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  • Question

    Are utility contracts awarded using FAR 41 contracts for services?


    Answer

    When determining which FAR part to use (or not use), we must read the "applicability" section of the part. FAR 41.102(a) tells us "...this part applies to the acquisition of utility services." That answers both questions: Utilities contracts are a type of service contract; and FAR Part 41 applies to utility contracts. That said, be sure to read the exceptions at FAR 41.102(b). While FAR Part 41 primarily governs the acquisition of utility services, elements of FAR Part 37 may apply as well. Although the Service Contract Labor Standards statute (formerly Service Contract Act) does not apply to utility services contracts, clauses at FAR 37.110 may apply.

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