INNOVATOR PAGE: https://www.afimsc.af.mil/Units/AFIMSC-Innovation-Office/Innovators/

Airman and Guardian Innovators Needed We’re looking for active duty, reserve, and civilian Airmen and Guardians with ideas for how to make our installation and mission support services work better. Are YOU looking for a way to help make your Air and Space Forces work better? Do YOU have a good idea you want to see put into use across Air and Space Force installations? If so, here are some ways we can help take YOUR IDEAS from concept to reality! AFIMSC Innovation Rodeos Each year, AFIMSC Ventures holds a “Call for Innovation” campaign. This campaign gives active duty, reserve and civilian Airmen and Guardians the chance to pitch ideas on how to improve the delivery of installation and mission support services. Finalists spend a week learning from leading innovators, honing their pitches, and then presenting their ideas to a board of senior leaders during the annual AFIMSC Innovation Rodeo. Those leaders will select the best of the best ideas to funded, developed, and fielded! Click here for more information on why you should submit your innovation to compete in the Rodeo. In addition, click here for more information on what the Ventures and Spark Cells teams look for when deciding which innovations will become semi-finalists and finalists. Innovation Success Stories [Rotating Pictures] Innovator Resources Each innovation within the Installation and Mission Support enterprise has its own story and its own journey to execution. However, each of them will go through the same basic process to determine the best path to execution. Click here for additional information on those processes and pathways. [REST OF THE PAGE CONTINUES AS IS]

INNOVATOR SUBPAGE 1 [Insert “Funnel Diagram”] Submitting your innovation to the Rodeo is a great way to make a contribution to the Air and Space Forces and enhance your professional experience. Each innovator will get individualized feedback on their innovation. Those innovators whose proposals are selected as semi-finalists (proposals ranked 9-40) will get assistance with finding pathways to have their innovations developed. Those innovators whose proposals are selected as finalists will go the Rodeo and get program management support for their innovations from the Ventures and/or PSU Spark Cells teams. In addition, each finalist will get to compete at the Rodeo to have their innovations funded!

INNOVATOR SUBPAGE 2 [Insert “Road to the Rodeo Diagram”] Each year the Ventures and PSU Spark Cell teams evaluate proposals to determine which ones will become finalists and go to the Rodeo and which ones will become semi-finalists and get assistance identifying execution pathways. The top eight rated rates proposals will become finalists. The proposals rated nine through 40 will become semi-finalists. The Ventures and Spark Cell teams consider several factors when making these evaluations. In particular, the teams look at the proposals to determine their alignment with AFIMSC strategic priorities, the potential return on investment to the I&MS enterprise, how far along the innovation is in the evaluation and testing process, and the potential impact of Ventures/Spark Cell support to the innovation.

INNOVATOR SUBPAGE 3 Innovator Toolkit [Insert Innovation Project Process Flow diagram here] The innovation process generally follows this pathway. That said, each innovation is different and, by extension, there will be variations in the execution of this process from project to project. For example, these steps can happen in parallel, be close or far in time to one another, largely skip certain steps, etc. [Insert Acquisition Pathways diagram here] This diagram shows the various execution pathways available for those innovations that require the acquisition of goods (e.g. equipment) and/or services (e.g. software development). These are the pathways referenced in the “Acquisition, if outsourced” box of the Innovation Project Process Flow diagram (above). The pathways available to the I&MS enterprise include the following:

SBIR Phase 1 The objective of Phase I is to establish the technical merit, feasibility, and commercial potential of the proposed R/R&D efforts and to determine the quality of performance of the small business awardee organization prior to providing further Federal support in Phase II. SBIR/STTR Phase I awards are generally $50,000 - $250,000 for 6 months (SBIR) or 1 year (STTR). See https://www.sbir.gov/about for additional information. SBIR Phase 2 The objective of Phase II is to continue the R/R&D efforts initiated in Phase I. Funding is based on the results achieved in Phase I and the scientific and technical merit and commercial potential of the project proposed in Phase II. Typically, only Phase I awardees are eligible for a Phase II award. SBIR/STTR Phase II awards are generally $750,000 for 2 years. See https://www.sbir.gov/about for additional information. SBIR Phase 3 The objective of Phase III, where appropriate, is for the small business to pursue commercialization objectives resulting from the Phase I/II R/R&D activities. The SBIR/STTR programs do not fund Phase III. At some Federal agencies, Phase III may involve follow-on nonSBIR/STTR funded R&D or production contracts for products, processes or services intended for use by the U.S. Government. See https://www.sbir.gov/about for additional information. BAA:

Broad Agency Announcement (FAR 35.016) Broad Agency Announcements (BAAs) are used to obtain proposals for basic and applied research and development to advance or evaluate cutting edge technologies, not related to a specific system or hardware requirement. BAAs should be used when meaningful solutions can be expected. BAAs are typically “open” and proposals are accepted for a specified period of time. Proposals submitted in response to BAAs may or may not lead to contracts. BAAs may be used for the award of science and technology proposals for the following: • Basic research (budget activity 6.1) • Applied research (budget activity 6.2) • Advanced technology development (budget activity 6.3) • Advanced component development and prototypes (budget activity 6.4) BAAs may be used to award FAR-based contracts or non-FAR based agreements. Class Deviation 2022-O0005 Pilot Program for Streamlining Awards for Innovative Technology Projects expands the exceptions to certified cost or pricing data requirements at FAR 15.403-1(b) to include contracts, subcontracts, or modifications of contracts or subcontracts valued at less than $7.5 million awarded to a small business concern or nontraditional defense contractor pursuant to: • A technical, merit-based selection procedure, such as a broad agency announcement (see FAR 35.016(b)(2)); • The Small Business Innovation Research (SBIR) Program or • The Small Business Technology Transfer (STTR) Program In addition, contracts, subcontracts, and modifications of contracts or subcontracts valued at less than $7.5 million awarded to a small business concern or non-traditional defense contractor pursuant to a technical, merit-based selection procedure or the SBIR Program are exempt from the requirements for audit and records examination under the clause at FAR 52.215-2, Audit and Records—Negotiations. This exemption is not extended to covered contracts, subcontracts, or modifications under the STTR Program. Common Applications • Research & Development (R&D) studies • Prototypes • Small Business Innovation Research (SBIR) efforts • Science & Technology (S&T) initiatives • Technology maturation

Pros Increases knowledge in areas of strategic importance and technical capability to programs

Cons Limitations on use of BAAs increases burden on government to transition capability to acquisition programs

Streamlined evaluation process based on technical merit increases flexibility to select innovative capability solutions

Intellectual property and data rights increases burden on government to ensure rights are explicit during transition to acquisition programs Cannot acquire products in quantity

Restrictions • Limited to basic and applied research • Must be funded using RDT&E funds • Cannot be used for specific system or hardware solution • Cannot be used for systems engineering and advisory services • Cannot be used for production Resources • FAR 15.403 Obtaining Certified Cost or Pricing Data • FAR 35.016 Broad Agency Announcement • DFARS 235.016 Broad Agency Announcement • Class Deviation 2022-O0005 Pilot Program for Streamlining Awards for Innovative Technology Projects, Defense Pricing and Contracting, Nov 2021 • BAA Guide – DARPA, Nov 2016 • Budget Activity Codes, DoD 7000.14-R, DoD Financial Management Regulation

Demonstration Agreement Demonstration Agreements are an extension of the Contracting Officer’s authority to conduct market research under FAR Part 15 and DFAR Part 210. It allows the CO to sign an agreement with a vendor to demonstrate a product or service under specified terms and conditions. The Government will generally not get any of the vendor’s intellectual property under these agreements. However, the Government should essentially get unlimited rights to specified test data.

FSS Federal Supply Schedules (FSS) - FAR Subpart 8.4 Federal Supply Schedules provide agencies with a simplified ordering process for obtaining commercial supplies and services at prices associated with volume buying. FAR Subpart 8.4 – Federal Supply Schedules, and FAR Part 38 – Federal Supply Schedule Contracts, govern the operation and use of the schedule program. Schedules contain negotiated fixed-prices for the products and services each contractor proposes to offer under the schedule (or hourly-rates for services), and then publishes the prices on the GSA Schedules e-Library.

Agencies can place Task Orders or Delivery Orders under GSA Federal Supply Schedule for required products or services. Additionally, agencies can establish Blanket Purchase Agreements (BPAs) under all schedule contracts. Task Order/Delivery Order Blanket Purchase Agreement Resources • FAR Subpart 8.4 Federal Supply Schedules • FAR 8.404 Use of Federal Supply Schedules • FAR 8.405-3 Blanket Purchase Agreements (BPAs) • FAR Part 38 Federal Supply Program • GSA Schedules • GSA Buyer Resources IGSA/ISSA An Intergovernmental Support Agreement (IGSA) is an agreement between Federal and non government governments. It is for Services already performed by the non-federal government partners and the agreement may not result in any loss of employment. The installation commander has delegated authority to sign IGSAs for up to $15M over a 10-year period with options to renew. Agreements over those thresholds will go to SAF/IEI for approval. A significant aspect of IGSAs is that they are exempt from Federal acquisition laws (including Davis-Bacon). This means no Federal Acquisition Regulation. IGSAs span the spectrum of Installation and Mission Support functions. AFWERX Refinery The Refinery Program connects Airmen and Guardian innovators with relevant stakeholders and resources in the larger Department of Defense ecosystem to develop their grassroots projects. The principal objective is to further develop tactical project prototypes and adopt the right operational capabilities into the larger force. This is made possible through the Refinery's curated process, partnerships, and refinement of the ecosystem's acquisition pipeline. The Refinery runs multiple 4-week Cohorts where Airmen & Guardians are provided the time and space to focus on their projects. The first two weeks are part-time virtually where the teams learn Lean start-up methodologies and develop key communication products and tools for engaging with stakeholders. During week 3 and 4, AFWERX provides funding to TDY the project teams to Dayton, OH to meet with AFRL Engineers and Leaders and then to D.C. to meet with headquarters agencies and staff. See https://www.afwerx.af.mil/ for additional information on AFWERX.

TESSERACT Spear See https://www.tesseract.af.mil/ for additional information on Tesseract

FAR TO Task Orders (TOs), under FAR Part 16 are contracts written off of larger, preexisting, contract vehicles known as Indefinite Delivery, Indefinite Quantity (IDIQ) contracts. TOs provide a method to order from existing Air Force contracts as well as contracts awarded by another agency such as GSA or NSIN. IDIQ contracts provide a method to order from existing agency indefinite-delivery contracts as well as contracts awarded by another agency (i.e. Government-wide Acquisition Contracts (GWACs) and Multi-Agency Contracts (MACs)). Existing IDIQ contracts should be considered prior to establishing a new agency specific single or multiple award IDIQ vehicle. IDIQ ordering procedures are described at FAR 16.505 and DFARS 216.505. See the Interagency Contract Directory (ICD) to explore existing indefinitedelivery intra/inter agency contract vehicles – including GWACs, MACs, FSS, BOAs, and BPAs. Establishing an agency unique IDIQ contract may be an appropriate business decision to support a portfolio of programs when recurring needs are anticipated. New IDIQ contracts can be single or multiple award: Government-wide Acquisition Contracts (GWACs) GWACs are established pursuant to the Clinger Cohen Act. A Government-wide Acquisition Contract (GWAC) is a task-order or delivery-order contract contract for information technology established by one agency for Government-wide use that is operated: • By an executive agent designated by the Office of Management and Budget pursuant to 40 U.S.C. §11302(e), or • Under a delegation of procurement authority issued by the General Services Administration (GSA). The Economy Act does not apply to orders placed under GWACs. Currently, GWACs are administered by the General Services Administration (GSA), the National Aeronautics and Space Agency (NASA), and the National Institutes of Heath Information Technology Acquisition and Assessment Center (NITAAC). Multi-Agency Contracts (MACs) A Multi-Agency Contract (MAC) is a task-order or delivery-order contract established by one agency for use by Government agencies to obtain supplies and services, consistent with the Economy Act. MACs include contracts for information technology established pursuant to 40 U.S.C. §11314(a)(2).

The Economy Act is applicable to orders placed under MACs, with the exception of MACs for information technology that are established pursuant to the Clinger-Cohen Act. The Economy Act applies when more specific statutory authority does not exist. Examples of more specific authority are 40 U.S.C. §501 for the Federal Supply Schedules (FSS), and 40 U.S.C §11302(e) for GWACs. Existing MACs include GSA Oasis and Oasis Small Business and the DoD Information Analysis Center (IAC) MAC – for R&D projects. GWACs and MACs (and FSS) are forms of Interagency Acquisitions described in FAR Subpart 17.5. Common Applications • All types of supplies and services, to include construction • Defense Business Systems • Solutions and technologies • IT software and products • IT systems • Weapon systems • Aircraft • Ships • Space systems • Research and development • Advisory and assistance services • Engineering services • Special studies Pros

Cons

Access to pre-negotiated prices and labor rates reduces procurement lead time and provides opportunity for further negotiated price discounts

Conditions and scope limitations (work scope, ceiling, and period of performance) imposed on GWAC/MAC contract vehicle may reduce flexibility in acquiring products and services

Ability to use variety of pricing arrangements within scope of MAC/GWAC contract vehicle increases opportunity to deliver products and services quickly

Fair Opportunity order above FAR threshold is protestable

Wide latitude to streamline or create evaluation process reduces procurement lead time Streamlined ordering procedures within existing GWAC/MAC contract vehicle reduces lead time to award Access to pre-vetted, qualified contractors reduces performance risk in execution

Restrictions • Scope determination required (work, period of performance, and ceiling) • Fair opportunity required for a delivery-order or task-order exceeding micro-purchase threshold unless one of the following statutory exceptions applies: • The agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays. • Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized. • The order must be issued on a sole-source basis in the interest of economy and efficiency because it is a logical follow-on to an order already issued under the contract, provided that all awardees were given a fair opportunity to be considered for the original order. • It is necessary to place an order to satisfy a minimum guarantee. • For orders exceeding the simplified acquisition threshold, a statute expressly authorizes or requires that the purchase be made from a specified source. • In accordance with section 1331 of Public Law 111-240 (15 U.S.C. 644(r)), contracting officers may, at their discretion, set aside orders for any of the small business concerns identified in FAR 19.000(a)(3). When setting aside orders for small business concerns, the specific small business program eligibility requirements identified in FAR Part 19 apply. Resources • Micro-purchase Threshold • FAR Subpart 16.5 Indefinite-Delivery Contracts • FAR 16.505 Ordering • FAR Subpart 17.5 Interagency Acquisitions • FAR 17.502-2 The Economy Act • FAR Part 19 Small Business Programs • DFARS Subpart 216.5 Indefinite-Delivery Contracts • GAO Report 18-412R: Use by the DoD of Indefinite-Delivery Contracts from Fiscal Years 2015-2017, Government Accountability Office • Interagency Contract Directory (ICD), General Services Administration

• • • • •

GSA GWACs, General Services Administration NASA SEWP GWAC, National Aeronatutics and Space Agency NITAAC GWACs, National Institutes of Health Information Technology Acquisition and Assessment Center GSA Oasis and Oasis Small Business MAC, General Services Administration DoD Information Analysis Center (IAC) MAC, Defense Technical Information Center

CSO ***Section 803 of the FY22NDAA provided the DoD with permanent CSO authority, codified in 10 U.S.C. §3458 – Authority to Acquire Innovative Commercial Products and Commercial Services using General Solicitation Competitive Procedures *** Commercial Solutions Opening (CSO) is a competitive process to obtain solutions or new capabilities that fulfill requirements, close capability gaps, or provide potential technological advances. CSO procedures are similar to those for Broad Agency Announcements (BAAs), with the exception that a CSO can be used to acquire innovative commercial items, technologies, or services that directly meet program requirements, whereas BAAs are restricted to basic and applied research. Notwithstanding the limitation in DFARS 235.006-71, a CSO may also be used to fulfill requirements for R&D solutions ranging from advanced component development through operational systems development. For CSO purposes, innovation is defined as any technology, process, or method, including research and development that is new as of the date of proposal submission or any application of a technology, process, or method that is new as of proposal submission. The requirements of DFARS 215.371-2 do not apply to acquisition of innovative items, technologies, or services under a CSO. Statutory (Non-FAR Based) Applications CSO procedures are also used to award non-FAR based agreements. Specific limitations and requirements apply when using the CSO evaluation procedures and is dependent upon the nonFAR based strategy selected. Common Applications • Commercial products and services • Information Technology (IT) product and services • R&D studies for commercial technology • Commercial Technology maturation

Pros

Enables the rapid selection of innovative commercial solutions

Cons Data rights and licenses of commercial technology increases burden on government to ensure specialized rights are well understood within the context of the commercial product life cycle

Ability to use streamlined procedures for commercial technologies provides opportunity for acquisition programs to deliver capability quickly Shorter evaluation timelines for solution briefs significantly reduce procurement lead times

Restrictions • Limited to fixed-price or fixed-price incentive contract arrangements • Awards exceeding $100 million require approval from USD A&S or military service acquisition executive Resources • 10 U.S.C. §3458 Authority to Acquire Innovative Commercial Products and Commercial Services using General Solicitation Competitive Procedures • Class Deviation 2022-O0007 – Defense Commercial Solutions Opening, Defense Pricing and Contracting, Feb 2022 • 41 U.S.C. §3100, Pilot Programs for Authority To Acquire Innovative Commercial Items Using General Solicitation Competitive Procedures (GSA and DHS) • Procurement Innovation Resource Center, General Services Administration • Procurement Innovation Resource Center (PIRC) CSO Guide – General Services Administration, Jun 2018

NSIN (National Security Innovation Network) ACCELERATION Pathway 1 - Foundry The NSIN Foundry, formerly the Defense Innovation Accelerator (DIA), powered by FedTech, matches cutting-edge Department of Defense (DoD) technologies with teams of entrepreneurs during intensive, six-month cohorts. Entrepreneurs work closely with lab inventors, mentors, coaches, subject matter experts, and DoD end-users to assess the market viability and

commercialization potential of the technologies. Successful teams form new companies, license the technologies, and develop solutions that impact the DoD and the private sector. Foundry provides: • • • • • • • •

Knowledgeable instructors Access to DoD inventors and end-users Mentorship from DoD and private sector SMEs Training on lean-startup principles Market assessment Company formation Tech licensing Virtual program execution with 2 phases o Phase I - focuses on customer discovery • Exploring commercial viability • Identifying business and tech development pathways o Phase II - teams that determine their tech has enough potential to form a company move to this phase • Company formation • Tech licensing • Identifying commercial and public funding opps • At the end of the cohort, teams present market assessment reports to the labs and compete at a "Showcase Day" live pitch event to potential customers/investors

Foundry Community - UNUM (formerly the Defense Innovation Network Platform) - UNUM is the one platform built to support innovators from across the Department of Defense, academic, and venture communities who want to connect and collaborate. Communities, Challenges, and Connections provide national security innovators with a common set of tools for discovering and leveraging the power of the networks. UNUM (Latin motto of US, e pluribus unum ("out of many, one") platform features: • Contribute - by posting ideas and receive support from experts who identify promising new solutions • Discover - events and promote your own to increase your reach across the network • Grow - your network by following members from outside your "home" community What you will find at UNUM: • Innovation challenges that help service members confront obstacles that affect their readiness and resilience • Hackathons and other program-based problem-solving activities across NSIN’s National Service, Collaboration and Acceleration portfolios. • Problem sets from strategic commands that are sources of opportunity for solutions emerging from early-stage ventures. Challenges skills:

• • • • • •

AI/ML Mobile tech 3D printing Software Engineering Data Science Systems Engineering

2022 Key Program Dates: • Application Period Opens: January 3, 2022 • Q&A period: Applicants can submit questions throughout the application process to [email protected]. In addition, there will be a series of information sessions on February 23, March 2, and March 9, and March 16, 2022. Register for Lunch & Learn Session • Extended Application deadline: March 23, 2022, at 11:59 p.m. • Participant selection announcement: No later than April 13, 2022. • Participant Orientation: April 18-22, 2022 • Foundry Summit Day Kick-off: April 23, 2022 • Down-select: September 3 – 7, 2022 • Showcase Day: September 14, 2022

Pathway 2 - Emerge Accelerator (dual-use ventures) The NSIN Emerge Accelerator connects Department of Defense (DoD) mission partners (e.g., operational units, program offices, etc.) with emerging technology teams and startups at our nation’s top research universities. Participating university partners throughout the NSIN Network identify teams based on DoD technology areas of interest. During an academic year, these teams receive the support and training necessary to become new dual-use (i.e., applicable to the commercial and DoD market) ventures Pathway 3 - Adaptive Threat Force • The NSIN Adaptive Threat Force (ATF) is a Department of Defense (DoD) program featured within NSIN’s Acceleration Portfolio that partners to test and evaluate defense innovation prototypes in a challenging environment for the warfighter. The only DoD innovation program of its kind, ATF is a unique combination of experts to solve difficult issues while embedded with the warfighter. • [email protected] Specific tasks: o o o

exercise/simulation design surrogate technology integration data collection analysis

NATIONAL SERVICE Pathway 4 - X-Force (Fellowship)

The X-Force Fellowship is a summer internship program that provides undergraduate and graduate students and recent graduates a chance to serve their country by solving real-world national security problems in collaboration with the U.S. military. • • • • • • •

All IP belongs to the program participants and students are required to turn over a copy of their product to DoD sponsors at the end of the fellowship 10 weeks of problem-solving Runs from June to mid-August What are the dates for Summer 2023 cohort? Are they taking applications now for summer 2023? [email protected] interactive student-led discussions on technology

Pathway 5 - Experts The NSIN Experts program connects Department of Defense (DoD) problem sponsors with subject matter expertise, builds relationships, and activates committed networks of academic problem solvers to focus on pressing national security problems • •

To participate in the NSIN Experts program, DoD organizations must be willing to engage biweekly on an unclassified technical or entrepreneurial problem. [email protected]

COLLABORATION Pathway 6 - Hacking for Defense (H4D) Hacking for Defense (H4D) is a university course sponsored by the Department of Defense that teaches students to work with the Defense and Intelligence Communities to rapidly address the nation’s emerging threats and security challenges. • • •

In 2020 they used Colorado School of Mines By the end of the course, sponsors are provided with an MVP that addresses their problem and have gained exposure to a novel problem-solving framework. [email protected]

Pathway 7 - Hacks (cyber related event) Hacks offers students, faculty, and early-stage ventures an opportunity to engage in collaborative problem-solving collision events with DoD partners. Registration typically opens 45 days prior to the hackathon and continues until the event starts. •

Ideas are pitched to the hackers to visualize, monitor, and respond to cybersecurity events

Pathway 8 - Maker

Maker offers prototyping solutions for accepted novel solutions from NSIN programming, allowing customers to turn ideas from the abstract and theoretical into practical and real prototypes. NSIN Maker is best for solutions with a TRL between 1 and 3*: • • •

Technology Readiness Level 1: Basic principles observed and reported Technology Readiness Level 2: Technology concept and/or application formulated Technology Readiness Level 3: Analytical and experimental critical function and/or characteristic proof of concept

Pathway 9 - Source Source is a program within our Collaboration Portfolio that provides an online platform for leaders and peers to interact with each other’s submissions of crowd-sourced ideas.

Pathway 10 - Capstone The NSIN Capstone program matches highly talented undergraduate and graduate students with operational military commands to deliver rapid, early-stage prototypes (whether technical or policy-centered), that help solve the project sponsor problems. •

Addressing real-world defense problems that require technical and entrepreneurial expertise, the Capstone program matches problem sponsors with a small team of students with diverse viewpoints and skill sets that match the project needs.

•

The program cohorts may span a single academic semester or a full academic year. To satisfy the educational requirement and provide novel solutions for the program, student teams will deliver rapid, early-stage prototypes to the project sponsor.

•

During the program, military sponsors must supply an Action Officer to engage with their fellows every week (typically 2-3 hours per week).

Pathway 10 -Transition Cell The NSIN Transition Cell offers post-NSIN programming support to alumni teams and companies. This expertise is available through one-on-one consultations, our curated collection of educational resources, and customized support plans to meet your specific needs. Subject Matter Expertise • • • • • •

Government Contracting (processes, pathways, etc.) Capital access planning Government as a Customer 101 Testing and Evaluation Resources Market Analysis Scaling Solution Adoption

Our Network We have access to a large network of resources for any business or team interested in building or growing their business and working with the Department of Defense (DoD). Depending on your needs, interests, and location, we can help you find the relevant resources including: • • • • • • • • • • •

Private investors Small businesses resources University resources Testing and evaluation resources Government Contracts Expertise SBIR/STTR OTAs (Consortium versus Stand-Alone) Prize Authority Other Non-FAR Options Customer Memorandums of Agreement Rapid Acquisition Authority

OTA Other Transactions (OT) are contractual instruments other than standard procurement contracts, grants, or cooperative agreements. OTs can include flexible business arrangements to acquire research and development activities to advance new technologies, and prototypes or models to evaluate technical or manufacturing feasibility or military utility of new or existing technology. This may apply to processes, concepts, end items, and systems from non-traditional defense contractors* (as well as from traditional defense contractors when statutory requirements for small business participation or cost sharing arrangements are satisfied) allowing the government access to cutting edge solutions. OTs provide opportunities to structure agreements that may leverage commercial business practices and remove barriers to entry such as cost accounting system (CAS) compliance and intellectual property rights requirements, to encourage non-traditional defense contractors to do business with the government. OTs typically use RDT&E funding, but the statute does not prohibit use of other appropriations. The nature of the activity and overall effort it will support should be considered when determining appropriate funding sources. OT agreements may be fixed-price, expenditure based, or hybrid. Most laws and regulations governing federal contracts do not apply to OTs (i.e., Federal Acquisition Regulation (FAR) and the Competition in Contracting Act (CICA)), however, the Procurement Integrity Act applies and competitive practices are applicable. OTs may be protested to the U.S. Court of Federal Claims, and GAO has limited jurisdiction to review OT decisions.

*As defined in 10 U.S.C. §3014 a non-traditional defense contractor is an entity that is not currently performing and has not performed, for at least one-year period preceding the solicitation of sources for the other transaction, any contract or subcontract for the DoD that is subject to full coverage under the cost accounting standards (CAS). The following are the types of Other Transactions available to the DoD: Research Other Transactions Prototype Other Transactions Resources • 10 U.S.C. §4021 Research OTs ***authority changed due to Title 10 Renumbering, effective Jan 2022*** • 10 U.S.C. §4022 Prototype OTs ***authority changed due to Title 10 Renumbering, effective Jan 2022*** • Authority for Use of Other Transactions for Prototype Projects Under 10 U.S.C. §2371b, USD(A&S), Nov 2018 • Definitions and Requirements for Other Transactions Under Title 10 U.S.C. §2371b, USD(A&S/R&E), Nov 2018 • Other Transactions Guide, USD(A&S), Dec 2018 • Other Transaction Agreements for Prototype Projects under 10 U.S.C. §2371b, Defense Pricing and Contracting • Evaluating Price; Other Transactions (OTs), DCMA Commercial Item Pricing Group • Pricing Other Transactions: Striking the Balance Between Speed and Price (video), DAU/DCMA, Jan 2021 • Continuous Learning Training Module, CLC 066 Other Transactions, DAU, Oct 2019 • Acquisition Innovation/OT Resources, DARPA, Jun 2019 • Defense Commercial Solutions Opening Pilot Program, DPAP, Jun 2018 • Other Transactions Simulation, DAU, Apr 2019 • Defense Innovation Unit: Pathways to Commercial Innovation and OTAs, DAU, Apr 2018 • Using Other Transactions – The Good, Bad, and the Uncertain, DAU, Apr 2018 (video) • MITRE AiDA – Other Transactions