Historical Company Escalation Rate Actuals

[JSGovCon]

Hello,

We are bidding on an RFP and the solicitation states for "Contractors, including Subcontractors, shall provide their own company’s historical escalation rate actuals for the last three (3) years”.

Sounds like a simple request but I’m struggling coming up with the best way to calculate/present the data.  My first thought was to just take the average loaded rates year over year for each contract roll up that difference and that would be our “company” escalation rate.  We have multiple CPFF contracts and the escalation on each contract is different and I also want to take into account the changes in our indirect rates.

Appreciate any thought/guidance anyone has.

Thank you!

[here_2_help]

Without reading the RFP, I assume that the request is for actual labor escalation history experienced by the contractors and subcontractors. There are some variables involved, such as whether or not to show total company escalation or only escalation related to direct-charging employees. That's your call to make, based on your reading of the RFP. That aside, you have employees who get paid (some hourly, some salaried). They get paid $X in Year 1. In Year 2, they get paid $X+Y (where Y = raise), and the same for Year 4. 

Y/X = the escalation rate for the year.

 

[C Culham]

4 hours ago, JSGovCon said:

Appreciate any thought/guidance anyone has.

As "exchanges" are encouraged (FAR 15.201) a possible approach you may want to try is to pose your question, in writing, to the Contracting Officer.