DOD Issues Final Rule Regarding Use Of SPRS Assessments In Procurement

WHAT: The U.S. Department of Defense (DOD) issued a final rule that requires contracting officers to consider Supplier Performance Risk System (SPRS) risk assessments when evaluating contractors' proposals and quotes and when determining contractor responsibility. The rule amends the Defense Federal Acquisition Regulation Supplement (DFARS) to add clauses that require contracting officers to consider price risk, item risk, or supplier risk data, if available in SPRS, as part of evaluating bids and in making pre-award determinations of responsibility.

WHEN: The final rule was published March 22, 2023.

WHAT DOES IT MEAN FOR INDUSTRY: The final rule implements an expansion of the DFARS SPRS provisions, which until now had more targeted applications. Although the rule requires contracting officers to consider SPRS risk assessments, the final rule gives contracting officers discretion in how they do so. It thus remains to be seen how contracting officers will use