Simplified Acquisition Procedures

Simplified Acquisition Procedures are the streamlined procurement methods authorized by FAR Part 13 for purchases at or below the Simplified Acquisition Threshold, designed to reduce the administrative overhead of routine buying while maintaining competition and small business access.

What are Simplified Acquisition Procedures (SAP)?

FAR Part 13 (Simplified Acquisition Procedures) establishes a separate, less administratively burdensome set of acquisition procedures for purchases at or below the Simplified Acquisition Threshold (SAT, currently $250,000). Below the SAT, contracting officers can use methods that bypass many of the more complex FAR Part 14 (sealed bidding) and Part 15 (negotiated acquisition) requirements.

Key characteristics of SAP:

• Reduced solicitation requirements: Contracting officers may use purchase orders, SF-44 forms, oral solicitations, or informal written requests rather than formal RFPs or IFBs.
• Limited competition: For purchases between $10,000 and $250,000, the contracting officer must obtain quotes from enough sources to ensure reasonable competition (typically 3-5 quotes) but does not need to conduct a full formal competition.
• Automatic small business set-aside: All SAP purchases between $10,000 and $250,000 are automatically set aside for small businesses unless the contracting officer cannot find two or more small businesses likely to offer competitive quotes.
• Reduced documentation: Contract files for SAP purchases require documentation proportional to the purchase value - a simple purchase order and price reasonableness determination rather than a full price negotiation memorandum.
• Purchase cards: For purchases at or below the micro-purchase threshold ($10,000 for most purchases; $2,000 for construction; $2,500 for services), federal purchase card holders can buy without any contracting officer involvement.
• No certified cost or pricing data: SAP purchases do not require contractor cost or pricing data certifications.

FAR 13.106 provides specific guidance on soliciting and evaluating quotations under SAP, including the requirement to give preference to small businesses and to rotate sources to ensure broad competition over time.

Why Simplified Acquisition Procedures matter for government contractors

For small businesses, SAP represents the most accessible entry point into federal contracting. The automatic small business set-aside for purchases between $10,000 and $250,000, combined with the lower proposal burden (quote rather than formal proposal), makes SAP the training ground for building federal past performance. Small businesses should actively market to contracting officers responsible for recurring SAP purchases in their commodity areas.

Example

A small IT supply company receives a request from a federal contracting officer seeking quotes for 15 laptop computers urgently needed for a new program office. The contracting officer solicits three quotes from SAM.gov-registered vendors under FAR Part 13 SAP procedures. The company submits a quote for Dell laptops at $1,247 each ($18,705 total), meeting specifications and offering 3-day delivery. The contracting officer confirms the price is reasonable by comparing to published GSA Advantage! prices for similar configurations, selects the company as the lowest-priced responsive small business, and issues a purchase order. The entire process takes 48 hours.

Frequently Asked Questions

What is the difference between SAP and micro-purchases?

Micro-purchases (at or below $10,000 for most commodities) are the simplest category - a purchase card holder can buy from any vendor without competition or small business requirements. SAP covers purchases from above the micro-purchase threshold up to $250,000 and requires some competition (typically 3+ quotes) and automatic small business set-aside. Above $250,000, full FAR Part 14 or Part 15 procedures apply.

Can agencies exceed the SAT threshold and still use simplified procedures?

Yes, with special authorization. The Commercial Item acquisition simplified procedures of FAR 13.5 allow use of SAP for commercial item acquisitions up to $7.5 million. For DoD, humanitarian or peacekeeping operations may have higher thresholds. Specific statutory authorities also provide elevated SAT thresholds in designated circumstances.

Do SAP purchases require SAM.gov registration?

Yes. Vendors receiving SAP purchase orders above the micro-purchase threshold ($10,000) must be registered in SAM.gov. Below the micro-purchase threshold, contracting officers may use their purchase cards without verifying SAM.gov registration, though some agencies apply SAM.gov checks even for micro-purchases as a policy matter.

How does an agency document price reasonableness for SAP?

For SAP, price reasonableness is typically established by comparing quotes received (if three or more quotes are obtained at similar prices, the lowest competitive price is presumptively reasonable) or by comparing the quoted price to published catalog prices (GSA Advantage!, market research). A formal price analysis memorandum is not required; a brief note in the contract file documenting the basis for finding price reasonable is sufficient.