Glossary

Federal Acquisition Regulation Supplement (FARS)

Tags: Glossary

A U.S. DoD document provides various definitions of commerciality, any one of which or a combination of which can be used to justify commerciality.

What is Federal Acquisition Regulation Supplement (FARS)?

The Federal Acquisition Regulation Supplement (FARS) is a document that plays a crucial role in the logistics and procurement processes of the United States Department of Defense (DoD). It provides a set of regulations and guidelines that govern the acquisition of goods and services by the DoD.

One of the key aspects covered by the FARS is the definition of commerciality. Commerciality refers to the extent to which a product or service can be considered as commercially available in the marketplace. The FARS provides several definitions of commerciality, any one of which or a combination of which can be used to justify commerciality.

These definitions are important because they determine how the DoD can acquire goods and services. If a product or service is deemed to be commercial, the DoD can procure it through simplified acquisition procedures, which are less burdensome and time-consuming compared to the traditional procurement methods.

The FARS defines commerciality based on various factors. One definition considers whether the product or service is sold in substantial quantities to the general public. This criterion ensures that the product or service has a proven track record in the marketplace and is readily available to meet the DoD's needs.

Another definition focuses on whether the product or service has been offered to the public without any restrictions. This criterion ensures that the DoD can access the product or service on the same terms and conditions as any other customer, without any special arrangements or limitations.

Additionally, the FARS considers whether the price of the product or service is determined by the marketplace. This criterion ensures that the DoD can benefit from competitive pricing and avoid excessive costs associated with non-commercial items.

By providing these definitions, the FARS enables the DoD to streamline its procurement processes and leverage the commercial marketplace effectively. It allows the DoD to take advantage of existing commercial solutions, reducing the time and resources required for acquisition.

In conclusion, the Federal Acquisition Regulation Supplement (FARS) is a vital document that defines commerciality and guides the procurement processes of the United States Department of Defense. By establishing criteria for commerciality, the FARS enables the DoD to efficiently acquire goods and services from the commercial marketplace, benefiting from proven solutions and competitive pricing.

Ready to Get Started?

Cargoz provides solution for all your storage needs

Share this Article