52.204-13 System for Award Management Maintenance
Source: FAR 52.204-13 on acquisition.gov
Keep your SAM registration active, accurate, and aligned with your contract records at all times, because outdated or improper SAM data can delay payment and create contract administration problems.
Overview
- FAR 52.204-13 requires contractors to obtain, maintain, and keep current an active registration in the System for Award Management (SAM) throughout contract performance and until final payment. Its purpose is to ensure the Government can rely on accurate contractor identity, payment, and representations data.
- The clause also addresses what happens when a contractor could not register before award, and it sets special rules for name changes, asset transfers, assignments of claims, and changes to the unique entity identifier.
Key Rules
- SAM registration and timing
- If the solicitation used 52.204-7 Alternate I and the contractor could not register before award, the contractor must register in SAM within 30 days after award or at least 3 days before the first invoice, whichever comes first.
- Maintenance of active SAM status
- The contractor must maintain SAM registration during performance and through final payment of the contract or related agreement. Registration must remain current, accurate, complete, and active, with annual review and updates.
- Name changes, novation, and payment data controls
- Before changing a legal or DBA name in SAM when novation or change-of-name actions are still pending, the contractor must give the Contracting Officer at least one business day’s written notice, provide supporting documentation, and follow the CO’s timeline. Contractors also may not change SAM payment information to reflect an assignee; assignees must register separately.
- Unique entity identifier changes
- Contractors must maintain their unique entity identifier with the designated entity and notify the Contracting Officer within 30 days of any change so the contract can be modified.
Responsibilities
- Contracting Officers: monitor SAM status, address name/identifier changes through proper contract administration, and issue modifications when needed.
- Contractors: keep SAM active and accurate, complete annual updates, notify the CO of certain changes, and avoid improper payment record changes.
- Agencies: rely on SAM for validated contractor data, including TIN validation and payment-related information.
Practical Implications
- This clause exists to protect the Government from payment errors, identity mismatches, and improper contract administration.
- In practice, expired or inaccurate SAM records can delay invoices, trigger payment suspension under EFT clauses, and complicate novation, change-of-name, or assignment-of-claims situations.
- A common pitfall is treating a SAM update as a substitute for a formal contract modification; it is not.
As prescribed in 4.1105(b), use the following clause:
System for Award Management Maintenance. (Oct 2018)
(a) Definitions. As used in this clause—
Electronic Funds Transfer (EFT) indicator means a four-character suffix to the unique entity identifier. The suffix is assigned at the discretion of the commercial, nonprofit, or Government entity to establish additional System for Award Management (SAM) records for identifying alternative EFT accounts (see subpart 32.11) for the same entity.
Registered in the System for Award Management (SAM) means that–
(1) The Contractor has entered all mandatory information, including the unique entity identifier and the EFT indicator (if applicable), the Commercial and Government Entity (CAGE) code, as well as data required by the Federal Funding Accountability and Transparency Act of 2006 (see subpart 4.14), into SAM;
(2) The Contractor has completed the Core, Assertions, Representations and Certifications, and Points of Contact sections of the registration in SAM;
(3) The Government has validated all mandatory data fields, to include validation of the Taxpayer Identification Number (TIN) with the Internal Revenue Service (IRS). The Contractor will be required to provide consent for TIN validation to the Government as a part of the SAM registration process; and
(4) The Government has marked the record "Active".
System for Award Management (SAM) means the primary Government repository for prospective Federal awardee and Federal awardee information and the centralized Government system for certain contracting, grants, and other assistance-related processes. It includes–
(1) Data collected from prospective Federal awardees required for the conduct of business with the Government;
(2) Prospective contractor-submitted annual representations and certifications in accordance with FAR subpart 4.12; and
(3) Identification of those parties excluded from receiving Federal contracts, certain subcontracts, and certain types of Federal financial and non-financial assistance and benefits.
Unique entity identifier means a number or other identifier used to identify a specific commercial, nonprofit, or Government entity. See http://www.sam.gov" target="_blank">www.sam.gov for the designated entity for establishing unique entity identifiers.
(b) If the solicitation for this contract contained the provision 52.204-7 with its Alternate I, and the Contractor was unable to register prior to award, the Contractor shall be registered in SAM within 30 days after award or before three days prior to submission of the first invoice, whichever occurs first.
(c) The Contractor shall maintain registration in SAM during contract performance and through final payment of any contract, basic agreement, basic ordering agreement, or blanket purchasing agreement. The Contractor is responsible for the currency, accuracy and completeness of the data within SAM, and for any liability resulting from the Government's reliance on inaccurate or incomplete data. To remain registered in SAM after the initial registration, the Contractor is required to review and update on an annual basis, from the date of initial registration or subsequent updates, its information in SAM to ensure it is current, accurate and complete. Updating information in SAM does not alter the terms and conditions of this contract and is not a substitute for a properly executed contractual document.
(d)
(1)
(i) If a Contractor has legally changed its business name or "doing business as" name (whichever is shown on the contract), or has transferred the assets used in performing the contract, but has not completed the necessary requirements regarding novation and change-of-name agreements in subpart 42.12, the Contractor shall provide the responsible Contracting Officer a minimum of one business day's written notification of its intention to—
(A) Change the name in SAM;
(B) Comply with the requirements of subpart 42.12 of the FAR; and
(C) Agree in writing to the timeline and procedures specified by the responsible Contracting Officer. The Contractor shall provide with the notification sufficient documentation to support the legally changed name.
(ii) If the Contractor fails to comply with the requirements of paragraph (d)(1)(i) of this clause, or fails to perform the agreement at paragraph (d)(1)(i)(C) of this clause, and, in the absence of a properly executed novation or change-of-name agreement, the SAM information that shows the Contractor to be other than the Contractor indicated in the contract will be considered to be incorrect information within the meaning of the "Suspension of Payment" paragraph of the electronic funds transfer (EFT) clause of this contract.
(2) The Contractor shall not change the name or address for EFT payments or manual payments, as appropriate, in SAM record to reflect an assignee for the purpose of assignment of claims (see FAR subpart 32.8, Assignment of Claims). Assignees shall be separately registered in the SAM. Information provided to the Contractor’s SAM record that indicates payments, including those made by EFT, to an ultimate recipient other than that Contractor will be considered to be incorrect information within the meaning of the "Suspension of Payment" paragraph of the EFT clause of this contract.
(3) The Contractor shall ensure that the unique entity identifier is maintained with the entity designated at http://www.sam.gov" target="_blank">www.sam.gov for establishment of the unique entity identifier throughout the life of the contract. The Contractor shall communicate any change to the unique entity identifier to the Contracting Officer within 30 days after the change, so an appropriate modification can be issued to update the data on the contract. A change in the unique entity identifier does not necessarily require a novation be accomplished.
(e) Contractors may obtain additional information on registration and annual confirmation requirements at https://www.sam.gov" target="_blank">https://www.sam.gov.
(End of clause)