FAR 9.402—Policy.
Plain-English Summary
FAR 9.402 states the core policy for debarment and suspension in federal procurement. It covers five main topics: the requirement to deal only with responsible contractors, the role of debarment and suspension as discretionary tools, the rule that these remedies are for government protection rather than punishment, the need for agency coordination when multiple agencies have an interest in the same contractor, and the requirement for agencies to establish procedures to carry out the subpart. In practice, this section sets the tone for all exclusion actions under FAR Subpart 9.4: agencies may exclude contractors from federal contracting, but only for authorized causes, using the required procedures, and only when doing so serves the public interest. It also makes clear that debarment and suspension are serious administrative actions with significant business consequences, so they must be handled carefully, consistently, and with interagency coordination where needed. For contractors, this section signals that exclusion is not supposed to be arbitrary or punitive, but it can still have immediate and broad effects on eligibility for awards and subcontracts. For contracting officers and suspension/debarment officials, it establishes the policy framework that governs when and how these remedies may be used.
Key Rules
Only responsible contractors
Agencies must solicit offers from, award contracts to, and consent to subcontracts with responsible contractors only. This ties debarment and suspension directly to the broader responsibility determination process and reinforces that excluded or otherwise nonresponsible firms should not receive federal business.
Discretionary exclusion tools
Debarment and suspension are discretionary actions, not automatic penalties. Agencies may use them when appropriate under Subpart 9.4, but only in a manner consistent with the policy and procedures in that subpart.
Protective, not punitive
Debarment and suspension may be imposed only in the public interest for the Government’s protection, not as punishment. The focus must be on preventing risk to the Government, not on retribution for past conduct.
Only for authorized causes
Agencies may debar or suspend only for the causes stated in Subpart 9.4 and only by following the required procedures. This limits agency discretion and requires a factual and procedural basis for any exclusion action.
Coordinate multi-agency actions
When more than one agency has an interest in excluding a contractor, the Interagency Suspension and Debarment Committee must resolve the lead-agency issue and coordinate the resolution before any agency begins suspension, debarment, or related administrative action. This prevents conflicting or duplicative actions and promotes governmentwide consistency.
Agency procedures required
Each agency must establish appropriate procedures to implement the policies and procedures of the subpart. Agencies therefore need internal processes, delegations, and coordination mechanisms to ensure exclusion actions are handled lawfully and consistently.
Responsibilities
Agencies
Solicit offers from, award contracts to, and consent to subcontracts only with responsible contractors; use debarment and suspension only as authorized protective measures; coordinate actions with other interested agencies; and establish internal procedures to implement FAR Subpart 9.4.
Contracting Officers
Apply the responsibility requirement in procurement decisions and ensure that awards and subcontract consents are not made contrary to debarment or suspension policy. They must also follow agency procedures and coordinate with suspension/debarment officials when exclusion issues arise.
Suspension and Debarment Officials
Use debarment and suspension only for authorized causes and in accordance with the required procedures, with the purpose of protecting the Government’s interest. They must also participate in interagency coordination when multiple agencies have an interest in the contractor.
Interagency Suspension and Debarment Committee
Resolve which agency will serve as the lead agency and coordinate that resolution among all interested agencies before any suspension, debarment, or related administrative action is initiated.
Contractors
Maintain responsibility and avoid conduct that could trigger exclusion actions. Contractors should understand that debarment or suspension can affect eligibility for awards and subcontracting across agencies, even though the action is intended as a protective measure rather than punishment.
Practical Implications
This section is the policy foundation for exclusion actions, so it affects both award eligibility and subcontracting decisions. A contractor facing possible debarment or suspension may be blocked from new business quickly, even before a final debarment decision in the case of suspension.
Agencies cannot use debarment or suspension as a shortcut for discipline or retaliation. If the action is not tied to the Government’s protective interest and the causes/procedures in Subpart 9.4, it is vulnerable to challenge.
Multi-agency coordination matters because the same contractor may be of interest to several agencies at once. Failing to resolve the lead-agency issue before action can create inconsistent decisions, duplication, or procedural defects.
Internal agency procedures are essential. Without clear delegations, review steps, and coordination channels, agencies risk inconsistent application of exclusion policy and delays in protecting the Government’s interests.
For contractors, the practical takeaway is that responsibility is not just a pre-award concept; it is also central to exclusion policy. Good compliance, transparency, and prompt response to agency concerns can be critical to avoiding or limiting debarment or suspension exposure.
Official Regulatory Text
(a) Agencies shall solicit offers from, award contracts to, and consent to subcontracts with responsible contractors only. Debarment and suspension are discretionary actions that, taken in accordance with this subpart, are appropriate means to effectuate this policy. (b) The serious nature of debarment and suspension requires that these remedies be imposed only in the public interest for the Government’s protection and not for purposes of punishment. Agencies shall impose debarment or suspension to protect the Government’s interest and only for the causes and in accordance with the procedures in this subpart. (c) Agencies are encouraged to establish methods and procedures for coordinating their debarment or suspension actions. (d) When more than one agency has an interest in the debarment or suspension of a contractor, the Interagency Suspension and Debarment Committee, established under Executive Order 12549, and authorized by section 873 of the National Defense Authorization Act for Fiscal Year 2009 (Pub. L. 110-417) ( 31 U.S.C.6101 , note), shall resolve the lead agency issue and coordinate such resolution among all interested agencies prior to the initiation of any suspension, debarment, or related administrative action by any agency. (e) Agencies shall establish appropriate procedures to implement the policies and procedures of this subpart.