32.1005 Solicitation provision and contract clause.

      (a) Insert the clause at 52.232-32, Performance-Based Payments, in-

           (1) Solicitations that may result in contracts providing for performance-based payments; and

           (2) Fixed-price contracts under which the Government will provide performance-based payments.

      (b)

(1) Insert the solicitation provision at 52.232-28, invitation to Propose Performance-Based Payments, in negotiated solicitations that invite offerors to propose performance-based payments.

           (2) Use the provision with its Alternate I in competitive negotiated solicitations if the Government intends to adjust proposed prices for proposal evaluation purposes (see 32.1004(e)).