48 CFR §750.7107

1. (a)Executive Order 11223 does not provide authority for:
   1. (1)The award of a cost-plus-a-percentage-of-cost contract;
   2. (2)The payment of profit or fees in excess of applicable limitations; or
   3. (3)The waiver of any requirement to post a bid, payment, performance, or other bond required by law.
2. (b)
   1. (1)Executive Order 11223 does not authorize the issuance of a modification, unless:
      1. (i)With respect to cases falling within Section 4 of Executive Order 11223, the approving authority determines that the action is necessary to protect the foreign policy interests of the United States; and
      2. (ii)No other legal authority authorizes issuance of such modification.
   2. (2)A modification under paragraph (b)(1) of this section must be within the limits of the amounts appropriated and the statutory contract authorization as referenced in FAR 50.102-3.
3. (c)No contract shall be modified unless the contractor submits a request prior to all obligations (including final payment) under the contract having been discharged.
4. (d)An informal commitment must not be formalized unless:
   1. (1)The contractor submits a written request for payment within six months after furnishing, or arranging to furnish, supplies or services in reliance upon the commitment;
   2. (2)USAID has received the services satisfactorily performed, or has accepted property furnished in reliance on the commitment;
   3. (3)The USAID employee alleged to have made the informal commitment has affirmatively acknowledged responsibility for making the informal commitment in question; and
   4. (4)USAID has taken appropriate action to prevent recurrence.