Good morning FUN with the FAR Friends!
Thank you for joining us for another great episode of FUN with the FAR! Episode 18 covered: FAR Parts 30 (Cost Accounting Standards Administration), 31 (Contract Cost Principles and Procedures), and 32 (Contract Financing) As a follow-up to Wednesday’s session, here are a few facts to ponder as we prepare for our next session of Fun with the FAR:
DID YOU KNOW?
Whether a contract is covered by CAS or exempt is determined at the time of award.
DID YOU KNOW?
The Government is permitted to make “advanced payments” (i.e., payment made before any performance of work) with certain limitations under a commercial contract (FAR 32.2) and noncommercial contract (FAR 32.4).
DID YOU KNOW?
Performance based payments should only be used in fixed price contracts. FAR 32.1003.
DID YOU KNOW?
Late performance based payments are not subject to any interest penalty. FAR 32.1001(d).
DID YOU KNOW?
Performance based payments should not be used to pay for “accepted items.” FAR 32.1001(a).
DID YOU KNOW?
As a general rule, the Government should make all contract payments through electronic fund
transfers (EFT). But see exceptions at FAR 32.1103(a).