Hello and thanks in advance.
We are the prime on a CPFF contract. We are looking to add a subcontractor and intend to administer a T&M subcontract. Does our set fee also apply to the subcontractor when they submit their T&M rates to us? I can't find anything in our FAR clauses that would suggest this, so this is perhaps a really silly question.
Somewhat relevant - the subcontract will be well below the certified cost and pricing threshold. If the government really wants to see their price buildup they could ask for a sealed package, but we weren't intending on asking the sub for an unsanitized cost volume - just their rates.