The FAR Part 15 rewrite policy and its impact on full and open competition

Abstract

In 1997, the FAR Part 15 Contracting by Negotiation underwent a comprehensive rewrite. This thesis analyzed the major policies and influences that gave rise to these new rules, and determined the legislative and executive intent concerning its implementation. The key issues created or remaining unanswered by the new policy were identified and analyzed to determine their likely affect on competition in the competitive negotiation process. Similarly, the advantages and disadvantages of the Rewrite at the working level for both Government and industry were discussed. From the research, it was determined that competition is unlikely to suffer from the new policy, and in fact, is expected to increase due to lower Bid and Proposal (B & P) costs and more commercial-like processes that will lower barriers to entry. The Federal procurement process will benefit not only from lower prices and reduced acquisition costs, but should also enjoy dramatically reduced procurement cycle time. In terms of possible negative affects, industry is somewhat uncertain about the fair and equitable application of the new rules. The ability to reduce the competitive range for efficiency and "communications" are seen as actions demanding a high degree of contracting officer judgment and fairness.