Processes Glossary

340B Drug Pricing Program requires drug manufacturers to sell outpatient drugs at reduced prices to eligible covered entities. Relevant for healthcare contractors serving HRSA-eligible facilities.

A-E (Architect-Engineer) services procurement is governed by the Brooks Act (40 U.S.C. 1101-1104). Uses qualifications-based selection (QBS) — firms are ranked on competence and qualifications, NOT price. Price is negotiated after selection.

ACAT (Acquisition Category) classifies DoD programs by dollar threshold and oversight level. ACAT I: Major defense programs (>$480M RDT&E or >$2.79B procurement). ACAT II: Major systems ($185M-$480M). ACAT III: Below ACAT II.

Acceptance is the government's formal acknowledgment that supplies or services conform to contract requirements. Acceptance starts the payment clock under the Prompt Payment Act and generally transfers liability from contractor to government.

An Acquisition Plan (FAR 7.1) documents the government's strategy for acquiring the required supplies or services. Covers competition approach, contract type, milestones, and risk considerations. Required for acquisitions over the SAT.

Adjectival Ratings are qualitative labels assigned to proposals during evaluation. Common scales: Outstanding/Good/Acceptable/Marginal/Unacceptable for technical merit; Substantial Confidence/Satisfactory Confidence/Limited Confidence/No Confidence for past performance. Each agency may define its own scale in the solicitation.

An administrative supplement is a type of supplemental grant funding used to support an existing award without requiring a full new competition. It is often tied to a narrow, agency-approved purpose.

Agile development in government contracting uses iterative, incremental approaches. Agencies increasingly procure agile development services, requiring contractors to demonstrate sprint-based delivery, DevSecOps, and continuous integration.

An application package is the bundle of forms, instructions, attachments, and certifications required to apply for a federal grant or assistance opportunity. It usually includes the narrative, budget, and required assurances.

Authority to Connect (ATC) is authorization for a system to connect to a DoD network. Separate from ATO. Requires meeting network security requirements and standards.

An award is the government's selection of a vendor or applicant and the resulting legal relationship. In contracting it starts the contract; in grants it starts the assistance award and defines the funding terms, reporting requirements, and performance period.

BAA (Broad Agency Announcement) is a solicitation for basic and applied research proposals. Used by agencies like DoD, DHS, and NIH. Proposals are peer-reviewed and awards are grants or contracts.

BAFO (Best and Final Offer) is the final proposal revision submitted after discussions in a negotiated procurement. Now officially called "Final Proposal Revision" in FAR.

Best Value is an evaluation approach where the government may pay more for superior technical quality. Tradeoff analysis weighs technical/past performance against price. Most common for complex acquisitions.

Best Value Tradeoff allows the government to pay more for higher technical quality if the premium is justified. Technical factors are traded off against price. Most common for complex services acquisitions.

Bid opening is the public opening of sealed bids in a formal procurement. At the opening, the agency reads the bids and checks for responsiveness and other required information.

A bid protest is a formal challenge to a solicitation or award decision. Protest forums include the agency, GAO, and the Court of Federal Claims. Protests often trigger a stay of award or performance.

A Bilateral Modification (FAR 43.103(a)) is a contract change signed by both the contractor and the contracting officer. Used for supplemental agreements that modify terms by mutual consent, such as adding scope, extending the period of performance, or adjusting pricing. Both parties must agree to the modification terms.

Black Hat Review is a competitive analysis exercise where the team assumes the perspective of competitors to predict their proposals, pricing, and strategies. Helps refine win strategy.

Blue Team is a proposal review focused on the cost/price volume. Examines pricing strategy, cost realism, rate competitiveness, and consistency between technical and cost volumes.

Bonding requirements for federal construction (FAR 28.1): Performance bond (100% of contract price) ensures completion. Payment bond (100%) protects subcontractors and suppliers. Bid bond (20%) ensures serious bidders.

Boundary Protection encompasses the security controls (firewalls, proxies, intrusion detection/prevention, DMZs) that monitor and control communications at the external boundary and key internal boundaries of an information system. NIST 800-53 SC-7 defines requirements. Critical for systems connecting to government networks.

A simplified method of filling anticipated repetitive needs for supplies or services by establishing charge accounts with qualified sources.

A budget amendment is a formal change to the approved grant budget. It may be needed to move funds between line items, add equipment, or adjust the scope-approved spending plan.

A budget justification is the narrative that explains why each requested cost is necessary, reasonable, and tied to the project scope. It is one of the first places reviewers look for budget credibility.

CAC (Common Access Card) is the DoD smart card used for identification, physical access, and computer network access. The DoD equivalent of the civilian PIV card.

A Capability Statement is a concise 1-2 page marketing document that summarizes your company's core competencies, past performance, differentiators, and contact information for government buyers. It's your "resume" for federal contracting. Key sections: core competencies, past performance, differentiators, company data (CAGE, UEI, NAICS, set-aside status). Tip: Tailor it per opportunity — generic statements get ignored.

A Capture Plan is a structured document outlining the strategy to win a specific contract opportunity. Covers customer relationships, competitive analysis, teaming strategy, win themes, and action plan. Updated continuously through the capture lifecycle.

Category Management is an OMB initiative to buy smarter by treating procurement like a business and consolidating spending into Best-in-Class (BIC) vehicles to reduce duplication and increase savings.

CCAS (Contingency Contract Administration Services) manages contract administration in overseas theaters. Important for contractors performing work in combat/contingency zones.

CDM (Continuous Diagnostics and Mitigation) is a CISA program providing cybersecurity tools and dashboards to federal civilian agencies. Offers continuous monitoring, vulnerability management, and risk assessment capabilities.

CDR (Critical Design Review) assesses the detailed design against requirements. Determines readiness to proceed to fabrication, manufacturing, or coding.

CDRL (Contract Data Requirements List, DD Form 1423) specifies the data items a contractor must deliver. Includes format, frequency, distribution, and approval requirements. Common in DoD contracts.

CFP (Contractor-Furnished Property) is property the contractor provides for contract performance at its own expense. The default — contractors provide their own equipment unless the contract specifies GFP.

A Change Order is a unilateral modification directing the contractor to make changes within the general scope of the contract. The contractor must comply and may submit a Request for Equitable Adjustment (REA) for additional cost/time.

A claim (FAR 33.201) is a written demand by a contractor or the government seeking payment, adjustment, or interpretation of contract terms that is in dispute. Claims over $100K require certification. Governed by the Contract Disputes Act.

Clarifications (FAR 15.306(a)) are limited exchanges with offerors to resolve minor issues. Do NOT constitute discussions. Used when the CO can make award without discussions.

Clinical trials in federal contracting are often funded through NIH contracts, grants, or cooperative agreements. Phases: I (safety), II (efficacy), III (large-scale), IV (post-market). Governed by FDA regulations.

CLINs (Contract Line Item Numbers) are individually priced items in a contract. Each CLIN identifies a specific supply or service with its own description, quantity, unit price, and total. Used for invoicing and financial tracking.

Closeout is the final administrative process after a contract or grant ends. It includes final invoices, final reports, property disposition, reconciliation of funds, and the record-retention steps that allow the award to be fully closed.

Federal cloud computing is governed by FedRAMP (civilian) and DoD Cloud Computing SRG (defense). Agencies are directed to adopt cloud-first/cloud-smart strategies. Major providers: AWS GovCloud, Azure Government, Google Cloud, Oracle Cloud.

Cloud Smart is the federal strategy (replacing Cloud First) that encourages agencies to adopt cloud computing while considering security, procurement, and workforce factors.

The government official with authority to enter into, administer, and terminate contracts.

Color Ratings are an evaluation scoring system using colors to rate proposals: Blue (Outstanding/Exceptional), Green (Acceptable/Satisfactory), Yellow (Marginal), Red (Unacceptable). Often supplemented with risk ratings: Low, Moderate, High. Some agencies combine color and adjectival systems.

A Combined Synopsis/Solicitation merges the pre-solicitation notice and solicitation into one document. Allowed for commercial items under SAP. Faster process — no waiting period between synopsis and solicitation.

A Commercial Item Determination establishes that a product or service meets the FAR definition of a commercial item. Enables use of simplified procedures (FAR Part 12) and reduces compliance burden.

The Competitive Range (FAR 15.306(c)) is the group of offerors that have a reasonable chance of being selected for award. Offerors outside the competitive range are eliminated from further consideration.

A compliance matrix is a crosswalk that maps each solicitation requirement to the page or section in the proposal that answers it. It is a proposal management tool that helps prevent missed requirements.

Consent to Subcontract (FAR 44.2) requires the contractor to obtain the contracting officer's written approval before placing certain subcontracts. Typically required for cost-reimbursement, T&M, and letter contracts. The CO evaluates the subcontractor's responsibility, the proposed price, and the subcontract type.

A constructive change occurs when the government effectively changes contract requirements through actions or inactions, even without a formal change order. Contractor may be entitled to an equitable adjustment.

A continuation award is additional funding that extends a grant into a new budget period or year when the project is performing as expected and funds remain available.

Continuous Monitoring is the ongoing assessment of security controls, vulnerabilities, and threats to maintain an IT system's authorization to operate. Required by FISMA and NIST RMF Step 6. Includes automated vulnerability scanning, log analysis, configuration management, and periodic control assessments. Replaces the old "certify once" approach.

The Contracting Officer (CO/KO) is the only person with legal authority to bind the government in contracts. Can award, modify, and terminate contracts. Do NOT take direction from anyone else on contract matters.

A Cooperative Agreement (31 U.S.C. 6305) is a funding instrument like a grant but with substantial federal involvement in the project. Used when the agency wants to collaborate on the work, not just fund it.

A government employee designated to monitor contractor performance on behalf of the CO.

Corrective action is the government's remedy after a protest or evaluation issue is identified. It can include re-evaluating proposals, amending the solicitation, reopening discussions, or making a new source selection decision.

Cost Share (or matching) is the portion of project costs paid by the grant recipient rather than the federal government. Some grants require a specific cost share percentage (e.g., 25% non-federal match).

The Cost/Price Volume describes your pricing in detail: labor categories, rates, hours, materials, ODCs, subcontractor costs, and fee/profit. Must be realistic, complete, and competitive.

COTR (Contracting Officer's Technical Representative) is the older term for COR. Same role — provides technical monitoring of contractor performance on behalf of the CO.

Older term for COR. Technical representative designated by the Contracting Officer.

A cost-reimbursement contract where the contractor is paid allowable costs plus a fixed fee.

CUI (Controlled Unclassified Information) is a category of unclassified information that requires safeguarding or dissemination controls per law, regulation, or government policy. Governed by NIST SP 800-171 and 32 CFR Part 2002. Contractors handling CUI must implement specific security controls.

A Cure Notice (FAR 49.402-3) gives a contractor at least 10 days to remedy a contract deficiency before the government can terminate for default. Required for non-commercial contracts before T4D.

DCS (Direct Commercial Sales) allow defense companies to sell directly to foreign governments with U.S. government approval (via ITAR export license). Alternative to FMS.

DD Form 254 (Contract Security Classification Specification) tells a contractor what level of classified access is required for a contract. Issued by the government, it specifies: classification level (Confidential, Secret, Top Secret), whether a facility clearance is needed, special access requirements (SCI, SAP), and security requirements for subcontractors. Required before any classified work begins.

Debarment is the exclusion of a contractor from receiving federal contracts, typically for a period of 3 years. Causes include fraud, criminal conviction, tax evasion, willful failure to perform, violations of the Drug-Free Workplace Act, and unfair trade practices. Debarment is government-wide — a debarment by one agency applies to all agencies. The System for Award Management (SAM.gov) maintains the Excluded Parties List. Suspension is a temporary exclusion pending investigation. Governed by FAR 9.4.

A debriefing (FAR 15.505-15.506) is a post-award meeting where the government explains to an unsuccessful offeror why their proposal was not selected. For competitive acquisitions, offerors can request a debriefing within 3 days of notification. The government must provide: evaluation of significant weaknesses/deficiencies, overall assessed rating, rationale for award, and for small businesses the SBA may assist. Pre-award debriefings are also available for offerors excluded from the competitive range. Debriefings are a critical learning tool — always request one.

Design-Bid-Build is the traditional project delivery method: government designs the project (or hires an A-E), then solicits competitive bids for construction. Most common method for federal construction.

Design-Build is a project delivery method where a single contractor provides both design and construction. Governed by FAR 36.3. Offers schedule advantages but less government control over design details.

DevSecOps integrates security into the DevOps pipeline. Required by DoD for software development. Contractors must demonstrate automated security testing, continuous monitoring, and rapid patching capabilities.

Differing Site Conditions (FAR 52.236-2) clause entitles a construction contractor to an equitable adjustment when physical conditions at the site differ materially from those indicated in the contract or from normally expected conditions.

Discussions (FAR 15.306(d)) are negotiations conducted with offerors in the competitive range. The CO must identify deficiencies, significant weaknesses, and adverse past performance. All offerors get equal opportunity.

DPAS (Defense Priorities and Allocations System) allows DoD and DHS to require priority delivery of industrial resources for national defense. Rated orders (DO and DX) must be accepted and prioritized by contractors.

A drawdown is the process of requesting and receiving federal grant funds from the payment system after costs are incurred or allowed by the award terms. The recipient is drawing funds down from the federal account.

The Economy Act (31 U.S.C. 1535) allows one federal agency to order goods/services from another. Used for interagency agreements. The servicing agency must have capability, and the ordering agency must determine it cannot fulfill the need itself.

EHR (Electronic Health Record) system — VA is implementing the Oracle Cerner EHR to replace VistA. One of the largest federal IT modernization programs. DoD uses MHS GENESIS (also Cerner).

EINSTEIN is a CISA intrusion detection and prevention system that monitors federal civilian network traffic. EINSTEIN 3A provides active threat blocking capabilities.

An eligible applicant is a person, organization, government, or other entity allowed to apply for a grant or assistance opportunity under the published eligibility rules. If you do not meet the applicant definition, the application is usually rejected without review.

An Equitable Adjustment is the modification of contract price and/or delivery schedule to compensate a contractor for government-directed changes, differing site conditions, government-caused delays, or other situations where the contract entitles the contractor to relief. Must fairly compensate the contractor's increased (or decreased) costs and time.

Evaluation Criteria (FAR 15.304) are the factors and subfactors the government uses to assess proposals. Must be stated in the solicitation (Section M). Typically include: technical approach, past performance, management, staffing, and price/cost. The relative importance of each factor must be disclosed.

Evaluation Factors are the high-level criteria against which proposals are judged. FAR requires at minimum: price/cost and quality of product/service (which may include technical excellence, management, personnel, past performance). For negotiated procurements, factors and their relative importance must be stated in the solicitation.

A contract type where the price is not subject to adjustment. The contractor bears full cost risk.

FPR (Final Proposal Revision), formerly called BAFO (Best and Final Offer), is the offeror's final updated proposal submitted after discussions with the government in a negotiated procurement. The CO establishes a common cutoff date for all offerors in the competitive range to submit FPRs. Award is made based on evaluation of FPRs.

FOA (Funding Opportunity Announcement) is the older term for what is now called a NOFO (Notice of Funding Opportunity). Published on Grants.gov.

FMS (Foreign Military Sales) is the U.S. government-to-government program for selling defense articles and services to allies. Contractors manufacture and deliver through DoD channels.

A Gate Review is a decision point in the capture/proposal process where leadership evaluates whether to continue pursuing an opportunity. Gates typically align with pursuit, bid, and proposal stages.

GFE (Government-Furnished Equipment) is equipment provided by the government to a contractor. Subset of GFP. Contractor is responsible for care and maintenance but not loss/damage under certain conditions.

GFI (Government-Furnished Information) is data, documents, or technical information provided by the government. May include classified data, technical manuals, or system specifications.

GFP (Government-Furnished Property) is property provided by the government to a contractor for contract performance. Contractor must maintain, account for, and return GFP. Governed by FAR 45.

GMP (Good Manufacturing Practices) are FDA requirements for quality manufacturing of drugs, devices, and biologics. Relevant for contractors producing medical products for the government.

Gold Team is the final executive review of a proposal before submission. Focuses on overall strategy, win themes, pricing competitiveness, and executive summary quality. Go/no-go decision.

Government Property (FAR Part 45) is all property owned by or leased to the government, including GFE, GFP, and contractor-acquired property. Contractors must maintain property control systems, perform annual inventories, report discrepancies, and dispose of property per government direction. Property administrators oversee compliance.

GPC (Government Purchase Card) is a charge card used by federal agencies for micro-purchases (under $10,000) and other simplified acquisitions. Streamlines low-value buys without a formal contract. Over 300,000 cardholders across the federal government make approximately $30B in purchases annually.

A federal financial assistance award providing funding to accomplish a public purpose. Unlike contracts, the government does not directly benefit from the work.

A pre-competed, multiple-award IDIQ contract for IT services available to all federal agencies.

A contract vehicle providing for an indefinite quantity of services or supplies during a fixed period. Task orders are issued against the contract.

A solicitation for sealed bids, typically awarded to the lowest priced, technically acceptable bidder.

IL (Impact Level) is the DoD classification for cloud security. IL2: Public/unclassified. IL4: CUI. IL5: Higher sensitivity CUI and mission-critical. IL6: Classified up to SECRET. Defined in DoD CC SRG.

An Incident Response Plan defines the procedures for detecting, analyzing, containing, eradicating, and recovering from cybersecurity incidents. Required by FISMA, NIST 800-53 IR family, and DFARS 252.204-7012 (which mandates 72-hour reporting of cyber incidents to DoD). Contractors handling CUI must maintain and test incident response capabilities.

The incumbent is the current contract holder. Incumbents typically have significant advantages in recompetes: institutional knowledge, past performance, customer relationships, and cost data.

An Industry Day is a pre-solicitation event where the government briefs potential offerors about an upcoming acquisition. Opportunity to ask questions, understand requirements, and identify teaming partners.

An Insider Threat Program is required for cleared contractors under NISPOM/32 CFR Part 117 to detect, deter, and mitigate threats from employees with authorized access to classified information or critical assets. Must include user activity monitoring, training, reporting procedures, and designated senior official oversight.

An Interagency Agreement (IAA) is a formal agreement between two federal agencies. One agency orders goods/services from another (Economy Act) or funds are transferred (Reimbursable Work Authority). Common for shared services.

An invoice is the request for payment submitted to the government after work, deliverables, or milestones are completed. In procurement it is tied to contract billing; in grants it may be tied to reimbursement or drawdown support.

IOT&E (Initial Operational Test and Evaluation) is the first independent evaluation of a system in realistic operational conditions. Required before full-rate production decision for ACAT I programs.

IRAD (Independent Research and Development) is self-funded R&D by defense contractors. Costs are recoverable as indirect costs on government contracts up to negotiated ceilings. Drives innovation and competitive advantage.

J&A (Justification and Approval) is the documented rationale for awarding a contract without full and open competition. Required by CICA. Must identify the specific authority (e.g., only one source, unusual urgency).

JCIDS (Joint Capabilities Integration and Development System) is the DoD process for identifying and prioritizing capability needs. Generates requirements documents (ICDs, CDDs, CPDs) that drive acquisition programs.

A Joint Venture (JV) is a new legal entity formed by two or more companies to pursue contracts together. SBA allows JVs for small business set-asides if the JV meets specific requirements. Mentor-protege JVs receive special consideration.

JWOD/AbilityOne (formerly JWOD — Javits-Wagner-O'Day Act) requires federal agencies to buy certain supplies and services from nonprofit agencies employing people who are blind or have significant disabilities. Mandatory source per FAR 8.7.

Key Personnel are individuals identified in the contract as essential to performance. Their resumes were evaluated during source selection. Replacement requires CO approval and often must be with equally or better qualified individuals.

Alternative abbreviation for Contracting Officer, commonly used in DoD.

LEED (Leadership in Energy and Environmental Design) is a green building certification. Federal agencies are encouraged to achieve LEED or equivalent green building standards for new construction and major renovations.

A letter of intent is a short notice that a prospective applicant or offeror plans to submit an application or proposal. It is often used for planning, reviewer workload, or eligibility screening before the full submission.

Limitation on Subcontracting (FAR 52.219-14) requires that small business set-aside awardees perform a minimum percentage of the work: at least 50% of the cost of personnel for services, 50% of the cost of manufacturing for supplies, and 15% of the cost of the contract for general construction. Prevents pass-through arrangements.

Liquidated damages are a predetermined amount per day (or other unit) that the contractor pays for late delivery or performance. Must be reasonable estimate of actual damages. Common in construction and IT delivery contracts.

LPTA (Lowest Price Technically Acceptable) is an evaluation method where the lowest-priced proposal that meets all technical requirements wins. No credit for exceeding requirements. Common for commercial/commodity buys.

LPTA (Lowest Price Technically Acceptable) is an evaluation method where award goes to the lowest-priced offeror meeting minimum technical requirements. No tradeoff between price and technical quality.

An evaluation method where the contract goes to the lowest bidder who meets all technical requirements.

LRIP (Low-Rate Initial Production) is a limited production run of a defense system to verify manufacturing processes before full-rate production. Typical ACAT I milestone.

A contract awarded to multiple vendors who then compete for task orders.

Market Research (FAR Part 10) is the investigation of the commercial marketplace before defining requirements or selecting an acquisition strategy. COs must determine if commercial items can meet government needs. Contractors should respond to Sources Sought notices and RFIs.

GSA's primary contract vehicle allowing agencies to buy commercial products and services at pre-negotiated prices.

Mentor-Protege Programs (SBA and DoD) pair large companies (mentors) with small businesses (proteges). Benefits include JV eligibility, past performance sharing, and subcontracting credit. SBA program is government-wide; DoD has a separate program.

Merit review is the process of scoring or evaluating grant applications against the published criteria in the NOFO. It is how agencies determine which applications are most competitive and best aligned to the program.

A micro-purchase is any acquisition of supplies or services where the aggregate amount does not exceed the micro-purchase threshold ($10,000). Governed by FAR Part 13. No competitive quotes required — the buyer can purchase directly using a Government Purchase Card (GPC). Must be distributed equitably among qualified suppliers and cannot be split to avoid the threshold.

The micro-purchase threshold (MPT) is currently $10,000 for most purchases ($2,000 for construction subject to Davis-Bacon, $2,500 for services subject to Service Contract Act). Purchases below the MPT can be made without competitive quotes, using a Government Purchase Card (GPC). The threshold was raised from $3,500 to $10,000 by the 2018 NDAA (Section 806). Micro-purchases are distributed equitably among qualified suppliers. No set-aside requirements apply below the MPT.

A contract modification is a written change to an existing contract. Bilateral (signed by both parties) or unilateral (signed only by CO). Types: administrative (no cost/scope change), supplemental agreement (mutual), and change order (unilateral within scope).

MPT (Micro-Purchase Threshold) — see micro-purchase threshold. Currently $10,000 for most purchases (raised from $3,500 by the 2018 NDAA).

MRO (Maintenance, Repair, and Overhaul) services keep equipment and facilities operational. Major category for DoD and civilian agency contracting. Often procured through IDIQ vehicles.

A Name Change Agreement (FAR 42.12) recognizes a change in the contractor's legal name without transferring rights or obligations. Simpler than a novation — no change in ownership or control. Requires a modification to update the contractor's name on each affected contract.

NOFO (Notice of Funding Opportunity) is the announcement published on Grants.gov inviting applications for federal grants and cooperative agreements. Replaced the older term FOA (Funding Opportunity Announcement).

The Nonmanufacturer Rule (FAR 19.505) allows a small business that does not manufacture a product to supply it under a small business set-aside if: the product is manufactured by a small business, the small business provides the end item of a small business manufacturer, and there are no more than 500 employees. SBA can waive this rule when no small business manufacturers exist.

A Notice of Award is the formal notice telling an applicant that a grant or assistance application has been selected for funding. It typically states the award amount, period of performance, special conditions, and reporting obligations.

Novation Agreement (FAR 42.12) transfers a contractor's rights and obligations under a contract to a successor (typically due to merger, acquisition, or sale). Requires CO approval and a formal novation agreement.

GSA's government-wide IDIQ contract for professional services.

OCONUS (Outside Continental United States) refers to work performed outside the 48 contiguous states. OCONUS contracts often require security clearances, special insurance, and compliance with Status of Forces Agreements (SOFAs).

An offeror is a vendor, contractor, or other entity submitting a proposal, quote, or bid in response to a solicitation. The term is common in negotiated procurements and proposal evaluations.

Option exercise is the government's unilateral right to extend a contract for additional periods (option years) at pre-negotiated prices. Must be exercised within the timeframe specified in the contract. Exercise is discretionary.

Some solicitations require oral presentations instead of or in addition to written proposals. Typically covers technical approach and key personnel. Limited preparation time. Gaining popularity for streamlined acquisitions.

OCI (Organizational Conflict of Interest) occurs when a contractor's other activities or relationships could give it an unfair competitive advantage or impair its objectivity. Must be disclosed and mitigated.

Organizational Structure in proposals shows how your team will be managed. Includes org chart, reporting relationships, key personnel, and communication lines. Should demonstrate efficient management and clear accountability.

OTA (Other Transaction Authority) allows certain agencies to enter agreements outside FAR for research, prototyping, and production. Faster and more flexible than traditional contracts. Used heavily by DoD.

Other Transaction Authority (OTA, 10 U.S.C. 4021-4022) allows DoD to enter agreements outside FAR for research, prototyping, and follow-on production. Faster, more flexible. Consortia like NSTXL and AIT facilitate OTA awards.

OT&E (Operational Test and Evaluation) assesses whether a system is effective and suitable for combat. Conducted by independent test organizations. Results can delay or cancel production decisions.

A Partial Set-Aside (FAR 19.502-3) reserves a portion of an acquisition for small businesses while allowing other-than-small businesses to compete for the unreserved portion. Enables small business participation on large requirements that no single small business could fully perform.

A pass-through entity is a non-federal entity that receives a federal award and then passes some or all of those funds to one or more subrecipients. It remains responsible for monitoring and managing the award requirements.

Past Performance is a key evaluation factor in government proposals. Agencies assess a contractor's record of quality, timeliness, and cost control on similar work. Documented in CPARS.

Past Performance Evaluation (FAR 15.305(a)(2)) is the government's assessment of a contractor's record on prior contracts. Evaluators review CPARS ratings, references, and other performance data. Relevance (similar size, scope, complexity) and recency (typically last 3-5 years) matter most. A "neutral" rating is assigned to offerors with no relevant past performance — which is neither favorable nor unfavorable.

A Payment Bond guarantees that the contractor will pay subcontractors, laborers, and material suppliers. Required at 100% of contract price for construction over $35K. Protects the supply chain since the government cannot be liened.

PDR (Preliminary Design Review) assesses the preliminary design of a system against requirements. Identifies technical risks before committing to detailed design.

Peer review is review by subject-matter experts, often outside the awarding office, who assess technical merit, scientific quality, or program fit. Peer review commonly feeds into the overall merit review process.

Penetration Testing (pen testing) is the authorized simulated cyberattack on a system to evaluate its security posture. Required periodically for systems seeking or maintaining an ATO. Types include external, internal, web application, and social engineering tests. Results feed into POA&Ms and risk assessments.

A Performance Bond guarantees that the contractor will complete the work according to contract terms. Required at 100% of contract price for construction contracts over $150K. Surety pays to complete work if contractor defaults.

PHI (Protected Health Information) is individually identifiable health data covered by HIPAA. Contractors processing PHI for federal health agencies must implement required safeguards.

Pink Team is a pre-proposal review that examines the draft proposal outline, compliance matrix, and win themes before full writing begins. Identifies gaps, compliance issues, and needed content.

PIV (Personal Identity Verification) card is the federal smart card used for physical and logical access. Required by HSPD-12. Contractors working on-site at federal facilities typically need PIV cards.

POA&M (Plan of Action and Milestones) is a document identifying security weaknesses in an IT system and the specific tasks, resources, and milestones needed to remediate them. Required as part of the ATO process and continuous monitoring. Tracked by authorizing officials and inspectors; unresolved POA&Ms can delay or revoke authorization.

PPBE (Planning, Programming, Budgeting, and Execution) is the DoD resource allocation process. Five phases spanning 2+ years from planning to execution. Understanding PPBE helps predict when funding becomes available.

A Pre-Award Survey evaluates a prospective contractor's capability to perform before award. Assesses financial resources, technical capability, production capacity, quality control, and past performance.

A pre-solicitation conference is a formal meeting between the government and potential offerors before RFP release. Used to clarify requirements, answer questions, and gauge industry interest.

A price proposal is the part of an offer that explains the contractor's proposed pricing, rates, labor mix, and total cost. It may be evaluated for reasonableness or realism depending on the procurement.

A procurement forecast (FAR 7.104) is an agency's advance notice of planned contract actions for the upcoming fiscal year. Agencies are required to publish annual forecasts of expected contract opportunities, giving businesses time to prepare. Forecasts typically include estimated dollar value, NAICS code, anticipated solicitation date, and whether the procurement will be set aside for small business. Check individual agency procurement forecast pages or SAM.gov for published forecasts.

A proposal is a vendor's written response to a solicitation. It usually explains the technical approach, management approach, past performance, and price or cost details the government will evaluate before award.

A formal challenge to a contract award or solicitation terms. Can be filed with the agency, GAO, or the Court of Federal Claims.

PTAC (Procurement Technical Assistance Center) provides free counseling to businesses pursuing government contracts. Funded by DoD and state/local governments. Over 300 locations nationwide.

A work description focused on outcomes and results rather than how to do the work. Gives contractors flexibility.

An outcomes-based alternative to the SOW that defines what needs to be accomplished rather than how.

QASP (Quality Assurance Surveillance Plan) — see Quality Assurance Surveillance Plan.

QASP (Quality Assurance Surveillance Plan) defines how the government will monitor and evaluate contractor performance against PWS/SOW standards. Used in performance-based contracts.

Qui tam is a provision of the False Claims Act allowing private citizens (whistleblowers/relators) to file lawsuits on behalf of the government against contractors who defraud the government. Relators may receive 15-30% of recovered funds.

Ratification (FAR 1.602-3) is the act of approving an unauthorized commitment — when someone without authority commits the government to a contract. Rare and requires agency head approval.

REA (Request for Equitable Adjustment) is a contractor's request for additional compensation and/or time due to a government-directed change, differing site conditions, or other contract adjustment. Must be submitted to the CO with supporting documentation.

Rebudgeting is the shifting of funds between approved budget categories without changing the total award amount. Some rebudgeting changes are allowed by rule; others require prior approval.

Reciprocity in federal security means that one agency accepts the security authorization (ATO) or personnel clearance granted by another agency, avoiding duplicative assessments. FedRAMP enables reciprocity for cloud authorizations. For personnel clearances, reciprocity is required by executive policy — agencies must accept existing clearances at the same or higher level.

A recompete occurs when an existing contract expires and the government re-solicits the requirement through competition. Tracking upcoming recompetes is a key business development activity.

Red Team is a rigorous proposal review simulating the government evaluation process. Reviewers score the proposal against Section M criteria and identify weaknesses, deficiencies, and areas for improvement.

A Requirements Document describes what the government needs to buy. Types: Statement of Work (SOW), Performance Work Statement (PWS), Statement of Objectives (SOO), and Specification.

Responsibility (FAR 9.1) means a prospective contractor meets general standards: adequate financial resources, can comply with delivery schedule, satisfactory performance record, satisfactory integrity record, and necessary organization/skills.

Responsibility Determination (FAR 9.104) is the contracting officer's assessment of whether a prospective contractor is capable of performing the contract. General standards include: adequate financial resources, ability to meet delivery schedule, satisfactory performance record, satisfactory record of integrity and business ethics, necessary organization/experience/skills, and necessary equipment and facilities. An offeror found non-responsible cannot receive an award.

A responsive bid is one that promises to comply with every material requirement of the solicitation. In sealed bidding, a nonresponsive bid must be rejected and cannot be corrected after opening.

A Reverse Auction is an online bidding process where vendors compete by lowering prices in real time. Used for commodity purchases. The government sees prices decrease as vendors underbid each other.

A pre-solicitation document where the government gathers market research. Responding shows interest and helps shape requirements.

A pre-solicitation document used for market research. Not a binding solicitation — no contracts are awarded from RFIs.

A formal solicitation asking vendors to submit detailed proposals. Typically used for complex services where technical approach matters.

A formal solicitation document issued by a government agency inviting contractors to submit proposals for a specific requirement.

A solicitation asking vendors to provide price quotes. Usually for simpler, well-defined requirements.

A solicitation used for commercial items where price is the primary evaluation factor. Simpler than an RFP.

RMF (Risk Management Framework, NIST SP 800-37) is the process for integrating security and risk management into the system development lifecycle. Six steps: Categorize, Select, Implement, Assess, Authorize, Monitor.

A Sample Task is a hypothetical scenario included in a solicitation that offerors must respond to as part of their technical proposal. Evaluators assess the offeror's approach, staffing, and methodology for the sample task as a predictor of actual performance. Common in services acquisitions, especially IDIQ task order competitions.

A competitive program funding small businesses to conduct R&D with commercial potential. Three phases: feasibility, development, and commercialization.

SBIR (Small Business Innovation Research) is a three-phase competitive program: Phase I (feasibility, ~$150K, 6 months), Phase II (development, ~$1M, 2 years), Phase III (commercialization, no SBIR funding — uses other federal or private funding). Federal agencies with $100M+ extramural R&D budgets must allocate 3.2% to SBIR. Phase III contracts are sole-source and have no dollar limit.

SBOM (Software Bill of Materials) is a formal, machine-readable inventory of software components and dependencies. Required by EO 14028 for software sold to the government. Helps identify vulnerabilities.

SCIF (Sensitive Compartmented Information Facility) is a secure room or building where classified SCI information can be stored, discussed, and processed. Must meet ICD 705 standards.

SDR (System Design Review) is a technical review assessing whether a system design satisfies requirements. Part of the defense acquisition lifecycle milestones.

Section H (Special Contract Requirements) contains contract-specific clauses beyond standard FAR/DFARS clauses. May include key personnel, OCI mitigation, organizational requirements.

Section L (Instructions to Offerors) of a solicitation tells you exactly what to submit, in what format, page limits, and required content. READ THIS FIRST before writing.

Section M (Evaluation Criteria) tells you how the government will score proposals. Evaluation factors, subfactors, relative importance, and rating methodology. Your proposal structure should mirror Section M.

SAR (Security Assessment Report) documents the results of a comprehensive security control assessment conducted as part of the RMF authorization process. Identifies control effectiveness, vulnerabilities, and residual risks. The authorizing official uses the SAR, along with the SSP and POA&M, to make the ATO decision.

SCA (Security Control Assessment) is the formal evaluation of security controls against NIST 800-53 requirements to determine whether controls are implemented correctly, operating as intended, and producing the desired outcome. Conducted by independent assessors as part of the ATO process.

NASA's government-wide IT contract vehicle. SEWP V is the current iteration.

SF-424 (Application for Federal Assistance) is the standard cover form for many federal grant applications. It captures applicant identity, funding requested, and basic program information.

SF-424A is the standard budget form for many non-construction grant applications. It lays out federal and non-federal share, object class categories, and budget periods.

SF-424C is the standard budget form for construction-related grant applications. It is used to break out construction costs and budget categories for infrastructure projects.

A Show Cause Notice gives a contractor the opportunity to explain why the contract should not be terminated for default. Often used when a cure notice would not be appropriate (e.g., delivery deadline already passed).

Shredding is the process of dissecting a solicitation (particularly Sections L and M) to extract every requirement that must be addressed in the proposal. Creates the compliance matrix.

The Simplified Acquisition Threshold (SAT) is currently $250,000. Acquisitions below this amount use simplified procedures (FAR Part 13), requiring less paperwork and faster timelines. Key benefits: shorter evaluation cycles, commercial item procedures, and automatic small business set-aside for purchases between the micro-purchase threshold ($10,000) and the SAT. The SAT was permanently raised from $150K to $250K by the 2018 NDAA.

A Single Audit (2 CFR 200.501) is required for non-federal entities spending $750,000+ in federal awards in a fiscal year. Covers compliance with award terms and adequacy of internal controls.

A Size Protest (13 CFR 121.1001) challenges whether an offeror meets the applicable small business size standard. Must be filed with the contracting officer within 5 business days of bid opening or notification of apparent awardee. Referred to the SBA Office of Hearings and Appeals for determination. If the protested firm is found other-than-small, it is ineligible for the set-aside award.

Size Standards are SBA-defined thresholds (revenue or employees) determining if a business is "small" for a given NAICS code. Each NAICS code has its own standard — for example, NAICS 541512 (Computer Systems Design) is $34M in average annual receipts, while NAICS 236220 (Commercial Building Construction) is $45M. Standards are set by SBA and updated every 5 years. Check your specific standard at sba.gov/size-standards.

A Small Business Subcontracting Plan (FAR 19.704) is required for contracts over $750K ($1.5M for construction) awarded to other-than-small businesses. Must include percentage goals for subcontracting to SB, SDB, WOSB, HUBZone, SDVOSB, and VOSB firms. Plans can be individual (per contract) or commercial (company-wide). Agencies monitor compliance through eSRS.

Socioeconomic Programs (FAR Part 19-26) include small business set-asides, Davis-Bacon, Service Contract Act, environmental requirements, drug-free workplace, and equal opportunity. Add compliance costs but provide competitive advantages for eligible firms.

SOFA (Status of Forces Agreement) defines the legal status of U.S. military and contractor personnel in a host country. Affects contractor liability, taxation, and legal jurisdiction.

A Software Factory is a DoD concept for rapid, continuous software delivery using DevSecOps practices. Examples: Air Force Kessel Run, Army Software Factory, Navy Black Pearl.

A Sole Source Justification explains why competition is not feasible and why only one source can meet the government's needs. Must include market research results and a determination of fair and reasonable price.

A solicitation is the official government document asking vendors or applicants to respond. In procurement it may be an RFP, RFQ, or IFB; in grants it is usually a NOFO. The solicitation tells you what to submit, when to submit it, and how the government will evaluate responses.

A high-level description of desired outcomes. Contractors propose their own approach to achieve objectives.

A high-level document describing the government's desired outcomes. The contractor proposes the approach.

Source Selection is the process of evaluating proposals and selecting the contractor for award. Governed by FAR 15.3. The SSA (Source Selection Authority) makes the final award decision based on the SSEB evaluation.

The Source Selection Decision Document (SSDD) is the SSA's written rationale for the contract award decision. Documents the comparative analysis of proposals, the tradeoff rationale (for best value), and why the selected offeror represents the best value to the government. A key document in any post-award protest.

A Source Selection Plan (SSP) is the government's internal document establishing the evaluation methodology, team composition, rating criteria, and procedures for a negotiated acquisition. Not disclosed to offerors — only the evaluation factors and their relative importance (from Section M) are shared.

A Sources Sought notice (also called Request for Capability Statements) is a market research tool posted on SAM.gov before a formal solicitation. The agency is NOT buying yet — they are determining if enough qualified vendors exist. Responding is free and non-binding but strongly recommended: it signals interest, may shape the solicitation, and helps determine if the procurement will be a small business set-aside.

A document describing the specific work to be performed, deliverables, and performance standards.

A document describing the specific tasks, deliverables, and timeline for a government contract.

A Specification is a detailed technical description of supplies or their design. Government preference is for performance specs (what, not how) over design specs. FAR 11 addresses specification requirements.

SAP (Special Access Program) restricts access to classified information beyond normal classification levels. Requires specific indoctrination and need-to-know. Common in intelligence and advanced weapons programs.

SSA (Source Selection Authority) is the official who makes the final contract award decision. For major acquisitions, the SSA is typically a senior official (SES or general officer). Must document the selection rationale.

SSEB (Source Selection Evaluation Board) is the team that evaluates proposals against Section M criteria. Composed of technical, cost, and past performance evaluators. Reports findings to SSA.

STIG (Security Technical Implementation Guide) is a DISA configuration standard for IT products. Defines how to securely configure operating systems, databases, applications, and network devices for DoD use.

A Stop-Work Order (FAR 42.13) directs the contractor to halt work temporarily. Maximum 90 days. Government pays additional costs caused by the stop. Must be followed by termination, modification, or resumption.

Strategic Sourcing is a structured approach to analyzing an organization's spending and using consolidated purchasing to achieve cost savings and improved performance. OMB promotes this through category management.

STTR (Small Business Technology Transfer) is similar to SBIR but requires partnership with a research institution. Designed to bridge gap between basic research and commercialization.

A subaward is the financial assistance that a pass-through entity provides to a subrecipient under a federal award. It is different from a subcontract because it carries out program purposes, not commercial goods or services.

A subawardee is the entity receiving a subaward from a pass-through entity. In practice it is usually the same concept as a subrecipient in federal grants language.

The federal government sets annual small business subcontracting goals: 23% overall to small business, 5% to SDB, 5% to WOSB, 3% to HUBZone, and 3% to SDVOSB. Prime contractors with subcontracting plans must establish their own goals consistent with these targets and report achievement in eSRS.

A Subcontracting Plan is required for contracts over $750K ($1.5M for construction) awarded to other-than-small businesses. Must include goals for small, SDB, WOSB, HUBZone, SDVOSB, and VOSB subcontracting.

Subfactors are the subsidiary criteria under each evaluation factor that provide more specific assessment areas. For example, under a "Technical Approach" factor, subfactors might include "Understanding of Requirements," "Methodology," and "Risk Mitigation." Subfactors and their relative importance are disclosed in Section M.

A subrecipient is a non-federal entity that carries out part of a federal award under a pass-through entity. The subrecipient helps perform the program purpose and must follow the award conditions that apply to it.

A supplemental award is extra funding added to an existing grant or award to expand scope, cover a new requirement, or respond to a changed program need.

C-SCRM (Cybersecurity Supply Chain Risk Management) is the process of identifying, assessing, and mitigating risks associated with the supply chain for IT and OT products and services. NIST SP 800-161 provides guidance. Federal agencies must establish C-SCRM programs per EO 14028. Contractors may need to demonstrate supply chain security practices including component provenance and vendor vetting.

Suspension is the temporary exclusion of a contractor from government contracting pending investigation of potential causes for debarment. Effective government-wide. Maximum duration typically 12-18 months.

A Synopsis is a notice published on SAM.gov announcing a planned procurement. Most acquisitions over $25K require a pre-solicitation synopsis at least 15 days before RFP issuance. Exceptions exist for urgency and certain set-asides.

SSP (System Security Plan) is a formal document describing the security controls implemented for an IT system, how they are employed, and the system's security architecture, boundaries, and environment. Required by FISMA and NIST RMF for every federal system. The SSP is a key artifact reviewed during ATO assessments.

A contract paying fixed hourly rates plus materials at cost. Used when the scope cannot be precisely defined.

A Teaming Agreement is a pre-award arrangement where two or more companies agree to team for a specific opportunity. Typically non-binding until a subcontract is executed. Should address roles, workshare, IP rights, and exclusivity.

Technical approach is the section of a proposal describing how the offeror will perform the work, manage risk, staff the effort, and meet the requirements. It is often the most heavily weighted evaluation factor.

The Technical Volume (Volume I in most solicitations) describes your approach, methodology, staffing, and management. Usually the highest-weighted evaluation factor. Should be specific, not generic.

TEP (Technical Evaluation Panel) is the group of government evaluators who assess the technical proposals submitted by offerors. Members are subject matter experts selected for their knowledge of the requirements. The TEP applies evaluation criteria from Section M and documents strengths, weaknesses, and deficiencies.

Termination for Convenience (T4C, FAR 49.1) allows the government to end a contract when it determines that termination is in the government's best interest. Contractor is entitled to costs incurred, profit on work performed, and settlement expenses.

Termination for Default (T4D, FAR 49.4) occurs when a contractor fails to perform — late delivery, failure to make progress, or failure to comply with contract terms. Contractor may be liable for excess reprocurement costs.

TIC (Trusted Internet Connection) is a federal initiative to optimize and standardize network connections. TIC 3.0 accommodates cloud and remote work. Contractors providing network services must comply.

A Total Small Business Set-Aside reserves the entire acquisition exclusively for small businesses meeting the applicable NAICS code size standard. Requires the Rule of Two: the contracting officer expects at least two responsible small businesses will submit competitive offers at fair market prices.

A Transition Plan describes how a new contractor will take over from the outgoing contractor with minimal disruption. Evaluation factor in many services proposals. Covers knowledge transfer, staffing, systems migration.

An Unauthorized Commitment occurs when someone who is NOT a contracting officer makes a commitment that binds the government. Must be ratified by the CO if the government received benefit.

UNICOR (Federal Prison Industries) is a mandatory source for certain products manufactured by federal prison inmates. Agencies must check UNICOR availability before open-market procurement for those products.

A Unilateral Modification (FAR 43.103(b)) is a contract change signed only by the contracting officer, without the contractor's signature. Used for administrative changes (e.g., address corrections, paying office changes), changes issued under the Changes clause, and property matters. The contractor must comply even if it disagrees.

Vulnerability Scanning is the automated process of probing systems for known security weaknesses, misconfigurations, and missing patches. Required by FISMA, FedRAMP, and most ATOs on a regular cadence (often weekly or monthly). Results must be remediated per agency-defined timelines based on severity.

A warranty (FAR 46.7) is a contractor's promise regarding the quality or performance of delivered items. Government may require warranties for complex items, commercial products, or when past performance data is limited.

A Weakness is a flaw in the proposal that increases the risk of unsuccessful performance. A Deficiency is a material failure to meet a requirement or a combination of weaknesses that significantly increases risk. Deficiencies must be identified during discussions.

Win themes are concise statements highlighting why your company is the best choice. They should be specific, discriminating, and verifiable. Threaded throughout the proposal. Example: "Our team delivered 99.9% uptime on 3 similar systems."

A work plan is the schedule-and-task narrative describing how a grant project will be carried out, who will do the work, and when milestones should be met. It is the operational bridge between the narrative and the budget.

Zero Trust Architecture (ZTA) is a cybersecurity model that eliminates implicit trust. Every user, device, and network flow must be verified. Mandated by EO 14028 and OMB M-22-09 for all federal agencies by FY2024.

Zero Trust Architecture (ZTA) is a cybersecurity model that eliminates implicit trust and continuously validates every user, device, and network transaction. Mandated by EO 14028 and OMB M-22-09 for all federal agencies. Key pillars: identity verification, device health, micro-segmentation, least privilege access, and continuous monitoring. Contractors providing IT services must support agency zero trust implementations.