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Renewing option year for project, not for contractor


con1212

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Hi,

I know the facts are a little confusing, since I don't fully understand the situation, so feel free to add some facts if that's what you need to answer my question. This stuff is confusing to me, so I thank everyone ahead of time for any help they can offer!

A contractor is on contract working on a project. Option year is about to be exercised for the project but the customer is considering not renewing the contract for contractor...only for project. Is there any issue with the soon to be former contractor sub-contracting out to the contractor attached to the project? I'm guessing if the contract is not renewed for the contractor, then the sub-contractor is also lost, since there is no privy of contract. Also, can you subcontract out after award or did the subcontractor have to be a part of the original proposal?

Thank you all so much for the help!

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I am not just confused by the facts, but also by your terminology. What do you mean by an option for the project as distinguished from an option for the contract (renewing the project without renewing the contract)? What do you mean by "contractor attached to the project" as distinguished from the contractor performing the work under the contract?

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Guest Jason Lent

Is the current contractor performing poorly? Why does the customer not want the current contractor working on the contract?

There is nothing in the FAR that allows for a prime contractor to be "fired" and their subcontractor replace them under the same contract. You don't have a contract with the sub, you have a contract with the prime. There only exists a contract between the prime and the sub, which is largely irrelevant to the government.

When you (the collective "you") awarded the contract, you bound the government and the prime contractor. Your contract is strictly with the prime contractor. If they are failing to perform, you need to consult FAR 49 for terminations, in which you terminate the contract with the prime. The requirement may still exist (that is, your agency needs whatever the prime was providing), and you need to reprocure (solicitation, evaluation, award) to fulfil the requirement.

You ask if you can subcontract after award. Do you mean to ask if you can decide who gets the subcontract after you award it to a prime?

Summarily, you need to reprocure if the contractor is failing to perform; you can't just kick the prime to the curb and have the sub pick up the project. It also looks like your customer is trying to steer this requirement to a particular contractor, which is something you need to reman vigilant and prevent.

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"Can you subcontract out after award or did the subcontractor have to be a part of the original proposal?"

In the philosophical arena, the sub doesn't have to be a part of the original proposal; a decision to subcontract some portion of the work may be made after award, or the decision who to subcontract with may be made after award.

However, not infrequently, contracts contain some specific limitations on subcontracting, and require government consent to some of these decisions, so the first place to look is always the specific contract at issue.

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Guest Vern Edwards

con1212:

Is the contract a task order contract?

Are there multiple contractors?

Is the government thinking of exercising options for all of the contractors except the one in question?

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con 1212,

don't act on any of this advice / response.

These folks don't really know what your situation is, or what your questions are.

Maybe restate the question, including more detail ?

That Alaska FWS guy who's a member here (red polo in photo) has an applicable tagline about stating your question clearly.

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