Realignment of Funds on CPFF Task Order

[joel hoffman]

16 hours ago, Retreadfed said:

Joel, the "ceiling" referred to in FAR 16.301-1 is found in FAR 52.232-20 which states in part "The Contractor is not obligated to continue performance under this contract (including actions under the Termination clause of this contract) or otherwise incur costs in excess of the estimated cost specified in the Schedule, until the Contracting Officer (i) notifies the Contractor in writing that the estimated cost has been increased and (ii) provides a revised estimated total cost of performing this contract."

Agreed. I was merely responding to this comment:

 

On 1/28/2021 at 7:33 AM, ji20874 said:

There is no such thing as a ceiling on a CPFF task order.

The point is that the term or word doesn’t necessarily have to be stated in the contract to exist. The FAR language isn’t always integrated throughout the Regulation.  Some terms preceded the FAR for different agencies and for different contract types/purposes. 

[joel hoffman]

16 hours ago, Don Mansfield said:

For contracts with more than one line item, I think you're right.

I have no argument with that.

EDIT: Additionally, the proposal price analysis discussion in 15.404-1 and -3 refer to evaluating “prices” (this can apply to multiple offers or to line item prices) and, in the singular, the final price. It can apply to estimated costs for cost reimbursement contracts, to fixed prices or to time and material or labor hour prices.

See also, for example,  15.405 price negotiation for prenegotiation objectives and 15.406 for documentation. They refer to or mean both line items and overall price(s). In fact, the concept of prices, final prices, the price, even the term “award price” are evident throughout Part 15 and in other Parts, such as 12, 13, 14, 36, 43, etc. as well as in contract clauses that provide for price adjustments.

I don’t even know why this would be a debate. The concepts of a contract price (contract price of a line item or total contract price, depending upon the context of the conversation or application) or even cost or price ceiling require very little inferential reasoning skills.