I am a Prime Contractor who in the performance for a Task Order, procured a one year telecom/satcom "lease" in June.
The Task Oder PoP ends in Dec. The Satcom lease is prepaid, so there wil be no invoicing after the PoP
FMR (Vol 4, Chap 5) allows for prepaid subscriptions, rents, etc.
There are no issues regaarding FY/appropriation, Bona Fide, ceiling, severability, standard business practices, scope, etc.
The issue is simply can a prepaid telecom lease go beyond a TO's PoP?
I also have a concern now that product warranties are similarly affected, ie. we purchased an extended manufacturer's warranty for a high failure/critical component, and of course, the warranty goes beyond the PoP.
The initial take from contracts is "prepaying is bad" but they had heard of this subscription thing being ok, but were not sure how the PoP affected it?
I believe contracts are going on their gut, they really dont have the time or inclination to do research on this.
Of course the silver bullet is to extend the PoP but they are reluctant to do that for various reasons.
I suggested a "limited" PoP extenstion that only addresses the Satcom/Telecom lease - any1 heard of a limited PoP extension?