---
kind: "section"
citation: "22 C.F.R. § 1508.220"
title: "22"
number: "1508.220"
heading: "Are any procurement contracts included as covered transactions?"
url: "https://uscodex.org/cfr/22/1508.220"
---

# §1508.220. Are any procurement contracts included as covered transactions?

- (a) **Covered transactions under this part—**
  - (1) Do not include any procurement contracts awarded directly by a Federal agency; but
  - (2) Do include some procurement contracts awarded by non-Federal participants in nonprocurement covered transactions (see appendix to this part).
- (b) Specifically, a contract for goods or services is a covered transaction if any of the following applies:
  - (1) The contract is awarded by a participant in a nonprocurement transaction that is covered under [§ 1508.210](/cfr/22/1508.210.md), and the amount of the contract is expected to equal or exceed $25,000.
  - (2) **The contract requires the consent of a(n) ADF official.** In that case, the contract, regardless of the amount, always is a covered transaction, and it does not matter who awarded it. For example, it could be a subcontract awarded by a contractor at a tier below a nonprocurement transaction, as shown in the appendix to this part.
  - (3) **The contract is for federally-required audit services.**

## Notes

### Authority

Authority: Sec. 2455, Pub.L. 103-355, 108 Stat. 3327; E.O. 12549, 3CFR, 1986 Comp., p.89; E.O. 12689, 3CFR, 1989 Comp., p. 235.

### Source

Source: 68 FR 66590, 66592, Nov. 26, 2003, unless otherwise noted.
