Overview
FAR 5.101 prescribes the mandatory and discretionary methods contracting officers must use to publicize proposed contract actions to the public. The primary goal is to increase competition and broaden industry participation by ensuring transparency for requirements exceeding specific dollar thresholds.
Key Rules
- Threshold-Based Mandatory Dissemination:
- Over $25,000: Proposed actions must be synopsized in the Government-wide Point of Entry (GPE), currently SAM.gov.
- $20,000 to $25,000: Must be publicized by displaying a notice in a public place or via electronic means (e.g., a "crying wall" or agency website) for at least 10 days or until quotations are opened.
- Display Requirements ($20k–$25k): The notice must explicitly state that all responsible sources may submit a response that the agency must consider.
- Exemptions: Public display is not required for oral solicitations, specific circumstances outlined in FAR 5.202 (such as national security or unusual urgency), or if the notice is already accessible through the GPE with electronic response capabilities.
- Discretionary Methods: Agencies may use supplemental methods such as handouts, trade associations, or unpaid announcements in mass media.
- Paid Advertisements: These are restricted and may only be used if the contracting officer anticipates that effective competition cannot be obtained otherwise; they require specific written authority and are subject to geographic restrictions regarding the District of Columbia.
Practical Implications
- Compliance for Small Purchases: Contracting officers must be diligent in posting mid-range requirements ($20k–$25k) locally or electronically to avoid "pocket" procurements that unfairly exclude capable small businesses.
- Timeline Management: For actions in the $20k–$25k range, the 10-day posting requirement must be factored into the procurement lead time to ensure the solicitation remains open and visible for the legally mandated duration.