Question 1: If the contractor does not request a decision within 60 days, am I bound to provide a decision within 60 days?
Question 2: For which periods would interest accrue?
Q1 - As stated in the case FAR 33.211(c)(1) clearly states that if contractor does not make the decision requeststarting the 60 day clock, then the decision needs to be issued within a "reasonable" time, so in the case provided, the contracting officer can determine what is a "reasonable" time.
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Q2: The date for when Interest starts to accumulate for payment is not tied to when the contracting officer needs to make a decision. The drive for the contracting officer to make a decision is geared toward appeal rights, establishing a final amount if the parties do not occur as well as to keep the process moving since there is a six year timeframe per FAR 32.206. FAR 33.208(a)(1) would apply as it applies to all claims both over and under $100,000. The date of the contracting officer's decision is not relevant to interest accumulation. See FAR 52.232-17 Interest for further information.