Code of Federal Regulations · Section
§ 16.603-3 — 16.603-3 Limitations
48 C.F.R. § 16.603-3
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A letter contract may be used only after the head of the contracting activity or a designee determines in writing that no other contract is suitable. Letter contracts shall not—
(a) Commit the Government to a definitive contract in excess of the funds available at the time the letter contract is executed;
(b) Be entered into without competition when competition is required by part 6; or
(c) Be amended to satisfy a new requirement unless that requirement is inseparable from the existing letter contract. Any such amendment is subject to the same requirements and limitations as a new letter contract.
Authorizing Statute
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Powers of the Administration in performance of functions51 U.S.C. § 20113
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Administrative40 U.S.C. § 121
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General authority41 U.S.C. § 1121
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Chapter 137 legacy provisions10 U.S.C. § 3016