Consent to Subcontract

What is the rule?

“Consent to subcontract” means the contracting officer’s written consent for a contractor to enter into a particular subcontract.

The contract clause FAR 52.244-2 requires a contractor that does not have an approved purchasing system to obtain consent, when:

• 1. The contract is a cost-reimbursement, time-and-materials, or labor-hour type, or
• 2. Is fixed price and exceeds:
  • i. A Department of Defense, Cost Guard, or National Aeronautics and Space Administration, the greater of the simplified acquisition threshold or 5% of the total estimated cost of the contract, or
  • ii. For a contract awarded by a civilian agency other than the ones noted above, either the simplified acquisition threshold or 5% of the total estimated cost of the contract.

For additional discussion of the requirements, please see FAR 44.204 - Contract Clauses

What is a subcontract?

An agreement between 2 parties. It could be more than just a typical subcontract. It could be consulting or buying from a vendor.

What if I don't get a written consent to subcontract?

DCAA may and probably question all of the costs.