ODC Question.doc

We are requesting that the Government considers this question be considered as certain types of anticipated ODC, ie Housing Allowance/Cost of Living Allowance (HOLA/COLA) are expected to exceed the Government's ODC plug figures. Per the Joint Travel Regulations, some of the personnel under Task Order 2 are entitled to HOLA/COLA as they are living permanently overseas in areas that have higher costs of living for which the Government recognizes that an adjustment is necessary. Typically, these types of costs are bid as an ODC which minimizes cost to the Government. Should the Government require that offerors are to include these types of costs in their labor rates, they will be burdened with fringe and overhead per DCAA approved cost and pricing procedures. This would result in an unnecessary increase in cost to the Government.

As such, we are requesting that the Government please confirm that the ODC plug numbers are notional and are used instead of all actual costs offerors plan to propose and bill as an ODC (i.e. Incidentals, HOLA/COLA for deployed personnel, IT and Facilities related costs) upon contract execution.

ANSWER: All offerors must use the plug numbers provided for the respective categories of travel and other direct costs for proposal preparation purposes. However, costs in these categories will be billed and reimbured on the basis of actual costs under the contract and/or task orders, as awarded.