Defense Department Updates Policy for Subcontracting

The Department of Defense will require contracting officials to secure approval from the agency’s program manager before restricting companies to subcontract in procurement deals.

Officials issued the final rule in the Federal Register Monday to implement section 824 of the National Defense Authorization Act for fiscal year 2019. The update covers the regulations under the Defense Federal Acquisition Regulation Supplement.

“The contracting officer shall not withhold consent to subcontract without the written approval of the program manager or comparable requiring activity official exercising program management responsibilities, if the contractor has an approved purchasing system,”  according to the announcement. 

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