In government-lead cleanups does PFP apply to the whole cost of the cleanup or just the fee portion of the contractors billings?
PFP applies to the whole cost of the cleanup. Generally the fee portion of a government contract is a relatively small part of the contractor’s total billing for a cleanup. So, just applying PFP to the fee provides a relatively weak fiscal incentive to the contractor, and also leaves the biggest chunk of cleanup cost no more controlled than with time-and-materials contracts.