Cost and Pricing Data (Proprietary) Policy

Background

Larger Upper Tier US Government Contractors limit cost and pricing data to government channels. They do not disclose cost and pricing data to their prime contractors. They can do this as they have the relationship with government auditors such as DCAA and DCMA and have approved Forward Pricing Rate Agreements. For Lower Tier US Government Contractors it is more difficult to limit cost and pricing data to government channels. They do not have forward pricing rate agreements and their cost proposals often times is less that 5 or 10% of the total cost of the prime contract and the government does not have the resources, or is unwilling to commit the resources to low risk audits. In cases where the government is willing to audit, the timing prevents the prime or upper tier contractor to awarding the subcontract in a timely fashion.

Purpose and Scope

The purpose of this policy is to ensure GovC's cost and pricing information is protected and provide methodologies in which the information is protected while providing for the timely award of it's subcontracts.

Responsibilities

Contracts is responsible for the administration of this policy.

Policy

It is the policy of GovC to limit cost and pricing information to US Government channels. However, exceptions are allowed, providing for the release of cost and pricing information to upper tier or prime contracts if certain protections are provided for, for the protection of the cost and pricing information. These protections are described in GovC's Cost and Pricing Data (Proprietary) Procedures which are incorporated into it's Estimating Manual. They are:

1. A signed Contractor TINA Flowdown Certification
2. A signed GovC Non-Disclosure Agreement (NDA)

Additional requirements are the BU seeking to provide cost and pricing (proprietary) data must also submit a forward pricing rate package to DCAA, DCMA, and/or the ACO or other governing US Government Authority.