DEPARTMENT OF HEALTH AND HUMAN SERVICES

Request to Exercise Option Memorandum to the Contracting Officer

TO: FROM:

SUBJECT:

In support of this request to exercise subject option: (all boxes must be checked)

There is a continued need for the services or supplies under this contract;

Funds are available to exercise this Option as shown in the iProcurement requisition or are anticipated to be available by the date needed for option exercise; (If an indefinite delivery contract, state that additional funds will be provided for orders as requirements are defined.) Available funds should represent a bona fide need of the year the modification to exercise the option is to take place and match the option amount stated in the contract;

To the best of my knowledge, the market prices/conditions for the supplies or services needed have not changed since contract award; and

The Contractor's performance has been satisfactory.

Market ResearchBelow are several examples of techniques used to test the market. If any market research or other analysis of the market was conducted to assist the Contracting Officer, please include a description and explanation of any information obtained under one of the examples below or add any other techniques used to test the market. If an analysis of the market was not conducted, leave blank.

a. Comparison of rates to some form of index, such as the Bureau of Labor Statistics employment cost index;

b. Comparison of rates with other rates in other government contracts, such as Federal Supply Schedule (FSS) contract prices for similar categories through GSA's eLibrary;

c. Use of a statistical sampling technique where an agency would directly evaluate only a representative number of the option rates or develop representative composite rate(s) for use in market place comparisons;

PSC Publishing Services (301) 443-6740 EF(04/17)

d. Comparison of rates with rates for similar categories in similar localities at http://salary.com/ ; and

e. Any other techniques used to test the market.

Other factors that may be considered in support of the request to exercise the option include:

f. The government's need for continuity of operations and potential costs of disrupting operations;

g. The cost to the government in conducting a new solicitation versus exercising the option; and

h. The effect on small business.

Check the box below if the Contracting Officer requested that you complete an interim performance evaluation. Include the date performance information was entered in CPARS.

In accordance with your request for an interim performance evaluation, performance information was entered in CPARS on

COR Signature Date

Title

(04/17)