Is Past Performance required as an evaluation criterion in source selection?

The correct response indicates that past performance is not always a mandatory evaluation criterion in source selection processes, provided that documented reasons are articulated for its exclusion. In contract evaluations, the Federal Acquisition Regulation (FAR) recognizes that while past performance can be a vital indicator of a contractor’s ability to fulfill future requirements, there may be circumstances where it may not be relevant or applicable. For example, this could occur in cases involving new contractors without prior contracts, or when the nature of the acquisition does not warrant a consideration of past performance. Thus, as long as there is a clear documented rationale justifying its omission, evaluators have the flexibility to proceed without it.

In addition, this approach fosters a fair and competitive procurement environment, enabling new or smaller businesses a chance to compete when they lack extensive past performance records. It also allows contracting officers to tailor their evaluation criteria to the particulars of each acquisition, thereby aligning the evaluation process with specific goals and requirements.