61434

Gulf Pacific Contracting, LLC

September 16, 2021Judge Prouty
Denied / Government PrevailedQuantum / Damages

Gulf Pacific Contracting, LLC appealed a decision denying its claim for additional compensation due to increased labor costs resulting from a wage determination during the option period of a firm-fixed-price contract. The Board upheld the contracting officer's reliance on the no-adjustment clause in the contract.

Material Facts

  • On September 26, 2016, the United States Air Force awarded Gulf Pacific a firm-fixed-price, indefinite-delivery indefinite-quantity construction contract.
  • The contract required Gulf Pacific to provide prices for the base year and each option year.
  • The Department of Labor issued a wage determination increasing the hourly prevailing wages for painters on September 8, 2017.
  • Upon exercising Option Year 1, the contracting officer incorporated the new wage determination.
  • Gulf Pacific requested compensation for the increased wage costs, which the contracting officer denied based on the no-adjustment clause.

Parties

Appellant
Gulf Pacific Contracting, LLC
Respondent Agency
Department of the Air Force
Contract Number
FA4417-16-D-0002
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