An other transaction (OT) is a special vehicle used by federal agencies for obtaining or advancing research and development (R&D) or prototypes. An OT is not a contract, grant, or cooperative agreement, and there is no statutory or regulatory definition of “other transaction.” Only those agencies that have been provided OT authority may engage in other transactions.
Other Transaction (OT) Authority
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OT authority originated with the National Aeronautics and Space Administration (NASA) when the National Aeronautics and Space Act of 1958 was enacted. Subsequently, seven other specific agencies have been given OT authority: the Department of Defense (DOD), Federal Aviation Administration (FAA), Department of Transportation (DOT), Department of Homeland Security (DHS), Transportation Security Administration, Department of Health and Human Services, and Department of Energy. Other federal agencies may use OT authority under certain circumstances and if authorized by the Direction of the Office of Management and Budget (OMB).
Generally the reason for creating OT authority is that the government needs to obtain leading edge R&D (and prototypes) from commercial sources, but some companies (and other entities) are unwilling or unable to comply with the government’s procurement regulations. The government’s procurement regulations and certain procurement statutes do not apply to OTs, and accordingly, other transaction authority gives agencies the flexibility necessary to develop agreements tailored to a particular transaction. The Competition in Contracting Act (CICA), Contract Disputes Act, and Procurement Integrity Act are examples of three statutes that do not apply to OTs.
Award/Contract for Homeland Defense, US Army Contracting Command Joint Munitions and Lethality Contracting Center, Picatinny, NY 07806-5000:
Agreement between US Army Contracting Command Joint Munitions and Lethality Contracting Center, Picatinny, NY 07806-5000 and The System of System in Security Consortium (SOSSEC) for FY-09:
FY09 OTA #W15QKN-09-9-0004 and #W15QKN-10-09-0007 Awarded to SOSSEC Inc. Consortium from Homeland Defence, US Army Contracting Command Joint Munitions and Lethality Contracting Center, Picatinny, NY 07806-5000:
Definitions
Agreements Officer (AO) is the U.S. Army Contracting Command; JM&L Contracting Center warranted Contracting Officer authorized to sign the final agreement for the Government.
Agreements Officer Representative (AOR) is the individual designated on a per project basis that monitors all technical aspects and assists in contract administration on a specific project.
Consortium Administrative Organization (CAO) refers to the agent acting on behalf of the members of the System of Systems in Security Consortium to execute and administer the efforts under the Other Transaction Agreement (OTA) for this program. The current CAO is the SOSSEC, Inc. The CAO may be revised in accordance with the Consortium Member Agreement (CMA) of the System of Systems in Secuity Consortium.
Nontraditional Defense Contractor means a business unit that has not, for a period of at least one year prior to entrance into the Consortium, entered into or performed on (1) any procurement contract that is subject to full coverage under the cost accounting standards prescribed pursuant to section 26 of the Office of Federal Procurement Policy Act (41 U.S.C. 422) and the regulations implementing such section; or (2) any other procurement contract in excess of $500,000 to carry out prototype projects or to perform basic, applied, or advanced research projects for a federal agency.
Technical Manager can also be referred to as “AOR” means the Government’s technical administrator for the each individual project (as designated ARDEC) responsible for Government oversight.
Technology and Research Committee means the group comprised of engineers, researchers, and/or managers tasked with assessing proposed technologies for criticality, technology maturity, and technology development/maturation risk. The role of the Industry representative from the System of Systems in Security Consortium on the Technology and Research Committee is to participate in the Technology Selection Process as directed by the Government.
Scope
The Government in conjunction with the System of Systems in Security Consortium shall perform a coordinated research and development program designed to develop prototype HLD and related technologies. Under this agreement and associated awards, and Consortium Project Agreements, the Government, along with the non-government members from the System of Systems in Security Consortium, shall perform coordinated planning and research and development prototype efforts designed to encompass the following as it relates to HLD and related technologies:
Prototype Research: Will include efforts to perform specific prototype research and development projects investigating processes that directly advance the application of HLD missions. This includes development, demonstration, and application of change management plans, techniques, and processes across organizations to achieve successful information sharing approaches.
Technology Development, Evaluation, and Transition: Will include efforts to identify and aid the maturation of selected research technologies and licenses to third parties. Performance includes operating within verification and test facilities to assess products for use in emerging operations.
Technology Integration: Will include efforts toward facilitating integration and ensuring the success of transfer of technologies to ongoing programs, projects and initiatives. Provide, as appropriate for the specific technology, the applicable documentation, certifications, and artifacts that will assist in the transfer of technology to the intended recipient.
Awareness and Demonstration: Will include efforts to provide a showcase for the progression of individually funded programs, demonstration of new/innovative projects and technologies, and validation of system-of-system engineering principles.
Call for Proposal
The Government shall determine which HLD endeavors to pursue and projects to fund. The Government shall provide the System of Systems in Security Consortium, by its authorized agent, call for proposals. The Consortium, by its authorized agent, shall make those calls available to the Consortium Member who will then decide whether to submit proposals in response to such calls and, if so, will prepare their individual proposal(s) or will individually establish a team comprised of Consortium Members to prepare a team proposal(s). The Consortium Member proposals will be submitted to the Consortium Agent for transmission to the Government. The Government shall be solely responsible for evaluation and selection of proposals for project funding from among the proposals submitted. Once it receives notification of selection of a project for funding, the System of Systems in Security Consortium, by its agent, SOSSEC Inc., will enter into a Project Agreement with the System of Systems in Security Consortium Member entity or team whose proposal was selected by the Government through this competitive process. The System of Systems in Security Consortium agent, SOSSEC Inc., shall execute and administer the award and project agreement, and the Government’s designated Technical Manager will supervise the technical work performed by the System of Systems in Security Consortium member(s) selected.
Selected Terms of Agreement
The Program commences upon the date of the last signature hereon and continues for eighty-four (84) months.
Cost Sharing: Cost Sharing is not required under this Other Transaction Agreement but may be considered on a per project basis in accordance with the Under Secretary of Defense for Acquisition, Technology and Logistics “Other Transactions” (OT) Guide for Prototype Projects dated 21 December 2000.
Antitrust: In the CMA, members agree to comply with all applicable U.S. laws, including U.S. antitrust laws. The Consortium's initial CAO, SOSSEC, Inc., is recognized under the National Cooperative Research and Production Act of 1993 and the Consortium will be similarly filing under the Act.
Part I
- Statement of Work
- Process – 1st quarter fiscal year 1
- Technology and Research Committee assess technologies. Selected Consortium members
- Data sheets of ideas
- Evaluate with government the ideas
- Provide the basis for white papers/proposals
- Individual members submit white papers
- Selection/funding of projects by government
- Selection of performance of project by SOSSEC member
Part II
- Report Requirements
- Participation of non-traditional
- Accounting of small/academic/nonprofit, large, etc. participation
- Assessment of fair (reasonably open)
