Class Deviation 2012-O0014
Providing Accelerated Payment to Small Business Subcontractors

Effective immediately, contracting officers shall use the attached clause to require prime contractors to pay small business subcontractors on an accelerated timetable to the maximum extent practicable. Accordingly, contracting officers shall insert the clause at 52.232-99 (DEVIATION)(August 2012) in all new solicitations and resultant contracts after the date this deviation is signed and, to the extent feasible, modify existing solicitations to insert the clause at 52.232-99 (DEVIATION). Contracting officers may amend existing contracts to insert this clause in accordance with FAR 1.108(d).

This deviation implements the temporary one-year policy provided by OMB Policy Memorandum M-12-16, Providing Prompt Payment to Small Business Subcontractors, dated July 11, 2012, which is designed to accelerate payment from federal prime contractors to their small business subcontractors. To assist in expediting contractor payments to small business subcontractors, DoD will provide accelerated payments to all prime contractors after receipt of a proper invoice and all proper documentation while also maintaining necessary DoD internal controls.

This deviation remains in effect until it is incorporated into the FAR or DFARS or is otherwise rescinded.

Note: This class deviation was rescinded on February 21, 2013 by another class deviation issued under the same name and located here.

Effective Date: August 15, 2012 (10 years ago)
Expire Date: None Given
Rescinded: February 13, 2013 (10 years ago)
Official Documents: Memo
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