[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR13.402]



[Page 222-223]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 13_SIMPLIFIED ACQUISITION PROCEDURES--Table of Contents

 

                   Subpart 13.4_Fast Payment Procedure

 

Sec. 13.402  Conditions for use.



    If the conditions in paragraphs (a) through (f) of this section are 

present, the fast payment procedure may be used, provided that use of 

the procedure is consistent with the other conditions of the purchase. 

The conditions for use of the fast payment procedure are as follows:

    (a) Individual purchasing instruments do not exceed $25,000, except 

that executive agencies may permit higher dollar limitations for 

specified activities or items on a case-by-case basis.



[[Page 223]]



    (b) Deliveries of supplies are to occur at locations where there is 

both a geographical separation and a lack of adequate communications 

facilities between Government receiving and disbursing activities that 

will make it impractical to make timely payment based on evidence of 

Government acceptance.

    (c) Title to the supplies passes to the Government--

    (1) Upon delivery to a post office or common carrier for mailing or 

shipment to destination; or

    (2) Upon receipt by the Government if the shipment is by means other 

than Postal Service or common carrier.

    (d) The supplier agrees to replace, repair, or correct supplies not 

received at destination, damaged in transit, or not conforming to 

purchase requirements.

    (e) The purchasing instrument is a firm-fixed-price contract, a 

purchase order, or a delivery order for supplies.

    (f) A system is in place to ensure--

    (1) Documentation of evidence of contractor performance under fast 

payment purchases;

    (2) Timely feedback to the contracting officer in case of contractor 

deficiencies; and

    (3) Identification of suppliers that have a current history of 

abusing the fast payment procedure (also see subpart 9.1).