36.507
Permits and responsibilities
Contracting officers must include the Permits and Responsibilities clause in construction and related contracts to ensure contractors handle all permitting and legal compliance.
Overview
FAR 36.507 requires contracting officers to include the clause at 52.236-7, Permits and Responsibilities, in certain types of contracts. This clause is mandatory for solicitations and contracts involving fixed-price or cost-reimbursement construction, as well as fixed-price contracts for dismantling, demolition, or removal of improvements. The clause assigns responsibility to the contractor for obtaining necessary permits and complying with applicable laws and regulations during contract performance.
Key Rules
- Clause Inclusion Requirement
- Contracting officers must insert FAR 52.236-7 in applicable contracts.
- Applicability
- Applies to fixed-price or cost-reimbursement construction contracts and fixed-price contracts for dismantling, demolition, or removal of improvements.
Responsibilities
- Contracting Officers: Ensure the clause is included in relevant solicitations and contracts.
- Contractors: Obtain all required permits and comply with laws and regulations as specified in the clause.
- Agencies: Oversee compliance with clause inclusion and contractor responsibilities.
Practical Implications
- This section ensures that contractors are clearly responsible for legal compliance and permitting, reducing government liability.
- Contractors must proactively manage permitting and regulatory compliance to avoid delays or contract breaches.
- Omitting the clause can result in compliance issues and potential disputes over responsibility.