FAR 18.118—Overtime approvals.
Plain-English Summary
FAR 18.118 is a very short emergency-procurement rule about overtime approvals. It addresses one narrow topic: when an approval for overtime work may be granted after the fact, rather than before the overtime is performed. The section ties that authority to emergency circumstances and points the reader to FAR 22.103-4(i), which contains the related labor-policy requirements. In practice, this means contracting personnel may sometimes validate overtime retroactively when urgent conditions made advance approval impracticable, but they still need a defensible justification and must follow the applicable labor standards rules. The section matters because overtime can affect cost, schedule, labor compliance, and contract administration, especially during urgent response situations where normal approval procedures cannot be completed in time.
Key Rules
Retroactive approval allowed
Overtime approvals may be issued after the overtime has already been worked, but only when the situation is justified by emergency circumstances. This is an exception to the normal expectation that overtime should be approved in advance.
Emergency justification required
The retroactive approval is not automatic; the emergency must be real and must explain why advance approval was not feasible. The justification should be specific enough to support the decision if later reviewed.
Refer to labor rules
This section expressly points to FAR 22.103-4(i), so overtime approval decisions must be consistent with the related labor standards requirements. Contracting personnel should not treat this section as a stand-alone authority.
Responsibilities
Contracting Officer
Determine whether emergency circumstances justify retroactive overtime approval and ensure the decision is documented and consistent with FAR 22.103-4(i).
Agency
Maintain procedures that allow urgent overtime decisions to be reviewed and approved when emergencies prevent normal advance approval processes.
Contractor
Request or seek approval for overtime in accordance with contract requirements and provide facts supporting any claim that emergency conditions required retroactive approval.
Practical Implications
This rule is mainly a safety valve for urgent situations, not a routine way to bypass advance approval requirements.
The biggest risk is approving overtime retroactively without a clear emergency record, which can create audit, cost, and labor-compliance problems.
Contracting officers should document why the emergency prevented prior approval and confirm the action aligns with the referenced labor standards provision.
Contractors should not assume overtime will be reimbursable just because it was necessary; they still need to show the approval basis and contract compliance.
Because the section is brief and cross-references another FAR provision, users should always read it together with FAR 22.103-4(i) before acting.
Official Regulatory Text
Overtime approvals may be retroactive if justified by emergency circumstances. (See 22.103-4 (i).)