SectionUpdated April 16, 2026

    FAR 7.305Solicitation provisions and contract clause.

    Plain-English Summary

    FAR 7.305 tells contracting officers which solicitation provisions and contract clauses must be used when an agency is conducting a public-private competition under the FAR Part 7 competition framework. It covers three specific items: the provision at 52.207-1, Notice of Standard Competition; the provision at 52.207-2, Notice of Streamlined Competition; and the clause at 52.207-3, Right of First Refusal of Employment. In practice, this section ensures that offerors are told what kind of competition is being run and, where work may move from in-house performance to contractor performance, that affected government employees receive the required employment notice and opportunity protections. The rule is mandatory, not discretionary, for the solicitations described, and it applies both to the solicitation and, for the right-of-first-refusal clause, to the resulting contract. The section also gives the contracting officer limited flexibility to adjust the 10-day response period in the employment clause, but only up to 90 days. Overall, this provision is about transparency in competition and protecting employees when work is converted from government performance to contract performance.

    Key Rules

    Use standard competition notice

    For solicitations issued for standard competitions, the contracting officer must insert the provision at 52.207-1, Notice of Standard Competition. This tells offerors that the procurement is being conducted under the standard competition procedures.

    Use streamlined competition notice

    For solicitations issued for streamlined competitions, the contracting officer must insert the provision at 52.207-2, Notice of Streamlined Competition. This provision identifies the competition as streamlined and gives offerors the appropriate notice of the process being used.

    Include right-of-first-refusal clause

    The contracting officer must insert the clause at 52.207-3, Right of First Refusal of Employment, in all solicitations that may result in conversion of work from in-house government performance to contract performance. The clause must also be included in the resulting contract, whether or not a public-private competition is actually conducted.

    Applies to potential conversions

    The employment clause requirement is triggered by solicitations that may lead to a conversion of work currently performed by the Government. The key issue is the possibility of conversion, not whether the conversion is certain at the time of solicitation.

    10-day period may be extended

    The contracting officer may vary the 10-day period in the right-of-first-refusal clause, but only up to 90 days. This gives limited flexibility to account for practical circumstances while preserving the employee notice opportunity.

    Responsibilities

    Contracting Officer

    Insert 52.207-1 in solicitations for standard competitions and 52.207-2 in solicitations for streamlined competitions. Also insert 52.207-3 in any solicitation that may convert in-house government work to contract performance and include that clause in the resulting contract. The contracting officer may extend the clause’s 10-day period, but not beyond 90 days.

    Agency

    Use the correct competition format and ensure the solicitation package includes the required notice provision or clause for the type of competition being conducted. The agency must also ensure employee-rights protections are addressed when work may be converted from government to contractor performance.

    Offerors/Contractors

    Review the applicable competition notice provision to understand the competition type and comply with solicitation requirements. If the right-of-first-refusal clause applies, contractors must be prepared to honor the employment-related obligations in the resulting contract.

    Government Employees Affected by Conversion

    Receive the notice and opportunity contemplated by the right-of-first-refusal clause when work currently performed by the Government may be moved to contract performance.

    Practical Implications

    1

    Contracting officers must match the solicitation language to the competition type; using the wrong provision can create a compliance defect and confusion for offerors.

    2

    The right-of-first-refusal clause is broader than the competition itself: it must appear whenever a solicitation may lead to conversion, even if no public-private competition ultimately occurs.

    3

    The 10-day response period in the employment clause is not fixed; however, any extension must stay within the 90-day ceiling, so officers should document the reason for any change.

    4

    Contractors should watch for the employment clause because it can create staffing and transition obligations if the work is converted from in-house performance.

    5

    A common pitfall is assuming the employment clause is only needed when a formal competition is already underway; FAR 7.305 makes the trigger the possibility of conversion, not the completion of the competition process.

    Official Regulatory Text

    (a) The contracting officer shall, when soliciting offers and tenders, insert in solicitations issued for standard competitions the provision at 52.207-1 , Notice of Standard Competition. (b) The contracting officer shall, when soliciting offers, insert in solicitations issued for streamlined competitions the provision at 52.207-2 , Notice of Streamlined Competition. (c) The contracting officer shall insert the clause at 52.207-3 , Right of First Refusal of Employment, in all solicitations which may result in a conversion from in-house performance to contract performance of work currently being performed by the Government and in contracts that result from the solicitations, whether or not a public-private competition is conducted. The 10-day period in the clause may be varied by the contracting officer up to a period of 90 days.