Policy Wonk

Navy/Vern, thanks for the replies. I attempted to set the scope of the question by leading with it. I did a poor job identifying my quandry. I absolutely agree that a non-severable service contract, for instance a 10 year study that culminates in a report in the 15th year is not prohibited. But being nonseverable, it would require full funding in the year of the need. this is the issue that I have. If the report is the bonafide need of the first year, does the incremental funding authorization of the multi-year contract allow future year appropriation to be used when I don't have the funds now to fully fund the the contract when I issue it. I believe that I have a single years requirement, which I believe would not meet the definition of multi-year contract and would falls outside of 17.1 which allows the procurement of more than one years and not more than 5 years requirements. My concern is that in several agencies, including my own, have used the Limitation of Funds clause to overcome short funding non-severable service contracts (both cost and fixed price). My agency has already moved away from that practice and began using 17.1 to incrementally fund our contracts rather than funding them at time of award. The question I have is that since I do not have adequate funding to fully fund my research and report when the contract is issued, can I use 17.1 to incrementally fund it in order to get around the requirement to fully fund the need from the fiscal year current when the need arises? If not is there something else that would help get around it? By the way, I concur with everything in your post, Vern. I believe that case law supports that there is no limit to total contract duration by giving deference to DOL's interpretation that each option is a new contract.

Can a multi-year contract be entered into for a non-severable service? We have research contracts that culminate in a report that run for 5 or more years? I know the FAR limits them to 5 years, but courts have blessed requirements beyond the 5 years. My concern lies in the definition of Multi-year contract in Part 17.1 "a contract for the purchase of supplies or services for more than 1, but not more than 5, program years." Does this preclude a non-severable service that runs 5 years or is there somewhere for guidance that has been issued post FASA? I'd appreciate any input.