Jump to content

Descoping FFP and impacts to revenue


CHILINVLN

Recommended Posts

Interested to know thoughts on this.  We have a FFP contract with 7 FTEs in place providing labor support to a mailroom.  CO states they want to descope the contract down to 4 FTE's halfway into our option year, but hopes to increase back up to 7 on the next option period due to COVID.  Question is, since this is FFP, what approach can I take to minimize reduced revenue, if any?  We bid this very lean with the anticipation of the overall profit being spread over the entire option period and labor set.  Cutting the resourcing from 7 down to 4 halfway into the option period on a FFP contract completely changes those profit projections significantly.

Can we push back?  Any thoughts or questions we should/can ask?

Link to comment
Share on other sites

Descope of 3/7 FTE workforce for 6 months. FTEs provide mailroom support. 3 FTEs for 6 months = 1.5 FTEs.

May be cheaper to keep the contract going rather than process the TSP...

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
×
×
  • Create New...