Minding the Competition

Defense Department officials today issued an interim rule implementing a section of the Weapon Systems Acquisition Reform Act of 2009 aimed at increasing competition among contractors vying for major Pentagon orders.

Section 202 of the WSARA requires DOD officials to "ensure competition, or the option of competition," as they formulate their acquisition strategies for major defense programs. The interim rule, like the law, spells out a number of approaches to achieve this, including competitive prototyping, "dual sourcing" and a widening of the supplier base for a given product.

The interim rule also includes language aimed at forcing prime contractors to consider sources other than themselves when it comes to buying or producing sub-level components.

We asked around about the somewhat curious phrasing of ensuring "the option" of competition in the law. A congressional source explained the intent of the language as such:

The option of competition in the future is a good thing above and beyond competition today. A program can be competed today in such a way that the loser of the competition is locked out of ever competing for the weapon system again for 30 years. The reason the bill language includes the phrase "the option of competition" is that it isn't enough to compete the weapon system on the front end, we also want the department to preserve the option of competition for the future of the system.

The interim rule is in effect immediately, but comments for the drafting of a final rule will be accepted until April 26.