Clauses
Contracting officers must include all required clauses in BPAs and apply dollar thresholds to individual orders, not the total BPA value, unless otherwise specified.
Overview
FAR 13.303-4 outlines the requirements for including appropriate clauses in Blanket Purchase Agreements (BPAs). Contracting officers must ensure that all clauses prescribed elsewhere in FAR Part 13, which are required or applicable to the specific BPA, are incorporated into the agreement. Additionally, when a clause's applicability is determined by a dollar threshold, the value to be considered is the amount of each individual order placed under the BPA, unless the clause prescription states otherwise. This ensures that the correct clauses are applied based on the size of each order, not the total potential value of the BPA.
Key Rules
- Clause Inclusion in BPAs
- Contracting officers must insert all required or applicable clauses from FAR Part 13 into each BPA.
- Dollar Threshold Determination
- For clauses with dollar thresholds, the threshold is applied to each individual BPA order, unless otherwise specified by the clause prescription.
Responsibilities
- Contracting Officers: Must review and include all relevant clauses in BPAs and determine clause applicability based on the value of each order.
- Contractors: Must comply with all clauses included in the BPA and be aware that certain requirements may apply to individual orders based on their value.
- Agencies: Should provide oversight to ensure BPAs are properly structured and compliant with clause requirements.
Practical Implications
- This section ensures BPAs contain all necessary clauses for compliance and risk management.
- It clarifies that dollar thresholds for clause applicability are order-specific, preventing misapplication based on total BPA value.
- Common pitfalls include failing to include required clauses or misapplying thresholds, which can lead to compliance issues or disputes.