8.405-6 Limited sources justification and approval.
- Orders placed under FSS are exempt from the
requirements in Part 6. However, an ordering activity must justify its action
when restricting consideration—
- Of Schedule contractors to fewer than required in 8.405-1 or 8.405-2; or
- To an item peculiar to one manufacturer (e.g., a particular brand name,
product, or a feature of a product, peculiar to one manufacturer). A brand
name item, whether available on one or more Schedule contracts, is an
item peculiar to one manufacturer. Brand name specifications shall not
be used unless the particular brand name, product, or feature is essential
to the government’s requirements, and market research indicates other
companies’ similar products, or products lacking the particular feature, do
not meet, or cannot be modified to meet, the agency’s needs.
- Circumstances that may justify restriction cited in paragraph (a)(1) of this
- Only one source is capable of responding due to the unique or specialized
nature of the work;
- The new work is a logical follow-on to an original FSS
order provided that the original order was placed in accordance with the
applicable FSS ordering procedures. The original
order must not have been previously issued under sole source or limited
- An urgent and compelling need exists, and following the ordering
procedures would result in unacceptable delays.
- Ordering activities shall procure such requirements only if the need to do so is
justified in writing and approved at the levels specified in paragraphs (f) and (h)
of this subsection.
- Except as provided in paragraph (e) of this subsection, when an order
contains brand name specifications, the ordering activity shall post the
following information along with the RFQ to eBuy
- For proposed orders exceeding $25,000, but not exceeding the SAT, the documentation required by paragraph (f) of this
- For proposed orders exceeding the SAT, the
justification required by paragraph (g) of this subsection.
- The posting requirement of paragraph (d) of this subsection does not
- Disclosure would compromise the national security (e.g., would result in
disclosure of classified information) or create other security risks. The fact
that access to classified matter may be necessary to submit a proposal or
perform the contract does not, in itself, justify use of this exception;
- The nature of the file (e.g., size, format) does not make it cost-effective or
practicable for Contracting Officers to provide access through eBuy; or
- The agency’s senior procurement executive makes a written determination
that access through eBuy is not in the government’s interest.
- Orders exceeding the micro-purchase threshold, but not exceeding the simplified
acquisition threshold as defined in 2.101. For proposed orders exceeding the micropurchase
threshold, but not exceeding the SAT, the
ordering activity Contracting Officer shall document the circumstances when
- Orders exceeding the SAT.
- For proposed orders exceeding the SAT, the
requiring activity shall assist the ordering activity Contracting Officer
in the preparation of the justification. The justification shall cite that
the acquisition is conducted under the authority of the MAS
Program (see 8.401).
- As a minimum, each justification shall include the following information:
- Identification of the agency and the contracting activity, and specific
identification of the document as a “Limited Source Justification.”
- Nature and/or description of the action being approved.
- A description of the supplies or services required to meet the agency’s
needs (including the estimated value).
- Identification of the justification rationale (see 8.405-6(a) and (b)) and,
if applicable, a demonstration of the proposed contractor’s unique
qualifications to provide the required supply or service.
- A determination by the ordering activity Contracting Officer that the
order represents the best value consistent with 8.404(d).
- A description of the market research conducted among Schedule
holders and the results or a statement of the reason market research
was not conducted.
- Any other facts supporting the justification.
- A statement of the actions, if any, the agency may take to remove or
overcome any barriers that led to the restricted consideration before
any subsequent acquisition for the supplies or services is made.
- The ordering activity Contracting Officer’s certification that the
justification is accurate and complete to the best of the Contracting
Officer’s knowledge and belief.
- Evidence that any supporting data that is the responsibility of technical
or requirements personnel (e.g., verifying the government’s minimum
needs or requirements or other rationale for limited sources) and
which form a basis for the justification have been certified as complete
and accurate by the technical or requirements personnel.
- Justification approvals.
- For proposed orders exceeding the SAT, but not
exceeding $550,000, the ordering activity Contracting Officer’s certification
that the justification is accurate and complete to the best of the ordering
activity Contracting Officer’s knowledge and belief will serve as approval,
unless a higher approval level is established in accordance with (IAW) agency
- For a proposed order exceeding $550,000, but not exceeding $11.5 million,
the justification must be approved by the competition advocate of the
activity placing the order, or by an official named in paragraph (h)(3) or
(h)(4) of this subsection. This authority is not delegable.
- For a proposed order exceeding $11.5 million, but not exceeding $57 million
(or, for DOD, NASA, and the Coast Guard, not exceeding $78.5 million), the
justification must be approved by—
- The head of the procuring activity placing the order;
- A designee who—
- If a member of the armed forces, is a general or flag officer;
- If a civilian, is serving in a position in a grade above GS-15 under
the General Schedule (or in a comparable or higher position under
another Schedule); or
- An official named in paragraph (h)(4) of this subsection.
- For a proposed order exceeding $57 million (or, for DOD, NASA, and the
Coast Guard, over $78.5 million), the justification must be approved by
the senior procurement executive of the agency placing the order. This
authority is not delegable, except in the case of the Under Secretary of
Defense for Acquisition, Technology, and Logistics, acting as the senior
procurement executive for the DOD.
Agencies may make payments for oral or written orders by any authorized means,
including the governmentwide commercial purchase card.