LEG 505: The Power Of Competition

The Power of Competition
Laura Walsh-Steinman
Strayer University

LEG 505
Dr. Drain
July 29, 2012

The Power of Competition
Introduction
Part 1 of the Federal Acquisition System (FAR) states that its purpose is to: ". . . deliver on a timely basis the best value product or service to the customer, while maintaining the public 's trust and fulfilling public policy objectives [FAR Part 1]." To meet that objective, application of the FAR System will maximize the use of commercial products and services, use contractors with successful past performance or demonstrate a current superior ability to perform, and promote competition as well as minimize administrative operating costs; conduct business with integrity; fairness and openness;
[ GAO-10-833 highlight]." However, Congress, by enacting CICA, also recognized that there are situations that require or allow for contracts to be awarded noncompetitively—that is, contracts awarded without full and open competition.6 Some of the permitted exceptions to full and open competition include: 1 Supplies and services are only available from one responsible source, such as unique services from one supplier with unique capabilities, or limited rights to data that make certain services available from one source. 2 The government is under unusual and compelling urgency to procure a good or service, and delaying the award of a contract would result in serious injury, financial or other, to the
Necessary in the public interest: The head of an executive agency determines that it is necessary in the public interest to use other than competitive procedures 49 10 U.S.C. § 2304(c) & 41 U.S.C. § 253(c). 50 10 U.S.C. § 2304(c) & 41 U.S.C. § 253(c). 51 An amendment made to CICA by Section 862 of the Duncan Hunter National Defense Authorization Act for FY2009 limits the duration of contracts awarded in reliance on this exception. The term of such contracts may not exceed the time necessary (1) to meet the unusual and compelling requirements of the work to be performed under the contract and (2) for the executive agency to enter into another contract for the required goods and services through the use of competitive procedures. Such contracts may not last longer than one year unless the head of the agency entering into the contract determines that exceptional circumstances apply. P.L. 110-417, § 862, 122 Stat. 4546 (Oct. 14, 2008).
Competition in Federal Contracting: An Overview of the Legal Requirements Congressional Research Service 12 in the procurement and notifies Congress in writing of this determination no less than 30 days before the award of the contract.52