Which exception allows DoD agencies to obligate funds at contract award to finance a severable service contract with a period of performance not to exceed 12 months?

Which exception allows DoD agencies to obligate funds at contract award to finance a severable service contract with a period of performance not to exceed 12 months?

• A. The FY98 Defense Authorization Act amended 10 USC 2410a to permit authorized DoD agencies to obligate funds available at contract award to finance a severable service contract with a period of performance not to exceed 12 months.
• B. Adequate price competition exists.
• C. The acquisition is for a commercial item.
• D. The Head of the Contracting Activity grants a waiver.

Answer: (A)