Are Commercial Installation Services for a Commercial Product, a Supply?
Started by FAR-flung 1102 · Dec 9, 2021 · 2 replies
- FOriginal post
FAR-flung 1102
Dec 9, 2021 · 4y ago
The first two definitions below are new and replace the old "Commercial Item" definition: How do they work with each other and with the current FAR definition of "Supplies"?
From FAR 2.101:
"Commercial product means—
(1) A product, other than real property, that is of a type customarily used by the general public or by nongovernmental entities for purposes other than governmental purposes, and–
(i) Has been sold, leased, or licensed to the general public; or
(ii) Has been offered for sale, lease, or license to the general public;..."
Also from FAR 2.101:
"Commercial service means—
(1)Installation services, maintenance services, repair services, training services, and other services if–
(i)Such services are procured for support of a commercial product as defined in this section, regardless of whether such services are provided by the same source or at the same time as the commercial product;..."
And finally from FAR 2.101:
"Supplies means all property except land or interest in land. It includes (but is not limited to) public works, buildings, and facilities; ships, floating equipment, and vessels of every character, type, and description, together with parts and accessories; aircraft and aircraft parts, accessories, and equipment; machine tools; and the alteration or installation of any of the foregoing."
So, do commercial services for installation of a commercial product, constitute a supply purchase?
Or alternatively do the commercial installation services for a commercial product, constitute a service for purposes of
...performance based service acquisition?
...appointing a COR?
...incorporating the Service Contract Labor Standards (Service Contract Act)?
- V
Vern Edwards
Dec 9, 2021 · 4y ago
If you are conducting an acquisition for the purchase and installation of a commercial product, then you are conducting an acquisition of an item of a commercial product, i.e., an item of supply.
If you are conducting an acquisition for the installation of a commercial product separately from the purchase of the product, then you are conducting an acquisition of a commercial service.
I just made that up. Does it work for you?
- F
FAR-flung 1102
Dec 9, 2021 · 4y ago
Vern Edwards said:
If you are conducting an acquisition for the purchase and installation of a commercial product, then you are conducting an acquisition of an item of a commercial product, i.e., an item of supply.
If you are conducting an acquisition for the installation of a commercial product separately from the purchase of the product, then you are conducting an acquisition of a commercial service.
I just made that up. Does it work for you?
Yes. And it avoids the rabbit holes, which for me, at least, is the point.
Thank you, Vern.