§ 970.15404-4-11 - Solicitation provision and contract clauses.

(a) The contracting officer shall insert the clause at 48 CFR 970.5204-54, “Total Available Fee: Base Fee Amount and Performance Fee Amount,” in management and operating contracts, and other contracts determined by the Procurement Executive, or designee, that include cost-plus-award-fee arrangements.

(b) The contracting officer shall insert the clause at 48 CFR 970.5204-86, “Conditional Payment of Fee, Profit, or Incentives,” in management and operating contracts, and other contracts determined by the Procurement Executive, or designee. Further, due to the various types of fee and incentive arrangements which may be included in a contract and the need to ensure the overall balanced performance of the contract, Alternate I shall be included in such contracts awarded on a cost-plus-award-fee, multiple fee, or incentive fee basis.

(c) The contracting officer shall insert the clause at 48 CFR 970.5204-87, “Cost Reduction,” in management and operating contracts, and other contracts determined by the Procurement Executive, or designee, if cost savings programs are contemplated.

(d) The Contracting Officer shall insert the provision at 48 CFR 970.5204-88, “Limitation on Fee,” in solicitations for management and operating contracts, and other contracts determined by the Procurement Executive, or designee.