OTA

What is an OTA?

An “Other Transaction Agreement” or “Other Transaction Authority” (OTA) is a streamlined purchasing 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.

Why Does the Government Use OTAs?

  • 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 contractingthrough 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.

how government and industry communicate

Open Communication = More Relevant Technology Solutions

Why Do I Want to Join?

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; and it emphasizes engaging a diverse range of technology suppliers or all sizes, casting a wider net for capturing ideas and innovations.

Frequently Asked Questions

Are there membership dues?

Yes, member companies pay annual dues to belong to an OT-based collaboration.

How much are membership dues?

Dues vary depending on size and type of company, differing from consortium to consortium. National Spectrum Consortium Members will pay annual dues in the amounts as follows: $1,500 for large businesses and $500 for all others (small businesses, universities, and non-profits). National Spectrum Consortium Members will pay annual dues every October 1st. New Members will pay pro-rated dues payable upon initial acceptance of membership and then $1,500 or $500 respectively per year every October 1st thereafter. The pro-rated dues structure, based upon the date of initial application acceptance, is as follows:

Large Business:

  • October through December – $1,500
  • January through March – $1,000
  • April through June – $750
  • July through September – $500

All Others:

  • October through December – $500
  • January through March – $375
  • April through June – $250
  • July through September – $125

What do membership dues pay for?

Annual dues and project award assessments pay for consortium activities, such as but not limited to consortium support, meeting costs and support, member application processing, membership management (“good standing” tracking, etc.), executing and managing the financial processes, dues and assessment invoicing and collection, communications efforts, business development and strategic planning efforts, maintaining public and private websites, and supporting any other subcontractors.

Is being a nontraditional defense contractor a requirement to join to the consortium?

No, membership is open to all U.S. companies and universities which are capable of making a technical contribution to the advancement of spectrum-related technologies. However, once a member, solicitations under the Other Transaction will require nontraditional participation or at least 1/3 cost share.

What is a non-traditional company?

A non-traditional is a technology provider that does not typically participate in government sponsored research and development. These companies are often small or new. They may have innovative technologies, but they lack the contracting resources and experience to navigate the FAR. The OT model is a good way for these companies to access the federal market.

How can my company discern if it is a Non-Traditional Defense Contractor?

“Nontraditional Defense Contractor” means an entity that is not currently performing and has not performed, for at least the one-year period preceding the issue date of the solicitation, any contract or subcontract for the Department of Defense that is subject to full coverage under the cost accounting standards prescribed pursuant to Section 1502 of Title 41 and the regulations implementing such section.

How long will it take to get the membership application approved after a company submits?

Typically, one week or less if an application is complete. If an application is incomplete, the Consortium Management Firm or Executive Director will call the applicant to discuss any missing elements.

Allison MoodyOther Transaction Agreements