In plain English
FAR 52.216-30, Time-and-Materials/Labor-Hour Proposal Requirements—Other Than Commercial Acquisition Without Adequate Price Competition, is a solicitation provision prescribed at FAR 16.601(f)(2), most recently dated Nov 2021. The complete official text is reproduced below, verbatim, from GSA's published FAR source files.
Its text contains no sentence requiring insertion into subcontracts; see the flowdown section below for what that does and does not mean.
Does it flow down to subcontracts?
No flowdown mandate found in the clause text
This is a solicitation provision — it applies to offerors when submitting an offer, not to contract performance, so subcontract flowdown is generally not the operative question for it.
Where it's prescribed
As prescribed in 16.601(f)(2), insert the following provision:
Prescribing reference: FAR 16.601(f)(2).
The official text, verbatim
As prescribed in 16.601(f)(2), insert the following provision:
Time-and-Materials/Labor-Hour Proposal Requirements—Other Than Commercial Acquisition Without Adequate Price Competition (Nov 2021)
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(a) The Government contemplates award of a Time-and-Materials or Labor-Hour type of contract resulting from this solicitation.
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(b) The offeror must specify separate fixed hourly rates in its offer that include wages, overhead, general and administrative expenses, and profit for each category of labor to be performed by-
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(1) The offeror;
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(2) Each subcontractor; and
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(3) Each division, subsidiary, or affiliate of the offeror under a common control.
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(c) Unless exempt under paragraph (d) of this provision, the fixed hourly rates for services transferred between divisions, subsidiaries, or affiliates of the offeror under a common control-
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(1) Shall not include profit for the transferring organization; but
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(2) May include profit for the prime Contractor.
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(d) The fixed hourly rates for services that meet the definition of “commercial service” at Federal Acquisition Regulation 2.101 that are transferred between divisions, subsidiaries, or affiliates of the offeror under a common control may be the established catalog or market rate when it is the established practice of the transferring organization to price interorganizational transfers at other than cost for commercial work of the offeror or any division, subsidiary or affiliate of the offeror under a common control.
(End of provision)