Background:
I manage a DoD PBSC; FPAF for the Base Support and CPAF for the Range support. The award was made on xx number of PWS (Grounds, communication, Public Work, Radar support, etc ) and not based on number of hours. Additionally, we separately price Contract Task Order (CTOs), based on a separate PWS. We use our FPAF and CPAF staff to support the CTOs
Issue: We recently was challenged by the KO not allowing us to use our bid rate for Exempt Employees on these CTOs. However, I explain that he needs to charge where he works. The KO then agree only if we propose with the adjusted hourly rate since my guy works more than 40 hrs per week on this home annex scope.
I read FAR 37.115 and FAR 52.237-10 and the new paragraph (d) to 37.115-2 and I am confused.
1st - This contract did incorporate FAR 52.237-10 but it WAS NOT awarded on the basis of the number of hours to be provided.
2nd - We have separate PWS for the basic contract and separate PWS for the CTOs. If I have an Exempt employee that works more than 40 hours in support of his home annex and his hourly rate is adjusted, do I have to use that adjusted hourly rate for all proposals even if the work is in support of a second contract?
Although the revised clause requires the contractor to apply the adjusted hourly rate to all proposed hours, I disagree that this applies to my contract since the award was not based on the number of hours to be provided but rather on a scope/position and not a body.
We are compliant and record all the hours worked, if I need to propose the adjusted hourly rate, how should I manage / use such when the adjusted hourly rate will change for all future proposal/CTOs.
Question: Am I required to provide the Govt the hourly rate adjustment from one individual that supports two contracts with the same DoD Customer?
thanks,