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Any Exceptions to Certifying Cost or Pricing Data?


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What, if any action, is required on the part of a contractor with respect to providing a certification of current cost or pricing data in the following situation: The government issues a sole source award for greater than $700K without discussions (let's say the award is $5M) in response to a proposal for which the validity period has expired (let's say the validity period expired six months ago)?

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What, if any action, is required on the part of a contractor with respect to providing a certification of current cost or pricing data in the following situation: The government issues a sole source award for greater than $700K without discussions (let's say the award is $5M) in response to a proposal for which the validity period has expired (let's say the validity period expired six months ago)?

By "issues a sole source award," do you mean a unilateral "acceptance" of the proposal, or was a bilateral contract signed? I would guess the latter, because the proposal that had long since expired couldn't legally be accepted.

In either case, though, you haven't addressed what exception to the statutory requirement for certified cost or pricing data might apply.

Were the prices "based on adequate price competition," see FAR 15.403-1(b ) (1) and ( c)(1)?

Were they set by law or regulation, see FAR 15.403-1(b )(2) and ( c)(2)?

Were the items being acquired commercial items, see FAR 15.403-1(b )(3) and ( c)(3)?

Was a waiver granted, see FAR 15.403-1(b )(4) and ( c)(4)?

If the answers to these four questions are all "no," then aren't you left with FAR 15.403-4(a)(1), "The contracting officer shall obtain certified cost or pricing data . . ."?

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Reading between the lines, the issue may be that the contractor is concerned about certifying cost/pricing data that is no longer accurate, current, or complete, since the data was presumably submitted a while ago and not updated since.

If my assumption about the issue is correct, the contractor should disclose all cost/pricing data through the acceptance date. It shouldn't matter because the government has already accepted the price as proposed ... but it will make the Certification accurate.

Hope this helps.

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