New Fixed Fee Withholding Provision (June 2011 update)

Everyone,

Effective June 2011 there is a new FAR Fixed Fee Clause ? 52.216-8. The CO no longer has discretion about whether to withhold payment of fee. Will the Government agencies be responsible for withholding the 15% fee from contractor invoices, or will the government require contractors to self-withhold 15% of the fixed fee on invoices?

Any input would be helpful as to how agencies are approaching this.

Thanks