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Contractor Purchasing System Review (CPSR)

Government contract purchasing system requirements vary depending on a contractor’s size, types of contracts, and other risk factors. Federal Acquisition Regulation (“FAR”) Part 44 – Subcontracting Policies and Procedures, establishes the requirements for review, evaluation, and approval of contractor purchasing systems. For government contractors expected to exceed $25 million in annual sales within the following 12 months (excluding competitive firm-fixed-price and commercial items contracts), the Administrative Contracting Officer (“ACO”) must assess the need for a Contractor Purchasing System Review (“CPSR”).

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