The Government may issue a Sole Source Award when there is only one company or organization that can satisfy the agency’s needs. DoD, NASA, and the Coast Guard have more leeway and may issue a Sole Source Award if there are a limited number of potential sources. However, in order to issue these Sole Source Awards, these are the requirements in summary that must be met:
- It may not resemble either a pending nor upcoming solicitation
- It is anticipated that additional competition would not save the Government money.
- If the bid was not a Sole Source, there would be unacceptable delays.
One of the following must be met:
- There is only one responsible source to obtain the services/supplies.
- Unusual or compelling urgency; This cannot be due to the Government’s lack of planning.
- Industrial Mobilization; engineering, developmental, or research capability, or expert services;
- International Agreement;
- Required by statute (e.g. utilities);
- National Security; or
- Public Interest
There must be an explanation as to which of the above reasons is pertinent.
There must be a description of efforts that the Government has made to solicit as many sources as possible.
Depending on the value of the award, different approvals are required.
With a few exceptions, the justification should be made publicly available 14 days after contract award and must remain available for a minimum of 30 days on www.fedbizopps.com.
Confused about Sole Source Awards? Contact Streamline Government Contracts to get the full details.
This blog is for informational purposes only. None of the content is, or will be deemed to constitute legal opinions or legal advice.