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Time and Materials

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I have a question regarding time & material contracts. Contractor has a T&M contract that is commencing soon. After award we have determined that some of the incumbent employees that have first right of refusal are making considerably more that we proposed. Conversely, some positions were bid at a rate that affords Contractor some degree of latitude. For example, we bid a base rate of $18.50/hour and we can hire an individual at $17.00/hour.

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