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Award Condition: Specific post-award approval required to use a noncompetitive approach in a procurement contract (if contract would exceed $250,000)
The following award condition is specifically incorporated by reference in many OJP awards made during or after 2016.
Important Note: This condition concerns agreements that -- for purposes of federal grants administrative requirements -- OJP considers procurement "contracts." It does not apply to agreements that (for purposes of federal grants administrative requirements) OJP considers "subawards" (also sometimes referred to as "subgrants"). For information on the authorization requirements that apply to subawards, refer to the Award Condition: All subawards ("subgrants") must have specific federal authorization at: https://ojp.gov/funding/Explore/SubawardAuthorization.htm.
Award Term and Condition:
Specific post-award approval required to use a noncompetitive approach in a procurement contract (if contract would exceed $250,000)
Specific advance approval to use a noncompetitive approach in a procurement contract is required. If the recipient (or any subrecipient at any tier) seeks, without competition -- (1) to enter into an agreement that OJP considers a procurement "contract" for purposes of federal grants administrative requirements (and therefore not a "subaward" under those requirements), and (2) the agreement will exceed the simplified acquisition threshold (currently, $250,000), the recipient (or subrecipient) may not proceed with the procurement, and may not award the contract, unless and until it receives specific advance approval from OJP (or its pass-through entity, in the case of a subrecipient) to use a noncompetitive approach.
Neither this OJP award document nor a financial clearance by OJP's OCFO of the proposed budget for this award (including a financial clearance issued after the award is accepted) constitutes the required specific advance approval from OJP for a recipient to use a noncompetitive approach for any such procurement contract.
Post-award request for approval to use a noncompetitive approach. To request advance approval from OJP to use a noncompetitive approach for a procurement contract (as determined by OJP) that would exceed the simplified acquisition threshold, the recipient must submit a justification for use of a noncompetitive approach. The justification must address, in detail, one or more of the circumstances outlined in the Part 200 Uniform Requirements, as set out at 2 C.F.R. 200.320(f). The recipient must submit its request for approval to use a noncompetitive approach (along with the justification) as a "Sole Source Request" Grant Adjustment Notice ("GAN"), via the OJP GMS. Until and unless OJP authorizes the recipient to use a noncompetitive approach by approving the requested GAN, the recipient may not obligate, expend, or draw down any award funds for the proposed noncompetitive procurement contract.
Should the recipient have a question as to whether OJP would consider a particular agreement with a third party a subaward ("subgrant"), or instead would consider it a procurement contract under the award, the recipient is to seek clarification from OJP.
OJP is providing guidance to its recipients (and subrecipients) as to what -- for purposes of federal grants administrative requirements -- OJP considers a subaward ("subgrant") under an OJP award, and what OJP instead considers a procurement contract under an OJP award. This guidance, which will be updated and expanded as needed, is accessible online at https://ojp.gov/training/subawards-procurement.htm.