The Section 846 e-commerce portal project has significant potential to be innovative, if GSA can succeed in keeping specialized contract rules and regulations to a minimum for companies that, in many cases, are already selling to federal agencies.  In order to match the innovative nature of this program, the agency should consider the latest innovative acquisition strategies it is proposing to agency customers for their end of year buying as contracting approaches.  One option for GSA to consider is the use of Other Transaction Authority (OTA).  This authority is currently being used extensively at the Department of Defense for even large dollar acquisitions and GSA is promoting OTA use as well.  It is specifically being used to attract non-traditional contractors to the federal market, just like the non-traditional companies that make up much of the e-commerce portal community.   Consider that these established commercial businesses already have well-tested and accepted payment methods, anti-fraud detection and prevention methods, and the ability to highlight, or even ensure, that acquisitions are made via specific companies.  The companies would easily be able to create a federal portal that meets the original intent of Congress without the added burden of specific contract clauses or other traditional government contracting requirements.  GSA would be able to move quickly, as well, as OTA-based acquisitions can be done in a timely manner.

Another option to consider is the use of GSA’s new Commercial Solutions Opening pilot.  This pilot provides a way for GSA to quickly establish even large dollar contracts without the use of traditional Federal Acquisition Regulation clauses.  GSA’s stated goal for the CSO program is, “…to provide a streamlined approach for acquiring innovative commercial products and services.”  There is perhaps no better opportunity to match an innovative and streamlined acquisition method with the innovative acquisitions that commercial e-commerce platforms provide.

Success with the Section 846 project depends on keeping contract terms to an absolute minimum.  Left with the choice to sign up for new and unfamiliar burdens or maintain existing business practices, most portal providers will elect the latter.  This would defeat the purpose of the original Congressional legislation and potentially make the use of e-commerce portals by individual agencies more expensive and harm mandatory and other socio-economically favored contractors.