DOD's New Rules Of The Road For 'Other Transactions'

By Stuart Turner, Sonia Tabriz and Nathaniel Castellano ( December 14, 2018, 4:21 PM EST) -- For over 60 years, the U.S. government has entered into agreements called "other transactions." The Other Transaction Authority, or OTA, permits specific agencies, including the U.S. Department of Defense, to enter into agreements "other than standard government contracts or other traditional mechanisms" like procurement contracts, grants and cooperative agreements. While OT activity continues to increase, formal guidance regarding the effective use of such agreements has been sparse. In an effort to articulate some rules of the road, on Dec. 3, 2018, the Office of the Under Secretary of Defense for Acquisition and Sustainment issued its broad "Other Transactions (OT) Guide."[1]...

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