JLS1102

I have a CPIF contract that was awarded for a period of performance of 5 years (2008-2013). There are no options and funding is added as it becomes available. However, funds are being cut by about $40M so they want to decrease the ceiling of the contract by approximately $40M to $160M from $200M. Instead of doing a Business Clearance for the $40M decrease can we just not add any additional funds to the contract and let the contract expire or is a Business Clearance required to justify the $40M decrease. The Contract Specialist who had this contract prior to me requested a proposal from the contractor however it is for the $160M vice the $40M decrease which is making it hard to put together a Business Clearance. This has become a "hot" issue as it's been in the works for a couple years. Looking for an easy way and right now the Business Clearance doesn't appear to be the easy way.l Thank you

I'm currentely in the process of preparing a Business Clearance for descoping work due to funds not being available to perform a certain part of the work. The contract type is CPIF, "C" type contract. I have several questions about this type of Business Clearance as nobody here has seemed to do one previously. Do you need to discuss EVMS in the Business Clearance and if so, what section would this fall under. Has anyone here ever issued a Business Clearance for descoping a contract? How do you determine the government's objective if you're relying on the contractor to provide a proposal for the portion of the work remaining with the portion being removed? The audit reports I have received are for a proposal from over a year ago as there isn't time to wait for a "new" audit to be performed; therefore the number don't match so how would one address questioned costs if the questioned costs are from a prior proposal that wasn't used? HELP