FAR 51.107—Contract clause.
Plain-English Summary
FAR 51.107 is a very short but important implementation rule for the Government property and supply sources framework. It tells contracting officers when they must include the contract clause at 52.251-1, Government Supply Sources, in solicitations and contracts: specifically, whenever the contractor is authorized to obtain supplies or services from a Government supply source. In practice, this section ensures the contract clearly permits and governs contractor use of Government-run sources of supply, such as Federal supply schedules or other authorized Government supply channels, rather than leaving that authority implied. Its purpose is to make the contractor’s access to Government supply sources explicit, so both parties understand the scope of the authorization and the applicable clause terms. For contracting officers, it is a mandatory clause-insertion rule tied to a specific contracting decision. For contractors, it signals that they may use Government supply sources only to the extent the contract authorizes and the clause governs that use.
Key Rules
Insert the required clause
When the contracting officer authorizes the contractor to acquire supplies or services from a Government supply source, the contracting officer must insert FAR 52.251-1, Government Supply Sources, in the solicitation and contract. This is not discretionary once that authorization is given.
Authorization triggers the clause
The clause requirement is triggered by the contracting officer’s decision to allow use of a Government supply source. If the contract does not authorize such purchases, this section does not require the clause.
Applies to solicitations and contracts
The clause must appear in both the solicitation and the resulting contract when applicable. This ensures offerors know in advance that Government supply source purchasing is permitted and governed by the clause terms.
Limits contractor purchasing authority
The section does not itself grant broad purchasing rights; it ties contractor access to Government supply sources to express contract authorization. Contractors may use those sources only within the scope allowed by the contract and clause.
Responsibilities
Contracting Officer
Determine whether the contractor is authorized to acquire supplies or services from a Government supply source, and if so, include FAR 52.251-1 in the solicitation and contract.
Contractor
Use Government supply sources only when the contract authorizes it and comply with the terms of the Government Supply Sources clause.
Agency
Ensure acquisition planning and contract administration support proper use of Government supply sources and consistent inclusion of the required clause when authorization is provided.
Practical Implications
This section is a clause-insertion trigger, so the main day-to-day task is making sure the contract file reflects whether Government supply source access is authorized.
A common pitfall is authorizing use of Government supply sources in practice but forgetting to include the clause in the solicitation or contract, which can create ambiguity and administration problems.
Another risk is assuming the clause is needed in every contract; it is only required when the contractor is actually permitted to buy from a Government supply source.
Contractors should not treat Government supply sources as a general procurement option unless the contract expressly allows it, because unauthorized use can create compliance and billing issues.
Contracting officers should coordinate the authorization decision with the broader acquisition strategy, since use of Government supply sources can affect pricing, ordering procedures, and contract administration.
Official Regulatory Text
The contracting officer shall insert the clause at 52.251-1 , Government Supply Sources, in solicitations and contracts when the contracting officer authorizes the contractor to acquire supplies or services from a Government supply source.