Gentlemen,

Thanks for all of your help and for taking the time out of a busy day to respond to my question. You've confirmed what I believed to be true. Sorry for the poor word choice John. The words that I used would definitely lead one to the conclusion you made.

JET

By John Ford on Tuesday, August 1, 2000 - 09:53 am:

Since Vern has correctly answered your question, I will not go into that again. However, I have an observation on the hypothesis of your question. You state that the contractor has not "fulfilled the requirement" despite expending the LOE. Under an LOE cost type contract, the only requirement placed on the contractor is to give the government the hours identified in the contract. Once the contractor has done that, it has fulfilled its contractual obligation. If the work you want done can be expressed as a complete job, maybe you should use a completion contract instead of an LOE on the next go around.

Jet,

Mr. Edwards is correct. You must do a J&A prior to the bilateral modification to increase the scope (hours) of your CPAF LOE contract.

By Vern Edwards on Monday, July 31, 2000 - 07:31 pm:

Any increase in the LOE other than by exercise of an option is likely to be considered an increase in the scope of the contract and will require a J&A.

Scenario: Cost Plus Fixed Fee (LOE) Support & Services CLIN with a corresponding H.Clause Option giving the government the right to unilaterally increase the CLINs hours by up to 100% at an established rate and fixed fee per hour.

Question: If the contractor uses up all the hours under the H.Clause but has still not fulfilled the requirement and the governement further wishes to increase the hours by another 100% (to do the same type of work just more of it) using the rates and procedures established in the H. clause and the contractor concurs, would it be sufficient to do so via a bilateral modification or would the government first need to process a J&A and advertise in the CBD then process the bilateral modification????