[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR48]



[Page 918]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 48_VALUE ENGINEERING--Table of Contents

 

                  Subpart 48.1_Policies and Procedures

 

48.105  Relationship to other incentives.



    Contractors should be offered the fullest possible range of 

motivation, yet the benefits of an accepted VECP should not be rewarded 

both as value engineering shares and under performance, design-to-cost, 

or similar incentives of the contract. To that end, when performance, 

design-to-cost, or similar targets are set and incentivized, the targets 

of such incentives affected by the VECP are not to be adjusted because 

of the acceptance of the VECP. Only those benefits of an accepted VECP 

not rewardable under other incentives are rewarded under a value 

engineering clause.



[48 FR 42443, Sept. 19, 1983, as amended at 54 FR 5057, Jan. 31, 1989]