Contract Closeout Process

Successfully complete and close government contracts

Last reviewed on May 12, 2026.

Closeout Timeline

Quick Closeout: Contracts under $1M should be closed within 6 months of completion
Action Timeline Responsibility
Submit final deliverables At completion Contractor
Submit final invoice 120 days Contractor
Property disposition 120 days Both
Patent/data rights 90 days Contractor
Release of claims Upon payment Both

Closeout Checklist

Administrative

  • All deliverables accepted
  • Final invoice submitted
  • Subcontracts closed
  • Property transferred
  • Records archived

Financial

  • Final voucher certified
  • Indirect rate settlement
  • Funds deobligated
  • Final audit complete
  • Final payment received

When closeout disputes need a different forum

Most closeouts complete administratively. When disputes arise — disallowed costs, indirect rate ceiling disagreements, contested final fee determinations — the path typically runs through the Contract Disputes Act process (REA → claim → contracting officer's final decision → ASBCA or COFC appeal), not the bid protest process. Protests address procurement actions; disputes address performance and payment. For the procurement-side forum that applies to award decisions, see GAO bid protests.

The indirect rate reconciliation step is one of the more common sources of disputes. See indirect rate structures for how provisional, billing, and final rates flow through the contract life.