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   <concept id="DFARS_212.7102-1"
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            class="- topic/topic concept/concept ">
      <title class="- topic/title ">
         <ph props="autonumber" class="- topic/ph ">212.7102-1</ph> Contracts under
the program.</title>
      <conbody class="- topic/body  concept/conbody ">
         <p class="- topic/p ">The contracting officer may utilize this pilot program
to enter into contracts for the acquisition of military-purpose
nondevelopmental items. See PGI 
               <xref href="PGI_212.7102.dita#DFARS_PGI_PGI_212.7102"
                  base="DFARS-PGI_PGI_212.7102"
                  outputclass="fm:ParaNumOnly"
                  class="- topic/xref "
                  xtrc="212.7102">212.7102</xref>
            for
file documentation requirements. Each contract entered into under
the pilot program shall—</p>
         <p outputclass="List1" class="- topic/p ">(a) Be a firm-fixed-price contract, or
a fixed-price contract with an economic price adjustment clause;</p>
         <p outputclass="List1" class="- topic/p ">(b) Be in an amount not in excess of $100
million;</p>
         <p outputclass="List1" class="- topic/p ">(c) Provide—</p>
         <p outputclass="List2" class="- topic/p ">(1) For the delivery of an initial lot
of production quantities of completed items not later than nine
months after the date of the award of such contract; and</p>
         <p outputclass="List2" class="- topic/p ">(2) That failure to make delivery as provided
for under paragraph (c)(1) may result in termination for cause;
and</p>
         <p outputclass="List1" class="- topic/p ">(d) Be—</p>
         <p outputclass="List2" class="- topic/p ">(1) Exempt from the requirement to submit
certified cost or pricing data;</p>
         <p outputclass="List2" class="- topic/p ">(2) Exempt from the cost accounting standards
under 41 U.S.C. 1502; and</p>
         <p outputclass="List2" class="- topic/p ">(3) Subject to the requirement to provide
data other than certified cost or pricing data for the purpose of
price reasonableness determinations.</p>
      </conbody>
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