The definitive guide to commercial items under DOD acquisition regulations that even the most seasoned procurement officer never fully understood
A "commercial item" is the holy grail of DOD procurement — the mythical unicorn that allows contracting officers to sleep at night and program managers to avoid career-ending documentation requirements. By legal definition, it's any item, other than real property, that is:
Any item of a type customarily used by the general public or non-governmental entities for purposes other than governmental purposes that has been sold, leased, or licensed to the general public. Essentially, if Best Buy or Target theoretically might sell it (even if they actually don't), you're golden.
An item that evolved from a commercial item described above through advances in technology or performance but would still be available in the commercial marketplace. This covers the 'we added a camouflage finish to a Dell laptop' school of procurement wizardry.
Any item that would satisfy the criteria above, but for modifications of a type customarily available in the commercial marketplace or minor modifications made to meet Federal Government requirements. The 'if we squint hard enough, this looks like something that could be sold at Walmart' argument.
Services that are procured for support of a commercial item, regardless of whether such services are provided by the same source or at the same time as the item. The 'we're just helping you maintain that commercially available tank' defense.
Any combination of items meeting the requirements above. For when your solution is 2% commercial off-the-shelf and 98% custom development, but you label the whole thing as 'commercial' with a straight face.
"If you can find a single person on Earth who isn't a government employee who would potentially buy your product, congratulations — you've achieved 'commercial item' status."— Apocryphal quote from unnamed DOD acquisition professional
Skip 73% of the usual paperwork, avoid 89% of the oversight committees, and reduce procurement timeline from 'until retirement' to 'this fiscal year'.
Escape the iron grip of certified cost data requirements. No one questions the price of 'commercial' items, even when they cost 10× more than their civilian counterparts.
Keep your secret sauce secret. Commercial items come with built-in protection from the government's usual appetite for unlimited rights to your intellectual property.
The acquisition equivalent of the HOV lane. Zoom past the traffic of traditional procurement with reduced terms, conditions, and clauses.
The determination process relies on market research demonstrating that an item is "commercial." This research typically consists of:
If you can say with a straight face in a congressional hearing that your item is "commercial" without triggering audible laughter, congratulations! You've successfully navigated the commercial item determination process.