Final answer:
In FAR Part 15, different contract types for negotiated procurements can be used, including fixed-price, cost-reimbursement, time-and-materials, labor-hour, and incentive contracts, each catering to varying levels of risk and flexibility.
Step-by-step explanation:
The question pertains to Federal Acquisition Regulation (FAR) Part 15, which deals with the different types of contract types that can be used for negotiated contracts in government procurement. Under FAR Part 15, there are several types of contracts that can be utilized depending on the specific needs and requirements of the procurement. The types of contracts include:
- Fixed-Price Contracts (Firm Fixed-Price, Fixed-Price Incentive, Fixed-Price with Economic Price Adjustment)
- Cost-Reimbursement Contracts (Cost, Cost-Plus-Fixed-Fee, Cost-Plus-Award-Fee, Cost-Plus-Incentive-Fee)
- Time-and-Materials Contracts
- Labor-Hour Contracts
- Incentive Contracts, which combine features from fixed-price and cost-reimbursement type contracts
- Indefinite Delivery Contracts (Definite Quantity, Requirements, Indefinite Quantity)
Each of these contract types offers different levels of risk and flexibility for both the government and contractors. The selection of the contract type is crucial and is typically based on the complexity and nature of the requirements, the degree of uncertainty involved, and the contractor's incentive for efficient and effective performance.