Contract Closeout: Procedures and Practical Examples (TX)

Contract closeout is required for all government contracts to establish the final contract price and make the final contract payment.  The process starts when contract performance is complete for a contract and ends when all administrative actions have been completed, all disputes settled, and final payment has been made.  The process can be simple or complex depending on contract attributes such as type (e.g. firm-fixed price, cost-reimbursement), period of performance, significance and type of subcontracted work and the volume of property.

FAR 4.804-5, Procedures for Closing Out Contract Files, provides the basic procedures for the administrative closeout of contracts.  While seemingly straight forward, successful contract closeout requires an in-depth knowledge of this clause and the other contractual requirements included in the contract that impact contract closeout.  This course is designed to provide specific guidance in contract closeout and what you need to know and do related to the other contractual requirements.

Upon completion of this course, the participant should know the US Government’s requirements for conducting contract closeout and how the related contractual requirements impact the contract closeout process including:

• Standard and Quick-Closeout Procedures
• Requirements of The Allowable Cost and Payment Clause
• Invoicing
• Reimbursing Costs
• Final Indirect Cost Rates
• Billing Rates
• Audit
• Final Payment
• Impacts of the Limitation of Cost and Funds Clauses on Contract Performance and Closeout
• How Fee and Other Contract Withholds Work and How You Recover the Money during Closeout
• How Disallowance of Contract Costs Works and What You Need to Do to Recover the Money before Final Contract Closeout
• Procedures to Definitize Letter Contracts/Undefinitized Contractual Actions
• How Contract Terminations Impact Contract Closeout
• Record Retention After Contract Closeout