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  • Question

    The gaining PCO did not issue a contract mod bringing the property into accountability on his contract. The contract is now closed. So, does the property default back to our contract? If not, what do we do now?


    Answer

    FAR 45.106 states "transfers shall be documented by modifications to both gaining and losing contracts. Once transferred, all property shall be considered Government-furnished property to the gaining contract". DFARS PGI 245.103-71 only allows for the SF 30 to execute transfers of Government property. As such, the transfer was not completed from the losing contract to the gaining contract.

    Since the transfer was not completed, review FAR clause 52.245-1(f)(1)(vi)(C) for Relief of stewardship responsibility and liability, to determine if any of those conditions have been met for the contractor under the losing contract. If it is determined that the contractor still has stewardship responsibility, and if the property is no longer needed for any contract, then follow the property closeout procedures under FAR clause 52.245-1(f)(1)(x). If the Contracting Officer determines the contractor does not have stewardship responsiblity, then follow your agency procedures (not the FAR) for disposition of government property.

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