Reporting Nonconforming Items
FAR 46.317 requires reporting of nonconforming items in certain contracts, with specific exclusions and agency flexibility for reporting responsibilities.
Overview
FAR 46.317 mandates the inclusion of the clause at 52.246-26, Reporting Nonconforming Items, in certain government contracts to ensure that nonconforming items are properly reported and addressed. This requirement applies to acquisitions involving items subject to higher-level quality standards, items deemed critical by the contracting officer, and Department of Defense (DoD) acquisitions of electronic parts or items containing electronic parts above the simplified acquisition threshold. The clause also applies to service contracts where such items are furnished. However, the clause is not required for commercial products and services acquired under FAR Part 12 or for medical devices regulated by FDA reporting requirements. Agencies may modify reporting responsibilities under specific circumstances, allowing the agency to report to GIDEP instead of the contractor, but must adhere to the 60-day reporting deadline.
Key Rules
- Clause Inclusion
- Contracting officers must include FAR 52.246-26 in solicitations and contracts for covered items and services.
- Applicability
- Applies to higher-level quality standard items, critical items, and DoD electronic parts acquisitions above the simplified acquisition threshold.
- Exclusions
- Does not apply to commercial products/services under FAR Part 12 or FDA-regulated medical devices.
- Reporting Modifications
- Agencies may shift reporting responsibility from contractor to agency, but must still report to GIDEP within 60 days.
Responsibilities
- Contracting Officers: Determine applicability, insert the clause as required, and ensure compliance with reporting modifications if agency policy dictates.
- Contractors: Report nonconforming items per clause requirements unless excluded; may be required to submit reports to GIDEP or the agency.
- Agencies: May assume reporting duties to GIDEP if policy allows, ensuring timely submission.
Practical Implications
- Ensures prompt identification and reporting of nonconforming items, reducing risk of defective products in government supply chains.
- Contractors must be aware of when the clause applies and their reporting obligations.
- Failure to comply can result in contractual or regulatory penalties, especially for critical or electronic items.