20-307 Contract Modifications. Items of supplies or services set forth in contract or exhibit modifications shall reflect the applicable line or subline item numbers, if any, appearing in the basic contract, except in those instances when the nature of the modification necessitates reidentification of a partial quantity of an existing contract line item or exhibit line item. Situations described below are intended to furnish guidance as to when a new line or subline item number should or should not be assigned as the result of a contract modification.

(a) Modification applying to definitized items (firm price of item is included in the contract or, if this modification establishes additional quantities of items already included in the contract, the price of the item in the modification is the same as in the contract or, if this is a new item, the modification contains a firm price):

(i) If the modification applies to the total quantity of the existing line or subline item, the original line or subline item number may be retained.

(ii) If the modification changes the specification of a partial quantity of the existing contract or exhibit line or subline item, but the specification change is not of sufficient magnitude to make the partial quantity separately identifiable (e.g., new National Stock Number or item description, see 20-303.1(a)(ii) and 20-304.2(c)(iii)) and the unit price change is averaged to provide a revised single unit price for the total quantity on the line or subline item, the original contract or exhibit line or subline item number may be retained.

(iii) If the modification adds a new item of supply or services to the contract or exhibit, the new item shall be assigned the next unused contract or exhibit line or subline item number.

(iv) If the modification affects only a partial quantity of an existing contract or exhibit line item or subline item and changes other than delivery date and/or, ship to mark for data, the unchanged portion shall retain the original contract or exhibit line or subline item number. The changed portion shall be assigned the next unused contract or exhibit line or subline item number.

(b) Modifications applying to undefinitized items (although a requirement for this item has already been included in the contract or previous exhibit a firm price has not been negotiated or, if this modification establishes additional quantities of an item, the price of the item in the modification is not firm or if this modification adds a new item for which the firm price has not been established):

(i) If the modification applies to the total quantity of the existing line or subline item, the original line or subline item number may be retained.

(ii) If the modification changes the specification of a partial quantity of the existing contract or exhibit line or subline item, but the specification change is not of sufficient magnitude to make the partial quantity separately identifiable (e.g., new National Stock Number or item description, see 20-303.1(a)(ii) and 20-304.2(c)(iii)) and the unit price change is averaged to provide a revised single estimated unit price for the total quantity on the line or subline item, the original contract or exhibit line or subline item number may be retained.

(iii) If the modification adds a new item of supply or service to the contract or Exhibit, the new item shall be assigned the next unused contract or exhibit line or subline item number.

(iv) If the modification is undefinitized (price) and increases the quantity
of an existing definitized (price) contract or exhibit line or subline
item, the next unused contract or exhibit line or subline item number
will be assigned to the increased quantity.

(v) If the modification increases the quantity of an existing but un-
definitized (price) contract or exhibit line or subline item, the
original line item number may be retained if the same unit price ap-
plies to the total quantity (existing plus increase) of the line item; if
the unit price of the increased quantity differs from that of the exist-
ing quantity, the next unused contract or exhibit line item or subline
item number will be assigned to the increased quantity.
(vi) If the modification affects only a partial quantity of an existing con-
tract or exhibit line or subline item and definitizes price, the
definitized portion shall retain the original contract or exhibit line or
subline item number. The undefinitized portion shall be assigned the
next unused contract or exhibit line or subline item number; how-
ever, if the same item on another existing contract or exhibit line or
subline item has already been definitized and the newly definitized
quantity is definitized at the same unit price as the existing
definitized quantity, or an average definitized unit price is
established for the new and the existing definitized quantities, then
the undefinitized portion may retain its existing line item number and
the newly definitized quantity may be added to the contract or ex-
hibit line item for the previously definitized quantity.

(vii) If the modification affects only a partial quantity of an existing con-
tract or exhibit line or subline item and does not change the delivery
schedule nor definitize price, the unchanged portion shall retain the
original contract or exhibit line or subline item number. The changed
portion shall be assigned the next unused contract or exhibit line or
subline item number.

(c) In any event, all items of supplies or services appearing in modifications and exhibits shall be established and numbered in accordance with the uniform numbering procedures prescribed in this part. If subline numbers are assigned, all requirements for the associated contract or exhibit line item will be identified as subline items and the contract or exhibit line item will serve only as a common denominator for the accumulation of management data.

20-308 Contract Accounting Classification Reference Number (ACRN). 20-308.1 General. As a method of relating the long line accounting classification citation number to detail line item scheduled information, the Accounting Classification Reference Number (ACRN) shall be utilized in all contracts assigned for the contract administration to the Defense Contract Administration Services, DSA, and to Plant Cognizance Representatives of the Military Departments and Agencies.

20-308.2 Criteria for Establishing. This two position alpha/numeric control code is required for Military Standard Contract Administration Procedures (MILSCAP) processing and may also be used in contracts administered by each Service/Agency. Under MILSCAP, the ACRN is required to associate the Accounting Classification Trailer Record, the Supplies Schedules Data Record and the Services Line Item Data Record with the long line accounting classification. The reference number is also used to associate the various record formats of the Contract Payment Notice as described in Chapter 16 of the MILSCAP Manual, DOD 4105.63-M.

20-308.3 Procedures for Using the Accounting Classification Reference Number (ACRN).

(a) The ACRN will be any combination of a two position alpha/numeric code assigned discretely to each accounting classification within each contract. The letters "I" and "O" shall not be used.

(b) This code will be shown as a detached prefix to the long line accounting classification number in the Accounting and Appropriation Data block and/or Section K (Contract Administration Data) of the contract, except that accounting classification numbers included in the contract only for the information of the Transportation Officer for citation on Government bills of lading for shipment at Government expense of items on an f.o.b. origin contract need not be prefixed with an ACRN.

(c) If more than one ACRN is assigned in the contract, the ACRN shall also be shown in the contract Schedule as follows:

(i) The ACRN shall be shown adjacent to the identity code of each "Ship To/Mark For," unless the procedure in (ii) or (iii) below is used. Only one ACRN may be assigned to the same "Ship To/Mark For" within the same contract line or subline item number, except in rare cases when multiple accounting classifications apply to a single unit so the quantity cannot be subdivided to relate to a single accounting classification. In such case, the contract shall provide sufficient information under the heading "Payment Instructions for Multiple Fund Accounting Citations" to permit proper payment and fund accounting;

(ii) If only one accounting classification applies to a subline item, the ACRN may be shown in the Supplies/Services column near the subline item description;

(iii) If only one accounting classification applies to a line item, the ACRN may be shown in the Supplies/Services column near the line item description; and

(iv) The ACRN shall be shown in the contract Schedule in the following

manner:

ACR:1D

(v) For cost reimbursement type contracts the provisions of this para

graph (c) do not apply.

(d) The purchasing office executing a contract, basic ordering agreement, or blanket purchase agreement is responsible for control of assignment of ACRNS pertaining thereto. Contract or agreement provisions which provide for the is

suance of contract modifications (including provisioned item order modifications), calls, orders, or work requests by organizations other than the purchasing office executing the contract or agreement will contain instructions for ACRN assignment. This may be accomplished by individual assignments as funds are cited, by assignment of blocks of ACRNs to offices authorized to issue contract modifications, calls, orders or work requests or by some other appropriate method. In no case, however, will an ACRN apply to more than one long line accounting classification in a contract. The authority to control ACRN assignment shall not be delegated to another office by the purchasing office issuing the contract or agreement.

20-309 Indefinite Delivery Type Contracts.

(a) When an indefinite.delivery type contract includes provisions wherein the price of an item is determined at the time a delivery order is issued based on such factors as the quantity to be ordered, (e.g., 10-99 at $1.00, 100-249 at $.98, and 250 or more at $.95), the FOB provision, the destination, or the type pack required in the delivery order, it shall not be necessary to assign a separate line item number in the indefinite delivery type contract to each price for the same item. Each line or subline item in the individual delivery order, however, shall cite only one of the unit prices in the indefinite delivery type contract.

(b) Except as noted in (a) above, criteria for contract line item assignment (see 20-303) shall be applicable to indefinite delivery type contracts.