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  • Question

    Can the USG contract be used to repair the FMS components or will it require a separate contract for the FMS components? If the same contract can be used, does it require separate CLINS or a means to ensure the FMS funds are only used to repair FMS owned assets? Can the funds be comingled where they lose the identity of which articles are being repaired? Can you please provide references for any guidance provided?


    Answer

    The USG funds would be appropriated for a specific purpose (in this case - repair aircraft components) - this is found in 31 U.S. Code 1301.  The assumption here is that the U.S. Congress would not have appropriated the funds to repair Foreign Country parts.  Therefore, it would be necessary to make sure the funds are not commingled.  Separate CLINs is certainly one way to do that, but this could also be accomplished by a separate contract.  The particular approach to comply with Fiscal Law would be up the decision of the contracting officer involved with the effort(s).

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