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Started: 6/11/2018 8:04 AM
Picture Placeholder: KARREN CARRUTHERS
KARREN CARRUTHERS
SCA Price Adjustment for Cost Type Contracts and Subcontracts (AAP)

​Recently received a new/revised WD for a CPIF subcontract that increased salary for a labor category.  Pricing did not include overhead, G&A in the price adjustment proposal to the prime contractor.

 What elements of cost are applied to SCA pricing adjustments for cost reimbursable contracts and subcontracts??  Can overhead and G&A be applied to the new WD rate??

We highly encourage comments, examples, feedback and continued discussion.

 

Picture Placeholder: KARREN CARRUTHERS
  • KARREN CARRUTHERS
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KARREN CARRUTHERS

​Recently received a new/revised WD for a CPIF subcontract that increased salary for a labor category.  Pricing did not include overhead, G&A in the price adjustment proposal to the prime contractor.

 What elements of cost are applied to SCA pricing adjustments for cost reimbursable contracts and subcontracts??  Can overhead and G&A be applied to the new WD rate??

We highly encourage comments, examples, feedback and continued discussion.

 

16/11/2018 8:04 AM6/11/2018 8:04 AMNoAsk the Community
27.6190134071138
4/27/2018 11:17 AM
Posted: 7/2/2018 4:27 PM
Picture: DONALD MANSFIELD
DONALD MANSFIELD

Unlike contract prices in fixed-price contracts, and contract unit price labor rates in time-and-materials and labor hour contracts, SCA adjustments to estimated costs in cost-reimbursement contracts may include indirect costs (i.e., overhead & G&A). The FAR clauses that limit SCA price adjustments to wages and fringe benefits (52.222-43 and -44) don't apply to cost reimbursement contracts (see prescription at FAR 22.1006(c).  ​

Picture: DONALD MANSFIELD
  • DONALD MANSFIELD
https://my.dev.dau.mil:443/User%20Photos/Profile%20Pictures/DAU0313650568_MThumb.jpg" alt="Picture: DONALD MANSFIELD" />
DONALD MANSFIELD

Unlike contract prices in fixed-price contracts, and contract unit price labor rates in time-and-materials and labor hour contracts, SCA adjustments to estimated costs in cost-reimbursement contracts may include indirect costs (i.e., overhead & G&A). The FAR clauses that limit SCA price adjustments to wages and fringe benefits (52.222-43 and -44) don't apply to cost reimbursement contracts (see prescription at FAR 22.1006(c).  ​

KARREN CARRUTHERS5207/2/2018 4:27 PM7/2/2018 4:27 PM
7/27/2017 2:46 PM