[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-seo-277884-105":3,"detail-sidebar-cat-1-en-105":85,"doc-detail-277884-en":131},{"code":4,"msg":5,"data":6},0,"ok",{"site_id":7,"language":8,"slug":9,"title":10,"keywords":11,"description":12,"schema_data":13,"social_meta":78,"head_meta":80,"extra_data":82,"updated_unix":84},105,"en","contract-debts-responsibilities-demand-for-payment-interest-charges","Contract Debts - Responsibilities - Demand for payment - Interest charges","","Subchapter 3032.6 establishes procedures for administering and collecting contract debts owed by contractors to the Government. It assigns primary responsibility to contracting officers for identifying debts (except payment-office errors), demanding payment promptly, and issuing demand letters aligned with FAR 32.604 and HSAM Appendix AB templates. It also covers how to handle contractor appeals, analyze and route requests for installment payments or deferment to the component Chief Financial Officer, and apply interest charge rules with coordination on exemptions and DHS requirements.",{"@graph":14,"@context":77},[15,34,56],{"@type":16,"itemListElement":17},"BreadcrumbList",[18,23,27,31],{"item":19,"name":20,"@type":21,"position":22},"https://docshare.wps.com","Home","ListItem",1,{"item":24,"name":25,"@type":21,"position":26},"https://docshare.wps.com/template/","Template",2,{"item":28,"name":29,"@type":21,"position":30},"https://docshare.wps.com/template/letters/","Letters",3,{"item":32,"name":10,"@type":21,"position":33},"https://docshare.wps.com/template/contract-debts-responsibilities-demand-for-payment-interest-charges/277884/",4,{"url":32,"name":10,"@type":35,"image":36,"author":41,"headline":10,"publisher":44,"fileFormat":47,"inLanguage":8,"description":12,"dateModified":48,"datePublished":49,"encodingFormat":47,"isAccessibleForFree":50,"interactionStatistic":51},"DigitalDocument",{"url":37,"@type":38,"width":39,"height":40},"https://docshare.wps.com/thumbnails/contract-debts-responsibilities-demand-for-payment-interest-charges/277884.png","ImageObject",442,249,{"name":42,"@type":43},"Gloria","Person",{"url":19,"name":45,"@type":46},"DocShare","Organization","application/pdf","2026-10-27","2026-09-15",true,{"@type":52,"interactionType":53,"userInteractionCount":55},"InteractionCounter",{"@type":54},"ViewAction",13,{"@type":57,"mainEntity":58},"FAQPage",[59,65,69,73],{"name":60,"@type":61,"acceptedAnswer":62},"What are contracting officers responsible for under Subchapter 3032.6?","Question",{"text":63,"@type":64},"Contracting officers administer collection of contract debts and applicable interest in accordance with the Financial Management Policy Manual. They identify and demand payment of contract debts, except debts resulting from errors made by the payment office.","Answer",{"name":66,"@type":61,"acceptedAnswer":67},"When must a contracting officer issue a demand for payment letter?",{"text":68,"@type":64},"If there is an indication a contractor owes money to the Government, the contracting officer determines whether an actual debt is due and its amount, then promptly issues a demand for payment letter consistent with FAR 32.604 and HSAM Appendix AB.",{"name":70,"@type":61,"acceptedAnswer":71},"Can contracting officers approve installment payments or deferment of collection?",{"text":72,"@type":64},"No. Contracting officers are not authorized to approve or deny these requests. They must analyze the request per FAR 32.607 and submit the request and recommendation to the component Chief Financial Officer for a decision.",{"name":74,"@type":61,"acceptedAnswer":75},"How are interest charges handled for unpaid contract debts?",{"text":76,"@type":64},"The contracting officer consults with the component finance office about debts that may be exempt from interest charges. Interest charges and credits must comply with FAR 32.608, and exemptions may apply depending on whether the contract includes a specific interest clause.","https://schema.org",{"og:url":32,"og:type":79,"og:title":10,"og:site_name":45,"og:description":12},"article",{"robots":81,"canonical":32},"index,follow",{"doc_id":83,"site_id":7},277884,1790046111,{"code":4,"msg":86,"data":87},"success",[88,93,98,103,108,113,118,122,127],{"id":89,"doc_module":22,"doc_module_name":25,"category_name":90,"show_sort_weight":91,"slug":92},11,"Presentations",90,"presentations",{"id":94,"doc_module":22,"doc_module_name":25,"category_name":95,"show_sort_weight":96,"slug":97},12,"Resumes",80,"resumes",{"id":99,"doc_module":22,"doc_module_name":25,"category_name":100,"show_sort_weight":101,"slug":102},14,"Invoices",70,"invoices",{"id":104,"doc_module":22,"doc_module_name":25,"category_name":105,"show_sort_weight":106,"slug":107},15,"Posters",60,"posters",{"id":109,"doc_module":22,"doc_module_name":25,"category_name":110,"show_sort_weight":111,"slug":112},16,"Social Media",50,"social-media",{"id":114,"doc_module":22,"doc_module_name":25,"category_name":115,"show_sort_weight":116,"slug":117},17,"Forms",40,"forms",{"id":119,"doc_module":22,"doc_module_name":25,"category_name":29,"show_sort_weight":120,"slug":121},18,30,"letters",{"id":123,"doc_module":22,"doc_module_name":25,"category_name":124,"show_sort_weight":125,"slug":126},21,"Paper Templates",5,"papers-templates",{"id":128,"doc_module":22,"doc_module_name":25,"category_name":129,"show_sort_weight":4,"slug":130},158,"General","general-158",{"code":4,"msg":86,"data":132},{"doc_id":83,"user_id":133,"nickname":42,"user_avatar":134,"doc_module":22,"category_id":119,"category_name":29,"doc_title":10,"doc_description":12,"doc_content":135,"file_id":136,"file_url":137,"file_type":138,"file_size":139,"view_count":55,"is_deleted":4,"is_public":22,"is_downloadable":22,"audit_status":22,"page_count":26,"language":140,"language_code":8,"site_id":7,"html_lang":8,"table_of_contents":141,"faqs":142,"seo_title":143,"seo_description":12,"update_tm":144,"read_time":22},2336474459895,"https://ap-avatar.wpscdn.com/avatar/22000baeef7a5ed0655?x-image-process=image/resize,m_fixed,w_180,h_180&k=1786071322749376916","Subchapter 3032.6 Contract Debts  \n3032.602 Responsibilities.  \nContracting officers shall administer the collection of contract debts and applicable interest in accordance with Financial Management Policy Manual (FMPM) Section 3.13,“Non-Tax Debt Collection, Referral and Write-off” as implemented by Component procedures, if any. If Component procedures do not exist, contracting officers shall consult with their finance office concerning debt collection. The contracting officer has primary responsibility for identifying and demanding payment of contract debts except those resulting from errors made by the payment office.  \n3032.604 Demand for payment.  \n(a) If the contracting officer has any indication that a contractor owes money to the Government under a contract, the contracting officer shall immediately determine if an actual debt is due and the amount. If a debt is due, the contracting officer shall promptly issue a demand for payment letter to the contractor in accordance with the standards and requirements of FAR 32.604, Demand for Payment. The demand for payment should be modeled after the template provided in HSAM Appendix AB, Demand for Payment Letter. Making an immediate demand for payment is intended to increase the timeliness of repayment of the debt and to begin accumulating interest if the contract provides that interest begins to accrue as of the date of a demand for payment.  \n(b) If a final decision under FAR 33.211, contracting officer’s decision, results in a contractor owing any amount to the government, the final decision notice to the contractor shall include a demand for payment per FAR 32.604 and HSAM Appendix AB. If the contractor appeals the final decision to the Board of Contract Appeals, the contracting officer must notify the component’s payment office that an appeal has been filed.  \n3032.607 Installment payments and deferment of collection.  \n(a) The contracting officer is not authorized to approve or deny either a request for installment payments or a deferment of payment of a contractor’s debt under a contract. If a contractor submits a request for installment payments or deferment of payment, the contracting officershall:  \n(1) Analyze the request and determine the recommended course of action per FAR 32.607; and  \n(2) Submit the request and the recommendation (together will all other data required by FAR 32.607) to the component Chief Financial Officer (CFO) for a decision of whether the request should be approved.  \n3032.608-1 Interest charges.  \n(a) The contracting officer shall consult with the Component's finance office concerning  \ncontractor's debts that may be exempt from interest charges. If the contract under which a debt is  \ncreated does not include a clause requiring the contractor to pay interest on an unpaid debt, DHS procedures authorized by 31. U.S.C. 3717 require collection of interest, penalties and fees on an unpaid debt (see Chapter 3 of the DHS CFO Financial Policy Manual) . DHS contracts that include a requirement for a contractor to pay a specific rate of interest on an unpaid debt (such as by the clause at FAR 52.232-17, Interest) are exempt from the DHS CFO Financial Policy Manual policies on payment of interest, penalties and fees for that debt. Demand for payment templates at HSAM Appendix AB are available to be applied to either situation.  \n(b) The component’s payment office may consult with the contracting officer about the proper interest charges to apply to any contract debt unpaid after 30 days from the issuance of a demand. Such interest charges and credits shall comply with FAR 32.608.  \n3032.610  \nReserved.","cbCaioFnuh8BavC1","https://ap.wps.com/l/cbCaioFnuh8BavC1","pdf",132012,"English","# Subchapter 3032.6 Contract Debts\n## 3032.602 Responsibilities\n## 3032.604 Demand for payment\n## 3032.607 Installment payments and deferment of collection\n## 3032.608-1 Interest charges\n## 3032.610 Reserved","[{\"question\":\"What are contracting officers responsible for under Subchapter 3032.6?\",\"answer\":\"Contracting officers administer collection of contract debts and applicable interest in accordance with the Financial Management Policy Manual. They identify and demand payment of contract debts, except debts resulting from errors made by the payment office.\"},{\"question\":\"When must a contracting officer issue a demand for payment letter?\",\"answer\":\"If there is an indication a contractor owes money to the Government, the contracting officer determines whether an actual debt is due and its amount, then promptly issues a demand for payment letter consistent with FAR 32.604 and HSAM Appendix AB.\"},{\"question\":\"Can contracting officers approve installment payments or deferment of collection?\",\"answer\":\"No. Contracting officers are not authorized to approve or deny these requests. They must analyze the request per FAR 32.607 and submit the request and recommendation to the component Chief Financial Officer for a decision.\"},{\"question\":\"How are interest charges handled for unpaid contract debts?\",\"answer\":\"The contracting officer consults with the component finance office about debts that may be exempt from interest charges. Interest charges and credits must comply with FAR 32.608, and exemptions may apply depending on whether the contract includes a specific interest clause.\"}]","Contract Debts - Responsibilities - Demand for payment - Interest charges | PDF",1789505018]