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  • Question

    The funding will be obligated within the O&M timeframe of one year and work will begin. Can the period of performance be greater than one year?


    Answer

    We answered similar questions often here at AAP; in this case the answer is "it depends".

    If your services are severable than the answer is NO, it may not [see FAR 32.703-3(b) and DFARS 232.703-3(b)].  An example of severable services would be "custodial services" were you can inspect and accept work performed over a given time period (week, month, etc.) and pay for that time frame's performance.

    If the service is non-severable (e.g. a special study, or a report, etc.) and it will take longer than 1 year for the contractor to complete the performance... then YES, you should be able to use current year O&M for that (providing O&M is the proper appropriation under the purpose statute).

    As always, you should consult with your fiscal and contract counsel prior to entering such a procurement.

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