1.601 General
Source: FAR 1.601 on acquisition.gov
Only duly appointed contracting officers have the authority to enter into and sign contracts on behalf of the government, ensuring proper delegation and legal compliance.
Overview
FAR 1.601 establishes the foundational authority and responsibility for contracting within federal agencies. It clarifies that, unless otherwise restricted by law, the agency head holds the authority to contract for supplies and services and may delegate this authority to heads of contracting activities. Only contracting officers are authorized to enter into and sign contracts on behalf of the government. The section also allows agency heads to mutually assign contracting functions between agencies or create joint offices for acquisition responsibilities, promoting interagency cooperation and efficiency.
Key Rules
- Authority to Contract
- The agency head is vested with the authority to contract for supplies and services unless prohibited by law.
- Delegation of Authority
- Agency heads can delegate broad contracting authority to heads of contracting activities.
- Contracting Officer Requirement
- Only contracting officers may enter into and sign contracts on behalf of the government.
- Interagency Cooperation
- Agency heads may agree to assign contracting functions between agencies or create joint acquisition offices.
Responsibilities
- Contracting Officers: Must be properly appointed and are the only individuals authorized to sign contracts.
- Contractors: Must ensure they are dealing with duly appointed contracting officers.
- Agencies: Must establish clear delegations of authority and may collaborate with other agencies for contracting functions.
Practical Implications
- This section ensures that only authorized personnel can bind the government contractually, reducing risk of unauthorized commitments.
- Contractors should always verify the authority of the government representative signing a contract.
- Agencies can improve efficiency and resource sharing through interagency agreements or joint offices.
(a) Unless specifically prohibited by another provision of law, authority and responsibility to contract for authorized supplies and services are vested in the agency head. The agency head may establish contracting activities and delegate broad authority to manage the agency’s contracting functions to heads of such contracting activities. Contracts may be entered into and signed on behalf of the Government only by contracting officers. In some agencies, a relatively small number of high level officials are designated contracting officers solely by virtue of their positions. Contracting officers below the level of a head of a contracting activity shall be selected and appointed under 1.603.
(b) Agency heads may mutually agree to-
(1) Assign contracting functions and responsibilities from one agency to another; and
(2) Create joint or combined offices to exercise acquisition functions and responsibilities.