OMB Says Agencies “Should” Perform a Rule of Two Analysis and Set Aside Requirements for Task Orders Under Multiple-Award Contracts

The U.S. Office of Management and Budget (OMB) has issued a policy memorandum with a goal of promoting small business participation under multiple-award indefinite delivery/indefinite quantity contracts (MACs). One of the memorandum’s three areas of focus – and the focus of this article – is the “[a]ward of orders under new and existing agency and government-wide multiple-award contracts.” Although the memorandum’s policies will require notice-and-comment rulemaking to take effect, OMB is encouraging agencies to begin implementing them now. The policy garnering the most attention is a directive that contracting officers “should” conduct a Rule of Two analysis before competing task orders under MACs and “should” document any decision not to set aside such requirements for small business concerns. This would constitute a significant shift in the treatment of task orders. 

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