The federally authorized acquisition mechanism utilizing Other Transaction Authority is an Other Transaction Agreement (OTA). OTAs have proven to be a very successful tool for meeting the acquisition goals mandated by policymakers. The use of OTAs reduces overhead and lowers costs while providing the Government access to cutting-edge technology with a faster product development and transition cycle.
The authority to use OTAs was first given to NASA in 1958. It has been expanded over the years to include:
1989–DARPA, for science and technology
1994–Department of Defense for prototype projects
1996–Federal Aviation Administration
1998–Department of Transportation
2002–Department of Homeland Security
2004–Department of Health and Human Services
2005–Department of Energy
On July 1, 2014, C5 signed its first Other Transaction Agreement with the Department of the Army through the U.S. Army Contracting Command, New Jersey (ACC-NJ). Located at Picatinny Arsenal, NJ, ACC-NJ is the recognized leader in the Department of Defense (DoD) for OTA administration. The OTA and Acquisition Liaison Office of the U.S. Army Armament Research, Development and Engineering Center (ARDEC), also at Picatinny, serves as C5’s Government sponsor.
C5 signed and now operates under the terms of a new OTA with ACC-NJ, effective April 20, 2017. The new OTA is valid for ten (10) years with an estimated overall project award volume of $2 billion.