Previous PageTable Of ContentsNext Page

DLAD PART 32 – CONTRACT FINANCING



PART 32 – CONTRACT FINANCING

TABLE OF CONTENTS

32.004 Contract performance in foreign countries.

32.071 Contract finance committee.

32.006 Reduction or suspension of contract payments upon finding of fraud.

32.006-1 General.

32.006-2 Definitions.

32.006-3 Responsibilities.

32.006-5 Reporting.

SUBPART 32.1 – NON COMMERCIAL-ITEM PURCHASE FINANCING

32.111 Contract clauses for non-commercial purchases.

32.114 Unusual contract financing.

SUBPART 32.2 – COMMERCIAL ITEM PURCHASE FINANCING

32.206 Solicitation provisions and contract clauses.

32.908 Contract clauses.

SUBPART 32.3 – LOAN GUARANTEES FOR DEFENSE PRODUCTION

32.304 Procedure.

32.304-1 Application for guarantee.

SUBPART 32.4 – ADVANCE PAYMENTS FOR NON-COMMERCIAL ITEMS

32.402 General.

32.407 Interest.

32.409 Contracting officer action.

32.409-1 Recommendation for approval.

32.409-2 Recommendation for disapproval.

SUBPART 32.5 – PROGRESS PAYMENTS BASED ON COSTS

32.501 General.

32.501-2 Unusual progress payments.

32.502 Preaward matters.

32.502-1 Use of customary progress payments.

32.502-3 Solicitation provisions.

32.502-4 Contract clauses.

SUBPART 32.6 – CONTRACT DEBTS

32.610 Demand for payment of contract debt.

32.613 Deferment of collection.

32.614 Interest.

32.690 Claims processing.

SUBPART 32.7 – CONTRACT FUNDING

32.703 Contract funding requirements.

32.703-2 Contracts conditioned upon the availability of funds.

SUBPART 32.9 – PROMPT PAYMENT

32.905 [Reserved.]

32.906 Contract financing payments.

32.907 Interest penalties.

32.907-1 Late invoice payment.

32.908 Contract clauses.

32.004 Contract performance in foreign countries.

32.006 Reduction or suspension of contract payments upon finding of fraud.

32.006-1 General.

32.006-2 Definitions.

32.006-3 Responsibilities.

32.006-5 Reporting.

The DLA remedy coordination official shall prepare the report which shall be submitted by memorandum by the Director, DLA or his deputy to the Under Secretary of Defense (Acquisition and Technology) through the Director of Defense Procurement.

32.071 Contract finance committee.

SUBPART 32.1 – NON-COMMERCIAL ITEM PURCHASE FINANCING

32.111 Contract clauses for non-commercial purchases.

32.111(a)(7)(90) Clause – invoicing instructions.

The clause at 52.232-9005, Invoicing Instructions (Time-and-Materials or Labor-Hour Task Order Contract), may be used in solicitations and contracts when a time-and-materials or labor-hour task order contract is contemplated. The contracting officer should consider using this clause when assurance of proper invoice verification is needed. If this clause is used, all subcontracts must be approved in writing by the contracting officer. Use this clause with FAR 52.211-2 and DFARS 252.232-7003.

32.114 Unusual contract financing.

If an alternative financing arrangement other than PBP is being contemplated, the contracting officer shall submit the proposed arrangement through J72 to obtain J7 coordination prior to submission to DPAP for review and concurrence.

SUBPART 32.2 – COMMERCIAL ITEM PURCHASE FINANCING

32.206 Contract clauses for non-commercial purchases.

32.206-90 Vendor rebate program (VRP).

The vendor rebate program (VRP) is a program whereby a contractor (vendor) is required to submit a "rebate" to the DLA Land and Maritime for a percentage of sales made directly against a DLA Land and Maritime contract by other Government entities via the Government-wide Commercial Purchase Card.

The clause 52.232-9004, Purchase Card Purchases – Vendor Rebate Program (VRP), will be included in solicitations and awards of long-term contracts (e.g., prime vendor and corporate contracting) in which DLA Land and Maritime has, or is likely to develop, a vendor rebate program (VRP) with its suppliers.

SUBPART 32.3 – LOAN GUARANTEES FOR DEFENSE PRODUCTION

32.304 Procedure.

32.304-1 Application for guarantee.

SUBPART 32.4 – ADVANCE PAYMENTS FOR NON-COMMERCIAL ITEMS

32.402 General.

32.407 Interest.

32.409 Contracting officer action.

32.409-1 Recommendation for approval.

The contracting officer's report, containing all the information specified in FAR 32.409-1, shall be forwarded by the chief of the contracting office (not delegable) to DLA HQ, attention: J8, with a copy to DLA HQ, attention: J73. The items indicated in FAR 32.409-1(b) and (c) require submission and investigation of all information cited in FAR 32.408. Information on how advance payments, in lieu of all other financing methods, are necessary for performance of the contract, and how the authorization of advance payment is in the public interest or, as applicable (see FAR 32.402), will facilitate the national defense, shall be included in documentation to be furnished pursuant to FAR 32.409-1(d).

32.409-2 Recommendation for disapproval.

If the contracting officer determines that the request should be disapproved, the determination shall be forwarded for approval by the chief of the contracting office (not delegable).The response to the contractor should include suggestions as to alternate financing methods. If the contract cites DLA funds, an information copy of the documents should be transmitted to DLA HQ following the distribution cited in 32.409-1 above. (The office administering or making payments under the contracts or maintaining the allotment records to which the payment will finally be charged is not pertinent.)

SUBPART 32.5 – PROGRESS PAYMENTS BASED ON COSTS

32.501 General.

32.501-2 Unusual progress payments.

32.502 Preaward matters.

32.502-1 Use of customary progress payments.

The use of a progress payments clause in orders with the Federal Prison Industries (FPI) and in orders with the workshops of the National Industries for the Blind (NIB) and the National Industries for the Severely Handicapped (NISH) shall be based on the criteria in FAR 32.502-1. These entities shall be afforded the same privileges for and rate of progress payments as are permitted for large business concerns.

32.502-3 [Reserved.]

32.502-4 Contract clauses.

SUBPART 32.6 – CONTRACT DEBTS

32.610 Demand for payment of contract debt.

32.613 Deferment of collection.

32.614 Interest.

32.614-1 Interest charges.

32.690 Claims processing.

Follow directions contained in the DoD Financial Management Regulations (FMR).

SUBPART 32.7 – CONTRACT FUNDING

32.703 Contract funding requirements.

32.703-2 Contracts conditioned upon the availability of funds.

It is recognized that there may be instances, other than those described in FAR 32.703-2, when it may be necessary to initiate a purchase prior to the availability of funds. In such instances, the action will only be taken after the facts concerning the proposed solicitation are forwarded by the Chief of the Contracting Office (not delegable) to DLA HQ, attention: J73, for review as to the necessity for such action and the obtaining of the required FAR deviation permitting use of the provisions set forth in FAR 52.232-18.

SUBPART 32.9 – PROMPT PAYMENT

32.906 Contract financing payments.

32.907 Interest penalties.

32.907-1 Late invoice payment.

32.908 Contract clauses.

32.908-90 Clause for tare.

Tare is the weight of a vehicle or container when it is empty. This weight is used in calculations of net weight for tasks which range from properly charging customers for consumer goods to taxing laden trucks as they cross borders. To calculate the net weight of a load, the container is weighed to establish the tare weight and then weighed again for the gross weight, and the tare is subtracted from the gross to find out how heavy the load is.

Insert 52.232-9002, Tare Included or Excluded, in solicitations and/or contracts that discuss tare. For instance, IFBs, RFPs, and RFQs for fiber rope, cordage or twine when purchase is on a per pound basis and weight of tare is included would select the first paragraph, while those that exclude tare would select the second paragraph.

32.908-90 Clause for distribution of commercial manuals.

52.232-9001, Invoice Confirmation – Commercial Manuals, may be used when the contractor will be required to distribute commercial manuals. Do not use if the requirement for commercial manuals is waived in the purchase order.

32.908-91 Clause for acquisitions of carbon steel sheets or steel plates/sheets.

Insert 52.232-9003, Billing Weight and Payments for Carbon Steel or Steel Plate/Sheets, in solicitations and/or contracts acquiring carbon steel sheets or steel plates/sheets.

Previous PageTop Of PageTable Of ContentsNext Page