48 CFR §243.204-70-6
Verified against eCFR.gov as of June 20, 2026View official text on eCFR.gov ↗
When the final price of an unpriced change order is negotiated after a substantial portion of the required performance has been completed, the head of the contracting activity shall ensure the profit allowed reflects—
- (a)Any reduced cost risk to the contractor for costs incurred during contract performance before negotiation of the final price;
- (b)Any reduced cost risk to the contractor for costs expected to be incurred during performance of the remainder of the contract; and
- (c)The extent to which costs have been incurred prior to definitization of the unpriced change order (see 215.404-71-3(d)(2)). The risk assessment shall be documented in the price negotiation memorandum .