FAR 52.208-7—Tagging of Leased Vehicles.
Plain-English Summary
FAR 52.208-7, Tagging of Leased Vehicles, addresses how leased vehicles under a federal contract are to be registered and identified for use by the Government. It covers the Government’s preference that leased vehicles operate with Federal tags, the Government’s reserved right to use State tags when needed to accomplish the mission, the contractor’s duty to provide the documentation needed to obtain State tags if they are required, and the Government’s responsibility for Federal tags. In practice, this clause is about ensuring leased vehicles can be lawfully and efficiently operated in the field without delaying mission performance because of vehicle registration issues. It also allocates administrative responsibility between the contractor and the Government so there is no confusion over who must secure paperwork, who pays for tags, and who controls the decision to use Federal versus State tags. For contracting officers and contractors, the clause matters because vehicle tagging can affect deployment timing, local compliance, and the ability to place leased vehicles into service quickly.
Key Rules
Federal tags are preferred
The clause states that leased vehicles are intended to operate on Federal tags. This establishes the default expectation for vehicle identification under the contract.
State tags may be used if needed
The Government reserves the right to use State tags when necessary to accomplish its mission. This means the Government can depart from the Federal-tag preference if operational needs require it.
Contractor provides required documentation
If State tags are needed, the contractor must furnish the Government with the documentation necessary to obtain those tags. The contractor’s role is administrative support, not the actual acquisition of the tags.
Government pays for Federal tags
The clause expressly states that Federal tags are the responsibility of the Government. This allocates the cost and administrative burden for Federal tags to the Government rather than the contractor.
Mission need controls tagging choice
The decision to use State tags is tied to mission necessity, not contractor preference. The Government retains discretion to determine what tagging arrangement is required to support performance.
Responsibilities
Government
Decide whether leased vehicles will operate on Federal tags or, if necessary to accomplish the mission, on State tags. Obtain Federal tags and bear responsibility for them, including the associated administrative and cost burden.
Contractor
Provide the Government with any documentation needed to acquire State tags when State tags are required. Support the Government’s tagging process by supplying accurate, timely paperwork and vehicle information.
Contracting Officer
Ensure the clause is included when prescribed, and coordinate with the requiring activity and contractor so tagging requirements are understood before vehicle performance begins. Clarify who will handle documentation, timing, and any local registration issues.
Practical Implications
This clause is mainly an administrative and logistics provision, but it can affect whether leased vehicles are ready for immediate use. Delays in providing title, registration, insurance, or ownership documents can slow mission start-up if State tags become necessary.
Contractors should not assume they are responsible for obtaining tags unless the contract specifically says so. Their obligation here is limited to furnishing the documentation the Government needs to secure State tags.
The Government should plan early for tagging requirements, especially when vehicles will operate in jurisdictions where Federal tags may not be practical or accepted. Late decisions can create avoidable delays in fielding vehicles.
A common pitfall is confusion over who pays and who files paperwork. This clause makes Federal tags a Government responsibility and makes the contractor a document provider only when State tags are needed.
Because the clause turns on mission necessity, contracting personnel should coordinate with the user activity before award or performance start to avoid disputes over whether State tags are justified and what documents will be required.
Official Regulatory Text
As prescribed in 8.1104 (d) , insert a clause substantially as follows: Tagging of Leased Vehicles (May 1986) While it is the intent that vehicles leased under this contract will operate on Federal tags, the Government reserves the right to utilize State tags if necessary to accomplish its mission. Should State tags be required, the Contractor shall furnish the Government documentation necessary to allow acquisition of such tags. Federal tags are the responsibility of the Government. (End of clause)