DoD is proposing to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to implement a section of the National Defense Authorization Act (NDAA) that contains competition requirements for religious-related services contracts on U.S. military installations.
Section 898 of the NDAA for Fiscal Year (FY) 2016 requires that DoD should not preclude a nonprofit organization from competing for a contract for religious-related services on a U.S. military installation. Religious-related services typically performed on U.S. military installations can range from choir directors to pastors to organists to counselors.
DOD proposes adding a new DFARS subpart 237.7X, Competition for Religious-Related Services, which will contain the language to allow nonprofit organizations to compete on contracts for these types of services. A cross-reference to DFARS 219.270 is also provided to direct contracting officers to guidance on the treatment of set-asides for small business concerns.
Additionally, a new DFARS section 219.270, Religious-Related Services—Inclusion of Nonprofit Organizations, is proposed to clarify that when acquiring religious-related services on a U.S. military installation, nonprofit organizations may not be precluded from competing, even when a small business set-aside is used, and that none of the exceptions for other than full and open competition at FAR 6.302-5(b)(4) through (7) may be used for such procurements. This ensures that contracting officers issue solicitations for the covered services on a competitive basis and are aware that set-asides may still be used, though offers from nonprofit organizations may be considered for award.
There will also be a new provision proposed at DFARS 252.219-70XX, Competition for Religious-Related Services, which is prescribed at DFARS 219.270 for use in solicitations for the acquisition of religious-related services on a U.S. military installation that will be set-aside for one of the small business programs identified at FAR 19.000(a)(3). The solicitation not only provides notice to potential offerors that a nonprofit will not be precluded from competing for award, but also advises nonprofit organizations that the contracting officer will verify that it is registered as a nonprofit organization in SAM before considering it for award. Conforming changes will be made to DFARS 212.301(f)(vii) to ensure the provision is also used in commercial acquisitions.
Similar to the changes proposed at DFARS 219.270, a new paragraph (b) is proposed to be added to DFARS 213.7001 to direct contracting officers not to use the sole source authority at FAR 6.302-5(b)(4) and not to exclude a nonprofit organization from participating in competitive procurements under the 8(a) program.
A definition of “nonprofit organization” is also provided where the term is used in the rule. The definition proposed in the rule is the same as the definition provided in FAR subpart 26.4 and the clause at 52.226-6, Promoting Excess Food Donations to Nonprofit Organizations. The definition also aligns with the description of a nonprofit organization provided in the SAM database.
I’ve actually had quite a bit of experience with religious service acquisitions. At one of the bases where I was a CO, we had to figure out how to award contractual instruments for small dollar (usually less than $200/month) for religious-related services (organist, pianist, youth group coordinator, a person to launder the priest’s vestments, etc. We could not use a government purchase card since most of the folks doing the work were local folks that did not have the capability to accept credit card payments. In fact two of them did not even have internet access! We finally worked with the GPC office and got the chapels a convenience checking account linked to a GPC account and they could write checks for the services which we awarded under Blanket Purchase Agreements.
In the high stress environment of life on a military installation, religious-related services are crucial.
I never had a non-profit organization who wanted to bid on any of our religious services, but I can see where there might be a case where it would be the best alternative to get certain services, like counseling.