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(Revised August 28, 2014)

 

PGI 204.71—UNIFORM CONTRACT LINE ITEM NUMBERING SYSTEM

 

PGI 204.7103  Contract line items.

 

      (a)  Separately identifiable contract line and subline items (i.e., all except those with characteristics described in DFARS 204.7103-1(a)(2)(iii) or 204.7104-1(a)) shall include a description of the item or service being procured, the associated Product or Service Code (PSC), the quantity, a unit of measure, defined acceptance and inspection locations and requirements, and the delivery schedule or performance period. Contracts for contingency operations shall include the project code at the line item level on each contract action. The list of applicable codes is maintained at http://www.dla.mil/j-6/dlmso/elibrary/ServicePoints/CD_ProjCd_nopoc.docx. The contracting officer is responsible for coordinating any changes from the purchase request to the contract with the requiring activity.

 

              (1)  The list of active PSCs is available on the Federal Procurement Data System website under the ‘Worksite’ section under ‘Reference’.

 

              (2)  The list of available units of measure is on the Defense Procurement and Acquisition Policy website at http://www.acq.osd.mil/dpap/pdi/eb/docs/Line_Item_UoM_List.xlsx.

 

              (3)  Delivery and acceptance locations shall be defined using Activity Address Codes published in (1) DoD Activity Address Directory (DODAAD), DoD 4000.25-6-M, or (2) Military Assistance Program Address Directory System (MAPAD), DoD 4000.25-8-M and available for verification at https://www.daas.dla.mil/daasinq/default.asp.

 

              (4)  No activity shall be assigned acceptance responsibility unless that activity has acceptors registered in Wide Area WorkFlow (WAWF). Available roles for an Activity Address Code can be verified at the Active DoDAACs & Roles link on the WAWF homepage at https://wawf.eb.mil/.

 

      (b)  Fixed price line items shall include unit prices and total prices. Cost type line items shall not include unit prices, but shall contain the appropriate elements in accordance with FAR part 16. Not separately priced line items shall be so labeled. The notation “No Charge” shall not be used.

 

      (c)  The requirements at paragraph (a) and (b) shall be included in the appropriate parts of the contract Schedule.

 

      (d)  In structuring line items, especially on fixed-price contracts, due consideration shall be given to the effect of the chosen units of measure on administration and payment. No contract line item shall contain a quantity less than the number of deliveries anticipated on the line item. Contracting officers shall consider the need for periodic deliveries and payments in selecting a unit of measure. Included in this analysis shall be the impact of any financing arrangements under FAR part 32.

 

              (i)  Supplies: Line item quantities shall match the actual count of the supplies to be provided. For instance, if more than one delivery is expected, the quantity cannot be “1.”

 

              (ii)  Services: Line item quantities shall match the frequency with which performance will be reviewed, and on fixed-price line items, payment made. For example, a contract with a twelve-month period of performance should have a quantity and unit of measure suited to how the contract will be managed. If the intent is to review, accept, and pay for the services monthly, then the quantity should be 12, with a unit of measure such as “Months” or “Lots.” If the intent is to review, accept, and pay for the services quarterly, then the quantity should be 4, with a unit of measure such as “Lot”. If the quantity used is 1, then no payment for delivery can occur until the end of the period of performance. Services with tangible deliveries, such as repairs, shall be structured like supply line items.

 

      (e)  The following examples illustrate when the requirements at paragraph (a) apply—

 

              (1)  Separately identifiable subline items. The rule applies to subline items 0001AA and 0001AB. It does not apply to the line item 0001, because it does not have a deliverable.

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

Widgets

 

 

 

 

0001AA

Red painted widgets

6

EA

$10.00

$60.00

0001AB

Unpainted widgets

6

EA

$9.50

$57.00

 

              (2)  Informational subline items. The rule applies to line item 0001. It does not apply to subline items 000101, 000102, and 000103 because they do not have deliverables.

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

Widget implementation Joint Service Study

1

LOT

$60,000

$60,000

000101

Army funding
(AA: $20,000)

 

 

 

 

000102

Navy funding
(AB: $20,000)

 

 

 

 

000103

Air Force funding
(AC: $20,000)

 

 

 

 

 

              (3)  Line item with no subline items. The rule applies.

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

Red painted widgets

6

EA

$10.00

$60.00

 

              (4)  Line item is parent to an exhibit. The rule applies to the exhibit lines.

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

See exhibit A
($117.00)

 

 

 

 

A001

Red painted widgets

6

EA

$10.00

$60.00

A002

Unpainted widgets

6

EA

$9.50

$57.00

 

              (5)  Line is parent to a subline item which refers to an exhibit. The rule applies to the exhibit lines.

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

Widget program

 

 

 

 

0001AA

Design and develop widgets

1

LOT

$500.00

$500.00

0001AB

See exhibit A
($117.00)

 

 

 

 

A001

Red painted widgets

6

EA

$10.00

$60.00

A002

Unpainted widgets

6

EA

$9.50

$57.00

 

PGI 204.7103-2  Numbering procedures.
(See DFARS 204.7103-2, DFARS/PGI view)

 

      (a)  Contract line items shall consist of four numeric digits 0001 through 9999.  Do not use numbers beyond 9999.  Within a given contract, the item numbers shall be sequential but need not be consecutive.

 

      (b)  The contract line item number shall be the same as the solicitation line item number unless there is a valid reason for using different numbers.

 

      (c)  Once a contract line item number has been assigned, it shall not be assigned to another, different, contract line item in the same contract.

 

PGI 204.7104  Contract subline items.
(See DFARS 204.7104, DFARS/PGI view)

 

PGI 204.7104-2  Numbering procedures.
(See DFARS 204.7104-2, DFARS/PGI view)

 

      (a)  Number subline items by adding either two numeric characters or two alpha characters to the basic contract line item number.

 

              (1)  Information subline item numbers.  Use numeric characters only for information subline items, running 01 through 99.  Do not use spaces or special characters to separate the subline item number from the contract line item number that is its root.  For example, if the contract line item number is 0001, the first three subline items would be 000101, 000102, and 000103.  Do not use a designation more than once within a contract line item.

 

              (2)  Separately identified subline items.  Use alpha characters only for separately identified subline items, running AA through ZZ.  Do not use spaces or special characters to separate the subline item number from the contract line item number that is its root.  For example, if the contract line item number is 0001, the first three subline items would be 0001AA, 0001AB, and 0001AC.

 

                    (i)  Do not use the letters I or O as alpha characters.

 

                    (ii)  Use all 24 available alpha characters in the second position before selecting a different alpha character for the first position.  For example, AA, AB, AC, through AZ before beginning BA, BB, and BC.

 

      (b)  Within a given contract line item, the subline item numbers shall be sequential but need not be consecutive.

 

      (c)  Exhibits may be used as an alternative to setting forth in the schedule a long list of contract subline items.  If exhibits are used, create a contract subline item citing the exhibit's identifier.  See DFARS 204.7105.

 

      (d)  If a contract line item involves ancillary functions, like packaging and handling, transportation, payment of state or local taxes, or use of reusable containers, and these functions are normally performed by the contractor and the contractor is normally entitled to reimbursement for performing these functions, do not establish a separate subline item solely to account for these functions.  However, do identify the functions in the contract schedule.  If an offeror separately prices these functions, the contracting officer may establish separate subline items for the functions; however, the separate subline items must conform to the requirements of DFARS 204.7104-1.

 

      (e)  The following examples illustrate subline items numbering—

 

              (1)  Subline items structured to identify destinations for identical items, identically priced (delivery schedule shall be established for each subline item, not the contract line item).

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

NSN 1615-00-591-6620 Shim, Aluminum Alloy,... Apbl, Rotor, Helicopter PRON A1-9-63821-M1-M1 ACRN:AA

 

 

 

 

0001AA

A3168R-9030-4025 A2537M IPD:  2 RDD:  334 PROJ:  501

10

EA

$100.00

$1,000.00

0001AB

A3168R-9030-4026 A51AXBM IPD:  2 RDD:  325 PROJ:  502

10

EA

$100.00

$1,000.00

0001AC

A3168R-9030-4027 A67KBCM IPD:  2 RDD:  349 PROJ:  503

15

EA

$100.00

$1,500.00

 

              (2)  Subline items structured to identify destinations for identical items, not identically priced (delivery schedule shall be established for each subline item, not the contract line item).

 

ITEM NO.

SUPPLIES/SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

NSN 1615-00-591-6620 Shim, Aluminum Alloy,... Apbl, Rotor, Helicopter PRON A1-9-63821-M1-M1 ACRN:AA

 

 

 

 

0001AA

A3168R-9030-4025 A2537M IPD:  2 RDD:  334 PROJ:  501

10

EA

$100.00

$1,000.00

0001AB

A3168R-9030-4026 A51AXBM IPD:  2 RDD: 325 PROJ:  502

20

EA

$99.00

$1,980.00

0001AC

A3168R-9030-4027 A67KBCM IPD:  2 RDD: 349 PROJ:  503

30

EA

$98.00

$2,940.00

 

NOTE:  Difference in prices for identical items is due to separate destinations for FOB destination delivery.

 

              (3)  Subline items structured to identify different sizes of an item that are identically priced (delivery schedule shall be established for each subline item, not the contract line item).

 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

 0013

Boots Insulated, Cold Weather White, Type II, Class 1

 

 

 

 

PR

 

 

$38.35

 

 

$13,422.50

0013AA

8430-00-655-5541 Size 5N

50

 

 

 

0013AB

8430-00-655-5544 Size 8N

70

 

 

 

0013AC

8430-00-655-5551 Size 9N

30

 

 

 

0013AD

8430-00-655-5535 Size 9R

200

 

 

 

 

NOTE:  Unit price and total amount shown at line item level rather than at subline item level.

 

              (4)  Subline items structured to identify different sizes of an item that are not identically priced (delivery schedule shall be established for each subline item, not the contract line item).

 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0002

Body Armor Ground Troops Variable Type Small Arms, Fragmentation Protective Nylon Felt Vest, Front and Back Plates, Ceramic Plate, Type I

 

 

 

 

0002AA

First Article

1

LO

NSP

 

0002AB

8470-00-141-0935 Medium

Regular

1936

SE

$331.77

$642,306.72

0002AC

8470-00-141-0936 Large

Regular

625

SE

$355.77

$222,356.25

0002AD

8470-00-141-0937, Medium

Long

1237

SE

$346.77

$428,954.49

0002AE

8470-00-141-0938, Large

Long

804

SE

$365.77

$294,079.08

 

              (5)  Subline items structured to provide the capability for relating subordinate separately priced packaging costs to the overall contract line item.  (Separate delivery schedules shall be established for the subline item identifying the contractor's product and for the subline item identifying packaging.  No schedule will be established for the contract line item.)

 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

6105-00-635-6568 50380 Ref No 63504-WZ Armature Motor ACRN:  AA

 

 

 

 

0001AA

6105-00-635-6568 50380 Ref No 63504-WZ Armature Motor ACRN:  AA

2

EA

$2,895.87

$5,791.74

0001AB

Packaging ACRN:AA

2

EA

$289.58

$579.16

 

              (6)  Subline items structured to identify different accounting classifications for identical items (delivery schedule shall be established for each subline item, not the contract line item).

 

AJ:  17X150518350315069100000192B000000000000000000

AK:  17X150518370317569100000192B000000000000000000

AL:  17X150519350314369100000192B000000000000000000

 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0002

Pulse Decoder

KY-312/A5Q-19

 

EA

$3,037.40

 

0002AA

Pulse Decoder

KY-312/A5Q-19 ACRN:  AJ

2

 

 

$6,074.80

0002AB

Pulse Decoder

KY-312/A5Q-19 ACRN:  AK

6

 

 

$18,224.40

0002AC

Pulse Decoder

KY-312/A5Q-19 ACRN:  AL

2

 

 

$6,074.80

 

NOTE:  Unit price may be shown at line item level and total amounts shown at subline item level.

 

              (7)  Informational subline items established to identify multiple accounting classification citations assigned to a single contract line item.

 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0001

Air Vehicle

1

EA

$6,700,000

$6,700,000

 

000101       ACRN:AA $3,300,000

 

 

 

 

 

000102       ACRN:AB $2,000,000

 

 

 

 

 

000103       ACRN:AC $1,400,000

 

 

 

 

 

              (8)  Subline items structured to identify parts of an assembly (delivery schedule and price shall be established for each identified part at the subline item level, not for the assembly at the contract line item level).

 

 


 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0003

Automatic Degausing System Consisting of: (2 ea @ $52,061; $104,122 total)

 

 

 

 

0003AA

Switchboard

2

EA

$52,061.00

$104,122.00

0003AB

Remote Control Panel

2

EA

NSP

 

0003AC

Power Supply (M Coil) SSM Type 145 Amps, 220 V DC)

2

EA

NSP

 

*

*

*

 

 

*

*

0003AF

Power Supply (A Coil) SSM Type (118 Amps, 220 V DC)

2

EA

NSP

 

 

              (9)  Subline items structured to identify parts of a kit (delivery schedule and price shall be established for each identified part at the subline item level, not for the kit at the contract line item level).

 

ITEM NO.

SUPPLIES/ SERVICE

QUANTITY

UNIT

UNIT PRICE

AMOUNT

0031

Conversion Kit to Convert Torpedo MK 45 Mod 0 to Torpedo MK 45 Mod 1

(50 Kt @ $10,868.52; $543,426 total)

 

 

 

 

0031AA

Integrator Assy LD 620106

50

EA

$10,868.52

$543,426.00

0031AB

Pulse Generator Assy LD 587569

50

EA

NSP

 

0031AC

Drive Shaft Assy LD 587559

50

EA

NSP

 

*

*

*

 

 

*

 

0031BF

Actual Panel Assy LD 542924

50

EA

NSP

 

 

NOTE:  In this example, the prices of subline items 0031AB through 0031BF are included in the Integrator Assembly.

 

PGI 204.7105  Contract exhibits and attachments.
(See DFARS 204.7105, DFARS/PGI view)

 

      (a)  Use of exhibits.

 

              (1)  Exhibits may be used instead of putting a long list of contract line items or subline items in the contract schedule.  Exhibits are particularly useful in buying spare parts.

 

              (2)  When using exhibits, establish a contract line or subline item and refer to the exhibit.

 

              (3)  Identify exhibits individually.

 

              (4)  Each exhibit shall apply to only one contract line item or subline item.

 

              (5)  More than one exhibit may apply to a single contract line item.

 

              (6)  Data items on a DD Form 1423, Contract Data Requirements List, may be either separately priced or not separately priced.

 

                    (i)  Separately priced.  When data are separately priced, enter the price in Section B of the contract.

 

                    (ii)  Not separately priced.  Include prices in a priced contract line item or subline item.

 

              (7)  The contracting officer may append attachments to exhibits, as long as the attachment does not identify a deliverable requirement that has not been established by a contract line item or subline item or exhibit line or item.

 

              (8)  Include exhibit line items and associated information in the electronically distributed contract documents identified in PGI 204.201(3)(i)(A) and (B) (DFARS/PGI view).

 

      (b)  Numbering exhibits and attachments.

 

              (1)  Use alpha characters to identify exhibits.  The alpha characters shall be either single or double capital letters.  Do not use the letters I or O.

 

              (2)  Once an identifier has been assigned to an exhibit, do not use it on another exhibit in the same contract.

 

              (3)  The identifier shall always appear in the first or first and second positions of all applicable exhibit line item numbers.

 

              (4)  If the exhibit has more than one page, cite the procurement instrument identification number, exhibit identifier, and applicable contract line or subline item number on each page.

 

              (5)  Use numbers to identify attachments.

 

      (c)  Numbering exhibit line items.

 

              (1)  Criteria for establishing.  The criteria for establishing exhibit line items are the same as those for establishing contract line items (see DFARS 204.7103).

 

              (2)  Procedures for numbering.

 

                    (i)  Number items in an exhibit in a manner similar to contract line items.

 

                    (ii)  Number line items using a four-position number.

 

                            (A)  The first position or the first and second position contain the exhibit identifier.

 

                            (B)  The third and fourth positions contain the alpha or numeric character serial numbers assigned to the line item when using a double letter exhibit identifier. The second, third and fourth positions contain the alpha or numeric character serial numbers assigned to the line item when using a single letter exhibit identifier.

 

                    (iii)  Exhibit line item numbers shall be sequential within the exhibit.

 

              (3)  Examples.

 

                    (i)  Two-position serial number for double letter exhibit identifier.

 

Cumulative No.

of Line Items

Serial Number Sequence

1-33

 

34-67

 

68-101

 

102-135

 

136-169

 

170-203

 

204-237

 

238-271

 

272-305

 

306-339

 

340-373

 

374-407

 

408-441

 

442-475

 

476-509

 

510-543

 

544-577

 

578-611

 

612-645

 

646-679

 

680-713

 

714-747

 

748-781

 

782-815

 

816-849

 

850-883

 

884-917

 

918-951

 

952-985

 

986-1019

 

1020-1053

 

1054-1087

 

1088-1121

 

1122-1155

01 thru 09, then 0A thru 0Z, then

 

10 thru 19, then 1A thru 1Z, then

 

20 thru 29, then 2A thru 2Z, then

 

30 thru 39, then 3A thru 3Z, then

 

40 thru 49, then 4A thru 4Z, then

 

50 thru 59, then 5A thru 5Z, then

 

60 thru 69, then 6A thru 6Z, then

 

70 thru 79, then 7A thru 7Z, then

 

80 thru 89, then 8A thru 8Z, then

 

90 thru 99, then 9A thru 9Z, then

 

A0 thru A9, then AA thru AZ, then

 

B0 thru B9, then BA thru BZ, then

 

C0 thru C9, then CA thru CZ, then

 

D0 thru D9, then DA thru DZ, then

 

E0 thru E9, then EA thru EZ, then

 

F0 thru F9, then FA thru FZ, then

 

G0 thru G9, then GA thru GZ, then

 

H0 thru H9, then HA thru HZ, then

 

J0 thru J9, then JA thru JZ, then

 

K0 thru K9, then KA thru KZ, then

 

L0 thru L9, then LA thru LZ, then

 

M0 thru M9, then MA thru MZ, then

 

N0 thru N9, then NA thru NZ, then

 

P0 thru P9, then PA thru PZ, then

 

Q0 thru Q9, then QA thru QZ, then

 

R0 thru R9, then RA thru RZ, then

 

S0 thru S9, then SA thru SZ, then

 

T0 thru T9, then TA thru TZ, then

 

U0 thru U9, then UA thru UZ, then

 

V0 thru V9, then VA thru VZ, then

 

W0 thru W9, then WA thru WZ, then

 

X0 thru X9, then XA thru XZ, then

 

Y0 thru Y9, then YA thru YZ, then

 

Z0 thru Z9, then ZA thru ZZ

 

                    (ii)  Three-position numbers.

 

Cumulative No.

of Line Items

Serial Number Sequence

1-33

 

34-67

 

68-101

 

102-135

 

136-305

 

01 thru 009, then 00A thru 00Z, then

 

010 thru 019, then 01A thru 01Z, then

 

020 thru 029, then 02A thru 02Z, then

 

030 thru 039, then 03A thru 03Z and

 

so on to

 

306-339

 

340-373

 

374-407

 

408-441

 

442-1121

 

1122-1155

 

1156-1189

 

1190-1223

 

1224-1257

 

1258-1461

 

1462-1495

 

1496-1529

 

1530-1563

 

1564-2277

 

2278-2311

 

2312-2345

 

2346-2379

 

2380-2413

 

2414-2617

 

2618-2651

 

2652-2685

 

2686-2719

 

2720-3433

 

3434-3467

 

3468-3501

 

3502-10403

 

10404-10437

 

10438-10471

 

10472-10709

 

10710-10743

 

10744-10777

 

10778-10811

 

10812-11525

 

11526-11559

090 thru 099, then 09A thru 09Z, then

 

0A0 thru 0A9, then 0AA thru 0AZ, then

 

0B0 thru 0B9, then 0BB thru 0BZ, then

 

0C0 thru 0C9, then 0CA thru 0CZ, and

 

so on to

 

0Z0 thru 0Z9, then 0ZA thru 0ZZ, then

 

100 thru 109, then 10A thru 10Z, then

 

110 thru 119, then 11A thru 11Z, then

 

120 thru 129, then 12A thru 12Z, and

 

so on to

 

190 thru 199, then 19A thru 19Z, then

 

1A0 thru 1A9, then 1AA thru 1AZ, then

 

1B0 thru 1B9, then 1BA thru 1BZ, and

 

so on to

 

1Z0 thru 1Z9, then 1ZA thru 1ZB, then

 

200 thru 109, then 10A thru 10Z, then

 

210 thru 219, then 21A thru 21Z, then

 

220 thru 229, then 22A thru 22Z, and

 

so on to

 

290 thru 299, then 29A thru 29Z, then

 

2A0 thru 2A9, then 2AA thru 2AZ, then

 

2B0 thru 2B9, then 2BA thru 2BZ, and

 

so on to

 

2Z0 thru 2Z9, then 2ZA thru 2ZZ, then

 

300 thru 309, then 30Z thru 30Z, and

 

so on to

 

900 thru 909, then 90A thru 90Z, then

 

910 thru 919, then 91A thru 91Z, and

 

so on to

 

990 thru 999, then 99A thru 99Z, then

 

9A0 thru 9A9, then 9AA thru 9AZ, then

 

9B0 thru 9B9, then 9BA thru 9BZ, and

 

so on to

 

9Z0 thru 9Z9, then 9ZA thru 9ZZ

 

 

PGI 204.7107  Contract accounting classification reference number (ACRN) and agency accounting identifier (AAI).
(See DFARS 204.7107, DFARS/PGI view)

 

(a)  Establishing the contract ACRN.

 

        (1)  The contracting office issuing the contract is responsible for assigning ACRNs.  This authority shall not be delegated.  If more than one office will use the contract (e.g., ordering officers, other contracting officers), the contract must contain instructions for assigning ACRNs.


        (2)  ACRNs shall be established in accordance with the following guidelines:


              (i)  Do not use the letters I and O.

 

              (ii)  In no case shall an ACRN apply to more than one accounting classification citation, nor shall more than one ACRN be assigned to one accounting classification citation.

 

    (b)  Establishing an AAI.  An AAI, as detailed http://www.acq.osd.mil/dpap/policy/policyvault/USA002246-09-DPAP.pdf, is a six-digit data element that identifies a system in which accounting for specific funds is performed.  The funding office will provide to the contracting office the AAI associated with the funding for each line item.

 

 

    (c)  Capturing accounting and appropriations data in procurement.  Procurement instruments shall identify the funding used for the effort in one of two ways.

       (1) In legacy system environments where the contracting and accounting processes are not sufficiently integrated to ensure use of the Procurement Instrument Identification Numbers (PIINs) (see DFARS 204.70) and line item numbers as common keys, the contract shall include the accounting and appropriations data and ACRN as follows:

 

(i)  Show the ACRN as a detached prefix to the accounting classification citation in the accounting and appropriations data block or, if there are too many accounting classification citations to fit reasonably in that block, in section G (Contract Administration Data).

 

(ii)  ACRNs need not prefix accounting classification citations if the accounting classification citations are present in the contract only for the transportation officer to cite to Government bills of lading.

 

(iii)  If the contracting officer is making a modification to a contract and using the same accounting classification citations, which have had ACRNs assigned to them, the modification need cite only the ACRNs in the accounting and appropriations data block or on the continuation sheets.

 

(iv)  Showing the ACRN in the contract.  If there is more than one ACRN in a contract, all the ACRNs will appear in several places in the schedule (e.g., ACRN:  AA).

 

(A)  Ship-to/mark-for block.  Show the ACRN beside the identity code of each activity in the ship-to/mark-for block unless only one accounting classification citation applies to a line item or subline item.  Only one ACRN may be assigned to the same ship-to/mark-for within the same contract line or subline item number unless multiple accounting classification citations apply to a single nonseverable deliverable unit such that the item cannot be related to an individual accounting classification citation.

 

(B)  Supplies/services column.

 

(1)  If only one accounting classification citation applies to a line item or a subline item, the ACRN shall be shown in the supplies/services column near the item description.

 

(2)  If more than one accounting classification citation applies to a single contract line item, identify each assigned ACRN and the amount of associated funds using informational subline items (see DFARS 204.7104-1(a)).

 

      (2)  The contract shall include AAIs and ACRNs in system environments where the accounting systems are able to use PIINs and line item numbers as common keys to enable traceability of funding to contract actions.  Include AAIs and ACRNs as follows:

 

(i)  Showing the ACRN in the contract.  If there is more than one ACRN in a contract, all the ACRNs will appear in several places in the schedule (e.g., ACRN:  AA).

 

(A)  Ship-to/mark-for block.  Show the ACRN beside the identity code of each activity in the ship-to/mark-for block unless only one accounting classification citation applies to a line item or subline item. Only one ACRN may be assigned to the same ship-to/mark-for within the same contract line or subline item number unless multiple accounting classification citations apply to a single nonseverable deliverable unit such that the item cannot be related to an individual accounting classification citation.

 

(B)  Supplies/services column.

 

(1)  If only one accounting classification citation applies to a line item or a subline item, the ACRN shall be shown in the supplies/services column near the item description.

 

(2)  If more than one accounting classification citation applies to a single contract line item, identify each assigned ACRN and the amount of associated funds using informational subline items (see DFARS 204.7104-1(a)).

 

(ii)  Showing the AAI in the contract.  If there is more than one AAI in a contract, show the AAI in the supplies/services column of the Schedule next to the ACRN.  A sample showing the AAI is as follows:

 

ITEM NO SUPPLIES/SERVICES QUANTITY UNIT UNIT PRICE AMOUNT
0002 BRU-32 B/A Ejector Bomb Rack 23 Each $22,206.00 $510,738.00






MILSTRIP: N0001906P7PM230
PURCHASE REQUEST NUMBER: 0010144885-0001
ACRN: AA
AAI: 050119


PGI 204.7108  Payment instructions.
(See DFARS 204.7108, DFARS/PGI view)

  

      (a)  Scope.  This section applies to contracts and any separately priced orders that--

 

(1)  Include contract line items that are funded by multiple accounting classification citations for which a contract line item or items are not broken out into separately identifiable subline items (informational subline items are not separately identifiable subline items);

 

(2)  Contain cost-reimbursement or time-and-materials/labor-hour line items; or

 

(3)  Authorize financing payments.

 

      (b)  For contracts and orders covered by this subpart, the contracting officer shall insert numbered instructions in Section G (Contract Administration Data), to permit the paying office to charge the accounting classification citations assigned to that contract line item (see DFARS 204.7104-1(a)) in a manner that reflects the performance of work on the contract.  When incorporating clauses by reference in Section G, cite the clause number, title, and date.  If additional accounting classification citations are subsequently added, the payment instructions must be modified to include the additional accounting classification citations.  Also, contracting officers shall not issue modifications that would create retroactive changes to payment instructions.  All payment instruction changes shall be effective as of the date of the modification.  When some, but not all, of the fixed price line items in a contract are subject to contract financing payments, the contracting officer shall clearly identify to which line items the payment clause(s) included in Section I apply.

 

      (c)  Payment instructions—

 

              (1)  Shall provide a methodology for the payment office to assign payments to the appropriate accounting classification citation(s), based on anticipated contract work performance;

 

              (2)  Shall be consistent with the reasons for the establishment of separate contract line items;

 

              (3)  Shall be selected from those provided in paragraph (d) of this section;

 

              (4)  Shall be revised to address the impact of changes to contract funding or significant disparities between existing instructions and actual contract performance;

 

            (5)  Shall state at what level (contract, contract line, subline, exhibit line, or ACRN) the payment instructions should be applied;

 

            (6)  Shall not be mixed within a level by contract type.  For example, if the instructions apply at the contract level, there can be only one payment instruction for each contract type.  If the instructions apply at the contract line or subline level, there can only be one payment instruction per contract line or subline item;

 

            (7)  For contracts or orders that contain a combination of fixed-price, cost-reimbursement, and/or time-and-materials/labor-hour line items, shall at a minimum include separate instructions for each contract type of contract line item (e.g., contract-wide proration for fixed-price line items and contract-wide ACRN level for cost-reimbursement line items;

 

            (8)  For contracts or orders that contain foreign military sales requirements, shall include instructions for distribution of the contract financing payments to each country's account; and

 

            (9)  Shall use one of the standard payment instructions in paragraphs (d)(7) through (11) of this section unless the contracting officer documents in the contract file that there are significant benefits of requiring contractor identification of the contract line item on the payment request.

 

      (d)  The numbered payment instructions ((d)(1) through (12)) below correspond to the automated payment instructions in the supporting systems; therefore, care should be exercised when identifying the numbered instructions below in Section G of the contract.  Include either one contract-wide instruction or one or more line item specific instructions.  The contracting officer shall not use a combination of contract-wide and line item specific instructions.

 

        (1)  Line item specific: single funding.  If there is only one source of funding for the contract line item (i.e., one ACRN), insert the following:

252.204-0001 Line Item Specific: Single Funding.  (SEP 2009)

The payment office shall make payment using the ACRN funding of the line item being billed.

 

              (2)  Line item specific: sequential ACRN order.  If there is more than one ACRN within a contract line item (i.e., informational subline items contain separate ACRNs),and the contracting officer intends funds to be liquidated in ACRN order, insert the following:

 

252.204-0002 Line Item Specific:  Sequential ACRN Order.  (SEP 2009)

The payment office shall make payment in sequential ACRN order within the line item, exhausting all funds in the previous ACRN before paying from the next ACRN using the following sequential order: Alpha/Alpha; Alpha/numeric; numeric/alpha; and numeric/numeric.

 

     

              (3)  Line item specific: contracting officer specified ACRN order.  If there is more than one ACRN within a contract line item, (i.e. informational sub-line items contain separate ACRNs), and the contracting officer intends the funds to be liquidated in a specified ACRN order, insert the following, including the specified order in the instruction:

 

252.204-0003 Line Item Specific:  Contracting Officer Specified ACRN Order.  (SEP 2009)

The payment office shall make payment within the line item in the sequence ACRN order specified below, exhausting all funds in the previous ACRN before paying from the next ACRN.

Line Item                                ACRN Order

_________                            _____________________

_________                            _____________________

 

 

            (4)  Line item specific: by fiscal year.  If there is more than one ACRN within a contract line item, [(i.e. informational sub-line items contain separate ACRNs), and the contracting officer intends the funds to be liquidated using the oldest funds first, insert the following:

252.204-0004 Line Item Specific: by Fiscal Year.  (SEP 2009)

The payment office shall make payment using the oldest fiscal year appropriations first, exhausting all funds in the previous fiscal year before disbursing from the next fiscal year.  In the event there is more than one ACRN associated with the same fiscal year, the payment amount shall be disbursed from each ACRN within a fiscal year in the same proportion as the amount of funding obligated for each ACRN within the fiscal year.

     

              (5)  Line item specific: by cancellation date.  If there is more than one ACRN within a contract line item, (i.e. informational sub-line items contain separate ACRNs), and the contracting officer intends the funds to be liquidated using the ACRN with the earliest cancellation date first, insert the following:

252.204-0005 Line Item Specific: by Cancellation Date.  (SEP 2009)

The payment office shall make payment using the ACRN with the earliest cancellation date first, exhausting all funds in that ACRN before disbursing funds from the next. In the event there is more than one ACRN associated with the same cancellation date, the payment amount shall be disbursed from each ACRN with the same cancellation date in the same proportion as the amount of funding obligated for each ACRN with the same cancellation date.

 

            (6)  Line item specific: proration.  If there is more than one ACRN within a contract line item, (i.e. informational sub-line items contain separate ACRNs), and the contracting officer intends the funds to be liquidated in the same proportion as the amount of funding currently unliquidated for each ACRN, insert the following:

252.204-0006 Line Item Specific:  Proration.  (SEP 2009)

The payment office shall make payment from each ACRN in the same proportion as the amount of funding currently unliquidated for each ACRN.

 

                                                                                                                            

            (7)  Contract-wide: sequential ACRN order.  If the contracting officer intends the funds to be liquidated in sequential ACRN order, insert the following:

252.204-0007 Contract-wide:  Sequential ACRN Order.  (SEP 2009)

The payment office shall make payment in sequential ACRN order within the contract or order, exhausting all funds in the previous ACRN before paying from the next ACRN using the following sequential order: alpha/alpha; alpha/numeric; numeric/alpha; and numeric/numeric.

 

            (8)  Contract-wide: contracting officer specified ACRN order.  If the contracting officer intends the funds to be liquidated in a specified ACRN order, insert the following, including the specified order in the instruction:

252.204-0008 Contract-wide: Contracting Officer Specified ACRN Order.   (SEP 2009)

The payment office shall make payment in sequential ACRN order within the contract or order, exhausting all funds in the previous ACRN before paying from the next ACRN in the sequence order specified below:

ACRN Order

_____________________________

______________________________

            (9)  Contract-wide: by fiscal year.  If the contracting officer intends the funds to be liquidated in fiscal year order, insert the following:

252.204-0009 Contract-wide: by Fiscal Year.  (SEP 2009)

The payment office shall make payment using the oldest fiscal year appropriations first, exhausting all funds in the previous fiscal year before disbursing from the next fiscal year. In the event there is more than one ACRN associated with the same fiscal year, the payment amount shall be disbursed from each ACRN within a fiscal year in the same proportion as the amount of funding obligated for each ACRN within the fiscal year.

            (10)  Contract-wide: by cancellation date.  If the contracting officer intends the funds to be liquidated in fiscal year order, insert the following:

252.204-0010 Contract-wide: by Cancellation Date.  (SEP 2009)

The payment office shall make payment using the ACRN with the earliest cancellation date first, exhausting all funds in that ACRN before disbursing funds from the next. In the event there is more than one ACRN associated with the same cancellation date, the payment amount shall be disbursed from each ACRN with the same cancellation date in the same proportion as the amount of funding obligated for each ACRN with the same cancellation date.

            (11)  Contract-wide: proration.  If the contract or order that provides for progress payments based on costs, (unless the administrative contracting officer authorizes use of one of the other options), or if the contracting officer intends the funds to be liquidated in the same proportion as the amount of funding currently unliquidated for each ACRN, insert the following:

252.204-0011 Contract-wide: Proration.  (SEP 2009)

The payment office shall make payment from each ACRN within the contract or order in the same proportion as the amount of funding currently unliquidated for each ACRN.

 

            (12)  Other.  If none of the standard payment instructions identified in paragraphs (d)(1) through (11) of this section are appropriate, the contracting officer may insert other payment instructions, provided the other payment instructions--

(i) Provide a significantly better reflection of how funds will be expended in support of contract performance; and

(ii) Are agreed to by the payment office and the contract administration office.