4.804-3
Closeout of paying office contract files
The paying office must close its contract file immediately after issuing the final payment voucher, marking the official financial closeout of the contract.
Overview
FAR 4.804-3 specifies the requirement for the paying office to close its contract file once the final payment voucher has been issued. This step is a critical part of the contract closeout process, ensuring that all financial obligations have been met and that the contract is officially concluded from a payment perspective. The regulation is straightforward, focusing solely on the timing and responsibility for closing the paying office's records related to the contract.
Key Rules
- Closure Triggered by Final Payment
- The paying office must close the contract file immediately after issuing the final payment voucher.
- Responsibility of the Paying Office
- The paying office, not the contracting office or contractor, is responsible for this specific closeout action.
Responsibilities
- Contracting Officers: Ensure all contract actions are complete so the final payment can be processed.
- Contractors: Submit all required deliverables and invoices to enable final payment.
- Agencies/Paying Office: Close the contract file promptly upon issuing the final payment voucher.
Practical Implications
- This regulation ensures that contract financial records are closed in a timely manner, reducing administrative burden and risk of errors.
- Delays in issuing the final payment voucher can postpone file closeout, impacting reporting and audit readiness.
- Contractors should ensure all documentation is submitted promptly to avoid delays in final payment and file closure.