[Code of Federal Regulations]

[Title 48, Volume 7]

[Revised as of October 1, 2005]

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

[CITE: 48CFR2917.502]



[Page 29]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                     CHAPTER 29--DEPARTMENT OF LABOR

 

PART 2917_SPECIAL CONTRACTING METHODS--Table of Contents

 

      Subpart 2917.5_Interagency Acquisitions Under The Economy Act

 

Sec. 2917.502  General.



    (a) Policy. It is the policy of DOL to require that interagency 

agreements are written to assure that the obligation of fiscal year 

funds is valid, that statutory authority exists to obtain or perform the 

stated requirements, that the stated requirements are consistent with 

DOL's mission responsibilities, and that each agreement complies with 

applicable laws and regulations.

    (b) Applicability. The provisions of this subpart apply to 

interagency acquisitions and agreements under the Economy Act.

    (c) Appropriations principles. The appropriate use of interagency 

acquisitions embodies several principles of Federal appropriations law.

    (1) In order to record a valid obligation of appropriations, 31 

U.S.C. 1501 imposes the requirements that interagency agreements be:

    (i) A binding written agreement for specific goods or services to 

meet an existing bona fide need;

    (ii) For a purpose authorized by law; and

    (iii) Executed and obligated by the receiving agency before the 

expiration of available funds.

    (2) The Economy Act authorizes interagency acquisitions and provides 

for payment in advance, as well as reimbursement to the appropriation 

account to which the performance costs have been charged. The Economy 

Act further authorizes the servicing agency, as an alternative to 

fulfilling the requirement through internal resources, to obtain the 

needed supplies or services by contract.

    (3) An agreement entered into under the Economy Act is recorded as 

an obligation by the requesting agency the same as a contract. However, 

under the Economy Act, the obligated appropriations must be deobligated 

upon the date of ``expiration'' of the appropriation account to the 

extent that the servicing agency has not incurred obligations through 

charged costs or under a contract.

    (4) Within DOL, the DOL agencies have a number of statutory 

authorities available for entering into interagency agreements. Each DOL 

agency, in consultation with the Office of the Solicitor, must be 

responsible for determining those authorities, as well as constraints 

applicable to the use of advance payments and contractors, and set-up 

procedures.