47.103-2
Contract clause
Include the 52.247-67 clause in cost-reimbursement contracts that allow transportation reimbursement to ensure auditability of transportation charges.
Overview
FAR 47.103-2 requires contracting officers to include the clause at 52.247-67, Submission of Transportation Documents for Audit, in solicitations and contracts when a cost-reimbursement contract is anticipated and transportation costs will be reimbursed as a direct charge. This ensures that transportation documents are available for audit, supporting proper oversight and verification of transportation expenses charged to the government.
Key Rules
- Clause Inclusion Requirement
- The clause at 52.247-67 must be inserted in solicitations and contracts for cost-reimbursement contracts (and first-tier cost-reimbursement subcontracts) that authorize transportation reimbursement as a direct charge.
- Audit Facilitation
- The clause ensures that transportation documents are submitted and available for audit to verify the legitimacy and accuracy of transportation charges.
Responsibilities
- Contracting Officers: Must ensure the clause at 52.247-67 is included in applicable solicitations and contracts.
- Contractors: Must comply with the clause by submitting required transportation documents for audit when seeking reimbursement.
- Agencies: Oversee compliance and ensure transportation costs are properly audited.
Practical Implications
- This requirement exists to prevent improper or unsupported transportation charges on cost-reimbursement contracts.
- Contractors must maintain and submit documentation for transportation costs, or risk disallowance of charges.
- Failure to include or comply with the clause can result in audit findings, payment delays, or disallowed costs.