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  • Question

    If the J&A was written for an estimated amount of $8.6M, isn't that considered the maximum amount a Contracting Officer is authorized to modify the contract for in this case? If the system was found out to be much more expensive than the approved $8.6M, almost four times that amount, shouldn't the Contracting Officer have gone back with an amended J&A up through the chain and obtain permission for the new amount of over $21M?


    Answer

    I see from your signature that you are employed by the Army.  Your question may be answered by the Army Federal Acquisition

    Regulations which state at

    AFARS 5106.303-1-90:

    Requirements for amended justifications.

    (a) The contracting officer shall amend a justification and obtain the required approvals when any of the following occur prior to award of the contract action:

    (1) The dollar value of the prospective contract action increases beyond the authority of the previous approving official.

    (2) A change in the competitive strategy further reduces competition.

    (3) A change in requirements affects the basis for the justification.

    (b) The Senior Procurement Executive (SPE) approves all amendments to justifications previously approved at the SPE level, except when the basis for the amended justification supports a lower approval level per FAR 6.304.

    (c) Prepare all amended justifications as required in 5106.303-2-90(c)(3).

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