[Code of Federal Regulations]
[Title 48, Volume 1]
[Revised as of October 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 48CFR15.402]

[Page 257-258]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                CHAPTER 1--FEDERAL ACQUISITION REGULATION
 
PART 15_CONTRACTING BY NEGOTIATION--Table of Contents
 
                      Subpart 15.4_Contract Pricing
 
Sec.  15.402  Pricing policy.

    Contracting officers must--
    (a) Purchase supplies and services from responsible sources at fair 
and reasonable prices. In establishing the reasonableness of the offered 
prices, the contracting officer must not obtain more information than is 
necessary. To the extent that cost or pricing data are not required by 
15.403-4, the contracting officer must generally use the following order 
of preference in determining the type of information required:
    (1) No additional information from the offeror, if the price is 
based on adequate price competition, except as provided by 15.403-3(b).
    (2) Information other than cost or pricing data:
    (i) Information related to prices (e.g., established catalog or 
market prices or previous contract prices), relying first on information 
available within the

[[Page 258]]

Government; second, on information obtained from sources other than the 
offeror; and, if necessary, on information obtained from the offeror. 
When obtaining information from the offeror is necessary, unless an 
exception under 15.403-1(b) (1) or (2) applies, such information 
submitted by the offeror shall include, at a minimum, appropriate 
information on the prices at which the same or similar items have been 
sold previously, adequate for evaluating the reasonableness of the 
price.
    (ii) Cost information, that does not meet the definition of cost or 
pricing data at 2.101.
    (3) Cost or pricing data. The contracting officer should use every 
means available to ascertain whether a fair and reasonable price can be 
determined before requesting cost or pricing data. Contracting officers 
must not require unnecessarily the submission of cost or pricing data, 
because it leads to increased proposal preparation costs, generally 
extends acquisition lead time, and consumes additional contractor and 
Government resources.
    (b) Price each contract separately and independently and not--
    (1) Use proposed price reductions under other contracts as an 
evaluation factor; or
    (2) Consider losses or profits realized or anticipated under other 
contracts.
    (c) Not include in a contract price any amount for a specified 
contingency to the extent that the contract provides for a price 
adjustment based upon the occurrence of that contingency.

[62 FR 51230, Sept. 30, 1997, as amended at 66 FR 2129, Jan. 10, 2001]