PGI 217.202 Use of options

Section DFARS Procedures, Guidance, and Information

Facts

Citation
PGI 217.202
Type
Section
Supplements
FAR 17.202 Use of options
Text as of
DFARS PGI Change May 7, 2026
Official text
acquisition.gov

Text from acquisition.gov. Federal Register history from the Federal Register's records of the rules that amended this section.

Text

(1) Options may be used for foreign military sales (FMS) requirements.

(2) For sole source major systems for U.S. and U.S./FMS combined procurements, contracting officers, in coordination with program managers, are encouraged to—

(i) Establish priced options for two years beyond the base year, so that negotiations of major systems will be conducted approximately every three years; and

(ii) In those cases where exact quantities are subject to variation, or FMS customers are not yet identified, establish range option pricing for both U.S. and FMS quantities.

(3) Consider use of surge options to support industrial capability. A surge option allows the Government, prior to final delivery, to—

(i) Accelerate the contractor's production rate in accordance with a surge production plan or a delivery schedule provided by the contractor under the terms of the contract; and

(ii) Purchase additional quantities of supplies or services.

(4) See DFARS Subpart 217.74 for limitations on the use of undefinitized options.

Quick answers

What is PGI 217.202?

PGI 217.202 is a section of the DFARS Procedures, Guidance, and Information, titled "Use of options".

Are changes to PGI 217.202 proposed?

No proposed rule from the last 3 years is waiting on a final rule.

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