What is LPTA and how does it affect SDVOSB competition?
Lowest Price Technically Acceptable (LPTA) is a source selection method where award goes to the lowest-priced offeror that meets the minimum technical requirements. LPTA heavily favors large businesses with lower overhead rates. SDVOSBs competing on LPTA contracts must minimize indirect costs and labor rates while ensuring they can actually perform. LPTA is most common for commodity-like services where technical differentiation is minimal.
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