Difference between revisions of "Category:Truth In Negotiations Act (TINA)"
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3. '''Non-Disclosure, and No Government Knowledge.''' The contractor failed to submit current, complete and accurate data, and lacked knowledge that the data was not current, complete, and accurate. | 3. '''Non-Disclosure, and No Government Knowledge.''' The contractor failed to submit current, complete and accurate data, and lacked knowledge that the data was not current, complete, and accurate. | ||
| − | 4. '''Government Reliance.''' The Government detrimentally relied on the defective cost or pricing data. | + | 4. '''Government Reliance.''' The Government detrimentally relied on the defective cost or pricing data. Whenever the Government requires submission of cost or pricing data, the regulations mandate that the Government perform cost analysis<ref>1. FAR 15.404-1(a)(3). "Cost Analysis '''shall''' be used to evaluate the reasonableness of individual cost estimates when certified cost or pricing data are required." In other words, there is a duty for the Government, or Prime Contractor to review the cost or pricing data. </ref>. |
5. '''Causation.''' The Government's reliance on the defective cost or pricing data caused an increase in the contract price. | 5. '''Causation.''' The Government's reliance on the defective cost or pricing data caused an increase in the contract price. | ||
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If the Government is able to prove these 5 elements, it's claim may still fail due to offsets. | If the Government is able to prove these 5 elements, it's claim may still fail due to offsets. | ||
| + | [[References]] | ||
| + | <References> | ||
[[Category: Bid and Proposal]] | [[Category: Bid and Proposal]] | ||
Revision as of 19:43, 4 December 2019
TINA is a disclosure rule. It is not a rule that prohibits excessive or windfall profits, which is a common misconception. The rule is very simple, it requires a contractor to disclose current, complete and accurate data with which to place the government on an equal footing. Excessive profits, or what we will call "additional" profits is what came about during the performance of the contract, and are events and facts that were not known by the contractor during the proposal and negotiation phase.
Remember, TINA is a Disclosure Statue nothing more, nothing less.
TINA is only applicable when certified cost or pricing data is required. It does not apply to commercial procurement's or commercial procurement's (FAR 12).
If Defective Pricing has occurred or asserted, the Government is responsible for proving Defective Pricing.The Government must assert a claim.
They must prove 5 elements which are:
1. Cost or Pricing Data, the data at issue is Cost or Pricing Data.
2. Reasonable Availability, The data was reasonably available to the contractor prior to the agreement on price. The contractor knew or should have known that there was available data which would have affected price negotiations.
3. Non-Disclosure, and No Government Knowledge. The contractor failed to submit current, complete and accurate data, and lacked knowledge that the data was not current, complete, and accurate.
4. Government Reliance. The Government detrimentally relied on the defective cost or pricing data. Whenever the Government requires submission of cost or pricing data, the regulations mandate that the Government perform cost analysis[1].
5. Causation. The Government's reliance on the defective cost or pricing data caused an increase in the contract price.
If the Government is able to prove these 5 elements, it's claim may still fail due to offsets.
- ↑ 1. FAR 15.404-1(a)(3). "Cost Analysis shall be used to evaluate the reasonableness of individual cost estimates when certified cost or pricing data are required." In other words, there is a duty for the Government, or Prime Contractor to review the cost or pricing data.
Pages in category "Truth In Negotiations Act (TINA)"
The following 24 pages are in this category, out of 24 total.
