FAR and DFARS › FAR Part 30: Cost Accounting Standards Administration › Subpart 30.6
FAR 30.607 Subcontract administration.
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 addresses how Cost Accounting Standards (CAS) issues are handled when they arise at the subcontract level. It requires the CFAO for the subcontractor to share the negotiation memorandum or noncompliance determination with the CFAO for the next higher-tier contractor. It also clarifies that higher-tier CFAOs cannot change the lower-tier CFAO's determination, and that if a subcontractor refuses to submit a required CAS proposal, remedies are pursued at the prime contractor level.
Applies to: Subcontractors and their CFAOs, and the CFAOs of higher-tier contractors
What it requires
- The CFAO for the subcontractor shall furnish a copy of the negotiation memorandum or determination to the CFAO for the contractor of the next higher-tier subcontractor.
Key terms: CFAO · negotiated CAS price adjustment · determination of noncompliance · GDM · DCI
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
When a negotiated CAS price adjustment or a determination of noncompliance is required at the subcontract level, the CFAO for the subcontractor shall furnish a copy of the negotiation memorandum or the determination to the CFAO for the contractor of the next higher-tier subcontractor. The CFAO of the contractor or the next higher-tier subcontractor shall not change the determination of the CFAO for the lower-tier subcontractor. If the subcontractor refuses to submit a GDM or DCI proposal, remedies are made at the prime contractor level.
← 30.606 Resolving cost impacts.
Rule changes for FAR Part 30
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · final rule 2025-08-27 · effective 2025-10-01
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · proposed 2024-11-29 · comments due 2025-01-28
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.