Mandatory Annoyance-Contract Closeout. A need exists. The Federal organization with the need identifies it and begins the procurement process. After a period of time, clarification and specification of the need, evaluation of the availability of contractors to meet that need, within the time frame at a reasonable cost, and the availability of funding the acquisition, an award is announced, and a contract is negotiated.   One mandatory step, delineated in the Federal Acquisition Requirements, is preparation of both participants from the beginning to close the contract when the work has finished, and the final payments have been made.  Preparation for and the actual closeout process has been ignored for decades. Emphasis on closing contracts has strengthened, interpretation of the required steps has been updated, and the mandatory requirements loom. We shall be spending eight sessions on that annoyance, and what parties must be prepared to do. The questions to be answered on Closeout are why and how it is mandatory and how are the requirements met.

Closeout is the final step in acquisition by Federal Organizations. The closeout steps focus on the administrative and the financial requirements. The contractual parties are required to manage, monitor, and play the games of the color of money in the contractual world. De-obligation sets the stage so that the buying agency and the contractor can move forward.

As we enter 2024, we are still well aware of the large number of projects that ended a long time ago but have not been closed. The starting point still begins with what are the problems, the issues that exist that have become the causes of overage. The process for closeout, the steps played out in the Federal Acquisition Regulations, Section 4.805, may seem simple on paper but in practice it is more complex than anticipated.

These sessions will focus on the process that begins when a federal entity needs something. The next step is to plan the purchase and conduct the formation of the contract, bringing contractors, with subcontractors, suppliers, and team members, into the process. Following contractual formation, analysis, and award, the project must be implemented. Implementation is based on the final definition of need, the final determination of the contractual requirements, the implementation process that is necessary to meet the need, and finally the actual work being done. When the needs have been met, the proper documents and forms acknowledging that fact have been filed, and funds are no longer necessary for that project, the appropriate action is to close the contract in a timely manner. 

This series on Contract Closeout will meet the following objectives.

• Understanding the Federal Acquisition Regulations, Section 4.800-806,  as the stage for  the activities required in monitoring, managing, and maintaining the files in all Federal Acquisition Contracts. 
• Understanding the eight steps for closing a contract
• Examining the requirements for handling the three elements of the contract; the project itself, administrative requirements and the financial requirements    
• Identifying and discussing problems impinging upon contract closeout and designing problem solving techniques                              
• Understanding the risks; financial, information technology based, property location and ownership, and specific requirements for infrastructure based contracts                                           
• Determining the roles, as codified, of all of the contractual parties (Buying Agency project management; Contracting Officers, project and administrative; Contracting Officer Representatives; Prime Contractor, project, administrative and financial; and subcontractors and suppliers
• Examining the causes for the tremendous backlog in closing contracts that should have been closed years ago when the work complete  

These live webinars are eligible for both CLE and CPE credit.
NOTE: CPE/CLE credit for attendees are subject to participation and approval by the governing boards. NASBA CPE ACCREDITATION INFORMATION
Learning Level: Beginner
Prerequisites: None
Field of Study: Specialized Knowledge
Delivery Method: Group Internet Based

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