Introduction
The Administrative Contracting Officer (ACO) is responsible to notify the Procuring Contracting Officer (PCO) of the need for additional funds. In the ACO’s notification to the PCO, it should outline that the contractor did or did not notify the government of the potential overrun in accordance with the contract terms and conditions (Federal Acquisition Regulation (FAR) clause 52.232-22 - Limitations of Funds, and FAR clause 52.232-20 – Limitation of cost). It should be noted that the PCO has the final decision as to whether additional funds are available.
The contractor is responsible for notifying the PCO/ACO of the new total cost for the performance of the contract will be either greater or substantially less than had been previously estimated.
If the additional funds are approved, they will then be added to the contract by issuing a contract modification. If the PCO denies the request for additional funds, the ACO will advise the contractor that the PCO has denied the request for additional funds and will request the contractor to submit final invoice and proceed with closeout. The Contractor may decide to submit a certified claim to the ACO/PCO for the additional funds which may delay contract closeout. See DCMA-MAN 2501-09, Contract Claims and Disputes for more information.
Purpose
This Job Aid is a step-by-step checklist that guides you through the tasks performed when requesting additional funds.
Instructions
Each step in the checklist provides the step number, the action you should take to complete the step, a space to input the date the step is completed, and any special instructions about each step that you should take into consideration.
Note: When using the print feature, ensure headers/footers are not selected/disabled when the print settings appear.
Checklist
| Step | Action | Date Completed/NA | Special Instructions/Notes |
|---|---|---|---|
| 1. | The ACO notifies the PCO by email of the amount of additional funds required to complete and closeout the contract. | ||
| 2. | If the contract cannot be closed out on time, the ACO must insert the overage reason code “N” (Additional Funds Required but not yet received) in Mechanization of Contract Administration Services (MOCAS). | Performed only when a contract cannot be closed within the FAR mandated timeframe. Click the link to view the reference image. | |
| 3. | The ACO must insert an estimated completion date (ECD) on the R2 remarks line in MOCAS. | Performed only when a contract cannot be closed within the FAR mandated timeframe. Click the link to view the reference image. | |
| 4. | Update Office of Primary Responsibility (OPR) R9 code, with 71-Services. | Performed only when a contract cannot be closed within the FAR mandated timeframe. Click the link to view the reference image. | |
| 5. | The PCO issues a contract modification obligating funds. | ||
| 6. | The ACO verifies the funds have been correctly obligated in MOCAS. | ||
| 7. | The ACO removes the overage reason code “N” (Additional Funds Required but not yet received) and update it with reason code “A” (Awaiting Final Voucher from contractor) in MOCAS. | Performed only when a contract cannot be closed within the FAR mandated timeframe. Click the link to view the reference image. | |
| 8. | Update Office of Primary Responsibility (OPR) R9 code, with 72-Contractor. | Performed only when a contract cannot be closed within the FAR mandated timeframe. Click the link to view the reference image. | |
| 9. | The ACO receives final voucher via Wide Area Workflow (WAWF) from the contractor. | Final vouchers must not be sent until additional funds have been obligated to the contract via PCO issued modification. Click the link to view the reference image. | |
| 10. | The ACO reviews and approves final voucher. | Click the link to view the reference image. | |
| 11. | The ACO forwards (via WAWF) the final voucher to Defense Finance and Accounting Service (DFAS) for certification and payment. | ||
| 12. | The ACO updates reason code “A” (Awaiting Final Voucher from contractor) to “Y” (Awaiting Notice of Final Payment) in MOCAS and update Office of Primary Responsibility (OPR) R9 code, with 75-DFAS. | The ACO monitors the final voucher using the MOCAS inquiry screens YINV, YCPM, and YCU2 to ensure the Contractor receives payment. | |
| 13. | ACO closes out the contract using the Contract Closeout eTool or MOCAS. | ||
| 14. | The ACO files all final closeout documents in the DCMA official contract file repository system or tool. |
