[Federal Register: October 31, 2000 (Volume 65, Number 211)]
[Notices]
[Page 65231-65232]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr31oc00-119]
[[Page 65231]]
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Part III
Department of Defense
General Services Administration
National Aeronautics and Space Administration
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Federal Acquisition Regulation; Reverse Auctioning; Notice
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
Federal Acquisition Regulation; Reverse Auctioning
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Notice and request for comments.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council (the Councils) are considering whether
there is a need at this time for guidance on the use of reverse auction
techniques and, if so, how it can be most effectively communicated
(e.g., through the Federal Acquisition Regulation, best practice
guides, agency instructions, or training). The Councils request that
interested parties provide comments.
DATES: Interested parties should submit comments to the FAR Secretariat
at the address shown below on or before January 2, 2001.
ADDRESSES: Submit written comments to: General Services Administration,
FAR Secretariat (MVR), 1800 F Street, NW., Room 4035, Attn: Ms. Laurie
Duarte, Washington, DC 20405.
Submit electronic comments via the Internet to: Auction@gsa.gov.
Please submit comments only and cite ``reverse auction notice'' in
all correspondence related to this case.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS
Building, Washington, DC 20405, (202) 501-4755, for information
pertaining to status or publication schedules. For clarification of
content, contact Mr. Ralph DeStefano, Procurement Analyst, at (202)
501-1758. Please cite ``reverse auction notice''.
SUPPLEMENTARY INFORMATION: Recently, several agencies have taken
advantage of technological advances in various commodity procurements
by conducting pricing competitions on-line where competing vendors
lowered their prices to obtain the contract. Use of this so-called
``reverse auction technique'' appears to be gaining interest in certain
segments of the commercial marketplace. Additional agencies are now
considering potential applications for this technique. A variety of
considerations will likely shape these decisions and guidance may be
beneficial.
The Councils understand that interested parties have varied
opinions on the need for guidance on the Government's use of reverse
auction techniques. The opinions include:
There is insufficient agency experience upon which to
develop meaningful guidance at this time.
Explicit coverage in the FAR is not needed because FAR
1.102(d) permits any technique that is not expressly prohibited.
Reverse auction policy should be included in the FAR.
Other guidance is needed, such as best practices guides,
agency instructions, or training.
Therefore, the Councils are seeking input that will help them
determine the best approach to help inform thinking regarding the use
of reverse auction techniques.
1. Need for guidance. The Councils ask that respondents discuss
whether guidance related to the use of reverse auction techniques is
needed at this time. Respondents are encouraged to discuss potential
advantages and disadvantages.
2. Form of guidance. To the extent guidance is desired, the
Councils ask respondents to identify the form(s) of guidance that would
be most beneficial (e.g., a FAR rule, best practice guides, agency
instructions, training, other).
3. Topics for coverage. The Councils are interested in hearing
respondents' ideas regarding topics that should be addressed if
guidance is developed. Examples of topics might include the following--
The goal(s) of using an online auction;
The ``ground rules'' of the auction;
Factors that must be considered in determining whether a
requirement is suitable for use of reverse auction techniques;
Ways to tailor the technique to reflect various
contracting strategies and source selection approaches (including best
value cost-technical ``tradeoffs'');
Strategies for small business participation;
Handling of preferences;
Barriers to conducting auctions;
Expected results from the auction;
Potential advantages and disadvantages of reverse auction
techniques for industry participants; and
Potential advantages and disadvantages of reverse auction
techniques for Federal agencies.
4. Content of coverage. Respondents are invited to share their
ideas regarding possible content on the areas identified above, or
other areas they have identified in their response to item 3. In doing
so, respondents are encouraged to provide lessons learned from their
experiences with online reverse auction techniques.
Dated: October 26, 2000.
Al Matera,
Acting Director, Federal Acquisition Policy Division.
[FR Doc. 00-27963 Filed 10-30-00; 8:45 am]
BILLING CODE 6820-EP-M