36.519
Organization and direction of the work
FAR 36.519 mandates the inclusion of the Organization and Direction of the Work clause in all cost-reimbursement construction contracts to ensure effective project management and oversight.
Overview
FAR 36.519 requires contracting officers to include the clause at 52.236-19, Organization and Direction of the Work, in solicitations and contracts for cost-reimbursement construction contracts. This clause establishes requirements for how the contractor must organize and direct the work, ensuring clear lines of authority and effective management of construction activities. The regulation is designed to promote proper oversight and accountability in cost-reimbursement construction projects, where the government assumes more risk for project costs.
Key Rules
- Clause Inclusion Requirement
- The clause at 52.236-19 must be inserted in all solicitations and contracts for cost-reimbursement construction projects.
- Applicability
- This requirement applies specifically to cost-reimbursement construction contracts, not to fixed-price or other contract types.
Responsibilities
- Contracting Officers: Must ensure the clause is included in all relevant solicitations and contracts.
- Contractors: Must comply with the organizational and management requirements specified in clause 52.236-19.
- Agencies: Should oversee compliance with the clause and ensure proper contract administration.
Practical Implications
- This section ensures that cost-reimbursement construction contracts have clear requirements for work organization and direction, reducing the risk of mismanagement.
- Contractors should be prepared to demonstrate their organizational structure and management approach as required by the clause.
- Failure to include or comply with the clause can lead to contract disputes or administrative issues.