Federal contracting comes with a language of its own, and acronyms can make even simple conversations hard to follow. This working glossary explains common terms in plain language. Definitions are general; for official definitions, consult the FAR on acquisition.gov and SBA resources on sba.gov.
People and roles
- Contracting Officer (CO or KO): The government official with authority to enter into, administer and terminate contracts. Only a contracting officer acting within their authority can bind the government.
- Contracting Officer’s Representative (COR): A person designated by the contracting officer to help monitor technical performance. A COR generally cannot change the contract.
- Source Selection Authority (SSA): The official who makes the award decision in a negotiated competition.
- Small Business Specialist: An agency staff member who advocates for small business participation in acquisitions.
- Prime contractor and subcontractor: The prime holds the contract with the government; subcontractors perform work under agreements with the prime.
Registration and identity
- SAM: The System for Award Management, where entities register to do business with the government.
- UEI: Unique Entity ID, the 12-character identifier assigned in SAM.gov.
- CAGE code: A five-character identifier assigned through the Defense Logistics Agency.
- NAICS code: An industry classification code; each solicitation has one, and it ties to a size standard.
- PSC: Product and Service Code, describing what the government is buying.
Solicitations and evaluation
- RFI: Request for Information, a market research tool, not a solicitation.
- Sources Sought: A notice asking firms to describe their capability, often used to decide on set-asides.
- RFP, RFQ and IFB: Request for Proposals, Request for Quotations and Invitation for Bids, the main solicitation types.
- Statement of Work (SOW) or Performance Work Statement (PWS): The description of what the contractor must do. A PWS focuses on outcomes and performance standards.
- Best value tradeoff and LPTA: Approaches to award, the first weighing price against non-price factors, the second choosing the lowest-priced acceptable offer.
- Competitive range: The group of most highly rated proposals selected for discussions.
- Debriefing: A meeting or written explanation of how the government evaluated an offeror’s proposal.
Contracts and vehicles
- FFP, T&M and cost-reimbursement: Common contract types, which differ in how price is set and who bears cost risk.
- IDIQ: Indefinite-delivery, indefinite-quantity contract, under which orders are placed as needs arise.
- GWAC: Government-wide acquisition contract, a multiple-award IDIQ for information technology usable across agencies.
- BPA: Blanket purchase agreement, a simplified way to fill recurring needs.
- Option: A contract right allowing the government, at its discretion, to extend the contract or buy more.
- Modification: A written change to a contract, such as adding funds or changing scope.
Programs and compliance
- Set-aside: A competition reserved for small businesses or a specific type of small business.
- 8(a), HUBZone, SDVOSB and WOSB: SBA-administered small business programs with their own eligibility rules.
- CPARS: The system where government evaluations of contractor performance are recorded.
- CUI: Controlled unclassified information, sensitive information requiring safeguarding.
- OCI: Organizational conflict of interest.
Keep this list handy as you read solicitations, and add terms as you encounter them. Fluency in the vocabulary makes every conversation with agencies and partners easier.