Transfer of Government Property between Contracts

Transfer of Government Property Between Contracts: Everything You Need to Know

Government agencies and contractors alike often find themselves having to transfer property between contracts. Whether it`s due to a change in contract requirements, the need for a different contractor to take over, or simply an internal decision, these transfers can be complex and require careful management. In this article, we will cover all the important aspects of transfer of government property between contracts.

What is Government Property?

Government property refers to any equipment, materials, or other assets that are owned by the government and provided to contractors for use during a specific contract. This can include office furniture, computers, vehicles, and even specialized equipment specific to the contract`s requirements. This property is typically classified as either “government-furnished property” (GFP) or “contractor-acquired property” (CAP).

What are the Rules for Transferring Property Between Contracts?

Transferring government property between contracts involves a number of rules and regulations that must be followed. For example, the contractor must first obtain approval from the contracting officer before the transfer can take place. Additionally, the government property must be properly identified and accounted for, and any necessary documentation must be completed.

One of the primary regulations governing transfer of government property is the FAR (Federal Acquisition Regulation) Part 45, which covers property management. This regulation outlines the requirements for managing government property, including requirements for transfers between contracts. For example, FAR Part 45.104 outlines the procedures for transferring government property, which include obtaining approval from the contracting officer, identifying and accounting for the property, and ensuring that any necessary documentation is completed.

Why is Transfer of Government Property Important?

Proper management of government property is essential to ensuring that government contracts are executed efficiently and effectively. In particular, the transfer of government property between contracts is important because it allows for the continued use of government property without the need for new purchases. This can save time and money, and also ensures that necessary equipment and materials are available for use as needed.

What are Some Considerations for Transfer of Government Property?

When transferring government property between contracts, there are a number of considerations that must be taken into account. These include:

1. Proper identification of all government property that is to be transferred.

2. Proper labeling and marking of all government property to ensure that it is easily identifiable.

3. Proper accounting for all government property transferred, including recording the transfer in the appropriate documentation.

4. Proper storage and handling of all government property during and after the transfer.

5. Ensuring that the receiving contractor is aware of their responsibilities for government property, including proper maintenance and care.


The transfer of government property between contracts is a complex process that requires careful management and adherence to rules and regulations. Proper identification, labeling, accounting, storage, and handling of government property is essential to ensuring that government contracts are executed efficiently and effectively. With proper procedures in place, government agencies and contractors can ensure that government property is properly managed and used for the benefit of all involved.

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