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DoD Proposes Limitations & Prohibitions on Use of LPTA Source Selection Process

Client Alert | 1 min read | 12.11.18

Implementing a Department of Defense (DoD) policy preference against the use of lowest priced technically-acceptable (LPTA) procurements that was codified in the National Defense Authorization Acts (NDAAs) for fiscal year 2017 and 2018, last week, the DoD issued a proposed rule amending the Defense Federal Acquisition Regulation Supplement (DFARS) to reflect the limitations and prohibitions in the NDAA provisions. 

Of note, the proposed rule would add DFARS 215.101-2-70, which sets forth the eight scenarios under which LPTA source selection procedures can be used, such as when the proposed technical approaches will require no, or minimal, subjective judgment by the source selection authority as to the desirability of one offeror’s proposal versus a competing proposal. The proposed rule makes clear that the limitations and prohibitions (e.g., the prohibition against using, to the maximum extent possible, LPTA procurement for the acquisition of IT and cybersecurity services and systems engineering and technical engineering services) apply to several types of acquisitions including, but not limited to, Federal Acquisition Regulation (FAR) Part 15 procedures for negotiation, acquisitions for commercial items under FAR Part 12, and simplified acquisition procedures using FAR Part 13.

Contractors should be aware of these new restrictions and have until February 4, 2019 to submit comments to be considered in the formation of the final rule.

Insights

Client Alert | 4 min read | 04.18.24

Maryland and Colorado Say the Price Isn’t Right: State Drug Affordability Review Boards Seek Drug Upper Payment Limits

Following federal lawmakers’ initiative to lower prescription drug prices under the Inflation Reduction Act of 2022, several states have taken similar steps to limit certain drugs’ prices. Drug affordability for consumers is a top priority for federal and state lawmakers and regulators because it is a bipartisan issue that directly impacts consumers’ wallets. With negotiations between the federal government and drug manufacturers over 10 drugs’ prices for Medicare beneficiaries well underway under the Inflation Reduction Act, 11 states, including Maryland and Colorado, have created drug affordability review boards to more directly tackle rising prices for both brand and generic drugs.[1] And another 12 states have pending legislation to create these boards.[2] ...