Fixed Price CLINs and COVID

Are you interested in whether a contractor is entitled to a price increase for extended storage of items that could not be delivered?

Is this about household goods?

LD3096 said:

some work was not completed due to the inability of the contractor to access govt facilities and increased storage costs - some articles I've read based on recent cases suggest increased storage costs are not recoverable in FP CLINS, even during COVID and just would like to read about other school of thought.

Depending on the clauses in your contract and the facts of the case, there are several different answers to your question.  For example, the contractor might be entitled to more money because of a stop work order, government delay of work or a change order, either actual or constructive.  On the other hand, the contractor may not be entitled to more money because of an excusable delay.  Based on the few facts you have given, I don't think an informed response can be given.

Without understanding the whole situation, the answers I've received from a couple of different contracting offices when it comes to seeking additional costs on FFP CLINs due to COVID impacts can be summed up in two words:

"Tough noogies." 

Their rationale is when we (the contractor) submitted a proposal for work under FFP, we accepted all the risk. Yes, COVID wasn't a thing when we were awarded the contract back 2016. And yes, we have the Excusable Delays clause in the contract. But no, no the PCO does not want to hear our sad song about COVID impacts. I believe there was a memo issued last year wherein DoD that reinforced that view as well.

So if it's a DoD contract, you might be SOL.

Mike Twardoski said:

Their rationale is when we (the contractor) submitted a proposal for work under FFP, we accepted all the risk.

That's not true. It's too simplistic.