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part of the contract scope of work. These functions are broken down in
sufficiently small subdivisions to permit the description of a discrete end
item of service called a "contract requirement."
Consider as an example the way in which a contract for refuse collection and
disposal can be broken down by asking the questions, "what," "when,"
"where," and "how" as shown in Figure 3-1. The end item of service or
"contract requirement" in this example is described as follows:
Empty containers, non-hazardous waste, scheduled service,
administration area.
The breakdown of the contract into successively smaller subdivisions is
further illustrated in Figure 3-2. Although there are no hard and fast
rules for preparing a tree diagram or work breakdown structure, the methods
outlined have proven effective in systematically developing specific
contract requirements .
This process of analysis is continued until all the contract requirements
have been identified.  No attempt should be made to limit the number of
contract requirements listed by combining contract requirements which are
somewhat similar but are not identical. A long list of well thought out
contract requirements indicates that an effective analysis has been made of
the functions to be carried out by contract.
3-300 EXPANDED PERFORMANCE REQUIREMENTS SUMMARY.
3-310 General. The expanded performance requirements summary (EPRS)
consists of two principal sections. The first section consists of the
performance requirements summary (PRS) which shows the contract requirements
and associated performance requirements. The second section consists of the
pricing requirements and the surveillance requirements for each contract
requirement. The former section is included as part of the contract
documents, and the latter section is used in conjunction with pricing and
the development of QA plans. The contract requirements developed as a
result of the job analysis are all shown in the PRS. The EPRS is the
startingpoint in the preparation of a performance work statement.
3-320 Contract Requirements. The contract requirements are developed by
using job analysis as outlined at 3-200 and are entered into the PRS as
shown in Figure 3-3.  In the case of combination firm fixed price/indefinite
quantity (FFP/IQ) contracts and indefinite quantity (IQ) contracts, all the
contract requirements should appear on the PRS irrespective of whether they
are later designated as being in the firm fixed price part of the contract
or as being in the indefinite quantity part.
Ideally, a contract requirement should represent a specific task which is
performed under the contract. The cost of a contract requirement includes
the costs of all the labor, equipment, materials, fringe benefits, overhead,
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