41 U.S.C. § 403 : US Code - Section 403: Definitions

Search 41 U.S.C. § 403 : US Code - Section 403: Definitions

As used in this chapter:
(1) The term "executive agency" means -
(A) an executive department specified in section 101 of title
5;
(B) a military department specified in section 102 of such
title;
(C) an independent establishment as defined in section 104(1)
of such title; and
(D) a wholly owned Government corporation fully subject to
the provisions of chapter 91 of title 31.
(2) The term "procurement" includes all stages of the process
of acquiring property or services, beginning with the process for
determining a need for property or services and ending with
contract completion and closeout.
(3) The term "procurement system" means the integration of the
procurement process, the professional development of procurement
personnel, and the management structure for carrying out the
procurement function.
(4) The term "standards" means the criteria for determining the
effectiveness of the procurement system by measuring the
performance of the various elements of such system.
(5) The term "competitive procedures" means procedures under
which an agency enters into a contract pursuant to full and open
competition.
(6) The term "full and open competition", when used with
respect to a procurement, means that all responsible sources are
permitted to submit sealed bids or competitive proposals on the
procurement.
(7) The term "responsible source" means a prospective
contractor who -
(A) has adequate financial resources to perform the contract
or the ability to obtain such resources;
(B) is able to comply with the required or proposed delivery
or performance schedule, taking into consideration all existing
commercial and Government business commitments;
(C) has a satisfactory performance record;
(D) has a satisfactory record of integrity and business
ethics;
(E) has the necessary organization, experience, accounting
and operational controls, and technical skills, or the ability
to obtain such organization, experience, controls, and skills;
(F) has the necessary production, construction, and technical
equipment and facilities, or the ability to obtain such
equipment and facilities; and
(G) is otherwise qualified and eligible to receive an award
under applicable laws and regulations.
(8) The term "technical data" means recorded information
(regardless of the form or method of the recording) of a
scientific or technical nature (including computer software
documentation) relating to supplies procured by an agency. Such
term does not include computer software or financial,
administrative, cost or pricing, or management data or other
information incidental to contract administration.
(9)(A) The term "major system" means a combination of elements
that will function together to produce the capabilities required
to fulfill a mission need, which elements may include hardware,
equipment, software or any combination thereof, but excludes
construction or other improvements to real property; and
(B) a system shall be considered a major system if (i) the
Department of Defense is responsible for the system and the total
expenditures for research, development, test and evaluation for
the system are estimated to be more than $75,000,000 (based on
fiscal year 1980 constant dollars) or the eventual total
expenditure for procurement of more than $300,000,000 (based on
fiscal year 1980 constant dollars); (ii) a civilian agency is
responsible for the system and total expenditures for the system
are estimated to exceed $750,000 (based on fiscal year 1980
constant dollars) or the dollar threshold for a "major system"
established by the agency pursuant to Office of Management and
Budget (OMB) Circular A-109, entitled "Major Systems
Acquisitions", whichever is greater; or (iii) the system is
designated a "major system" by the head of the agency responsible
for the system.
(10) The term "item", "item of supply", or "supplies" means any
individual part, component, subassembly, assembly, or subsystem
integral to a major system, and other property which may be
replaced during the service life of the system, and includes
spare parts and replenishment spare parts, but does not include
packaging or labeling associated with shipment or identification
of an "item".
(11) The term "simplified acquisition threshold" means
$100,000.
(12) The term "commercial item" means any of the following:
(A) Any item, other than real property, that is of a type
customarily used by the general public or by nongovernmental
entities for purposes other than governmental purposes, and
that -
(i) has been sold, leased, or licensed to the general
public; or
(ii) has been offered for sale, lease, or license to the
general public.
(B) Any item that evolved from an item described in
subparagraph (A) through advances in technology or performance
and that is not yet available in the commercial marketplace,
but will be available in the commercial marketplace in time to
satisfy the delivery requirements under a Federal Government
solicitation.
(C) Any item that, but for -
(i) modifications of a type customarily available in the
commercial marketplace, or
(ii) minor modifications made to meet Federal Government
requirements,
would satisfy the criteria in subparagraph (A) or (B).
(D) Any combination of items meeting the requirements of
subparagraph (A), (B), (C), or (E) that are of a type
customarily combined and sold in combination to the general
public.
(E) Installation services, maintenance services, repair
services, training services, and other services if -
(i) the services are procured for support of an item
referred to in subparagraph (A), (B), (C), or (D), regardless
of whether such services are provided by the same source or
at the same time as the item; and
(ii) the source of the services provides similar services
contemporaneously to the general public under terms and
conditions similar to those offered to the Federal
Government.
(F) Services offered and sold competitively, in substantial
quantities, in the commercial marketplace based on established
catalog or market prices for specific tasks performed or
specific outcomes to be achieved and under standard commercial
terms and conditions.
(G) Any item, combination of items, or service referred to in
subparagraphs (A) through (F) notwithstanding the fact that the
item, combination of items, or service is transferred between
or among separate divisions, subsidiaries, or affiliates of a
contractor.
(H) A nondevelopmental item, if the procuring agency
determines, in accordance with conditions set forth in the
Federal Acquisition Regulation, that the item was developed
exclusively at private expense and has been sold in substantial
quantities, on a competitive basis, to multiple State and local
governments.
(13) The term "nondevelopmental item" means any of the
following:
(A) Any commercial item.
(B) Any previously developed item of supply that is in use by
a department or agency of the United States, a State or local
government, or a foreign government with which the United
States has a mutual defense cooperation agreement.
(C) Any item of supply described in subparagraph (A) or (B)
that requires only minor modification or modification of the
type customarily available in the commercial marketplace in
order to meet the requirements of the procuring department or
agency.
(D) Any item of supply currently being produced that does not
meet the requirements of subparagraph (A), (B), or (C) solely
because the item is not yet in use.
(14) The term "component" means any item supplied to the
Federal Government as part of an end item or of another
component.
(15) The term "commercial component" means any component that
is a commercial item.
(16) The term "acquisition" -
(A) means the process of acquiring, with appropriated funds,
by contract for purchase or lease, property or services
(including construction) that support the missions and goals of
an executive agency, from the point at which the requirements
of the executive agency are established in consultation with
the chief acquisition officer of the executive agency; and
(B) includes -
(i) the process of acquiring property or services that are
already in existence, or that must be created, developed,
demonstrated, and evaluated;
(ii) the description of requirements to satisfy agency
needs;
(iii) solicitation and selection of sources;
(iv) award of contracts;
(v) contract performance;
(vi) contract financing;
(vii) management and measurement of contract performance
through final delivery and payment; and
(viii) technical and management functions directly related
to the process of fulfilling agency requirements by contract.
(17) The term "Federal Acquisition Regulatory Council" means
the Federal Acquisition Regulatory Council established under
section 421 of this title.