52.236-18
Work Oversight in Cost-Reimbursement Construction Contracts
Contracting Officers have broad authority to supervise, direct, control, and approve all work performed under cost-reimbursement construction contracts.
Overview
FAR 52.236-18 establishes that, in cost-reimbursement construction contracts, the Contracting Officer retains broad authority over the contractor’s work. The clause mandates that all aspects of the contractor’s performance—including the extent, character, and execution of the work—are subject to the Contracting Officer’s general supervision, direction, control, and approval. This ensures that the government maintains oversight and can intervene as necessary to ensure contract objectives are met and costs are controlled.
Key Rules
- Contracting Officer Oversight
- The Contracting Officer has the right to supervise, direct, control, and approve the contractor’s work throughout the project.
- Applicability
- This clause is required in all solicitations and contracts for cost-reimbursement construction projects.
Responsibilities
- Contracting Officers: Must actively oversee, direct, and approve the contractor’s work as needed.
- Contractors: Must comply with all directions, supervision, and approvals issued by the Contracting Officer regarding the work.
- Agencies: Ensure the clause is included in all relevant solicitations and contracts and that oversight is maintained.
Practical Implications
- This clause exists to protect government interests by ensuring close oversight of cost-reimbursement construction contracts, where the risk of cost overruns is higher.
- Contractors must be prepared for active government involvement and should maintain open communication with the Contracting Officer.
- Failure to comply with Contracting Officer directions can result in noncompliance or disputes.