Are the new LPTA limits a sign DoD is trying to phase out LPTA?

In Depth with Francis Rose

Listen to Francis Rose and Bob Lohfeld on In Depth with Francis Rose. Bob says the new lowest price/technically acceptable (LPTA) limits may be a sign DoD is trying to phase out LPTA.

Click to listen

  • Frank Kendall, Undersecretary of Defense for Acquisition, Technology and Logistics, is setting limits for when to use LPTA procurement strategies.
  • He says there are only four conditions when LPTA is appropriate to use.
    1. The requirements are well defined;
    2. The risk of unsuccessful contract performance is minimal;
    3. Price is a significant factor in the source selection; and
    4. There is neither value, need, nor willingness to pay for higher performance.