A
Acquisition Forecast
A document issued by government agencies outlining upcoming contracting opportunities, including details on goods and services to be procured, expected timelines, and potential contract values. It serves as a planning tool for businesses looking to bid on government contracts, promoting transparency and competitive bidding.
Acquisition Plan
A document or plan that outlines the approach a government agency will take to obtain goods or services, including the method of contracting, milestones, and decision points.
Acquisition Strategy
A government agency's plan detailing the approach to procure goods and services, including methodologies, risks, and timelines.
B
Best Value
A procurement method that considers factors other than cost alone, such as quality, technical excellence, and contractor performance in selecting a vendor.
Bid Bond
A type of surety bond that provides a guarantee to the project owner that the bidder, if awarded the contract, will undertake the contract under the terms at which they bid.
BPA (Blanket Purchase Agreement)
A simplified method of filling anticipated repetitive needs for supplies or services by establishing "charge accounts" with qualified sources of supply.
C
CFR (Code of Federal Regulations)
The codification of the general and permanent rules published in the Federal Register by the departments and agencies of the Federal Government, including those related to government procurement.
CICA (Competition in Contracting Act)
A law aimed at fostering competition for government contracts to ensure better prices and innovation.
CLIN (Contract Line Item Number)
A unique identifier for items or services in a contract that facilitates tracking and payment.
COTS (Commercial Off-The-Shelf)
Products that are readily available and can be bought and used under government contracts without modification.
Compliance
Adherence to laws, regulations, guidelines, and specifications relevant to the business or contract.
Conflict of Interest
Situations where a person or entity has competing interests or loyalties in relation to their official duties or responsibilities in the contracting process.
Contracting Officer (CO)
A person with the authority to enter into, administer, and/or terminate contracts and make related determinations and findings on behalf of the government.
Contracting Officer’s Representative (COR)
An individual designated by the contracting officer to perform specific technical or administrative functions.
Cost Accounting Standards (CAS)
Rules and regulations for determining costs on negotiated procurements, ensuring that businesses charge the government consistently and fairly.
Cost Reimbursement Contract
A type of contract where a contractor is paid for all its allowed expenses to a set limit plus additional payment to allow for a profit.
Cost-Plus Contract
A contract agreement where the government agrees to cover the actual costs incurred in performing the contract work plus a fixed fee or a percentage of the costs as profit.
D
Data Rights
Rights related to the ownership, use, and distribution of data, especially in terms of intellectual property and proprietary information in government contracts.
Definitization
The process of converting a preliminary contract or an undefinitized contract action (UCA) into a firm fixed-price or cost-reimbursement contract.
DUNS Number
A unique nine-digit identification number for each physical location of your business. It's used to establish a business credit file, which is often referenced by lenders and potential business partners to help predict the reliability and/or financial stability of the company in question.
E
Economic Price Adjustment
A clause in a long-term contract that allows for adjustment of the price under certain conditions, such as changes in the supplier's costs.
Evaluation Criteria
Standards by which proposals are judged in a competitive procurement process, including technical approach, management plan, past performance, and price.
Exclusionary Policies
Policies or practices that prevent certain companies or individuals from participating in the government procurement process due to past performance issues, legal violations, or other reasons.
F
FCL
FCL stands for Facility Clearance. A determination granted to entities engaged in providing goods or services to the U.S. government involving access to or creation of classified information.
FAR
FAR stands for Federal Acquisition Regulations System, which governs the acquisition process by which the federal government of the United States acquires goods and services.
FAR Part 12
A section of the Federal Acquisition Regulation (FAR) that provides policies and procedures for the acquisition of commercial items to simplify and facilitate the acquisition process.
FSS
FSS stands for Federal Supply Schedule, a program that provides federal, state, and local government buyers access to products and services from pre-approved vendors at negotiated prices.
Fixed-Price Contract
A type of contract where the payment amount does not depend on resources used or time expended. This is often used in projects where the risk of escalating costs is low.
G
Government Contracts
Legally binding agreements between government entities and private companies or individuals, where the latter provide goods, services, or execute projects in exchange for financial compensation from the government.
GSA Advantage
An online shopping and ordering service created by the General Services Administration (GSA) for use by government agencies to buy commercial products and services.
GSA Schedule
A long-term government-wide contract with commercial firms providing federal, state, and local government buyers access to more than 11 million commercial products and services at volume discount pricing.
Government-Wide Acquisition Contract (GWAC)
A pre-approved, multiple-award contract that allows government agencies to buy information technology (IT) solutions and services directly from commercial providers.
H
HUBZone
The Historically Underutilized Business Zone program provides federal contracting opportunities to qualified small businesses located in distressed areas to stimulate economic development.
I
IDIQ
IDIQ stands for Indefinite Delivery, Indefinite Quantity, a type of contract that provides for an indefinite quantity of supplies or services during a fixed period of time.
Invite for Bid (IFB)
IFB stands for Invite for Bid, a formal invitation to submit a bid, usually associated with contracts for the supply of goods or services.
Incremental Funding
A method of funding contracts by allocating partial funding increments over time, not to exceed the total estimated cost.
J
Joint Venture
A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. This task can be a new project or any other business activity.
L
Limitation of Funds
A clause in a contract specifying the limit of funds authorized for the contract and the responsibility of the contractor to notify the government when the expected total cost of the contract approaches this limit.
M
Market Research
The process of gathering, analyzing, and interpreting information about a market, including government needs and potential suppliers, before issuing a solicitation.
Material Breach
A significant failure in the performance of a contract that permits the other party to the contract to either compel performance or collect damages because of the breach.
Modification
Any change made to a contract or task order after it has been awarded, which may include changes in specifications, delivery points, or the period of performance.
N
NAFTA
NAFTA stands for North American Trade Agreement, an agreement among the United States, Canada, and Mexico designed to remove tariff barriers between the three countries, affecting government procurement practices.
NAICS Code
NAICS stands for North American Industry Classification System, a system that federal statistical agencies use to classify businesses to collect, analyze, and publish statistical data related to the U.S. business economy.
Negotiated Procurement
A procurement method whereby the contracting officer negotiates with one or more businesses for the supply of services or products.
Non-Competitive Procurement
A procurement method where a contract is awarded without a competitive process, often justified by the uniqueness of the requirement or in cases of emergency.
O
Obligation
A legal duty to pay or do something as a result of a contract or other legal process.
Option Year
A clause in a contract that allows the government the option to continue the contract for an additional year(s) beyond the base period, subject to appropriation of funds and satisfactory performance.
P
Past Performance Evaluation
An assessment of a contractor's performance on previous contracts, used as a factor in awarding future contracts.
Performance-Based Acquisition (PBA)
PBA stands for Performance-Based Acquisition and refers to acquiring services through contracts that define what is to be achieved, not how it is to be done, with measurable performance standards and quality levels.
Performance Bond
A surety bond issued by an insurance company or a bank to guarantee satisfactory completion of a project by a contractor.
Performance Period
The specified time frame in which the contractor is required to complete the contract work.
A security determination by authorized officials that grants an individual access to classified information or restricted areas.
Prime Contractor
A company that holds a direct contract with the government and is responsible for completing the contract's requirements.
Protest
A formal objection by an interested party regarding the solicitation or award of a government contract.
R
Request for Quotation (RFQ)
A document that invites suppliers to bid on specific products or services. RFQs typically include item or service specifications, quantity, and quality requirements.
A solicitation document issued by a government agency to potential suppliers to submit business proposals for specific goods, services, or solutions.
S
System for Award Management (SAM)
SAM stands for System for Award Management. It is an online system where businesses register to do business with the U.S. government.
Small Business Administration (SBA)
An autonomous U.S. government agency established to bolster and promote the economy in general by providing assistance to small businesses.
Set-Aside Contract
These contracts are intended to level the playing field for small businesses, which might not be able to compete with larger companies for federal contracts.
Small Business Set-Aside
A contracting practice that reserves certain government contracts exclusively for participation by small business concerns.
Socioeconomic Categories
Designations used by the government to categorize businesses in terms of size, ownership, and social and economic disadvantage, including small disadvantaged businesses, women-owned small businesses, HUBZone businesses, and veteran-owned small businesses.
Sole Source
Sole source procurement refers to a non-competitive acquisition process where a government agency awards a contract to a single supplier.
Source Selection
The process used by government agencies to evaluate proposals and choose the source of a contract.
Subcontractor
An individual or, in many cases, a business that signs a contract to perform part or all of the obligations of another's contract.
T
Task Order
An order for services placed against an established contract or with government sources.
Teaming Agreement
An agreement between two or more independent companies to work together on a specific business project, bid, or contract.
W
Wage Determination
An official determination of the minimum wages and fringe benefits required for employees working on government contracts.