52.232-35
Designation of Office for Government Receipt of Electronic Funds Transfer Information
Contractors must send all EFT payment information and updates exclusively to the designated office specified in the contract to ensure proper and timely government payments.
Overview
- FAR 52.232-35 establishes the requirement for contractors to send all Electronic Funds Transfer (EFT) payment information to a specific government office designated in the contract, rather than the standard payment office. This ensures that the correct office receives and processes EFT information for timely and accurate payments.
Key Rules
- Designation of Office
- The contract must specify a designated office to receive all EFT information from the contractor, as an alternative to the payment office.
- Submission of EFT Information
- Contractors must send all EFT information and any updates only to the designated office listed in the contract, not to the payment office or any other office.
- Government Use of EFT Information
- The government is not required to use EFT information sent to any office other than the one designated in the contract.
Responsibilities
- Contracting Officers: Must ensure the contract includes the designated office for receipt of EFT information and communicate this to the contractor.
- Contractors: Must submit all EFT information and changes exclusively to the designated office specified in the contract.
- Agencies: Must process EFT information only if received at the designated office and ensure the office details are accurate and up to date.
Practical Implications
- This clause exists to streamline and secure the process of submitting EFT information, reducing payment errors and delays.
- Contractors risk delayed or missed payments if EFT information is sent to the wrong office.
- Common pitfalls include sending EFT details to the payment office or failing to update the designated office with changes, which can disrupt payment processing.