January 31, 2017

New Restrictions on LPTA Procedures at DoD

2 min

The 2017 NDAA will force DoD to utilize best value source selection procedures as much as possible by restricting DoD's use of LPTA procedures. Specifically, the 2017 NDAA will limit the use of LPTA procedures to situations in which:

  1. DoD is able to comprehensively and clearly describe the minimum requirements expressed in terms of performance objectives, measures, and standards that will be used to determine acceptability of offers;
  2. DoD would realize no, or minimal, value from a contract proposal exceeding the minimum technical or performance requirements set forth in the request for proposal;
  3. the proposed technical approaches will require no, or minimal, subjective judgment by the source selection authority as to the desirability of one offeror's proposal versus a competing proposal;
  4. the source selection authority has a high degree of confidence that a review of technical proposals of offerors other than the lowest bidder would not result in the identification of factors that could provide value or benefit to DoD;
  5. the contracting officer has included a justification for the use of a lowest price technically acceptable evaluation methodology in the contract file; and
  6. DoD has determined that the lowest price reflects full life-cycle costs, including for operations and support.

The 2017 NDAA also states LPTA procedures "shall be avoided" in procurements that are predominantly for the acquisition of:

  1. information technology services, cybersecurity services, systems engineering and technical assistance services, advanced electronic testing, audit or audit readiness services, or other knowledge-based professional services;
  2. personal protective equipment; or
  3. knowledge-based training or logistics services in contingency operations or other operations outside the United States, including in Afghanistan or Iraq.

These changes codify a shift away from LPTA evaluations towards best value source selection procedures, and will fundamentally change the way contractors compete for DoD's business in the near future.

Source: https://www.congress.gov/bill/114th-congress/senate-bill/2943/text