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  • Question

    Do I have to submit a 1279 every year before I exercise every Option Year if I announced the Option Year PoPs and values in the initial 1279 report


    Answer

    Thank you for your question. In response, DFARS 205.303(a)(i) Announcement of Contract Awards provides the following:
    “(a) Public Announcement.
    (i)  The threshold for DoD awards is $7 million. Report all contractual actions, including modifications, that have a face value, excluding unexercised options, of more than $7 million.”
    If your next contractual action (exercise of option) exceeds the DoD $7 million threshold the face value of the effort shall be reported to congress as directed in DFARS 205.303(a)(ii).

    Additionally, DFARS 205.303(a)(iii) states:
    “Departments and agencies, in accordance with department/agency procedures and concurrent with the public announcement, shall provide information similar to that required by paragraph (a)(ii) of this section to members of Congress in whose State or district the contractor is located and the work is to be performed.
    Therefore, if the face value of the contractual action in question exceeds $7 million the DD 1279 report should be submitted as required above.


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