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  1. I cannot find any specific guidance regarding payment in excess of invoices. Also, I am withholding a reasonable amount (and plan to continue doing so even after adjusting the fee). I'm really just not sure of the proper mechanics of how to pay above the billing amount. Is there a general rule of thumb used (for CPIF contracts) for the scenario where the Contractor is demonstrating that their cost performance will earn a fee significantly above the target fee and the KO considers it appropriate to pay a higher fee? Should the KO change the billing fee rate of the order? Request the supplier to bill at a higher rate? Unilaterally begin paying above the invoiced amount? Thanks!
  2. I did read FAR 52.216-10(c), but the supplier is still only billing at the 13% billing fee rate. FAR 52.216-10(c) states that the Government can pay above this fee rate at the discretion of the contracting officer. I suppose my more specific question is, should I (as the contracting officer) pay above the amount being requested in the invoice or should I inform the supplier that the Government considers it appropriate for them to begin billing at a higher fee rate? Thanks!
  3. I administer a CPIF contract that is currently underrunning. The price summary of the order allows a billing fee rate of 13%. At what point does the supplier earn their incentive fee (the portion of the underrun above 13% target fee that they are entitled to)? Do I withhold until contract closeout?
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