Assignment of criticality designator
Contracting officers must assign a criticality designator (A, B, or C) to every contract to ensure appropriate oversight and resource allocation based on contract urgency and importance.
Overview
FAR 42.1105 requires contracting officers to assign a criticality designator (A, B, or C) to each contract in the designated space for the contract administration office. This designator reflects the urgency and importance of the contract and determines the level of production surveillance and reporting required. Designator "A" is for critical contracts, including DX-rated contracts, those with unusual and compelling urgency, and major systems. Designator "B" applies to contracts necessary for maintaining production or repair lines or meeting urgent user needs, but not rising to "A" level. Designator "C" covers all other contracts. The assignment ensures appropriate oversight and resource allocation during contract administration.
Key Rules
- Assignment of Criticality Designator
- Every contract must be assigned a criticality designator (A, B, or C) by the contracting officer.
- Criteria for Designators
- "A" for critical contracts (DX-rated, urgent, major systems), "B" for contracts supporting production/repair lines or urgent needs, "C" for all others.
Responsibilities
- Contracting Officers: Must evaluate each contract and assign the appropriate criticality designator in the specified location.
- Contractors: Should be aware of the assigned designator, as it may affect oversight and reporting requirements.
- Agencies: Ensure contracting officers are trained and compliant in assigning designators.
Practical Implications
- The criticality designator impacts the level of production surveillance and reporting.
- Proper assignment ensures high-priority contracts receive necessary attention.
- Misclassification can lead to inadequate oversight or resource misallocation.