FAR 9.701—Definition.
Plain-English Summary
FAR 9.701 defines the term "pool" for use in Subpart 9.7, which deals with defense production and research and development contracting arrangements. The definition covers three core topics: who may be part of a pool, what kind of joint arrangement they must have, and what kind of approval the arrangement must receive. In practice, a pool is not just any informal teaming relationship; it is a formally organized group of concerns that join together to pursue and perform defense production or R&D contracts. The section matters because it establishes the threshold meaning of the term used throughout the subpart, which affects whether an arrangement qualifies for the special treatment or oversight rules tied to approved pools. It also points readers to related authorities in the Small Business Act, SBA regulations, Executive Order 10480, and the Defense Production Act, showing that pool status depends on external approval, not merely the parties’ own agreement. For contractors and contracting officers, this definition is important because it determines when a joint arrangement is within the scope of the subpart and when special approval and compliance considerations apply.
Key Rules
Pool means a group of concerns
A pool is a group of "concerns" as that term is defined in FAR 19.001. The definition is limited to entities that fit within that broader FAR concept, so the parties must first qualify as concerns before the arrangement can be treated as a pool.
Must join for defense work
The concerns must have associated together to obtain and perform defense production or research and development contracts. The arrangement is therefore purpose-driven and tied specifically to defense production or R&D contracting, not general commercial teaming.
Must have a governing agreement
The group must have entered into an agreement that governs its organization, relationship, and procedures. This means the pool must be formalized, with documented rules for how the members operate together.
Agreement must be approved
The pool agreement must be approved by either SBA under the Small Business Act provisions cited in the rule, or by a designated official under Executive Order 10480 and section 708 of the Defense Production Act. Without the required approval, the arrangement does not meet the definition in this section.
Approval source depends on authority
The rule recognizes two separate approval paths: SBA approval under the cited small business authorities, or approval by a designated official under defense production authorities. The applicable approval route depends on the legal basis for the pool arrangement.
Responsibilities
Concerns / Pool Members
Form a formal joint arrangement for defense production or research and development work, execute an agreement governing the pool’s organization and procedures, and obtain the required approval before relying on pool status.
Small Business Administration (SBA)
Review and approve pool agreements when approval is sought under the Small Business Act authorities cited in the rule, consistent with the referenced SBA regulations.
Designated Official under Defense Production Authorities
Approve pool agreements when the arrangement is established under Executive Order 10480 and section 708 of the Defense Production Act.
Contracting Officer
Determine whether a claimed pool actually meets the FAR definition by checking that the members are concerns, the arrangement is for defense production or R&D contracts, the agreement governs the relationship and procedures, and the required approval has been obtained.
Agency / Procurement Officials
Apply the definition consistently when evaluating whether an arrangement qualifies as a pool under Subpart 9.7 and ensure any special treatment tied to pool status is used only when the definition is satisfied.
Practical Implications
This definition is a gatekeeper: if the arrangement does not satisfy all three elements, it is not a "pool" for purposes of Subpart 9.7. Contractors should not assume that a teaming agreement, consortium, or joint venture automatically qualifies.
The approval requirement is critical. A written agreement alone is not enough; the parties must be able to show approval from the proper authority under the correct legal path.
Contracting officers should verify the legal basis and approval documentation early, especially when a group of firms seeks to rely on pool status in connection with defense production or R&D opportunities.
A common pitfall is confusing a pool with other collaborative structures. The term here is narrow and tied to specific defense-related contracting and formal approval requirements.
Because the definition cross-references other authorities, users must read this section together with FAR 19.001, the cited SBA regulations, and the defense production authorities to understand whether a particular arrangement qualifies.
Official Regulatory Text
Pool , as used in this subpart, means a group of concerns (see 19.001 ) that have- (1) Associated together in order to obtain and perform, jointly or in conjunction with each other, defense production or research and development contracts; (2) Entered into an agreement governing their organization, relationship, and procedures; and (3) Obtained approval of the agreement by either- (i) The Small Business Administration (SBA) under section 9 or 11 of the Small Business Act ( 15 U.S.C.638 or 640) (see 13 CFR125); or (ii) A designated official under Part V of Executive Order 10480, August 14,1953 (18 FR4939, August 20,1953) and section 708 of the Defense Production Act of1950 (50 U.S.C. App.2158).