FAR PART 4
ADMINISTRATIVE MATTERS
Scope / What this part covers:
Policies and procedures relating to the administrative aspects of contract execution, contractor
submitted paper documents, distribution, reporting, retention and files:
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4.1
Contract Execution
Contract Distribution including Timing and Minimum Distribution
How to Handle Paper Documents
Safeguarding classified info, within Industry
Responsibilities of the CO
Provisions for Electronic Commerce as it Relates to Contracting
Contract Reporting and the Governments Database for Contract Data Collection
Requirements for Contractor Records Retention and How the Government is to Assemble
their Files
Contract Close out Activity
Handling Taxpayer Identification Info
Contract Execution
 Who has the authority to sign the contract for the Government?
 Only Contracting Officers shall sign contracts on behalf of the US
Government.
 How should the contracting officer sign the contract?
 Contracting Officer’s name should be typed, stamped or printed on the
contract.
 Signs normally after the contractor has signed
 Contracting Officer should ensure that the individual signing for the
contractor is authorized to do so.
 How should the contract be signed if an individual, partnership, corporation, joint venture or
agent?
In each case the contraction officer has the responsibility to see that the person signing
has the authority to do so:
(a) individuals – should be signed by that individual.
-If the individual is doing business as a firm, the individual should sign the contract
followed by the individuals name.
-signature should be followed by the individuals typed, stamped or printed name and the
words “an individual doing business as _________”
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(b) partnerships
-should be signed in the partnership name
-Contracting officer get list of partnership names and ensure each have authority to sign
(c) Corporations – should be signed in the corporate name followed by the words
“by” and the signature and title of the person authorized to sign.
(d) Joint Ventures – may involve any combination of individuals, partnerships or
corporations. Each participant involved in the partnership should sign contract in
accordance with paragraph (a) through (c) above.
(e) Agents – if other than stated above, then the contracting officer should verify that the
agent is authorized to sign. Evidence of authority should be satisfactory to the
contracting officer.
Note: the sample test in the study guide only covers contract signatures by the contracting
officer, an individual or corporation.
4.2
Contract Distribution
 How and when should the contracting officer distribute copies of contract and modifications?
 Should be distributed within 10 working days after execution by all parties
 At a minimum who should the copies be distributed to?
 One copy to the contractor and the paying office
 provide one copy to those organizations required to performance contract administration
 agencies shall limit distribution to the minimum necessary for proper performance of
the contract.
 if the contract is assigned to an agency different from that of the contracting officer, the
two agencies shall agree on necessary distribution.
4.3
How to Handle Paper Documents
 How should the contractor submit paper documents to the Government?
 When electronic commerce methods are not being used submit documents doublesided, if possible on recycled paper.
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4.4
Safeguarding Classified Information Within Industry & Responsibilities
of the Contracting Officer
 What is the name of the document that establishes a program to safeguard Federal
Government classified information released to contractors?
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National Industrial Security Program (NISP) Operating Manual
 What are the responsibilities of the contracting officer?
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Presolicitation Phase – review all proposed solicitations to determine if assess to
classsified information is required by offerors or by a contractor during contract
performance.
-If required, determine covered by the NISP
-Follow the agencies procedures for determining security clearances
of firms to be solicited
-Include appropriate security requirements clause in the solicitation
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Award Phase – inform contractors of the security classification and requirements
attached to various documents.
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4.5
use Contract Security Classification Specification, DD Form 254 or
follow agency procedures if not covered by the NISP.
Insert clause 52.204-2, Security Requirements
Electronic Commerce in Contracting
 When does the Federal Government use electronic commerce - (electronic techniques for
accomplishing business transactions including electronic mail or messaging, World Wide
Web technology, electronic bulletin boards, purchase cards, electronic funds transfer, and
electronic data interchange)?
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Whenever practicable or cost-effective and should ensure that systems are implemented
uniformly throughout the agency.
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Facilitate access to Government acquisition opportunities by small business concerns, small
disadvantaged business concerns and women-owned business concerns.
 Electronic signatures and records are acceptable
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4.6
Contract Reporting
 What is the Federal Procurement Data System (FPDS) an Center (FPDC)?
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It provides a comprehensive mechanism for assembling, organizing and presenting contract
data for the Federal Government
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Federal agencies report data to FPDC which collects, processes and disseminates official
statistical data on Federal contracting.
 What is the minimum data that shall be accessed:
-date of contract award
-who the contract was awarded to
-property or services obtained by the Government
-total cost of the procurement
-procurements that result in a single bid/proposal that can be categorized either
competitive or non-competitive
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For procurements over $25,000, what other data shall be accessed?
-awards to small and disadvantaged businesses –
-women owned and controlled businesses
-number of offers received in response to the solicitation
-contracts for the acquisition of commercial items
-task or delivery order contracts
 What is the criteria for bundling contracts?
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Bundling contracts with a total contract value , including all options, exceeding $5,000,000
must be identified.
 How long shall record be maintained?
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Each agency shall maintain for a period of 5 years a computer file, by fiscal year, containing
unclassified records of all procurements exceeding $25,000.
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4.7
Contractor Records Retention
Audit and Records – Sealed Bidding (FAR 52.214-26)
Audits and Records – Negotiation (FAR 52.215-2)
 What are the record retention periods for contracts that contain the above clauses?
-must be available for 3 years after final payment
-longer if cited in any contract
-must be available for the contractor’s retention or 3 years after final payment,
whichever expires first.
-The Comptroller General allows alternative records retention for Dept of Energy contracts
 How is the retention period calculated
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From the end of the contractor’s fiscal year
 What are alternate retention periods (longer) for financial and cost accounting records?
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4.8
Accts Recv invoices, freight bills, shipping orders – 4 years
Payroll sheets – 4 years
Property Records
Receiving/Inspection
Purchase order files for supplies
Production records
Government Contract Files
 The head of each office performing contract administration or paying functions shall establish
files containing records of all contractual actions.
 Documentation should be sufficient to constitute a complete transaction history
 Must include a file for cancelled solicitations
 Safeguarding of classified documents
Contracting Office contract file – 41 items as listed in Far 4.803
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Contract Close out –
 Contracting officer must receive evidence of physical completion.
 Physically complete when:
-Completed deliveries
-Performed all services
-Option provisions expired
-Gov. given notice of complete contract termination
-Contract period expired
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 Times specified in FAR 4.804-1 for closeout:
*Firm Fixed Price – 6 months
*Settlement of Indirect Cost Rates – 36 months
*All other contracts – 20 months
 Contract file should not be closed if it is in litigation
 Paying office shall close out the contract upon issuance of the final payment voucher.
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What is the procedure for Closing Out Contract Files?
 See 15 items listed in FAR 4.804-5
 See Far 4.805 for Storage, handling and disposal of contract files
4.9
– Taxpayer Identification Number Information
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