Simplified Acquisition Procedures, or SAP (commonly referred to as ’small purchases’) is the method specified in Part 13 of the Federal Acquisition Regulations (FAR) for the acquisition of materials and equipment, including construction, research and development, and industrial products, of which the total does not surpass the Simplified Acquisition Threshold (SAT). These are designed for government requirements that are relatively simple, and their use is subject to dollar thresholds. (Examples of frequently purchased items using SAP include office supplies, computer software, and service grounds).

Simplified Acquisition is a Strategy

SAPs provide strategies for streamlining the contracting process, thus increasing turnaround time and administrative burden.  We refer to lower dollar cost procurement (generally below $100 K), which constitutes the vast majority of government procurement.

SAP does not exclude competition; it simplifies evaluation and award procedures. 

Simplified Acquisition provides the following:

• Informal quotation and competition processes.
• Oral quotes versus written quotations.
• Compares quoted rates versus bargaining.
• Standardized clauses to endorse the award report.

Here are a few FAR rules:

• Solicitations are publicized either by FACNET, Government-wide point of entry (GPE), or by soliciting from sources within the local trade area.
• Quotations are not solicited based on personal preference.
• Solicitations are not restricted to suppliers of well-known and widely distributed makes or brands.
• The contracting officer considers solicitation of a minimum of three sources.
• The officer must request offers from two sources that the previous solicitation did not consider.

On March 20, 2020, Margaret M. Weichert, the Deputy Directory of Management to President Trump posted a Memorandum to increase thresholds because of the Covid Crisis.

• The micro-purchase threshold is $10,0001 to $20,000 for domestic purchases and to $30,000 for purchases outside the U.S.
• The simplified acquisition threshold is $250,0002 to $750,000 for domestic purchases and $1. 5 million for purchases outside the U.S.
• Agencies may use simplified acquisition procedures up to $13 million for purchases of commercial item buys.

Advantages 

• Reduces administrative costs. 
• Improves opportunities for small and disadvantaged businesses to obtain a fair proportion of Government contracts. 
• Promotes efficiency and economy in contracting. 
• Avoids unnecessary burdens for agencies and contractors.
• Allows shorter solicitations and faster turnaround times. 
• Saves money for Government and Contractor by using less paperwork and fewer personnel for the process. 
• Reserves acquisitions over the Micro-purchase threshold for Small Businesses.