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You are here: Home / Government Contracting News / DoD report shows no cost difference when using cost-plus or fixed-price contracts

August 1, 2013 By AMK

DoD report shows no cost difference when using cost-plus or fixed-price contracts

The first annual Defense Department acquisition report shows there is no  statistical correlation between rise in cost of schedule or cost growth and the  cost-plus or fixed-price contract types.

Between 1970 and 2011, fixed-price contracts did not exhibit a significantly  different cost growth than cost-reimbursable contracts, the June 28 report says.

During the same period, data shows that there is no significant difference in  between cost-reimbursable and fixed-price contracts with respect to schedule  growth on development contracts, the report says.

Keep reading this article at: http://www.fiercegovernment.com/story/dod-report-shows-no-cost-difference-when-using-cost-plus-or-fixed-price-con/2013-07-11

 

Filed Under: Government Contracting News Tagged With: AT&L, cost overrun, cost reimbursement, cost-plus, fixed price, undefinitized

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