32.502-3 Solicitation provisions
Source: FAR 32.502-3 on acquisition.gov
Contracting officers must include the appropriate progress payment solicitation provisions to clearly inform bidders about the availability and eligibility for progress payments.
Overview
FAR 32.502-3 outlines the requirements for including specific solicitation provisions related to progress payments in government contracts. It directs contracting officers on when to insert certain FAR clauses in solicitations, depending on whether progress payments are offered, restricted to small businesses, or not included at all. The section ensures that bidders are properly notified about the availability and terms of progress payments before contract award.
Key Rules
- Notice of Progress Payments (FAR 52.232-13)
- Must be included in solicitations that will have a Progress Payments clause, informing bidders about the availability of progress payments.
- Progress Payments for Small Businesses (FAR 52.232-14)
- If progress payments are restricted to small businesses, and both small and other businesses may bid, this provision must be included to notify all bidders of the restriction.
- Progress Payments Not Included (FAR 52.232-15)
- If the solicitation does not offer progress payments, this provision must be included to clarify that progress payments are not available.
Responsibilities
- Contracting Officers: Must determine the appropriate progress payment provisions and ensure the correct FAR clauses are included in solicitations.
- Contractors: Should review solicitation provisions to understand progress payment eligibility and restrictions.
- Agencies: Must ensure compliance with statutory and regulatory requirements regarding progress payments.
Practical Implications
- This section ensures transparency and fairness by clearly communicating progress payment terms to all potential bidders.
- Contractors must pay close attention to solicitation provisions to understand their eligibility for progress payments.
- Failure to include the correct provisions can lead to confusion, disputes, or non-compliance with FAR requirements.
(a) The contracting officer shall insert the provision at 52.232-13, Notice of Progress Payments, in invitations for bids and requests for proposals that include a Progress Payments clause.
(b)
(1) Under the authority of the statutes cited in 32.101, an invitation for bids may restrict the availability of progress payments to small business concerns only.
(2) The contracting officer shall insert the provision at 52.232-14, Notice of Availability of Progress Payments Exclusively for Small Business Concerns, in invitations for bids if it is anticipated that-
(i) Both small business concerns and others may submit bids in response to the same invitation; and
(ii) Only the small business bidders would need progress payments.
(c) The contracting officer shall insert the provision at 52.232-15, Progress Payments Not Included, in invitations for bids if the solicitation will not contain one of the provisions prescribed in paragraphs (a) and (b) of this section.