Interagency property transfer costs
Receiving agencies must pay transfer costs and provide prompt documentation, while transferring agencies are generally not reimbursed for property unless specific exceptions apply.
Overview
FAR 45.602-4 outlines the procedures and cost responsibilities for interagency transfers of government property. It specifies that agencies transferring property to another agency are not to be reimbursed for the property itself unless specific exceptions under FMR 102-36.285 apply. The receiving agency is responsible for paying transportation and preparation costs not assigned to the contractor. The contract administration office must process any necessary contract modifications, and the receiving agency must provide funding and shipping documentation promptly to facilitate plant clearance.
Key Rules
- No Reimbursement for Property
- Transferring agencies are not reimbursed for property unless FMR 102-36.285 applies.
- Receiving Agency Pays Transfer Costs
- The receiving agency covers transportation and preparation costs not assigned to the contractor.
- Contract Modifications
- The contract administration office processes any required contract modifications related to the transfer.
- Prompt Documentation
- The receiving agency must quickly provide funding data and shipping documents to expedite plant clearance.
Responsibilities
- Contracting Officers: Ensure contract modifications are processed and compliance with cost assignment.
- Contractors: May be responsible for some transportation costs if specified in the contract.
- Agencies: Transferring agencies must not seek reimbursement (unless excepted); receiving agencies must pay costs and provide documentation promptly.
Practical Implications
- This section ensures clear assignment of costs and responsibilities during interagency property transfers, preventing disputes and delays.
- Timely documentation and funding from the receiving agency are critical to avoid plant clearance bottlenecks.
- Contractors should clarify their responsibilities for transportation costs in the contract to avoid unexpected liabilities.