Based on historical data XYZ program has an idea of what type of effort will be performed under the option (general scope) but does not know any specifics (Ex. Modify a landing gear for a new environment not yet identified). Once the URGENT requirement (the environment the landing gear will need to perform in is established) is identified the organization receives a SOW, BOEs and supporting cost data from the contractor. The parties then expeditiously negotiate the cost of the effort and apply the pre-established fee percentage (detailed in the original option CLIN) to the negotiated cost.
The negotiated price (cost + fee) is less than the original option price and the need to field the urgent requirement is met. Is this a successful solution to meet an urgent need or has XYZ program bent the rules too FAR (pun intended)?
Other concerns:
As detailed in FAR 17.202(
(2), would an indefinite quantity or requirements contract be more appropriate?As required by FAR 17.207©(4), can the option be properly synopsized since the scope of the work is only vaguely defined?
Hopefully I will not have to come back and add a ton of additional information b/c I know Vern hates that. My goal is to generate a good discussion and not necessarily answer the question directly.
Thanks in advance.
