • While NITAAC provides the contracting vehicles, the ordering agencies are responsible for ensuring compliance with FAR requirements, including the posting of justifications.
  • COs are encouraged to use NITAAC’s e-GOS to conduct market research and issue requests for information.
• Performance-Based Acquisition (FAR 16.505(a)(3))
  • Whenever practical, COs must use performance-based acquisition methods for service contracts, focusing on outcomes rather than prescribing how work is done.
• Small Business Set-Asides (FAR 16.505(b)(2)(i)(F))
  • COs can set aside orders for small businesses under GWACs, ensuring compliance with the small business eligibility requirements in FAR Part 19.

Fair Opportunity Requirements

• Fair Opportunity (FAR 16.505(b)(1))
  • This step was discussed in Read: How to Meet Fair Opportunity Requirements Against NITAAC GWACs. We will not elaborate on this again except to emphasize that COs must provide all contract holders a fair opportunity to compete for each order when it exceeds the micro-purchase threshold, unless an exception applies. 
• Exceptions to Fair Opportunity (FAR 16.505(b)(2))
  • COs must list the exceptions to the fair opportunity process. These exceptions must be justified and properly documented.
• Orders Exceeding Simplified Acquisition Threshold (FAR 16.505(b)(1)(iii)(B)(1))
  • If the order does not exceed the simplified acquisition threshold, the CO need not contact each of the multiple awardees under the contract before selecting an order awardee, provided the CO has information available to ensure that each awardee is given a fair opportunity to be considered for each order. When using CIO-CS, the catalog contains information that can assist COs in providing fair opportunity.
• Orders Exceeding $6 Million (FAR 16.505(b)(1)(iv))
  • Orders over $6 million require additional steps, including a clear statement of requirements, a reasonable response time, and the use of best value award documentation. A post-award debriefing must be offered to unsuccessful contractors.

Solicitation

• No Requirement for a Formal Solicitation (FAR 16.505(b)(1)(iii))
  • Formal solicitation is not required for orders placed under IDIQ contracts. COs are not required to provide a full solicitation package with all the formal requirements of a typical competitive acquisition (like FAR Parts 14 or 15).
  • While formal solicitations are not necessary, the CO must still ensure that adequate information is provided to contract holders so that they can respond appropriately. This includes providing necessary details such as the scope of work, delivery schedule, and evaluation criteria.
• Flexibility in the Solicitation Process (FAR 16.505(b)(1)(iv))
  • The CO has flexibility in determining the process for awarding orders, allowing for more efficient and streamlined methods when preparing solicitations. The procedures do not have to follow the formal rules for sealed bidding or negotiation found in FAR Part 14 or FAR Part 15. COs can use less formal methods, such as Requests for Quotations (RFQs) or Requests for Information (RFIs), when preparing solicitations for orders under IDIQ contracts, provided that fair opportunity is maintained.
• Evaluation Factors for Orders (FAR 16.505(b)(1)(ii))
  • The CO is required to identify clear and consistent evaluation factors to ensure all contract holders have a fair opportunity to compete. This means that any criteria for evaluating proposals (e.g., technical capability, price, or past performance) must be transparent and made available to all contract holders.
• Tailoring the Evaluation Process (FAR 16.505(b)(1)(iv))
  • The evaluation process can be tailored depending on the complexity and value of the order. For smaller or simpler orders, COs may use more straightforward evaluation criteria (e.g., lowest price) or rely on simplified evaluation procedures.
  • Under small business set-asides, COs can set aside orders for small businesses under NITAACS CIO-SP3 Small Business GWAC.

NITAAC’s e-GOS provides the framework for COs to comply with all these requirements, but they must furnish the required documents to the electronic ordering system. 

Order Documentation and Pricing

• Order Clarity (FAR 16.505(a)(2))
  • Orders must clearly describe the services or supplies, be within scope, and outline pricing at the time of order placement. This ensures clarity in the contracting process.
• Pricing and Order Documentation (FAR 16.505(b)(3) and (7))
  • The CO must establish fair and reasonable prices for each order, and document the rationale for the placement, pricing, and trade-offs among cost and non-cost factors.
• Task and Delivery Order Information (FAR 16.505(a)(7))
  • Orders must include all relevant details, such as the date, contract number, item descriptions, delivery schedule, payment methods, and other essential data to ensure proper execution.

Evaluation

• Clear Description of the Basis Upon Which the Selection will be Made (FAR 16.505(b)(iii)(B)(1))
  • COs will evaluate submissions in accordance with the evaluation criteria outlined in the task/delivery order request. 

Post-Award and Protest Procedures

• Protests and Debriefings (FAR 16.505(a)(10) and 16.505(b)(6))
  • Orders exceeding $10 million can be protested. For orders over $6 million, the CO must provide post-award notifications and debrief unsuccessful offerors in accordance with FAR procedures.
  • If you receive a task or delivery order protest, notify NITAAC. 
• Task Order Ombudsman (FAR 16.505(b)(8))
  • NITAAC has a designated NIH Ombudsman for task order and delivery order contracts.

The above components summarize the major FAR 16.505 parts a contracting officer must know when placing orders under NITAAC GWACs.

References

GSA. (2024, September 26). FAR 16.505. Acquisition.gov | An official website of the General Services Administration.