Overview
FAR 9.106 establishes the procedures and criteria for conducting preaward surveys, which are formal investigations into a prospective contractor’s capability when a Contracting Officer lacks sufficient information to make a determination of responsibility. The section emphasizes that these surveys should be used sparingly, particularly for low-value or commercial acquisitions, to minimize administrative costs and delays.
Key Rules
- Necessity: A preaward survey is only required if the Contracting Officer (CO) cannot determine responsibility using readily available information or commercial sources.
- Thresholds/Commerciality: COs should generally avoid requesting surveys for contracts at or below the Simplified Acquisition Threshold (SAT) or for commercial products and services unless the cost of the survey is specifically justified.
- Eligibility Check: Before starting a survey, the surveying activity must verify that the contractor is not debarred, suspended, or otherwise ineligible.
- Formal Documentation: Requests must be made using Standard Form (SF) 1403 and typically require at least seven working days for completion.
- Reporting Forms: Specialized reports are required for different areas of concern, including Technical (SF 1404), Production (SF 1405), Quality Assurance (SF 1406), Financial Capability (SF 1407), and Accounting Systems (SF 1408).
- Small Business Coordination: If the contractor is a small business with a recent Certificate of Competency (last 12 months) or is an 8(a) participant, the surveying activity must consult with the Small Business Administration (SBA) before making a recommendation.
Practical Implications
- Award Delays: Because a full preaward survey requires significant coordination and a minimum of seven working days, it can be a major bottleneck in the procurement timeline.
- Past Performance Scrutiny: Contractors with a history of requiring "costly and burdensome Government assistance" (such as excessive inspection or engineering support) may receive negative recommendations even if they technically met past contract requirements.
- Documentation Readiness: Prospective contractors should maintain "ready-to-go" financial and technical documentation to help COs make responsibility determinations without needing to trigger a formal, time-consuming survey.