Micro-Purchase Threshold Changes Under 2017 NDAA

December 20, 2016

2017 NDAA Increases DoD’s Micro-Purchase Threshold To $5,000

Source: SmallCovCon, Matthew Moriarty, December 9, 2016

The 2017 National Defense Authorization Act will increase the DoD’s micro-purchase threshold to $5,000.

Under the conference bill recently approved by both House and Senate, the DoD’s micro-purchase threshold will be $1,500 greater than the standard micro-purchase threshold applicable to civilian agencies.

A micro-purchase is an acquisition by the government of supplies or services that, because the aggregate is below a certain price, allows the government to avoid many of the ordinary competitive requirements under the FAR, including small business set-aside requirements. The FAR’s micro-purchase guidelines are set forth primarily in FAR 13.2.

Although there are many different thresholds, the FAR puts the general micro-purchase threshold at $3,500. But Section 821 of the proposed 2017 NDAA will add a new section to chapter 137 of title 10 of the United States Code giving the DoD its own micro-purchase threshold of $5,000. READ MORE….

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