When we say read the contract, we mean the contract and all attachments and exhibits. Contract type Deliverables Invoicing Requirements Reports Security Requirements GFP Requirements Price/Cost Ceiling Special Clauses Subcontracting Requirements While the contract is a written document that has been signed by both parties, who presumably agreed on all the terms and conditions at the time they signed it, it may still (amazingly enough) be open to interpretation. Struggling with interpretation of the contract (what does the contractor have to do, what is the government required to provide, when and for how much…) may be one of the biggest challenges a COR and the KO might face. Let’s begin our understanding with this by answering the following questions. How are contracts numbered? contract has a unique contract number which is used as the primary means of identification for the contract. There is a method to the numbering scheme and it is useful to understand how it works. The numbering assignment is described in FAR 4.1603 and DFARS 204.1603. The following example illustrates the alpha-numeric system that is used: EXAMPLE: DAU12317C0001 [Pursuant to FAR 4.1603(a), do not use special characters (such as hyphens, dashes, or spaces).] Characters 1-6 “OASGEN”: Identification of department/agency office’s Activity Address Code (AAC). For DoD contact the service/agency Central Service Point or DoDAAC Monitor, or if unknown, email DODAADHQ@DLA.MIL for assistance. Characters 7-8 “15”: Last two digits of the fiscal year of contract issuance e.g. 2017 Character 9 “C”: Type of procurement instrument (see list below) Characters 10-13 “0001”: Four position agency assigned number In accordance with FAR 4.1603(a)(4), agencies may use positions 10 through 17, however, DoD-issued Procurement Instrument Identifiers (PIIDs) shall only use positions 10 through 13 to complete the PIID (see DFARS 204.1603(a)(4)). Again, character 9 indicates the type of procurement instrument; the following are the different types of contractual instruments: A Blanket purchase agreements
We look forward to answering any questions that you have about how the costs for this change order proposal were prepared. Madison Huffman Maddie Huffman VP, Contracts and Finance WR Systems LTD Based upon the contractor’s letter above, answer the following questions: The contractor is asserting its right to a contract price adjustment in regards to which CLIN(s) within our contract based upon Modification A00001? Does the Change Order Proposal letter submitted by WR Sytems, LTD constitute a dispute under the Disputes clause? Does this cost proposal letter require the submission of certified cost or pricing data? Why is the contractor’s Change Order Proposal letter certified in paragraph 6? In-class Exercise: Part 2 – Responding to the Contractor’s Change Order Proposal Instructions: In response to WR Systems LTD’s Cost Proposal letter asserting its right to contract price and schedule adjustments, the administrative contracting officer (ACO) provides the following response to the contractor via e-mail. When finished reading the ACO’s response, answer the questions below.
The property administrator assigned to the prime contract cannot request support property administration from another contract administration office without the prime contractor’s consent. Prime contractor consent is not required for support delegations involving subcontractor locations. The prime property administrator can reject the property management review findings of the delegated support property administrator. Support government property administration may only be requested for prime contractor alternate locations—not subcontractor locations. Reference: ______________________________ 4. When terminating a fixed-price supply contract for default because of the contractor’s failure to deliver the supplies by the delivery date in the contract, which of the following notices must the contracting officer send to the contractor? Cure notice Show cause notice Notice of termination All of the above 5. Which of the following actions are applicable to the close out of a cost-plus fixed-fee contract performed by a service-disabled veteran-owned small business concern? (Select more than one answer.) subcontracting plan report submitted Issuance of contract completion statement (Or MILSCAP Format Identifier PK9) Price revision completed Prior year indirect cost rates are settled