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Good question. Every case is different, but if that is how the prime's normal cost accounting system is set-up then yes they would be entitled to the O/H.
See FAR Table 15-2 (at FAR 15.408) II Cost Elements. The subcontractors costs are part of Materials and services and they help make up the base that the prime's O/H rates will be applied to in order to calculate the prime's O/H pool (rate=pool/base). Remember, it takes effort by the prime to manage their subs.
Additional guidance on settling equitable adjustments due to change orders can be found at:
FAR – Part 43 Contract Modifications DFARS – 243.204-70 Certification of Requests for Equitable Adjustment DFARS – 243.205-71 Request for Equitable Adjustment DFARS PGI 243-204
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