other · US Department of Defense · Rule · Published 1999-08-02 · Effective 1999-08-02 · 64 FR 41834
Document
Document number
99-19630
Federal Register citation
64 FR 41834
CFR reference
48 CFR 5416
Type
Rule
Action
Final rule.
Category
other
Sub-agency
US Department of Defense
Publication date
1999-08-02
Effective date
1999-08-02
Abstract
This rule adds a new part to the Defense Logistics Acquisition Directive (DLAD) affecting regulations on the use of solicitation provisions and contract clauses for Economic Price Adjustments (EPA). The coverage expands the use of EPA based on market price references. It also expands the use of EPA based on indexes, to encompass indexes for products or services that are identical or similar to the end products to be provided under the contract. It authorizes the development and use, subject to established agency review and approval procedures, of clauses using EPA references as described above. The coverage ensures EPA references that more closely follow market prices, are in conformance with commercial practice, and reduce price risk for both the government and the contractor.