muddypuddles

I am embarrassed and flattered at the same time. If your article will help others on how to properly craft a question, then please use me. I don't know how I can pose my question without providing a lengthy description of my scenario. I think my question would be better answered in a face to face forum where dialogue can be easily exchanged. Thank you for the responses!

I revised my original post. This is commercial and SCA does not apply. For clarification, escalation rate would be applied to labor rates, not labor hours.

I revised my original post to state that SCA does not apply and this is commercial. Did you communicate that somehow in your Section L that may have signaled to offerors that prices are not expected to increase? Or did you just rate them lower (giving a weakness) that the prices in the out years increased, thereby indicating there are no cost efficiencies being offered by the offeror...somehow?

Instead of requesting offerors to propose a specified escalation rate on their labor rates for the out years (remember, I am also allowing offerors to propose other than), would you prefer I request that you submit your DCAA approved rates with your price proposal?

Under a FFP competitive (commercial) contract, is it unfair (too restrictive) to tell Offeror's that they must apply a specific escalation rate on their option years as part of their pricing proposal (but also allowing them to offer other than the specified escalation rate with supporting narrative)? My goal is to reduce the amount of analysis I do on a FFP contract. I feel conducting a price analysis on labor rates and labor hours are sufficient to make a fair and reasonable determination and based on competition (assuming I receive competition). My legal department does not object to this approach, but I wanted to see if others have an opinion on this matter or advice on how others may be analyzing option year rates under an FFP. SCA does not apply.

Not sure "worrying" describes how I feel. I am trying to understand the nature of "proposed" vs. "actuals" in an FFP environment. Also, hours proposed and actual hours worked, even under a FFP contract, becomes very handy information when it comes to market research for follow-ons. Thanks for the input. I get the idea!

You're right. I did/am. SCA and FLSA does not apply in this case. And I didn't set requirements on employer to employee vacation package... So, it sounds like I award at 2050, and hope the contractors work the hours.

Correct.

Thank you! No the PWS does not specify 1 FTE or number of required bodies. The proposal did not provide information on the "rollup" of the proposed hours. I have not experienced a situation where additional hours are provided for another body providing oversight and it being rolled up onto one labor category. I have always seen a separate labor category, or slightly higher labor rates to include the 'additional' overhead expenses. Yes, this is for a 12 month duration for a lump sum price. So we would basically award the contract at $100, 000. Instead of setting it up with QTY 1 x UP 100,000 = 100,000 (lump sum), I am setting it up as QTY 12 x UP 8333.33 = 100,000 (months).

SUPER THANK YOU TO ALL! This requirement would fall under FAR 15 because it exceeds 150k, but Subpart 13.5 allows for use of those procedures for above SAT. Which confused me further.

Hello, Can I use FAR 13.5 procedures and ask industry for a "proposal"? I was advised that FAR 13 procedures should request Quotes, and FAR 15 procedures should request proposals. I have an 5.5M knowledge based services requirement that requires a Technical Capability write up, Staffing plan, and management plan. I would say this requirement is a little more complex than a 150k buy.

Hello, I am contemplating a one-year FFP contract, structured with 12 months at a fixed price/lump sum. I have an IGE estimated at 2,020 hours for 1 FTE (salaried). Contractor proposed 2,050 to accomplish the task for that year at $100,000 . Overtime is not allowed. This is not set up as a LH contract or T&M. Given this scenario; Question: 1) Can a FTE work more than 1,920, which I believe is the standard number of hours after required vacation? If so, and, Govt agrees 2,050 is reasonable, does this mean the Govt is compensating the FTE's vacation hours of 130 hrs even though the FTE doesn't use the vacation? What if the FTE ends up only working 2,000 hrs in that year? I assume the contractor will still get full payment of $100,000, correct? Thanks for helping!