Subpart 5132.1 -- Non-Commercial Item Purchase Financing
Subpart 5132.4 -- Advance Payments for Non-Commercial Items
Subpart 5132.5 -- Progress Payments Based on Costs
Subpart 5132.6 -- Contract Debts
Subpart 5132.8 -- Assignment of Claims
AFARS -- Part 5132
Contract Financing
5132.006 -- Reduction or Suspension of Contract Payments upon Finding of Fraud.
(c) The Secretary of the Army has delegated authority to the ASA(ALT) to reduce or suspend contract payments to contractors when there is substantial evidence that the contractor's request for advance, partial, or progress payments is based on fraud.
The Army's Remedy Coordination Official is the Chief, Procurement Fraud Division (PFD), OTJAG; Telephone (703) 696-1550; FAX (703) 696-1559. See 5101.290(b)(10).
5132.006-3 -- Responsibilities.
(b) Report suspected fraud related to advance, partial, or progress payments to the local Procurement Fraud Advisor (PFA), who will coordinate the matter as prescribed in AR 27-40.
Subpart 5132.1 -- Non-Commercial Item Purchase Financing
5132.108 -- Financial Consultation.
(1)
(i) The Army contract financing office is the addressee in 5101.290(b)(8).
See DFARS Subpart 232.9, Prompt Payment.
Subpart 5132.4 -- Advance Payments for Non-Commercial Items
(e)
(1) The Assistant Secretary of the Army (Financial Management) (ASA(FM)) is authorized to make advance payments and determinations pursuant to 10 U.S.C. 2307.
(2) The Office of the ASA(FM) will coordinate with the activity that provides contract financing support.
Subpart 5132.5 -- Progress Payments Based on Costs
32.501-2 -- Unusual progress payments.
(a)
(2) Requests for approval of unusual progress payments must include the following documentation submitted by the contractor:
(A) Monthly cash flow forecasts for the period which include the additional financing.
(B) Estimated Profit and Loss statements and Balance Sheets for the same period as the cash flow forecast.
(C) The most recent, audited financial statements.
(D) A description of significant events before or after preparation of financial statements which materially affect the financial condition of the company, the operating statement or the cash flow statement.
Subpart 5132.6 -- Contract Debts
5132.606 -- Debt Determination and Collection.
(c) Case files sent to the contract financing office must be sent within 15 calendar days after the end of the 30-day period following the contracting officer's demand for payment. Send these case files to the Director, Defense Finance and Accounting Service-Columbus Center, Attn: FAS-C0-FPD, P.O. Box 182317, Columbus, Ohio 43218-2317.
(i) In addition to information required by FAR 32.606, the case file must include a copy of the demand made by the contracting officer; a statement as to whether or not the contract contains an Interest clause; and, if so, a copy of the clause or a reference to the clause number.
(ii) If the debt represents excess costs incurred in purchasing supplies or services against the account of a defaulted contractor, the case file shall include --
(A) The name and address of the replacement contractor;
(B) The disbursing office voucher number;
(C) The date paid;
(D) Bills of lading numbers, if any;
(E) The name of the carrier, when applicable; and
(F) The name and symbol number of the disbursing officer.
(i) If the debt represents liquidated damages, the case file shall include an explanation of the basis for assessing liquidated damages.
Other Guidance: See DFAS-IN 37-1, dated Jan 00.
5132.671 -- Bankruptcy Reporting.
Send information required by DFAS-IN 37-1 to the addressee in 5132.606(c).
Subpart 5132.8 -- Assignment of Claims
(d) An HCA or PARC may authorize exclusion of Alternate I to the clause at FAR 52.232-23 when it is in the Government's interest.