B-222225, APR 23, 1986, OFFICE OF GENERAL COUNSEL

B-222225, APR 23, 1986, OFFICE OF GENERAL COUNSEL

FEDERAL ACQUISITION REGULATION - PROPOSED REVISION DIGEST: GAO HAS NO OBJECTION TO PROPOSED AMENDMENTS TO FEDERAL ACQUISITION REGULATION (FAR) SECTIONS 45.103 AND 45.106 AND THE CONTRACT CLAUSE AT FAR SECTION 52.245-4, ALL OF WHICH CONCERN A CONTRACTOR'S LIABILITY FOR GOVERNMENT-FURNISHED PROPERTY.

MS. MARGARET A. WILLIS:

FAR SECRETARIAT

GENERAL SERVICES ADMINISTRATION

THIS RESPONDS TO YOUR LETTER OF MARCH 4, 1986, REQUESTING OUR COMMENTS ON A PROPOSAL TO AMEND FEDERAL ACQUISITION REGULATION (FAR) SECTIONS 45.103 AND 45.106 AND THE CONTRACT CLAUSE AT FAR SECTION 52.245-4, ALL OF WHICH CONCERN A CONTRACTOR'S LIABILITY FOR GOVERNMENT FURNISHED PROPERTY. THE PROPOSED AMENDMENTS WOULD RESULT IN MORE LIMITED CONTRACTOR LIABILITY FOR GOVERNMENT-FURNISHED PROPERTY THAN CURRENTLY EXISTS WHERE THE CONTRACTING OFFICER DETERMINES THAT A CONTRACTOR PERFORMING SERVICES ON A GOVERNMENT INSTALLATION HAS LITTLE DIRECT CONTROL OVER THE PROPERTY.

WE HAVE NO OBJECTIONS TO THE PROPOSED AMENDMENTS.