Item 103: FAR/Civilian Agency Supplements & DFARS Matrices–Includes One-Year of Updates
Item No. 103
FAR, DFARS & Civilian Department and Agency Supplemental Acquisition Regulations Flowdown Clause Matrices Subscription
Saves Time, Money & Aggravation! For less than 50 cents a day!!
The FAR Matrix is current as of Federal Acquisition Circular (FAC) 2021-02
Effective November 23, 2020
The DFARS Matrix is current as of the Electronic Code of Federal Regulations
November 30, 2020 (date of last changes and Includes DFARS Cases 2020-D007, 2019-D029, 2019-D022, 2019-D023, and 2019-D041)
Agency Supplemental Acquisition Regulations are current as of October 29, 2020, Electronic Code of Federal Regulations
Are you ‘Flowing’?
The requirement to flowdown certain Federal Acquisition Regulation (FAR), Defense Federal Acquisition Regulation Supplement (DFARS) Clauses and Civilian Department/Agency Supplemental Acquisition Regulation Clauses by Federal prime contractors to subcontractors (and in some cases for subcontractors to flowdown to lower-tier subcontractors) is an important contract administration and compliance issue often overlooked or neglected. Flowdowns apply to both large and small businesses. Small businesses are not exempt from flowdown requirements. Noncompliance can be costly and can result in contract termination and potential litigation between prime contractor and subcontractors. The Federal Government can be very unforgiving in contractual matters.
Flowdown Clauses require prime contractors and subcontractors include certain clauses in subcontracts (FAR 44.101 defines subcontracts to include purchase orders) at certain dollar values. Some must always be flowed down, regardless of dollar amount. For example, FAR Clause 52.204-25, a new clause introduced in August 2019, is required to be flowed-down regardless of the dollar value of the purchase order or subcontract and is even applicable to commercial item acquisitions.
Flowdowns are especially important to DOD contractors. DFARS Clause 252.244-7001, Contractor Purchasing System Administration—Basic (MAY 2014), sets forth system criteria for contractors’ purchasing systems. An important criterion is the purchasing system must ensure purchase orders and subcontracts contain flowdown clauses including terms and conditions and any other clauses necessary to carry out the requirements of the prime contract. The clause also requires contractors establish and maintain policies and procedures to ensure purchase orders and subcontracts contain mandatory and applicable flowdown clauses, as required by the FAR and DFARS, including terms and conditions required by the prime contract and any clauses required to carry out the requirements of the prime contract, including the requirements of DFARS 252.246-7007, Contractor Counterfeit Electronic Part Detection and Avoidance System, if applicable. If a contractor’s purchasing system is disapproved, the contracting officer may cause payments to be withheld from the contractor.
Changes to the FAR, DFARS, and Department/Agency Supplemental Acquisition Regulations occur regularly, there are dozens of FAR and DFARS cases pending, to implement new laws and changes to existing statutes. Many of these will impact flowdowns, by updating clauses, possibly deleting existing and adding new flowdown requirements.
Is your company compliant? Are your subcontractors and suppliers compliant? Don’t chance the risk of noncompliance! The FAR alone contains over 600 provisions and clauses, dozens of them requiring flowdown. Some prime contractors attempt to comply with flowdown requirements by incorporating all the Clauses from the prime contracts into subcontracts. This practice creates problems with compliance, as subcontractors cannot comply with clauses intended solely for prime contractor compliance.
Some clauses require further flowdown by subcontractors to lower tier suppliers and subcontractors. Prime contractors are responsible for the flowdown compliance of their respective suppliers and subcontractors. The matrices will help guide subcontractors with compliance and assist with subcontract administration.
Reviewing each clause from the FAR and each Federal department/agency supplemental acquisition regulations could take days, or weeks, especially for the uninitiated. Do you know which clauses in your contracts/subcontracts, and under what circumstances and at what dollar thresholds they are required to be flowed-down? Don’t guess–increase your contract compliance!
FedBizAssist developed matrices which will save you significant time in contract administration, help improve your compliance and reduce your flowdown non-compliance risk. The matrices are sold as one-year subscriptions–for $179–that’s .less than 50 cents a day!! Subscribers receive automatic updates as they occur during the subscription period. Your contract administrators will be glad you provided them with these tools!! The matrices are provided in PDF and Microsoft Excel Formats, contain deviations, where published, and clauses shown in the matrices are hyperlinked for ease of reference to their respective appearance in regulation.
FedBizAssist loves referrals and offers incentives to current subscribers who refer new subscribers–each referring subscribers is awarded a two-month subscription extension!
Subscription Price (Includes One-Year of Updates)
The price of a subscription–less than 50 cents a day–pales in comparison to the potential risk and cost of non-compliance!!
Questions regarding the flowdown matrices may be directed to 22-4-FLO-DOWN (224.356.3696)
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