FAR and DFARS › FAR Part 17: Special Contracting Methods › Subpart 17.1
FAR 17.106-2 Solicitations.
The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.
In plain English
This section lists what must be included in solicitations for multiyear contracts. It ensures contractors can see how offers will be evaluated, including requirements for each program year, comparison criteria, and cancellation terms. It matters because it tells contractors what to expect and what rules apply before they submit an offer.
Applies to: Solicitations for multiyear contracts
What it requires
- Include the requirements for the first program year and for the multiyear contract, including each program year.
- Include criteria for comparing the lowest evaluated submission on first program year requirements to the lowest evaluated submission on multiyear requirements.
- Include a provision that if the Government determines before award that only first program year requirements are needed, evaluation of price or estimated cost and fee will consider only the first year.
- Include a provision specifying a separate cancellation ceiling and dates for each program year subject to cancellation.
Key terms: multiyear contract · first program year · cancellation ceiling · evaluation factor · solicitation
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
Solicitations for multiyear contracts shall reflect all the factors to be considered for evaluation, specifically including the following:
(a) The requirements, by item of supply or service, for the—
(1) First program year; and
(2) Multiyear contract including the requirements for each program year.
(b) Criteria for comparing the lowest evaluated submission on the first program year requirements to the lowest evaluated submission on the multiyear requirements.
(c) A provision that, if the Government determines before award that only the first program year requirements are needed, the Government's evaluation of the price or estimated cost and fee shall consider only the first year.
(d) A provision specifying a separate cancellation ceiling (on a percentage or dollar basis) and dates applicable to each program year subject to a cancellation (see 17.106-1 (c) and (d)).
(e) A statement that award will not be made on less than the first program year requirements.
(f) The Government's administrative costs of annual contracting may be used as a factor in the evaluation only if they can be reasonably established and are stated in the solicitation.
(g) The cancellation ceiling shall not be an evaluation factor.
Sections it refers to
- 17.106-1 General.
← 17.106-1 General. · 17.106-3 Special procedures applicable to DoD, NASA, and the Coast Guard. →
Rule changes for FAR Part 17
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 16, 17, and 35 ↗ · proposed 2026-09-18 · comments due 2026-10-19
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · final rule 2025-08-27 · effective 2025-10-01
- Federal Acquisition Regulation; Technical Amendments ↗ · final rule 2025-05-12 · effective 2025-06-11
- Federal Acquisition Regulation: Preventing Organizational Conflicts of Interest in Federal Acquisition ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · proposed 2024-11-29 · comments due 2025-01-28
- Federal Acquisition Regulation: Prohibition on the Use of Reverse Auctions for Complex, Specialized, or Substantial Design and Construction Services ↗ · proposed 2024-08-29 · comments due 2024-10-28
- Federal Acquisition Regulation; Technical Amendments ↗ · final rule 2024-07-30 · effective 2024-08-29
- Federal Acquisition Regulation: Reverse Auction Guidance ↗ · final rule 2024-07-30 · effective 2024-08-29
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.