A recorded contract number is a unique identifier assigned to a contract by a government or private entity to track and manage its lifecycle. This number serves as a crucial reference point for all parties involved, ensuring accurate documentation and compliance with legal and regulatory requirements. The use of recorded contract numbers is widespread across various industries, including government procurement, construction, and service contracts.

The primary reason for employing recorded contract numbers is to enhance transparency and accountability in contract management. According to a report by the U.S. General Services Administration (GSA), the use of contract numbers helps in maintaining a comprehensive record of all agreements, facilitating easier tracking and auditing processes. This, in turn, reduces the risk of errors, fraud, and mismanagement.

Data from the U.S. Department of Defense (DOD) further supports the importance of recorded contract numbers. A study conducted by the DOD revealed that the implementation of contract numbers improved contract administration efficiency by 30%. This efficiency gain is attributed to the streamlined process of identifying, retrieving, and updating contract information.

Moreover, recorded contract numbers play a vital role in ensuring compliance with federal regulations. The Federal Acquisition Regulation (FAR) mandates that all contracts exceeding a certain monetary threshold must be assigned a unique contract number. This requirement not only helps in maintaining a standardized system but also aids in the enforcement of procurement laws and policies.

In conclusion, recorded contract numbers are essential tools for effective contract management, providing a clear and traceable identification system. Their use not only enhances transparency and accountability but also contributes to improved efficiency and compliance with legal requirements.