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Class Deviation 2014-O0007 - Prohibition on the Use of the 8(a) Business Development Program for Acquisition of Military Simulation and Military Simulation Training

Summary

Effective January 30, 2014, Contracting Officers may not award prime contracts under the Section 8(a) program for military simulation or military simulation training. This prohibition covers both competitive and sole-source awards. It implements a court-approved settlement in DynaLantic Corp. v. Department of Defense.

Required Contracting Officer Actions

  1. Do not use Federal Acquisition Regulation subpart 19.8 for procurements involving military simulation or military simulation training contracts.
  2. Treat contracts already in effect as of January 28, 2014 as exempt from the prohibition.
  3. If a proposed contracting action may involve military simulation, verify whether the primary purpose of the device is instruction for use, operation or maintenance of military equipment before proceeding under 8(a).

Notes

Definition of Military Simulation: Military simulation contracts cover two categories. First, devices whose primary purpose is instruction for use, operation or maintenance of military equipment. Second, training in the use, operation or maintenance of military simulator equipment.

Prior Guidance: A memorandum from the Director of Defense Procurement and Acquisition Policy dated August 22, 2012 addressed the earlier court order. That prior guidance remains relevant but this deviation reflects the modified injunction from the January 30, 2014 settlement.

Duration: This deviation remains in effect until further notice. Defendants may not seek to vacate the injunction for at least two years from January 28, 2014. After that period, 30-day advance notice to the Court and plaintiff is required before resuming 8(a) awards in this space.

Dispute Resolution: If DynaLantic Corp. believes a contracting action violates the injunction, DoD has 10 days to cure or respond. Parties must make a good-faith effort to resolve disputes before involving the Court.

Suggested Questions

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  • What actions do I need to take for this deviation?
  • Does this deviation affect commercial acquisitions under Part 12?
  • Which clauses need to be removed from my existing contracts?
  • Are there any SAM registration implications?