9.603
Policy
Contractor team arrangements are recognized as valid by the Government if fully disclosed in offers or before becoming effective, supporting collaboration while requiring transparency.
Overview
FAR 9.603 establishes the Government's policy on contractor team arrangements, affirming that such arrangements are recognized as valid and legitimate, provided they are properly disclosed. Contractors must identify team arrangements and fully disclose the nature of company relationships in their offers, or, if the arrangement is formed after offer submission, before it becomes effective. The regulation also clarifies that the Government will not typically require or encourage the dissolution of these arrangements, supporting collaboration among contractors to meet Government requirements.
Key Rules
- Recognition of Team Arrangements
- The Government acknowledges the legitimacy of contractor team arrangements if they are properly disclosed.
- Disclosure Requirement
- Team arrangements and company relationships must be fully disclosed in the offer, or before the arrangement becomes effective if formed after offer submission.
- No Requirement to Dissolve
- The Government will not normally require or encourage the dissolution of contractor team arrangements.
Responsibilities
- Contracting Officers: Must recognize valid team arrangements and ensure disclosure requirements are met.
- Contractors: Must identify and fully disclose team arrangements and company relationships in their offers or before the arrangement becomes effective.
- Agencies: Should not require or encourage dissolution of legitimate team arrangements.
Practical Implications
- This policy encourages collaboration among contractors, allowing them to combine resources and expertise to better fulfill Government contracts.
- Proper disclosure is critical; failure to disclose team arrangements can jeopardize contract eligibility or compliance.
- Contractors should maintain transparency and clear documentation of all teaming relationships to avoid compliance issues.