[USC02] 10 USC 3801: Authority of agency
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TEXT OF PART V OF SUBTITLE A (3001 ET SEQ.), EFFECTIVE JANUARY 1, 2022, CURRENTLY SET OUT AS A PREVIEW

10 USC 3801: Authority of agency Text contains those laws in effect on June 17, 2021
From Title 10-ARMED FORCESSubtitle A-General Military LawPART V-ACQUISITIONSubpart D-General Contracting RequirementsCHAPTER 277-CONTRACT FINANCING

§3801. Authority of agency

(a) Payment Authority.-The head of any agency may-

(1) make advance, partial, progress, or other payments under contracts for property or services made by the agency; and

(2) insert in solicitations for procurement of property or services a provision limiting to small business concerns advance or progress payments.


(b) Payment Dates for Contractors That Are Small Business Concerns.-

(1) Prime contractors.-For a prime contractor (as defined in section 8701 of title 41) that is a small business concern (as defined in section 3 of the Small Business Act (15 U.S.C. 632)), the Secretary of Defense shall, to the fullest extent permitted by law, establish an accelerated payment date with a goal of 15 days after receipt of a proper invoice for the amount due.

(2) Subcontractors.-For a prime contractor that subcontracts with a small business concern, the Secretary of Defense shall, to the fullest extent permitted by law, establish an accelerated payment date with a goal of 15 days after receipt of a proper invoice for the amount due if the prime contractor agrees or proposes to make payments to the subcontractor in accordance with the accelerated payment date, to the maximum extent practicable, without any further consideration from or fees charged to the subcontractor.1

(Added and amended Pub. L. 116–283, div. A, title XVIII, §1834(a), (b), Jan. 1, 2021, 134 Stat. 4234 .)

Effective Date

Section and 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 an Effective Date of 2021 Amendment note preceding section 3001 of this title.

1 Amendment by section 1834(b)(3)(C)(ii) of Pub. L. 116–283 could not be executed because of amendment made to section 2307(a) of this title by section 815(2) of Pub. L. 116–283 prior to its transfer to this section.