DOD AMENDS U.S.-FLAG VESSEL CONTRACT RULES
The U.S. Defense Department has expanded its rules to specify requirements for the use of U.S.-flag vessels to now apply in contracts at or below the “simplified acquisition threshold,” as well as to contracts above the threshold.
The change to the Defense Federal Acquisition Regulation Supplement (DFARS) is effective immediately, the Defense Department said.
The clause, Transportation of Supplies by Sea (DFARS 252.247-7023), requires contractors to:
*Submit any request for use of non-U.S.-flag vessels in writing to the contracting officer.
*Provide a copy of the bill of lading to the contracting officer and the Maritime Administration after each shipment of supplies by sea.
*Provide with the final invoice a representation to whether ocean transportation and U.S.-flag vessels were used in the contract.
*Include the clause in subcontracts for construction supplies, non-commercial materials and certain commercial items.