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  • Question

    Where does the $500.00 per mod SF30 cost come from?


    Answer

    The $500 comes from the following and is used for administration costs to award unless another amount can be justified.  It has been the yardstick for the 40 years I have been in contracts and I might adjust for inflation.  Per FAR 14.201-8(c), the standard amount is $500, unless another amount can be justified.  Per FAR 52.215-1(f)(6), it is presumed that either $500 or another reasonable amount could be used with proper justification.  In multiple award scenarios, such as an IDIQ contract, FAR 16.505 Ordering Procedures, there is no specific guidance on this price-related factor; however, a review of the regulations would enable contracting officers to use the $500, or another reasonable cost.

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