Proposal Preparation Costs

Started by Sunstrider · Apr 30, 2019 · 9 replies

  1. S

    Sunstrider

    Apr 30, 2019 · 7y ago

    Original post

    Should a contractor such as a defense prime be paid for proposal preparation costs? If so, should this be treated as a direct or indirect cost? Should profit/fee be included?

  2. j

    joel hoffman

    Apr 30, 2019 · 7y ago · edited 7y ago

    Please describe the circumstances . For example:

    Competitive action?

    Non-competitive action?

    Original contract?

    Modification to the contract?

    If for new contract, how are bid and proposal costs normally accounted for by the company ? 

    If for modification, who is preparing the proposal ?  If it is the same person or persons preparing bids and proposals- and if those person(s)’ costs are charged to an overhead or G&A pool, they are already covered. 

    For a modification, If it is prepared by employees already being paid under the (FFP) contract, and if there are no additional costs involved, my position was “no”. 

    If it is a proposal for a claim, “no”.

  3. j

    ji20874

    Apr 30, 2019 · 7y ago

    All offerors, or just the winner?

  4. R

    Retreadfed

    Apr 30, 2019 · 7y ago

    Have you read FAR 31.205-18 to determine what, if any, effect it might have on your question?

  5. h

    here_2_help

    May 2, 2019 · 7y ago

    Have you read CAS 402, Interpretation No. 1, to determine what, if any, effect it might have on your question?

  6. h

    here_2_help

    May 2, 2019 · 7y ago

    If you are from a DOD agency/component have you read the guidance on the topic, to determine what, if any, effect it might have on your question?

    https://www.acq.osd.mil/dpap/policy/policyvault/usa002866-11-dpap.pdf

  7. j

    ji20874

    May 2, 2019 · 7y ago

    It seems the original poster has abandoned this thread.

  8. h

    here_2_help

    May 2, 2019 · 7y ago

    ji20874 said:

    It seems the original poster has abandoned this thread.

    Probably because we pointed them at the answer rather than providing it.

  9. S

    Sunstrider

    May 11, 2019 · 7y ago

    On 4/29/2019 at 9:12 PM, joel hoffman said:

    Please describe the circumstances . For example:

    Competitive action?

    Non-competitive action?

    Original contract?

    Modification to the contract?

    If for new contract, how are bid and proposal costs normally accounted for by the company ? 

    If for modification, who is preparing the proposal ?  If it is the same person or persons preparing bids and proposals- and if those person(s)’ costs are charged to an overhead or G&A pool, they are already covered. 

    For a modification, If it is prepared by employees already being paid under the (FFP) contract, and if there are no additional costs involved, my position was “no”. 

    If it is a proposal for a claim, “no”.

    All new task orders procured non-competitively via single award IDIQ.

    As direct costs; the contract vehicle treats every single task order as either an "engineering change proposal" or "contract change proposal".

    On 4/29/2019 at 10:35 PM, ji20874 said:

    All offerors, or just the winner?

    The sole offeror/winner.

    On 4/30/2019 at 12:25 PM, Retreadfed said:

    Have you read FAR 31.205-18 to determine what, if any, effect it might have on your question?

    Very helpful. Thank you.

    On 5/2/2019 at 10:15 AM, here_2_help said:

    Have you read CAS 402, Interpretation No. 1, to determine what, if any, effect it might have on your question?

    Perfect. Thank you.

    On 5/2/2019 at 10:16 AM, here_2_help said:

    If you are from a DOD agency/component have you read the guidance on the topic, to determine what, if any, effect it might have on your question?

    https://www.acq.osd.mil/dpap/policy/policyvault/usa002866-11-dpap.pdf

    Once again, thank you. Apologies for my delayed response.

  10. U

    UGA40

    Jul 23, 2019 · 6y ago

    --deleted- sorry, didn't see how old the thread was.

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