Overview
This section mandates the inclusion of the clause at FAR 52.213-1 in solicitations and contracts whenever the Fast Payment Procedure is applicable and intended for use.
Key Rules
- Mandatory Clause: The Contracting Officer (CO) must insert FAR 52.213-1, Fast Payment Procedure, if the criteria set forth in FAR 13.402 are met.
- Intent Requirement: The clause is required only when the government actually intends to utilize the fast payment method for that specific procurement.
- BPA Flexibility: For Blanket Purchase Agreements (BPAs), the CO has the discretion to place the clause within the master BPA itself or within individual orders issued under the BPA.
Practical Implications
- Contractors must ensure the clause is present to qualify for payment prior to the government’s verification of receipt and formal acceptance.
- Contracting Officers must verify that the specific conditions of FAR 13.402 (such as geographical limitations or specific dollar thresholds) are satisfied before incorporating this clause to avoid improper payment processing.