§ 345.405 - Contracts with foreign governments or international organizations.


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  • Upon the request of a foreign government or international organization, or a contractor certifying that it is acting on behalf of a foreign government or international organization, the contracting officer, with advice from the agency property official cognizant of Government property located in the United States, its possessions, or Puerto Rico, may give written approval for its use without charge on contracts or subcontracts thereunder if:

    (a) The foreign government or international organization would be authorized to place the contract with the activity concerned under the Foreign Assistance Act of 1961, as amended, or such use is authorized by an agreement with the foreign government;

    (b) The foreign government's placement of the contract directly with the contractor is consistent with the best interests of the United States;

    (c) It appears that the foreign government will place the contract with the contractor whether or not use is authorized, and no competitive pricing advantage will accrue to the contractor by virtue of its use;

    (d) The contractor agrees that no charge for the use of the property will be included in the price charged the foreign government under the contract; and

    (e) The use will not interfere with foreseeable requirements of the United States.