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An In-Depth Examination of Inflation Relief for a Government Contractor

Procurement Notes

According to Deltek’s 2022 Government Contracting Industry Study , in 2021, “[m]edian profit margin was higher (15%) compared with what has been observed since 2012 (6-10%).” [10] 34] And DFARS 252.216-7000(e) gives the Contracting Officer the option of terminating the cost-increase-impacted portion of the contract/order. [35]

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Government Contracts Inflation Update

Procurement Notes

Since at least January 2012, the Federal Reserve System’s Federal Open Market Committee (“FOMC”) has maintained that a 2% inflation rate is optimal for maximizing employment and keeping prices stable. [6] percent before seasonal adjustment.” [2] number is what is called “headline inflation”—meaning it includes food and energy. [3] ”).