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  • Question

    Can we use FY 12 O&M dollar to fund this as a project order?


    Answer

    The guidance that applies to your situation is found in the Federal Acquisition Regulation (FAR) at paragraph 32.703-3, Contracts crossing fiscal years.  Further amendment of this policy can be found in the Defense Federal Acquisition Regulation Supplement (DFARS) at paragraph 232.703-3, Contracts crossing fiscal years.  Since you are in the Army, I also checked for any additional supplementation in the Army FAR Supplement – there is none.  As long as you comply with the FAR and DFARS limitations, the answer to your question is: yes. The key to this is to determine whether the effort involves severable or non-severable services since you are dealing with labor.  If the labor is expended to produce an end product (e.g. reports), then that may be considered non-severable labor.  It is best to seek the opinion of your legal counsel in making this determination.

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