contract specialist
Contract Bundling
1. What is contract bundling? According to FAR 2.101 the definition of a bundled contract or bundling refers to the consolidation of two or more procurement requirements for goods or services previously provided or performed under separate smaller contracts into a solicitation of offers for a single contract that is likely to be unsuitable for award to a small business. What this really means is that contract bundling happens when two or more contracts intended for small businesses are combined, making it difficult for a small business to complete. An example of a bundled contract would be a single contract that includes building maintenance, janitorial, laundry, food and ground keeping service that were at one time separate contracts. Most of these contracts could be awarded to a small business but when combined together the small business is unable to compete. Some of the reasons why a small business might not be able to compete according to the FAR include:
The diversity, size, or specialized nature of the elements of the performance specified;
The aggregate dollar value of the anticipated award;
The geographical dispersion of the contract performance sites
2. So why would you bundle a contract? There are a couple of benefits to contract bundling. With all of the budget cuts and reductions in the acquisition force we are driven to do more with less. To make this possible we need to reduce cost were we can. To meet these demands and those of our customers many agencies government wide have increasingly consolidated contractual requirements into larger contracts and used limited and simplified competition procedures for acquiring products and services. By doing this we are able to cut down on our acquisition personnel cost and combine smaller contracts into a larger one which will save the government money in the long run since these services are bundled together for a larger discount. A bundled contract will also in theory
1. What is contract bundling? According to FAR 2.101 the definition of a bundled contract or bundling refers to the consolidation of two or more procurement requirements for goods or services previously provided or performed under separate smaller contracts into a solicitation of offers for a single contract that is likely to be unsuitable for award to a small business. What this really means is that contract bundling happens when two or more contracts intended for small businesses are combined, making it difficult for a small business to complete. An example of a bundled contract would be a single contract that includes building maintenance, janitorial, laundry, food and ground keeping service that were at one time separate contracts. Most of these contracts could be awarded to a small business but when combined together the small business is unable to compete. Some of the reasons why a small business might not be able to compete according to the FAR include:
The diversity, size, or specialized nature of the elements of the performance specified;
The aggregate dollar value of the anticipated award;
The geographical dispersion of the contract performance sites
2. So why would you bundle a contract? There are a couple of benefits to contract bundling. With all of the budget cuts and reductions in the acquisition force we are driven to do more with less. To make this possible we need to reduce cost were we can. To meet these demands and those of our customers many agencies government wide have increasingly consolidated contractual requirements into larger contracts and used limited and simplified competition procedures for acquiring products and services. By doing this we are able to cut down on our acquisition personnel cost and combine smaller contracts into a larger one which will save the government money in the long run since these services are bundled together for a larger discount. A bundled contract will also in theory