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FAR and DFARS › DFARS Part 232: Contract Financing › Subpart 232.5

DFARS 232.503-15 Application of Government title terms.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This section says that when an administrative contracting officer determines a contractor's material management and accounting system meets the criteria at DFARS 252.242-7004(d)(7), that determination counts as the contracting officer approval required by FAR 32.503-15(d). Before granting blanket approval of cost transfers between contracts, the ACO should check that the contractor keeps records of prior-month transfer activity, prepares at least a monthly summary of that activity, and includes the total number and dollar value of transfers in the summary.

Applies to: Administrative contracting officers and contractors with material management and accounting systems seeking blanket approval of cost transfers between contracts

What it requires

  • Retain records of the transfer activity that took place in the prior month
  • Prepare, at least monthly, a summary of the transfer activity that took place in the prior month
  • Include in the summary report, as a minimum, the total number and dollar value of transfers

Key terms: administrative contracting officer (ACO) · material management and accounting system · blanket approval · cost transfers · transfer activity

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

(d) An administrative contracting officer (ACO) determination that the contractor's material management and accounting system conforms to the system criteria at 252.242-7004(d)(7) constitutes the contracting officer approval requirement of FAR 32.503-15(d). Prior to granting blanket approval of cost transfers between contracts, the ACO should determine that—

(i) The contractor retains records of the transfer activity that took place in the prior month;

(ii) The contractor prepares, at least monthly, a summary of the transfer activity that took place in the prior month; and

(iii) The summary report includes as a minimum, the total number and dollar value of transfers.

Sections it refers to

← 232.503-6 Suspension or reduction of payments. · 232.602 Responsibilities. →

Rule changes for DFARS Part 232

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 232.503-15 Application of Government title terms · SpendQuery