8.709
Payments
Ordering offices must pay nonprofit agencies for Procurement List items within 30 days of shipment or receipt of a proper invoice, ensuring timely compensation and compliance.
Overview
FAR 8.709 establishes the payment requirements for government purchases from nonprofit agencies employing people who are blind or severely disabled, as listed on the Procurement List. The regulation mandates that ordering offices must make payments for supplies or services within 30 days of either shipment or receipt of a proper invoice or voucher, whichever is later. This ensures timely compensation to these nonprofit agencies, supporting their mission and maintaining compliance with federal procurement policies.
Key Rules
- 30-Day Payment Requirement
- Payments must be made within 30 days after shipment or after receipt of a proper invoice or voucher, whichever occurs later.
- Procurement List Applicability
- Applies specifically to supplies or services acquired from the Procurement List, which features products and services provided by qualified nonprofit agencies.
Responsibilities
- Contracting Officers: Ensure payment is processed within the required 30-day timeframe and verify receipt of proper invoices or vouchers.
- Contractors (Nonprofit Agencies): Submit accurate and proper invoices or vouchers promptly after shipment or service delivery.
- Agencies: Oversee compliance with payment timelines and maintain records of transactions for audit purposes.
Practical Implications
- This section exists to guarantee prompt payment to nonprofit agencies supporting employment for people who are blind or severely disabled.
- Delays in payment can disrupt agency operations and may result in noncompliance with federal procurement law.
- Common pitfalls include late invoice submission, incomplete documentation, or delayed processing by the ordering office.