Contract clauses
Contracting officers must include the appropriate service contract reporting clause in eligible service contracts, except for certain DoD-funded, generic identifier, or classified actions.
Overview
FAR 4.1705 mandates the inclusion of specific contract clauses related to service contract reporting in federal solicitations and contracts. Contracting officers must insert clause 52.204-14 for most service contracts (including construction) that meet or exceed the reporting thresholds outlined in FAR 4.1703, except for indefinite-delivery contracts. For indefinite-delivery contracts where individual orders are expected to meet or exceed these thresholds, clause 52.204-15 must be used. There are notable exceptions: these clauses are not required for contracts entirely funded by the Department of Defense (DoD), contracts with a generic entity identifier, or classified solicitations, contracts, or orders.
Key Rules
- Clause 52.204-14 Requirement
- Must be included in service contracts (including construction) meeting or exceeding FAR 4.1703 thresholds, except indefinite-delivery contracts and certain exceptions.
- Clause 52.204-15 Requirement
- Must be included in indefinite-delivery service contracts (including construction) where orders are expected to meet or exceed FAR 4.1703 thresholds, with the same exceptions as above.
Responsibilities
- Contracting Officers: Ensure the correct clause (52.204-14 or 52.204-15) is included in applicable solicitations and contracts, and verify exceptions.
- Contractors: Comply with the reporting requirements specified in the applicable clause.
- Agencies: Oversee compliance and ensure proper clause usage in contracts.
Practical Implications
This section ensures that service contracts include the necessary clauses to support government-wide service contract inventory and reporting requirements. Failure to include the correct clause can result in non-compliance, affecting contract administration and reporting obligations. Contracting professionals must be vigilant about contract type, funding source, and classification status to determine clause applicability.