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    Is that true? Can you point me to a regulation, law, or guide that can help me ans this question one way or the other


    "1) Task Order 0001 is a Cost-Plus-Fixed-Fee - Term (CPFF - Term) effort.
    2.  It is a services contract- a LOE was negotiated. The estimated level of effort (LOE) for the performance of this PWS is as follows: Base Period:  186,240 hours (111,360 hrs. on-site + 74,880 hrs. off-site)
    3.  Nothing being developed-engineering support services
    4.  There were several task orders awarded under the overall IDIQ.
    5.  The government awarded a base period ceiling of 44,639,918 but only funded 24,046,223.  A portion of that is labor- all of which we wont use."
    "b) Fixed Fee:  In addition to the estimated cost, the Government shall pay the contractor a fixed fee of $1,055,897.19 for the base period and $895,011.94 for the performance of this contract. Subject to the withholding provided for in the clause of this contract entitled 'Fixed Fee', and unless the Contracting Officer determines that the contractor's performance is unsatisfactory, this fixed fee may be paid, as it accrues in monthly installments, in amounts which, when added to all previous payments on account of the fixed fee, bear the same proportion to the total fixed fee as the sum of the payments made and due on account of all allowable cost bear to the total estimated cost, or where appropriate, such payments of fixed fee will be based upon the percentage of completion of the work as determined from estimate made or approved by the Contracting Officer."
     Unfortunately, there is no definitive answer because there appears to be a conflict in contract language between the words "shall pay" and "may be paid". In matters of contract interpretation, suggest you ask counsel for a legal analysis and recommendation on how to proceed.

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