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Reading Room Document

Hearings with respect to matters related to defense contracts

The document is a response to a request for views on questions raised in a letter from the Chairmen of the Military Operations Subcommittee. The questions pertain to whether a defense agency can require cost or pricing data from a contractor, or if the contractor is free to negotiate only for the submission of pricing data. The conclusion reached is that both questions should be answered in the affirmative, based on the legislative history and text of the relevant subsection. The document also discusses the flexibility given to contracting officers in negotiating contract prices and the alignment of the views with the present Armed Services Procurement Regulations.

May 10, 1965

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