What is the correct contract type for a Full Service Cafeteria contract when the space is provided by the government?
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The contracting officer is responsible for selecting a contract type appropriate to the circumstances of the acquisition, subject to negotiation with the offeror. A good starting point for selecting a contract type is FAR subpart 16.1, Selecting Contract Types. Note that if the cafeteria services to be acquired are determined to be a commercial service, FAR 12.207(a) requires a firm-fixed-price contract type. We are not familiar with the “profit/loss” contract type, and we caution that FAR 16.102(b) states in part, “Contract types not described in this regulation shall not be used.”