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                            PART 2834 - MAJOR SYSTEM ACQUISITION
        
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JARPart Number: 2834
        
                  

                                
                  
        Justice Acquisition Regulation
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PART 2834 - MAJOR SYSTEM ACQUISITION       Authority:                            28 U.S.C. 510; 40 U.S.C. 486(c); 28 CFR 0.75(j) and 0.76(j).          Source:                            87 FR 47118, Aug. 2, 2022, unless otherwise noted.                                       Subpart 2834.0 - General                                                         2834.002 Policy.                                                            2834.003 Responsibilities.                                                            2834.005 General requirements.                                                            2834.005-6 Full production.    **Parent topic:**  SUBCHAPTER F - SPECIAL CATEGORIES OF CONTRACTINGSubpart 2834.0 - General    2834.002 Policy.       The Small Business and Federal Procurement Competition Enhancement Act of 1984 allows an executive agency to establish a dollar threshold for the designation of a major system, in accordance with Public Law 98-577. Dollar thresholds for a major system under OMB Circular A-109 are designated in this section.          (a) *Major automated information system.* Within DOJ, a major automated information system is one whose life-cycle cost is in excess of $100 million.          (b) *Major real property system.*          (1)  			By purchase, when the assessed value of the property exceeds $60 million.          (2) By lease, when the annual rental charges, including basic services (*e.g.,* cleaning, guards, maintenance), exceed $1.8 million.          (3) By transfer from another agency at no cost when the assessed value of the property exceeds $12 million.          (c) *Research and development (R&D) system.* Any R&D activity expected to exceed $500,000 for the R&D phase is subject to OMB Circular A-109, unless exempted by the HCA or designee under paragraph (e) of this section.          (d) *Any other system or activity.* The HCA or designee responsible for the system may designate any system or activity as a Major System under OMB Circular A-109, *e.g.,* selected systems designed to support more than one principal organizational unit.          (e) *Exemption.* The CAO, upon recommendation by the HCA or designee responsible for the system, may determine that, because of the routine nature of the acquisition, the system (*e.g.,* an information system utilizing only off-the-shelf hardware or software) will be exempt from the OMB Circular A-109 process, even where by virtue of the life cycle costs it would otherwise be identified as “major” in response to OMB Circular A-109.2834.003 Responsibilities.       (a) The SPE is the agency head for the purposes of FAR 34.003(a).          (b) The CAO is the agency head for the purposes of FAR 34.003(c).2834.005 General requirements.2834.005-6 Full production.       The CAO is the agency head for the purposes of FAR 34.005-6.
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