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Proposal submittal


AAC

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This is a follow on 1 year extension to an existing contact. The POP will expire by end of year. There was no option to extend the existing contract out for a year. I inherited this contract so I would have brought this issue up to the CO had I been here at the beginning. The one year extension is being used to cover performance until we can get a the next follow-on contract in place which will have additional scope added to it.

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Forget TINA, how does a modification to extend an expiring fixed price service contract without an option clause for one year not trigger CICA?

To be frank, I still do not know what AAC means by a follow on one year extension.

They want to keep the same contractor for an additional year until they can get a the next follow-on contract in place. The next contract will have more scope than the existing contract.

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Guest Vern Edwards
But if it is an extension through a supplemental agreement then the rules are whatever the parties choose to agree upon, and C&P data may or may not be agreed to. And probably not agreed to if the extension period rates are the same as the current expiring year rates.

That's dumb. Read the FAR.

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In response to my question Formerfed said:

"[Without an option clause] you can negotiate a sole source extension to a [fixed priced service] contract extending the period of performance [for one year]. Both parties agree on the price and terms and conditions and do a supplemental agreement. This is instead of doing a new contract."

What's wrong with Formerfed's answer? And, isn't it possible to agree on price without C&P data?

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I just finished reading the FAR as instructed. I am trying to figure out what part of my statement that Vern quoted is dumb or dumber.

Looks like doing a supplemental agreement for an extension - is not dumb per Formerfed.

Looks like both parties agreeing on the price and terms and conditions - is not dumb per Formerfed

Looks like it is possible to agree on price without C&P data - is not dumb concurred by DON.

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Whynot,

This is what you wrote:

But if it is an extension through a supplemental agreement then the rules are whatever the parties choose to agree upon, and C&P data may or may not be agreed to.

This makes it seem that, as long as the parties agreed, they could ignore the requirements for cost or pricing data (or the requirements of any other rule) even if they applied. Did you mean that?

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No.

I wanted to express that a supplemental agreement in this instance is fully bilateral, it deals with work beyond the normal expiration of the contract, there are no operational change order or termination clauses that can compel the contractor to agree to the supplemental agreement. The parties can mutually choose to accept whatever prices and terms they agree to.

If the CO feels that this modification requires C&P and no exception applies, or does not want to seek a waiver, then the CO should not sign the supplemental agreement without C&P. No arguement. My point is that nothing is compelling the contractor to provide C&P other than the CO not awarding the work to the contractor. There is no contractual obligation. There might be a business reason but that is not what we are talking about.

Conversely, nothing is compelling the CO to sign the supplemental agreement with contractor terms that the CO does not like - other than having the work interrupted and some very unhappy customers.

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