This collection is approved based on the revised materials provided by the Agency.
Inventory as of this Action
Requested
Previously Approved
08/31/2019
36 Months From Approved
08/31/2016
123,392
0
57,568
40,719
0
28,784
2,321,004
0
0
Firms performing under Federal cost-reimbursement contracts must notify the Government when incurred costs will exceed 75 percent of the estimated cost. or when the total cost for the performance of the contracts will be greater or substantially less than estimated.
The number of affected contracts was changed, based on contract award data from the Federal Procurement Data System (FPDS). During the three most recent years for which data were available (FY13, FY14, and FY15), the average number of covered awards involving incremental funding (and thereby, the requirement to issue Limitation of Funds letters) was estimated to be 123,392. This number includes all cost-plus-fixed-fee, cost-plus-award-fee, cost-plus-incentive-fee, and 10% of all cost-sharing contracts.
Also, three changes were made to the estimates published in the preliminary 60-day notice at 81 FR 21873 on April 13, 2016, for this renewal. First, the initial estimate included certain fixed-price and cost-sharing contract data (subsequently deemed not directly impacted by FAR clauses 52.232-20 and 52.232-22); those data points have been removed from the estimate for this collection. Accordingly, the number of contract actions has been reduced. Secondly, the number of responses per respondent has been reassessed at one per year in lieu of five; this is consistent with updated data based on consultation with subject matter experts within the Government. Some cost-reimbursement contracts will not invoke the notices required by the two clauses, while others might invoke one or more per year. Third, the estimated time to produce each funding letter was reduced from 1/2 hour to 1/3 hour, as office software applications continue to improve, making basic computations, word processing, and communication increasingly efficient.
On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).
The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control number;
If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.
9000-0074 Supporting Statement (8-22-2016).docx
Contract Funding - Limitation of Costs/Funds - FAR Sections Affected: 52.232-20 and 52.232-22