32.603 Debt determination.
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(a) If the contracting officer has any indication that a contractor owes money to the Government under a contract, the contracting officer shall determine promptly whether an actual debt is due and the amount. Any unnecessary delay may contribute to--
(1) Loss of timely availability of the funds to the program for which the funds were initially provided; -
(2) Increased difficulty in collecting the debt; or -
(3) Actual monetary loss to the Government.
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(b) The amount of indebtedness determined by the contracting officer shall be an amount that--
(1) Is based on the merits of the case; and -
(2) Is consistent with the contract terms.
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