Wednesday, April 29, 2015

21 Apr 15 - Service Contract Contingency Clins


Question:  Service Contracts (ie: Cost Plus): Is there any way to add a clause to service contracts to add additional funding instead of going through an entire “re-signing” process?  In other words, can we as IMCOM for De-obligated funds that were not used to cover incidentals? (Example was: set original contract lower but have funds available in needed in a “general fund of some kind” if needed).
Answer: The answer is yes.  We can and sometimes add a "contingency clin" to a service contract without any funding on it initially.  If funding is needed urgently we can quickly add funding to the clin that has already been established without re-negotiating the entire contract.  Or, if there is money on a clin that is not needed at the end of a contract we can de-obligate those dollars and ideally use them for another purpose.  DPW is currently looking at all their contracts to see where this needs to be done.

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