Full version of an article featured in National Defense Magazine The good news – Congress has provided the Department of Defense with a cluster of legal authorities to conduct experimentation, research, development, prototyping, and production that can lead … Continued
Change is coming for government, including the Department of Defense (DOD) and the defense industry. Improving government efficiency is a central initiative of the incoming Presidential administration. Change can be fast-tracked by understanding lessons from the past – what … Continued
We’re back! Strategic Institute dusts itself to help off to once again help affect positive change in Federal Acquisition for R&D and the delivering of new advanced capabilities. In this episode we talk paradigm shifts, institutional corruption and other … Continued
The proposed rule is misguided and counterproductive. Issuing the rule involves a major change and would be contrary to law! General. A regulatory approach to implementing “Other Transactions” (OTs) is contrary to the spirit of OTs and undermines the innovation … Continued
Telstar I – Perspective, Thinking and Innovation Once upon a time the government had a monopoly on outer space. Whether it was the Soviet government, or the U.S. government, space launches and satellites were strictly a matter of government innovation, … Continued
When war clouds began to darken in the late 1930’s America’s defense industry was a small, almost insignificant, factor in the economy. As the military began rapid expansion, feelers were put out to private industry; would they be prepared to … Continued
From 2016-2019 Strategic Institute in conjunction with Innovation Finance Group later 50lb Brain worked hard to drag DoD acquisition leadership and bureaucracy to water, to show them the way. We illustrated how the flexibility and freedom of contract inherent in … Continued
Most procurement lawyers, contracting officers and other acquisition professionals do not understand the relationship between highly regulated Federal Acquisition Regulation (FAR) contracts and Other Transaction (OT) contracts. This misunderstanding primarily stems from a false notion or premise, namely that … Continued
The ability of the Department of Defense and other Government agencies to avoid facing reality or learn obvious lessons would be amusing if it was not so critically important. The Department of Defense and other Government agencies are in need … Continued
Adherence to technology and industrial base policies can help alleviate supply chain disruptions and dependence on potential adversaries as sources of supply. In what might seem a minor change section 851 of NDAA 2024 added services and supplies to … Continued
The new (2023) Other Transactions Guide was waylaid by the DoD acquisition bureaucracy for a few years. Now out, the new guide, as expected, reflects business-as-usual thinking and a desire to limit the potential of these flexible acquisition authorities … Continued
A June 2023 Government Accountability Office report shows that DoD has a plethora of flexible authorities for more effectively pursuing and advancing knowledge and capability that are going unused or little used. Why? In this episode we try … Continued
For an intellectual, a person who engages in critical thinking, research, and reflection about the reality of society, and who proposes solutions for normative problems, it is vexing to ponder why federal acquisition for R&D remains stuck and wedded … Continued
Given the pitiful state of defense acquisition for R&D and delivering new capability that defers risk to the warfighter, wastes taxpayer funding, shrinks the industrial base, steals from the future, and is an obvious threat to national security, one would … Continued
The Department of Defense recently published “National Defense Science and Technology Strategy 2023” that contains ZERO consequential strategy and parrots what others have said ad nauseam. The document correctly identifies that there is a very serious problem … Continued
In this episode Rick Dunn, former DARPA General Counsel, talks with TC Hoot, a long time DoD Acquisition Program Manager, currently Senior Program Manager at MISI, a Partnership Intermediary serving U.S. Cyber Command, about how to move out … Continued
Most people have a good idea of what fraud, waste, and abuse looks like, but few recognize institutional corruption, because it’s “normal”. From Harvard’s, Safra Center for Ethics: “Institutional corruption is manifest when there is a systemic and strategic influence … Continued
In this episode, Strategic Institute’s Founder, Rick Dunn hosts professional WWII Historian, Justin Taylan, to discuss how major events are effected and shaped by numerous discrete small decisions and events, as is the case for the business of delivering … Continued
In this episode Rick Dunn, former DARPA General Counsel and pioneer of DoD’s Other Transactions (OTs) authority, talks with Bill Greenwalt, a long time Senate Staffer (SASC) and former Deputy Undersecretary (Industrial Policy), who was instrumental in the creation of … Continued
In this episode Strategic Institute cuts through DoD’s myth and lore to highlight the real reasons why Other Transactions were created and what problems they are intended to solve. Other Transactions authorities (OTs) have realized increased use, but … Continued
Folly: 1) Lack of good sense, understanding, or foresight 2) a costly and foolish undertaking; unwise investment or expenditure. Few subjects have been the focus of more study than DoD acquisition for R&D and the delivery of new capability. … Continued
In this podcast episode Strategic Institute discusses the five principles of Other Transactions (OTs) authorities for federal R&D. 5 Principles of Other Transactions (OTs) 1. OTs = Flexibility 2. If it’s R&D, use an OT 3. OTs are FAR out … Continued
In this episode Rick Dunn talks with LTC Dean Korsak from the Air Force Research Laboratory, Information Directorate about the role government lawyers can take to enable business process innovation, using flexible contracts, to better deliver the fruits from … Continued
In this episode Strategic Institute discusses the forces pushing back against innovation in business processes for federal R&D. Other Transactions authorities are flexible contracts that permit the government to experiment with different business approaches and arrangements in effort to … Continued
In this episode Strategic Institute discusses the 2023 National Defense Authorization Act (NDAA) in regard to acquisition for R&D, and specifically the report language, “strongly encouraging” DoD to educate the workforce in flexible acquisition authorities – other transactions. Other Transactions … Continued
Congress continues to broaden and show support for flexible contracting authorities meant to foster business innovations for delivering the fruits of federally funded research and development (R&D) more effectively. Sections 842 and 843 of the recent National Defense Authorization … Continued
In this episode Strategic Institute gives a year-end review of education for innovative acquisition and flexible contracting authorities for federal R&D. It has been five years since Congress mandated DoD to educate all ‘management, technical, and contracting’ personnel involved … Continued
In this episode Strategic Institute’s Rick Dunn and special guests Col. Mark “Puck” Mykleby and Sam Moyer discuss opportunities and potential challenges that wait ahead for the newly announced Department of Defense, Office of Strategic Capital; which seeks … Continued
In this episode Strategic Institute discusses how tapping outside funding, non taxpayer sources, can benefit federal R&D and innovation programs. We applaud the idea behind the recently announced Department of Defense, Office of Strategic Capital. Strategic Institute with partners, … Continued
In this episode Strategic Institute discusses factors in federal acquisition that prevent learning new approaches for delivering the fruits of research and development (R&D). Does previous indoctrination affect the ability to learn new things? Do Federal Acquisition Regulations limit … Continued
In this episode Strategic Institute goes strong on the message of positive transformation in federal acquisition for effectively delivering the fruits of R&D and new capabilities. The days of “my ignorance is as good as your knowledge,” responsible for … Continued
In this podcast episode Strategic Institute emphasizes the importance of interdisciplinary teams that are empowered and protected by leadership for the purposes of exploring and exploiting the flexibility inherent in Other Transactions authorities, and the wide variety of business … Continued
In this episode Strategic Institute questions the DoD’s use of so-called Other Transactions consortia. Are these arrangements the best use of the authorities? Do these entities meet the definition of consortia? Do they actually award OTs? Are they even … Continued
In this special and highly educational episode Rick Dunn, the OG of DoD Other Transactions authorities, discusses the Middle Tier of Acquisition with three of today’s brightest minds in federal acquisition for R&D and advancing new capability. This is … Continued
Other Transactions (OTs) are flexible contracts that are intended to foster the business relationships needed to facilitate and deliver new and advanced technologies, innovative solutions, and to maximize investment in research and development (R&D). As flexible contracts, specifically for … Continued
In this episode Strategic Institute discusses the forthcoming DoD Other Transactions (OT) Guide that has been in the works for some time. The most recent 2018 OT Guide was developed by the Office for the Undersecretary of Defense, Acquisition … Continued
How can an organization or person be innovative without first being imaginative? Can you have sustained innovation without being fueled by imagination? Definition of imagination 1 : the act or power of forming a mental image of something not present … Continued
In this podcast episode Strategic Institute discusses the advantages of using appropriate contracts for federal R&D. Federal Acquisitions Regulations (FAR) contracts are inappropriate, per Part 35, which states FAR is procurement for acquiring goods and services. R&D and advancing … Continued
In this episode Rick Dunn sits down with Raj Shah a former Managing Partner at the Defense Innovation Unit, an F-16 pilot, and entrepreneur to discuss gearing defense acquisition to keep pace and innovation to meet current and future … Continued
In the Government’s response to the pandemic, Operation Warp Speed, both Other Transactions (OTs) and the Defense Production Act (DPA) were used. In testimony before the Senate Armed Services Committee, a DOD witness seemed to lump use of these … Continued
The U.S. Court of Federal Claims released its opinion in the Hydraulics case (No. 22-364) 0n August 8, 2022. The action that was protested related to a subproject award under the Army’s Aviation and Missile Technology Consortium (AMTC) other … Continued
In this podcast episode Strategic Institute recaps controversial topics from a previous episode (recent protest – consortia model), and discusses the symbiosis between flexible federal contracting authorities, other transactions, and the greater flexibility offered to the government by using … Continued
Partnership intermediaries (PI) are an underutilized technique available to Federal agencies to make effective use of their Other Transactions (OT) authority. A PI can be used for outreach activities, screening potential technology contributors, and supporting the evaluation of technical proposals, … Continued
The latest Other Transactions (OT) protest case highlights the critical need for education and training for participants involved in awarding these agreements. In this case, it appears that no party involved understood the Other Transactions for prototypes statute. Also … Continued
In this episode Strategic Institute talks about keeping the faith for 30 years. It has been that long since Other Transactions (OT) authorities were first introduced in the DoD. The early pioneers, adopters, and educators still have faith that … Continued
In this episode Strategic Institute discusses the lack of “infrastructure” to support federal acquisition that is dynamic and promotes synergy for the best results in R&D and delivering new capability. Instead, the government chooses to miss opportunities and potential … Continued
In this episode Strategic Institute talks with Dr. Dolores Kuchina-Musina of REXOTA Solutions to discuss the focus of her PhD dissertation – Other Transaction Agreements (OTA) and innovation policy. Dolores approaches her work and study of an often difficult … Continued
The DoD is notorious for slacking at the front-end of R&D programs, preferring to punt and pray that it all comes together at the back-end. From a business perspective this is sheer insanity! The more thoroughly an organization identifies … Continued
The secret to federal business ingenuity and greater acquisition success for R&D and delivering new capability lies in educating people, whereas the secret for maintaining the status quo is in keeping them ignorant. The federal government has been “gifted” … Continued
Strategic Institute stands out for advocating for education, understanding, and supporting the workforce so they can best use flexible federal contracting authorities specifically for R&D and delivering new capabilities (other transactions and related acquisition authorities). DoD leadership has … Continued
Do we need a better defense acquisition system to exploit the fruits of R&D and deliver new capabilities? While the often mouthed rhetoric says “yes” actions by leadership send the opposite message “NO!” The piece parts of what can easily … Continued
The United States Air Force was once a leader in technological developments. Before WW2 Assistant Chief of Staff for Procurement Maj. Gen. H.H. “Hap” Arnold took advantage of commercial developments that increased the octane-rating of aviation gasoline to ensure … Continued
In this episode Strategic Institute discusses the toxic Department of Defense (DoD) acquisition workforce culture where fear and lore is enabled and perpetuated by entrenched interests. The DoD acquisition system for R&D and delivering new capabilities failed sometime ago … Continued
In this podcast episode, Richard Dunn, former DARPA General Counsel, addresses the 2022 Breakthrough Energetics Conference hosted by Purdue University where he highlights the most critical innovation the DoD can focus its energies on is business process reform that … Continued
“Rules for thee but not for me.” – DoD The Department of Defense (DoD) acquisition system can be defined by its separateness. It is a whole universe unto itself, walled off and apart from the rest of industry and … Continued
The defense acquisition system focuses so much on cost it has become completely unaffordable, and riddled with missed opportunities. In this podcast episode Strategic Institute discusses the difference between ‘cost’ and ‘value’, and we think out loud about the … Continued
In this podcast episode Strategic Institute’s Founder, Rick Dunn talks with Amanda Bresler and Alex Bresler from PW Communications about their latest research – Analyzing the Composition of the Defense Small Business Industrial Base. The research findings are … Continued
What is a prototype? What seems to be a simple question with a simple answer is sometimes mysterious when trying to determine if a project falls under Other Transactions statutes. First, it is important to recognize that what the prototype … Continued
In this podcast episode Strategic Institute talks about DoD’s continued reliance on a procurement system for R&D and advancing new capability. “if all you have is a hammer, everything looks like a nail.” – Abraham Maslow The DoD habitually … Continued
In this episode the Strategic Institute team talks about “innovation,” a buzz term that has become ubiquitous in the federal government. Using a 2008 article as a basis of discussion, the team relates and connects it to Other Transactions authorities … Continued
Join Strategic Institute in discussing why the defense acquisition system for R&D and delivering new capabilities is persistently stuck in first gear and getting passed by on the rapid 21st century highway. The DoD once had a functional acquisition system … Continued
In this episode Strategic Institute discusses the most common question we hear from federal contracting personnel… How do I do an Other Transactions Agreement? Unlike the traditional system based on the Federal Acquisition Regulations (FAR), Other Transactions (OTs) have no … Continued
In effort to fix the critically serious and known problems that have plagued DoD acquisition for R&D and delivering new capability for decades, the DoD unveiled The Adaptive Acquisition Framework as a remedy. However, the graphic representation of the … Continued
In this episode Strategic Institute discusses why private sector funding of government R&D and in the development of new capability is not only permissible using Other Transactions but also why it makes a lot of sense. With so many dollars … Continued
In this lively episode the Strategic Institute team talks about Other Transactions (OT) education. More specifically the lack thereof and how this tantamount to shooting oneself in the foot! It has been almost FIVE YEARS since Congress mandated that … Continued
Extensive study of the defense acquisition system has produced numerous recommendations for its improvement. A recommendation found throughout is the need for empowered and protected teams. When it comes to R&D, innovation, and delivering new capabilities, teaming strategies as well … Continued
YES! This podcast episode begins with a snippet of President Eisenhower’s farewell address warning the public about the corrupting influence of the Military Industrial Complex and ends with his warning about squandering future generations’ resources in exchange for present day … Continued
In this episode of Innovation in Government Business, Strategic Institute discusses OTAs and compliance issues and myths. Other Transactions Agreements (OTA) are unlike procurement contracts under the Federal Acquisition Regulations System (FAR). The primary objective under the FAR system … Continued
Other Transactions for experimental purposes 10 USC 2373 (now 4004) is rarely used by DoD program offices. The authority allows DoD to quickly access commercially available technologies and products for test, experimentation and residual use. The authority is ideal … Continued
The first episode of the Innovation in Government Business podcast is now live! Your friends at Strategic Institute for Innovation in Government Contracting welcome all Federal acquisition deviants, innovators, doers and creators to listen, learn, and be inspired to create … Continued
Practitioners or those otherwise interested in Other Transactions (OTs) should be aware of some numbers that impact the use of OT authorities. In a kind of slight of hand or trick Congress has redesignated the OT statutes recodifying them … Continued
Not every federal research and development project results in a prototype, some basic and applied research is done in the quest for expanding knowledge and/or determining utility. For Department of Defense (DOD) R&D labs engaged in these activities, 10 USC … Continued
Historians, military officers, and most other people know that the Wright Brothers epic first flight of a powered, piloted aircraft took place in 1903. Many also know that in World War I, the Great War of 1914-1918, several nations … Continued
With the enactment of section 867, National Defense Authorization Act (NDAA) of 2018, Congress directed that DOD shall “In the execution of…prototyping programs…establish a preference for using transactions other than” procurement contracts. The DOD Other Transactions Guide issued in November … Continued
A remarkable opportunity awaits the Space Force to take a bold new approach to acquisition and synergistic relationships for delivering new capabilities more effectively, faster, and affordably. The DOD’s arcane business processes are like flying a straight wing aircraft … Continued
There is much hand-wringing in the Air Force right now about sky high F-35 sustainment costs with no solution in sight. The Air Force is even considering reducing its planned purchases of the 5th Generation fighter. At the … Continued
An article recently published in The Government Contractor magazine (5/5/2021) on an Inspector General report on Consortium Other Transactions (OTs) was followed by a Practitioners Comment of mine. Richard Kuyath, former government contracts counsel at 3M, provided some kind words … Continued
10 USC 2373 – A delightful, catchy tune about an underappreciated and underutilized DOD rapid acquisition authority 10 USC 2371 – R&B/Rap promotional video 10 USC 2371b – Punk song about a powerful authority Lyrics and songs written by … Continued
A “vision statement” is a narrative that memorializes the mutual goals of a project. It might be viewed as similar to the preliminary recitals that were once common in contracts. What is particularly important is the discussion that precedes crafting … Continued
Other Transactions, for the Department of Defense (DOD), 10 U.S.C. 2371, 2371b and Procurement for Experimental Purposes (10 U.S.C. 2373) have no statutory requirement for the involvement of an “agreements officer.” They certainly do not require an agreement to be … Continued
DOD senior political officials, military service Senior Procurement Executives (Senate confirmed officials), senior career acquisition officials, and their lawyers have in what seems almost a concerted manner refused to implement key Congressional directives embodied in statute. They have ignored … Continued
Flexible Other Transactions authorities (OTs) offer greater opportunity to interface with a variety of beneficial program/project partners and establish fruitful collaborative relationships. The dominate workforce generation, Millennials, values collaborative working environments and developing synergy between parties. They grew up online … Continued
Early in the COVID pandemic crisis DOD and the Department of Health and Human Services (HHS) were directed to cooperate in coming up with a response to the crisis. They entered a memorandum of understanding on their cooperation on … Continued
The DoD and federal government are missing out! So too are large segments of the industrial base. There is an inability to conceptualize the congruency between the Small Business Innovation Program (SBIR) and Other Transactions (OTs). Procurement contracts (FAR), though … Continued
Two provisions of the National Defense Authorization Act for 2021 are likely to impact DOD’s use of Other Transactions (OT). One provision (sec.833) directly references 10 U.S.C. 2371 and 2371b OTs, but will probably have modest effect. Another provision … Continued
New acquisition policy initiatives from current Department of Defense leadership are unlikely in their remaining few weeks. The new administration, however, has a chance to hit the ground running by implementing congressional mandates and recommendations that have been ignored or … Continued
Visionary – one having unusual foresight and imagination Visionaries are revered or reviled; a lot depends on where they are in the pecking order. Most folks laud the visionary CEO or entrepreneur, but the middle manager or technician not so … Continued
There is a problem with Other Transactions as implemented by DOD. The problem is that DOD leadership, beginning with the Secretary of Defense, does not understand the potential and power of Other Transactions (OTs), an obvious lack of vision. … Continued
Every ten to fifteen years or so the DoD refocuses for four to five years to improve acquisition. This was relayed by Navy’s head of acquisition last year at a Strategic Institute conference. At that time, he said he believed … Continued
SI’s Founder, Rick Dunn, video chats with Mike McGrath of McGrath Analytics to discuss Other Transactions and their prior and potential use for sustainment. RD: Good morning! This is another Strategic Institute Acquisition Web Talk. Our guest this morning … Continued
Federal Government agencies enter into a wide variety of contractual relationships for various purposes under different regulatory regimes. In addition to procurement contracts covered by the Federal Acquisition Regulation and assistance instruments (grants and cooperative agreements), these include contracts … Continued
The Biomedical Research and Development Authority (BARDA) of the Department of Health and Human Services (HHS) has been engaged in coming to grips with serious issues that challenge the health of our nation’s citizens as well its economy and national … Continued
In the development of new capabilities, technological innovation and deploying these at the speed of relevance, the area in which the DoD can be truly most innovative is how it conducts business. Finding innovative companies and technologies is usually … Continued
The Defense Ordnance Technology Consortium (DOTC) dating back nearly twenty years created a model of an Other Transactions consortium that has been replicated more than a two dozen times. Many people wrongly associate Other Transactions (OTs) only with this … Continued
Language and it’s meaning is important. One issue that contributes to a lack of understanding Other Transactions (OTs) relates to misconstruing statutory language. The Federal Acquisition Regulation (FAR) uses similar or the same words found in the OT … Continued
SI’s Managing Partner, Christian Dunn, sits down with Founder, Richard L. Dunn, to discuss Other Transactions. What makes a good OT Lawyer? CD: Legal offices, lawyers, tend to be one of the most frequently cited roadblocks for those using other … Continued
SI’s Director of Operations, Alayne Dunn, sits down with Founder, Richard L. Dunn, to discuss milestone payments. What are OT milestone payments and how do they differ from FAR performance-based payments? AD: Rick, let’s talk about milestone payments. Can you … Continued
SI’s Managing Partner, Christian Dunn, sits down with Founder, Richard L. Dunn, to discuss Other Transactions. Who and what qualities are essential in creating the OT team? CD: A recurring theme when talking about doing business differently with … Continued
SI’s managing partner, Christian Dunn, sits down with founder, Richard L. Dunn, to discuss Other Transactions. Are they just a tool in the toolbox or are they something entirely different? Video Transcript: CD: Defense leadership has been quoted … Continued
Does DoD’s medical community know that there is a quick reaction way to experiment, test, develop or evaluate and get into use new approaches needed in an emergency? Since the medical community is served by the same contracting and … Continued
In the Star Wars: The Empire Strikes Back, the culmination of Yoda’s wisdom imparted to the young Jedi in training, Luke Skywalker, was to forcibly utter “You must unlearn what you have learned,” shortly before passing. This quote has … Continued
It is vexing to hear the refrain that Other Transactions (OTs) are intended only or primarily for non-traditional performers. Several articles on the Strategic Institute website point out that appealing to nontraditional companies is a means to an end, … Continued
I noticed the header on the Washington Post: Democracy Dies in Darkness. A recent story by Aaron Gregg made me wonder if democracy thrives better in the murk of misleading and false information. The story, Seeking the edge over geopolitical … Continued
Have you noticed? There is much talk about Other Transactions and other innovative business practices. It shows up in the trade press, social media feeds and on websites. Progress is being made but it is slow. Less than 2% … Continued
You have come across a broad sea and landed on a beautiful tropical island. Tanned people in scanty clothing come out to meet you and your sailors clothed in 15th Century European seamen’s attire. You have discovered a … Continued
This is not a DAU or contracting course lecture about going to jail if you don’t follow all the rules. There is no FAR “jail” for contracting officers, much less program managers, who don’t follow the rules. Contracting officers, … Continued
What is the most important OTA? Most likely it is an OTA that hasn’t been invented yet. For some organizations the most important OTA may be a replication or slight modification of something that has already been pioneered. For … Continued
The problem It’s no secret that DoD has an aviation readiness problem. In September 2018, GAO reported that front line Air Force and Navy tactical aircraft were well below their operational availability goals and their operating and support costs were … Continued
written by Richard L. Dunn The Apollo moon landing on 20 July 1969 holds a special place in my heart. My father worked on the Apollo program as a contractor employee. He worked for Apollo contractor ILC Industries best known … Continued
In discussing a topic like milestone payments, the aphorism, “OT’s are FAR out” should be kept in mind. It is easy to drift into FAR conceptual boxes. One of these is that contracts are structured either as cost-reimbursement or … Continued
In selecting the right approach or right instrument to pursue innovation and find the pathway to a fielded capability, prize competitions under 10 U.S.C. 2374a are an under-utilized resource. Section 2374a is found in Chapter 139 of Title 10 … Continued
Undersecretary of Defense (A&S) Ellen Lord recently came out with a statement focusing on “trusted investments” in innovative companies that have the potential to contribute to critical missions of interest to the Federal Government. Innovative … Continued
2018 was a particularly rich year for intellectual property in government contracts (and elsewhere). Continuing with our annual theme of focusing on an event or issue, we will address the hot topics of Other Transactions… Other Transactions (“OTs”) or … Continued
The Strategic Institute firmly believes that the Other Transactions (OT) Team is the most important part in a successful OT agreement. The agreement’s success/failure can be directly related to how strongly the team embraces the “spirit” of OTs and … Continued
Other Transactions agreements (OTs) are faster than traditional acquisition. But this is not the “why”. Other Transactions are about experimenting with smart business, teaming and collaborative approaches. Speed is a value-added by-product of doing mission-oriented work. The reality is … Continued
When it comes to who will shape the technological future of the US military, the impact of traditional, large defense contractors shouldn’t be understated. Innovation exists everywhere, regardless of company size. Recent articles, guidance, and interview snippets from policy … Continued
Other Transactions authorities (OTs) are not just a tool, nor are they about process. They are so much more and simpler than that. These authorities are about freedom! Freedom to think, freedom to experiment with different ways of doing … Continued
The Small Business Innovation Research (SBIR) program was established in the 1980’s. Authorizing legislation is 15 U.S.C. 638. The SBIR program taxes Federal agencies with large R&D outlays a small percentage of their extramural R&D budget for funding. The purpose … Continued
Misinformation about other transactions is legion. Much of the misinformation stems from ignorance or a misinterpretation of OTs grounded in previous experience with traditional procurement contracting. Sometimes misinformation is conveyed by sources that many would assume speak knowledgeably … Continued
The chief problem that the DoD and other acquisition agencies have is not tied to a lack of desire to speed up their business practices. Nor is the problem based in a lack of statutory or regulatory authority that … Continued
A new Other Transactions (OT) Guide has been issued by the Under Secretary of Defense for Acquisition and Sustainment (USD, A&S). The new guide is a stark departure from the previous OT for Prototype Guide, issued in January 2017, … Continued
“OTAs are used when you’re really experimenting and prototyping… to find out exactly what the art of the possible is.” – Ellen Lord, Under Secretary of Defense AT&L To adequately solve a problem, the problem must be understood. This … Continued
How the opportunity to save Billions of dollars is being squandered As mentioned in Part 3 of this series Congress presented DOD, which handed the task to the Defense Advanced Research Project Agency (DARPA), a series of programs and what … Continued
It has been erroneously asserted on occasion that only Research, Development, Test and Evaluation (RDT&E) appropriations are available for execution of projects as other transactions pursuant to 10 U.S.C. 2371 or 2371b. The question of whether Operations and Maintenance (O&M) … Continued
“Simply having technology first does not ensure an enduring lead. While the United States was first to develop the airplane, only a year after the Wright Brothers demonstrated flight in Paris, the French ran away with the military application … Continued
written by Strategic Institute Staff “The more things change, the more they stay the same.” Early on, OT authority and the first agreements were misunderstood; subject to poor reporting that resulted in false assumptions which were then accepted as accurate. … Continued
written by Richard L. Dunn “Costs too much, takes too long” – what is the problem? As pointed out in Part 1, the Federal government does not actually need contracting statutes to enter into and perform contracts. … Continued
The growing volume of misinformation about Other Transactions (OTs) is fed by reporters and commentators who do a poor job; so-called experts of various ilks who pontificate on a subject about which they know only a limited amount; outright … Continued
Spend enough time in federal acquisition and contracting circles you will hear ‘experts’ and apologists of the traditional system bemoan the lack of competition in awarding government contracts. The prevalence of ID/IQ contracts and other transaction consortia structured like multiple … Continued
Lists of the various agencies with Other Transactions (OT) authority have been included in various articles and guides. The number of agencies that have some form of OT authority is much greater than indicated in published lists. Statutory … Continued
Not many years ago the term “paradigm shift” was often found in everyday speech. It was widely and wildly misused. Based on my experience, I would say most people that used the phrase had no idea where it came from … Continued
If this article had a subtitle it might be something like “How did OTs get off track when they were on course to be the core of an alternative to the ponderous traditional acquisition system that makes fielding new capabilities … Continued
The problem: Because defense systems cost too much and take too long to field, DOD tends not to refresh or replace its systems on a timely basis. Instead legacy systems remain operational for decades; sometimes many decades. This in … Continued
First, don’t get me wrong. Other Transaction (OT) consortia as commonly practiced today are a welcome advance over business as usual. They serve a number of purposes from moving money quickly on to contract, to attracting non-traditional performers, and, … Continued
The power of OT’s is being rediscovered. Other Transactions potential to transform the acquisition system is being demonstrated. Yet, it is not uncommon to run into folks that think OT’s are used only to form consortia or aimed only at … Continued
The optimum way to execute Other Transactions is with a team of knowledgeable professionals. Before even starting on execution, an organization new to OT contracting should get together a larger group, including not only the core execution team but other … Continued
Cries for acquisition reform can be heard in the speeches of senior Defense Department leaders and members of Congress. There is much wringing of hands over the slow pace and high cost of fielding defense systems. There are concerns that … Continued
One of the areas of confusion and misunderstanding concerning Other Transactions (OTs) that has greatly limited use of section 2371 OTs is “cost sharing” a term not used in the OT statutes. Always remember the first principle of interpreting … Continued
In 2000, an amendment to Other Transaction for Prototype Authority (then section 845, currently section 2371b, title 10, U.S. Code) was included in NDAA 2001 that added what is now a sub-section (d). The amendment was intended to provide clarity … Continued
A tool or instrument is only ever as good as the user, as is the case for Other Transactions Authority (OTA). A sophisticated tool or instrument takes learning and practice to develop expertise. To date OTA has been relegated to … Continued
Organizations interested in innovation and flexible contracting should obtain delegations of authority for section 4023 of title 10, U.S. Code (purchases for experimental purposes) which while technically not using the language of other transactions is closely related in spirit … Continued
– Richard L. Dunn Don’t worry this short essay is not about the philosophy of Soren Kierkegaard. Instead its purpose is to illustrate that Other Transactions (OTs) do not fit simply into one box called acquisition or another box called … Continued
Richard L. Dunn – One of the most basic issues related to DOD Other Transactions (OT’s) is who has signature authority with respect to OT’s. What personnel and organizations may award and administer OT’s? Statutory Authority. “The Secretary of … Continued
Written by Richard L. Dunn (July 2017) Containing legal authorities in conceptual boxes that accommodate organizational structures and preexisting thinking is often bureaucratically convenient. It can also result in limitations that adversely affect mission accomplishment. The Technology Investment Agreement … Continued
Not infrequently government program managers and other acquisition professionals see an opportunity where some form of innovative contracting would expedite or enhance their mission. Sometimes they get a response lacking in knowledge and understanding, such as “Other Transactions are illegal.” … Continued
A December study produced by Air University suggests the Air Force further use the Pentagon’s other transaction authority (OTA) to partner with domestic commercial firms pursuing quick and rapid launch capabilities. The study, “Fast Space: Leveraging Ultra Low-Cost Access for … Continued
On May 27, 1997 Richard L. Dunn received the Secretary of Defense Medal for Meritorious Civilian Service for his work in innovative contracting. It read: For exceptionally meritorious civilian service as General Counsel, Defense Advanced Research Projects Agency (DARPA), … Continued
Written by Strategic Institute Staff – Having lived in ‘transitioning neighborhoods’ in urban cores most of my adult life I became familiar with a particular defeatist, apathetic behavior. It is not uncommon to walk down the street and hear … Continued
Even the world’s largest bureaucracy can learn to dance. As the shift continues from the manufacturing economy of the industrial age to the digital economy of the information age, US national-security organizations need to transform as well. American military forces … Continued
Interview with Mr. Richard L. Dunn, Strategic Institute for Innovation in Government Contracting and Captain David Rothzeid, Defense Innovation Unit Experimental (DIUx) about Other Transactions (OTs) For more on Other Transactions attend The Future is Now! Fast and Affordable … Continued
People sometimes ask about the procurement system “how did things get so messed up?” or “why is the system so slow and unresponsive?” The answers to those questions might require a series of lectures or extensive study but below are … Continued
The new Other Transactions (OT) Guide of 2017 has finally been issued a year after the statute was made permanent as 10 U.S. Code 2371b and incorporated important amendments; and, many years after the 2002 version became hopelessly outdated due … Continued
Other Transaction Authority (OTA) provides and alternative acquisition approach to the current “costs too much, takes to long system.” The current system cannot be fixed; more than three decades of trying with worsening results is testament to this. Why you … Continued
What GAO Found Congress has authorized 11 federal agencies to use other transaction agreements—which generally do not follow a standard format or include terms and conditions required in traditional mechanisms, such as contracts or grants—to help meet project requirements and … Continued
“Other Transactions” (OT) refer to contractual instruments that are not standard procurement contracts or standard assistance instruments (grants or cooperative agreements). They may be used to support projects which are not strictly procurement or assistance; in lieu of standard assistance … Continued
As government desires to expand the sources of innovative solutions for products or research capabilities that could be adapted to meet critical needs, thereby increasing the level of competition and innovation by accessing companies that have not traditionally done business with … Continued