Fast Pay The fast payment procedure allows payment, under limited conditions, to a contractor before the Government’s verification that supplies were received and accepted. Fast payment is for ordering supplies by afloat and overseas activities only. Fast pay is the payment made to a commercial source based on proof of shipment by the vendor. This means the vendor gets paid by submitting an invoice proving that supplies were delivered to a post office, common carrier, or Government receiving point. The vendor agrees to replace, repair, or correct supplies not received at destination, damaged in transit, or not conforming to purchase agreements. Use this method for buying material that does not require technical certification at the destination. Prepare DD Form 1155 according to enclosure 2, chapter 5, of NAVSUPINST 4200.85 (series). The DD Form 1155 should include the fast payment procedure clause at FAR 52.213-1 in full. Any BPA that may have fast payment order should also contain the fast payment procedure clause. Mark the original and all copies of the DD Form 1155 with “FAST PAY” in bold letters. The consignee must notify the purchasing office within the following time frames: . Receipt of conforming material within 10 days from the receipt date l Within 30 days if materials were not received by the date shown in block 10 of DD Form 1155 l Within 10 days after receiving material that does not conform to the requirements of the order Indirect Delivery When used for indirect delivery, blocks 13 and 14 of DD Form 1155 will show that the material and the invoice will be delivered to a transshipper. In this case, the supporting activity performs the technical inspection and confirms acceptance of the material. The receiving personnel need only verify the quantity of material received. See figure 5-6 for a sample DD 1155 processed for indirect delivery. The procedure for ordering material on a DD Form 1155 often involves a customer picking up the material. This method is also known as “bearer pick-up.” We use this method when the ordering department goes directly to the vendor to get material. The supply officer establishes local procedures to ensure proper receipt processing. The procedures include requirements for picking up all material and removing the DD Form 1155 copy from the bearer suspense file. The suspense copy of DD form 1155 goes to the receiving section for processing. The ordering activity receives advance notice for each DD Form 1155 purchase placed by another activity in response to a requisition. The advance package includes a copy of the DD Form 1155 and a preaddressed card titled “Report of Nonreceipt, Damage, or Nonconformance.” Report of Receipt, Nonreceipt or Nonconformance The ordering activity completes and returns the Report of Receipt, Nonreceipt, or Nonconformance with an advance DD Form 1155. This form is used when material received under contract on a DD Form 1155 is not acceptable. The reasons for not accepting material includes damaged in shipment or not technically acceptable (direct shipments only). You also use this form to report orders that were not received within 60 days of the specified delivery date. Receiving personnel should then tell the procurement section to begin new procurement action if necessary. When material has been received on DD Form 1155, the Purchase Action file copy will be certified as received. See figure 5-7 for a sample Report of Receipt, Nonreceipt, or Non- conformance. DD FORM 250 The Material Inspection and Receiving Report, DD Form 250, is used to verify material inspection and acceptance for items received directly from a contractor. The DD Form 250 may be used for shipments of material procured by ashore activities on DD Form 1155. Receiving personnel will review the DD Form 250 to determine the type of certification required. The following paragraphs explain the types of certification. Acceptance At Destination (Code D) Block 8 of DD Form 250 will show if acceptance at destination (code D) was requested by the ordering activity. If block 21B indicates procurement quality assurance (PQA) and acceptance, you should contact a qualified technician from the ordering department. The technician will inspect and certify material acceptability in block 21B. The receiving personnel will certify the quantity received in block 22. For quantity discrepancies, line out the quantity in column 17, enter and circle the quantity received. For material received in damaged condition, 5-9