Subpart 9.4
Debarment, Suspension, and Ineligibility
FAR Subpart 9.4 requires contracting professionals to ensure that only responsible, non-excluded contractors participate in federal procurement by mandating checks of the System for Award Management and compliance with debarment and suspension procedures.
Overview
FAR Subpart 9.4 establishes the policies and procedures for debarment, suspension, and ineligibility of contractors in federal procurement. Its primary purpose is to protect the government’s interests by ensuring that only responsible contractors participate in federal contracts and subcontracts. This subpart outlines the grounds for debarment and suspension, the process for listing exclusions in the System for Award Management (SAM), the effects of such listings, and the required contract clauses. It also defines key terms and sets forth the responsibilities of contracting officers and contractors regarding excluded parties.
Key Rules
- Scope and Applicability
- Applies to all federal contracts and subcontracts, detailing when and how debarment, suspension, or ineligibility actions are taken.
- Policy and Definitions
- Establishes the government’s policy to do business only with responsible contractors and provides definitions for terms like debarment, suspension, and ineligibility.
- Exclusions in SAM
- Requires that exclusions be listed in the System for Award Management, which contracting officers must check before awarding contracts.
- Effect of Listing
- Prohibits agencies from awarding contracts to listed entities, with limited exceptions.
- Debarment and Suspension Procedures
- Outlines the grounds, procedures, and duration for debarment and suspension actions, including notice and opportunity to respond.
- Contract Clause
- Mandates inclusion of a specific clause in solicitations and contracts regarding debarment and suspension.
Responsibilities
- Contracting Officers: Must verify contractor eligibility in SAM, avoid awarding to excluded parties, and include required clauses.
- Contractors: Must not subcontract with excluded parties and must disclose relevant information.
- Agencies: Responsible for initiating and documenting debarment or suspension actions and maintaining accurate exclusion records.
Practical Implications
- Ensures integrity in federal procurement by excluding non-responsible parties.
- Impacts daily contracting by requiring diligence in checking SAM and managing subcontractor eligibility.
- Common pitfalls include failing to check SAM or improperly awarding to excluded parties, which can result in contract termination or penalties.