Search the Community
Showing results for tags 'fair market price'.
Found 1 result
kellyz007 posted a topic in Contract Pricing Including CAS & Allowable CostsThis question is in regards to 8a sole source awards. FAR 19.202-6 both with respect to meeting the requirement at 19.806(B ) and in order to accurately estimate the current fair market price, contracting officers shall follow the procedures at 19.807. If I am understanding this correctly 19.807 is determining the fair market price or basically the price that an award is unreasonable however; FAR 19.806(B ) references using FAR 15.4 procedures for determining the price to be fair and reasonable. So fair market price is different from price reasonableness? I can use FAR 15.404 to negotiate lower prices? Example we have history of prior awards to the same company but the historical price reasonableness and fair market price were based on comparison to history. So there is never a real basis for determining the price reasonable. There is never competition. And the awards are always just under the $4M threshold and are split into 6 month increments.