[Code of Federal Regulations]

[Title 48, Volume 5]

[Revised as of October 1, 2006]

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

[CITE: 48CFR731.205-71]



[Page 40]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

             CHAPTER 7--AGENCY FOR INTERNATIONAL DEVELOPMENT

 

PART 731_CONTRACT COST PRINCIPLES AND PROCEDURES--Table of Contents

 

          Subpart 731.2_Contracts With Commercial Organizations

 

Sec. 731.205-71  Salary supplements for Host Government employees.



    (a) Definitions. (1) A Host Government (HG) employee is a person 

paid by the HG, occupying an established position, either temporary or 

permanent, part-time or full-time, within a HG institution.

    (2) An HG institution is an organization in which the government 

owns at least a fifty percent share or receives at least fifty percent 

of its financial support from the government.

    (b) General. Salary supplement occurs when payments are made that 

augment an HG employee's base salary or premiums, overtime, extra 

payments, incentive payment and allowances for which the HG employee 

would qualify under HG rules or practices for the performance of his/

hers regular duties or work performed during his/hers regular office 

hours. Per diem, invitational travel, honoraria and payment for work 

carried out outside of normal working hours are not considered to be 

salary supplements subject to the provisions in USAID policy referenced 

in paragraph (c) of this section.

    (c) Salary supplements are eligible for USAID financing only when 

authorized in accordance with USAID policy established in the cable 

State 119780 dated April 15, 1988 (on ADS-CD under USAID Handbooks, 

Handbook 1). If salary supplements have been authorized in a particular 

case, the Contracting Officer shall provide written approval to the 

contractor in order for such costs to be eligible. Any specific 

requirements or limitations shall be specified in the approval.

    (d) Contracting Officers shall insert the Clause at 752.231-71 in 

all contracts in which there is a possibility of the need of HG 

employees. It should also be inserted in all subsequent subcontracts.



[64 FR 16649, Apr. 6, 1999]