FAR 52.244-2 Subcontracts. Alt I (Jun 2020) (Current)

As prescribed in 44.204 (a),

(1) The contracting officer shall insert the clause at 52.244-2, Subcontracts, in solicitations and contracts when contemplating-

                (i) A cost-reimbursement contract;

                (ii) A letter contract that exceeds the simplified acquisition threshold;

                (iii) A fixed-price contract that exceeds the simplified acquisition threshold under which unpriced contract actions (including unpriced modifications or unpriced delivery orders) are anticipated;

                (iv) A time-and-materials contract that exceeds the simplified acquisition threshold; or

                (v) A labor-hour contract that exceeds the simplified acquisition threshold.

           (2) If a cost-reimbursement contract is contemplated, for civilian agencies other than the Coast Guard and the National Aeronautics and Space Administration, the contracting officer shall use the clause with its Alternate I.

           (3) Use of this clause is not required in-

                (i) Fixed-price architect-engineer contracts; or

                (ii) Contracts for mortuary services, refuse services, or shipment and storage of personal property, when an agency-prescribed clause on approval of subcontractors’ facilities is required.
 

Subcontracts (Jun 2020)

      (a) Definitions. As used in this clause-

     “Approved purchasing system” means a Contractor’s purchasing system that has been reviewed and approved in accordance with part  44 of the Federal Acquisition Regulation (FAR).

     “Consent to subcontract” means the Contracting Officer’s written consent for the Contractor to enter into a particular subcontract.

      Subcontract means any contract, as defined in FAR subpart  2.1, entered into by a subcontractor to furnish supplies or services for performance of the prime contract or a subcontract. It includes, but is not limited to, purchase orders, and changes and modifications to purchase orders.

      (b) When this clause is included in a fixed-price type contract, consent to subcontract is required only on unpriced contract actions (including unpriced modifications or unpriced delivery orders), and only if required in accordance with paragraph (c) or (d) of this clause.

      (c) If the Contractor does not have an approved purchasing system, consent to subcontract is required for any subcontract that-

           (1) Is of the cost-reimbursement, time-and-materials, or labor-hour type; or

           (2) Is fixed-price and exceeds-

                (i) For a contract awarded by the Department of Defense, the Coast Guard, or the National Aeronautics and Space Administration, the greater of the simplified acquisition threshold, as defined in FAR 2.101 on the date of subcontract award, or 5 percent of the total estimated cost of the contract; or

                (ii) For a contract awarded by a civilian agency other than the Coast Guard and the National Aeronautics and Space Administration, either the simplified acquisition threshold, as defined in FAR 2.101 on the date of subcontract award, or 5 percent of the total estimated cost of the contract.

      (d) If the Contractor has an approved purchasing system, the Contractor nevertheless shall obtain the Contracting Officer’s written consent before placing the following subcontracts:

      ________________________________________________ ________________________________________________ ________________________________________________

      (e) (1) The Contractor shall notify the Contracting Officer reasonably in advance of placing any subcontract or modification thereof for which consent is required under paragraph (b), (c), or (d) of this clause, including the following information:

                (i) A description of the supplies or services to be subcontracted.

                (ii) Identification of the type of subcontract to be used.

                (iii) Identification of the proposed subcontractor.

                (iv) The proposed subcontract price.

                (v) The subcontractor’s current, complete, and accurate certified cost or pricing data and Certificate of Current Cost or Pricing Data, if required by other contract provisions.

                (vi) The subcontractor’s Disclosure Statement or Certificate relating to Cost Accounting Standards when such data are required by other provisions of this contract.

                (vii) A negotiation memorandum reflecting-

                     (A) The principal elements of the subcontract price negotiations;

                     (B) The most significant considerations controlling establishment of initial or revised prices;

                     (C) The reason certified cost or pricing data were or were not required;

                     (D) The extent, if any, to which the Contractor did not rely on the subcontractor’s certified cost or pricing data in determining the price objective and in negotiating the final price;

                     (E) The extent to which it was recognized in the negotiation that the subcontractor’s certified cost or pricing data were not accurate, complete, or current; the action taken by the Contractor and the subcontractor; and the effect of any such defective data on the total price negotiated;

                     (F) The reasons for any significant difference between the Contractor’s price objective and the price negotiated; and

                     (G) A complete explanation of the incentive fee or profit plan when incentives are used. The explanation shall identify each critical performance element, management decisions used to quantify each incentive element, reasons for the incentives, and a summary of all trade-off possibilities considered.

           (2) If the Contractor has an approved purchasing system and consent is not required under paragraph (c), or (d) of this clause, the Contractor nevertheless shall notify the Contracting Officer reasonably in advance of entering into any (i) cost-plus-fixed-fee subcontract, or (ii) fixed-price subcontract that exceeds either the simplified acquisition threshold, as defined in FAR 2.101 on the date of subcontract award, or 5 percent of the total estimated cost of this contract. The notification shall include the information required by paragraphs (e)(1)(i) through (iv) of this clause.

      (f) Unless the consent or approval specifically provides otherwise, neither consent by the Contracting Officer to any subcontract nor approval of the Contractor’s purchasing system shall constitute a determination-

           (1) Of the acceptability of any subcontract terms or conditions;

           (2) Of the allowability of any cost under this contract; or

           (3) To relieve the Contractor of any responsibility for performing this contract.

      (g) No subcontract or modification thereof placed under this contract shall provide for payment on a cost-plus-a-percentage-of-cost basis, and any fee payable under cost-reimbursement type subcontracts shall not exceed the fee limitations in FAR 15.404-4(c)(4)(i).

      (h) The Contractor shall give the Contracting Officer immediate written notice of any action or suit filed and prompt notice of any claim made against the Contractor by any subcontractor or vendor that, in the opinion of the Contractor, may result in litigation related in any way to this contract, with respect to which the Contractor may be entitled to reimbursement from the Government.

      (i) The Government reserves the right to review the Contractor’s purchasing system as set forth in FAR subpart  44.3.

      (j) Paragraphs (c) and (e) of this clause do not apply to the following subcontracts, which were evaluated during negotiations:

     ________________________________________________ ________________________________________________ ________________________________________________

(End of clause)

 

NONE

Subcontractor ✖ Time and Materials ✖ FFP ✖ Architect-Eng ✖ Applies to (i) A cost-reimbursement contract; (ii) A letter contract that exceeds the simplified acquisition threshold; (iii) A fixed-price contract that exceeds the simplified acquisition threshold under which unpriced contract actions (including unpriced modifications or unpriced delivery orders) are anticipated; (iv) A time-and-materials contract that exceeds the simplified acquisition threshold; or (v) A labor-hour contract that exceeds the simplified acquisition threshold.

52.219-1 Small Business Program Representations.

52.212-3 Offeror Representations and Certifications—Commercial Products and Commercial Services.

52.225-11 Buy American-Construction Materials under Trade Agreements.

52.225-4 Buy American-Free Trade Agreements-Israeli Trade Act Certificate.

52.225-3 Buy American-Free Trade Agreements-Israeli Trade Act.

52.248-3 Value Engineering—Construction.

52.219-3 Notice of HUBZone Set-Aside or Sole Source Award.

52.219-7 Notice of Partial Small Business Set-Aside.

52.219-9 Small Business Subcontracting Plan.

52.212-4 Contract Terms and Conditions-Commercial Items.

52.219-18 Notification of Competition Limited to Eligible 8(a) Concerns.

52.219-6 Notice of Total Small Business Set-Aside.

52.219-4 Notice of Price Evaluation Preference for HUBZone Small Business Concerns.

52.225-23 Required Use of American Iron, Steel, and Manufactured Goods-Buy American Statute-Construction Materials under Trade Agreements.

52.225-11 Buy American-Construction Materials under Trade Agreements.

52.219-28 Post-Award Small Business Program Rerepresentation.

52.212-4 Contract Terms and Conditions—Commercial Products and Commercial Services.

52.219-9 Small Business Subcontracting Plan.

52.219-18 Notification of Competition Limited to Eligible 8(a) Participants.

52.225-11 Buy American-Construction Materials under Trade Agreements.

52.225-4 Buy American-Free Trade Agreements-Israeli Trade Act Certificate.

52.219-18 Notification of Competition Limited to Eligible 8(a) Participants.

52.225-3 Buy American-Free Trade Agreements-Israeli Trade Act.

252.225-7036 Buy American—Free Trade Agreements--Balance of Payments Program.

252.225-7045 Balance of Payments Program--Construction Material Under Trade Agreements.

252.225-7036 Buy American—Free Trade Agreements--Balance of Payments Program.

252.225-7035 Buy American--Free Trade Agreements--Balance of Payments Program Certificate.

252.225-7000 Buy American--Balance of Payments Program Certificate.

252.225-7001 Buy American and Balance of Payments Program.

252.225-7045 Balance of Payments Program--Construction Material Under Trade Agreements.

252.225-7044 Balance of Payments Program--Construction Material.

252.225-7045 Balance of Payments Program--Construction Material Under Trade Agreements.

252.225-7044 Balance of Payments Program--Construction Material.

252.225-7001 Buy American and Balance of Payments Program.

252.225-7036 Buy American-Free Trade Agreements--Balance of Payments

252.225-7035 Buy American--Free Trade Agreements--Balance of Payments Program Certificate.

252.215-7010 Requirements for Certified Cost or Pricing Data and Data Other Than Certified Cost or Pricing Data.

252.225-7001 Buy American and Balance of Payments Program.

252.225-7045 Balance of Payments Program--Construction Material Under Trade Agreements.

252.247-7023 Transportation of Supplies by Sea.

252.225-7045 Balance of Payments Program--Construction Material Under Trade Agreements.

252.225-7044 Balance of Payments Program--Construction Material.

252.225-7036 Buy American—Free Trade Agreements--Balance of Payments Program.

252.227-7015 Technical Data–Commercial Items.

252.227-7014 Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation.

252.227-7013 Rights in Technical Data--Noncommercial Items.

252.227-7015 Technical Data–Commercial Items.

252.227-7018 Rights in Noncommercial Technical Data and Computer Software--Small Business Innovation Research (SBIR) Program.

3052.204-71 Contractor employee access.

552.236-21 Specifications and Drawings for Construction.

552.236-71 Contractor Responsibilities.

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