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Found 3 results

  1. I am exploring the possibility on changing the ceiling capacity of our single award IDIQ 8A sole source contract. The current contractor is actually an approved NAC 8A and we awarded with the SBA under the $4m threshold even with their designation. Now two years in, the programs estimate for capacity has been significantly increased. Can an agency, with SBA approval increase the single award IDIQ sole source 8A contract capacity without an J&A based upon the sole source and 8A NAC designation to say $5m? Looking for any thoughts on this.
  2. We've been having an internal debate about (1) whether it is possible to increase the maximum value of a FFP contract using an in scope increase and (2) whether one is even necessary. Interested to hear your thoughts. Basically, demand was greater than anticipated and we've hit the contract max early. Sort of. The kicker here is that this IDIQ contract (we'll call it Contract1) is part of a program where another contractor (Contract2) is authorized to order from Contract1 and gets government's negotiated pricing and delivery. The Contract2 contractor then stocks the item at their cost and waits for a gov't demand for it. When a government demand materializes, Contract2 contractor is paid, but not before. So, technically, the gov't hasn't spent a dime under Contract1, but the Contract2 contractor has ordered sufficient material from Contract1 that the amount spent would reach the maximum on Contract1. No need to change contract duration or any other Ts & Cs. This is solely about spend and whether there is a need to secure additional money under these conditions. Thoughts? TIA
  3. Apologies in advance if this has already been answered, but what is the appropriate method for stating a contract's ceiling price on a contract with multiple optional periods of performance? Should one state the ceiling price for the entire contract, inclusive of options, or state the ceiling price for the current period of performance? I've done it different ways, but I'd like to know if there is a correct way. I usually state a ceiling price and a "total funded amount" when I fund the contract incrementally. When I do this, I include language similar to: "Notwithstanding the contract's stated ceiling price, the Government's liability to the contractor is limited to $XXX,XXXX.XX, the total amount funded on the contract. The contractor shall not perform work under this contract that will cause it to exceed this amount, except at its own risk." When I have options I state the ceiling price as: "The Ceiling Price for this period of performance is $XXX,XXX.XX." If the contract is incrementally funded, I'll add "Total Funded Amount" language similar to the one above. But I always wonder if I should be stating the Ceiling Price based on the estimated value of the entire contract, inclusive of options.
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