A prime contractor on a cost-plus-fixed-fee contract proposes to subcontract specialty IT work to its wholly owned subsidiary. What is the primary concern the contracting officer must address?
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A
The subcontract will violate limitations on subcontracting rules
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B
The inter-organizational transaction may involve unallowable costs or lack arm's-length pricing
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C
The subsidiary cannot hold a federal subcontract without its own facility clearance
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D
The FAR prohibits subcontracting to affiliated entities on CPFF contracts