{
  "node_id": "us-far-part-32-contract-financing",
  "title": "FAR Part 32 - Contract Financing (Progress Payments, Performance-Based Payments, Prompt Payment Act)",
  "domain": "Public Sector & Government Procurement",
  "version": "1.0.0",
  "last_updated": "2026-06-01",
  "bluf": "Federal Acquisition Regulation (FAR) Part 32 governs federal contract financing including progress payments, performance-based payments, advance payments, commercial item financing, and the Prompt Payment Act: Subpart 32.1 (General) requires contracting officers to provide financing only as needed and monitor contractor use and financial status; Subpart 32.2 (Commercial Product and Commercial Service Purchase Financing) limits commercial advance payments to 15% of contract price before performance and requires adequate security under 32.202-4; Subpart 32.4 (Advance Payments for Non-Commercial Items) requires determination by head of contracting activity; Subpart 32.5 (Progress Payments Based on Costs) allows progress payments at standard rates (currently 80% for non-small business, 85% for small business) computed on incurred costs less progress payments to subcontractors; Subpart 32.10 (Performance-Based Payments) is the preferred method for non-commercial fixed-price contracts where payments are tied to performance events or milestones; Subpart 32.11 (Electronic Funds Transfer) mandates EFT for contractor payments under 31 USC 3332; Subpart 32.9 implements the Prompt Payment Act (31 USC chapter 39) requiring payment within 30 days of proper invoice receipt (7 days for fast-pay) with interest penalty on late payments under 5 CFR Part 1315.",
  "paywall": {
    "status": "LOCKED",
    "unlock_cost_usd": "0.01",
    "skyfire_id": "41779894-ece2-4163-9761-b3b1b76e19b0"
  },
  "crosswalks": {
    "_available_keys": [
      "statutory_basis",
      "financing_method_order_of_preference",
      "industry_mapping",
      "progress_payment_mechanics",
      "prompt_payment_compliance",
      "subcontractor_payment_protection"
    ],
    "_note": "Full crosswalk values included in vault response"
  },
  "dependencies": [
    "us-far-part-15-contracting-by-negotiation",
    "us-far-part-16-types-of-contracts",
    "us-31-usc-1341-antideficiency-act",
    "us-40-usc-3131-miller-act-federal-construction-bonds"
  ],
  "primary_citations_count": 6
}