FAR 49.303-5 Final settlement
Subsection Federal Acquisition Regulation
Facts
- Citation
- FAR 49.303-5
- Type
- Subsection
- Proposed changes
- 1
- 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) The TCO shall proceed with the settlement and execution of a settlement agreement upon receipt of the audit report, if applicable, and the contract audit closing statement covering vouchered costs.
(b) The TCO shall adjust the fee as provided in 49.305.
(c) The final settlement agreement may include all demands of the Government and proposals of the contractor under the terminated contract. However, no amount shall be allowed for any item of cost disallowed by the Government, nor for any other item of cost of the same nature.
(d) If an overall settlement of costs is agreed upon, agreement on each element of cost is not necessary. If appropriate, differences may be compromised and doubtful questions settled by agreement. An overall settlement shall not include costs that are clearly not allowable under the terms of the contract.
Proposed changes
| Proposed rule | Published | Comments |
|---|---|---|
| Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 3 and 49 | Closed Jul 23, 2026No final rule found |
Sections cited
- FAR 49.305 Adjustment of fee
Quick answers
What is FAR 49.303-5?
FAR 49.303-5 is a subsection of the Federal Acquisition Regulation, titled "Final settlement".
Are changes to FAR 49.303-5 proposed?
One proposed change has no final rule yet.
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