FAR 52.232-35—Designation of Office for Government Receipt of Electronic Funds Transfer Information.
Plain-English Summary
FAR 52.232-35 tells contractors where to send electronic funds transfer (EFT) information when the contract uses EFT payment procedures under FAR 52.232-34, Payment by Electronic Funds Transfer—Other than System for Award Management. It exists to make sure the Government receives banking and payment-routing information at a single, designated office rather than at the contract’s normal payment office, reducing the risk of misdirected sensitive financial data and payment delays. The clause also requires the contractor to send any changes to EFT information only to that designated office, and it states that the Government does not have to act on EFT information sent elsewhere. In practice, this clause is an administrative control: it protects the integrity of payment data, clarifies where contractors must submit updates, and helps agencies avoid processing errors caused by sending banking information to the wrong place. The clause also includes a fill-in block identifying the designated office’s name, mailing address, telephone number, contact person, and electronic address, which makes the instruction operational rather than merely procedural.
Key Rules
Designated EFT office controls
The Government must identify a specific office to receive EFT information, and that office replaces the contract’s payment office for this purpose. Contractors must use the designated office named in the clause, not the normal payment office.
Send all EFT data there
The contractor must send all EFT information and all changes to EFT information only to the designated office. This includes initial banking details and later updates, corrections, or replacements.
Do not use other offices
The contractor must not send EFT information to the payment office or any other office. If the contractor sends the information elsewhere, the Government is not required to use it.
Government may disregard misdirected data
The Government need not process EFT information sent to an office other than the one designated in the clause. This means a contractor can suffer payment delays or rejected updates if it uses the wrong channel.
Designated office must be identified
The clause requires the contracting activity to complete the designated office block with the office name, mailing address, telephone number, contact person, and electronic address. Without that information, the contractor may not know where to send EFT data.
Responsibilities
Contracting Officer / Agency
Identify and complete the designated office information in the clause, ensuring the contractor knows exactly where to send EFT information and updates. The agency should maintain a functioning point of contact so EFT submissions can be received and handled properly.
Contractor
Submit all EFT information and any changes only to the designated office listed in the contract. The contractor must avoid sending banking information to the payment office or any other office, because misdirected submissions may be ignored by the Government.
Payment Office
Do not expect to receive EFT information under this clause unless it is also the designated office. The payment office should route contractors to the designated office rather than process EFT data sent there by mistake.
Designated Office
Receive EFT information and changes, maintain the contact details provided in the clause, and ensure the information is handled in accordance with agency procedures for payment setup and updates.
Practical Implications
Contractors should verify the designated office before sending any banking information, especially at award and whenever account details change.
A common pitfall is sending EFT data to the contracting officer, payment office, or a generic contract administration mailbox; under this clause, those submissions may not be accepted.
Because the clause says the Government need not use EFT information sent to the wrong office, a misdirected submission can delay first payment or cause a payment interruption.
Agencies should keep the designated office contact information current; outdated contact details defeat the purpose of the clause and create avoidable payment problems.
This clause is especially important when the contract uses EFT but not SAM-based payment processing, because it creates the alternate submission path the contractor must follow.
Official Regulatory Text
As prescribed in 32.1110 (c) , insert the following clause: Designation of Office for Government Receipt of Electronic Funds Transfer Information (Jul 2013) (a) As provided in paragraph (b) of the clause at 52.232-34 , Payment by Electronic Funds Transfer-Other than System for Award Management, the Government has designated the office cited in paragraph (c) of this clause as the office to receive the Contractor’s electronic funds transfer (EFT) information, in lieu of the payment office of this contract. (b) The Contractor shall send all EFT information, and any changes to EFT information to the office designated in paragraph (c) of this clause. The Contractor shall not send EFT information to the payment office, or any other office than that designated in paragraph (c). The Government need not use any EFT information sent to any office other than that designated in paragraph (c). (c) Designated Office: Name: ____________________________________ ____________________________________ Mailing Address: ____________________________________ ____________________________________ ____________________________________ Telephone Number: ____________________________________ Person to Contact: ____________________________________ Electronic Address: ____________________________________ (End of clause)