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Richard C. Johnson's Comments on FAR Case 2004-025

Richard C. Johnson, an experienced practioner in the area of government property matters, submitted comments on FAR Case 2004-025, Proposed Revisions to Federal Acquisition Regulation on Government Property. The proposed revisions would (1) eliminate passage of title to contractor overhead property under cost type contracts and thus significantly curtail the government contractor "sale for resale" exemption under state sales and use tax law, and (2) vest virtually unlimited discretion in government officials to provide any and all government property for contractor use "as is" under both fixed price and cost type contracts potentially eliminating the long-standing warranty of "fitness for use." In Mr. Johnson’s view, both changes are inimical to the public interest and should not be adopted. Click here to read the comments