FAR 4.1702—Applicability.
Plain-English Summary
FAR 4.1702 explains who must follow the service-contract reporting rules in this subpart and what kinds of contracts are covered. It applies to FAIR Act agencies, except the Department of Defense where separate rules in 4.1705 control, and it reaches solicitations, contracts, and orders for services, including construction, when they meet or exceed the threshold in 4.1703. It also makes clear that the requirements extend not only to prime contractors but also to first-tier subcontractors. In addition, the section points readers to the statutory and OFPP guidance that governs how agencies compile and submit service contract inventories under section 743(a)(3) of Division C of Public Law 111-117. In practice, this section is the gateway to the broader service-contract information collection and reporting framework: it tells agencies and contractors whether the subpart applies before they get into the mechanics of data collection, inventory reporting, and contractor submissions.
Key Rules
Applies to FAIR Act agencies
This subpart applies to all FAIR Act agencies, except the Department of Defense where 4.1705 provides special treatment. Agencies covered by the FAIR Act must follow these service-contract information requirements when the rest of the applicability conditions are met.
Covers qualifying service acquisitions
The subpart applies to solicitations, contracts, and orders for services, including construction, that meet or exceed the threshold in 4.1703. If the acquisition is below the threshold, this subpart does not apply.
Reaches first-tier subcontractors
The applicability extends beyond the prime contractor to first-tier subcontractors. This means the reporting and information-collection framework can require data from subcontractors at the first tier, not just from the prime.
Inventory procedures follow statute and OFPP guidance
Agency procedures for compiling and submitting service contract inventories are governed by section 743(a)(3) of Division C of Public Law 111-117 and OFPP guidance. Agencies must use those authorities, rather than treating the FAR text as the only source of procedure.
Focuses on contractor information and reporting
This subpart is specifically about obtaining information from agency service contractors and requiring reporting by them. It is not a general procurement rule; its purpose is to support service-contract data collection and oversight.
Responsibilities
Agency
Determine whether it is a FAIR Act agency covered by this subpart, apply the rules to qualifying service acquisitions, and follow section 743(a)(3) and OFPP guidance when compiling and submitting service contract inventories.
Contracting Officer
Identify when a solicitation, contract, or order for services meets the applicability threshold, ensure the subpart’s reporting requirements are flowed into the acquisition as needed, and coordinate collection of required contractor information.
Contractor
Provide required information and reports for covered service contracts when the subpart applies, and comply with any data-collection or reporting obligations tied to the contract.
First-tier Subcontractor
Provide information required for covered first-tier subcontract relationships when the prime or agency seeks data under this subpart, recognizing that applicability extends to the first tier.
DoD
Follow the separate applicability rule in 4.1705 rather than the general rule in this section.
Practical Implications
This section is the threshold question for the entire service-contract reporting regime: if it does not apply, the agency should not impose these specific reporting requirements.
Contracting officers need to check both the agency type and the dollar threshold before adding service-contract reporting language to a solicitation or award.
Because first-tier subcontractors are included, primes may need to gather subcontractor data early and build reporting expectations into subcontract terms.
Agencies should not rely on FAR 4.1702 alone for inventory procedures; they must also follow the statutory requirement and OFPP guidance referenced here.
A common pitfall is overlooking construction services, which are expressly included when they meet the threshold.
Official Regulatory Text
(a) This subpart applies to– (1) All FAIR Act agencies, except DoD as specified in 4.1705 ; (2) Solicitations, contracts, and orders for services (including construction) that meet or exceed the thresholds at 4.1703 ; and (3) Contractors and first-tier subcontractors. (b) Procedures for compiling and submitting agency service contract inventories are governed by section 743(a)(3) of Division C of Pub. L. 111-117 and Office of Federal Procurement Policy (OFPP) guidance. The guidance is available at the following Web site: https://www.whitehouse.gov/wp-content/uploads/legacy_drupal_files/omb/memoranda/2017/service_contract_inventories.pdf . (c) This subpart addresses requirements for obtaining information from, and reporting by, agency service contractors.