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FAR and DFARS › FAR Part 32: Contract Financing › Subpart 32.10

FAR 32.1005 Solicitation provision and contract clause.

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 when to include the performance-based payments clause and solicitation provision in solicitations and contracts. It matters to contractors because it determines whether performance-based payments will be available and whether offerors may propose them.

Applies to: Contracting officers preparing solicitations and fixed-price contracts involving performance-based payments

Key terms: performance-based payments · solicitation provision · contract clause · fixed-price contracts · negotiated solicitations

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

The text

(a) Insert the clause at 52.232-32, Performance-Based Payments, in—

(1) Solicitations that may result in contracts providing for performance-based payments; and

(2) Fixed-price contracts under which the Government will provide performance-based payments.

(b)(1) Insert the solicitation provision at 52.232-28, Invitation to Propose Performance-Based Payments, in negotiated solicitations that invite offerors to propose performance-based payments.

(2) Use the provision with its Alternate I in competitive negotiated solicitations if the Government intends to adjust proposed prices for proposal evaluation purposes (see 32.1004(e)).

Sections it refers to

Sections that refer to it

  • 52.232-28 Invitation To Propose Performance-Based Payments.
  • 52.232-32 Performance-Based Payments.

← 32.1004 Procedures. · 32.1006 [Reserved] →

Rule changes for FAR Part 32

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

FAR 32.1005 Solicitation provision and contract clause · SpendQuery