Frequently Asked Questions

NAC Organization and Purpose

A consortium is an association of individuals, companies, organizations, or governments (or any combination of these entities) with the objective of participating in a common activity or pooling their resources to achieve a common goal.

The National Armaments Consortium (NAC) is a consortium of 1000+ companies and academic institutions brought together to enhance warfighter capability, lethality, and survivability by leveraging the nation’s industrial and academic research, development, and acquisition base to advance and expand U.S. military technological superiority. The NAC is the preeminent collaboration organization that enables government, industry, and academia to deliver rapid armaments innovation for the Nation’s security.

The NAC is governed by an Executive Committee comprised of member company representatives. The representatives of the NAC Executive Committee are comprised of one (1) representative from academia, either from an institution of higher education or from an organization affiliated with an institution of higher education, four (4) representatives from organizations classified as small businesses, and four (4) representatives from organizations classified as large business.

The NAC is led by an Executive Director, overseeing the NAC’s outreach and business development efforts.

The NAC’s consortium management firm, ATI, is an independent, neutral organization hired by the NAC Executive Committee to administer the day-to-day affairs of the NAC. Information on the current Executive Committee can be found here.

“Armaments” is the ordnance, ammunition, munitions, weapon and sensor systems, and related military materiel, equipment, and components that enable the military to achieve combat and mission effectiveness in all warfare environments: air, land, sea, space, and cyber. We cover a diverse range of technology focus areas:

  • Ammunition
  • Demilitarization
  • Directed Energy Warfare
  • Enabling Technologies
  • Energetic Materials
  • Fuzes
  • Hypersonics and Hypervelocity
  • Information Operations, Cyber Operations and Electronic Warfare
  • ISR, Sensors and Sensor Systems
  • Joint Enhanced Munitions
  • Manufacturing and Process Technology
  • Multi-domain Battlespace Management
  • Protection, Survivability, and Defense
  • Rockets, Missiles and Bombs
  • Warheads/Lethal Mechanisms
  • Warrior as a System
  • Weapon Systems

A Consortium Management Firm (CMF) is a critical link between Government and Industry. The CMF provides administrative and other specialized services to help ensure that the needs of both are met in an efficient and expeditious manner. Advanced Technology International (ATI), a not-for-profit corporation, is the consortium management firm for the National Armaments Consortium (NAC).

Learn more about ATI here.

DOTC is under the direction of the Under Secretary of Defense for Research and Engineering (OUSD(R&E)) and has been operating since 2002. DOTC integrates Government, Industry, and Academia into a single enterprise executing joint and co-funded initiatives, sharing and developing goals and objectives, resources and assets, and utilizing existing personnel, facilities, and equipment through an Other Transactions Agreement between the government and the NAC. The mission of DOTC is to enhance our warfighters’ lethality, survivability, and combat effectiveness by facilitating the industrial and academic research, development, and technology demonstrations needed to advance and expand the superiority of our military technology.

  • Rapid technology transfer to the Warfighter
  • Advocates a critical mass of world-class technologists
  • Leverages government, private industry and academia R&D resources
  • Promotes nontraditional defense contractor involvement
  • Promotes innovation

DOTC Website

AMTC is a combination of two existing consortiums (the NAC and the Vertical Lift Consortium (VLC)) under the management of ATI to support the U.S. Army Combat Capabilities Development Command Aviation & Missile Center. The mission of AMTC is to engage industry and academia to develop and mature guided missile technologies, to develop and transition US Army aviation and missile manufacturing technologies, and integrate advanced technologies, techniques, and processes into future effective weapon systems in support of the U.S. Army and DoD.

AMTC Website

The NEST Program is a collaboration executed under an Other Transaction Agreement (OTA) with Naval Surface Warfare Center Indian Head Division (NWSC IHD) to address the most significant energetics-related challenges facing our nation. This program is critical in enabling the Navy, Marine Corps, and the entire Department of Defense to address current and future security threats in the surface, subsurface, air, ground, littoral and expeditionary environments.

NEST Program Website

NAC Membership

Visit the How to Join webpage. This webpage includes general information about the process and the membership application. A completed and signed application and a signed Consortium Membership Agreement must be submitted to the Consortium Management Firm.

No. You only join the NAC. As a NAC member, you will have access to all of the opportunities provided through DOTC, AMTC, and NEST as well.

This agreement governs the rights and obligations of NAC Member Organizations as they relate to the organization and operation of the NAC.

There is a one-time $500 fee to join and no recurring annual member dues. The following has went into effect on October 1, 2023. The NAC Assessment on AMTC projects is 0.15% of all awarded funding (not ceiling). The NAC Assessment rate on DOTC and NEST projects is 0.5% of all awarded funding (not ceiling). The dues and assessments pay for the operations of the consortium. See additional information under Assessments.

Under section 3.2.1 of the CMA, membership in the NAC shall be granted to:

  1. U.S. firms or institutions organized or existing under the laws of the United States, its territories, or possessions. For the purposes of this Agreement, any agency or instrumentality of a foreign government and firms, institutions or business organizations that are owned or substantially controlled by foreign governments, firms, institutions or individuals shall not be granted membership. The NAC Executive Committee may grant an exception to this requirement on a case-by-case basis, with the concurrence of the relevant Government Program Office.
  2. Have an active Military Critical Technical Data Agreement (Form DD 2345) with the U.S./ Canada Joint Certification Office, Defense Logistics Information Service.
  3. Not barred from contracting with or receiving funds from the United States Government.
  4. Clearly demonstrate in their membership application that they are interested in and capable of assisting with or making technical contributions.
  • Opportunity to become active partners in the development of armaments technology requirements.
  • Work closely with government program sponsors to develop research and development funding priorities.
  • Direct access to government funding sponsors and technology managers, as well as information regarding ongoing research and development activities, future research and development requirements, and strategic visioning.
  • Ability to propose to government solicitations issued by DOTC, AMTC, and the NEST Program.
  • The ability to compete for funding executed under Section 815 for Prototype Other Transactions Agreement.
  • Outreach and networking opportunities with other industry and academia members and government stakeholders.
  • Access to training, webinars, assistance, and information about doing business with the government, navigating through the associated processes, and forecasting future trends.
  • Access to a powerful network of over 1050 members embodying multi-disciplinary expertise and diversity of business models.
  • Access (through the members-only portal) to information and contact points for all NAC members.

Typically 1-2 days if the application is complete. If an application is incomplete, the Consortium Management Firm will contact the applicant to discuss missing elements.

NAC members are required to maintain an active DD2345. United States (U.S.)/Canada Joint Certification Program (JCP) certification establishes the eligibility of a U.S. or Canadian contractor to receive technical data governed, in the U.S., by Department of Defense (DOD) Directive 5230.25 and, in Canada, by the Technical Data Control Regulations (TDCR). Certification is required for United States (U.S.) or Canadian contractors who wish to obtain access to unclassified technical data disclosing militarily critical technology with military or space application that is under the control of or in the possession of the U.S. Department of Defense (DOD) or the Canadian Department of National Defense (DND). In order to obtain a certification, contractors must submit a DD2345 Form to the United States (U.S.)/Canada Joint Certification Office, along with supporting company documentation.

The DD2345 form and instructions are available on DLA’s website.

A nontraditional defense contractor means an entity that is not currently performing and has not performed, for at least the one-year period prior to the date of this application, any contract or subcontract for the Department of Defense that is subject to full coverage under the cost accounting standards prescribed pursuant to section 1502 of title 41 and the regulations implementing such section.

For additional information on the applicability of cost accounting standards, please click here.

No, membership is open to all U.S. companies and universities which are capable of making a technical contribution to the advancement of armament technologies. However, DOTC , NEST, and AMTC solicitations require NDC participation or 1/3 cost share on each proposed effort.

Collaboration events are held for DOTC, AMTC, and the NEST Program in conjunction with releasing solicitations to the NAC member organizations. These events give NAC Members an opportunity to meet DoD technology requirements for submitters to discuss their opportunities and for members to share their technology solutions. They also give NAC members an opportunity to network with other members to develop teaming relationships.

Our Members Only site contains solicitation information, the latest information on Government requirements, meeting proceedings, etc. If your organization is a NAC member, and you do not already have a log-in, you can request one by clicking here. The Primary POC for each organization must approve all requests.

To learn more about the DOTC award process, click here.
To learn more about the AMTC award process, click here.
To learn more about the NEST award process, click here.
NAC Members can find additional information on the NAC Members Only website.

NAC Assessments

The NAC assessment is the primary means of raising revenue to pay for the consortium’s operations. These operations include administrative and member support activities, collaboration events, membership meetings, business development, customer outreach, training, process improvement initiatives, and website management. In addition to the foregoing member benefits, the assessments support member-only access to the growing NAC data repository with enhanced data mining and member networking capability.

Per Section 3.3.2 of the NAC Consortium Membership Agreement, “Each NAC Member Organization receiving a Project Agreement under an OTA executed between the Government and the NAC is subject to an award assessment. This award assessment shall not exceed one percent (1%) of the authorized funded agreement value. This assessment percentage will be evaluated by the NAC Executive Committee on a periodic basis and may be adjusted by Executive Committee Resolution from time to time to maintain a reasonable NAC operating reserve.”

The following has went into effect on October 1, 2023. The NAC Assessment on AMTC projects is 0.15% of all awarded funding (not ceiling). The NAC Assessment rate on DOTC and NEST projects is 0.5% of all awarded funding (not ceiling). The dues and assessments pay for the operations of the consortium. See additional information under Assessments.

No, NAC Assessments are not a Government requirement nor an allowable direct cost on any Initiative/Project Agreement.

Yes, the assessment can be included in your profit/fee, as using an organization’s fee is a business decision. However, there is no need to break out the proposed fee to show the assessment in a cost proposal.

Yes, the assessment may be included in your indirect rate structure (e.g., with the G&A pool). Because of organizations’ differing regulations, disclosure practices, and policies, NAC cannot advise on the specific calculations or appropriateness of this approach for individual NAC members.

No, because of the mechanics of the Other Transaction Agreement, the CMF cannot utilize these other methods. The member must pay the assessment directly to the NAC through the CMF per the instructions on the invoice. The invoice will be sent to the NAC member’s Primary POC, the NAC member’s Financial POC (if provided), and the Initiative’s/Project’s Technical and Contractual POCs. Please contact the CMF if additional POCs are required for your initiative/project.

Yes, the funding generated from the NAC Assessments is used to support the administration and management of NAC affairs, while the Administration Costs support the Other Transaction Agreement administration. The Administration Costs are paid by the government.

Other Transaction Agreements

“Other Transactions Agreement (OTA)” is the term commonly used to refer to the 10 USC 4022 authority to enter into transactions other than contracts, grants or cooperative agreements. The Department of Defense (DoD) currently has temporary authority to make awards relevant to weapons or weapons systems proposed to be acquired or developed by the DoD. OTA’s for prototype initiatives are acquisition instruments that generally are not subject to the federal laws and regulations governing procurement (FAR-based) contracts. As such, they are not required to comply with the Federal Acquisition Regulation (FAR), its supplements (i.e. DFARS) or laws that are limited in applicability to procurement contracts.

DOTC and AMTC operate under Other Transaction Agreements (OTA) between the Government and the National Armaments Consortium. The Consortium Management Firm, acting on behalf of the NAC, administers the efforts of the OTA and makes awards to the NAC members.

Read More About OTAs