AAPD 20-04: Accelerated Payments to Small Business Contractors and Subcontractors

AAPDs provide information of significance to all agency personnel and partners involved in the Acquisition and Assistance process. Information includes (but is not limited to): advance notification of changes in acquisition or assistance regulations; reminders; procedures; and general information. Also, AAPDs may be used to implement new requirements on short-notice, pending formal amendment of acquisition or assistance regulations. 

AAPDs are EFFECTIVE AS OF THE ISSUED DATE unless otherwise noted in the guidance below; the directives remain in effect until this office issues a notice of cancellation. 

Subject Category: Acquistion Management

Purpose: The purpose of this AAPD is to inform Acquisition and Assistance professionals of the issuance of a class deviation from the Federal Acquisition Regulation (FAR) aimed at providing accelerated payments to small business contractors and subcontractors. The deviation is effective through June 18, 2022 unless rescinded earlier when the FAR is amended by FAR case 2020-0007.

FAR Section 32.009 and clause 52.232-40, Providing Accelerated Payments to Small Business Subcontractors, have been revised to allow for accelerated payments to small businesses and to prime contractors that subcontract with small businesses.

AAPDs are EFFECTIVE AS OF THE ISSUED DATE unless otherwise noted in the guidance below; the directives remain in effect until this office issues a notice of cancellation.

 Date Issued: June 18, 2020