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contracted for were not furnished by a $1–3.204 Personal or professional servcertain time, and when they could not be ices. procured by that time by means of
Pursuant to the authority of section formal advertising. This applies irrespec
302(c) (4) of the Act (41 U.S.C. 252(c) tive of whether that urgency could or
(4), purchases and contracts may be should have been foreseen. For example,
negotiated without formal advertising if this authority may be used when prop
"for personal or professional services." erty or services are needed at once be
(a) Application. This authority shall cause of a fire, flood, explosion, or other
be used only when all of the following disaster. (b) Limitations. (1) Every contract
conditions have been satisfied:
(1) If personal services, they are renegotiated under this authority shall be
quired to be performed by an individual supported by a determination and find
contractor in person (not by a concern); ings justifying use of the authority. The
if professional services, they may be perdetermination and findings shall be pre
formed either by an individual contractor pared in accordance with Subpart 1-3.3
in person or a concern; and signed by the contracting officer.
(2) The services are of a professional • (2) When purchase action under this
nature, or are to be performed under authority is based on telephone or other
Government supervision and paid for on oral offers, a written confirmation of the
a time basis; and accepted offer shall be obtained and
(3) Procurement of the services is made a part of the purchase case file. In
authorized by law and is effected in acaddition, a record shall be established in
cordance with the requirements of applisuch cases which shall contain, as a
cable law. minimum, the following information
(b) Limitations. This authority shall with respect to each offer: name and
not apply to the procurement by negoaddress of each offeror quoting, descrip
tiation of any types of services authortion of item, unit price, delivery time, and
ized under any other provisions of this discount terms offered. If quotations
subpart. (For instructions regarding lower than the accepted quotation are
contracts for professional engineering, received, the reasons for their rejection
architectural, and landscape architecshall be recorded and made a part of the
tural services and delegations of authorpurchase file.
ity under section 15 of the Public Build§ 1-3.203 Purchases not in excess of ings Act of 1959 (40 U.S.C. 614), see $2,500.
Federal Property Management RegulaPursuant to the authority of section
tions ($ $ 101-17.402(c) and 101–17.501 302(c)(3) of the Act (41 U.S.C. 252(c)
of this title).) (3)), purchases and contracts may be
[29 F.R. 10155, July 24, 1964, as amended negotiated without formal advertising if
at 31 F.R. 8116, June 9, 1966) “the aggregate amount involved does not 81-3.205 Servioes of educational insti. exceed $2,500.”
tutions. (a) Application Contracts or pur
Pursuant to the authority of section chases aggregating $2,500 or less shall be
302(c) (5) of the Act (41 U.S.C. 242(c)
30210 5 of the made under the authority of this § 1
(5)), purchases and contracts may be 3.203 rather than under any of the other
negotiated without formal advertising if sections in this Subpart 1-3.2. In arriv
"for any service to be rendered by any ing at the "aggregate amount involved,”
university, college, or other educational there must be included all property and
institution.” services which would properly be grouped (a) Application. The following are iltogether in a single transaction and
lustrative of circumstances with respect which would be included in a single ad
to which this authority may be used: vertisement for bids if the procurement
(1) Educational or vocational trainwere being effected by formal advertis
ing services to be rendered by any univering. Procurements aggregating more
sity, college, or other educational instithan $2,500 shall not be broken down into
tution in connection with the training separate procurements of less than
and education of personnel, and for $2,500.
necessary material, services, and supplies (b) Procedure. Purchases and con
furnished by any such institution in contracts aggregating not more than $2,500
nection therewith.. shall be made in accordance with Sub
(2) Experimental, developmental, or part 1-3.6.
research work, (including services, tests and reports necessary or incidental interest in selling such products to the thereto) to be conducted by any univer Government. When desirable, publicasity, college, or other educational insti tion of the intention to negotiate tution; and reports furnished in connec through newspapers or other similar tion therewith.
media may be used to supplement cir(3) Analyses, studies, or reports (sta cularization. tistical or otherwise) to be conducted
§ 1-3.208 Property purchased for auor prepared by any university, college, or other educational institution.
Pursuant to the authority of section § 1-3.206 Purchases outside the United States.
302 (c) (8) of the Act (41 U.S.C. 252(c)
(8)), purchases and contracts may be Pursuant to the authority of section negotiated without formal advertising if 302(c) (6) of the Act (41 U.S.C. 252(c) "for property purchased for authorized (6)), purchases and contracts may be resale.” negotiated without formal advertising if (a) Application. This authority shall “the supplies or services are to be pro be used only for purchases for resale cured and used outside the limits of the through commissaries or other similar United States and its possessions.” facilities, and ordinarily only for purThis authority shall be used only for chases of articles with brand names or the procurement of property or services
of a proprietary nature as required by
of a proprietary which are actually purchased from patrons of the selling activities. sources outside and used outside the (b) Limitations. (1) Every contract limits of the United States and its pos
negotiated under this authority shall be sessions, such as property or services supported by a determination and find(including construction) for overseas in ings prepared in accordance with Substallations or for the use of overseas part 1-3.3 and signed by the contracting personnel.
officer. 8 1-3.207 Medicines or medical sup
(2) Whenever the probable cost of plies.
property to be purchased by negotiation
under this authority will exceed $10,000, Pursuant to the authority of section
suitable advance publicity (see § 1-3.207 302(C) (7) of the Act (41 U.S.C. 252(c)
(b) (2)) of the proposed purchase shall (7)), purchases and contracts may be negotiated without formal advertising if
be given for a period of at least 15 days, "for medicines or medical property."
whenever practicable. When exercising (a) Application. This authority shall
this authority, regardless of the probbe used only for such supplies as are able cost, competitive proposals shall peculiar to the field of medicine, includ be solicited from all such qualified ing technical equipment, such as surgi sources of supply as the contracting offical instruments, surgical and orthopedic cer deems necessary to assure full and appliances, X-ray supplies and equip free competition, consistent with the ment, and the like.
type and character of the procurement. (b) Limitations. (1) Every contract
$ 1–3.209 Subsistence supplies. negotiated under this authority shall be supported by a determination and find Pursuant to the authority of section ings prepared in accordance with Sub 302(c) (9) of the Act (41 U.S.C. 252(c) part 1-3.3 and signed by the contracting (9)), purchases and contracts may be officer.
negotiated without formal advertising if (2) Whenever the probable cost of “for perishable or nonperishable subproperty to be purchased by negotiation
sistence supplies.” under this authority will exceed $10,000,
(a) Application This authority may suitable advance publicity of the pro
be used for the purchase of any and all posed purchase shall be given for a period
kinds of subsistence supplies. of at least 15 days wherever practicable.
(b) Limitation. When exercising this The requirement of "suitable advance publicity" shall be deemed to be complied
authority, competitive proposals shall be with if circulation of notice of intent to
solicited from all such qualified sources negotiate is made to business concerns of supply as the contracting officer engaged in the manufacture and/or sale deems necessary to assure full and free of the products involved, including quali competition, consistent with the type fied concerns known to have current and character of the procurement.
§ 1-3.210 Impracticable to secure com (10) When the contemplated procurepetition by formal advertising.
ment is for stevedoring, terminal, warePursuant to the authority of section
housing, or switching services, and when
either the rates are established by law 302(c) (10) of the Act (41 U.S.C. 252(c)
or regulation, or the rates are so numer10)), purchases and contracts may be
ous or complex that it is impracticable negotiated without formal advertising if
to set them forth in the specifications of "for property or services for which it is
a formal invitation for bids. impracticable to secure competition.”
(11) When the contemplated procure(a) Application. The following are il
ment is for commercial transportalustrative of circumstances with respect
tion, including time, space, trip, and to which this authority may be used:
voyage charters, except for such trans(1) When property or services can be
portation services as are furnished by obtained from only one person or firm
common carriers (for which negotiation (sole source of supply).
is authorized under § 1-3.215 and section (2) When competition is precluded be
321 of the Transportation Act of 1940, cause of the existence of patent rights,
49 U.S.C. 65, and including services for copyrights, secret processes, control of
the operation of Government-owned vebasic raw material, or similar circum
hicles, vessels, or aircraft. stances (however, the mere existence of
(12) When the contemplated contract. such rights or circumstances does not
is for services related to the procurein and of itself justify the use of this
ment of perishable subsistence, such as authority).
protective storage, icing, processing, (3) When bids have been solicited
packaging, handling, and transportation, pursuant to the requirements of Part
and it is impracticable to advertise for 1-2, and no responsive bid has been re
such services a sufficient time in adceived from a responsible bidder.
vance of the delivery of the perishable (4) When bids have been solicited
subsistence. pursuant to the requirements of Part
(13) When it is impossible to draft 1-2 and the responsive bid or bids do
for an invitation for bids adequate speci. not cover the quantitative requirements
fications or any other adequately deof the invitation for bids, in which case,
tailed description of the required propnegotiation is permitted for the remain
erty or services. ing requirements.
(14) When the contemplated procure(5) When the contemplated procure
ment is for parts or components being ment is for electric power or energy, gas
procured as replacement parts in sup(natural or manufactured), water, or
port of equipment specially designed by other utility services or when the con
the manufacturer, where data available templated procurement is for construc
is not adequate to assure that the part tion of a part of a utility system and it
or component will perform the same would not be practicable to allow a con
function in the equipment as the part tractor other than the utility company
of component it is to replace. itself to work upon the system.
(15) When the contemplated procure(6) When the contemplated procure
ment involves construction where a conment is for training film, motion picture productions, or manuscripts.
tractor or group of contractors is already
at work on the site, and it would not be (7) When the contemplated procure
practicable to allow another contractor ment is for technical nonpersonal sery
or an additional contractor to work on ices in connection with the assembly, in
the same site or when the mount is too stallation, or servicing (or the instruction
small to interest other contractors to of personnel therein) of equipment of a
mobilize and demobilize. highly technical or specialized nature.
(b) Limitations. The authority cited (8) When the contemplated procure in this § 1-3.210 shall not be used under ment is for studies or surveys other than the circumstances described in parathose which may be negotiated under graphs (3) and (4) of $ 1-3.210(a) the authority cited in $$ 1–3.205 or where "Small Business Restricted Adver1-3.211.
tising” has been used. However, it may (9) When the contemplated procure be used in the case of partial set-asides ment involves maintenance, repair, alter unless in the judgment of the contractation, or inspection and the exact nature ing officer the failure to obtain sufficient or amount of the work to be done is not responsive bids on the non-set-aside porknown.
tion was caused by the existence of the set-aside. Every contract negotiated un- § 1-3.212 Purchases not to be publicly der this authority shall be supported
disclosed. by a determination and findings justi
Pursuant to the authority of section fying use of the authority. The determi
302(c) (12) of the Act (41 U.S.C. 252(c) nation and findings shall be prepared in
(12)), purchases and contracts may be accordance with Subpart 1-3.3 and
negotiated without formal advertising signed by the contracting officer.
if “for property or services as to which § 1-3.211 Experimental, developmental, the agency head determines that the or research work.
character, ingredients, or components Pursuant to the authority of section
thereof are such that the purchase or 302(c) (11) of the Act (41 U.S.C. 252
contract should not be publicly dis
closed.” (c) (11)), purchases and contracts may be negotiated without formal advertis
(a) Application. This authority may
be used for purchases or contracts classiing if “the agency head determines that the purchase or contract is for experi
fied “Confidential” or higher, or where, mental, developmental, or research work,
because of other considerations, the conor for the manufacture or furnishing of
tract should not be publicly disclosed. property for experimentation, develop
(b) Limitations. In order for this aument, research, or test.”
thority to be used, a determination and (a) Application. The following are
findings justifying use of the authority illustrative of circumstances with respect
must be prepared in accordance with to which this authority may be used:
Subpart 1-3.3. (1) When the contemplated contract $ 1-3.213 Technical equipment requirrelates to theoretical analysis, explora
ing standardization and interchangetory studies, and experimentation in any ability of parts. field of science or technology.
(a) Authority. (1) Pursuant to the (2) When the contemplated contract
authority of section 302(c) (13) of the is for developmental work and calls for Act (41 U.S.C. 252(c) (13)), purchases the practical application of investigative and contracts may be negotiated without findings and theories of a scientific or formal advertising if "for equipment technical nature.
which the agency head determines to be (3) When the contemplated contract
technical equipment, and as to which he is for such quantities and kinds of equip determines that the procurement therement, supplies, parts, accessories, or pat of without advertising is necessary in ent rights thereto, and drawings or special situations or in particular localidesigns thereof, as are necessary for ex ties in order to assure standardization of perimentation, development, research, or equipment and interchangeability of test.
parts and that such standardization and (4) When the contemplated contract interchangeability is necessary in the is for services, tests, and reports neces public interest.” sary or incidental to experimental, devel (2) This § 1-3.213 provides authority opmental, or research work.
only to employ negotiation as distin(b) Limitations. This authority shall guished from advertising and does not not be used for contracts for quantity constitute authority to make purchases production, except that such quantities of equipment. Authority for the latter may be purchased under this authority must be elsewhere derived. as are necessary to permit complete and (b) Application. (1) This authority adequate experimentation, development, may be used for procuring additional research, or test; accordingly, research units and replacement items of specified or development contracts which call for makes and models of technical equipthe production of a reasonable number ment and spare parts by negotiation in of experimental or test models, or proto- order to assure standardization of equiptypes, shall not be regarded as contracts ment and interchangeability of parts for quantity production. In order for where, in special situations or in parthis authority to be used, a determina ticular localities, such standardization tion and findings justifying use of the and interchangeability is determined authority must be prepared in accord necessary in the public interest. Exance with Subpart 1-3.3.
amples of situations where this authority (c) [Reserved]
may be used are: [29 F.R. 10155, July 24, 1964, as amended (i) Where, in special situations or in at 31 F.R. 1150, Jan. 28, 1966)
particular localities, it has been found
necessary to limit the variety and quan- nual savings to be indicated when postity of parts that must be carried in sible). stock.
(ii) Minimizing potential breakdown (ii) Where standardization of tech of a specifically identified service or nical equipment is necessary in special function which might endanger life, situations or in particular localities so property or the orderly conduct of vital that parts may be available and inter Government functions. changed among items of damaged or (2) The term "in special situations" worn equipment.
precludes application of the authority to (iii) Where, in special situations or generally prevailing or generalized conparticular localities, technical equip ditions. The law assumes that it will be ment is available from a number of sup necessary to employ the authority only pliers which would have such varying under unusual or abnormal conditions. performance characteristics (notwith (3) The term “particular localities" standing detailed specifications and rigid has reference to remote locations which inspection) as would prevent standard are not only remote in the sense of physization and interchangeability of parts. ical distance from large metropolitan
(2) Consideration shall be given to the areas, but remote from available stocks following and other pertinent factors or replacement parts and, possibly, rebefore making a determination to pro lated service facilities. For example, it cure specified makes and models under is not enough to conclude that standardthe authority of this § 1-3.213:
ization is required of a motor vehicle in (i) The practicability of interchang Alaska because of remote location if in ing parts and cannibalizing equipment fact replacement parts of various ve
(ii) The probability that future pro hicle makes are readily available. It curement of the selected item of equip must be shown expressly, and not by inment can be affected at reasonable prices. ference, (i) that the location involved is
(iii) Whether the standardization inaccessible because of stated conditions, will appreciably reduce the variety and such as the absence of a connected road quantity of parts that must be carried system, or (ii) that there are not availin stock.
able within stated reasonable distances, (iv) The value of similar equipment adequate stocks of replacement parts or and its supporting parts on hand.
personnel and facilities necessary to per. (v) Possible savings in training per form required services, and that there sonnel.
are circumstances which make it im(vi) Whether the standardization will practical to maintain at the location adversely affect existing specifications such stocks and furnish such service for and standards.
more than a particular number of makes (vii) The degree to which the current of vehicles. Most using activities within design of the specified make and model the United States excluding Alaska) has been changed from the design of could not be considered to meet these equipment of the same make and model requirements. However, there may be already in the supply system.
cases where, because of extremely un(3) Standardization approval under usual conditions, standardization at a this authority shall be for a stated period particular location within the United of time which bears a reasonable rela States may be necessary in the public tionship to the life of the equipment. interest.
(c) Justification. (1) In arriving at a (d) Limitations. (1) This authority determination that standardization of shall not be used for initial procurement equipment and interchangeability of its of equipment and spare parts which ulparts are necessary in the public interest, timately will be standardized, or for the such standardization must be in fact
purpose of selecting arbitrarily the equipfully justified as genuinely “necessary in
ment of certain suppliers; nor shall it be the public interest.” It is not sufficient
used unless and until the agency head
has determined that: that it merely be generally desirable.
(i) The equipment constitutes techNor is an arbitrary or perfunctory con
nical equipment: clusion sufficient. Facts must clearly
(ii) Standardization of such equipshow the compelling reasons why it is ment and interchangeability of its parts necessary, as for example:
are necessary in the public interest; and (i) Substantial savings possible (iii) Negotiation is necessary in special through standardization (estimated an- situations or in particular localities in