Lowest Price Technically Acceptable: Why All the Debate?

摘要

Industry continues to raise concerns about the perceived overuse by the Department of Defense (DoD) of the Lowest Priced Technically Acceptable (LPTA) source-selection process. In appropriate circumstances, combined with effective competition and proper contract type, LPTA can drive down costs and provide the government with a best-value solution. Using LPTA can also simplify and streamline the selection process and deliver precisely the product or service required by the warfighter. Detractors argue LPTA drives us to only a low cost, low quality solution, stifles innovation and squeezes corporate margins due to downward pressure on price. Furthermore, industry contends, overusing LPTA in the long haul will erode the DoD technological edge through low-cost/low-performance solutions; cause performance innovators to depart the market and reduce the quality of goods and services provided. Industry has a point. However, I would offer that the real issue is the inappropriate use of LPTA, which does adversely affect both industry and DoD. LPTA has a place in the best value continuum when applied correctly. This article will discuss the appropriate use of LPTA, how our regulations, policy, guidance and training have driven the appropriate behavior in its use, and the progress made by DoD thus far. I will then discuss some of industry concerns and believe that these concerns can be resolved by applying LPTA correctly.