Defense Federal Acquisition Regulation Supplement (DFARS) Part 232, Contract Financing, and associated clauses

DFARS clause 252.232-7007, Limitation of Government's Obligation, identifies procedures for incrementally funding a fixed-price contract and requires contractors to provide written notice when the work will reach the point at which the amount payable by the Government approximated 85% of the funds allotted. DFARS subpart 232.10, Performance Based Payments, addresses data necessary for the contracting officer to populate the Performance Based Payments analysis tool, which is a cash-flow model used to evaluate alternative financing.

The latest form for Defense Federal Acquisition Regulation Supplement (DFARS) Part 232, Contract Financing, and associated clauses expires 2023-07-31 and can be found here.