U.S. Code » Title 40 » Subtitle SUBTITLE I— FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES › Chapter CHAPTER 11— SELECTION OF ARCHITECTS AND ENGINEERS

40 U.S.C. § 1104

Negotiation of contract

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(a)In General.—The agency head shall negotiate a contract for architectural and engineering services at compensation which the agency head determines is fair and reasonable to the Federal Government. In determining fair and reasonable compensation, the agency head shall consider the scope, complexity, professional nature, and estimated value of the services to be rendered.(b)Order of Negotiation.—The agency head shall attempt to negotiate a contract, as provided in subsection (a), with the most highly qualified firm selected under section 1103 of this title. If the agency head is unable to negotiate a satisfactory contract with the firm, the agency head shall formally terminate negotiations and then undertake negotiations with the next most qualified of the selected firms, continuing the process until an agreement is reached. If the agency head is unable to negotiate a satisfactory contract with any of the selected firms, the agency head shall select additional firms in order of their competence and qualification and continue negotiations in accordance with this section until an agreement is reached.(Pub. L. 107–217, Aug. 21, 2002, 116 Stat. 1130.)

Historical and Revision Notes

Revised

Section

Source (U.S. Code)

Source (Statutes at Large)

1104

40:544.

June 30, 1949, ch. 288, title IX, § 904, as added Pub. L. 92–582, Oct. 27, 1972, 86 Stat. 1279.

Notes of Decisions
Cited in 5 cases (1 in the last 5 years), 1991–2022 · leading case: BBF Eng'g Servs., PC v. State of Mich., 573 F. App'x 377 (6th Cir. 2014).
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BBF Eng'g Servs., PC v. State of Mich., 573 F. App'x 377 (6th Cir. 2014). “1992); see also 40 U.S.C. § 1104 (b). Moreover, this claim from 2006 would fall outside of § 1983’s three-year statute of limitations.”
Weston Solutions, Inc. v. United States, 95 Fed. Cl. 311 (Fed. Cl. 2010). · cites it 2× “40 U.S.C. § 1104 (a) (2006). Subsection b of that same provision requires that the agency first attempt to negotiate with the most highly ranked firm, and if the agency is unable to reach agreement with the first firm, then the agency shall attempt to negotiate with the next…”
Saratoga Dev. Corp. v. United States, 21 F.3d 445 (D.C. Cir. 1994). · cites it 6× “Instead, the PADC and the winning developer would enter into a “development agreement” under which the developer could hold title to the building for up to 35 years after the date on which construction began.”
Saratoga Dev. Corp. v. United States, 777 F. Supp. 29 (D.D.C. 1991). · cites it 2× “” 40 U.S.C. § 1104 (a)(3). While defendants acknowledge that the complete absence of any law against which to judge an agency action is rare, they argue that this is such an instance because the PADC’s authority to “exercise such power as may be necessary to further the public…”
Culpepper v. Birmingham Jefferson Cnty. Transit Auth. (BJCTA) (N.D. Ala. 2022). · cites it 4× “In step two, the grantee agency then negotiates the contract, including costs, as spelled out in 40 U.S.C. § 1104 : (a) In general.--The agency head shall negotiate a contract for architectural and engineering services at compensation which the agency head determines is fair and…”
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