The Federal Acquisition Streamlining Act of 1994 (; ) is a
United States law
The law of the United States comprises many levels of codified and uncodified forms of law, of which the most important is the nation's Constitution, which prescribes the foundation of the federal government of the United States, as well as v ...
that was enacted in 1994 with the goal of lowering
procurement barrier
Procurement is the method of discovering and agreeing to terms and purchasing goods, services, or other works from an external source, often with the use of a tendering or competitive bidding process. When a government agency buys goods or serv ...
s. This Act enables
Simplified Acquisition Procedures Simplified Acquisition Procedures (SAP) are a set of streamlined procedures for government procurement in the United States that reduce the administrative burden of awarding procurements below a threshold value, which as of 2019 is $250,000. The pro ...
where the procurement is limited, facilitates reliance of
Commercial off-the-shelf
Commercial off-the-shelf or commercially available off-the-shelf (COTS) products are packaged or canned (ready-made) hardware or software, which are adapted aftermarket to the needs of the purchasing organization, rather than the commissioning of ...
(COTS) technology, and promotes the use of
fixed-price Performance Based Contracting
Performance based contracting (PBC), also known as performance-based logistics (PBL) or performance-based acquisition, is a product and services purchasing strategy used to achieve measurable supplier performance. A PBC approach focuses on develop ...
.
The law alters the United States government procurement strategy from
lowest bid to best value. The Federal Acquisition Streamlining Act and the
Federal Acquisition Reform Act The Federal Acquisition Reform Act of 1996 was U.S. national legislation enacted as Division D of the National Defense Authorization Act for Fiscal Year 1996 (; ). Together with the Information Technology Management Reform Act of 1996 The Informati ...
of 1996 removed the traditional oversight mechanisms that had been in place for decades and paved the way for a new method of awarding federal government contracts. Contracts must meet 90% of their performance goals or face termination.
See also
*
Nunn–McCurdy Amendment
External links
Department of Labor FASAS 1587 The Federal Acquisitions Streamlining Act
GAO The Federal Acquisition Streamlining Act of 1994
103rd United States Congress
United States federal government administration legislation
Government procurement in the United States
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