Ratification

When necessary, the head of the contracting activity (HCA) may ratify an unauthorized commitment. This right may be withheld from the HCA by higher ranked officials or delegated to officials below the HCA. The ratification process may be used by agencies in lieu of referring the action the Government Accountability Office; however, if the action is subject to resolution under the Contract Disputes Act of 1978, then it should be processed in accordance with Federal Acquisition Regulation Subpart 33.2, Disputes and Appeals.

The authority to ratify may be exercised only when:

• The Government has obtained a benefit such as when supplies or services have been provided to and accepted by the Government;
• The resultant contract would otherwise have been proper if made by the contracting officer;
• The contracting officer determines the price is fair and reasonable;
• The contracting officer and legal counsel (when required by the agency) recommend payment;
• Funds are currently available and were available at the time of the unauthorized commitment; and
• The ratification does not conflict with agency procedures.

Typically, agencies require the individual making the unauthorized commitment to send relevant documentation to their commander or senior staff officer. The documentation includes:

• A signed statement describing the circumstances, the reason normal contracting procedures were not followed, what bona fide Government requirement necessitated the commitment, the benefit received, and its value and any other pertinent facts; and
• All other relevant documents, including orders, invoices or other evidence of the transaction.

If the commander or senior staff officer concurs that the commitment should be ratified, the documentation is forwarded to the Chief of the Contracting Office with an endorsement that:

• Verifies the accuracy and completeness of the documentation;
• Describes the measures taken to prevent a recurrence of unauthorized commitments, including a description of any disciplinary action to be taken; and
• Provides a complete purchase description and funding for the ratifying contract.

The Chief of the Contracting Office will assign the action to an individual contracting officer who will be responsible for:

• Reviewing the case and determining the adequacy of all facts, records, and documents and obtaining any additional material required; and
• Preparing a summary of facts to include a recommendation as to whether or not the transaction should be ratified and reasons for the recommendation. A recommendation not to ratify must include a recommendation as to whether or not the matter should be processed under FAR Part 50 and DFARS Part 250 as a Government Accountability Office (GAO) claim or in some other appropriate way.

Finally, upon receipt and review of the complete file, the individual responsible for approving the ratification may approve the ratification if it is considered to be in the best interest of the Government, or may direct other disposition.