FAR 13.301—Governmentwide commercial purchase card.
Plain-English Summary
FAR 13.301 explains when and how the Governmentwide commercial purchase card may be used in federal buying. It covers the card’s authorized uses for purchasing and paying for supplies, services, and construction; who may use the card; the requirement that use be limited to purchases otherwise authorized by law or regulation; and the agency’s duty to establish internal procedures for card use and control. It also addresses the relationship between the card and Treasury Financial Manual requirements, the current GSA credit card contract, and the need to avoid unnecessarily restricting card use to micro-purchases. In addition, it encourages broader use by contracting officers for higher-dollar purchases when appropriate, including orders under part 8 procedures and other contractual instruments when the contractor agrees. Finally, it identifies specific permitted uses: micro-purchases, task or delivery orders when authorized by the underlying contract vehicle, and payments to contractors who accept card payment, subject to the limitation in 32.1108(b)(2). In practice, this section is about giving agencies a flexible payment and buying tool while ensuring proper controls, legal authority, and contract-specific authorization are in place.
Key Rules
Card is authorized for buying and paying
The Governmentwide commercial purchase card may be used to make and/or pay for purchases of supplies, services, or construction, except as limited by 32.1108(b)(2). This makes the card both a purchasing and payment mechanism, not just a payment tool.
Use only when legally authorized
The card may be used only for purchases that are otherwise authorized by law or regulation. The card does not create buying authority by itself; the underlying acquisition must still be permissible.
Only designated users may use it
Contracting officers and other individuals designated under 1.603-3 may use the card. Agencies must ensure cardholders are properly designated and authorized before use.
Agency procedures are required
Agencies using the card must establish procedures for use and control that comply with the Treasury Financial Manual and align with the current GSA credit card contract. These procedures govern internal controls, accountability, and proper card management.
Do not confine use to micro-purchases
Agency procedures should not limit the card to micro-purchases. FAR encourages agencies to use the card more broadly where appropriate, including for larger-dollar purchases handled by contracting officers.
Encourage use with contract vehicles
Agencies should encourage contracting officers to use the card to place orders and pay for purchases under part 8 procedures when authorized, and to place orders or make payment under other contractual instruments when the contractor agrees.
Use is allowed for specific transaction types
The card may be used to make micro-purchases, place task or delivery orders if the basic contract, basic ordering agreement, or blanket purchase agreement authorizes it, and make payments when the contractor agrees to accept card payment, subject to 32.1108(b)(2).
Responsibilities
Agencies
Establish and maintain procedures for card use and control that comply with the Treasury Financial Manual and the current GSA credit card contract. Agencies should also avoid overly restrictive policies that limit the card to micro-purchases and should promote appropriate use for orders and payments where authorized.
Contracting Officers
Use the Governmentwide commercial purchase card only when the purchase is otherwise authorized by law or regulation and when the underlying contract vehicle permits the transaction. They should use the card for micro-purchases, authorized task or delivery orders, and payments when the contractor agrees and the payment method is permitted.
Other Designated Individuals
Use the card only if designated in accordance with 1.603-3 and only within the scope of their authority and agency procedures. They must follow all internal controls, card-use limits, and applicable legal and contractual restrictions.
Contractors
Accept payment by the card only when they agree to do so. For orders or payments under other contractual instruments, the contractor’s agreement is required where the FAR calls for it.
Practical Implications
The purchase card is a flexible tool, but it is not a stand-alone authority; users still need a valid legal or contractual basis for the purchase.
Agency policy matters a lot: overly narrow internal rules can defeat the FAR’s intent to use the card efficiently for more than just micro-purchases.
Before using the card for task or delivery orders, confirm the basic contract, BPA, or BOA actually authorizes that method of ordering.
For payments under written contracts, check the applicable payment clause and 32.1108(b)(2) before relying on the card.
Common mistakes include using the card without proper designation, using it for an otherwise unauthorized purchase, or assuming contractor acceptance is automatic when it is not.
Official Regulatory Text
(a) Except as provided in 32.1108 (b)(2), the Governmentwide commercial purchase card is authorized for use in making and/or paying for purchases of supplies, services, or construction. The Governmentwide commercial purchase card may be used by contracting officers and other individuals designated in accordance with 1.603-3 . The card may be used only for purchases that are otherwise authorized by law or regulation. (b) Agencies using the Governmentwide commercial purchase card shall establish procedures for use and control of the card that comply with the Treasury Financial Manual for Guidance of Departments and Agencies (TFM 4-4500) and that are consistent with the terms and conditions of the current GSA credit card contract. Agency procedures should not limit the use of the Governmentwide commercial purchase card to micro-purchases. Agency procedures should encourage use of the card in greater dollar amounts by contracting officers to place orders and to pay for purchases against contracts established under part 8 procedures, when authorized; and to place orders and/or make payment under other contractual instruments, when agreed to by the contractor. See 32.1110 (d) for instructions for use of the appropriate clause when payment under a written contract will be made through use of the card. (c) The Governmentwide commercial purchase card may be used to- (1) Make micro-purchases; (2) Place a task or delivery order (if authorized in the basic contract, basic ordering agreement, or blanket purchase agreement); or (3) Make payments, when the contractor agrees to accept payment by the card (but see 32.1108 (b)(2)).