[Code of Federal Regulations]
[Title 48, Volume 3]
[Revised as of October 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 48CFR209.406-3]

[Page 71-73]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                    CHAPTER 2--DEPARTMENT OF DEFENSE
 
PART 209--CONTRACTOR QUALIFICATIONS--Table of Contents
 
         Subpart 209.4--Debarment, Suspension, and Ineligibility
 
Sec. 209.406-3  Procedures.

    (a) Investigation and referral.
    (i) Refer all matters appropriate for consideration by an agency 
debarring and suspending official as soon as practicable to the 
appropriate debarring and suspending official identified in 209.403. Any 
person may refer a matter to the debarring and suspending official.
    (ii) Use the following format when referring a matter to the agency 
debarring and suspending official for consideration. To the extent 
practicable, provide all specified information.

[[Page 72]]

    (A) Name, address, and telephone number of the point of contact for 
the activity making the report.
    (B) Name, contractor and Government entity (CAGE) code, and address 
of the contractor.
    (C) Name and addresses of the members of the board, principal 
officers, partners, owners, and managers.
    (D) Name and addresses of all known affiliates, subsidiaries, or 
parent firms, and the nature of the business relationship.
    (E) For each contract affected by the conduct being reported--
    (1) The contract number;
    (2) All office identifying numbers or symbols;
    (3) Description of supplies or services;
    (4) The amount;
    (5) The percentage of completion;
    (6) The amount paid the contractor;
    (7) Whether the contract is assigned under the Assignment of Claims 
Act and, if so, to whom; and
    (8) The amount due the contractor.
    (F) For any other contracts outstanding with the contractor or any 
of its affiliates--
    (1) The contract number;
    (2) The amount;
    (3) The amounts paid the contractor;
    (4) Whether the contract is assigned under the Assignment of Claims 
Act and, if so, to whom; and
    (5) The amount due the contractor.
    (G) A complete summary of all pertinent evidence and the status of 
any legal proceedings involving the contractor.
    (H) An estimate of any damages sustained by the Government as a 
result of the contractor's action (explain how the estimate was 
calculated).
    (I) If a contracting office initiates the report, the comments and 
recommendations of the contracting officer and of each higher-level 
contracting review authority regarding--
    (1) Whether to suspend or debar the contractor;
    (2) Whether to apply limitations to the suspension or debarment;
    (3) The period of any recommended debarment; and
    (4) Whether to continue any current contracts with the contractor 
(or explain why a recommendation regarding current contracts is not 
included).
    (J) When appropriate, as an enclosure to the report--
    (1) A copy or pertinent extracts of each pertinent contract;
    (2) Witness statements or affidavits;
    (3) Copies of investigative reports when authorized by the 
investigative agency;
    (4) Certified copies of indictments, judgments, and sentencing 
actions;
    (5) A copy of any available determinations of nonresponsibility in 
accordance with FAR 9.105-2(a)(1); and
    (6) Any other appropriate exhibits or documentation.
    (iii) Send three copies of each report, including enclosures, to the 
appropriate debarring and suspending official.
    (iv) If a referral lacks sufficient evidence of a cause for 
debarment, the debarring and suspending official may initiate a review 
or investigation, as appropriate, by reporting the referral to the 
appropriate Government entity, e.g., contracting activity, inspector 
general, or criminal investigative agency.
    (b) Decisionmaking process.
    (i) The agency debarring and suspending official may initiate the 
debarment process by issuing a notice of proposed debarment in 
accordance with FAR 9.406-3(c) when the debarring and suspending 
official finds that the administrative record contains sufficient 
evidence of one or more of the causes for debarment stated in FAR 9.406-
2 or 209.406-2.
    (A) The absence of a referral in accordance with paragraph (a)(i) of 
this subsection, or the absence of any information specified in the 
report format in paragraph (a)(ii) of this subsection, will not preclude 
the debarring and suspending official from making such a finding.
    (B) The signature of the debarring and suspending official on the 
notice of proposed debarment is sufficient evidence that the debarring 
and suspending official has made such a finding.
    (ii) The agency debarring and suspending official must use the 
decisionmaking process stated in FAR 9.406-3(b), DFARS Appendix H, and 
any agency-specific procedures that were

[[Page 73]]

provided to the contractor in advance of the decision.
    (d) Debarring official's decision. The absence of a referral in 
accordance with paragraph (a)(i) of this subsection, or the absence of 
any information specified in the report format in paragraph (a)(ii) of 
this subsection, will not preclude the debarring and suspending official 
from making a decision.

[64 FR 62985, Nov. 18, 1999; 65 FR 4864, Feb. 1, 2000]