I have a commercial item, FFP contract.  We need to descope some work valued around 12% of the contract value. Some of this work is inseparable.  Would we do a supplemental agreement removing the work?  Or would this be a partial termination for convenience?  Also if a decision was made that item 1 is being removed and replaced with item 2.  Both items perform a similar function but the design will be different.  Does this similar function change any conclusions?  Also, this contract is purchasing materials through vendors.  

Commercial item. No changes clause. Right?

You'll need one or more supplemental agreements that specify the added and the deleted work. You'll need an agreement for any settlement, including any termination settlement. You could do one supplemental agreement that covers everything, or one for the added and deleted work, and one for any settlement. You could combine them into a single agreement.

On 1/27/2023 at 3:43 AM, K D said:

if a decision was made that item 1 is being removed and replaced with item 2.  Both items perform a similar function but the design will be different.  Does this similar function change any conclusions?

Maybe.  Although the items may perform similar functions, they may be sufficiently different so that you have a new procurement.  For example, Sherman and Abrams tanks perform similar functions, but are clearly vastly different.

7 hours ago, Retreadfed said:

Maybe.  Although the items may perform similar functions, they may be sufficiently different so that you have a new procurement.  For example, Sherman and Abrams tanks perform similar functions, but are clearly vastly different.

Looks like they want less item 1 and more item 2. It could be a simple change or a partial termination and a change to add more item 2. 

On 1/27/2023 at 12:43 AM, K D said:

We need to descope some work

As an added thought a question might also be connected to the above indication.   The process to make the adjustment to the contract might also include addressing the matter of scope.  Either approach, supplemental agreement for a simple change (FAR Clause 52.212-4 at paragraph (c) is suspect) or a partial T4C (FAR Clause 52.212-4 at paragraph (l) is suspected) might work but a justification for other than full and open competition might be necessary (FAR subpart 6.3).  A read here (see link below) might determine if this additional step is necessary.   

http://www.wifcon.com/pd6_001.htm