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Retreadfed

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  1. That might work in some circumstances. I suspect that the definition of "productive hour" would vary from contract to contract. For example, I once worked with a contractor that had a contract to answer correspondence and prepare speeches for the Office of the Secretary of the Navy. Document preparation would definitely be considered a productive hour under that contract. A dispute arose under that contract concerning what the contractor was entitled to be paid and the Navy at first said the contract was a LOE contract but ultimately backed off that position and agreed with the contractor concerning payment.
  2. No my question was in response to your statement I quoted. We are talking about "level of effort" as in level of effort contract. I think most of us agree that a T&M/LH contract is not a level of effort contract.
  3. What would be a productive hour? One example of time expended in regard to performance of a contract is a contract requirement that the contractor will have employees attend a quarterly meeting with the government concerning performance of the contract. The contractor sends appropriate people (3) to a meeting, however only 1 of the employees says anything at the meeting. Would the time of the silent employees be a productive hour? What about the travel time of the employees going to and from the meeting?
  4. This seems to contradict the notion that the government does not buy hours under T&M/LH contracts.
  5. No. In regard to the certificate, you only have to make sure that you have disclosed all the relevant cost or pricing data. Your proposal is not cost or pricing data.
  6. This is an important point. It is surprising how many contractors track direct costs for compliance with the Limitation of Cost clause, but forget to track indirect costs. This frequently results in the contractor experiencing an overrun on the contract because the contractor's final indirect cost rates turn out to be higher than the billing rates. Unless the contractor could not have known of the overrun before it occurred, the contractor generally cannot recover the overrun costs.
  7. What is your objective concerning the contract here? You say the contractor is late in delivering supplies. This gives the government the right to default terminate the contract immediately without a cure notice, unless the government has delayed in doing so so that it has waived the delivery date. If the delivery date has been waived, a new delivery date needs to be established if the government still wants the supplies. This is because a new delivery date needs to be established so the government can terminate for non-delivery by the new data or failure to make progress toward meeting the new delivery date. The new delivery date can be established unilaterally by the government. A quick search of ASBCA decisions has failed to show any decision where consideration was required for establishing a new delivery date after waiver, although a more in depth search may disclose such a decision. If the delivery date has not been waived, instead of issuing a T4D, the government and contractor can agree to a new delivery date. This is where consideration comes in. The government is providing consideration by giving up its right to terminate the contract for default. For the extension to be valid, the contractor must provide the government with some consideration in exchange.
  8. What is not in the best interest of the government?
  9. For a contract clause, see FAR 52.246-2(h).
  10. Check out a treatise on contracting such as Corbin or Williston. That should give you ample authority to support that proposition.
  11. If travel is a part of the G&A base, G&A will be allocated to the contract to the extent travel is allocated to the contract. See FAR 31.203(d). Whether the allocated G&A is reimbursable depends on the terms of the contract.
  12. Joel, Z said the contract was for commercial services. If the contract is a T&M contract, it is governed by FAR 52.212-4 Alt I which does not incorporate the cost principles from FAR Part 31.
  13. A contractor never has to protest a procurement. However, I know in the Dryun case there were several protests following her conviction by contractors who had been victimized by her corruption. Although filed several years after the fact, the protesters only became aware of the basis for a protest after her conviction so the protests were timely.
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