As prescribed in 5391.102(a), insert the following clause in Section I:
ADDITIONAL OVER AND ABOVE WORK PROCEDURES (AFMC) (JUL 1997)
(a) Negotiations on proposed over and above work should be completed prior to commencement of work, but in no case later than the time when 40 percent of the work is completed.
(b) For fixed hourly rate items, the price negotiated by the Administrative Contracting Officer shall be based on "hands on" labor hours multiplied by the contract hourly rate. The number of "hands on" labor hours required shall be negotiated by the Contractor and Administrative Contracting Officer. The fixed hourly rate includes charges for "hands on" labor, any labor cost which is not considered "hands on" for which the Contractor accounts as direct labor, burdens, general and administrative expenses, and other allowable costs and profit.
(c) At any time during contract performance, when sufficient data becomes available on a repetitive task being performed in the fixed hourly rate category, either the Contractor or the Procuring Contracting Officer may request a negotiation to establish a firm-fixed-price for that item for the remaining life of the contract. The Administrative Contracting Officer shall advise the Procuring Contracting Officer of all such agreements in order that changes can be incorporated in periodic contract modifications.
(End of Clause)
