John at HAC

Formerfed Concur with your logic. Separate question. If a contractor proposed such a contract (5-year base + multiple ATIs, each 5-years) in connection with the procurement of equipment combined with the long-term performance of the equipment, which statutes would the contractor cite? I'm thinking that 10 USC 2306b (Multiyear contracts: acquisition of property) and 10 USC 2304a (task and delivery order contracts: general authority) would be appropriate. Any input would be most welcome.

Formerfed Thanks. In re-reading the question, I meant to inquire about OMB rather than CBO, but I suppose the answer would be the same. Separate question. I've read about examples of contracts with embedded ATIs extending to a 20-year total potential performance period. Does anyone know of a statutory limitation regarding total potential term. Otherwise said, is there anything that would prohibit an agency from executing a contract with a 5-year base plus five ATIs, each being 5-years in length -- for a total potential term of 30-years?

Does anyone know whether CBO treats award terms similar to option terms from a scoring perspective? That is, they assume they will be exercised.