A DOD Depot has received unexpected “fallout money” in August to acquire some badly needed state-of-the-art capital equipment for its re-manufacturing facility. This type of equipment is available from multiple commercial sources. The Commander wants to spend this money before it expires on 30 September, and has communicated his wishes to the contracting officer’s supervisor. The contracting officer has already determined that it will be very difficult to meet a 30 September award deadline without an urgency justification. However, initial feedback received through acquisition channels suggests that this will not be easy to sell to the Business Clearance Authority. Meanwhile, the Chief of Maintenance has learned the Department of Energy is willing to process an order for this equipment under an existing requirements contract. This will avoid the need to synopsize the requirement or conduct a new competition.

What are the legal and practical concerns here? If the funding is transferred, via the Economy Act to the Department of Energy, when do the funds become obligated?

Answer rating: 100% (QA)

Legal and Practical Concerns 1 Urgency Justification Using Economy Act funding to avoid justifying u... View the full answer