INSTRUCTIONS TO OFFERORS

1.  The purpose of this form is to provide a standard format by which the offeror submits to the Government a summary of incurred and estimated costs (and attached supporting information) suitable for detailed review and analysis.  Prior to the award of a contract resulting from this proposal the offeror may be required to submit a certificate of current cost or pricing data

2.  In addition to the specific information required by this form, the offeror is expected, in good faith, to incorporate in and submit with this form any additional data, supporting schedules, or substantiation which are reasonable required for the conduct of an appropriate review and analysis in the light of the specific facets of this procurement.  For effective negotiations, it is essential that there be a clear understanding of

a.  The existing, verifiable data.  

b.  The judgmental factors applied in projecting from known data to the estimate, and

c.  The contingencies used by the offeror in his proposed price.

In short, the offeror's estimating process itself needs to be disclosed.

3.  When attachment of supporting cost or pricing data to this form is impracticable, the data will be described (with schedules as appropriate), and made available to the contracting officer his authorized representative upon request.

4.  By submission of this proposal the offeror grants to the contracting officer, or his authorized representative, the right to examine, for the purpose of verifying the cost or pricing data submitted, those books, records, documents and other supporting data which will permit adequate evaluation of such cost or pricing data, along with the computations and projections used therein.  This right may be exercised in connection with any negotiations prior to contract award.