H. R. 1107—90 
(b) CERTIFICATION.—A person required, as an offeror, contractor, 
or subcontractor, to submit cost or pricing data under subsection 
(a) (or required by the head of the procuring activity concerned 
to submit the data under section 3504 of this title) shall be required 
to certify that, to the best of the person’s knowledge and belief, 
the cost or pricing data submitted are accurate, complete, and 
current. 
(c) TO WHOM SUBMITTED.—Cost or pricing data required to be 
submitted under subsection (a) (or under section 3504 of this title), 
and a certification required to be submitted under subsection (b), 
shall be submitted— 
(1) in the case of a submission by a prime contractor (or 
an offeror for a prime contract), to the contracting officer for 
the contract (or a designated representative of the contracting 
officer); or 
(2) in the case of a submission by a subcontractor (or an 
offeror for a subcontract), to the prime contractor. 
(d) APPLICATION OF CHAPTER.—Except as provided under section 
3503 of this title, this chapter applies to contracts entered into 
by the head of an executive agency on behalf of a foreign govern-
ment. 
(e) SUBCONTRACTS NOT AFFECTED
BY WAIVER.—A waiver of 
requirements for submission of certified cost or pricing data that 
is granted under section 3503(a)(3) of this title in the case of 
a contract or subcontract does not waive the requirement under 
subsection (a)(3) of this section for submission of cost or pricing 
data in the case of subcontracts under that contract or subcontract 
unless the head of the procuring activity granting the waiver deter-
mines that the requirement under subsection (a)(3) of this section 
should be waived in the case of those subcontracts and justifies 
in writing the reason for the determination. 
(f) MODIFICATIONS TO PRIOR CONTRACTS.—On the request of a 
contractor that was required to submit cost or pricing data under 
subsection (a) in connection with a prime contract entered into 
on or before October 13, 1994, the head of the executive agency 
that entered into the contract shall modify the contract to reflect 
paragraphs (2)(B) and (3)(B) of subsection (a). All those modifica-
tions shall be made without requiring consideration. 
(g) ADJUSTMENT OF AMOUNTS.—Effective on October 1 of each 
year that is divisible by 5, each amount set forth in subsection 
(a) shall be adjusted to the amount that is equal to the fiscal 
year 1994 constant dollar value of the amount set forth. Any 
amount, as so adjusted, that is not evenly divisible by $50,000 
shall be rounded to the nearest multiple of $50,000. In the case 
of an amount that is evenly divisible by $25,000 but not evenly 
divisible by $50,000, the amount shall be rounded to the next 
higher multiple of $50,000. 
§ 3503. Exceptions 
(a) IN GENERAL.—Submission of certified cost or pricing data 
shall not be required under section 3502 of this title in the case 
of a contract, a subcontract, or a modification of a contract or 
subcontract— 
(1) for which the price agreed on is based on— 
(A) adequate price competition; or 
(B) prices set by law or regulation; 
(2) for the acquisition of a commercial item; or
H. R. 1107—91 
(3) in an exceptional case when the head of the procuring 
activity, without delegation, determines that the requirements 
of this chapter may be waived and justifies in writing the 
reasons for the determination. 
(b) MODIFICATIONS
OF
CONTRACTS
AND
SUBCONTRACTS
FOR 
COMMERCIAL ITEMS.—In the case of a modification of a contract 
or subcontract for a commercial item that is not covered by the 
exception to the submission of certified cost or pricing data in 
paragraph (1) or (2) of subsection (a), submission of certified cost 
or pricing data shall not be required under section 3502 of this 
title if— 
(1) the contract or subcontract being modified is a contract 
or subcontract for which submission of certified cost or pricing 
data may not be required by reason of paragraph (1) or (2) 
of subsection (a); and 
(2) the modification would not change the contract or sub-
contract from a contract or subcontract for the acquisition of 
a commercial item to a contract or subcontract for the acquisi-
tion of an item other than a commercial item. 
§ 3504. Cost or pricing data on below-threshold contracts 
(a) AUTHORITY TO REQUIRE SUBMISSION.—Subject to subsection 
(b), when certified cost or pricing data are not required to be 
submitted by section 3502 of this title for a contract, subcontract, 
or modification of a contract or subcontract, the data may neverthe-
less be required to be submitted by the head of the procuring 
activity, but only if the head of the procuring activity determines 
that the data are necessary for the evaluation by the agency of 
the reasonableness of the price of the contract, subcontract, or 
modification of a contract or subcontract. In any case in which 
the head of the procuring activity requires the data to be submitted 
under this section, the head of the procuring activity shall justify 
in writing the reason for the requirement. 
(b) EXCEPTION.—The head of the procuring activity may not 
require certified cost or pricing data to be submitted under this 
section for any contract or subcontract, or modification of a contract 
or subcontract, covered by the exceptions in section 3503(a)(1) or 
(2) of this title. 
(c) DELEGATION OF AUTHORITY PROHIBITED.—The head of a pro-
curing activity may not delegate the functions under this section. 
§ 3505. Submission of other information 
(a) AUTHORITY TO REQUIRE SUBMISSION.—When certified cost 
or pricing data are not required to be submitted under this chapter 
for a contract, subcontract, or modification of a contract or sub-
contract, the contracting officer shall require submission of data 
other than certified cost or pricing data to the extent necessary 
to determine the reasonableness of the price of the contract, sub-
contract, or modification of the contract or subcontract. Except 
in the case of a contract or subcontract covered by the exceptions 
in section 3503(a)(1) of this title, the contracting officer shall require 
that the data submitted include, at a minimum, appropriate 
information on the prices at which the same item or similar items 
have previously been sold that is adequate for evaluating the 
reasonableness of the price for the procurement. 
(b) LIMITATIONS ON AUTHORITY.—The Federal Acquisition Regula-
tion shall include the following provisions regarding the types of