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ARTICLE · 07 SEPTEMBER 2018

DoD Class Deviation Increases Micro-Purchase Threshold, But Statutory Exceptions Remain Unchanged

On Aug. 31, 2018, the U.S. Department of Defense (DoD) issued Class Deviation 2018-O00018, which increases the micro-purchase threshold for DoD procurements from $5,000 to $10,000.

United StatesGovernment, Public Sector

Mitchell A Bashur is an Associate in Holland & Knight's Tysons office

Amy L. Fuentes is an Associate in Holland & Knight's Tysons office

On Aug. 31, 2018, the U.S. Department of Defense (DoD) issued Class Deviation 2018-O00018, which increases the micro-purchase threshold for DoD procurements from $5,000 to $10,000. The deviation implements Section 821 of the 2019 National Defense Authorization Act (NDAA), and diverges from the FAR and DFARS. Effective immediately, DoD contracting officers are required to use the revised threshold in accordance with the deviation. As part of the deviation, DoD also deleted the definition of "micro-purchase threshold" in its entirety at DFARS 202.101. The new deviation supersedes DoD's April 13, 2018, Class Deviation 2018-O0013, which previously increased the micro-purchase and simplified acquisitions thresholds.

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