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FAR and DFARS › DFARS Part 252: Solicitation Provisions and Contract Clauses › Subpart 252.2

DFARS 252.232-7004 DoD Progress Payment Rates.

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 clause changes the progress payment rate and liquidations rate in the contract's Progress Payments clause to 90 percent when the contractor is a small business concern. It matters because it sets the percentage a small-business contractor can receive for progress payments, except for the limitation on undefinitized contract actions.

Applies to: Small business concerns contracting with DoD

Key terms: progress payment rate · liquidations rate · small business concern · Progress Payments clause · Limitations on Undefinitized Contract Actions

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

The text

As prescribed in 232.502-4-70(b), use the following clause:

DoD Progress Payment Rates (OCT 2014)

If the Contractor is a small business concern, the Progress Payments clause of this contract is modified to change each mention of the progress payment rate and liquidations rate (excepting paragraph (k), Limitations on Undefinitized Contract Actions) to 90 percent.

(End of clause)

Sections that refer to it

← 252.232-7003 Electronic Submission of Payment Requests and Receiving Reports. · 252.232-7005 Reimbursement of Subcontractor Advance Payments—DoD Mentor-Protégé Program. →

Rule changes for DFARS Part 252

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

DFARS 252.232-7004 DoD Progress Payment Rates · SpendQuery