Increase of Cost Ceiling in a Seaport NxG Task Order

Started by FLContracts · Mar 15, 2023 · 2 replies

  1. F

    FLContracts

    Mar 15, 2023 · 3y ago

    Original post

    I have a Seaport NxG Task order Level-Of-Effort that is out of cost and fee, however I have about 1,000 remaining labor hours. When reviewing the Seaport CONOPS and Section H, I found:

    H-216-H002 LEVEL OF EFFORT--ALTERNATE I (NAVSEA) (NOV 2022)

    (j) Notwithstanding any of the provisions in the above paragraphs and subject to the Limitation of Funds or Limitation of Cost clauses, as applicable, the period of performance may be extended at the discretion of the Contracting Officer, and the estimated cost may be increased in order to permit the Contractor to provide all of the man-hours listed in Section B.  The contractor shall continue to be paid fee for each man-hour performed in accordance with the terms of the contract.

    SEAPORT CONOPS PAGE 24- 

    In Cost-Type Task Orders, the ceiling cannot be increased except in the following instances:

    • Where the increase is required for wage determinations under Task Orders subject to the Service Contract Act of 1965, as amended.

    • In order to obtain the contracted level of effort, i.e. as an overrun.

    • In the case of a Request for Equitable Adjustment (REA) or claim, the ceiling can be increased. The modification in which the ceiling is increased must state the increase was for an REA/Claim adjustment and documentation supporting the REA/Claim must be maintained in the portal 1102 files.

    Based on the 2 above Paragraphs it seems like I can increase cost and fee without a J/A. I can also extend the POP past the 5 years...

    Does everyone agree or  this considered out of scope?

  2. R

    Retreadfed

    Mar 15, 2023 · 3y ago

    Are you the CO for this order?  Is the CONOPS part of the contract? Does the contract include the Limitation of Cost or Funds clause?  What does the contract say about the payment of fee?  What is the significance of 5 years?

  3. D

    Don Mansfield

    Mar 15, 2023 · 3y ago

    FLContracts said:

    I have a Seaport NxG Task order Level-Of-Effort that is out of cost and fee, however I have about 1,000 remaining labor hours. When reviewing the Seaport CONOPS and Section H, I found:

    H-216-H002 LEVEL OF EFFORT--ALTERNATE I (NAVSEA) (NOV 2022)

    (j) Notwithstanding any of the provisions in the above paragraphs and subject to the Limitation of Funds or Limitation of Cost clauses, as applicable, the period of performance may be extended at the discretion of the Contracting Officer, and the estimated cost may be increased in order to permit the Contractor to provide all of the man-hours listed in Section B.  The contractor shall continue to be paid fee for each man-hour performed in accordance with the terms of the contract.

    SEAPORT CONOPS PAGE 24- 

    In Cost-Type Task Orders, the ceiling cannot be increased except in the following instances:

    • Where the increase is required for wage determinations under Task Orders subject to the Service Contract Act of 1965, as amended.

    • In order to obtain the contracted level of effort, i.e. as an overrun.

    • In the case of a Request for Equitable Adjustment (REA) or claim, the ceiling can be increased. The modification in which the ceiling is increased must state the increase was for an REA/Claim adjustment and documentation supporting the REA/Claim must be maintained in the portal 1102 files.

    Based on the 2 above Paragraphs it seems like I can increase cost and fee without a J/A. I can also extend the POP past the 5 years...

    Does everyone agree or  this considered out of scope?

    Seems like a cost overrun. Adding funds to acquire the required level-of-effort wouldn't necessarily be out of scope. 

    It's strange that you received all of your fee without providing the entire level of effort. Lucky you.

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