FAR and DFARS › FAR Part 7: Acquisition Planning › Subpart 7.1
FAR 7.107-4 Substantial bundling.
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 defines substantial bundling as bundling that results in a contract or order with an estimated value at or above certain thresholds, which vary by agency. When an acquisition strategy involves substantial bundling, the agency must document specific benefits, impediments to small business participation, actions to maximize small business participation, justification, and alternative strategies.
Applies to: Agencies proposing acquisition strategies that involve substantial bundling
What it requires
- Document the specific benefits anticipated from substantial bundling
- Assess impediments to small business participation as contractors
- Document actions to maximize small business participation as contractors, including teaming
- Document actions to maximize small business participation as subcontractors or suppliers
Key terms: Substantial bundling · Bundling · Multiple-award contracts · Task orders · Delivery orders
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
(a)(1) Substantial bundling is any bundling that results in a contract or task or delivery order with an estimated value of—
(i) $8 million or more for the Department of Defense;
(ii) $6 million or more for the National Aeronautics and Space Administration, the General Services Administration, and the Department of Energy; or
(iii) $2.5 million or more for all other agencies.
(2) These thresholds apply to the cumulative estimated dollar value (including options) of—
(i) Multiple-award contracts;
(ii) Task orders or delivery orders issued against a GSA Schedule contract; or
(iii) Task orders or delivery orders issued against a task-order or delivery-order contract awarded by another agency.
(b) In addition to addressing the requirements for bundling (see 7.107-3), when the proposed acquisition strategy involves substantial bundling, the agency shall document in its strategy—
(1) The specific benefits anticipated to be derived from substantial bundling;
(2) An assessment of the specific impediments to participation by small business concerns as contractors that result from substantial bundling;
(3) Actions designed to maximize small business participation as contractors, including provisions that encourage small business teaming;
(4) Actions designed to maximize small business participation as subcontractors (including suppliers) at any tier under the contract, or order, that may be awarded to meet the requirements;
(5) The determination that the anticipated benefits of the proposed bundled contract or order justify its use; and
(6) Alternative strategies that would reduce or minimize the scope of the bundling, and the rationale for not choosing those alternatives.
Sections it refers to
- 7.107-3 Bundling.
← 7.107-3 Bundling. · 7.107-5 Notifications. →
Rule changes for FAR Part 7
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 6, 7, 10, 18, 26, 37, and 41 ↗ · proposed 2026-06-23 · comments due 2026-07-23
- Federal Acquisition Regulation: Small Business Participation on Certain Multiple-Award Contracts ↗ · proposed 2025-06-12
- Federal Acquisition Regulation: Small Business Participation on Certain Multiple-Award Contracts ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Preventing Organizational Conflicts of Interest in Federal Acquisition ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Controlled Unclassified Information ↗ · proposed 2025-01-15 · comments due 2025-03-17
- Federal Acquisition Regulation: Strengthening America's Cybersecurity Workforce ↗ · proposed 2025-01-03 · comments due 2025-03-04
- Federal Acquisition Regulation: Reverse Auction Guidance ↗ · final rule 2024-07-30 · effective 2024-08-29
- Federal Acquisition Regulation: Sustainable Procurement ↗ · final rule 2024-04-22 · effective 2024-05-22
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.