Quick Hitter: GSAR Part 517

Just as with my Quick Hitter series on the FAR, my Quick Hitter series on the GSAR is meant to simplify contracting business with the government. This time with GSA.

GSAR 517.202 Use Of Options

During my time in the government, many contractors strongly desired to roll other contracting actions into contract options. Some of my colleagues did do that. I refused to. I told them that the key point of a contract option was to simply extend the time that the current awardee or newly designated awardee has to work on the contract stipulations. Nothing more. Nothing less.

Contract options can be used by the CO if it is awarded to boost PALT numbers, lessens associated costs to the government (you can finalize an option in half an hour complete with 100% accuracy in the agency electronic contract writing system if you prepare correctly), ensure no lapse in contract coverage, improve contractor performance and reward satisfactory or elite contract performance.

An option is normally in the government’s interest if the scope of the contract remains prevalent, but the contract must be modified via EPA if the commercial price spikes downward or recompeted if it rises.

Like I said before, a contract option is just giving the awardee more time to perform the contract scope. Nothing more. Nothing less. I always told vendors that if they wanted to conduct contract modifications then we would wait 3-6 months to see what performance was like after the option was awarded.

I’m gonna let you in on a little secret here. The decision to award a contract option is solely that of the government. It is not that of the contractor. The VA FSS program had a handful of stipulations necessary to award contract options. I always researched those and tried to notify my contractors 60 days before the contract was to be expired. This was to account for administrative burden on both sides as well as allowing time for any awardee to make any necessary corrections on their submission. The goal is to not let the scope of a contract die if there is still a need for it.

I did several contract options during my time working for the government. They are pretty simple, really. All you’re doing is filling out the appropriate paperwork and leaving your proposed price list The exact same as your most current price list on GSA Advantage.

If you think I can help you then email nicholas.s.robertson@outlook.com for your introductory email and free consultation. 

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