Pentagon Lags on Policing Lowest Price, Technically Acceptable Contracts

Two years after Congress required clearer criteria on when the Defense Department could issue the lowest price, technically-acceptable contracts, Pentagon contracting officers still lack adequate written guidance, the Government Accountability Office concluded in an audit released last week. Under the fiscal 2017 National Defense Authorization Act (Section 813), the department is required to amend the Defense Acquisition Regulation Supplement to reflect eight criteria that justify the sometimes-controversial use of LPTA’s for awards of $5 million or more. (The requirements governing their use were expanded in the fiscal 2018 version.) Though this type of contract can be efficient and quick for obtaining supplies and services, competing contractors often complain that the vehicle can short-change quality.