FAR 42.709-1 Scope
Subsection Federal Acquisition Regulation
Facts
- Citation
- FAR 42.709-1
- Type
- Subsection
- Last amended
- 90 FR 41872 Effective Oct 1, 2025
- 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 subsection.
Text
(a) This section implements 10 U.S.C. 3743 and 41 U.S.C. 4303. It covers the assessment of penalties against contractors which include unallowable indirect costs in-
(1) Final indirect cost rate proposals; or
(2) The final statement of costs incurred or estimated to be incurred under a fixed-price incentive contract.
(b) This section applies to all contracts in excess of $1 million, except fixed-price contracts without cost incentives or any firm-fixed-price contracts for the purchase of commercial products or commercial services.
Federal Register history
Quick answers
What is FAR 42.709-1?
FAR 42.709-1 is a subsection of the Federal Acquisition Regulation, titled "Scope".
When was FAR 42.709-1 last changed?
The most recent final rule on record is "Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds" (90 FR 41872), published Aug 27, 2025 and effective Oct 1, 2025.
Are changes to FAR 42.709-1 proposed?
No proposed rule from the last 3 years is waiting on a final rule.
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