FAR 13.103—Use of standing price quotations.
Plain-English Summary
FAR 13.103 explains when simplified acquisition personnel may rely on standing price quotations instead of obtaining a fresh quotation for every individual purchase. The section covers two core topics: the general permission for authorized individuals to use standing quotations, and the conditions that make that practice acceptable—namely, that the pricing information must be current and that the Government must receive the benefit of maximum discounts before award. In practical terms, this provision supports faster, lower-burden buying under simplified acquisition procedures while still protecting the Government from stale pricing and missed savings. It is designed to let contracting personnel streamline repetitive buys from the same sources without sacrificing price reasonableness or competition-related value. For contractors, it means a supplier’s standing quote can be used repeatedly, but only if it remains up to date and reflects the best available discount structure. For contracting officers and other authorized buyers, it creates a simple but important control: do not treat a standing quote as automatically valid forever, and make sure the Government is capturing the best available pricing at the time of award.
Key Rules
Standing quotes are allowed
Authorized individuals do not need to obtain a separate quotation for each purchase. They may rely on standing price quotations to support repeated buys when the conditions in this section are met.
Pricing must be current
A standing quotation may be used only if the pricing information is current. Buyers must ensure the quoted prices still reflect present market or supplier pricing and have not become outdated.
Government must get maximum discounts
The Government must receive the benefit of maximum discounts before award. This means any available discount structure should be applied so the Government is not paying more than necessary.
Applies to authorized individuals
The authority to use standing price quotations is limited to authorized individuals acting under the simplified acquisition framework. It is not a blanket rule for all procurement methods or all personnel.
Responsibilities
Authorized Individual / Buyer
May use standing price quotations instead of obtaining a new quotation for each purchase, but must verify that the pricing is current and that the Government receives the maximum available discounts before award.
Contracting Officer
Ensure the use of standing quotations is appropriate for the acquisition, confirm the pricing remains current, and verify that discount opportunities are captured before award.
Contractor / Supplier
Maintain accurate and up-to-date standing price quotations and honor applicable discount terms when the Government places orders based on those quotations.
Agency / Buying Activity
Establish internal controls and procedures so standing quotations are reviewed periodically, remain current, and are used in a way that protects the Government’s pricing advantage.
Practical Implications
This rule reduces administrative effort for repetitive purchases, especially when buying the same items from the same vendors over time.
The biggest risk is relying on stale pricing; buyers should confirm that standing quotes have been reviewed recently enough to remain valid.
Another common pitfall is failing to apply available discounts, which can lead to paying more than necessary and weaken price reasonableness support.
Contracting personnel should document how they determined the quote was current and how the Government received the maximum discount, especially when purchases are repeated.
Contractors should expect that standing quotes may be used multiple times, but they should keep them updated and clearly state any discount terms to avoid disputes.
Official Regulatory Text
Authorized individuals do not have to obtain individual quotations for each purchase. Standing price quotations may be used if- (a) The pricing information is current; and (b) The Government obtains the benefit of maximum discounts before award.