[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: 48CFR44]



[Page 827]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 44_SUBCONTRACTING POLICIES AND PROCEDURES--Table of Contents

 

          Subpart 44.3_Contractors' Purchasing Systems Reviews

 

44.305-3  Withholding or withdrawing approval.



    (a) The ACO shall withhold or withdraw approval of a contractor's 

purchasing system when there are major weaknesses or when the contractor 

is unable to provide sufficient information upon which to make an 

affirmative determination. The ACO may withdraw approval at any time on 

the basis of a determination that there has been a deterioration of the 

contractor's purchasing system or to protect the Government's interest. 

Approval shall be withheld or withdrawn when there is a recurring 

noncompliance with requirements, including but not limited to--

    (1) Cost or pricing data (see 15.403);

    (2) Implementation of cost accounting standards (see 48 CFR chapter 

99 (Appendix B, FAR loose-leaf edition);

    (3) Advance notification as required by the clauses prescribed in 

44.204; or

    (4) Small business subcontracting (see subpart 19.7).

    (b) When approval of the contractor's purchasing system is withheld 

or withdrawn, the ACO shall within 10 days after completing the in-plant 

review (1) inform the contractor in writing, (2) specify the 

deficiencies that must be corrected to qualify the system for approval, 

and (3) request the contractor to furnish within 15 days a plan for 

accomplishing the necessary actions. If the plan is accepted, the ACO 

shall make a follow-up review as soon as the contractor notifies the ACO 

that the deficiencies have been corrected.



[48 FR 42388, Sept. 19, 1983, as amended at 59 FR 67043, Dec. 28, 1994; 

62 FR 51271, Sept. 30, 1997]