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Many predict that, among other procurement and regulatory reforms, the new administration will implement policies favoring the award of fixed-price government contracts and grants. Throughout the years, the procurement pendulum has swung back and forth in favor of and against fixed-price contracting.
The company is under Justice Department investigations for defective pricing, foreign bribery and violations of the Arms Export Control Act. And I don’t believe we’re using that power effectively to drive the best prices. Not some fly-by-night, but rather the legacy contractor Raytheon. Tom Temin Right.
The most important section in your federal proposal and contract will always be pricing – just ask any CEO or federal buyer. But in today’s government market, there are a lot of areas that can confuse a contractor’s pricing strategy. And when you win the bid, the questions remain: “will we make a profit?”
For WashingtonExec’s Top Pricing Execs to Watch in 2024, we identified the best of the best in building proper pricing models for success, bringing strategic thought leadership to each opportunity, and putting long-term growth and strategy first.
The arrival of cloud services and consumption-based pricing has seen agencies part with the age-old practice of buying items and paying for them through annual budgeting. But the new gasoline pump method of payment gets the government tied in knots, thanks to the Antideficiency Act.
Gregory Price has been selected as chief operating officer of Akira Technologies , bringing more than 25 years of career experience to the company. In his new position, Price will help drive expansion and optimize operations for Akira, the Washington, D.C.-headquartered
“Fair and Reasonable” MAS contract level pricing is impacted by a host of factors. Contracting officers must assess, analyze, and apply these factors when reviewing an offeror’s proposal and negotiating fair and reasonable pricing. Previous FAR & Beyond blogs regarding this topic can be found here and here.
Department of Health and Human Services in Boehringer Ingelheim's challenge to a new Medicare drug price negotiation program, rejecting the pharmaceutical company's claim that the program is unconstitutional. A Connecticut federal judge on Wednesday sided with the U.S.
Supreme Court to clarify disqualification protocol for judges overseeing a case related to their prior work as a government attorney, and energy drink manufacturers want the court to develop a modern-day test to determine if companies qualify as price-discrimination competitors.
Department of Justice (DOJ) announced that Lockheed Martin Corporation agreed to pay $29 million to settle allegations that it violated the False Claims Act through defective pricing on contracts for F-35 military aircraft. The settlement resolves allegations brought forward by a whistleblower in a qui tam lawsuit.
Dell allegedly operated a deal registration program that gave advantageous pricing to Iron Bow to sell Dell products to the Army. The United States relies on competition to get the best value and price for the American taxpayers,” said Principal Deputy Assistant Attorney General Brian M.
The FAR Council notes that the figures are based on a consumer price index for March 2025 of 323.193 (although we are not sure what this number consists of). If the actual consumer price index differs, the figures may be adjusted. These are not necessarily the final figures that will be utilized.
Welcome back to the Cost Corner, where we provide practical insight into the complex cost and pricing requirements that apply to Government Contractors. 3] TINA defines cost or pricing data to mean all facts that, as of the relevant date, a prudent buyer or seller would reasonably expect to affect price negotiations significantly. [4]
But OFPP believes the time is ripe to reduce price variance, secure most favorable terms and conditions and improve the federal cyber posture. Currently, prices routinely vary up to 20% for the same software across agencies, OMB wrote in its fact sheet about BCI in 2023.
The current statutory language has been interpreted by some to require the lowest price regardless of terms and conditions at the contract level. Competition at the order level includes price competition. At the order level, sometimes, price is the determining factor for an order.
I think when it comes to price delivery, a thriving marketplace, and then certainly compliance will all be informed by how well and how robust our data story is. So I think that TDR for us is the future of ensuring that we are providing a good price and that the product is actually being delivered in a timely way. We cannot assume not.
JASSM, LRASM Contract Modification Details The Department of Defense said Thursday the modification to the firm-fixed-price, undefinitized contract covers the production of Joint Air to The post Lockheed Lands $1.9B Air Force for the procurement of advanced, long-range missiles.
The United States deserves fair prices and accurate information from GSA contractors,” said GSA Deputy Inspector General Robert C. “The years spent litigating this case and taking it to trial demonstrate the department’s steadfast commitment to protecting taxpayer funds.” “The
Firm-Fixed-Price (FFP) contracts are one of the most common government contract types, offering a set payment amount that doesnt change, no matter the contractors actual costs. Winning a government contract can be a major opportunity for small businesses, but understanding contract types is key to success.
Andrew Benson has joined General Dynamics Information Technology to serve as vice president of pricing, the executive announced in a LinkedIn post published Thursday. Benson, who returned to GDIT after stints at Booz Allen Hamilton and Astrion, most recently held the same role at the Brightstar Capital Partners company.
billion hit on fixed-price space and defense programs that have already caused the company years of losses, citing issues such as increased production costs and disruptions from a recent strike. The Boeing Co. said it will take a further $1.7
The protestor’s proposed price was $30,478,050, and its total evaluated price was $30,566,297. The intervenor’s proposed price was $24,848,774, and its total evaluated price was $25,116,561. In response, the Navy insisted that the intervenor’s proposed price of $24.8 4106(f)(1) and 10 U.S.C.
million task order for medical auditing services to the two lowest-priced bidders. A Court of Federal Claims judge has ruled that the Centers for Medicare & Medicaid Services reasonably limited its final best-value choice on a $40.8
Data management tools, like pricing algorithms and artificial intelligence (AI), are playing an ever-larger role in Federal procurement as agencies look to streamline processes, increase efficiency, and improve contract outcomes. GSA’s current use of algorithms and pricing data is instructive in this regard.
Raj Jayaraman, a 30-year veteran of the federal government contracting industry, has been appointed as senior vice president of competitive intelligence, PTW and strategic pricing at ASRC Federal, the company announced on LinkedIn Monday. Who Is Rai Jayaraman?
Unfortunately, Schedule contractors now face a long, painful slog negotiating contract pricing at the contract level, instead of relying on competition at the task or delivery order level to provide fair and reasonable pricing.
million to resolve a whistleblower's False Claims Act allegations of inflated pricing on contracts for F-35 military aircraft, the U.S. Lockheed Martin Corp, one of the world's largest defense contractors, has agreed to pay $29.74 Department of Justice announced Thursday.
billion firm-fixed-price contract to provide logistics services to support military operations around the world. Navy has named Amentum Services, KBR, V2X and 84 other companies as awardees under a potential $2.85
Competitive Pricing and Cost Savings Procurement teams are always looking for ways to stay within budget while maximizing the value of their contracts. By utilizing OMNIA Partners, organizations can secure competitive pricing on security and safety solutions without sacrificing quality.
GDMS Contract Details The Department of Defense said Monday the fixed-price-incentive, firm-fixed-price, cost-plus-fixed-fee and cost-only contract with a base value of $139.2 General Dynamics Mission Systems has secured a potential $807.6 million contract from the U.S. Navy to provide support for the MK 54 Lightweight Torpedo Program.
When thinking about benchmarking the most common area that is reviewed is price, but as we know (and as mentioned in previous blogs) price is not the sole factor. Price forms part of cost, and cost is what we should be benchmarking, therefore in procurement areas such as the following should be regularly checked against standards.
For qualified HUBZone mentor-protégé joint ventures, SBA is considering how to “clarify the applicability of the HUBZone price evaluation preference to” HUBZone mentor-protégé joint ventures.
Firm-Fixed-Price Contracts Firm-fixed-price contracts are the most widely used in government procurement. In this type of contract, the contractor agrees to deliver goods or services for a set price, regardless of actual costs. It’s often used when the project scope is well-defined, and the risk of cost overruns is minimal.
The Office of the Under Secretary of Defense, Defense Pricing and Contracting (DPC) issued a Memorandum dated May 5, 2024 , to Agencies on the Treatment of Nontraditional Defense Contractors.
Award: CSOs are awarded on a fixed-price basis and include fixed-price incentive contracts. CSOs are treated as commercial products or commercial services making them subject to Federal Acquisition Regulation (FAR) Part 12 requirements.
Embrace dynamic pricing models that leverage competition from the commercial market. There simply needs to be greater flexibility in pricing to meet customer demand across the federal market. Static pricing ultimately hinders competition and reduces value for customer agencies.
Army Contract Details The Department of Defense said the two companies will compete for each order of the firm-fixed-price contract for the production of mortar propelling charges. Army has awarded spots to American Ordnance and General Dynamics’ ordnance and tactical systems business on a $499.2 The […]
As one of three major acquisition policy changes GSA is seeking over the next year, the proposal would remove language in the schedules program that many blame for why agencies use lowest price, technically acceptable (LPTA) still too often. Koses said CICA change would help contracting officers as well as companies alike.
Short/Medium SSOV Contract Details The Department of Defense said Friday the firm-fixed-price contract covers the design, manufacture and delivery of short and medium range sub-orbital vehicle configurations. Corvid Technologies, a small business offering technology-based services, has secured a potential $268.4 million contract from the U.S.
Squad Aiming Laser System Contract The Department of Defense said Monday the firm-fixed-price, indefinite-delivery/indefinite-quantity contract covers spare and repair parts, as well as contractor logistics support and test article refurbishment. Envision Technology has landed a $249 million contract from the U.S. Navy to provide the U.S.
. § 124.506 states that a solicitation must be competed among 8(a) Program participants if there is a reasonable expectation that at least two eligible 8(a) Program participants will submit offers at a fair market price, the anticipated award price will exceed $7 million for manufacturing NAICS and $4.5 million or less for all others.
Case studies: In Colombia , rather than the government trying to document and standardize all possible technologies, the framework agreements created for the IT sector link directly to the providers’ public web pages, which list all of their services and prices.
I think that this is a win for enhanced competition, especially for small businesses that may have had to previously finance software acquisitions and have to offer higher prices as a result,” he said. This move should increase competition and drive better pricing. This is a win for common sense in government acquisition.”
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