Subpart 47.5
Ocean Transportation by U.S.-Flag Vessels
FAR Subpart 47.5 requires government contractors to use U.S.-flag vessels for ocean transportation of government cargo unless a specific exception applies, ensuring compliance with cargo preference laws.
Overview
FAR Subpart 47.5 establishes the requirements for using U.S.-flag vessels for ocean transportation of supplies, equipment, and materials under government contracts. This subpart implements statutory mandates, such as the Cargo Preference Act, to ensure that U.S.-flag commercial vessels are used whenever possible for transporting government cargo by sea. It defines key terms, outlines the policy favoring U.S.-flag vessels, specifies when the requirements apply, and details exceptions. The subpart also addresses special considerations for construction contracts, prescribes procedures for compliance, and identifies required contract clauses to ensure adherence to these regulations.
Key Rules
- Scope and Definitions
- Clarifies the applicability of the subpart and defines essential terms related to ocean transportation.
- Policy
- Establishes the preference for U.S.-flag vessels in transporting government cargo by ocean routes.
- Applicability and Exceptions
- Specifies which contracts and shipments are covered and outlines circumstances where exceptions may apply.
- Construction Contracts
- Provides additional requirements for ocean transportation in construction contracts.
- Procedures and Contract Clauses
- Details steps contracting officers and contractors must follow and prescribes mandatory contract clauses.
Responsibilities
- Contracting Officers: Must ensure solicitations and contracts include appropriate clauses and verify compliance with U.S.-flag vessel requirements.
- Contractors: Must use U.S.-flag vessels for ocean transport unless an exception applies and provide documentation as required.
- Agencies: Oversee compliance, grant exceptions when justified, and report as necessary.
Practical Implications
- This subpart ensures compliance with U.S. cargo preference laws, supporting the U.S. maritime industry and national security.
- Contractors must plan logistics to prioritize U.S.-flag vessels and maintain documentation for audits.
- Non-compliance can result in contract penalties or disallowance of transportation costs.