Joanna Haner

Thanks!

I appreciate the responses, thank you. So my take aways from these discussions are: 1) The current DFARS rule on tying performance based payments to cost incurred is in violation of the law (NDAA FY17), 2) We must wait for the FAR councils to provide guidance or update the regulation to incorporate the new rule on PBPs, 3) The KO does not have to go by what's in the law until it's incorporated into the regulations, 4) The FAR/DFARS clauses in my contract govern (in this case, the DFARS clause that includes the language tying PBPs to cost incurred is in my contract). So based on the above, we can't bill milestones in full if the milestone amount exceeds the costs incurred for the milestone. Do you guys concur this is the conclusion?

Following up on the discussion linked above. The NDAA FY 17 prohibits conditioning PBPs to cost incurred. The DFARS clause was supposed to be updated to this effect and that has not happened yet. I am in a similar situation as the OP in the previous thread. Does the NDAA FY 17 rule trump the DFARS rule? Or do we need to wait for the DFARS amendment/modification to be published for this rule to be followed by Government customers? Appreciate any feedback. Thanks!