47.404 Air freight forwarders
Source: FAR 47.404 on acquisition.gov
Agencies and air freight forwarders must ensure proper documentation and justification when using international air carriers, prioritizing U.S.-flag carriers for government-financed shipments.
Overview
FAR 47.404 outlines the requirements for agencies and contractors when using air freight forwarders engaged in international air transportation for U.S. Government-financed shipments. It emphasizes the need for compliance with rules regarding the use of U.S.-flag air carriers and proper documentation to ensure prompt payment and regulatory adherence.
Key Rules
- Use of International Air Freight Forwarders
- Agencies may utilize international air freight forwarders for government shipments, but must ensure that the carriers used comply with applicable regulations, including those on disallowance of expenditures for non-compliance (referencing 47.403-3(a)).
- Documentation for Payment
- Air freight forwarders must submit a copy of the airway bill or manifest showing the air carriers used, and provide justification for any use of foreign-flag air carriers, similar to the requirements in FAR clause 52.247-63.
Responsibilities
- Contracting Officers: Ensure that air freight forwarders and carriers comply with U.S.-flag carrier requirements and that proper documentation is collected.
- Contractors (Air Freight Forwarders): Submit required documentation (airway bill/manifest and justification for foreign-flag use) with payment requests.
- Agencies: Inform forwarders of documentation requirements and enforce compliance with carrier selection rules.
Practical Implications
- This section ensures transparency and compliance with U.S.-flag air carrier preferences, supporting U.S. economic and security interests.
- Proper documentation expedites payment and reduces the risk of disallowed expenditures.
- Common pitfalls include failure to provide required justification for foreign-flag carrier use or incomplete documentation, leading to payment delays or non-compliance findings.
(a) Agencies may use air freight forwarders that are engaged in international air transportation (http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title49-section1301(c)&num=0&edition=prelim" target="_blank">49 U.S.C. 1301(c)) for U.S. Government-financed movements of property. The rule on disallowance of expenditures in 47.403-3(a) applies also to the air carriers used by these international air freight forwarders.
(b) Agency personnel shall inform international air freight forwarders that to facilitate prompt payments of their bills, they shall submit with their bills-
(1) A copy of the airway bill or manifest showing the air carriers used; and
(2) Justification for the use of foreign-flag air carriers similar to the one shown in the clause at 52.247-63, Preference for U.S.-Flag Air Carriers.