Adequacy of Regulations Governing the Negotiation of Noncompetitive Contracts over $100,000 Based on Catalog or Market Prices

Federal Procurement Regulations state that contracting officers shall, with some exceptions, obtain contractors' cost or pricing data in support of proposed prices for noncompetitive contracts. A review of the pricing of 204 noncompetitive fixed-price contracts and modifications with federal agencies showed that there was no assurance that the prices negotiated for 201 of the contracts were reasonable.