DOD Performance-Based Payment Analysis Tool: Federal Rules and Notices Impacting Contractors

January 30, 2012

Items affecting government contractors, as published in the Jan. 30, 2012, Federal Register:

The DOD issued two proposed rules and three final rules.

Performance-Based Payment Analysis Tool

The performance-based payments (PBP) analysis tool is a cash-flow model for evaluating alternative financing arrangements. Contracting officers contemplating the use of performance-based payments on new fixed-price-type contract awards will be required to use the PBP tool on all solicitations issued on or after July 1, 2011. The rule proposes to provide detailed guidance and instructions on the use of the tool.

Comments will be accepted at with "DFARS Case 2011-D045" in the subject line of the message until March 30.

Shipping Instructions

The DOD is proposing to amend Department of Defense Form 1659 Application for U.S. Government Shipping Documentation/Instructions [PDF], which is used by contractors to request shipping instructions from the transportation officer or contract administration office. The main changes are to use the term "bill(s) of lading," replace the word "contractor" with "commercial" when expanding the term Commercial and Government Entity (CAGE) Code in the legend and replace "continental United States" with "contiguous United States."

Comments will be accepted at with "DFARS Case 2011-D052" in the subject line of the message until March 30. 

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