How often are statutory acquisition-related dollar thresholds in the FAR adjusted for inflation?

The statutory acquisition-related dollar thresholds in the Federal Acquisition Regulation (FAR) are adjusted for inflation every 5 years. This adjustment process ensures that the thresholds remain relevant and account for changes in economic conditions and inflation rates over time. The specific intervals for adjusting these thresholds are mandated by legislation, particularly the Federal Acquisition Streamlining Act and subsequent amendments, which aim to maintain the effectiveness and integrity of federal procurement processes.

In practice, this means that procurement professionals need to stay informed about these adjustments to ensure compliance with the current rules and regulations governing federal contracts. Regular updates help prevent contracting officers from making decisions based on outdated thresholds, which could affect budgeting, contract management, and compliance with federal laws.