[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: 48CFR732.406-72]



[Page 43]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

             CHAPTER 7--AGENCY FOR INTERNATIONAL DEVELOPMENT

 

PART 732_CONTRACT FINANCING--Table of Contents

 

                     Subpart 732.4_Advance Payments

 

Sec. 732.406-72  Establishing an LOC.



    (a) While the contract will provide for the use of an LOC when it is 

justified under subsection 732.406-71, the LOC is a separate agreement 

between the contractor and FM/CMP, acting on behalf of the USAID 

Controller. The terms and conditions of the LOC are established by FM/

CMP/GIB.

    (b) In order to establish or amend an LOC, the contracting officer 

shall provide FM/CMP with the following information:

    (1) The name of the Contractor;

    (2) The official USAID contract number;

    (3) The obligated amount of the contract;

    (4) The budget plan code for the obligated funds;

    (5) The effective date and estimated completion date.

    (6) The contractor Federal Tax Identification Number.

    This information should be provided in writing to FM/CMP together 

with a request to establish or amend an LOC as early in the negotiation 

cycle as possible.

    (c) FM/CMP will prepare the LOC in accordance with USAID's LOC 

procedures; issue or amend and maintain the LOC in accordance with its 

terms and USAID procedures and regulations; and provide the contracting 

officer(s) a copy of each LOC and any other material governing its use 

at the time the LOC is issued or when it is amended or modified.



[56 FR 67225, Dec. 30, 1991, as amended at 61 FR 39093, July 26, 1996; 

64 FR 42042, Aug. 3, 1999]



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