Factor 4: Cost/Price. There is no volume associated with this factor as the information for values in the CLINs will be filled into the solicitation by the offeror. Compliance with these instructions is mandatory and failure to comply may result in the rejection of your proposal. Offerors shall not submit data beyond that required by these instructions. The Offeror shall complete the fill-in information of Section H Ordering Process B(2)(b)(i) (escalation and fixed fee). Offerors shall not propose fixed fee in excess of 8%, or escalation in excess of 4%.
Factor 4: Cost/Price. (a) The Government will evaluate the Total Evaluated Price consisting of the sum of all CLINs and the potential option to extend services (FAR 52.217-8) by adding six months of the offeror’s final ordering period prices.
Factor 4: Cost/Price. The Offeror’s proposal is presumed to represent the Offeror’s best effort to respond to the solicitation. The Government may determine an Offeror’s cost/price proposal unawardable if the cost/prices proposed are materially unbalanced. Unbalanced pricing exists when, despite an acceptable total evaluated price, one or more contract line item numbers (CLINs) are significantly overstated or understated by the application of cost/price analysis techniques. A proposal may be rejected if the Contracting Officer determines the lack of balance poses an Unacceptable risk to the Government. Proposed cost/price will not be adjectively rated. The total cost will be evaluated for each Offeror. The total evaluated cost will be the summation of the Section B CLINs, including any probable cost adjustments made by the Government. For purposes of this solicitation, each Offeror’s proposed direct labor rates will be analyzed. If more than 17% of the proposed individual direct labor rates are determined to be unrealistic, the Offeror’s entire cost/price proposal may be determined to be unrealistic and unawardable. IAW FAR 15.404-1, the Government may use various statistical analysis techniques to determine realism. The agency may perform (but is not limited to) a standard deviation analysis or median absolute deviation analysis under which direct labor rates will be determined unrealistic if they fall more than one standard deviation or one median absolute deviation below the competitive mean or median, respectively. The results of this analysis may be used in making cost realism adjustments under FAR 15.404-1. It is incumbent upon all Offerors, subcontractors, and teaming partners to propose realistic direct and indirect rates in response to this solicitation. As stated above, the Offeror’s proposed costs will be evaluated by determining what the Government expects the Offeror’s approach would most probably cost the Government. To the degree that the Government's most probable cost estimate is higher or lower than the Offerors proposed cost, the cost/price can be adjusted upward/downward for the purposes of evaluation only. NOTE: The Government may use external sources of information in performing its cost analysis to include, but not limited to, Bureau of Labor Statistics, Department of Labor (DoL), Department of State, Defense Contract Audit Agency (DCAA), Defense Contract Management Agency (DCMA), or salary survey data. This DOES NOT excuse the Offeror from following the ...
Factor 4: Cost/Price. The price proposal shall identify labor categories, descriptions, and fully burdened labor rates. Travel is not to be included in the price of any task. Travel and other direct costs have been provided and shall not be changed. A totaled copy of Section B shall be submitted as part of the price proposal with pricing for the base and two (2) one
