Service Contracting; FAR Section Affected: 52.237-10

This clearance covers the information that offerors must submit to comply with the following FAR requirements: FAR 52.237-10, Identification of Uncompensated Overtime. This provision requires offerors, when professional or technical services are acquired on the basis of the number of hours to be provided, to identify uncompensated overtime hours in excess of 40 hours per week, whether at the prime or subcontract level. This includes uncompensated overtime hours that are in indirect cost pools for personnel whose regular hours are normally charged direct. 2. Use of the Information. The contracting officer will use the collected information to perform an adequate cost realism analysis of the offerors’ proposed labor rates. Proposals which include unrealistically low labor rates, or which do not otherwise demonstrate cost realism, will be considered by the contracting officer in a risk assessment and evaluated appropriately. The primary purpose for obtaining the information and using it during the source selection process is to discourage the use of uncompensated overtime.

The latest form for Service Contracting; FAR Section Affected: 52.237-10 expires 2028-07-31 and can be found here.