10 U.S.C. § 4602 — Contracted property and services: prompt

Page 2807 TITLE 10—ARMED FORCES § 4602 shall be submitted to the Department of Defense in electronic form. (b) PROCESSING.—A contracting officer, con- tract administrator, certifying official, or other officer or employee of the Department of De- fense who receives a claim for payment in elec- tronic form in accordance with subsection (a) and is required to transmit the claim to any other officer or employee of the Department of Defense for processing under procedures of the department shall transmit the claim and any additional documentation necessary to support the determination and payment of the claim to such other officer or employee electronically. (c) WAIVER AUTHORITY.—If the Secretary of Defense determines that the requirement for using electronic means for submitting claims under subsection (a), or for transmitting claims and supporting documentation under subsection (b), is unduly burdensome in any category of cases, the Secretary may exempt the cases in that category from the application of the re- quirement. (d) IMPLEMENTATION OF REQUIREMENTS.—In im- plementing subsections (a) and (b), the Sec- retary of Defense shall provide for the following: (1) Policies, requirements, and procedures for using electronic means for the submission of claims for payment to the Department of Defense and for the transmission, between De- partment of Defense officials, of claims for payment received in electronic form, together with supporting documentation (such as re- ceiving reports, contracts and contract modi- fications, and required certifications). (2) The format in which information can be accepted by the corporate database of the De- fense Finance and Accounting Service. (3) The requirements to be included in con- tracts regarding the electronic submission of claims for payment by contractors. (e) CLAIM FOR PAYMENT DEFINED.—In this sec- tion, the term ‘‘claim for payment’’ means an invoice or any other demand or request for pay- ment. (Added Pub. L. 106–398, § 1 [[div. A], title X, § 1008(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–249, § 2227; renumbered § 4601, Pub. L. 116–283, div. A, title XVIII, § 1861(b), Jan. 1, 2021, 134 Stat. 4277.) Editorial Notes AMENDMENTS 2021—Pub. L. 116–283 renumbered section 2227 of this title as this section. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2021 AMENDMENT Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title. EFFECTIVE DATE Pub. L. 106–398, § 1 [[div. A], title X, § 1008(c)], Oct. 30, 2000, 114 Stat. 1654, 1654A–250, provided that: ‘‘(1) Subject to paragraph (2), the Secretary of De- fense shall apply section 2227 of title 10, United States Code [now 10 U.S.C. 4601] (as added by subsection (a)), with respect to contracts for which solicitations of of- fers are issued after June 30, 2001. ‘‘(2)(A) The Secretary may delay the implementation of section 2227 [now 4601] to a date after June 30, 2001, upon a finding that it is impracticable to implement that section until that later date. In no event, however, may the implementation be delayed to a date after Oc- tober 1, 2002. ‘‘(B) Upon determining to delay the implementation of such section 2227 [now 4601] to a later date under sub- paragraph (A), the Secretary shall promptly publish a notice of the delay in the Federal Register. The notice shall include a specification of the later date on which the implementation of that section is to begin. Not later than 30 days before the later implementation date, the Secretary shall publish in the Federal Reg- ister another notice that such section is being imple- mented beginning on that date.’’ [Notice by Department of Defense of delay in the im- plementation of this section from June 30, 2001, until Oct. 1, 2002, was published on Aug. 21, 2001, at 66 F.R. 43841.] § 4602. Contracted property and services: prompt payment of vouchers (a) REQUIREMENT.—Of the contract vouchers that are received by the Defense Finance and Accounting Service by means of the mechaniza- tion of contract administration services system, the number of such vouchers that remain unpaid for more than 30 days as of the last day of each month may not exceed 5 percent of the total number of the contract vouchers so received that remain unpaid on that day. (b) CONTRACT VOUCHER DEFINED.—In this sec- tion, the term ‘‘contract voucher’’ means a voucher or invoice for the payment to a con- tractor for services or deliverable items pro- vided by the contractor under a contract funded by the Department of Defense. (Added Pub. L. 106–398, § 1 [[div. A], title X, § 1006(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–247, § 2226; amended Pub. L. 111–350, § 5(b)(7), Jan. 4, 2011, 124 Stat. 3842; Pub. L. 115–232, div. A, title VIII, § 836(e)(1), Aug. 13, 2018, 132 Stat. 1869; re- numbered § 4602, Pub. L. 116–283, div. A, title XVIII, § 1861(b), Jan. 1, 2021, 134 Stat. 4277.) Editorial Notes AMENDMENTS 2021—Pub. L. 116–283 renumbered section 2226 of this title as this section. 2018—Subsec. (b). Pub. L. 115–232 substituted ‘‘for services or deliverable items’’ for ‘‘for services, com- mercial items (as defined in section 103 of title 41), or other deliverable items’’. 2011—Subsec. (b). Pub. L. 111–350 substituted ‘‘section 103 of title 41’’ for ‘‘section 4(12) of the Office of Federal Procurement Policy Act (41 U.S.C. 403(12))’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2021 AMENDMENT Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title. EFFECTIVE DATE OF 2018 AMENDMENT Amendment by Pub. L. 115–232 effective Jan. 1, 2020, subject to a savings provision, see section 836(h) of Pub. L. 115–232, set out as an Effective Date of 2018 Amend- ment; Savings Provision note under section 453b of Title 6, Domestic Security. Page 2808 TITLE 10—ARMED FORCES § 4603 EFFECTIVE DATE Pub. L. 106–398, § 1 [[div. A], title X, § 1006(b)], Oct. 30, 2000, 114 Stat. 1654, 1654A–248, provided that: ‘‘Section 2226 of title 10, United States Code [now 10 U.S.C. 4602] (as added by subsection (a)), shall take effect on De- cember 1, 2000.’’ § 4603. Advance notification of contract perform- ance outside the United States (a) NOTIFICATION.—(1) A firm that is per- forming a Department of Defense contract for an amount exceeding $10,000,000, or is submitting a bid or proposal for such a contract, shall no- tify the Department of Defense in advance of any intention of the firm or any first-tier sub- contractor of the firm to perform outside the United States and Canada any part of the con- tract that exceeds $500,000 in value and could be performed inside the United States or Canada. (2) If a firm submitting a bid or proposal for a Department of Defense contract is required to submit a notification under this subsection, and the firm is aware, at the time it submits its bid or proposal, that the firm intends to perform outside the United States and Canada any part of the contract that exceeds $500,000 in value and could be performed inside the United States or Canada, the firm shall include the notification in its bid or proposal. (3) The notification by a firm under paragraph (1) with respect to a first-tier subcontractor shall be made, to the maximum extent prac- ticable, at least 30 days before award of the sub- contract. (b) RECIPIENT OF NOTIFICATION.—The firm shall transmit the notification— (1) in the case of a contract of a military de- partment, to such officer or employee of that military department as the Secretary of the military department may direct; and (2) in the case of any other Department of Defense contract, to such officer or employee of the Department of Defense as the Secretary of Defense may direct. (c) AVAILABILITY OF NOTIFICATIONS.—The Sec- retary of Defense shall ensure that the notifica- tions (or copies) are maintained in compiled form for a period of 5 years after the date of sub- mission and are available for use in the prepara- tion of the national defense technology and in- dustrial base assessment carried out under sec- tion 4816 of this title. (d) INAPPLICABILITY TO CERTAIN CONTRACTS.— This section shall not apply to contracts for any of the following: (1) Commercial products or commercial serv- ices (as defined in sections 103 and 103a, re- spectively, of title 41). (2) Military construction. (3) Ores. (4) Natural gas. (5) Utilities. (6) Petroleum products and crudes. (7) Timber. (8) Subsistence. (Added Pub. L. 102–484, div. A, title VIII, § 840(a)(1), Oct. 23, 1992, 106 Stat. 2466, § 2410g; amended Pub. L. 104–106, div. D, title XLIII, § 4321(b)(16), Feb. 10, 1996, 110 Stat. 673; Pub. L. 111–350, § 5(b)(30), Jan. 4, 2011, 124 Stat. 3845; Pub. L. 115–232, div. A, title VIII, § 836(e)(7), Aug. 13, 2018, 132 Stat. 1870; renumbered § 4603 and amend- ed Pub. L. 116–283, div. A, title XVIII, §§ 1861(b), 1883(b)(2), Jan. 1, 2021, 134 Stat. 4277, 4294.) Editorial Notes PRIOR PROVISIONS Prior sections 4621 and 4622 were renumbered sections 7621 and 7622 of this title, respectively. A prior section 4623, act Aug. 10, 1956, ch. 1041, 70A Stat. 258, provided that the Quartermaster Corps sell not more than 16 ounces of tobacco a month to an en- listed member of the Army on active duty who requests it, prior to repeal by Pub. L. 91–482, § 1(a), Oct. 21, 1970, 84 Stat. 1082. Prior sections 4624 to 4629 were renumbered sections 7624 to 7629 of this title, respectively. AMENDMENTS 2021—Pub. L. 116–283, § 1861(b), renumbered section 2410g of this title as this section. Subsec. (c). Pub. L. 116–283, § 1883(b)(2), substituted ‘‘section 4816’’ for ‘‘section 2505’’. 2018—Subsec. (d)(1). Pub. L. 115–232 substituted ‘‘Com- mercial products or commercial services (as defined in sections 103 and 103a, respectively, of title 41)’’ for ‘‘Commercial items (as defined in section 103 of title 41)’’. 2011—Subsec. (d)(1). Pub. L. 111–350 substituted ‘‘sec- tion 103 of title 41)’’ for ‘‘section 4(12) of the Office of Federal Procurement Policy Act (41 U.S.C. 403(12)))’’. 1996—Subsec. (d)(1). Pub. L. 104–106 inserted ‘‘(as de- fined in section 4(12) of the Office of Federal Procure- ment Policy Act (41 U.S.C. 403(12)))’’ before period at end. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2021 AMENDMENT Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title. EFFECTIVE DATE OF 2018 AMENDMENT Amendment by Pub. L. 115–232 effective Jan. 1, 2020, subject to a savings provision, see section 836(h) of Pub. L. 115–232, set out as an Effective Date of 2018 Amend- ment; Savings Provision note under section 453b of Title 6, Domestic Security. EFFECTIVE DATE OF 1996 AMENDMENT For effective date and applicability of amendment by Pub. L. 104–106, see section 4401 of Pub. L. 104–106, set out as a note under section 2220 of this title. EFFECTIVE DATE Pub. L. 102–484, div. A, title VIII, § 840(b), Oct. 23, 1992, 106 Stat. 2467, provided that: ‘‘Section 2410g of title 10, United States Code [now 10 U.S.C. 4603] (as added by subsection (a)), shall take effect 90 days after the date of the enactment of this Act [Oct. 23, 1992].’’ CHAPTER 363—PROHIBITION AND PENALTIES Sec. 4651. Expenditure of appropriations: limitation. 4652. Prohibition on use of funds for documenting economic or employment impact of certain acquisition programs. 4653. Prohibition on use of funds to relieve eco- nomic dislocations. 4654. Prohibition on doing business with certain offerors or contractors.