December 07, 2014

DOE Drops Proposed Cost Cap From New Idaho Cleanup Contract

By ExchangeMonitor

In apparent response to concern from potential bidders, the Department of Energy is dropping plans to include a cost cap in the new Idaho Cleanup Project (ICP) Core contract. The draft Request for Proposals for the new contract had included a provision that would have made contractors responsible for all costs going forward once the target cost for the new contract had been exceeded by $150 million. In a notice issued Dec. 5, though, DOE said that language stating, “if the Contract Performance Ceiling is exceeded by $150M in allowable costs, then the Contractor shall pay all costs of continued work for cost overruns using a share ratio of 0%/100% (Government/Contractor),” will be removed from the RFP. DOE also said that it plans to issue updated and additional sections of the draft RFP for the new Idaho contract this week. 

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