The government buys a lot of different things. Price is a key factor in every purchase of those things. Sometimes the price of a product or service is easy to figure out, like when it’s a published price. Other times, it’s not that simple.
One way the government team can assess whether a price is reasonable is to build a formal estimate. This formal estimate is normally called an “Independent Government Cost Estimate” (or IGCE).
In this episode, Kevin and Paul explain the “what” and “why” behind the IGCE. Sometimes the regulations recommended the use of an IGCE. Sometimes the regulations require the use of an IGCE. They cover both scenarios in this episode.
This episode is for you if you’re wondering what drives the government to use IGCEs, and why they are often a big part of many government contract award processes.