Season 10: Episode 22 “FAR Facts”

Hello and thank you for joining us for Episode 22 of Fun with the FAR Season 10! Our next session will cover FAR Part 42 and 43. FAR Part 42 will cover Contract Administration and Audit Services and FAR Part 43 will cover Contract Modifications! As we prepare for our 22nd episode of Season 10, here are a few Episode 22 FAR Facts for us to think about:
  • For contractors other than educational institutions and nonprofit organizations, the “cognizant” Federal agency normally will be the agency with the largest dollar amount of contracts, including options. FAR 42.003(a).
  • Normally for contractors, other than educational institutions and nonprofit organizations, the Defense Contract Audit Agency (“DCAA”) is the responsible audit agency. FAR 42.101(b).
  • As a general rule, contracting officers may not accept a proposal for final indirect cost rates or make agreements to establish such rates until the costs have been certified by the contractor. FAR 42.703-2(a). However, under certain circumstances and utilizing strict guidelines, the contracting officer may unilaterally establish final indirect cost rates. FAR 42.703-2(c).
  • Even after the execution of a Novation Agreement with the Government, the contractor transferring its contracts to another contractor is still responsible for performance of those contracts until they are completed or terminated. Sometimes this is accomplished by a performance modification. See FAR 42.1204(i) (standard Novation Agreement, Article (b)(8)).
  • As a general rule, Government stop work orders should not last more than 90 days. FAR 52.242-15.
  • As a general rule, contracting officers are the only Government employees that have the authority to change the terms of a contract. FAR 43.202.
  • A contractor’s ability to obtain monetary or schedule relief from a Government change order is controlled by the Changes clause in their Government contract. See FAR 52.243-1 through 52.243-5.
We look forward to you joining us for our Episode 22 FAR Facts, Included here is the link to our Fun with the FAR program:
https://publiccontractinginstitute.com/product/fun-with-the-far%e2%84%a0-season-10/

Related Post

Season 11: Episode 13: FAR Facts

Hello and thank you for joining us for Episode 12 of Fun with the FAR Season 11! In our next session, we will cover FAR Part 19 (Small Business Methods) and FAR Part 26 (Other Socioeconomic Programs). As we prepare for our 13th episode of Season 11, here are a few FAR...

Requirements Contracts: Words of Exclusivity

Requirements Contracts: Words of Exclusivity

The Federal Circuit recently clarified that an agency’s contract may still contain requisite language to make them requirements contracts, even if the contract does not include the required Federal Acquisition Regulation (“FAR”) clauses. Caring Hands Health Equipment...

How Not to Incorporate By Reference in a Contract

How Not to Incorporate By Reference in a Contract

A recent decision by the Civilian Board of Contract Appeals (“Board”) demonstrates how careful and definitive a contractor must be (and, of course, an agency must be) in order to incorporate material by reference in a government contract.  Clean Harbors Environmental...