Simplified Acquisition (FAR Part 13)

The current simplified acquisition threshold is $350,000 (FAR 2.101). The frequently cited $150,000 (and the interim $250,000) are outdated. Contingency-operation amounts are $1 million inside the U.S. and $2 million outside; humanitarian/peacekeeping is $650,000 outside the U.S.

Simplified acquisition is a set of less rigorous methods for entering into relatively low-dollar contracts (at or below the simplified acquisition threshold) that do not require the elaborate, formal solicitation techniques of sealed bidding or negotiation. Agencies must use these procedures to the maximum extent practicable for purchases not exceeding the SAT.

Each acquisition with an anticipated dollar value above the micro-purchase threshold but at or below the simplified acquisition threshold is automatically reserved (set aside) for small business concerns.

No. Requirements aggregating more than the micro-purchase or simplified acquisition threshold (including options) must not be broken down into several smaller purchases merely to permit use of simplified procedures or to avoid the requirements that apply above the threshold.

The Governmentwide commercial purchase card (GPC) is the preferred method to purchase and to pay for micro-purchases. Purchases at or below the micro-purchase threshold may also use any of the methods in FAR subpart 13.3.

A purchase order is an offer by the Government to buy supplies or services, including construction and research and development, upon specified terms and conditions, using simplified acquisition procedures. It is one of the methods available under FAR subpart 13.3.

A BPA is a simplified method of filling anticipated repetitive needs for supplies or services by establishing “charge accounts” with qualified sources. A BPA is not itself a contract; it is a charge-account arrangement that serves as a baseline for future orders.

Yes. Agencies must use the Governmentwide commercial purchase card and electronic purchasing techniques to the maximum extent practicable in conducting simplified acquisitions.

The contracting officer must promote competition to the maximum extent practicable and obtain supplies and services from the source whose offer is the most advantageous to the Government, considering the administrative cost of the purchase — not simply the lowest price.

Yes. The automatic small-business reservation applies to acquisitions above the micro-purchase threshold but at or below the SAT. Purchases at or below the micro-purchase threshold are not subject to that reservation, though the GPC is still the preferred payment method.