Quantcast Schedule of Deductions - mo3270120

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Any unusual requirements of the contract,
Safety requirements,
Contractor's quality control program,
Prompt rework of deficiencies,
Government furnished property,
Contractor's schedules,
Invoicing by the contractor,
Deductions to the contract price for unsatisfactory performance,
Points of contact for the Government and the contractor after
regular working hours and in emergencies,
Availability of emergency medical and fire services,
Station fire regulations,
Accident reporting,
Scheduling of future meetings,
Review of the contractor performance evaluation procedures,
Standards of conduct.
6-220 Schedule of Deductions. The term of the contract, in the case of
firm fixed price contracts, generally require the contractor to submit a
schedule of deductions within 15 days after the award of the contract. This
schedule of deductions is used to calculate deductions in the contract price
for defects in the contractor's performance.  The schedule of deductions
applies only to the work included in the firm fixed price portion of the
contract.  A schedule of deductions is not required for indefinite quantity
contracts or the indefinite portion of combination firm fixed
price/indefinite quantity contract since each contract requirement or task
is priced by the contractor in the schedule of indefinite quantity work when
the bid/proposal is submitted by the contractor. Also, a schedule of
deductions is not required if line items (a schedule of prices) was used in
the solicitation in preference to a schedule of deductions.
A properly completed schedule of deductions is essential for effective
contract administration, and the contractor should not be permitted to
commence work until theschedule is received and approved by the Contracting
Officer.  The reasonableness of the schedule of deductions submitted by the
contractor should be assessed by comparing the estimated dollar amounts in
the expanded performance requirements summary (EPRS) with the amounts in the
schedule of deductions.  Care should be taken to assure that the contractor
submits a balanced schedule of deductions, i.e., that the prices in the
schedule bear a reasonable relationship to the relative magnitude of each
contract requirement. If the contractor's schedule is unacceptable, it
should be returned to the contractor for revision. The Government reserves
the right to unilaterally set a schedule of deductions in the event the
contractor fails to submit an acceptable schedule.
It should be noted that, if as a result of the contractor's failure to
perform, the work is subsequently done by the Government or by another
contractor the schedule of deductions, generally, is not used to calculate
deductions to the contractor's price for this work.  In such cases, the
Government's actual costs together with liquidated damages in accordance
with the terms of the contract are deducted from the contract price.
Payment calculations am discussed in detail at 6-600.


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