B-203912 L/M, SEP 1, 1981, OFFICE OF GENERAL COUNSEL
Highlights
ARE REVISED DURING THE CONTRACT PERIOD. WE HAVE NO COMMENTS TO OFFER.
B-203912 L/M, SEP 1, 1981, OFFICE OF GENERAL COUNSEL
DIGEST: GAO HAS NO COMMENT ON PROPOSED ADDITION OF NEW SECTION TO FEDERAL PROCUREMENT REGULATIONS (FPR SEC. 1-12.904-3) SETTING FORTH TWO CLAUSES FOR USE IN SERVICE CONTRACTS WHICH ALLOW FOR CONTRACT PRICE ADJUSTMENTS DUE TO AN INCREASE IN WAGES UNDER THE SERVICE CONTRACT ACT OF 1965 OR THE FAIR LABOR STANDARDS ACT OF 1938 DURING CONTRACT PERFORMANCE.
PHILIP G. READ, FEDERAL PROCUREMENT REGULATIONS DIRECTORATE:
BY LETTER DATED JUNE 30, 1981, YOU REQUESTED OUR COMMENTS ON A PROPOSED AMENDMENT TO THE FEDERAL PROCUREMENT REGULATIONS ADDING A NEW SECTION 1- 12.904-3. THE NEW SECTION ADDS TWO CLAUSES FOR USE IN SERVICE CONTRACTS. THESE CLAUSES PROVIDE A MEANS FOR ADJUSTING THE PRICE OF FIXED-PRICE SERVICE CONTRACTS WHEN WAGE DETERMINATIONS UNDER THE SERVICE CONTRACT ACT OF 1965, AS AMENDED, OR MINIMUM WAGES UNDER THE FAIR LABOR STANDARDS ACT OF 1938, AS AMENDED, ARE REVISED DURING THE CONTRACT PERIOD.
WE HAVE NO COMMENTS TO OFFER.