The Defense Logistics Agency assigns CAGE codes automatically to U.S. entities during SAM registration, while international entities must obtain NCAGE codes through NATO channels before registering. DLA officials review business information, verify details, and may request additional documentation to complete the process. CAGE codes require renewal every five years, maintained through annual SAM updates. Discrepancies in code information are resolved through coordination between DLA Distribution Centers and suppliers, with special handling for hazardous materials and duplicate serial numbers. The full assignment process reveals critical compliance requirements for defense contractors.
The CAGE Code Assignment Process for U.S. and International Entities
Obtaining a CAGE code follows two distinct processes depending on whether an entity operates within the United States or internationally.
For U.S. entities, CAGE codes are automatically assigned during SAM registration without requiring separate applications. DLA processes these assignments after reviewing entity information, including legal business name and physical address. The CAGE Public platform offers unified search solutions for entities to verify their assigned codes and access related resources. DLA officials may request additional information from the entity’s SAM Point of Contact if clarification is needed during the review process. Businesses must ensure accurate company information is maintained to avoid delays in processing their applications.
The CAGE code significance increases for international entities, who must obtain NCAGE codes before SAM registration.
These international compliance requirements mandate foreign businesses to apply through the NSPA portal or their national codification bureaus. NATO members follow country-specific procedures, while non-NATO nations use the NSPA system.
Unlike U.S. entities, international businesses cannot proceed with SAM registration until their NCAGE code is officially assigned and validated by appropriate authorities.
Five-Year Renewal Requirements and Code Maintenance
Since August 26, 2016, CAGE codes for U.S.-based entities require renewal every five years to maintain their validity in government contracting systems.
This renewal process is automatically completed through annual SAM registration updates, eliminating the need for separate CAGE code renewal procedures.
Entities must maintain an active SAM registration to guarantee their CAGE code information remains current and valid.
The system generates expiration alerts as renewal deadlines approach, helping organizations avoid disruptions in government contract eligibility.
CAGE code renewal is critical for business operations, as expired codes can prevent federal contract payments and affect compliance with government regulations.
Organizations should regularly verify both their SAM registration and CAGE code status to prevent penalties and operational challenges associated with non-renewal.
Starting August 25, the Defense Logistics Agency will implement a phased approach for managing CAGE code expirations to improve data quality across systems.
Businesses must ensure their contact information remains accurate and up-to-date as part of their compliance with CAGE code requirements.
Registration in SAM.gov is mandatory for eligibility to secure government contracts, grants, and cooperative agreements with federal agencies.
Resolving CAGE Code Discrepancies and Special Circumstances
When CAGE code information contains errors or inconsistencies, resolution processes must be established to maintain operational efficiency within the Defense Supply System. These CAGE code discrepancies typically surface during receipt or data processing, often manifesting as invalid, missing, or incorrect codes.
DLA Distribution Centers collaborate with suppliers and internal teams to rectify these issues through a coordinated approach involving procurement teams and logistics personnel. The resolution process frequently requires updates in logistics systems and follows DLMS procedures with specific discrepancy codes. Careful attention to detail during initial application can significantly reduce rejection rates and streamline the resolution process. Timely action is critical as inadequate resolution can lead to prolonged suspension time and potentially impact warfighter readiness.
Special handling requirements become necessary in scenarios involving hazardous materials or duplicate serial numbers. When duplicates are identified through matching NSN, serial number, and manufacturer CAGE code, the material owner must update or suffix the number to resolve the issue.
Frequently Asked Questions
Can Multiple CAGE Codes Be Assigned to One Business Entity?
Multiple CAGE code assignments are possible for one business entity when different divisions operate at separate physical locations. Business entity classifications with distinct facilities or corporate structures may justify several CAGE codes.
How Do Mergers or Acquisitions Affect Existing CAGE Codes?
Mergers or acquisitions typically require CAGE code revalidation or reissuance when legal names, tax IDs, or addresses change. Merger implications include potential contract disruptions, while acquisition processes necessitate timely updates to maintain compliance with federal regulations.
Are CAGE Codes Transferable Between Business Entities?
CAGE codes are transferable between business entities through the Novation process. However, CAGE code portability is complex and may require legal agreements when business entity changes occur through mergers or acquisitions.
What Happens if My CAGE Code Accidentally Expires?
If a CAGE code expires, the entity becomes ineligible for federal contracts and may experience payment delays. Reactivation requires updating the SAM registration, which triggers the CAGE code reapplying process without additional fees.
Can Subcontractors Use Prime Contractors’ CAGE Codes for Government Work?
No, subcontractors cannot use prime contractors’ CAGE codes. Subcontractor eligibility requires obtaining separate, unique CAGE codes. Prime contractor responsibilities include ensuring all subcontractors maintain their own identifiers for government work accountability and compliance.