# template: id: cost-narrative-template name: Cost Narrative Template version: 1.0 output: format: markdown filename: docs/cost-narrative.md title: "{{rfq_number}} Cost Narrative" workflow: mode: interactive elicitation: advanced-elicitation sections: - id: overview title: Overview content: | This template provides a structured format for developing a comprehensive cost narrative that explains and justifies your pricing approach. A well-crafted cost narrative demonstrates cost realism, reasonableness, and competitiveness to government evaluators. - id: usage-instructions title: Usage Instructions content: | 1. Complete this template after developing your pricing strategy 2. Provide clear justification for all cost elements 3. Ensure alignment with technical approach 4. Focus on demonstrating cost realism and value - id: template-structure title: Template Structure sections: - id: narrative-header title: Narrative Header type: code language: markdown content: | # [RFQ Number] Cost Narrative # [Agency Name] # [RFQ Title] # [Company Name] # [Date] - id: executive-summary title: Executive Summary elicit: true sections: - id: pricing-approach-overview title: Pricing Approach Overview template: | **Total Proposed Price**: ${{total_amount}} **Summary of Pricing Approach**: {{pricing_approach_summary}} **Key Pricing Features**: - {{feature_1}} - {{feature_2}} - {{feature_3}} - id: price-summary title: Price Summary elicit: true sections: - id: price-by-clin title: Price by Contract Line Item Number (CLIN) type: table columns: [ CLIN, Description, "Base Year", "Option Year 1", "Option Year 2", "Option Year 3", "Option Year 4", "Total", ] instruction: Fill in the CLIN pricing table with all relevant contract line items examples: - "| 0001 | [Description] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] |" - "| 0002 | [Description] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] |" - "| **Total** | | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] |" - id: price-by-cost-element title: Price by Cost Element type: table columns: [ Cost Element, "Base Year", "Option Year 1", "Option Year 2", "Option Year 3", "Option Year 4", "Total", "% of Total", ] instruction: Fill in the cost element pricing table with all relevant cost categories examples: - "| Direct Labor | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | [%] |" - "| Fringe Benefits | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | [%] |" - "| **Total** | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | $[Amount] | 100% |" - id: direct-labor title: Direct Labor elicit: true sections: - id: labor-category-justification title: Labor Category Justification template: | {{labor_category_approach}} instruction: Provide 1-2 paragraphs explaining your overall labor category approach and alignment with technical requirements - id: labor-category-table title: Labor Category Table type: table columns: [Labor Category, Justification, Qualifications, Rate Basis, Cost Realism Factors] instruction: Fill in the labor category justification table examples: - "| [Category 1] | [Justification] | [Qualifications] | [Basis] | [Factors] |" - "| [Category 2] | [Justification] | [Qualifications] | [Basis] | [Factors] |" - id: labor-hours-justification title: Labor Hours Justification template: | {{labor_hours_approach}} instruction: Provide 1-2 paragraphs explaining your overall labor hour estimation approach - id: labor-hours-table title: Labor Hours Table type: table columns: [Task, Labor Categories, Hours, Justification, Efficiency Measures] instruction: Fill in the labor hours justification table examples: - "| [Task 1] | [Categories] | [Hours] | [Justification] | [Measures] |" - "| [Task 2] | [Categories] | [Hours] | [Justification] | [Measures] |" - id: labor-rate-development title: Labor Rate Development template: | {{labor_rate_approach}} instruction: Provide 1-2 paragraphs explaining your labor rate development methodology - id: labor-rate-table title: Labor Rate Table type: table columns: [Labor Category, Base Rate, Source/Basis, Competitiveness, Market Comparison] instruction: Fill in the labor rate development table examples: - "| [Category 1] | $[Rate] | [Source] | [Assessment] | [Comparison] |" - "| [Category 2] | $[Rate] | [Source] | [Assessment] | [Comparison] |" - id: indirect-rates title: Indirect Rates elicit: true sections: - id: fringe-benefits title: Fringe Benefits template: | **Fringe Rate**: {{fringe_rate}}% **Rate Composition**: - {{fringe_component_1}}: {{fringe_rate_1}}% - {{fringe_component_2}}: {{fringe_rate_2}}% - {{fringe_component_3}}: {{fringe_rate_3}}% **Rate Basis**: {{fringe_rate_basis}} **Historical Comparison**: {{fringe_historical_comparison}} **Forward Pricing**: {{fringe_forward_pricing}} - id: overhead title: Overhead template: | **Overhead Rate**: {{overhead_rate}}% **Rate Composition**: - {{overhead_component_1}}: {{overhead_rate_1}}% - {{overhead_component_2}}: {{overhead_rate_2}}% - {{overhead_component_3}}: {{overhead_rate_3}}% **Rate Basis**: {{overhead_rate_basis}} **Historical Comparison**: {{overhead_historical_comparison}} **Forward Pricing**: {{overhead_forward_pricing}} - id: general-and-admin title: General & Administrative (G&A) template: | **G&A Rate**: {{gna_rate}}% **Rate Composition**: - {{gna_component_1}}: {{gna_rate_1}}% - {{gna_component_2}}: {{gna_rate_2}}% - {{gna_component_3}}: {{gna_rate_3}}% **Rate Basis**: {{gna_rate_basis}} **Historical Comparison**: {{gna_historical_comparison}} **Forward Pricing**: {{gna_forward_pricing}} - id: subcontractor-costs title: Subcontractor Costs elicit: true sections: - id: subcontractor-approach title: Subcontractor Approach template: | {{subcontractor_approach}} instruction: Provide 1-2 paragraphs explaining your subcontractor management approach - id: subcontractor-table title: Subcontractor Table type: table columns: [Subcontractor, Role, Value, Selection Justification, Cost Analysis] instruction: Fill in the subcontractor costs table examples: - "| [Subcontractor 1] | [Role] | $[Amount] | [Justification] | [Analysis] |" - "| [Subcontractor 2] | [Role] | $[Amount] | [Justification] | [Analysis] |" - id: other-direct-costs title: Other Direct Costs (ODCs) elicit: true sections: - id: odc-justification title: ODC Justification template: | {{odc_approach}} instruction: Provide 1-2 paragraphs explaining your approach to ODCs - id: odc-table title: ODC Table type: table columns: [ODC Category, Amount, Basis of Estimate, Justification, Cost Control Measures] instruction: Fill in the ODC justification table examples: - "| [Category 1] | $[Amount] | [Basis] | [Justification] | [Measures] |" - "| [Category 2] | $[Amount] | [Basis] | [Justification] | [Measures] |" - id: fee-profit-structure title: Fee/Profit Structure elicit: true sections: - id: fee-approach title: Fee Approach template: | **Overall Fee/Profit**: {{fee_rate}}% **Fee Justification**: {{fee_justification}} instruction: Provide 1-2 paragraphs explaining your fee/profit approach and justification - id: fee-risk-factors title: Fee Risk Factors type: table columns: [Risk Factor, Assessment, Impact on Fee] instruction: Fill in the fee risk factors table examples: - "| [Factor 1] | [Assessment] | [Impact] |" - "| [Factor 2] | [Assessment] | [Impact] |" - id: cost-realism-reasonableness title: Cost Realism and Reasonableness elicit: true sections: - id: cost-realism-approach title: Cost Realism Approach template: | {{realism_approach}} instruction: Provide 1-2 paragraphs explaining your approach to ensuring cost realism - id: cost-realism-table title: Cost Realism Table type: table columns: [Cost Element, Realism Measures, Supporting Evidence, Risk Mitigation] instruction: Fill in the cost realism table examples: - "| Direct Labor | [Measures] | [Evidence] | [Mitigation] |" - "| Indirect Rates | [Measures] | [Evidence] | [Mitigation] |" - id: cost-reasonableness-demonstration title: Cost Reasonableness Demonstration template: | {{reasonableness_approach}} instruction: Provide 1-2 paragraphs explaining your approach to demonstrating cost reasonableness - id: cost-reasonableness-table title: Cost Reasonableness Table type: table columns: [Cost Element, Reasonableness Approach, Comparative Data, Justification] instruction: Fill in the cost reasonableness table examples: - "| Direct Labor | [Approach] | [Data] | [Justification] |" - "| Indirect Rates | [Approach] | [Data] | [Justification] |" - id: cost-savings-efficiencies title: Cost Savings and Efficiencies elicit: true sections: - id: efficiency-measures title: Efficiency Measures template: | {{efficiency_approach}} instruction: Provide 1-2 paragraphs explaining your overall approach to cost efficiency - id: efficiency-measures-table title: Efficiency Measures Table type: table columns: [Efficiency Measure, Cost Impact, Technical Benefit, Implementation Approach] instruction: Fill in the efficiency measures table examples: - "| [Measure 1] | $[Amount] | [Benefit] | [Approach] |" - "| [Measure 2] | $[Amount] | [Benefit] | [Approach] |" - id: value-proposition title: Value Proposition template: | {{value_proposition}} instruction: Provide 1-2 paragraphs explaining your overall value proposition - id: value-proposition-table title: Value Proposition Table type: table columns: [Value Element, Cost Impact, Customer Benefit, Competitive Advantage] instruction: Fill in the value proposition table examples: - "| [Element 1] | [Impact] | [Benefit] | [Advantage] |" - "| [Element 2] | [Impact] | [Benefit] | [Advantage] |" - id: cost-narrative-best-practices title: Cost Narrative Best Practices content: | - **Technical Alignment**: Ensure cost narrative aligns with technical approach - **Clear Justification**: Provide clear rationale for all cost elements - **Evidence-Based**: Support cost claims with specific data and evidence - **Transparency**: Be transparent about cost development methodology - **Cost Realism**: Demonstrate that costs are realistic for the proposed approach - **Competitive Awareness**: Show awareness of competitive pricing factors - **Efficiency Focus**: Highlight cost efficiencies and value-added elements - **Risk Mitigation**: Address cost risks and mitigation approaches - **Customer Perspective**: Consider cost narrative from the customer's viewpoint - **Compliance Focus**: Ensure compliance with all pricing instructions