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DFARS Clause ACTIVE

252.204-7023

Reporting Requirements for Contracted Services.
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Effective Date
Active Deviations
3
Versions
1 (since 2021-07-09)
RFO
Introduced by the RFO

This clause (252.204-7023) was introduced by the Revolutionary FAR Overhaul, replacing 252.204-7011.

Deviation 2026-O0043
DEV
This clause is modified by 2 active class deviations
  • 2026-O0028 — DFARS RFO Implementation (Part 12)
  • 2026-O0002 — DFARS RFO Implementation (Part 1)
View per-deviation details →
252.204-7023 Reporting Requirements for Contracted Services.

Basic.
As prescribed in 204.1705(a)(i) and (ii), use the following clause:

Reporting Requirements for Contracted Services—Basic (Jul 2021)

(a)
Definition.
As used in this clause—

First-tier subcontract
means a subcontract awarded directly by the contractor for the purpose of acquiring services for performance of a prime contract. It does not include the contractor's supplier agreements with vendors, such as long-term arrangements for materials or supplies or services that benefit multiple contracts and/or the costs of which are normally applied to a contractor's general and administrative expenses or indirect costs.

(b) The Contractor shall report annually, by October 31, at
https://www.sam.gov,
on the services performed under this contract or order, including any first-tier subcontracts, during the preceding Government fiscal year (October 1-September 30).

(c) The Contractor shall report the following information for the contract or order:

(1) The total dollar amount invoiced for services performed during the preceding Government fiscal year under the contract or order.

(2) The number of Contractor direct labor hours, to include first-tier subcontractor direct labor hours, as applicable, expended on the services performed under the contract or order during the previous Government fiscal year.

(d) The Government will review the Contractor's reported information for reasonableness and consistency with available contract information. In the event the Government believes that revisions to the Contractor's reported information are warranted, the Government will notify the Contractor. Upon notification, the Contractor shall revise the reported information or provide the Government with a supporting rationale for the information.

(End of clause)

Alternate I.
As prescribed in 204.1705 (a)(i) and (iii), use the following clause, which substitutes "contract or agreement for each order" in lieu of "contract or order" in paragraph (b) and "order" in lieu of "contract or order" in paragraphs (c) and (c)(1) and (2), and identifies the dollar threshold and service acquisition portfolio groups for which orders under the contract or agreement require service contract reporting.

Reporting Requirements for Contracted Services—Alternate I (Jul 2021)

(a)
Definition.
As used in this clause—

First-tier subcontract
means a subcontract awarded directly by the contractor for the purpose of acquiring services for performance of a prime contract. It does not include the contractor's supplier agreements with vendors, such as long-term arrangements for materials or supplies or services that benefit multiple contracts and/or the costs of which are normally applied to a contractor's general and administrative expenses or indirect costs.

(b) The contractor shall report annually, by October 31, at
https://www.sam.gov,
on services performed during the preceding Government fiscal year (October 1-September 30) under this contract or agreement for each order, including any first-tier subcontract, which exceeds $3 million for services in the following service acquisition portfolio groups:

(1) Logistics management services.

(2) Equipment-related services.

(3) Knowledge-based services.

(4) Electronics and communications services.

(c) The Contractor shall report the following information for the order:

(1) The total dollar amount invoiced for services performed during the preceding Government fiscal year under the order.

(2) The number of Contractor direct labor hours, to include first-tier subcontractor direct labor hours, as applicable, expended on the services performed under the order during the previous Government fiscal year.

(d) The Government will review the Contractor's reported information for reasonableness and consistency with available contract information. In the event the Government believes that revisions to the Contractor's reported information are warranted, the Government will notify the Contractor. Upon notification, the Contractor shall revise the reported information or provide the Government with a supporting rationale for the information.

(End of clause)

[86 FR 36236, July 9, 2021]

Change History

Date Authority Type Summary
2026-02-17 2026-O0043 RFO_CLAUSE_MODIFIED R-DFARS 252.204-7023 Reporting Requirements for Contracted Services updated from deviation 2026-O0043.
2026-02-01 2026-O0028 RFO_CLAUSE_MODIFIED R-DFARS 252.204-7023 Reporting Requirements for Contracted Services 10 U.S.C updated from deviation 2026-O0028.
2026-02-17 2026-O0043 RFO_CLAUSE_MODIFIED R-DFARS 252.204-7023 Reporting Requirements for Contracted Services updated from deviation 2026-O0043.
2026-02-01 2026-O0002 RFO_CLAUSE_ADDED R-DFARS 252.204-7023 0704-0519 added from deviation 2026-O0002.
RFO
Prescription superseded under the RFO

The prescription shown below is from the codified eCFR. The Revolutionary FAR Overhaul relocates this clause's prescription as follows:

  • 212.301212.205 (prescriptive text also revised)
  • Alternate I: 212.301204.208-71 (prescriptive text also revised)

See the deviation memorandum for the current prescription authority.

View deviation: 2026-O0043 → · View deviation: 2026-O0028 → · View deviation: 2026-O0002 →

R-DFARS Prescription Source

This clause is prescribed in the R-DFARS by the following deviation:

  • 2026-O0043 — DFARS RFO Implementation (Part 4) (DFARS Part 204)
    Add clause 252.204-7023
204.1705(a)
(a)(i) Use the basic or the alternate of the clause at, Reporting Requirements for Contracted Services, in solicitations, contracts, agreements, and orders, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial products and commercial services, that-- (A) Have a total estimated value, including options, that exceeds $3 million; and (B)Are for services in the following service acquisition portfolio groups:
(1) Logistics management services.
(2) Equipment-related services.
(3) Knowledge-based services.
(4) Electronics and communications services.
(ii) Use the basic clause in solicitations and contracts, except solicitations and resultant awards of indefinite-delivery contracts, and orders placed under non-DoD contracts that meet the criteria in paragraph (a)(i) of this section.
(iii) Use the alternate I clause in solicitations and resultant awards of indefinite-delivery contracts, basic ordering agreements, and blanket purchase agreements, when one or more of the orders under the contract or agreement are expected to meet the criteria in paragraph (a)(i) of this section.
Prescription data sourced from eCFR as of 2026-06-15 02:15 UTC. Cross-references within the prescription are not resolved automatically.

Regulatory Stack

The layers of regulation that govern this clause, from the FAR prescription through agency-specific supplements and any active deviations.

R-DFARS R-DFARS Prescription Per Deviation 2026-O0043 (DFARS Part 204)
2026-O0043: DFARS RFO Implementation (Part 4) — DFARS Part 204

View Deviation 2026-O0043 →

DFARS DFARS Supplement (eCFR) ⚠ May be superseded by RFO 204.1705(a)
(a)(i) Use the basic or the alternate of the clause at, Reporting Requirements for Contracted Services, in solicitations, contracts, agreements, and orders, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial products and commercial services, that-- (A) Have a total estimated value, including options, that exceeds $3 million; and (B)Are for services in the following service acquisition portfolio groups:
(1) Logistics management services.
(2) Equipment-related services.
(3) Knowledge-based services.
(4) Electronics and communications services.
(ii) Use the basic clause in solicitations and contracts, except solicitations and resultant awards of indefinite-delivery contracts, and orders placed under non-DoD contracts that meet the criteria in paragraph (a)(i) of this section.
(iii) Use the alternate I clause in solicitations and resultant awards of indefinite-delivery contracts, basic ordering agreements, and blanket purchase agreements, when one or more of the orders under the contract or agreement are expected to meet the criteria in paragraph (a)(i) of this section.

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Version History

Version history is sourced from the codified eCFR. Changes published only as class deviations or by the Revolutionary FAR Overhaul do not appear here until they are incorporated into the eCFR. For RFO-driven changes see the RFO Version tab and any active deviations cited above.

No version history available from eCFR.

Active Class Deviations

DFARS RFO Implementation (Part 4) Add clause 252.204-7023
MODIFIED
DFARS RFO Implementation (Part 12) Modify clause 252.204-7023
MODIFIED
DFARS RFO Implementation (Part 1) Modify clause 252.204-7023
MODIFIED
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