Cancelled by PN 97-62

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Procurement Information Circular

December 20, 2000                                       


PURPOSE: To extend the class deviations at 1832.402(e)(1)(B)(a) and 1832.702-70(e) for NASA SBIR contracts.

BACKGROUND: NFS 1832.402(e)(1)(B)(a) provides a class deviation authorizing the use of advance payments for Phase I contracts awarded under the Small Business Innovation Research (SBIR) program. NFS 1832.702-70(a), (b), and (c) set forth the conditions when incremental funding is permitted. NFS 1832.702-70 (e) provides a class deviation from those conditions, permitting the use of incremental funding of contracts under Phase II of the SBIR program. These two class deviations expired September 30, 2000, the date set forth in the Congressional authorization for the SBIR program. However, the SBIR program was extended through September 30, 2008, by Public Law 106-554.

GUIDANCE: The class deviations provided at 1832.402(e)(1)(B)(a) and 1832.702-70(e) are extended for the life of the SBIR program. The NASA FAR Supplement will be revised to reflect the extension of these class deviations. The use of advance payments is permitted for SBIR Phase I contracts, and incremental funding is permitted for SBIR Phase II contracts.

EFFECTIVE DATE: This PIC is effective immediately and shall remain in effect until cancelled or superceded.

HEADQUARTERS CONTACT: Joe Le Cren, HK, 202-358-0444, e-mail:


Tom Luedtke
Associate Administrator for Procurement