FAR 32.105 Uses of contract financing
Section Federal Acquisition Regulation
Facts
- Citation
- FAR 32.105
- Type
- Section
- Text as of
- FAC 2026-01
- 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
(a) Contract financing methods covered in this part are intended to be self-liquidating through contract performance. Consequently, agencies shall only use the methods for financing of contractor working capital, not for the expansion of contractor-owned facilities or the acquisition of fixed assets. However, under loan guarantees, exceptions may be made for-
(1) Facilities expansion of a minor or incidental nature, if a relatively small part of the guaranteed loan is used for the expansion and the contractor’s repayment would not be delayed or impaired; or
(2) Other instances of facilities expansion for which contract financing is appropriate under agency procedures.
(b) The limitations in this section do not apply to contracts under which facilities are being acquired for Government ownership.
Quick answers
What is FAR 32.105?
FAR 32.105 is a section of the Federal Acquisition Regulation, titled "Uses of contract financing".
Are changes to FAR 32.105 proposed?
No proposed rule from the last 3 years is waiting on a final rule.
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