H. R. 1107—125 
(2) establish standards for identifying the appropriate level 
of officials authorized to approve the use of award and incentive 
fees in new contracts; 
(3) provide guidance on the circumstances in which contractor 
performance may be judged to be ‘‘excellent’’ or ‘‘superior’’ and 
the percentage of the available award fee which contractors 
should be paid for the performance; 
(4) establish standards for determining the percentage of 
the available award fee, if any, which contractors should be 
paid for performance that is judged to be ‘‘acceptable’’, ‘‘aver-
age’’, ‘‘expected’’, ‘‘good’’, or ‘‘satisfactory’’; 
(5) ensure that no award fee may be paid for contractor 
performance that is judged to be below satisfactory performance 
or performance that does not meet the basic requirements 
of the contract; 
(6) provide specific direction on the circumstances, if any, 
in which it may be appropriate to roll over award fees that 
are not earned in one award fee period to a subsequent award 
fee period or periods; 
(7) ensure consistent use of guidelines and definitions relating 
to award and incentive fees across the Federal Government; 
(8) ensure that each executive agency— 
(A) collects relevant data on award and incentive fees 
paid to contractors; and 
(B) has mechanisms in place to evaluate the data on 
a regular basis; 
(9) include performance measures to evaluate the effective-
ness of award and incentive fees as a tool for improving con-
tractor performance and achieving desired program outcomes; 
and 
(10) provide mechanisms for sharing proven incentive strate-
gies for the acquisition of different types of products and serv-
ices among contracting and program management officials. 
(d) GUIDANCE FOR DEPARTMENT OF DEFENSE.—The Department 
of Defense shall continue to be subject to guidance on award and 
incentive fees issued by the Secretary of Defense pursuant to section 
814 of the John Warner National Defense Authorization Act for 
Fiscal Year 2007 (Public Law 109–364, 10 U.S.C. 2302 note). 
Subtitle II—Other Advertising and Contract 
Provisions 
Chapter 
Sec. 
61. Advertising ................................................................................................
6101 
63. General Contract Provisions ................................................................
6301 
65. Contracts for Materials, Supplies, Articles, and Equipment Ex-
ceeding $10,000.
6501 
67. Service Contract Labor Standards .....................................................
6701 
CHAPTER 61—ADVERTISING 
Sec. 
6101.
Advertising requirement for Federal Government purchases and sales. 
6102.
Exceptions from advertising requirement. 
6103.
Opening of bids. 
§ 6101. Advertising requirement for Federal Government 
purchases and sales 
(a) DEFINITIONS.—In this section—
H. R. 1107—126 
(1) APPROPRIATION.—The term ‘‘appropriation’’ includes 
amounts made available by legislation under section 9104 of 
title 31. 
(2) FEDERAL GOVERNMENT.—The term ‘‘Federal Government’’ 
includes the government of the District of Columbia. 
(b) PURCHASES.— 
(1) IN GENERAL.—Unless otherwise provided in the appropria-
tion concerned or other law, purchases and contracts for sup-
plies or services for the Federal Government may be made 
or entered into only after advertising for proposals for a suffi-
cient time. 
(2) LIMITATIONS ON APPLICABILITY.—Paragraph (1) does not 
apply when— 
(A) the amount involved in any one case does not exceed 
$25,000; 
(B) public exigencies require the immediate delivery of 
articles or performance of services; 
(C) only one source of supply is available and the Federal 
Government purchasing or contracting officer so certifies; 
or 
(D) services are required to be performed by a contractor 
in person and are— 
(i) of a technical and professional nature; or 
(ii) under Federal Government supervision and paid 
for on a time basis. 
(c) SALES.—Except when otherwise authorized by law or when 
the reasonable value involved in any one case does not exceed 
$500, sales and contracts of sale by the Federal Government are 
governed by the requirements of this section for advertising. 
(d) APPLICATION
TO WHOLLY OWNED GOVERNMENT CORPORA-
TIONS.—For wholly owned Government corporations, this section 
applies only to administrative transactions. 
§ 6102. Exceptions from advertising requirement 
(a) AMERICAN BATTLE MONUMENTS COMMISSION.—Section 6101 
of this title does not apply to the American Battle Monuments 
Commission with respect to leases in foreign countries for office 
or garage space. 
(b) BUREAU OF INTERPARLIAMENTARY UNION FOR PROMOTION OF 
INTERNATIONAL ARBITRATION.—Section 6101 of this title does not 
apply to the Bureau of Interparliamentary Union for Promotion 
of International Arbitration with respect to necessary stenographic 
reporting services by contract. 
(c) DEPARTMENT OF STATE.—Section 6101 of this title does not 
apply to the Department of State when the purchase or service 
relates to the packing of personal and household effects of Diplo-
matic, Consular, and Foreign Service officers and clerks for foreign 
shipment. 
(d) INTERNATIONAL COMMITTEE OF AERIAL LEGAL EXPERTS.—Sec-
tion 6101 of this title does not apply to the International Committee 
of Aerial Legal Experts with respect to necessary stenographic 
and other services by contract. 
(e) ARCHITECT OF THE CAPITOL.—The purchase of supplies and 
equipment and the procurement of services for all branches under 
the Architect of the Capitol may be made in the open market 
according to common business practice, without compliance with 
section 6101 of this title, when the aggregate amount of the pur-
chase or the service does not exceed $25,000 in any instance.
H. R. 1107—127 
(f) FOREST PRODUCTS FROM INDIAN RESERVATIONS.—Lumber and 
other forest products produced by Indian enterprises from forests 
on Indian reservations may be sold under regulations the Secretary 
of the Interior prescribes, without compliance with section 6101 
of this title. 
(g) HOUSE OF REPRESENTATIVES.—Section 6101 of this title does 
not apply to purchases and contracts for supplies or services for 
any office of the House of Representatives. 
(h) CONGRESSIONAL
BUDGET
OFFICE.—The Director of the 
Congressional Budget Office may enter into agreements or contracts 
without regard to section 6101 of this title. 
§ 6103. Opening of bids 
Whenever proposals for supplies have been solicited, the parties 
responding to the solicitation shall be notified of the time and 
place of the opening of the bids, and be permitted to be present 
either in person or by attorney. A record of each bid shall be 
made at the time and place of the opening of the bids. 
CHAPTER 63—GENERAL CONTRACT PROVISIONS 
Sec. 
6301.
Authorization requirement. 
6302.
Contracts for fuel made by Secretary of the Army. 
6303.
Certain contracts limited to appropriated amounts. 
6304.
Certain contracts limited to one-year term. 
6305.
Prohibition on transfer of contract and certain allowable assignments. 
6306.
Prohibition on Members of Congress making contracts with Federal Govern-
ment. 
6307.
Contracts with Federal Government-owned establishments and availability 
of appropriations. 
6308.
Contracts for transportation of Federal Government securities. 
6309.
Honorable discharge certificate in lieu of birth certificate. 
§ 6301. Authorization requirement 
(a) IN GENERAL.—A contract or purchase on behalf of the Federal 
Government shall not be made unless the contract or purchase 
is authorized by law or is under an appropriation adequate to 
its fulfillment. 
(b) EXCEPTION.— 
(1) DEFINITION.—In this subsection, the term ‘‘defined Sec-
retary’’ means— 
(A) the Secretary of Defense; or 
(B) the Secretary of Homeland Security with respect 
to the Coast Guard when the Coast Guard is not operating 
as a service in the Navy. 
(2) IN GENERAL.—Subsection (a) does not apply to a contract 
or purchase made by a defined Secretary for clothing, subsist-
ence, forage, fuel, quarters, transportation, or medical and hos-
pital supplies. 
(3) CURRENT YEAR LIMITATION.—A contract or purchase made 
by a defined Secretary under this subsection may not exceed 
the necessities of the current year. 
(4) REPORTS.—The defined Secretary shall immediately 
advise Congress when authority is exercised under this sub-
section. The defined Secretary shall report quarterly on the 
estimated obligations incurred pursuant to the authority 
granted in this subsection. 
(c) SPECIAL RULE FOR PURCHASE OF LAND.—Land may not be 
purchased by the Federal Government unless the purchase is 
authorized by law.
H. R. 1107—128 
§ 6302. Contracts for fuel made by Secretary of the Army 
The Secretary of the Army, when the Secretary believes it is 
in the interest of the United States, may enter into contracts 
and incur obligations for fuel in sufficient quantities to meet the 
requirements for one year without regard to the current fiscal 
year. Amounts appropriated for the fiscal year in which the contract 
is made or amounts appropriated or which may be appropriated 
for the following fiscal year may be used to pay for supplies deliv-
ered under a contract made pursuant to this section. 
§ 6303. Certain contracts limited to appropriated amounts 
A contract to erect, repair, or furnish a public building, or to 
make any public improvement, shall not be made on terms requiring 
the Federal Government to pay more than the amount specifically 
appropriated for the activity covered by the contract. 
§ 6304. Certain contracts limited to one-year term 
Except as otherwise provided, an executive department shall not 
make a contract for stationery or other supplies for a term longer 
than one year from the time the contract is made. 
§ 6305. Prohibition on transfer of contract and certain allow-
able assignments 
(a) GENERAL PROHIBITION
ON TRANSFER
OF CONTRACTS.—The 
party to whom the Federal Government gives a contract or order 
may not transfer the contract or order, or any interest in the 
contract or order, to another party. A purported transfer in violation 
of this subsection annuls the contract or order so far as the Federal 
Government is concerned, except that all rights of action for breach 
of contract are reserved to the Federal Government. 
(b) ASSIGNMENT.— 
(1) IN
GENERAL.—Notwithstanding subsection (a) and in 
accordance with the requirements of this subsection, amounts 
due from the Federal Government under a contract may be 
assigned to a bank, trust company, Federal lending agency, 
or other financing institution. 
(2) MINIMUM
AMOUNT.—This subsection applies only to a 
contract under which the aggregate amounts due from the 
Federal Government total at least $1,000. 
(3) ACCORD WITH CONTRACT TERMS.—Assignment may not 
be made under this subsection if the contract forbids the assign-
ment. 
(4) FULL
BALANCE
DUE.—Unless otherwise expressly per-
mitted by the contract, an assignment under this subsection 
must cover the balance of all amounts due from the Federal 
Government under the contract. 
(5) SINGLE
ASSIGNMENT.—Unless otherwise expressly per-
mitted by the contract, an assignment under this subsection 
may not be made to more than one party or be subject to 
further assignment, except that assignment may be made to 
one party as agent or trustee for 2 or more parties participating 
in the financing. 
(6) WRITTEN NOTICE.—The assignee of an assignment under 
this subsection shall file written notice of the assignment and 
a true copy of the instrument of assignment with— 
(A) the contracting officer or head of the officer’s depart-
ment or agency;