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Question

What authority does the contracting officer have in requiring the contractor to disclose which location is performing the work and to ensure each place of performance has a CAGE code assigned? Can multiple divisions share the same CAGE code?

Answer

The Government has a compelling interest in knowing where work is being performed on its contracts. Cost implications, Government inspection, control of Government property, National Security, quickly come to mind. If the contractor proposed work to be performed in one state with a higher labor rate but then performed it in another with a lower labor rate, if the contractor defaulted on its contract and the Government need to take title to property, if sensitive Government work was comingled with commercial or FMS work, are scenarios that I think of. I would look for what the contractor disclosed in its proposal, they are supposed to have disclosed addresses of different plants or facilities in FAR 52.215-6. The contractor also has a responsibility to maintain its CAGE codes, FAR 4.18 lists some provisions in FAR 52.204. The contractor could also run afoul of the Defense Security Service and the contractor’s responsibilities under the National Industrial Security Program Operating Manual (NISPOM.) Other thoughts I had are to have some of the various technical specialists’ weigh in on the adequacy of the contractor’s systems (property and quality come to mind.) DLA has more information at https://cage.dla.mil/.

Regulations:
52.215-6 Place of Performance.
As prescribed in 15.209(f), insert the following provision:
Place of Performance (Oct 1997)
(a) The offeror or respondent, in the performance of any contract resulting from this solicitation, o intends, o does not intend [check applicable block] to use one or more plants or facilities located at a different address from the address of the offeror or respondent as indicated in this proposal or response to request for information.
(b) If the offeror or respondent checks “intends” in paragraph (a) of this provision, it shall insert in the following spaces the required information:

Place of Performance (Street Address, City, State, County, ZIP Code)	Name and Address of Owner and Operator of the Plant or Facility if Other than Offeror or Respondent



____________________	_______________________
____________________	_______________________

(End of provision)
See Subpart 4.18—Commercial and Government Entity Code and the resulting contract provisions at 52.204-6, Unique Entity Identifier, and 52.204-7, System for Award Management

Defense Security Service
National Industrial Security Program Operating Manual (NISPOM).
http://www.dss.mil/isp/fac_clear/fac_clear_check.html

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