What does "correct performance issues" entail in contract modifications?

Addressing non-compliance or performance failures is essential in contract modifications because it ensures that the contractor meets the agreed-upon specifications and standards outlined in the contract. Correcting performance issues involves identifying and resolving any deficiencies in the contractor's execution of work that could lead to delays, quality issues, or non-compliance with regulations.

When performance issues are identified, modifications may be necessary to outline the expectations for the contractor's performance moving forward. This could involve requiring the contractor to implement specific corrective actions or improve their processes to meet the contract requirements. Additionally, documenting these corrections helps protect the interests of both the government and the contractor by ensuring clarity on performance expectations.

The other options do not encompass the full scope of what "correct performance issues" would involve. For instance, adjusting the budget alone does not rectify performance failures; capturing future project impacts focuses more on anticipating outcomes rather than fixing current issues, and restructuring the entire contract might be excessive when the situation could be resolved by merely addressing specific performance failures.