Exclusions
FAR 37.502 specifies which service contracts are excluded from Subpart 37.5 oversight requirements, but still encourages good management practices for all contracts.
Overview
FAR 37.502 outlines specific exclusions from the requirements of Subpart 37.5, which addresses management oversight of service contracts. The section clarifies which types of services and contracts are not subject to the subpart's provisions, helping contracting professionals determine when these oversight requirements do not apply.
Key Rules
- Exclusion of Certain Service Arrangements
- Services obtained through personnel appointments, advisory committees, personal service contracts authorized by statute, construction (as defined in FAR 2.101), and interagency agreements performed by in-house Federal employees are excluded from Subpart 37.5.
- Threshold and Incidental Services Exclusion
- Contracts for services below the simplified acquisition threshold and services incidental to supply contracts are also excluded from the subpart's requirements. However, agencies are still encouraged to use good management and contract administration practices for these contracts.
Responsibilities
- Contracting Officers: Must determine if a service contract falls under any of the listed exclusions before applying Subpart 37.5 requirements.
- Contractors: Should be aware that certain contracts may not be subject to the oversight requirements of Subpart 37.5, but good management practices are still expected.
- Agencies: Should ensure that even excluded contracts are managed effectively using sound practices.
Practical Implications
- This section helps contracting professionals quickly identify when the management oversight requirements of Subpart 37.5 do not apply, reducing unnecessary administrative burden for excluded contracts. However, it reinforces the importance of maintaining good management and contract administration practices regardless of formal requirements, especially for contracts below the simplified acquisition threshold or those incidental to supply contracts.