Award of contracts for recurring and continuing service requirements are often delayed due to circumstances beyond the control of contracting offices. Examples of circumstances causing such delays are bid protests and alleged mistakes in bid. In order to avoid negotiation of short extensions to existing contracts, the contracting officer may include an option clause (see 17.208(f)) in solicitations and contracts which will enable the Government to require continued performance of any services within the limits and at the rates specified in the contract. However, these rates may be adjusted only as a result of revisions to prevailing labor rates provided by the Secretary of Labor. The option provision may be exercised more than once, but the total extension of performance thereunder shall not exceed 6 months.
[54 FR 29282, July 11, 1989]
Notes of Decisions
Arko Exec. Servs., Inc. v. United States, 78 Fed. Cl. 420 (Fed. Cl. 2007).
· cites it 2× “208(f)) in solicitations and contracts which will enable the Government to require continued performance of any services within the limits and at the rates specified in the contract.”
Unified Indus., Inc. v. United States, 24 Cl. Ct. 570 (Ct. Cl. 1991).
“Examples of circumstances causing such [a] delay[] are bid protests and alleged mistakes in bid” 48 C.F.R. § 37.111 (emphasis added). Using options to extend service on an existing contract is deemed inappropriate only if certain conditions specified in FAR Subpart 17.”
Storage Tech. Corp. v. CCL Serv. Corp., 94 F. Supp. 2d 697 (D. Maryland 2000).
· cites it 2× “48 C.F.R. § 37.111 . Both parties reviewed the Prime Contract when they entered into the Teaming Agreement, and therefore the court must assume that they were aware of the possibility of the 52.”
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