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This certification includes the cost or pricing data supporting any advance agreements and forward pricing rate agreements between the offeror and the Government that are part of the proposal.
When contracting in a competitive environment, Part 15 is to be used to minimize the complexity of the solicitation, the evaluation of proposals, and the source selection decision.
The Truth in Negotiations Act, or TINA, requires contractors who are negotiating certain government contracts e.g., sole source contracts where there is no established market price for the good or service to submit cost and pricing data to the Government that is truthful, accurate, and complete.
Solicitations should require a standard set of pricing data and elements of cost expected from all offerors. The Solicitations should require a standard set of pricing data and elements of cost expected from all offerors policy is a valid pricing policy expressed in the Federal Acquisition Regulation (FAR) Part 15.
There are three basic types of pricing arrangements in construction contracts: (1) stipulated sum (also known as fixed price or lump sum), (2) cost plus (with or without a guaranteed maximum or not-to-exceed price), and (3) unit price.
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FAR Part 15 describes the procedures for competitive and non-competitive open market acquisitions exceeding the Simplified Acquisition Threshold (SAT). Open market is defined as products or services not available from required sources of supply, such as GSA schedule contracts, outlined in FAR Part 8.
(e) Unless otherwise approved in ance with agency procedures, the total of the basic and option periods shall not exceed 5 years in the case of services, and the total of the basic and option quantities shall not exceed the requirement for 5 years in the case of supplies.
As per FAR part 15.408 Table 15-2. II(A), provide a consolidated priced summary of individual material quantities included in the various tasks, orders, or contract line items being proposed. Include raw materials, parts, components, assemblies, and services to be produced or performed by others.

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