When establishing price reasonableness, which parts of FAR should a contracting officer consider when acquiring commercial items?

The chosen response is insightful because it identifies specific parts of the Federal Acquisition Regulation (FAR) that directly address the evaluation of price reasonableness for commercial items. FAR 13.106-3 provides guidance on evaluating the reasonableness of proposed prices when contracting under simplified acquisition procedures, which is often used for commercial items. This section emphasizes the importance of obtaining and assessing adequate competition or market research to help determine if prices are reasonable.

Additionally, FAR 14.408-2 covers procedures concerning the evaluation of bids for reasonableness under sealed bidding, allowing contracting officers to conduct thorough price analyses. Subpart 15.4 pertains to pricing of contracts, including the criteria for determining price reasonableness when negotiating contracts, which is central when acquiring commercial items that may not have standardized pricing.

Understanding price reasonableness through these parts of the FAR is crucial for contracting officers to ensure compliance with federal regulations while making informed business decisions. This approach emphasizes maintaining fair and reasonable pricing in government contracts, particularly for commercial items where pricing structures can differ significantly from traditional government contracts.