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  • Question

    What now happens to the 1-year operation & maintenance service that was obligated at the beginning of the contract but could not be started until late in the contract period? Do both the contractor and the AF loose that money, or can the maintenance still be considered obligated for payment?


    Answer

    If funds are obligated during their period of availability (e.g., FY 2018), they remain available for the intended purpose even if performance will extend into the next fiscal year. If current year funds are not obligated by September 30, they "expire" and are not available for new obligations.

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