Jump to content
The Wifcon Forums and Blogs
Sign in to follow this  
JF15992

CPSR and Excluding Subcontracts under Competitive FFP Contracts

Recommended Posts

FAR 44.303 states "A CPSR requires an evaluation of the contractor's purchasing system Unless segregation of subcontracts is impracticable, this evaluation shall not include subcontracts awarded by...

the contractor exclusively in support of Government contracts that are competitively awarded firm-fixed-price, competitively awarded fixed-price with economic price adjustment, or awarded for commercial items pursuant to part 12. My question is does the "in support of Government contracts " include where our firm is a subcontractor to a Government prime contractor? If yes, then does the "competitively awarded fixed-price with economic price adjustment, or awarded for commercial items pursuant to part 12" apply to how OUR subcontract was awarded to us or how the PRIME CONTRACT was awarded?

FAR 44.303 states "A CPSR requires an evaluation of the contractor's purchasing system Unless segregation of subcontracts is impracticable, this evaluation shall not include subcontracts awarded by... the contractor exclusively in support of Government contracts that are competitively awarded firm-fixed-price, competitively awarded fixed-price with economic price adjustment, or awarded for commercial items pursuant to part 12. My question is does the "in support of Government contracts " include where our firm is a subcontractor to a Government prime contractor? If yes, then does the "competitively awarded fixed-price with economic price adjustment, or awarded for commercial items pursuant to part 12" apply to how OUR subcontract was awarded to us or how the PRIME CONTRACT was awarded?

Share this post


Link to post
Share on other sites

A subcontractor to a Government prime is usually performing that subcontract in support of a Government contract, and this could be confirmed if the wording of the subcontract includes specific reference to the prime. Also bear in mind the word "exclusively" in the FAR paragraph means that to fit the definition of subcontracts excluded from the review, the scope of your subcontract you received from your prime customer would have to be in support of no other effort but the prime contract.

For the second question, "Government contracts that are competitively awarded... or ... commercial..." means prime contracts.

So if your prime customer's contract from the Government was (1) competitively awarded and is FFP or FPEPA type, or (2) was awarded for commercial items using FAR Part 12 procedures, a review of the prime's Purchasing System would not normally include the subcontract the prime issued to your firm, provided the scope of that subcontract is "exclusively" within the scope of the prime. Otherwise, the scope of the prime's CPSR would include the prime's records of the prime's subcontract to you.

Others may have more learned responses, but this is my $0.02 worth from past CPSRs and a careful reading of the FAR.

Share this post


Link to post
Share on other sites
Guest
This topic is now closed to further replies.
Sign in to follow this  

×