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|Contracting for Indefinite Quantity A-E Services|
on Monday, December 11, 2000 - 04:27 pm:
While looking through my "Contracting for A-E Services"
workbook (obtained from an A-E training course) I came across
several statements indicating IQ A-E contracts for engineering
services (construction inspection, geotechnical investigations,
surveying, etc.) should only be of the fixed-price variety. My
organization typically awards IQ A-E contracts for such
engineering services on a per hour basis. We then issue task
orders for an estimated number of hours and make payment for the
actual number of hours of work performed by the contractor, plus
any incidental expenses required for performance.
So long as your IDIQ contract itself contains fixed hourly rates for each labor category, in my opinion you DO have a fixed-priced contract. I think you are doing it correctly.
I agree with Rita. Happy Sails! Joel
Okay, y'all have been a great help, but I get the feeling these services can only be obtained through FP contracts. Is this true? If so, why and where can I read up on this?
We have an active CPFF A-E services contract, dating back into the 1980's, for several hundred million dollars. Happy Sails! Joel
What you've described is a form of labor hour, not a firm-fixed price contract. I suspect you do not have the proper LH clauses nor are you administering the contracts properly. A firm-fixed price contract is not subject to any price adjustments based upon the contractor's cost or performance experience.
I see no current FAR, DFARS, AFARS, AFFARS, or EFARS
prohibition against non-FP A-E contracts.
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