FAR and DFARS › DFARS Part 232: Contract Financing › Subpart 232.9

DFARS 232.906 Making payments.

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 tells contracting officers to use a 14-day standard due date for interim payments on cost-reimbursement service contracts when using FAR 52.232-25 with Alternate I. It also says the early-payment restrictions in FAR 32.906 do not apply to small business concerns, but contractors are not entitled to interest penalties if the Government does not pay early.

Applies to: Contracting officers and small business concerns under cost-reimbursement contracts for services

What it requires

  • Contracting officers shall insert the standard due date of 14 days for interim payments when using FAR 52.232-25 with Alternate I
  • Contractors shall not be entitled to interest penalties if the Government fails to make early payment

Key terms: interim payments · cost-reimbursement contracts · FAR 52.232-25, Prompt Payment · Alternate I · small business concerns

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

The text

(a)(i) Generally, the contracting officer shall insert the standard due date of 14 days for interim payments on cost-reimbursement contracts for services in the clause at FAR 52.232-25, Prompt Payment, when using the clause with its Alternate I.

(ii) The restrictions of FAR 32.906 prohibiting early payment do not apply to invoice payments made to small business concerns. However, contractors shall not be entitled to interest penalties if the Government fails to make early payment.

Sections it refers to

Sections that refer to it

← 232.905 Payment documentation and process. · 232.908 Contract clauses. →

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 232.906 Making payments · SpendQuery