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HHS Reference Tool for Contract Funding, Formation and Appropriations Law Compliance

Home

Overview

Regulations and
Guidance

Case Studies

Frequently Asked Questions

Disclaimer

HHS Reference Tool Content

I.Basic Appropriations Law Concepts
 A.Anti-Deficiency Act
 B.Bona FideNeeds Rule
 C.Appropriation Types
  1.Annual
  2.Multiple-Year
  3.No-Year
 D.Continuing Resolution
II.Decision Factors
 A.No-Year Appropriation
 B.Bona FideNeeds Rule
 C.Acquiring Severable Services
  1.Annual Appropriation
   a.Contract period not more than one year
   b.Contract period more than one year
    -Options
    -Incremental Funding
  2.Multiple-Year Appropriation
   a.Contract period will not extend beyond multiple-year appropriation's period of availability
   b.Contract period will extend beyond multiple-year appropriation's period of availability
    -Options
    -Incremental Funding
  3.Modifications
 D.Acquiring Non-severable Services
  1. Funded in Full
    a.Entire Contract/Single Requirement
    b.Fully Funded Initial Requirement (Followed by Options)
  2.Multi-year Contracting
  3.Options After Initial Requirement
    a.Severable Services
    -Annual Appropriation
    -Multiple-Year Appropriation
    b.Non-severable Services
    -Fully Funded
    -Multi-Year Contract
  4.Modifications
 E.Acquiring both severable and non-severable services
  1.Single Definitive Contract
  2.Indefinite-Delivery/Indefinite-Quantity Contract
III.Case Studies
IV.Frequently Asked Questions

Multi-year Contracting — Cancellation Ceiling

Will the award fund the first program year plus the full amount of the cancellation ceiling from an appropriation source available for obligation on the date the contract action will be executed?


Yes       No

 


Help Notes

Cancellation ceiling is the maximum cancellation charge the contractor can receive in the event that any or all remaining program years of the contract are cancelled. When using multi-year contracting to acquire non-severable services, full funding of the cancellation ceiling is required at the time of contract execution. MORE…

REMINDER: Multi-year contracting requires adherence to the policies in FAR Subpart 17.1, as supplemented by HHSAR Subpart 317.1 (conditions for use, mandatory determination and approval levels, and related requirements).

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