Exclusively provided by ADS, this workshop will explore the changes to the legislative framework that the Secretary of State is expected to announce shortly and implement progressively during 2018.

MOD’s ability to implement in full the recommendations for change it received from the Single Source Regulation Office, and Industry, is likely to be constrained by political considerations and the availability of parliamentary time. Nevertheless, it is expected to bring forward change proposals for most of the items important to suppliers.

Benefits of Attending

  • Gain an understanding of pricing negotiating, costing and reporting contracts awarded under the Single Source Contract Regulations.  
  • Opportunity to understand the updated Regulations and Statutory Guidance.
  • Learn the actions a supplier should take as a consequence of likely 2018 changes to the regulatory framework.

Workshop Content

  • Current issues relating to the Act, Regulations and Statutory Guidance
  • Review of when legislation applies
  • Engagement on sub-contractor pricing matters
  • Converting pre-existing contracts to Qualifying Contracts and what exposure to the legislative framework might mean
  • SSRO engagement, references, opinions and their questions

The Pricing Formula

  • Review of the allowable cost rules, including changes made in the February issue of the Allowable Cost Guidance
  • Review of contract profit rate risk and incentive adjustments
  • Exploration of SSRO’s approach to setting baseline profit rates and implications for suppliers
  • Review of cost, contingency and risk estimation requirements and implications for suppliers
  • Likely legislative changes to be implemented by Secretary of State during 2018
  • Engagement in pricing of sub-contracts and changes
  • Potential for lower value contracts and contracts for indirect articles to become qualifying contracts
  • Proprietary item pricing
  • Uses MoD and SSRO make of contract and supplier reports and which are significant
  • MoD’s rights to perform post award audits
  • Rules for profits on single source inter-group acquisitions