Past Performance in Government Contracting: Complete Evaluation Guide 2025
Understand how past performance evaluations work in federal contracting, how to build strong past performance, and strategies to win contracts with limited history.
Quick Answer: What is Past Performance?
Past performance is a key evaluation factor in government source selection. It measures how well a contractor has performed on previous contracts and predicts future performance. Strong past performance can be the deciding factor in winning competitive contracts.
What is Past Performance?
Past performance is a measure of a contractor's historical ability to successfully perform contracts. The Federal Acquisition Regulation (FAR) requires agencies to evaluate past performance as part of source selection for contracts over the simplified acquisition threshold ($250,000).
The government uses past performance as a predictor of future performance. The theory is simple: contractors who have performed well in the past are more likely to perform well in the future.
Past Performance vs. Experience
Past Performance
How WELL you performed—quality ratings, customer satisfaction, meeting requirements, schedule adherence, cost control
Experience
WHAT you have done—types of contracts completed, technical capabilities demonstrated, scope and complexity of prior work
Why Past Performance Matters
Evaluation Weight
Past performance typically accounts for 20-30% of the total evaluation score in best value source selections. In some cases, it can be weighted equal to or higher than technical approach.
Tie Breaker
When technical proposals are rated equal, past performance often becomes the deciding factor. Strong past performance can edge out competitors with similar capabilities.
Risk Assessment
Agencies use past performance to assess risk. Poor past performance signals higher risk, which can lead to rejection even if your price and technical approach are competitive.
Responsibility Determination
Before awarding any contract, the contracting officer must determine you're "responsible." Past performance is a key factor in this determination.
CPARS Explained
The Contractor Performance Assessment Reporting System (CPARS) is the government's official system for documenting contractor performance. Understanding CPARS is essential for every government contractor.
CPARS Rating Scale
CPARS Evaluation Areas
- •Quality: Technical quality of products or services delivered
- •Schedule: Timeliness of performance and deliverables
- •Cost Control: Management of contract costs (for cost-type contracts)
- •Management: Business relations, communication, problem-solving
- •Small Business: Subcontracting plan compliance (if applicable)
How Agencies Evaluate Past Performance
When evaluating past performance, agencies consider several factors to determine relevancy and quality of your prior work:
Relevancy
How similar is your past work to the current requirement? Agencies look at scope, complexity, dollar value, and type of work performed.
Recency
More recent performance is weighted more heavily. Most solicitations look at contracts completed within the last 3-5 years.
Quality Ratings
Your actual performance ratings from CPARS, questionnaire responses from references, and any documented performance issues.
Source of Information
Government contracts are weighted more heavily, but commercial work can count. Agencies may also contact references not provided by the offeror.
Building Strong Past Performance
Strategies for Success
- ✓Deliver Excellence on Every Contract
Every contract is an opportunity to build your reputation. Exceed expectations when possible.
- ✓Document Everything
Keep detailed records of accomplishments, customer compliments, and problem resolutions.
- ✓Communicate Proactively
Address issues before they become problems. Keep the government informed of progress.
- ✓Request Interim Evaluations
For long contracts, request interim CPARS evaluations to document ongoing good performance.
- ✓Maintain Reference Relationships
Stay in touch with past clients. They may move to other agencies and can provide future references.
Competing with Limited Past Performance
New contractors or those entering new markets often lack relevant past performance. Here's how to compete effectively:
Use Commercial Experience
Most agencies accept relevant commercial past performance. Highlight similar work you've done for private sector clients.
Leverage Key Personnel
Past performance of key personnel can sometimes substitute for corporate past performance, especially for service contracts.
Team with Experienced Partners
Joint ventures or teaming arrangements with established contractors can provide the past performance you need.
Start with Smaller Contracts
Build your federal past performance with smaller contracts, then use those to pursue larger opportunities.
Neutral Rating for No Past Performance
FAR requires agencies to rate offerors with no relevant past performance as "neutral"— neither favorably nor unfavorably. This means you won't be penalized for being new, but you also won't get the boost that strong past performance provides.
Responding to CPARS Evaluations
When you receive a CPARS evaluation, you have the right to respond. This is critical for protecting your past performance record.
Response Timeline
Days to Comment
You have 14 days to review and comment on the draft evaluation
Days for Government Response
The agency must address your comments within 14 days
Days for Rebuttal
You have another 14 days to provide a final rebuttal if needed
Tips for Responding
- •Provide factual evidence to support your position
- •Reference specific contract deliverables, reports, or communications
- •Stay professional even if you disagree with the assessment
- •Highlight any extenuating circumstances that affected performance
- •Request escalation to the reviewing official if issues aren't resolved
Frequently Asked Questions
How long do CPARS ratings stay in the system?
CPARS ratings remain in the Past Performance Information Retrieval System (PPIRS) for 6 years. However, agencies typically only consider performance from the last 3-5 years as most relevant.
Can I use subcontract experience as past performance?
Yes, many solicitations accept past performance as a subcontractor. However, you'll need to clearly describe your role and the portion of work you performed. Prime contract experience is generally weighted more heavily.
What if I have a poor CPARS rating?
Address it head-on in your proposal. Explain what happened, what corrective actions you took, and how you've prevented similar issues. A well-handled problem can actually demonstrate strong management.
Do all contracts require past performance evaluation?
Past performance evaluation is required for contracts over $250,000 (the simplified acquisition threshold). For contracts below this threshold, agencies have discretion. Commercial item acquisitions may have modified requirements.
Can agencies contact references I didn't provide?
Yes, agencies can and often do seek past performance information from sources beyond what you provide. This includes checking CPARS/PPIRS and contacting other government contracting officers who have worked with your company.
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