52.232-6
Payment under Communication Service Contracts with Common Carriers
Contractors providing regulated communication services to the government are paid in arrears based on invoiced services at contractually agreed rates, with payment timing subject to agency regulations.
Overview
This clause establishes the payment terms for government contracts involving regulated communication services provided by common carriers. It requires the government to pay the contractor in arrears, based on invoices submitted for services and facilities delivered according to the contract and associated Communication Service Authorizations (CSAs). The rates and charges must align with those specified in the contract's "Rates, Charges and Services" clause. Payment due dates may be modified according to agency-specific regulations.
Key Rules
- Payment in Arrears
- The government pays after services are rendered and invoiced, not in advance.
- Invoice Submission
- Contractors must submit invoices for services and facilities provided under the contract and CSAs.
- Rates and Charges
- Payments are based on the rates and charges specified in the contract's "Rates, Charges and Services" clause.
- Agency-Specific Payment Due Dates
- Payment due dates may be adjusted to comply with individual agency regulations.
Responsibilities
- Contracting Officers: Ensure the clause is included in applicable contracts and that payment due dates comply with agency regulations.
- Contractors: Submit accurate invoices for services and facilities provided, referencing the correct rates and charges.
- Agencies: Oversee compliance with payment terms and ensure timely processing of invoices.
Practical Implications
- This clause ensures contractors are paid only for services actually rendered, reducing risk for the government.
- Contractors must maintain accurate records and timely invoicing to ensure prompt payment.
- Misalignment between invoiced amounts and contract rates can delay payment or cause disputes.