[Code of Federal Regulations]
[Title 41, Volume 1]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 41CFR51-2.7]

[Page 50]
 
           TITLE 41--PUBLIC CONTRACTS AND PROPERTY MANAGEMENT
 
CHAPTER 51--COMMITTEE FOR PURCHASE FROM PEOPLE WHO ARE BLIND OR SEVERELY 
                                DISABLED
 
PART 51	2_COMMITTEE FOR PURCHASE FROM PEOPLE WHO ARE BLIND OR SEVERELY 
DISABLED--Table of Contents
 
Sec. 51-2.7  Fair market price.

    (a) The Committee is responsible for determining fair market prices, 
and changes thereto, for commodities and services on the Procurement 
List. The Committee establishes an initial fair market price at the time 
a commodity or service is added to the Procurement List. This initial 
price is based on Committee procedures, which permit negotiations 
between the contracting activity and the nonprofit agency which will 
produce or provide the commodity or service to the Government, assisted 
by the appropriate central nonprofit agency. If agreed to by the 
negotiating parties, the initial price may be developed using other 
methodologies specified in Committee pricing procedures.
    (b) Prices are revised in accordance with changing market conditions 
under Committee procedures, which include negotiations between 
contracting activities and producing nonprofit agencies, assisted by 
central nonprofit agencies, or the use of economic indices, changes in 
nonprofit agency costs, or other methodologies permitted under these 
procedures.
    (c) Recommendations for initial fair market prices, or changes 
thereto, shall be submitted jointly by the contracting activities and 
nonprofit agencies concerned to the appropriate central nonprofit 
agency. After review and analysis, the central nonprofit agency shall 
submit the recommended prices and methods by which prices shall be 
changed to the Committee, along with the information required by 
Committee pricing procedures to support each recommendation. The 
Committee will review the recommendations, revise the recommended prices 
where appropriate, and establish a fair market price, or change thereto, 
for each commodity or service which is the subject of a recommendation.

[64 FR 55842, Oct. 15, 1999]