Procurement Information Circular

April 24, 2002



PURPOSE:  To provide guidance on the use of Government Bills of Lading (GBLs) when the f.o.b. point is origin.


Background:  Currently the NASA FAR Supplement at 1847.305-70 states that for f.o.b. origin shipments the contracting officer may insert a clause substantially as stated at 1852.247-73, Shipments by Government Bills of Lading.  1852.247-73 requires contractors prepay all transportation charges less than $1,000 per shipment; and that shipments exceeding $1,000 per shipment be made by GBLs.  Effective March 31, 2002, the General Services Administration (GSA) retired the use of Optional Form 1103, U.S. Government Bill of Lading (GBL) and Optional Form 1203, U.S. Government Bill of Lading—Privately Owned Personal Property (PPGBL) for domestic shipments.  The result is that GBL’s can only be used for international (export) and domestic overseas shipments of items deliverable under a contract regardless of dollar amount per shipment when the f.o.b point is origin.  Domestic overseas means non-continental United States, i.e. Hawaii, Commonwealth of Puerto Rico, and possessions of the United States.  All other f.o.b origin shipments shall be made via Commercial Bills of Lading (CBLs) regardless of the dollar amount per shipment. 



(a)  Solicitations:

   (1)  All solicitations issued after March 31, 2002, shall not use NFS clause 1852.247-73, Shipment by Government Bills of Lading.  

   (2)  Amend existing solicitations containing this clause to delete it and provide an appropriately revised clause to potential offers.  When proposals have already been received, advise offerors of the change in policy, provide a revised clause, and provide offerors the opportunity to adjust proposals accordingly. 

(b)  Contracts and Orders :

   (1)  All existing contracts and orders containing the clause 1852.247-73 must be amended to delete the clause and incorporate a revised clause as soon as reasonably practicable.

   (2)  This change should be accomplished through a bilateral agreement and may be the basis for an equitable adjustment.

(c)  Coordinate with the Center Transportation Officer to ensure that Center unique transportation guidance is included in any resultant revised solicitation or contract clause.

(d)  The following sample clause may be used to develop an appropriate solicitation or contract clause.



The purpose of this clause is to define when a commercial bill of lading or a government bill of lading is to be used when shipments of deliverable items under this contract are f.o.b. origin.

   (a) Commercial Bill of Lading.  All domestic shipments shall be made via commercial bills of lading (CBLs).  The Contractor shall prepay domestic transportation charges.  The Government shall reimburse the contractor for these charges if they are added to the invoice as a separate line item supported by the paid freight receipts.  If paid receipts in support of the invoice are not obtainable, a statement as described below must be completed, signed by an authorized company representative, and attached to the invoice.

"I certify that the shipments identified below have been made, transportation charges have been paid by (company name), and paid freight or comparable receipts are not obtainable.

            Contract or Order Number:                     

            Destination:                ".

   (b)  Government bill of lading.  (1) International (export) and domestic overseas shipments of items deliverable under this contract shall be made by Government bills of lading (GBLs).  As used in this clause, “domestic overseas” means non-continental United States, i.e. Hawaii, Commonwealth of Puerto Rico, and possessions of the United States.

      (2)  At least 15 days before shipment, the Contractor shall request in writing GBLs from:                 [Insert name, title, and mailing address of designated transportation officer or other official delegated responsibility for GBLs].  If time is limited, requests may be by telephone:               [Insert appropriate telephone number].  Requests for GBLs shall include the following information.

       (i)  Item identification/ description.

       (ii) Origin and destination.

       (iii) Individual and total weights.

       (iv) Dimensional Weight.

       (v) Dimensions and total cubic footage.

       (vi) Total number of pieces.

      (vii) Total dollar value.

      (viii) Other pertinent data.

(End of clause)


EFFECTIVE DATE:  This PIC is effective as dated, and shall remain in effect until canceled or superseded.


HEADQUARTERS CONTACT:  Lou Becker, Code HK, (202) 358-4593, email:



R. Scott Thompson

Director, Contract Management Division