DLM 4000.25, Volume 7

DEFENSE LOGISTICS MANAGEMENT STANDARDS

VOLUME 7

CONTRACT 

ADMINISTRATION 

APRIL 24, 2012

DEPUTY ASSISTANT SECRETARY OF DEFENSE

(SUPPLY CHAIN INTEGRATION)
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TOC-1 TABLE OF CONTENTS

TABLE OF CONTENTS

VOLUME 7: CONTRACT ADMINISTRATION

Page

FOREWORD .........................................................................................................F-1

TABLE OF CONTENTS...........................................................................................TOC-1

CHAPTER 1 INTRODUCTION

C1.1. GENERAL........................................................................................C1-1

C1.2. POLICY............................................................................................C1-1

C1.3. APPLICABILITY...............................................................................C1-1

C1.4. SUPPLY PROCESS REVIEW COMMITTEE..................................C1-1

C1.5. NONCOMPLIANCE .........................................................................C1-1

C1.6. PROCUREMENT INSTRUMENT IDENTIFICATION .......................C1-2

C1.7. OTHER TRANSACTION (OT) AGREEMENTS...............................C1-3

CHAPTER 2 SHIPMENT NOTIFICATION

C2.1. GENERAL........................................................................................C2-1

C2.2. PROCEDURES................................................................................C2-1

CHAPTER 3 DESTINATION ACCEPTANCE REPORTING

C3.1. GENERAL........................................................................................C3-1

C3.2. PROCEDURES................................................................................C3-1

CHAPTER 4 CONTRACT COMPLETION STATUS REPORTING

C4.1. GENERAL........................................................................................C4-1

C4.2. BASIS FOR CONTRACT CLOSING................................................C4-2

C4.3. STANDARD TIMES FOR CONTRACT CLOSING...........................C4-2

C4.4. CONTRACT PAYMENT...................................................................C4-2

C4.5. CONTRACT COMPLETION STATEMENT......................................C4-2

C4.6. UNCLOSED CONTRACT STATUS .................................................C4-3

C4.7. CONTRACT CLOSEOUT EXTENSION...........................................C4-4

C4.8. CANCELLATIONS ...........................................................................C4-4

C4.9. FAST PAY CONTRACTS ................................................................C4-4

C4.10. PREPARATION OF THE DLMS 567C TRANSACTION ..................C4-5

C4.11. AUTOMATED CONTRACT CLOSEOUT .........................................C4-6

C4.12. CANCELATION OF A UNILATERAL PURCHASE ORDER NOT 

ACCEPTED BY THE CONTRACTOR .............................................C4-8

APPENDICES

AP1 APPENDIX 1. CONTRACT CLOSEOUT STATUS REPORT

CODES .........................................................................................AP1-1
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C1-1 CHAPTER 1

C1. CHAPTER 1 

INTRODUCTION

C1.1. GENERAL

C1.1.1. Purpose. This volume provides DoD standard procedures and electronic 

data interchange (EDI) conventions for the interchange of post award contract data 

using American National Standards Institute (ANSI) Accredited Standards Committee 

(ASC) X12 transactions.

C1.1.2. Defense Logistics Management Standard (DLMS) Volume Access. Use of 

this volume requires simultaneous access to the DLMS Manual Volume 1 administrative 

items such as the list of acronyms and abbreviations, terms and definitions, and 

references; instructions for acquiring access to the DLMS standards data base; DLMS 

to Defense Logistics Standard System (DLSS) cross-references and DoD/ASC X12 

Conversion Guides; specific guidance that applies to all implementation conventions; 

and both functional and technical information that is relatively stable and applies to the 

DLMS as a whole.

C1.2. POLICY. The Federal Acquisition Regulation (FAR) and the Defense Federal 

Acquisition Regulation Supplement (DFARS) provide the DoD policies governing 

procedures in this volume.

C1.3. APPLICABILITY. This manual applies to the Office of the Secretary of Defense, 

the Military Departments, the Joint Staff, the Combatant Commands, and the Defense 

Agencies, hereafter referred to collectively as the DoD Components. The manual 

applies, by agreement, to external organizations conducting logistics business 

operations with the Department of Defense including (a) non-Government 

organizations, both commercial and nonprofit; (b) Federal agencies of the U.S. 

Government other than DoD; (c) foreign national governments; and (d) international 

government organizations.

C1.4. SUPPLY PROCESS REVIEW COMMITTEE. The Supply Process Review 

Committee (PRC) is the forum through which the DoD Components and other 

participating organizations may participate in the development, expansion, 

improvement, maintenance, and administration of contract administration requirements 

for the DLMS. The chair, Supply PRC, in coordination with the Supply PRC 

representatives, Wide Area Workflow Program Management Office, and Director of 

Defense Procurement and Acquisition Policy (DPAP) is responsible for the content of 

this volume of the DLMS. Refer to Volume 1, Chapter 1, for a discussion of DLMS PRC 

functions and responsibilities.

C1.5. NONCOMPLIANCE. If reasonable attempts to obtain 1) compliance with 

prescribed procedures or 2) resolution of DLMS contract administration-related 

problems are unsatisfactory, the activity having the problem may request assistance 
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C1-2 CHAPTER 1

from their DLMS Supply PRC representative. The request will include information and 

copies of all correspondence pertinent to the problem; including the transaction set 

number, the transaction number, and the date of the transaction involved. The 

representative will take the necessary actions to resolve the issue or problem. The 

actions may include requesting assistance from the Supply PRC chair.

C1.6. PROCUREMENT INSTRUMENT IDENTIFICATION 

C1.6.1. Background. The Federal Acquisition Regulation (FAR) was modified by 

FAR Case 2012-023 to implement a uniform Procurement Instrument Identification 

(PIID) numbering system to standardize identification of procurement transactions 

across the Federal Government. This change requires use of an Activity Address Code 

(AAC) as the unique identifier for contracting and related offices. For DoD activities, the 

FAR reference to AAC is the DoD Activity Address Code (DoDAAC). The DoD Activity 

Address Directory (DoDAAD) is the repository for all DoDAACs; it is also the repository 

of all AACs for the Federal Government. DFARS Case 2015-D011 modified the 

Defense Federal Acquisition Regulation Supplement (DFARS) to incorporate the 

changes necessary to comply with the requirements of FAR Case 2012-023, as well as 

preserve and update necessary Department-specific policy and instructions is in the 

review process.1

C1.6.2. DoD and Federal Government PIID formats. 

 C1.6.2.1 The DoD PIID format will consist of a combination of thirteen 

alphanumeric characters, (13/13):2

• Positions 1 - 6 identify the department/agency and office issuing the 

instrument. Use the DoDAAC assigned to the issuing office for positions 1 through 6.

• Positions 7 - 8 are the last two digits of the fiscal year in which the 

procurement instrument is issued or awarded. This is the date the action is signed.

• Position 9 indicates the type of instrument issued.

• For DoD: Positions 10 - 13 are a four-character alphanumeric 

serial number. All “0s” is prohibited.

• The PIID may not contain special characters or spaces.

 C1.6.2.2. The federal non-DoD PIID format will consist of a combination of 

thirteen to seventeen alphanumeric characters, (13/17):3

• Positions 1 - 6 identify the department/agency and office issuing the 

instrument. Use the DoDAAC assigned to the issuing office for positions 1 through 6. 

1 DFARS Subpart 204.16, and Procedures, Guidance and Information (PGI) 2 Federal Acquisition Regulation Subpart 4.16 – Unique Procurement Instrument Identifiers

3 Ibid
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C1-3 CHAPTER 1

• Positions 7 - 8 are the last two digits of the fiscal year in which the 

procurement instrument is issued or awarded. This is the date the action is signed.

• Position 9 indicates the type of instrument issued.

• For federal non-DoD: Positions 10 - 17 are a four- to eightcharacter alphanumeric serial number. All “0s” is prohibited.

• The PIID may not contain special characters or spaces.

 C1.6.3. Supplementary Numbers - Procurement Instrument Identification Number 

and Supplementary PIID. Prior to FAR Case 2012-023 and the DFARS changes, the 

Supplementary Procurement Instrument Identification (SPIIN) was used to identify calls 

or orders under contracts, amendments to solicitations, and modifications to contracts 

and agreements. Under the recent FAR changes noted, calls or orders are no longer 

identified under the “SPIIN” data element; instead they will be identified by a separate 

and unique PIID. The Supplementary PIID (6 positions) is only used for modifications to 

contracts and agreements and follows the six-character format DoD currently uses for 

modifications against contracts (e.g., P00001, A00001).

 C1.6.4. Implementation Timeline. The uniform PIID timeline will be a staggered 

implementation and both the legacy PIIN and SPIIN, and the new PIID and 

Supplementary PIID will be used for some period of time until existing contracts using 

the legacy PIIN/SPIIN numbering are closed.

C1.7. OTHER TRANSACTION (OT) AGREEMENTS

C1.7.1. Background. In 1989, Congress codified 10 United States Code 

(U.S.C.) 2371 to allow the DoD to carry out OT agreements. Section 2371b 

authorizes the DoD to carry out prototype projects using a legal instrument other 

than a procurement contract, grant, or cooperative agreement under the authority 

of section 2371. Additionally, 10 U.S.C. 2358, allows DoD to use contracts, 

grants, and cooperative agreements for basic research, applied research, 

advanced research and development projects. OT agreements do not follow the 

FAR and DFARS. 

C1.7.2. OT Formats. OTs are comprised of three different types of 

agreements: Research, Prototype, and Production. DoD PIIDs for OT agreements 

follow the format identified in Section C1.6 except the type of instrument will use 

a numeric value.

• Position 9 identifies the type of instrument under the PIID. For OT 

agreements, there are two viable designators.

o 3 Research OTs 

o 9 Prototype and Production OTs 
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C1.7.3. Awarding OT Agreements. If a Production OT is awarded after a 

successful prototype, an Agreements Officer may issue a modification to the 

original prototype agreement or a new contract. A new contract is identified with 

a C as the instrument type in the ninth position of the PIID and would be required 

to follow policies identified in the FAR and DFARs. Guidance on this can be 

found in DLM 4000.25, Volume 7, C1.6. The FAR and DFARS govern the policies 

for PIID and define the type of instrument and appropriate use.
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C2-1 CHAPTER 2

C2. CHAPTER 2

SHIPMENT NOTIFICATION

C2.1. GENERAL. This chapter prescribes standard procedures to report the shipment 

of supplies by vendors to the Department of Defense. These reports are either 

generated online in Wide Area Workflow (WAWF) or transmitted to WAWF using the

856, Advance Shipment Notice (ASN). The ASN provides an electronic receiving report 

to designated recipients to enable electronic processing of the receipt and acceptance 

of supplies. The ASN replaces the functionality of the DD Form 250, Material Inspection 

and Receiving Report.

C2.2. PROCEDURES. 

C2.2.1. The Defense Federal Acquisition Regulation Supplement (DFARS),

Subpart 232.70, Electronic Submission and Processing Payment Requests and 

Receiving Reports, prescribes policies and procedures for submitting and processing 

receiving reports in electronic form.

C2.2.2. DFARS Appendix F, Part 3, Preparation of the Wide Area Workflow 

Receiving Report, prescribes instructions for the preparation of the receiving report.

C2.2.3. The WAWF Electronic Data Interchange Implementation Guides on the 

WAWF Website define the structure and associated business rules for generating and 

transmitting the 856 ASN.
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C3-1 CHAPTER 3

C3. CHAPTER 3

DESTINATION ACCEPTANCE REPORTING

C3.1. GENERAL. This chapter provides standard procedures for the receiving activity 

to report acceptance of materiel at destination. Activities performing acceptance at 

destination shall prepare and transmit an Acceptance Report (AR) either online in Wide 

Area Workflow (WAWF) or by transmitting the DLMS 861, Acceptance Report to 

WAWF. The Defense Finance and Accounting Service (DFAS) matches the 

Acceptance Report to the contracts stored in the Electronic Document Access (EDA) 

system and to the vendor’s invoice to effect payment to the vendor.

C3.2. PROCEDURES. 

C3.2.1. The Defense Federal Acquisition Regulation Supplement (DFARS)

Appendix F, Part 3, Preparation of the Wide Area Workflow Receiving Report, 

prescribes instructions to prepare the receiving report to record acceptance. 

C3.2.2. The WAWF Electronic Data Interchange Implementation Guides on the 

WAWF Website define the structure and associated business rules for generating and 

transmitting the DLMS 861A, Acceptance Report to WAWF.
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C4-1 CHAPTER 4

C4. CHAPTER 4 

CONTRACT COMPLETION STATUS REPORTING

C4.1 GENERAL

 C4.1.1. Purpose. This chapter prescribes standard procedures for reporting:

 C4.1.1.1. The status of unclosed contracts subsequent to physical 

completion,

 C4.1.1.2. Major events leading to the closing of the contract files by the 

Contract Administration Office (CAO), the office administering the contract for closeout 

including where administration is retained by the Purchasing Office (PO),

 C4.1.1.3. The extension of the contract closeout period by the CAO, 

 C4.1.1.4. The extension of the contract closeout period by the PO, 

 C4.1.1.5. The execution of an automated contract closeout,

 C4.1.1.6. The update of a previously submitted contract closeout, and

 C4.1.1.7. The final closeout of a cancelled contract in Electronic Document 

Access (EDA). 

 C4.1.2. Scope. These reports are identified as Defense Logistics Management 

Standards (DLMS) Supplement 567C, Contract Completion Status, and primarily 

provide information to the PO for closing and retiring its contract files. The DLMS 

transactions are available on the Defense Enterprise Data Standards Office Website on 

the DLMS IC page.

 C4.1.3. Computer Formats. These procedures provide computer processable 

formats in lieu of hard copy documents and complement those in Federal Acquisition 

Regulation (FAR), 4.804-1 and the Defense Federal Acquisition Regulation Supplement 

(DFARS) Procedures, Guidance and Information (PGI) 204.804. 

 C4.1.4. Contract Completion Statements. Each CAO-issued DLMS 567C may 

include only one contract completion statement, automated contract closeout, update to 

an initial automated contract closeout, cancellation of a closeout action, or final closeout 

of a cancelled contract in EDA. The PO-issued DLMS 567C may include only one 

contract closeout extension. Multiple contract completion statements within a single 

DLMS 567C transmission are not permitted at this time.
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C4-2 CHAPTER 4

C4.2. BASIS FOR CONTRACT CLOSING

 C4.2.1. Contract Face Value. The basis for closing contract files depends upon 

the face value of the contract and the extent of administration accorded to it.

 C4.2.2. Closeout Code. The CAO uses the conditions set forth in the contract 

closeout group codes to group the contracts for follow-on closing actions.

C4.3. STANDARD TIMES FOR CONTRACT CLOSING. FAR 4.804-1 prescribes the 

time standards for closing contracts. These standards are based on the date that the 

contract is physically completed and on the contract type. When the CAO closes the 

contract within the time standards, it reports the closure under the procedures in section 

C4.4. When the CAO does not close the contract within the time standards, it reports 

the status under the procedures in section C4.5, until it closes the contract and finally 

reports it under section C4.4. 

C4.4. CONTRACT PAYMENT. When an office other than the office with primary 

contract administration responsibility performs the payment function on a contract, the 

disbursing office will notify the primary CAO when final payment has been made and the 

disbursing office file closed. The CAO will forward the status within five workdays after 

expiration of the standard closing period.

C4.5. CONTRACT COMPLETION STATEMENT

 C4.5.1. Purpose. The contract completion statement is the DFARS-authorized 

electronic version of the DD Form 1594, Contract Completion Statement. It is the 

means by which the CAO informs the PO (or designated Automatic Data Processing 

(ADP) point) of the major events of physical completion, final payment, and/or closure of 

the CAO contract file. For all contracts, a final contract completion statement is the 

basis for the PO to closeout its contract file. For contracts with a total value of under 

$500,000, the closeout process is automated per FAR 4.804-5(a) and DFARS 204.804-

3, see section C4.11. Automated Contract Closeout for additional information.

 C4.5.2. Contract Completion Definition. A contract is physically completed when,

 C4.5.2.1. For supplies and services contracts:

 C4.5.2.1.1. The contractor has completed the required deliveries of 

supplies and the Government has inspected and accepted such supplies, and

 C4.5.2.1.2. The contractor has performed all services and the 

Government has accepted such services, and all option provisions, if any, have expired, 

and 

 C4.5.2.1.3. A notice of complete contract termination has been given to 

the contractor by the Government;
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C4-3 CHAPTER 4

 C4.5.2.2. For facilities contracts and rental, use, and storage agreements, a 

notice of complete termination has been issued or the contract period has expired.

 C4.5.3. Physical Completion of Large-Purchase Contract. When a large-purchase 

contract such as Contract Closeout Group Code B, C, or D, is physically completed (i.e., 

delivered complete and the materiel or service accepted), the CAO with the primary 

contract administration responsibility will forward an interim contract completion 

statement to the PO to report physical completion.

 C4.5.4. Final Payment for Large-Purchase Contract. For a large-purchase 

contract, Contract Closeout Group Code B, C, or D, when final payment is made and 

other actions completed, the CAO with primary contract administration responsibility will

send a final contract completion statement to the PO based upon physical completion, 

final payment, and completion of all administrative actions.

 C4.5.5. Unliquidated Amount. The unliquidated amount is money that was 

obligated on the contract but not spent. In all cases, the final contract completion 

statement must include any unliquidated amount that remains on the contract or order 

after final payment has been made. The unliquidated amount is the remainder of the 

accumulated amounts paid, as netted by all collections, subtracted from the amount 

obligated on the contract by any contract modifications, and adjusted by deductions and 

all variance codes. The unliquidated amount must be conveyed in the AMT data 

segment of the CS loop in the DLMS 576C and will appear only when an unliquidated 

amount remains on the contract. The accountable activity must reclaim this money 

before the PO closes the contract.

C4.5.6. Contract Over Payments. Contract over payments can occur when the 

contract contains the quantity variation clause, FAR 52.211-16 Variation in Quantity,

and contractors deliver a quantity within the overage quantity permitted. In this 

instance, the contract funding is deficient and additional funds must be obligated before 

the contract can be closed. The deficient funds may be cited in the AMT segment and 

identified by Code C in AMT03.

C4.5.7. Receipt of Contract Extension Report. When the CAO has received a 

contract completion extension report from the PO, and if the CAO had to perform an 

additional contract administration function, the CAO will issue a final contract closeout 

statement report within five workdays after the extended closeout date. If the CAO did 

not have to perform additional contract administration functions after the extension 

transaction was issued, the contract file will be closed and the last issued final contract 

completion statement will apply.

C4.6. UNCLOSED CONTRACT STATUS. The CAO will send an unclosed contract 

status report to the PO (or designated ADP point) for each contract that will not be 

closed within the timeframe established in FAR 4.804-2. 

C4.6.1. Reason for Delay. The status report will include the reasons for delay and 

the target date that has been set for closing.
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C4-4 CHAPTER 4

C4.6.2. Revised Unclosed Status Report. If the contract is not closed by the 

target date, a revised unclosed contract status report will be sent with the new target 

date and reason(s) for further delay.

C4.6.3. Timeframe. A CAO with primary contract administration responsibility will

send the unclosed contract status report to the PO. The CAO will forward the unclosed

status report within 45 days after the expiration of the standard closing period (refer to 

DFARS Procedures, Guidance, and Information (PGI) 204.804-2). 

C4.7. CONTRACT CLOSEOUT EXTENSION

C4.7.1. Purpose. The PO will use the contract completed date in the contract 

completion statement as the closeout date for file purposes. When completion of any 

pending significant PO action extends beyond this closeout date, the PO will send a 

contract closeout extension notice to the CAO (or designated ADP point) advising of the 

extended closeout date.

C4.7.2. Timeframe. The PO must forward the extension to the CAO within 5 

workdays after receipt of the completion statement.

C4.7.3. Status. The CAO will then hold the contract open until the extended 

closeout date.

C4.7.4. Revision of Closeout Extension. The PO must ensure that when the 

extended closeout date is to be revised, another extension notice, with a new extended 

closeout date, is sent to the CAO.

C4.7.5. Closure. The CAO will close the contract file when the extended closeout 

date is passed. If the CAO performed an additional contract administrative function, it 

will issue another contract completion statement report; otherwise, the previous 

statement report will remain in effect.

C4.7.6. Exception to Closure. A contract file must not be closed if the contract is 

in litigation or under appeal; or in the case of a termination, all termination actions have 

not been completed. See FAR 4.804-1(c).

C4.8. CANCELLATIONS. Conditions may necessitate the cancellation of a contract 

completion status transaction. Cancellation is done by sending the procurement 

instrument identifier (PIID)1 and Supplementary PIID (when applicable), CAO, and PO 

of the original transaction and a Transaction Status Indicator Code K. When a PIID 

call/order number (F in 9th position) is used, provide the value in the PIID field. 

C4.9. FAST PAY CONTRACTS. Normally, a PO receives both a shipment notice 

transaction and a contract completion statement transaction on each contract. On fastpay contracts that do not exceed $25,000, however, shipment information is not 

1 Use the legacy PIIN pending transition to the PIID. When using the PIIN, may include the four-position 

call/order number. Refer to ADC 1161A. 
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C4-5 CHAPTER 4

required by the Army, Navy, or DLA. The Army will use the contract completion 

statement both to show performance and to close the contract. The Air Force requires 

and receives the shipment information and a contract completion statement on fast-pay 

contracts.

C4.10. PREPARATION OF THE DLMS 567C TRANSACTION. The instructions to 

prepare the DLMS 567C are on the Defense Enterprise Data Standards Office Website 

on the DLMS IC page.

C4.10.1. Structure. This transaction set contains only one table.

C4.10.2. Uses. As discussed in sections C4.4., C4.5., C4.6., and C4.11., there 

are eight uses of the contract completion status transaction.2 Each use is identified by a 

code in the 1/CS05/050 data element. 

 C4.10.2.1. CAO Issuance. Those issued by the CAO:

 C4.10.2.1.1. The unclosed contract status (Code D); 

 C4.10.2.1.2. The final contract completion statement for a small 

purchase (Code A);

 C4.10.2.1.3. The interim contract completion statement for a large 

purchase (Code B); and

 C4.10.2.1.4. The final contract completion statement for a large 

purchase (Code C).

 C4.10.2.2. PO Issuance. The transaction issued by the PO is the contract 

closeout extension (Code E)

 C4.10.2.3. DFAS Issuance. The transaction issued by DFAS is the financial 

contract completion statement (Code F).

 C4.10.2.4. Wide Area Work flow (WAWF). The final contract completion 

statement for automated contract closeouts (Code G); and

 C4.10.2.5. Multiple Users. Final closeout for a cancelled contract (Code H).

C4.10.3. Name/Place Data. There are two N1 data segments for names and 

places.

 C4.10.3.1. To/From Code. The 1/N1/030 segment precedes the 1/CS/050 

loop, and with two iterations, carries the Code FR (from) and the Code TO (to); these 

will be the appropriate PO and CAO that will be common to all records in a given 

transaction set. DAAS/GEX will forward an image (copy) of all 567C contract closeout 

2 Refer to Volume 7, Appendix 1 (ADC 1163)
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C4-6 CHAPTER 4

transactions to EDA regardless of the originating system or method of closeout. Refer 

to ADC 1163. See C4.11.8 for N1 segment addressing for automated contract closeout 

procedures.

 C4.10.3.2. Paying Office. The 1/N1/120 segment in the 1/CS/050 loop will 

identify a paying office or a contractor when one applies to the record.

 C4.10.3.3. Transaction Status Code. Each applicable transaction status 

indicator code is carried in an iteration of the 1/LQ/110 data segment. Only Codes F, J, 

and K may be used in this transaction set.

 C4.10.3.4. Cancellation Report. A cancellation report is identified by the 

Transaction Status Indicator Code K in a 1/LQ/110 data segment. A cancellation report 

must be sent at least one calendar day before its replacement report. A cancellation 

report requires the To, the From, the PIID and the Supplementary PIID (if applicable), 

the code for the type transaction, and the cancellation code.

C4.11. AUTOMATED CONTRACT CLOSEOUT

C4.11.1. Purpose. The Automated Contract Closeout is a systemic process in the 

Contract Closeout module accessible from the Procurement Integrated Enterprise 

Environment (PIEE) eBusiness Suite home screen for Electronic Document Access 

(EDA) users with an active ‘Upload/Inactive Contracts’ role. This will apply where 

notifications are distributed using data from WAWF, EDA, and MyInvoice.

C4.11.2. Authority. As permitted by FAR 4.804-5(a) and DFARS PGI 204.804-3, 

automated contract closeout allows a system to initiate and execute the closeout action.

C4.11.3. Eligibility Requirements.

3 Contracts to be closed must not be 

administered by the Defense Contract Management Agency (DCMA) unless the “Admin 

By DoDAAC” matches a DoDAAC on an exception list. A new Contracting Officer (KO) 

role was created within the Automated Contract Closeout module to enable contracts to 

be placed on hold. DFARS PGI 204.804-3 contains the criteria that a contract must 

meet to be automatically closed.

C4.11.4. Initiation of Automated Contract Closeout. If the eligibility requirements 

are met, automated contract closeout can be initiated once deliveries are complete and 

the final invoice is paid. 

 C4.11.4.1. A 60-day parameterized window will be established once 

deliveries are complete and the final invoice is paid. 

 C4.11.4.2. If a document is received during the 60-day window, a new 60-

day window will be set based on the following:

3 Refer to ADC 1163, Update DLMS 567C Automated Contract Closeout.
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C4-7 CHAPTER 4

 C4.11.4.2.1. If a new shipment document is received, the new window 

will start upon that document becoming “processed” in WAWF.

 C4.11.4.2.2. If a new invoice is received, the new window will start upon 

receipt of the MyInvoice transaction reflecting “paid.”

 C4.11.4.3. At the end of the final 60-day window, the DLMS 567C will be 

released to EDA via the GEX.

C4.11.5. Authority and Eligibility Statement. The automated contract closeout 

transactions statement of authority and eligibility for initiation of the automated contract 

closeout cited in C4.11.2 and C4.11.4 will be included by reference in the automated 

contract closeout transaction when using 1/BC07/020, code CL – Closed.

C4.11.6. Generating Updates to Automated Contract Closeout 

 C4.11.6.1. If additional documents are received after the transmission of the 

Automated Contract Closeout to EDA, a new 60-day parameterized window to monitor 

for additional transactions that would impact the closeout will be established based 

upon the following criteria:

 C4.11.6.1.1. If a new shipment document is received, the new window 

will start upon that document becoming “processed” in WAWF.

 C4.11.6.1.2. If a new invoice is received, the new window will start upon 

receipt of the MyInvoice transaction reflecting “paid.”

 C4.11.6.2. Simultaneous with establishment of a new parameterized window, 

WAWF will generate a DLMS 567C Cancellation of a previously submitted automated 

contract closeout action. This will be identified by 1/BC07/020 Code 2 (Change 

(Update)), 1/CS05/050 Code G (Final contract completion statement for contract 

closeouts) and 1/LQ02/110 Code K ( Cancellation). This will notify EDA that additional 

documents were received and a new 60-day parameterized window is started. This 

ensures that the contract is not open in one system and closed in another system. 

 C4.11.6.3. At the end of the 60-day period, an updated DLMS 567C will be 

released to EDA via the GEX. The beginning segment will contain the Action Code 2 to 

indicate that the transaction is an updated automated contract closeout.

C4.11.7. Name/Place Data for Automated Contract Closeout 

 C4.11.7.1. To/From code.4 The automated contract closeout notices will be 

distributed electronically using the DLMS 567C transaction set to EDA and applicable 

Agency Accounting Identifiers (AAI) 

4 Under the existing design (March 2015), the Automated Contract Closeout transactions will not contain 

a From and To indicating the sending and receiving organizations for the transaction set and will use the 
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Change 6 

C4-8 CHAPTER 4

 C4.11.7.2. The 1/N1/030 segment precedes the 1/C/050 loop, and with two 

iterations, carries the Code FR (from) and the Code TO (to); this will be WAWF in the 

FR and the AAI in the TO. 

 C4.11.7.3. Use the appropriate qualifier in N101 and N103 to identify WAWF, 

EDA, and the AAI. 

 C4.11.7.3.1. To identify WAWF, use N101/RGA and N103/93.

 C4.11.7.3.2. To identify the AAI, use N101/CW and N103/PI. 

 C4.11.7.3.3. To identify EDA, use N101/EM and N103/94

 C4.11.7.4. DAAS/GEX will forward an image (copy) of all 567C contract 

closeout transactions to EDA regardless of the originating system or method of 

closeout.5 

C4.12. CANCELATION OF A UNILATERAL PURCHASE ORDER NOT ACCEPTED

BY THE CONTRACTOR. As required by FAR 13.302-4(b), contracting officers will 

notify the contractor in writing that the purchase order has been cancelled and 

request the contractor’s written acceptance of the cancellation. DFARS PGI 

213.307-3 requires that unilateral purchase orders be cancelled with a contract 

modification.

DLMS 567C transaction header envelope and GEX routing rules. This change will have a phased 

implementation and requires an ECP be developed by the WAWF PMO. Refer to ADC 1163.

5 Refer to ADC 1163. 
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Change 6

AP1-1 APPENDIX 1

AP1. APPENDIX 1

CONTRACT CLOSEOUT STATUS REPORT CODES

NUMBER OF CHARACTERS: One

TYPE OF CODE: Alpha 

EXPLANATION: Used in the DLMS 567C Contract Completion 

Statement/ Unclosed Contract Status/Contract Closeout to identify the type and purpose of the transaction.

DLMS SEGMENT/QUALIFIER: CS Segment, CS05 Data Element ID 127 

CODE Title

A Final contract completion statement for small purchases

B Interim (physical) completion statement for large purchases

C Final contract completion statement for large purchases

D Extension of contract closing date (by CAO)

E Extension of contract closing date (by PCO)

F Financial contract completion statement (by DFAS)

G Final contract completion statement for automated contract closeouts