(a) The Contract as awarded. If the contracting officer considers it necessary for the DoN to control the method of transportation (e.g., so as to expedite the movement of contract items or otherwise to fulfill special DoN requirements), the contract should generally be made on the basis of delivery f.o.b. origin. This is a valid reason for departing from the policy of FAR 47.101(b)(1).
(b) Dispatch and oral instructions to contractors. If a shipment is urgent, the contracting officer (or the cognizant field contract administrator, as directed or authorized by the contracting officer) may issue dispatch shipping instructions to the contractor or oral instructions may be given. Oral instructions should be immediately confirmed in writing and incorporated in a contract modification. Obtain advice of military traffic management officers before issuing dispatch or oral shipping instructions to ensure the most expeditious and economical method of transportation.
(c) Late deliveries. The Government shouldn’t pay a premium for transportation used to meet required delivery dates.
