What is an OTA?

An “Other Transaction Agreement” or “Other Transaction Authority” (OTA) is a streamlined vehicle that brings innovative research findings and state-of-the-art prototypes from industry to the Federal Government. An OTA relieves some of the contractual burdens typically placed on contractors working for federal clients, making it possible for non-traditional contractors – small and emerging companies – to participate in technology development.

The Other Transaction (OT) consortium model is an “enterprise partnership” between the government and technology providers in a specific domain. The OT consortium model relieves some of the contractual burdens typically placed on contractors working for federal clients.

Why does the government use OTAs?

  • Unlike the FAR (Federal Acquisition Regulation), the OT-based consortium model allows government and industry to communicate more openly, from requirement generation to the proposal stage
  • It affords greater technology and prototype acquisition speed, getting solutions to end users sooner
  • It emphasizes engaging a diverse range of technology suppliers of all sizes, casting a wider net for capturing ideas and innovations
  • OTAs enable faster contracting through long-term agreements between industry and Government that establish baseline terms and conditions (with the flexibility for negotiated modifications on a project-by-project basis)

The OT authority consortium enterprise is good government in action—the competition it promotes between large, traditional R&D providers, academic institutions, and small and nontraditional suppliers drives innovation across the entire US economy.

Government gains a better understanding of state-of-the-art industry capabilities. Industry gains insight into Government needs, expectations, and priorities.
Open communication leads to a better application of industry to solve Government challenges.

Government Supported Pathway

  • Single point of entry to innovative organizations
  • Consortia average 80% new, emerging innovations
  • Elimination of barriers normally encountered under the traditional contracting process (FAR)
  • Rapid solution delivery through streamlined contract execution
  • Alignment of requirements through collaboration that delivers tailored solutions
  • Flexible, industry tailed competition and contract terms

OTA Resources

OTA Resources