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FAR Part 6: Competition Requirements, Exceptions and Approval Levels

FAR Part 6 sets competition rules for federal contracts: the default, the seven exceptions, who approves a justification, and why grants are different.

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FAR Part 6, Competition Requirements, is the part of the Federal Acquisition Regulation that tells a contracting officer how to compete a federal contract and when competition may be skipped. It governs procurement contracts, not grants or cooperative agreements: grant awards fall under 2 CFR 200. For a research administrator, Part 6 matters where a university or research institute sits on the contract side, as a vendor, prime or subcontractor, or where a federal sponsor buys goods and services from you. The text below reflects the FAR Part 6 page on acquisition.gov as described on the official page on 2026-10-29.

What FAR Part 6 is and who runs it

Part 6 sits inside the FAR, the government-wide procurement rulebook published on acquisition.gov. Its policy statement at 6.101(a) says contracting officers shall promote and provide for full and open competition in soliciting offers and awarding Government contracts, subject to the limited exceptions in subparts 6.2 and 6.3. Under 6.101(b) they must use the competitive procedures best suited to the circumstances of the acquisition. Agencies such as the Department of Defense add their own supplement; for defense the supplement is DFARS Part 206, which follows the same section numbering (see FAR and DFARS requirements for a research contractor).

As shown on the official page, Part 6 has these subparts: 6.1 Full and Open Competition, 6.2 Full and Open Competition After Exclusion of Sources, 6.3 Other Than Full and Open Competition, 6.4 Sealed Bidding and Competitive Proposals, and 6.5 Advocates for Competition.

The FAR is undergoing a government-wide overhaul, and acquisition.gov carries a FAR Overhaul section. The numbering and thresholds described here are those the official Part 6 page showed on the date above; check acquisition.gov for the current text before relying on a section number or dollar figure.

Contracts versus grants: where research administrators meet Part 6

A grant or cooperative agreement is governed by 2 CFR 200 and the sponsor’s terms, and no competition under FAR Part 6 applies to the award itself. A procurement contract is different: the government is buying something, and Part 6 shapes how that purchase is competed. A university usually meets Part 6 in three places: when it bids on or is awarded a federal contract, when a prime contractor flows requirements down to it, and when it must justify a vendor choice on its own purchases (see sole source justification for equipment purchases and federal procurement for research institutions). For how the two award types differ in cost rules, see FAR Part 31 versus 2 CFR 200.

What Part 6 requires

Subpart 6.1: full and open competition

Full and open competition is the default. Section 6.102 covers the competitive procedures that count, and 6.401 in subpart 6.4 sets out sealed bidding and competitive proposals as the two basic methods. Negotiated competitive proposals are conducted under FAR Part 15.

Subpart 6.2: competition after excluding sources

Subpart 6.2 allows an agency to compete a requirement among a restricted group. The sections listed are: establishing or maintaining alternative sources (6.202), small business set-asides (6.203), the Section 8(a) program (6.204), HUBZone (6.205), service-disabled veteran-owned small business (6.206), economically disadvantaged and women-owned small business (6.207), and local firms during a major disaster or emergency (6.208). The competition is still real; it is limited to eligible sources.

Subpart 6.3: other than full and open competition

Subpart 6.3 is the exceptions route. Section 6.302 lists seven circumstances, quoted here by their official titles. The plain-language notes after each title are cautions about reading the title, not additional rules.

Section Official title Read carefully
6.302-1 Only one responsible source and no other supplies or services will satisfy agency requirements. The test is about the agency’s requirement, not a vendor’s preference.
6.302-2 Unusual and compelling urgency. Has its own, shorter public-posting clock (see below).
6.302-3 Industrial mobilization; engineering, developmental, or research capability; or expert services. The title names research capability, but it is a defined exception, not a general research carve-out.
6.302-4 International agreement. The basis is an international agreement, not the agency’s own preference.
6.302-5 Authorized or required by statute. The statute itself must authorize or require the source; DFARS 206.302-5(c) generally bars this exception for certain research and development or research-facility awards to colleges or universities, subject to stated conditions.
6.302-6 National security. A separate numbered section from urgency (6.302-2) and from the statutory exception (6.302-5).
6.302-7 Public interest. Justifications are considered approved once the public interest determination is made.

The sole-source concept most readers search for sits mostly under 6.302-1; see sole source versus single source for the distinction. A worked example of a statute-based sole-source route is the 8(a) sole-source justification.

Compliance steps: the justification path

  1. Pick the authority. Identify which 6.302 circumstance applies. Using an exception without a matching circumstance is the core compliance failure.
  2. Write the justification. Section 6.303-2(b) sets the minimum content of the written justification, including identification of the statutory authority relied on, a contracting officer determination that the anticipated cost will be fair and reasonable, a description of the market research, and a certification that the justification is accurate and complete; approval follows 6.304.
  3. Get it approved at the right level. Approval depends on the value of the proposed contract (table below).
  4. Make it public. Section 6.305 requires the justification to be made available to the public and posted on SAM.gov.

Approval levels and posting clocks (6.304 and 6.305)

Proposed contract value (as shown on the page) Approver
Up to $900,000 The contracting officer’s certification serves as approval, unless agency procedures set a higher level
Over $900,000 up to $20 million The advocate for competition of the procuring activity (not delegable)
Over $20 million up to $90 million Head of the procuring activity (DoD, NASA and Coast Guard: up to $150 million)
Over $90 million Senior procurement executive (DoD, NASA and Coast Guard: over $150 million)

Option values count toward the approval level. For posting, the page describes: generally within 14 days after award; within 30 days for urgency awards under 6.302-2; brand-name justifications under 6.302-1(c) posted with the solicitation; and the justification must remain posted for a minimum of 30 days, after proprietary data are screened out.

Typical timeline phases

Dates vary by agency and acquisition, so this is a sequence, not a schedule: requirement defined and market research done; the competition route chosen (full and open, restricted under subpart 6.2, or an exception under 6.3); if an exception, the justification drafted, certified and approved at the required level; solicitation or negotiation; award; and public posting of the justification within the 6.305 window.

Common mistakes

  • Treating Part 6 as a grants rule. Grants are governed by 2 CFR 200, not by FAR competition rules.
  • Citing a justification authority from its short name rather than its official title and section, which hides whether the circumstance really fits.
  • Forgetting that option values count toward the approval level in 6.304.
  • Missing the posting clocks in 6.305, especially the shorter one for urgency awards.
  • Applying a number from a secondary summary of the overhaul instead of the section text currently on acquisition.gov.

Related FAR parts and pages

Related topic How it connects to Part 6 CASRAI page
FAR Part 15 Contracting by negotiation, the usual method behind competitive proposals FAR Part 15
FAR clauses How to find and read the clauses in the contract that results FAR clause
SF 33 The solicitation, offer and award form used in many competed contracts SF 33
Simplified acquisition threshold Purchases below the threshold follow simplified procedures Simplified acquisition threshold
DFARS Part 206 Defense supplement to Part 6 FAR and DFARS requirements

FAQ

What is full and open competition?

It is the default under 6.101: contracting officers must promote and provide for it when soliciting offers and awarding government contracts, unless an exception in subpart 6.2 or 6.3 applies.

What are the seven exceptions to competition?

The seven circumstances in 6.302 are: only one responsible source; unusual and compelling urgency; industrial mobilization, engineering, developmental or research capability, or expert services; international agreement; authorized or required by statute; national security; and public interest.

Who approves a sole-source justification?

It depends on contract value. Up to $900,000 the contracting officer’s certification serves as approval unless the agency sets a higher level; above that the advocate for competition, head of the procuring activity or senior procurement executive approves, as in the table above.

Does FAR Part 6 apply to grants?

No. It applies to procurement contracts. Grants and cooperative agreements follow 2 CFR 200.

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