The purpose of this page is to provide general information on DTIC's guidelines for accepting funds, DoD Appropriations and DTIC's Authority.
DTIC does not place restrictions on types of funds that may be accepted under IAC contracts. The sending organization must verify that funds are appropriate for the intended purpose, citing the approved Statement of Work to identify scope.
Limitations on the original appropriation sent to DTIC remain; use of DTIC's RDT&E authority does not change the conditions and limitations imposed on the use of funds (per DoD FMR Volume 11A, Chap 3, 030104).
The contract cites DTIC's funding line under reimbursable authority ( per Title 10, USC, section 2205).
The customer (sending organization) is responsible for certifying the funds submitted to DTIC are for the proper purpose; certification is made on the DD Form 448, MIPR (per DoD FMR Volume 11A, Chap 3, 030402).
For funds accepted under DTIC reimbursable authority (Cat I MIPR) DTIC calculates earnings based on an estimated burn rate documented in the contract modification.
If Operational & Maintenance (O&M) funding (which has a 12 month obligation limit) is the only funding received to start a new TAT, then the subject TAT will be limited to no more than an overall 12 month period of performance. Subsequent option years for the base period must be funded with future year funding at the time of option exercise, see FAR 32.703-3.
Please click here for additional guidance on using O&M funding on IAC contracts.
Severable vs. Non-Severable Services
IAC TATs predominantly are for severable services, therefore they may be incrementally funded. Severable services are recurring or continuing in nature such as research performed on a level of effort basis. In contrast, a non-severable services effort is one that requires the contractor to complete and deliver a single specified end-product or deliverable. A non-severable delivery order must be fully funded at the time of award and cannot be incrementally funded.
For information on DoD Appropriations, you can use the Treasury Financial Manual as a reference.
The Economy Act is the general statutory authority that allows customers to order services from DTIC on a cost-reimbursable basis.
The OSD Comptroller annually reviews and approves a specific limit and funding line for DTIC's reimbursable authority.