OFPP tables Section 803

The Bush administration has abandoned its effort to propose a controversial regulation that would have restricted how the Defense Department buys information technology services on the General Services Administration's schedule contracts.

Officials from the Office of Management and Budget and the Office of Federal Procurement Policy (OFPP) have told lawmakers and industry officials that they would not push forward with a last-minute addition to a rule that would have prohibited the long-standing practice of hiring outside contractors to supply IT services on a labor-hour basis. The provision would have restricted DOD's schedule buys to those with a firm, fixed price.

OFPP officials, however, told lawmakers that they plan to rework the rule and propose it at a later date.

The administration had been seeking to include the firm fixed-price provision as part of a rule designed to spur competition on multiple-award contracts. Larry Allen, executive director of the Coalition for Government Procurement, which has been leading the rally against the provision, said it was not the appropriate place for the rule.

The final version of the rule, called Section 803 because of the part of the fiscal 2002 Defense authorization bill that specified the mandate, was supposed to be published in late June.

But in a July 22 meeting, OFPP Administrator Angela Styles told Rep. Tom Davis (R-Va.), chairman of the House Government Reform Committee's Technology and Procurement Policy Subcommittee, that the firm fixed-price provision would not be in the Section 803 rule, a spokesman for Davis said.

Furthermore, OFPP and OMB officials told members of the coalition that the provision would not be included in the Section 803 regulation.

About the Author

Christopher J. Dorobek is the co-anchor of Federal News Radio’s afternoon drive program, The Daily Debrief with Chris Dorobek and Amy Morris, and the founder, publisher and editor of the DorobekInsider.com, a leading blog for the Federal IT community.

Dorobek joined Federal News Radio in 2008 with 16 years of experience covering government issues with an emphasis on government information technology. Prior to joining Federal News Radio, Dorobek was editor-in-chief of Federal Computer Week, the leading news magazine for government IT decision-makers and the flagship of the 1105 Government Information Group portfolio of publications. As editor-in-chief, Dorobek served as a member of the senior leadership team at 1105 Government Information Group, providing daily editorial direction and management for FCW magazine, FCW.com, Government Health IT and its other editorial products.

Dorobek joined FCW in 2001 as a senior reporter and assumed increasing responsibilities, becoming managing editor and executive editor before being named editor-in-chief in 2006. Prior to joining FCW, Dorobek was a technology reporter at PlanetGov.com, one of the first online community centers for current and former government employees. He also spent five years at Government Computer News, another leading industry publication, covering a variety of federal IT-related issues.

Dorobek is a frequent speaker on issues involving the government IT industry, and has appeared as a frequent contributor to NewsChannel 8’s Federal News Today program. He began his career as a reporter at the Foster’s Daily Democrat, a daily newspaper in Dover, N.H. He is a graduate of the University of Southern California. He lives in Washington, DC.


  • Workforce
    By Mark Van Scyoc Royalty-free stock photo ID: 285175268

    OPM nominee plans focus on telework, IT, retirement

    Kiran Ahuja, a veteran of the Office of Personnel Management, told lawmakers that she thinks that the lack of consistent leadership in the top position at OPM has taken a toll on the ability of the agency to complete longer term IT modernization projects.

  • Defense
    Soldiers from the Old Guard test the second iteration of the Integrated Visual Augmentation System (IVAS) capability set during an exercise at Fort Belvoir, VA in Fall 2019. Photo by Courtney Bacon

    IVAS and the future of defense acquisition

    The Army’s Integrated Visual Augmentation System has been in the works for years, but the potentially multibillion deal could mark a paradigm shift in how the Defense Department buys and leverages technology.

Stay Connected