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  • Question

    How do you price US government owned software for sale via FMS?


    Answer

    DoD Foreign Military Sales (FMS) software pricing guidance is contained in the DoD Financial Managment Regulation (FMR), Volume 15, Chapter 7, paragraph 071402. 

    "Publication/Software Pricing Factors. Publications or software developed solely for the use of an FMS purchaser(s), such as a country-unique technical order/software, instructions, or other publications and programs, must be priced to recover the total costs (including both in-house and contractual efforts) of development and delivery of the end product. These costs must include, but are not limited to, the amounts paid for technical or administrative writing, editing, illustrating, animation, copy preparation, documentation, royalty fees for intellectual property, and distribution services. The costs of additional copies or masters must be limited to the actual costs of reproduction to include media (e.g., disk, tape, CD, and hardcopy) and distribution/delivery."

    Further details on the calculation process are included in subparagraphs.  If you have any questions on the application of this FMR policy re: your FMS transaction, consider contacting your DoD Component International Programs Organization or the Defense Security Cooperation Agency.

     

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