# AFARS PART 5150

Subpart 5150.1 -- General

- 5150.105 -- Records.

Subpart 5150.2 -- Delegation of and Limitations on Exercise of Authority

- 5150.201-70 -- Delegations.

Subpart 5150.3 -- Contract Adjustments

- 5150.305 -- Processing cases.

- 5150.305-90 -- Record of request.
- 5150.305-71 -- Processing cases to contract adjustment boards.
- 5150.306-70 -- Disposition.
- 5150.401-9000 -- Indemnification of contracts for a qualified anti-terrorism technology.
- 5150.403-1 -- Indemnification requests.
- 5150.403-2 -- Action on indemnification requests.
- 5150.403-3 -- Contract clause.

AFARS -- Part 5150
Extraordinary Contractual Actions

Subpart 5150.1 -- General

5150.105 -- Records.

See DFARS PGI 250.105. [AFARS Revision #21, dated May 22, 2007]

(1) (iii) The contracting officer is responsible for preparing, submitting, and receiving all records not directed to be prepared, submitted, or received by others.

Subpart 5150.2 -- Delegation of and Limitations on Exercise of Authority

5150.201-70 -- Delegations.

(a) The Assistant Secretary of the Army (Acquisition, Logistics and Technology) (ASA(AL&T)) has delegated to the Head of the Contracting Activity (HCA), with authority to redelegate no lower than the Principal Assistant Responsible for Contracting (PARC), the authority to --

(i) Deny any request for contractual adjustment of the type described in FAR Subpart 50.3;

(ii) Make all determination and findings (D&F) required by the Act of 28 August 1958 (Pub.L. 85-804), Executive Order 10789 and FAR Part 50;

(iii) Approve, authorize and direct appropriate action in those cases set forth as examples under the categories of correcting mistakes and formalizing informal commitments in FAR 50.302-2 and 50.302-3, subject to the limitations in FAR 50.203;

(iv) Where necessary to the exercise of the authority in (iii), modify or release unliquidated obligations of any sort and to extend delivery and performance dates;

(v) Refer to the Army Contract Adjustment Board any case in which the HCA, or PARC if authority has been redelegated, determines that an appropriate contractual adjustment is justified, but for which the HCA or PARC does not have the authority to make the adjustment; and

(vi) Refer to the Army Contract Adjustment Board, for its determination, any doubtful or unusual cases under (i) through (iv).

Subpart 5150.3 -- Contract Adjustments

5150.305 -- Processing cases.

See DFARS PGI 250.305. [AFARS Revision #21, dated May 22, 2007]

5150.305-90 -- Record of request.

The contracting officer must file preliminary records within five working days of receipt of a request for a contract adjustment with the Recorder, Army Contract Adjustment Board, Office of the General Counsel, 104 Army Pentagon, Attn: SAGC, Washington DC 20310-0104. [AFARS Revision #21, dated May 22, 2007]

5150.305-71 -- Processing cases to contract adjustment boards.

(a) Send documents to the addressee in 5150.305-90. [AFARS Revision #21, dated May 22, 2007]

5150.306-70 -- Disposition.

(a) Submit documents to the addressee in 5150.305-90 within five working days of a decision on a request. [AFARS Revision #21, dated May 22, 2007]

5150.401-9000 -- Indemnification of contracts for a qualified anti-terrorism technology.

a. General Information.

(1) The Support Anti-Terrorism by Fostering Effective Technologies (SAFETY) Act, 6 U.S.C. 441-444, establishes a program under which a product, service, technology, or other matter may be designated by the Department of Homeland Security (DHS) as a Qualified Anti-Terrorism Technology (QATT). The SAFETY Act specifically defines a QATT as “any product, equipment, service (including support services), device, or technology (including information technology) designed, developed, modified, or procured for the specific purpose of preventing, detecting, identifying, or deterring acts of terrorism or limiting the harm such acts might otherwise cause.” The statute provides sellers of QATTs with significant legal protections against third-party products liability lawsuits.

(2) The SAFETY Act is administered by DHS. The DHS regulations implementing this statute are found at 68 Federal Register 59684 (October 16, 2003) and 6 CFR 25.1-25.9. Additional information about the SAFETY Act is found on the DHS internet site at: https://www.safetyact.gov.

(3) Contracting officers and program managers should encourage offerors and contractors to contact the DHS for additional information about the SAFETY Act, and, in appropriate cases, to submit an application to the DHS requesting that their product, service, or technology be designated as a QATT. Because the DHS may require considerable lead time to process an applicant’s request, all prospective offerors should be encouraged to apply for QATT designation as early as practicable in the acquisition planning process.

b. Relationship of the SAFETY Act to Indemnification Under Public Law 85-804.

(1) Eligibility for a SAFETY Act designation does not preclude the granting of indemnification under Public Law 85-804. The SAFETY Act’s liability protections, however, were designed to substantially reduce the need for the United States to provide indemnification to the sellers of anti-terrorism technologies.

(2) In recognition of the close relationship between the SAFETY Act and indemnification authority, Executive Order (E.O.) 10789, governing the indemnification process, has been amended to require all Federal agencies, including the Department of Defense and the Military Departments, to follow certain procedures to ensure that the potential applicability of the SAFETY Act is considered before any indemnification is granted for an anti-terrorism technology. Section 25(a) of E.O. 10789 provides that the Department of Defense (to include the Department of the Army) may not approve indemnification with respect to any matter that has been or could be designated by the Secretary of Homeland Security as a QATT, unless the Secretary of Defense has, after consideration of the authority provided by the SAFETY Act, determined that indemnification is necessary for the timely and effective conduct of Unites States military or intelligence activities. By memorandum dated August 23, 2004, the Deputy Secretary of Defense delegated the authority and assigned the responsibility to make such determinations to the Secretary of the Army. Additional delegations of this authority are not authorized. [AFARS Revision # 12, dated November 30, 2004]

5150.403-1 -- Indemnification requests.

(c) In cases where the indemnification request pertains to a matter that has been or could be designated as a Qualified Anti-Terrorism Technology (QATT) under the Support Anti-Terrorism by Fostering Effective Technologies (SAFETY) Act, 6 U.S.C. 441-444, contractors should be encouraged to fully explain why indemnification is necessary for the timely and effective conduct of United States military or intelligence activities, in view of the protections available under the SAFETY Act. [AFARS Revision #12, dated November 30, 2004]

5150.403-2 -- Action on indemnification requests.

(a) (8) In cases where the indemnification request pertains to a matter that has been or could be designated as a QATT under the SAFETY Act, an analysis regarding whether indemnification is necessary for the timely and effective conduct of United States military or intelligence activities, in view of the protections available to the contractor under the SAFETY Act. [AFARS Revision #12, dated November 30, 2004]

5150.403-3 -- Contract clause.

The contracting officer also shall insert the clause at 5152.250-1-9000, Additional Information on Indemnification Requests under Contracts for a Qualified Anti-terrorism Technology, in solicitations and contracts that provide for the delivery of a product, service, technology or other matter that has been or could be designated by the Department of Homeland Security as a QATT. [AFARS Revision #12, dated November 30, 2004]