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  • Question

    Has the DoD credit card micro-purchase threshold been increased from $3500 to $5000? We came across some information that the 2017 NDAA had implement this change but the FAR currently still reflects the $3,500 threshold. Any guidance would be greatly appreciated, thank you. Shoji Iwata


    Answer

     
    In accordance with FAR 1.109 – Statutory Acquisition-related Dollar Thresholds – Adjustment for Inflation, paragraph (a), “41 U.S.C. 1908 requires that the FAR Council periodically adjust all statutory acquisition-related dollar thresholds in the FAR for inflation, except as provided in paragraph (c) of this section. This adjustment is calculated every 5 years, starting in October 2005, using the Consumer Price Index (CPI) for all-urban consumers, and supersedes the applicability of any other provision of law that provides for the adjustment of such acquisition-related dollar thresholds.”  In paragraph (d), a hyperlink to regulations.gov is provided, which has the FAR case 2014-022 and matrix with the “most recent escalation adjustments of statutory acquisition-related dollar thresholds”.  This includes the current adjustment for the micro-purchase threshold in FAR 2.101 which is currently set at $3,500.  The next escalation adjustment for inflation is not due until fiscal year 2020.

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