Transportation
FAR Part 47 sets comprehensive requirements for managing transportation and related services in federal contracts, emphasizing compliance with statutory mandates and efficient, cost-effective movement of goods.
Overview
FAR Part 47 establishes the policies, procedures, and requirements for the acquisition and management of transportation and transportation-related services in federal contracting. It covers the movement of supplies, equipment, and personnel by various modes (land, air, ocean), and addresses the use of government and commercial transportation resources. The part is organized into subparts that address general transportation policies, contracts for transportation services, transportation in supply contracts, and specific requirements for air and ocean transportation using U.S.-flag carriers. The regulation ensures compliance with statutory requirements such as the Fly America Act and Cargo Preference Act, and provides guidance on rate tenders, insurance, documentation, and evaluation of transportation costs in contract awards.
Key Rules
- General Transportation Policies
- Establishes foundational policies for transportation in government contracts, including insurance and payment regulations.
- Contracts for Transportation Services
- Outlines procedures for planning, soliciting, awarding, and managing contracts specifically for transportation or related services.
- Transportation in Supply Contracts
- Details requirements for integrating transportation terms (e.g., FOB terms, delivery points) into supply contracts and evaluating transportation costs.
- Air and Ocean Transportation by U.S.-Flag Carriers
- Mandates the use of U.S.-flag carriers for air and ocean shipments when available, with exceptions and documentation requirements.
Responsibilities
- Contracting Officers: Ensure compliance with transportation policies, select appropriate contract clauses, and verify use of U.S.-flag carriers where required.
- Contractors: Adhere to specified transportation terms, provide required documentation, and comply with insurance and carrier requirements.
- Agencies: Oversee transportation activities, maintain records, and report as required by law and regulation.
Practical Implications
- FAR Part 47 exists to ensure efficient, cost-effective, and legally compliant transportation of government goods and personnel. It impacts daily contracting by requiring careful planning of shipping terms, carrier selection, and documentation. Common pitfalls include failure to use U.S.-flag carriers when required, improper documentation, and misunderstanding FOB terms, all of which can lead to compliance issues or increased costs.