Government Contracts DoD Issues Class Deviation for Section 890 Pilot Program Contracts
Friday, May 3, 2019

DoD Issues Class Deviation for Section 890 Pilot Program Contracts

By Government Contracts Editorial Staff

The Department of Defense has issued Class Deviation 2019-O0008, Section 890 Pilot Program to Accelerate Contracting and Pricing Processes. The document authorizes contracting officers to deviate from the DFARS 215.403-1(c)(4)(A) exceptional circumstances waiver of submission of certified cost or pricing data. The document also prescribes a new deviated clause, DFARS 252.215-7998, to be used in solicitations and contracts selected to participate in the pilot program. The clause requires Section 890 contractors to submit verifiable data documenting any savings (time and money) achieved as a result of the program within three months of award or modification of the contract. Section 890 of the National Defense Authorization Act for Fiscal Year 2019 (PL 115-232) authorized a pilot program for DoD contracts in excess of $50 million to allow price reasonableness determinations to be based on actual CPD for purchases of the same or similar products and reduce the CPD to be submitted in accordance with 10 USC 2306a. For the text of the deviation, see ¶70,245.102.

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