Contracting officer

A contracting officer is a person with the authority to enter into, administer, or terminate contracts and to make related determinations and findings. That authority is limited to the powers delegated to the individual. The definition appears in FAR 2.101, the definitions section of the U.S. Federal Acquisition Regulation.

The term is formally defined in the U.S. system, where it names the official who can commit the government to a contract. The Government of Canada's Trade Commissioner Service uses it when it explains U.S. government procurement to Canadian contractors. This page describes the role as it works in U.S. federal contracting, which is where Canadian suppliers most often meet the term.

How the FAR defines a contracting officer

FAR 2.101 gives a short, functional definition. A contracting officer is a person who can do three things: enter into contracts, administer contracts, and terminate contracts. The same person can also make the determinations and findings that go with those actions.

The definition also says the term includes certain authorized representatives of the contracting officer. Those representatives count only when they act within the limits of the authority the contracting officer has delegated to them. The definition is about delegated power, not job title.

Signing authority and delegated limits

The FAR sets out the rule on who may commit the government in FAR subpart 1.6. Under FAR 1.602-1, contracts may be entered into and signed on behalf of the U.S. government only by contracting officers. Contracting officers may bind the government only to the extent of their delegated authority.

The same provision assigns contracting officers responsibility for three outcomes:

• ensuring effective contracting actions
• ensuring compliance with the terms of the contract
• protecting the contractual interests of the U.S. government

A contracting officer is therefore both the person who signs and the person accountable for how the contract is carried out.

Administrative contracting officers

The FAR also defines a related role. In FAR 2.101, an administrative contracting officer (ACO) is a contracting officer who administers contracts. The ACO label points to the administration function, such as managing a contract after award, rather than a separate kind of authority. An ACO is still a contracting officer and is subject to the same limit of delegated authority.

What contracting officers assess before awarding

The Trade Commissioner Service describes the decisions that contracting officers make in U.S. procurement. Before the government obligates itself, the contracting officer determines three things:

• whether an offer is responsive
• whether the contractor is responsible
• whether the proposed price or cost is fair and reasonable

These checks explain why the contracting officer is the central contact for a bidder. The Trade Commissioner Service guidance for contractors places these judgments with the contracting officer.

What the term means for Canadian suppliers

Canadian suppliers meet the term chiefly when they pursue U.S. federal contracts. In that setting, only a contracting officer can sign a contract for the U.S. government, so a commitment from anyone else does not bind it. A supplier should confirm that the person it is dealing with holds the authority needed for the action in question, because authority extends only as far as it has been delegated.

Bid teams should also prepare their offers for the three assessments above: a responsive offer, evidence of responsibility as a contractor, and pricing that can be shown to be fair and reasonable. When a Canadian solicitation or contract uses other titles for its authorities, read the document itself for who holds signing and administration powers, and do not assume the U.S. definition applies.