Which statement best describes a severable contract?

• A. Routine, repetitious services that can be separated by time periods
• B. Single, non-recurring service
• C. Always charged to the most recent appropriation
• D. Contracts must be priced per quarter

Answer: (A)

Severable contracts are those where the work can be divided into distinct time-based portions, and payments can be made for each portion as it is performed. This fits best with routine, repetitious services that can be separated by time periods, because you can measure and bill for the service delivered in each specific period.

For example, ongoing janitorial or IT support that is performed month by month can be paid for in monthly or quarterly increments without waiting for the entire contract to finish. The other options don’t describe this characteristic: a single, non-recurring service isn’t divisible into periods; funding isn’t necessarily always from the most recent appropriation and depends on what's available for the period of performance; and pricing per quarter isn’t a defining feature of severable contracts.