52.204-14 Service Contract Reporting Requirements
Source: FAR 52.204-14 on acquisition.gov
Contractors must annually report detailed service contract and subcontractor data via SAM.gov by October 31, or risk contractual penalties and negative performance reviews.
Overview
FAR 52.204-14 establishes annual service contract reporting requirements for contractors and their first-tier subcontractors. The clause mandates that contractors report specific data related to services performed under the contract, including contract numbers, invoiced amounts, direct labor hours, and certain subcontractor data. Reports must be submitted via www.sam.gov by October 31 for the preceding government fiscal year. Agencies review submissions for accuracy and may require revisions. Contractors must also collect and report data from first-tier subcontractors with qualifying subcontracts and inform them that the data will be publicly available. Failure to comply can result in contractual remedies and negative performance evaluations.
Key Rules
- Annual Reporting Requirement
- Contractors must report specified service contract data annually by October 31 for the previous fiscal year.
- Submission Method
- Reports must be submitted electronically via www.sam.gov.
- Subcontractor Data Collection
- Contractors must collect and report data from first-tier subcontractors with qualifying subcontracts.
- Agency Review and Revision
- Agencies may require contractors to revise reports or provide justification by November 30.
- Public Disclosure
- Contractors must notify subcontractors that reported data will be made public.
- Noncompliance Consequences
- Failure to report may result in contractual remedies and negative performance information.
Responsibilities
- Contracting Officers: Monitor compliance, review reports, and enforce remedies for noncompliance.
- Contractors: Collect, compile, and submit required data; coordinate with subcontractors; revise reports if necessary.
- Agencies: Review submissions for accuracy and request revisions as needed.
Practical Implications
- Ensures transparency and accountability in service contract spending and labor usage.
- Impacts contractor administrative processes, requiring coordination with subcontractors and timely data collection.
- Noncompliance can affect future contract opportunities due to negative performance records.
As prescribed in 4.1705(a), insert the following clause:
Service Contract Reporting Requirements (Oct 2016)
(a) Definition.
First-tier subcontract means a subcontract awarded directly by the Contractor for the purpose of acquiring supplies or services (including construction) for performance of a prime contract. It does not include the Contractor’s supplier agreements with vendors, such as long-term arrangements for materials or supplies that benefit multiple contracts and/or the costs of which are normally applied to a Contractor’s general and administrative expenses or indirect costs.
(b) The Contractor shall report, in accordance with paragraphs (c) and (d) of this clause, annually by October 31, for services performed under this contract during the preceding Government fiscal year (October 1-September 30).
(c) The Contractor shall report the following information:
(1) Contract number and, as applicable, order number.
(2) The total dollar amount invoiced for services performed during the previous Government fiscal year under the contract.
(3) The number of Contractor direct labor hours expended on the services performed during the previous Government fiscal year.
(4) Data reported by subcontractors under paragraph (f) of this clause.
(d) The information required in paragraph (c) of this clause shall be submitted via the internet at https://www.sam.gov" target="_blank">www.sam.gov. (See SAM User Guide). If the Contractor fails to submit the report in a timely manner, the contracting officer will exercise appropriate contractual remedies. In addition, the Contracting Officer will make the Contractor’s failure to comply with the reporting requirements a part of the Contractor’s performance information under FAR subpart 42.15.
(e) Agencies will review Contractor reported information for reasonableness and consistency with available contract information. In the event the agency believes that revisions to the Contractor reported information are warranted, the agency will notify the Contractor no later than November 15. By November 30, the Contractor shall revise the report, or document its rationale for the agency.
(f)
(1) The Contractor shall require each first-tier subcontractor providing services under this contract, with subcontract(s) each valued at or above the thresholds set forth in 4.1703(a)(2), to provide the following detailed information to the Contractor in sufficient time to submit the report:
(i) Subcontract number (including subcontractor name and unique entity identifier); and
(ii) The number of first-tier subcontractor direct-labor hours expended on the services performed during the previous Government fiscal year.
(2) The Contractor shall advise the subcontractor that the information will be made available to the public as required by section 743 of Division C of the Consolidated Appropriations Act, 2010.
(End of clause)