FAR and DFARS › FAR Part 37: Service Contracting › Subpart 37.6

FAR 37.602 Performance work statement.

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 explains how a Performance work statement (PWS) is prepared for performance-based acquisitions. It directs agencies to describe work in terms of required results and measurable performance standards rather than how the work is done or how many hours are provided. Offerors may use a Government-issued Statement of objectives (SOO) to develop the PWS, but the SOO does not become part of the contract.

Applies to: Agencies preparing performance work statements and offerors responding to a Statement of objectives

What it requires

  • Describe the work in terms of required results rather than how the work is accomplished or the number of hours provided
  • Enable assessment of work performance against measurable performance standards
  • Rely on measurable performance standards and financial incentives in a competitive environment to encourage innovative and cost-effective methods
  • If a SOO is used, ensure it includes purpose, scope or mission, period and place of performance, background, performance objectives, and any operating constraints

Key terms: Performance work statement (PWS) · Statement of objectives (SOO) · Measurable performance standards · Required results · Operating constraints

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

The text

(a) A Performance work statement (PWS) may be prepared by the Government or result from a Statement of objectives (SOO) prepared by the Government where the offeror proposes the PWS.

(b) Agencies shall, to the maximum extent practicable—

(1) Describe the work in terms of the required results rather than either “how” the work is to be accomplished or the number of hours to be provided (see 11.002(a)(2) and 11.101);

(2) Enable assessment of work performance against measurable performance standards;

(3) Rely on the use of measurable performance standards and financial incentives in a competitive environment to encourage competitors to develop and institute innovative and cost-effective methods of performing the work.

(c) Offerors use the SOO to develop the PWS; however, the SOO does not become part of the contract. The SOO shall, at a minimum, include—

(1) Purpose;

(2) Scope or mission;

(3) Period and place of performance;

(4) Background;

(5) Performance objectives, i.e., required results; and

(6) Any operating constraints.

Sections it refers to

  • 11.002 Policy.
  • 11.101 Order of precedence for requirements documents.

Sections that refer to it

← 37.601 General. · 37.603 Performance standards. →

Rule changes for FAR Part 37

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

FAR 37.602 Performance work statement · SpendQuery