[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: 48CFR17.208]

[Page 326-327]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                CHAPTER 1--FEDERAL ACQUISITION REGULATION
 
PART 17_SPECIAL CONTRACTING METHODS--Table of Contents
 
                          Subpart 17.2_Options
 
Sec.  17.208  Solicitation provisions and contract clauses.

    (a) Insert a provision substantially the same as the provision at 
52.217-3, Evaluation Exclusive of Options, in solicitations when the 
solicitation includes an option clause and does not include one of the 
provisions prescribed in paragraph (b) or (c) below.
    (b) Insert a provision substantially the same as the provision at 
52.217-4, Evaluation of Options Exercised at Time of Contract Award, in 
solicitations when the solicitation includes an option clause, the 
contracting officer has determined that there is a reasonable likelihood 
that the option will be exercised, and the option may be exercised at 
the time of contract award.
    (c) Insert a provision substantially the same as the provision at 
52.217-5, Evaluation of Options, in solicitations when--
    (1) The solicitation contains an option clause;
    (2) An option is not to be exercised at the time of contract award;
    (3) A firm-fixed-price contract, a fixed-price contract with 
economic price adjustment, or other type of contract approved under 
agency procedures is contemplated; and
    (4) The contracting officer has determined that there is a 
reasonable likelihood that the option will be exercised. For sealed 
bids, the determination shall be in writing.
    (d) Insert a clause substantially the same as the clause at 52.217-
6, Option for Increased Quantity, in solicitations and contracts, other 
than those for services, when the inclusion of an option is appropriate 
(see 17.200 and 17.202) and the option quantity is expressed as a 
percentage of the basic contract quantity or as an additional quantity 
of a specific line item.
    (e) Insert a clause substantially the same as the clause at 52.217-
7, Option for Increased Quantity--Separately Priced Line Item, in 
solicitations and contracts, other than those for services, when the 
inclusion of an option is appropriate (see 17.200 and 17.202) and the 
option quantity is identified as a separately priced line item having 
the same nomenclature as a corresponding basic contract line item.
    (f) Insert a clause substantially the same as the clause at 52.217-
8, Options to Extend Services, in solicitations and contracts for 
services when the inclusion of an option is appropriate. (See 17.200, 
17.202, and 37.111.)

[[Page 327]]

    (g) Insert a clause substantially the same as the clause at 52.217-
9, Option to Extend the Term of the Contract, in solicitations and 
contracts when the inclusion of an option is appropriate (see 17.200 and 
17.202) and it is necessary to include in the contract any or all of the 
following:
    (1) A requirement that the Government must give the contractor a 
preliminary written notice of its intent to extend the contract.
    (2) A statement that an extension of the contract includes an 
extension of the option.
    (3) A specified limitation on the total duration of the contract.

[48 FR 42231, Sept. 19, 1983, as amended at 53 FR 17858, May 18, 1988; 
54 FR 5055, Jan. 31, 1989; 54 FR 29281, July 11, 1989; 55 FR 38516, 
Sept. 18, 1990; 60 FR 42656, Aug. 16, 1995; 64 FR 51843, Sept. 24, 1999]

Subpart 17.3 [Reserved]