252.236-7004 Payment for mobilization and demobilization.
Prescription and Applicability
DFARS Prescription, 236.570(b)
(b) Use the following provisions and clauses in fixed-price construction contracts and solicitations as applicable -
(1) 252.236-7002, Obstruction of Navigable Waterways, when the contract will involve work near or on navigable waterways.
(2) When the head of the contracting activity has approved use of a separate bid item for mobilization and preparatory work, use either -
(i) 252.236-7003, Payment for Mobilization and Preparatory Work. Use this clause for major construction contracts that require - (A) Major or special items of plant and equipment; or (B) Large stockpiles of material which are in excess of the type, kind, and quantity which would be normal for a contractor qualified to undertake the work; or
(ii) 252.236-7004, Payment for Mobilization and Demobilization. Use this clause for contracts involving major mobilization expense, or plant equipment and material (other than the situations covered in paragraph (b)(2)(i) of this section) made necessary by the location or nature of the work. (A) Generally, allocate 60 percent of the lump sum price in paragraph (a) of the clause to the cost of mobilization. (B) Vary this percentage to reflect the circumstances of the particular contract, but in no event should mobilization exceed 80 percent of the payment item.
(3) 252.236-7005, Airfield Safety Precautions, when construction will be performed on or near airfields.
(4) 252.236-7006, Cost Limitation, if the solicitation's bid schedule contains one or more items subject to statutory cost limitations, and if a waiver has not been granted (FAR 36.205).
(5) 252.236-7007, Additive or Deductive Items, if the procedures in 236.213 are being used.
(6) 252.236-7008, Contract Prices - Bidding Schedule, if the contract will contain only unit prices for some items.
Current Text
252.236-7004 Payment for mobilization and demobilization.
As prescribed in 236.570(b)(2), use the following clause:
Payment for Mobilization and Demobilization (DEC 1991)
(a) The Government will pay all costs for the mobilization and demobilization of all of the Contractor's plant and equipment at the contract lump sum price for this item.
(1) ________ percent of the lump sum price upon completion of the contractor's mobilization at the work site.
(2) The remaining ________ percent upon completion of demobilization.
(b) The Contracting Officer may require the Contractor to furnish cost data to justify this portion of the bid if the Contracting Officer believes that the percentages in paragraphs (a) (1) and (2) of this clause do not bear a reasonable relation to the cost of the work in this contract.
(1) Failure to justify such price to the satisfaction of the Contracting Officer will result in payment, as determined by the Contracting Officer, of—
(i) Actual mobilization costs at completion of mobilization;
(ii) Actual demobilization costs at completion of demobilization; and
(iii) The remainder of this item in the final payment under this contract.
(2) The Contracting Officer's determination of the actual costs in paragraph (b)(1) of this clause is not subject to appeal.
(End of clause)
Active Class Deviations Affecting This Clause
Class Deviation 2026-O0019, DFARS RFO Implementation (Part 36)
- Status: Active
- Date Issued: 2026-02-01
- Change type: MODIFIED
- Action: Modified by RFO class deviation
Suggested Questions
You can ask your AI assistant:
- Should I include this provision in my solicitation?
- Does this clause apply to commercial acquisitions?
- Does this clause apply to R&D contracts under Part 35?
- Which alternate should I use for a multiple-award contract?
- Are there any active Class Deviations that modify this clause?
- What changed in the most recent amendment?