Checklist contracting inhertely government functions 2026

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A closely associated with inherently governmental function is one that approaches being inherently governmental in nature because of the nature of the function, the manner in which the contractor performs the contract, or the manner in which the Government administers contract performance.
Justice George Sutherland described inherent powers as those that are independent of an authorizing power but are inherent to the government in its role as sovereign. United States v. Curtiss-Wright Exp., 299 U.S. 304 (1936).
Among other powers, the legislative branch makes all laws, declares war, regulates interstate and foreign commerce and controls taxing and spending policies.
7.503 Policy. (a) Contracts shall not be used for the performance of inherently governmental functions.
When contracting out governmental functions, it is the policy of the Government to utilize non-personal service contracts whenever possible. Personal services contracts are appropriate only in limited situations as prescribed by the Federal Acquisition Regulations.

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Inherently governmental function, as defined in section 5 of the Federal Activities Inventory Reform Act, Public Law 105-270, means a function that is so intimately related to the public interest as to require performance by Federal Government employees.

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