AllyM

I think I have my answer. I realize that what the Contractor has procured to provide us an IT solution, is not CAP. Therefore, said equipment necessary to provide the solution, goes with the vendor when the solution contract is up. I can only liken it to one example previously noted. If the contract is for painting a room (no progress payments) and the Government does not stipulate how many cans of paint as a delivery item. The Contractor purchases 10 cans of paint, but only uses 8, then the excess 2 cans goes with the Contractor upon completion. This was helpful. Thanks to all!

This is a Fixed Price contract for an IT solution. The solution requires the Contractor to acquire certain equipment to fulfill the solution; however, none of this equipment is a delivery item. Given that the Government did not require (per contract as noted deliverable)said equipment, nor inspect and accept these items, the title vests with the Contractor per 45.402(a). Couple questions, CAP is new to me: 1) Do we have to add all equipment as a CAP line item - not separately priced - to the contract? 2) Is this equipment the Contractor's to take at contract end? Any info is much appreciated. Thank you.

To Culham, I did look at the T&M forum, FAR, DFARS, DPC and others. I have not been able to find in any forum where it states when the Government is to set the ceiling. Is it prior to solicitation, or prior to award? Does it matter? The Government's ability to track the labor and materials, as it relates to this requirement, is not of concern. My concern is simply that the Government has initially set the estimate quite high--which will skew proposed pricing high. While the req owners are still working the numbers, I thought I would ask the question: Does the T&M ceiling HAVE TO BE articulated in the Solicitation?

T&M for professional services, with a SOW.

Our acquisition strategy is a T&M contract for services. D&F is signed! I know I want to set a ceiling for the life of the contract....my question is....do you set that in the solicitation, or after proposals are received? I have an independent government estimate; however, based on historical pricing I feel it may be high. If ceiling is set based on the government estimate, and set in the solicitation, this may skew proposals from the experts to not adequately price, but lean toward the government estimate. Thoughts?