SpendLogic Cost and Price Analysis

Flowdown Requirements Explained: How Subcontracts Incorporate Prime Contract Terms and FAR Clauses

Prime contractor flowdown requirements are the contractual mechanisms by which prime contractors pass down obligations from their federal government contracts to their subcontractors, according to SpendLogic. These obligations, often originating from the Federal Acquisition Regulation (FAR) and agency-specific supplements, ensure that requirements related to areas like cost accounting, data rights, labor standards, cybersecurity, and small business utilization are met through