At least one Senior Army Official says fixed-price contracting might not be the way to go for the Army.

The Obama administration has been pushing for more fixed price contracting, Executive Gov reports.

But Army acquisition chief Malcolm O’Neill says fixed price contracting is pushing firms to intentionally bid high to offset risk.

The Office of Management and Budget wants agencies to cut their use of cost-reimbursement, time-and-materials, and sole-source award contracts by 10 percent.

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