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I have read Subpart 5.5 and please correct my interpretation, if i'm wrong, but this subpart allows a government contractor to issue a subcontract with an adversiting firm or radio station and pay them a commission, or a %fee over the cost of placing the add (as in a magazine, or on a bus)


I know that this is probably a basic question, but i have found no help at my company where i work.

I am getting ready to write a IDIQ subcontract for a Radio Station for them to advertise (bed rest studies) for our company for a government study.

My problem is how do I right a multi year subcontract without firm pricing.

this can be single year s/c with option years.

The market for adversiting spots is very volitile and the radio station does not know what the price for the "spot" will be until we turn them on for a particular task order under the IDIQ (we will then know the days of the week /time of day that we want) and then the people at the station will calculate that from the then current rates that they have.

At our company we are required to have priced rates for the basic and the options. is that a FAR requirement, or may i write up the s/c as an IDIQ with the "floor and ceiling" stated, and then when i go out for RFP for each TO, then provide the price for that particular task.

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