3221. ADJUSTMENTS FOR PRICE REDUCTION

3221 ADJUSTMENTS FOR PRICE REDUCTION 3221.1 If a retroactive downward price adjustment occurs under a redeterminable contract that provides for progress payments, the contracting officer shall do the following: (a) Determine the refund due and obtain repayment from the contractor for the excess of payments made for delivered items over amounts due as recomputed at the reduced prices; and (b) Increase the unliquidated progress payments amount for over-deduction made from the contractor's billings for items delivered. 3221.2 The contracting officer shall increase the unliquidated progress payments amount if the contractor makes an interim or voluntary price reduction under a redeterminable or incentive contract. SOURCE: Final Rulemaking published at 35 DCR 1636 (February 26, 1988).