Overview
FAR 37.103 establishes the specific duties of a Contracting Officer (CO) to ensure that service contracts are legally sound, properly categorized, and compliant with statutory reporting and safety requirements. It focuses primarily on the critical distinction between personal and nonpersonal services and the prioritization of performance-based acquisition methods.
Key Rules
- Service Classification: The CO must determine if a contract is for personal or nonpersonal services using FAR 2.101, 37.101, and 37.104 guidelines.
- Legal Review: In any "doubtful cases" regarding the nature of the service, the CO is required to obtain a review from legal counsel.
- Documentation Requirements: For personal services, the CO must document the file with a legal opinion and a memorandum of facts/rationale (Note: Nonpersonal services are exempt from this specific documentation requirement).
- Performance-Based Preference: COs must use performance-based acquisition methods to the "maximum extent practicable" for all service requirements.
- Child Care Safety: Contracts involving child care must include mandatory requirements for criminal history background checks in accordance with 34 U.S.C. 20351.
- Reporting Compliance: The CO is responsible for ensuring that service contractor reporting requirements are met per the Service Contracts Inventory (FAR Subpart 4.17).
Practical Implications
- COs must proactively manage the "employer-employee" boundary to avoid "personal services" violations, which occur if the government exercises too much direct supervision over contractor employees.
- The requirement for performance-based methods means COs should focus on defining outcomes and results in the Statement of Work (SOW) rather than specifying exactly how the contractor should perform the tasks.