The Department of Homeland Security (DHS) on Thursday released the second draft Request for Proposals (RFP) for the Program Management, Administrative, Clerical, and Technical Services III (PACTS III) contract. The agency has made some significant changes that could alter your proposal strategy. You can find the latest solicitation documents on PACTS III here.

What is PACTS III?

PACTS III is a Multiple Award Indefinite-Delivery Indefinite-Quantity (IDIQ) vehicle with a ceiling value of $5.6 billion. PACTS III aims to provide program management, administrative, clerical, technical, and engineering commercial services, and solutions to aid the DHS in accomplishing its mission objectives.

DHS expects to issue approximately five separate and distinct MA-IDIQ contracts under each of the four small business set-aside programs for each of the three functional categories (FCs):

  • FC1: Administrative Management and General Management Consulting Services (NAICS Code: 541611)
  • FC2: Office Administrative Services (NAICS Code: 561110)
  • FC3: Engineering Services (NAICS Code: 541330)

The four small business set-aside programs are:

  • Service-Disabled Veteran-Owned Small Business (SDVOSB)
  • Woman-Owned Small Business (WOSB)
  • HUBZone Small Business
  • 8(a) Small Business

Key Updates to the Second Draft RFP

Here are some of the major changes:

  1. Past performance evaluation: This new factor has been added into the evaluation mix. Your company’s track record will now be considered.
  2. Eligibility changes: Only certain entities will have their projects considered, including Primes without subcontractors or affiliates, SBA Small Business JVs, SBA MPPs, or members of SBA Small Business JV or SBA MPP. Note that projects from members of a Small Business Teaming Arrangement will not be accepted.
  3. Protégé performance: 40% of verified projects must have been carried out by the Protégé in an SBA MPP.
  4. Clarifications: The second draft RFP provides more precise definitions of Project Relevancy/Recency requirements and terms such as “Offeror”, “Proposal”, and “Contract”.
  5. Updated terms: Significant changes have been made to the Statement of Work, On/Off Ramping Terms and Conditions, and Attachment 2.
  6. New attachments: Attachments 3, 11, 19-22 have been added to the RFP.

Action Required: Questions and a Survey

Questions are due by 5:00 pm Eastern Time on July 7, 2023. Use the Solicitation Question and Answer Form (Attachment 17) and send your query to

The PACTS III acquisition team has also issued a survey to estimate the number of relevant projects each entity has and the business type(s) under which they’re most likely to submit most of their projects. DHS asks that you review the entire draft RFP and pdf versions of the survey prior to completing the survey. You can find the survey here.

DHS plans to conduct the PACTS III Industry Day towards the end of July 2023. We will update you with the full details, including registration information once the date is confirmed.

Proposal Preparation

PACTS III is an electronic-only submission. All offers are required to be submitted to specific email addresses based on the functional category(ies) you would like the DHS to consider. The DHS has size limitations for sending and receiving emails, capped at 50 MB. Please note that electronic copies of the proposal must be submitted in a format readable by Microsoft (MS) Office 2010 or later or in Adobe Acrobat 9.0 or later.

How OST Global Solutions Can Assist

OST has a proven track record in winning more than $23 billion in funded contracts for our clients. We offer industry expertise, a custom approach, and significant time and resource savings. Reach out to us to discuss how we can support your PACTS III submission. Some ways we can assist you include:

  • Proposal Development: From interpreting the RFP to writing compelling narratives, we guide you through the entire proposal process.
  • Capture Management: We help develop strong relationships with DHS, understanding their requirements and expectations.
  • Expert Guidance: We navigate the complexities of the PACTS III RFP to ensure your proposal is compliant and competitive.
  • Resource Augmentation: We provide skilled resources to support your proposal development efforts.

OST Global Solutions is a professional business development consulting firm. We have extensive experience in winning large, strategic bids like PACTS III. We can provide capture and proposal teams to develop a complete, winning proposal. Or we can provide consultants on a case-by-case basis to fill gaps on your business development team Our services related to PACTS III consist of capture management, cost volume development, price-to-win analysis, team identification/negotiation, proposal management, proposal writing, editing, graphics, and desktop publishing.

Contact us to discuss your bids, so we can help you develop a winning proposal for PACTS III.

Schedule a Call

(301) 384-3350


Upcoming Bid & Proposal Academy Classes

How to Develop a Compliant Proposal

OST Global Solutions 7361 Calhoun Place, Suite 560, Rockville, MD, United States

A compliant and high-scoring proposal starts with a well-thought-out outline. This course dives into the intricacies of developing proposal outlines, annotating these outlines, preparing compliance and cross-reference matrixes, and preparing storyboards or work packages the right way. It starts with analyzing different types of Requests for Proposal (RFP) and Requests for Quote (RFQ) formats to show how various customers may organize the requirements. Learn More

Register Now $1,390.00 49 tickets left

Advanced Proposal Management

OST Global Solutions 7361 Calhoun Place, Suite 560, Rockville, MD, United States

This class covers the spectrum of the most important topics, from preparing for a proposal effort and making a bid-no-bid decision, to orchestrating a great proposal kickoff, driving subject matter experts to produce winning content, exhibiting superb leadership and team management skills, managing conflict, setting the right expectations, optimizing proposal team performance, getting the most from the proposal color reviews, and mitigating proposal risks at every stage to reduce stress and increase your proposal’s Pwin. The course also focuses on measuring and improving cost-efficiency and effectiveness of the proposal team. Learn More

Register Now $1,390.00 49 tickets left

Winning Government Cost Proposals

OST Global Solutions 7361 Calhoun Place, Suite 560, Rockville, MD, United States

Developing a Winning Cost Volume course helps you increase your federal contract win probability. We focus on government contract evaluation, pricing fundamentals such as cost buildup and cost volume elements, price strategy, developing basis of estimate (BOE), coming up with assumptions, Work Breakdown Structure (WBS), cost volume narrative, winning in lowest price technically acceptable proposals (LPTA), and much more. Learn More

Register Now $1,390.00 38 tickets left