An “Other Transaction Agreement” or “Other Transaction Authority” (OTA) is a streamlined vehicle that brings innovative research findings and state-of-the-art prototypes from industry to the Federal Government. OT-based collaborations are not subject to some of the regulations that apply to Federal Acquisition Regulation (FAR)-based acquisitions. OTAs enable fast acquisition of critically needed technologies in areas as diverse as shipbuilding, armaments, satellites, medical devices, and electromagnetic spectrum technologies.
- Unlike the FAR (Federal Acquisition Regulation), the OT-based consortium model allows government and industry to communicate more openly, from requirement generation to the proposal stage
- It affords greater technology and prototype acquisition speed, getting solutions to end users sooner
- It emphasizes engaging a diverse range of technology suppliers of all sizes, casting a wider net for capturing ideas and innovations
- OTAs enable faster contracting through long-term agreements between industry and Government that establish baseline terms and conditions (with the flexibility for negotiated modifications on a project-by-project basis)
The OT authority consortium enterprise is good government in action—the competition it promotes between large, traditional R&D providers, academic institutions, and small and nontraditional suppliers drives innovation across the entire US economy.