252.227-7021 Rights in Data--Existing Works.
As prescribed at 227.7105-2(a), use the following clause:
RIGHTS IN DATA--EXISTING WORKS (MAR 1979)
(a) The term "works" as used herein includes literary, musical, and dramatic works; pantomimes and choreographic works; pictorial, graphic and sculptural works; motion pictures and other audiovisual works; sound recordings; and works of a similar nature. The term does not include financial reports, cost analyses, and other information incidental to contract administration.
(b) Except as otherwise provided in this contract, the Contractor hereby grants to the Government a nonexclusive, paid-up license throughout the world (1) to distribute, perform publicly, and display publicly the works called for under this contract and (2) to authorize others to do so for Government purposes.
(c) The Contractor shall indemnify and save and hold harmless the Government, and its officers, agents, and employees acting for the Government, against any liability, including costs and expenses, (1) for violation of proprietary rights, copyrights, or rights of privacy or publicity arising out of the creation, delivery, or use, of any works furnished under this contract, or (2) based upon any libelous or other unlawful matter contained in same works.
(End of clause)
252.227-7022 Government Rights (Unlimited).
As prescribed at 227.7107-1(a) use the following clause:
GOVERNMENT RIGHTS (UNLIMITED) (MAR 1979)
The Government shall have unlimited rights, in all drawings, designs, specifications, notes and other works developed in the performance of this contract, including the right to use same on any other Government design or construction without additional compensation to the Contractor. The Contractor hereby grants to the Government a paid-up license throughout the world to all such works to which he may assert or establish any claim under design patent or copyright laws. The Contractor for a period of three (3) years after completion of the project agrees to furnish the original or copies of all such works on the request of the Contracting Officer.
(End of clause)
252.227-7023 Drawings and Other Data to Become Property of Government.
As prescribed at 227.7107-1(b), use the following clause:
DRAWINGS AND OTHER DATA TO BECOME PROPERTY OF GOVERNMENT
(MAR 1979)
All designs, drawings, specifications, notes and other works developed in the performance of this contract shall become the sole property of the Government and may be used on any other design or construction without additional compensation to the Contractor. The Government shall be considered the "person for whom the work was prepared" for the purpose of authorship in any copyrightable
work under 17 U.S.C. 201(b). With respect thereto, the Contractor agrees not to assert or authorize others to assert any rights nor establish any claim under the design patent or copyright laws. The Contractor for a period of three (3) years after completion of the project agrees to furnish all retained works on the request of the Contracting Officer. Unless otherwise provided in this contract, the Contractor shall have the right to retain copies of all works beyond such period.
(End of clause)
252.227-7024 Notice and Approval of Restricted Designs.
As prescribed at 227.7107-3, use the following clause:
NOTICE AND APPROVAL OF RESTRICTED DESIGNS (APR 1984)
In the performance of this contract, the Contractor shall, to the extent practicable, make maximum use of structures, machines, products, materials, construction methods, and equipment that are readily available through Government or competitive commercial channels, or through standard or proven production techniques, methods, and processes. Unless approved by the Contracting Officer, the Contractor shall not produce a design or specification that requires in this construction work the use of structures, products, materials, construction equipment, or processes that are known by the Contractor to be available only from a sole source. The Contractor shall promptly report any such design or specification to the Contracting Officer and give the reason why it is considered necessary to so restrict the design or specification.
(End of clause)
252.227-7025 Limitations on the Use or Disclosure of Government-Furnished Information Marked with Restrictive Legends.
As prescribed in 227.7103-6(c), 227.7104(f)(1), or 227.7203-6(d), use the following clause:
LIMITATIONS ON THE USE OR DISCLOSURE OF GOVERNMENT-FURNISHED
INFORMATION MARKED WITH RESTRICTIVE LEGENDS (JUN 1995)
(a) (1) For contracts requiring the delivery of technical data, the terms "limited rights" and "Government purpose rights" are defined in the Rights in Technical Data--Noncommercial Items clause of this contract.
(2) For contracts that do not require the delivery of technical data, the terms "government purpose rights" and "restricted rights" are defined in the Rights in Noncommercial Computer Software and Noncommercial Computer Software Documentation clause of this contract.
(3) For Small Business Innovative Research program contracts, the terms "limited rights" and "restricted rights" are defined in the Rights in Noncommercial Technical Data and Computer Software--Small Business Innovative Research (SBIR) Program clause of this contract.
(b) Technical data or computer software provided to the Contractor as Government furnished information (GFI) under this contract may be subject to restrictions on use, modification, reproduction, release, performance, display, or further disclosure.
(1) GFI marked with limited or restricted rights legends.
The Contractor shall use, modify, reproduce, perform, or display technical data received from the Government with limited rights legends or computer software received with restricted rights legends only in the performance of this contract. The Contractor shall not, without the express written permission of the party whose name appears in the legend, release or disclose such data or software to any person.
(2) GFI marked with government purpose rights legends.
The Contractor shall use technical data or computer software received from the Government with government purpose rights legends for government purposes only. The Contractor shall not, without the express written permission of the party whose name appears in the restrictive legend, use, modify, reproduce, release, perform, or display such data or software for any commercial purpose or disclose such data or software to a person other than its subcontractors, suppliers, or prospective subcontractors or suppliers, who require the data or software to submit offers for, or perform, contracts under this contract. Prior to disclosing the data or software, the Contractor shall require the persons to whom disclosure will be made to complete and sign the non-disclosure agreement at 227.7103-7 of the Defense Federal Acquisition Regulation Supplement (DFARS).
(3) GFI marked with specially negotiated license rights legends.
The Contractor shall use, modify, reproduce, release, perform, or display technical data or computer software received from the Government with specially negotiated license legends only as permitted in the license. Such data or software may not be released or disclosed to other persons unless permitted by the license and, prior to release or disclosure, the intended recipient has completed the non-disclosure agreement at DFARS 227.7103-7. The Contractor shall modify paragraph (1)(c) of the non-disclosure agreement to reflect the recipient's obligations regarding use, modification, reproduction, release, performance, display, and disclosure of the data or software.
(c) Indemnification and creation of third party beneficiary rights.
The Contractor agrees--
(1) To indemnify and hold harmless the Government, its agents, and employees from every claim or liability, including attorneys fees, court costs, and expenses, arising out of, or in any way related to, the misuse or unauthorized modification, reproduction, release, performance, display, or disclosure of technical data or computer software received from the Government with restrictive legends by the Contractor or any person to whom the Contractor has released or disclosed such data or software; and
(2) That the party whose name appears on the restrictive legend, in addition to any other rights it may have, is a third party beneficiary who has the right of direct action against the Contractor, or any person to whom the Contractor has released or disclosed such data or software, for the unauthorized duplication, release, or disclosure of technical data or computer software subject to restrictive legends.
(End of clause)
252.227-7026 Deferred Delivery of Technical Data or Computer Software.
As prescribed at 227.7103-8(a), use the following clause:
DEFERRED DELIVERY OF TECHNICAL DATA OR COMPUTER
SOFTWARE (APR 1988)
The Government shall have the right to require, at any time during the performance of this contract, within two (2) years after either acceptance of all items (other than data or computer software) to be delivered under this contract or termination of this contract, whichever is later, delivery of any technical data or computer software item identified in this contract as "deferred delivery" data or computer software. The obligation to furnish such technical data required to be prepared by a subcontractor and pertaining to an item obtained from him shall expire two (2) years after the date Contractor accepts the last delivery of that item from that subcontractor for use in performing this contract.
(End of clause)
252.227-7027 Deferred Ordering of Technical Data or Computer Software.
As prescribed at 227.7103-8(b), use the following clause:
DEFERRED ORDERING OF TECHNICAL DATA OR COMPUTER
SOFTWARE (APR 1988)
In addition to technical data or computer software specified elsewhere in this contract to be delivered hereunder, the Government may, at any time during the performance of this contract or within a period of three (3) years after acceptance of all items (other than technical data or computer software) to be delivered under this contract or the termination of this contract, order any technical data or computer software generated in the performance of this contract or any subcontract hereunder. When the technical data or computer software is ordered, the Contractor shall be compensated for converting the data or computer software into the prescribed form, for reproduction and delivery. The obligation to deliver the technical data of a subcontractor and pertaining to an item obtained from him shall expire three (3) years after the date the Contractor accepts the last delivery of that item from that subcontractor under this contract. The Government's rights to use said data or computer software shall be pursuant to the "Rights in Technical Data and Computer Software" clause of this contract.
(End of clause)
252.227-7028 Technical Data or Computer Software Previously Delivered to the Government.
As prescribed in 227.7103-6(d), 227.7104(f)(2), of 227.7203-6(e), use the following provision:
TECHNICAL DATA OR COMPUTER SOFTWARE PREVIOUSLY DELIVERED
TO THE GOVERNMENT (JUN 1995)
The Offeror shall attach to its offer an identification of all documents or other media incorporating technical data or computer software it intends to deliver under this contract with other than unlimited rights that are identical or substantially similar to documents or other media that the Offeror has produced for, delivered to, or is obligated to deliver to the Government under any contract or subcontract. The attachment shall identify--
(a) The contract number under which the data or software were produced;
(b) The contract number under which, and the name and address of the organization to whom, the data or software were most recently delivered or will be delivered; and
(c) Any limitations on the Government's rights to use or disclose the data or software, including, when applicable, identification of the earliest date the limitations expire.
(End of provision)
252.227-7030 Technical Data--Withholding of Payment.
As prescribed at 227.7103-6(e)(2) or 227.7104(e)(4), use the following clause:
TECHNICAL DATA--WITHHOLDING OF PAYMENT (OCT 1988)
(a) If technical data specified to be delivered under this contract, is not delivered within the time specified by this contract or is deficient upon delivery (including having restrictive markings not identified in the list described in the clause at 252.227-7013(k) of this contract), the Contracting Officer may until such data is accepted by the Government, withhold payment to the Contractor of ten percent (10%) of the total contract price or amount unless a lesser withholding is specified in the contract. Payments shall not be withheld nor any other action taken pursuant to this paragraph when the Contractor's failure to make timely delivery or to deliver such data without deficiencies arises out of causes beyond the control and without the fault or negligence of the Contractor.
(b) The withholding of any amount or subsequent payment to the Contractor shall not be construed as a waiver of any rights accruing to the Government under this contract.
(End of clause)
252.227-7032 Rights in Technical Data and Computer Software (Foreign).
As prescribed in 227.7103-17, use the following clause:
RIGHTS IN TECHNICAL DATA AND COMPUTER SOFTWARE (FOREIGN)
(JUN 1975)
The United States Government may duplicate, use, and disclose in any manner for any purposes whatsoever, including delivery to other governments for the furtherance of mutual defense of the United States Government and other governments, all technical data including reports, drawings and blueprints, and all computer software, specified to be delivered by the Contractor to the United States Government under this contract.
(End of clause)
252.227-7033 Rights in Shop Drawings.
As prescribed at 227.7107-1(c), use the following clause:
RIGHTS IN SHOP DRAWINGS (APR 1966)
(a) Shop drawings for construction means drawings, submitted to the Government by the Construction Contractor, subcontractor or any lower-tier subcontractor pursuant to a construction contract, showing in detail (i) the proposed fabrication and assembly of structural elements and (ii) the installation (i.e., form, fit, and attachment details) of materials or equipment. The Government may duplicate, use, and disclose in any manner and for any purpose shop drawings delivered under this contract.
(b) This clause, including this paragraph (b), shall be included in all subcontracts hereunder at any tier.
(End of clause)
252.227-7034 Patents--Subcontracts.
As prescribed at 227.304-4, insert the following clause:
PATENTS--SUBCONTRACTS (APR 1984)
The Contractor will include the clause at FAR 52.227-12, Patent Rights--Retention by the Contractor (Long Form), suitably modified to identify the parties, in all subcontracts, regardless of tier, for experimental, developmental, or research work to be performed by other than a small business firm or nonprofit organization.
(End of clause)
252.227-7036 Declaration of Technical Data Conformity.
As prescribed at 227.7103-6(e)(3) or 227.7104(e)(5), use the following clause:
DECLARATION OF TECHNICAL DATA CONFORMITY (JAN 1997)
All technical data delivered under this contract shall be accompanied by the following written declaration:
The Contractor, ____________________, hereby declares that, to the best of its knowledge and belief, the technical data delivered herewith under Contract No. _________________ is complete, accurate, and complies with all requirements of the contract.
Date ____________________________________
Name and Title of Authorized Official ____________________
(End of clause)
252.227-7037 Validation of Restrictive Markings on Technical Data.
As prescribed in 227.7102-3(c), 227.7103-6(e)(4), 227.7104(e)(6), or 227.7203-6(f), use the following clause:
VALIDATION OF RESTRICTIVE MARKINGS ON TECHNICAL DATA (NOV 1995)
(a) Definitions.
The terms used in this clause are defined in the Rights in Technical Data--Noncommercial Items clause of this contract.
(b) Contracts for commercial items--presumption of development at private expense.
Under a contract for a commercial item, component, or process, the Department of Defense shall presume that a Contractor's asserted use or release restrictions are justified on the basis that the item, component, or process was developed exclusively at private expense. The Department shall not challenge such assertions unless information the Department demonstrates that the item, component, or process was not developed exclusively at private expense.
(c) Justification.
The Contractor or subcontractor at any tier is responsible for maintaining records sufficient to justify the validity of its markings that impose restrictions on the Government and others to use, duplicate, or disclose technical data delivered or required to be delivered under the contract or subcontract. Except under contracts for commercial items, the Contractor or subcontractor shall be prepared to furnish to the Contracting Officer a written justification for such restrictive markings in response to a challenge under paragraph (e) of this clause.
(d) Prechallenge request for information.
(1) The Contracting Officer may request the Contractor or subcontractor to furnish a written explanation for any restriction asserted by the Contractor or subcontractor on the right of the United States or others to use technical data. If, upon review of the explanation submitted, the Contracting Officer remains unable to ascertain the basis of the restrictive marking, the Contracting Officer may further request the Contractor or subcontractor to furnish additional information in the records of, or otherwise in the possession of or reasonably available to, the Contractor or subcontractor to justify the validity of any restrictive marking on technical data delivered or to be delivered under the contract or subcontract (e.g., a statement of facts accompanied with supporting documentation). The Contractor or subcontractor shall submit such written data as requested by the Contracting Officer within the time required or such longer period as may be mutually agreed.
(2) If the Contracting Officer, after reviewing the written data furnished pursuant to paragraph (d)(1) of this clause, or any other available information pertaining to the validity of a restrictive marking, determines that reasonable grounds exist to question the current validity of the marking and that continued adherence to the marking would make impracticable the subsequent competitive acquisition of the item, component, or process to which the technical data relates, the Contracting Officer shall follow the procedures in paragraph (e) of this clause.
(3) If the Contractor or subcontractor fails to respond to the Contracting Officer's request for information under paragraph (d)(1) of this clause, and the Contracting Officer determines that continued adherence to the marking would make impracticable the
subsequent competitive acquisition of the item, component, or process to which the technical data relates, the Contracting Officer may challenge the validity of the marking as described in paragraph (e) of this clause.
(e) Challenge.
(1) Notwithstanding any provision of this contract concerning inspection and acceptance, if the Contracting Officer determines that a challenge to the restrictive marking is warranted, the Contracting Officer shall send a written challenge notice to the Contractor or subcontractor asserting the restrictive markings. Such challenge shall--
(i) State the specific grounds for challenging the asserted restriction;
(ii) Require a response within sixty (60) days justifying and providing sufficient evidence as to the current validity of the asserted restriction;
(iii) State that a DoD Contracting Officer's final decision, issued pursuant to paragraph (g) of this clause, sustaining the validity of a restrictive marking identical to the asserted restriction, within the three-year period preceding the challenge, shall serve as justification for the asserted restriction if the validated restriction was asserted by the same Contractor or subcontractor (or any licensee of such Contractor or subcontractor) to which such notice is being provided; and
(iv) State that failure to respond to the challenge notice may result in issuance of a final decision pursuant to paragraph (f) of this clause.
(2) The Contracting Officer shall extend the time for response as appropriate if the Contractor or subcontractor submits a written request showing the need for additional time to prepare a response.
(3) The Contractor's or subcontractor's written response shall be considered a claim within the meaning of the Contract Disputes Act of 1978 (41 U.S.C. 601, et seq.), and shall be certified in the form prescribed at 33.207 of the Federal Acquisition Regulation, regardless of dollar amount.
(4) A Contractor or subcontractor receiving challenges to the same restrictive markings from more than one Contracting Officer shall notify each Contracting Officer of the existence of more than one challenge. The notice shall also state which Contracting Officer initiated the first in time unanswered challenge. The Contracting Officer initiating the first in time unanswered challenge after consultation with the Contractor or subcontractor and the other Contracting Officers, shall formulate and distribute a schedule for responding to each of the challenge notices to all interested parties. The schedule shall afford the Contractor or subcontractor an opportunity to respond to each challenge notice. All parties will be bound by this schedule.
(f) Final decision when Contractor or subcontractor fails to respond. Upon a failure of a Contractor or subcontractor to submit any response to the challenge notice, other than a failure to respond under a contract for commercial items, the Contracting Officer will issue a final decision to the Contractor or subcontractor in accordance with the Disputes clause of this contract pertaining to the validity of the asserted
restriction. This final decision shall be issued as soon as possible after the expiration of the time period of paragraph (e)(1)(ii) or (e)(2) of this clause. Following issuance of the final decision, the Contracting Officer will comply with the procedures in paragraphs (g)(2) (ii) through (iv) of this clause.
(g) Final decision when Contractor or subcontractor responds.
(1) If the Contracting Officer determines that the Contractor or subcontractor has justified the validity of the restrictive marking, the Contracting Officer shall issue a final decision to the Contractor or subcontractor sustaining the validity of the restrictive marking, and stating that the Government will continue to be bound by the restrictive marking. This final decision shall be issued within sixty (60) days after receipt of the Contractor's or subcontractor's response to the challenge notice, or within such longer period that the Contracting Officer has notified the Contractor or subcontractor that the Government will require. The notification of a longer period for issuance of a final decision will be made within sixty (60) days after receipt of the response to the challenge notice.
(2) (i) If the Contracting Officer determines that the validity of the restrictive marking is not justified, the Contracting Officer shall issue a final decision to the Contractor or subcontractor in accordance with the Disputes clause of this contract. Notwithstanding paragraph (e) of the Disputes clause, the final decision shall be issued within sixty (60) days after receipt of the Contractor's or subcontractor's response to the challenge notice, or within such longer period that the Contracting Officer has notified the Contractor or subcontractor of the longer period that the Government will require. The notification of a longer period for issuance of a final decision will be made within sixty (60) days after receipt of the response to the challenge notice.
(ii) The Government agrees that it will continue to be bound by the restrictive marking of a period of ninety (90) days from the issuance of the Contracting Officer's final decision under paragraph (g)(2)(i) of this clause. The Contractor or subcontractor agrees that, if it intends to file suit in the United States Claims Court it will provide a notice of intent to file suit to the Contracting Officer within ninety (90) days from the issuance of the Contracting Officer's final decision under paragraph (g)(2)(i) of this clause. If the Contractor or subcontractor fails to appeal, file suit, or provide a notice of intent to file suit to the Contracting Officer within the ninety (90)-day period, the Government may cancel or ignore the restrictive markings, and the failure of the Contractor or subcontractor to take the required action constitutes agreement with such Government action.
(iii) The Government agrees that it will continue to be bound by the restrictive marking where a notice of intent to file suit in the United States Claims Court is provided to the Contracting Officer within ninety (90) days from the issuance of the final decision under paragraph (g)(2)(i) of this clause. The Government will no longer be bound, and the Contractor or subcontractor agrees that the Government may strike or ignore the restrictive markings, if the Contractor or subcontractor fails to file its suit within one (1) year after issuance of the final decision. Notwithstanding the foregoing, where the head of an agency determines, on a nondelegable basis, that urgent or compelling circumstances will not permit waiting for the filing of a suit in the United States ClaimsCourt, the Contractor or subcontractor agrees that the agency may, following notice to the Contractor or subcontractor, authorize release or disclosure of the technical data. Such agency determination may be made at any time after issuance
of the final decision and will not affect the Contractor's or subcontractor's right to damages against the United States where its restrictive markings are ultimately upheld or to pursue other relief, if any, as may be provided by law.
(iv) The Government agrees that it will be bound by the restrictive marking where an appeal or suit is filed pursuant to the Contract Disputes Act until final disposition by an agency Board of Contract Appeals or the United States Claims Court. Notwithstanding the foregoing, where the head of an agency determines, on a nondelegable basis, following notice to the Contractor that urgent or compelling circumstances will not permit awaiting the decision by such Board of Contract Appeals or the United States Claims Court, the Contractor or subcontractor agrees that the agency may authorize release or disclosure of the technical data. Such agency determination may be made at any time after issuance of the final decision and will not affect the Contractor's or subcontractor's right to damages against the United States where its restrictive markings are ultimately upheld or to pursue other relief, if any, as may be provided by law.
(h) Final disposition of appeal or suit.
(1) If the Contractor or subcontractor appeals or files suit and if, upon final disposition of the appeal or suit, the Contracting Officer's decision is sustained--
(i) The restrictive marking on the technical data shall be cancelled, corrected or ignored; and
(ii) If the restrictive marking is found not to be substantially justified, the Contractor or subcontractor, as appropriate, shall be liable to the Government for payment of the cost to the Government of reviewing the restrictive marking and the fees and other expenses (as defined in 28 U.S.C. 2412(d)(2)(A)) incurred by the Government in challenging the marking, unless special circumstances would make such payment unjust.
(2) If the Contractor or subcontractor appeals or files suit and if, upon final disposition of the appeal or suit, the Contracting Officer's decision is not sustained--
(i) The Government shall continue to be bound by the restrictive marking; and
(ii) The Government shall be liable to the Contractor or subcontractor for payment of fees and other expenses (as defined in 28 U.S.C. 2412(d)(2)(A)) incurred by the Contractor or subcontractor in defending the marking, if the challenge by the Government is found not to have been made in good faith.
(i) Duration of right to challenge.
The Government may review the validity of any restriction on technical data, delivered or to be delivered under a contract, asserted by the Contractor or subcontractor. During the period within three (3) years of final payment on a contract or within three (3) years of delivery of the technical data to the Government, whichever is later, the Contracting Officer may review and make a written determination to challenge the restriction. The Government may, however, challenge a restriction on the release, disclosure or use of technical data at any time if such technical data--
(1) Is publicly available;
(2) Has been furnished to the United States without restriction; or
(3) Has been otherwise made available without restriction. Only the Contracting Officer's final decision resolving a formal challenge by sustaining the validity of a restrictive marking constitutes "validation" as addressed in 10 U.S.C. 2321.
(j) Decision not to challenge.
A decision by the Government, or a determination by the Contracting Officer, to not challenge the restrictive marking or asserted restriction shall not constitute "validation."
(k) Privity of contract.
The Contractor or subcontractor agrees that the Contracting Officer may transact matters under this clause directly with subcontractors at any tier that assert restrictive markings. However, this clause neither creates nor implies privity of contract between the Government and subcontractors.
(l) Flowdown.
The Contractor or subcontractor agrees to insert this clause in contractual instruments with its subcontractors or suppliers at any tier requiring the delivery of technical data except contractual instruments for commercial items or commercial components.
(End of clause)
252.227-7039 Patents--Reporting of Subject Inventions.
As prescribed at 227.303(a), insert the following clause:
PATENTS--REPORTING OF SUBJECT INVENTIONS (APR 1990)
The Contractor shall furnish the Contracting Officer the following:
(a) Interim reports every twelve (12) months (or such longer period as may be specified by the Contracting Officer) from the date of the contract, listing subject inventions during that period and stating that all subject inventions have been disclosed or that there are no such inventions.
(b) A final report, within three (3) months after completion of the contracted work, listing all subject inventions or stating that there were no such inventions.
(c) Upon request, the filing date, serial number and title, a copy of the patent application and patent number, and issue data for any subject invention for which the Contractor has retained title.
(d) Upon request, the Contractor shall furnish the Government an irrevocable power to inspect and make copies of the patent application file.
(End of clause)
252.228-7000 Reimbursement for War-Hazard Losses.
As prescribed in 228.370(a), use the following clause:
REIMBURSEMENT FOR WAR-HAZARD LOSSES (DEC 1991)
(a) Costs for providing employee war-hazard benefits in accordance with paragraph (b) of the Workers' Compensation and War-Hazard Insurance clause of this contract are allowable if the Contractor--
(1) Submits proof of loss files to support payment or denial of each claim;
(2) Subject to Contracting Officer approval, makes lump sum final settlement of any open claims and obtains necessary release documents within one year of the expiration or termination of this contract, unless otherwise extended by the Contracting Officer; and
(3) Provides the Contracting Officer at the time of final settlement of this contract--
(i) An investigation report and evaluation of any potential claim; and
(ii) An estimate of the dollar amount involved should the potential claim mature.
(b) The cost of insurance for liabilities reimbursable under this clause is not allowable.
(c) The Contracting Officer may require the Contractor to assign to the Government all right, title, and interest to any refund, rebate, or recapture arising out of any claim settlements.
(d) The Contractor agrees to--
(1) Investigate and promptly notify the Contracting Officer in writing of any occurrence which may give rise to a claim or potential claim, including the estimated amount of the claim;
(2) Give the Contracting Officer immediate written notice of any suit or action filed which may result in a payment under this clause; and
(3) Provide assistance to the Government in connection with any third party suit or claim relating to this clause which the Government elects to prosecute or defend in its own behalf.
(End of clause)
252.228-7001 Ground and Flight Risk.
As prescribed in 228.370(b), use the following clause:
GROUND AND FLIGHT RISK (SEP 1996)
(a) Definitions.
As used in this clause--
(1) "Aircraft," unless otherwise provided in the Schedule, means--
(i) Aircraft to be delivered to the Government under this contract (either before or after Government acceptance), including complete aircraft and aircraft in the process of being manufactured, disassembled, or reassembled; provided that an engine, portion of a wing or a wing is attached to a fuselage of the aircraft; and
(ii) Aircraft, whether in a state of disassembly or reassembly, furnished by the Government to the Contractor under this contract, including all property installed, in the process of installation, or temporarily removed; provided that the aircraft and property are not covered by a separate bailment agreement.
(2) "Contractor's premises" means those premises designated in the Schedule or in writing by the Contracting Officer, and any other place the aircraft is moved for safeguarding.
(3) "Flight" means any flight demonstration, flight test, taxi test, or other flight made in the performance of this contract, or for the purpose of safeguarding the aircraft, or previously approved in writing by the Contracting Officer.
(i) For land based aircraft, "flight" begins with the taxi roll from a flight line on the Contractor's premises and continues until the aircraft has completed the taxi roll in returning to a flight line on the Contractor's premises;
(ii) For seaplanes, "flight" begins with the launching from a ramp on the Contractor's premises and continues until the aircraft has completed its landing run and is beached at a ramp on the Contractor's premises;
(iii) For helicopters, "flight" begins upon engagement of the rotors for the purpose of take-off from the Contractor's premises and continues until the aircraft has returned to the ground on the Contractor's premises and the rotors are disengaged; and
(iv) For vertical take-off aircraft, "flight" begins upon disengagement from any launching platform or device on the Contractor's premises and continues until the aircraft has been engaged to any launching platform or device on the Contractor's premises;
(v) All aircraft off the Contractor's premises shall be considered to be in flight when on the ground or water for reasonable periods of time following emergency landings, landings made in performance of this contract, or landings approved in writing by the Contracting Officer.
(4) "Flight crew member" means the pilot, the co-pilot, and, unless otherwise provided in the Schedule, the flight engineer, navigator, and bombardier-navigator when assigned to their respective crew positions for the purpose of conducting any flight on behalf of the Contractor. If required, a defense systems operator may also be assigned as a flight crew member.
(5) "In the open" means located wholly outside of buildings on the Contractor's premises or other places described in the Schedule as being "in the open." Government furnished aircraft shall be considered to be located "in the open" at all times while in the Contractor's possession, care, custody, or control.
(6) "Operation" means operations and tests of the aircraft and its installed equipment, accessories, and power plants, while the aircraft is in the open or in motion. The term does not apply to aircraft on any production line or in flight.
(b) Except as may be specifically provided in the Schedule as an exception to this clause, the Government assumes the risk of damage to, or loss or destruction of aircraft "in the open," during "operation," and in "flight." The Contractor shall not be liable to the Government for such damage, loss, or destruction.
(c) The Government's assumption of risk for aircraft in the open shall continue unless the Contracting Officer finds that the aircraft is in the open under unreasonable conditions, and the Contractor fails to take prompt corrective action.
(1) The Contracting Officer, when finding aircraft in the open under unreasonable conditions, shall notify the Contractor in writing of the unreasonable conditions and require the Contractor to make corrections within a reasonable time.
(2) Upon receipt of the notice, the Contractor shall promptly correct the cited conditions, regardless of whether there is agreement that the conditions are unreasonable. If the Contracting Officer later determines that the cited conditions were not unreasonable, an equitable adjustment shall be made in the contract price for any additional costs incurred in correcting the conditions. Any dispute as to the unreasonableness of the conditions or the equitable adjustment shall be considered a dispute under the Disputes clause of this contract.
(3) If the Contracting Officer finds that the Contractor failed to act promptly to correct the cited conditions or failed to correct the conditions within a reasonable time, the Contracting Officer may terminate the Government's assumption of risk for any aircraft in the open under the cited conditions. The termination will be effective at 12:01 am on the fifteenth day following the day the written notice is received by the Contractor. If the Contracting Officer later determines that the Contractor acted promptly to correct the cited conditions or that the time taken by the Contractor was not unreasonable, an equitable adjustment shall be made in the contract price for any additional costs incurred as a result of termination of the Government's assumption of risk. Any dispute as to the timeliness of the Contractor's action or the equitable adjustment shall be considered a dispute under the Disputes clause of this contract.
(4) If the Government terminates its assumption of risk, the risk of loss for Government-furnished property shall be determined in accordance with the Government Property clause of this contract.
(5) The Contractor shall promptly notify the Contracting Officer when unreasonable conditions have been corrected. If the Government elects to again assume the risk of loss and relieve the Contractor of liabilities, the Contracting Officer will notify the Contractor. The Contractor shall be entitled to an equitable adjustment in the contract price for any insurance costs extending from the end of the third working day after the Contractor notice of correction until the Contractor is notified that the Government will assume the risk of loss. If the Government does not again assume the risk of loss and conditions have been corrected, the Contractor shall be entitled to an equitable adjustment for insurance costs, if any, extending after the third working day.
(d) The Government's assumption of risk shall not extend to damage, loss, or destruction of aircraft which--
(1) Results from failure of the Contractor, due to willful misconduct or lack of good faith of any of the Contractor's managerial personnel, to maintain and administer a program for the protection and preservation of aircraft in the open and during operation in accordance with sound industrial practice. The term "Contractor's managerial personnel" means the Contractor's directors, officers, and any of the Contractor's managers, superintendents, or other equivalent representatives who supervise or direct all or substantially all of the Contractor's business; or all or substantially all of the Contractor's operations at any one plant or separate location at which this contract is performed; or a separate and complete major industrial operation in connection with the performance of this contract;
(2) Is sustained during flight if the flight crew members have not been approved in writing by the Government Flight Representative, who has been authorized in accordance with the combined regulation entitled "Contractor's Flight and Ground Operations" (Air Force Regulation 55-22, Army Regulation 95-20, NAVAIR Instruction 3710.1C, and Defense Logistics Agency Manual 8210.1);
(3) Occurs in the course of transportation by rail, or by conveyance on public streets, highways, or waterways, except for Government-furnished property;
(4) Is covered by insurance;
(5) Consists of wear and tear; deterioration (including rust and corrosion); freezing; or mechanical, structural, or electrical breakdown or failure, unless these are the result of other loss, damage or destruction covered by this clause. (This exclusion does not apply to Government-furnished property if damage consists of reasonable wear and tear or deterioration, or results from inherent vice in the property.); or
(6) Is sustained while the aircraft is being worked on and is a direct result of the work unless such damage, loss, or destruction would be covered by insurance which would have been maintained by the Contractor, but for the Government's assumption of risk.
(e) With the exception of damage, loss, or destruction in flight, the Contractor assumes the risk and shall be responsible for the first $25,000 of loss or damage to aircraft in the open or during operation resulting from each separate event, except for reasonable wear and tear and to the extent the loss or damage is caused by negligence of Government personnel. If the Government elects to require that the aircraft be replaced or restored by the Contractor to its condition immediately prior to the damage, the equitable adjustment in the price authorized by paragraph (i) of this clause shall not include the dollar amount of the risk assumed by the Contractor. In the event the Government does not elect repair or replacement, the Contractor agrees to credit the contract price or pay the Government $25,000 (or the amount of the loss, if less) as directed by the Contracting Officer.
(f) A subcontractor shall not be relieved from liability for damage, loss, or destruction of aircraft while in its possession or control, except to the extent that the subcontract, with the written approval of the Contracting Officer, provides for relief from each liability. In the absence of approval, the subcontract shall contain provisions requiring the return of aircraft in as good condition as when received, except for reasonable wear and tear or for the utilization of the property in accordance with the provisions of this contract. Where a subcontractor has not been relieved from liability, and damage, loss, or destruction occurs, the Contractor shall enforce liability against the subcontractor for the benefit of the Government.
(g) The Contractor warrants that the contract price does not and will not include, except as may be authorized in this clause, any charge or contingency reserve for insurance covering damage, loss, or destruction of aircraft while in the open, during operation, or in flight when the risk has been assumed by the Government, even if the assumption may be terminated for aircraft in the open.
(h) In the event of damage, loss, or destruction of aircraft in the open, during operation, or in flight, the Contractor shall take all reasonable steps to protect the aircraft from further damage, to separate damaged and undamaged aircraft, to put all aircraft in the best possible order and further, except in cases covered by paragraph (e) of this clause, the Contractor shall furnish to the Contracting Officer a statement of--
(1) The damaged, lost, or destroyed aircraft;
(2) The time and origin of the damage, loss, or destruction;
(3) All known interests in commingled property of which aircraft are a part; and
(4) The insurance, if any, covering the interest in commingled property.
Except in cases covered by paragraph (e) of this clause, the Contracting Officer will make an equitable adjustment in the contract price for expenditures made by the Contractor in performing the obligations under this paragraph.
(i) If prior to delivery and acceptance by the Government, aircraft is damaged, lost, or destroyed and the Government assumed the risk, the Government shall either--
(1) Require that the aircraft be replaced or restored by the Contractor to the condition immediately prior to the damage, in which event the Contracting Officer will make an equitable adjustment in the contract price and the time for contract performance; or
(2) Terminate this contract with respect to the aircraft, in which event the Contractor shall be paid the contract price for the aircraft (or, if applicable, any work to be performed on the aircraft) less any amount the Contracting Officer determines--
(i) It would have cost the Contractor to complete the aircraft (or any work to be performed on the aircraft) together with anticipated profit on uncompleted work; and
(ii) Would be the value of the damaged aircraft or any salvage retained by the Contractor.
The Contracting Officer shall prescribe the manner of disposition of the damaged, lost, or destroyed aircraft, or any parts of the aircraft. If any additional costs of such disposition are incurred by the Contractor, a further equitable adjustment will be made in the amount due the Contractor. Failure of the parties to agree upon termination costs or an equitable adjustment with respect to any aircraft shall be considered a dispute under the Disputes clause.
(j) In the event the Contractor is reimbursed or compensated by a third person for damage, loss, or destruction of aircraft and has also been compensated by the Government, the Contractor shall equitably reimburse the Government. The Contractor shall do nothing to prejudice the Government's right to recover against third parties for damage, loss, or destruction. Upon the request of the Contracting Officer or authorized representative, the Contractor shall at Government expense furnish to the Government all reasonable assistance and cooperation (including the prosecution of suit and the execution of instruments of assignment of subrogation) in obtaining recovery.
(k) The Contractor agrees to be bound by the operating procedures contained in the combined regulation entitled "Contractor's Flight and Ground Operations" in effect on the date of contract award.
(End of clause)
252.228-7002 Aircraft Flight Risk.
As prescribed in 228.370(c), use the following clause:
AIRCRAFT FLIGHT RISK (SEP 1996)
(a) Definitions.
As used in this clause--
(1) "Aircraft," unless otherwise provided in the Schedule, means-
(i) Aircraft furnished by the Contractor under this contract (either before or after Government acceptance); or
(ii) Aircraft furnished by the Government to the Contractor, including all Government property placed on, installed or attached to the aircraft; provided that the aircraft and property are not covered by a separate bailment agreement.
(2) "Flight" means any flight demonstration, flight test, taxi test, or other flight made in the performance of this contract, or for the purpose of safeguarding the aircraft, or previously approved in writing by the Contracting Officer.
(i) For land-based aircraft, "flight" begins with the taxi roll from a flight line and continues until the aircraft has completed the taxi roll to a flight line.
(ii) For seaplanes, "flight" begins with the launching from a ramp and continues until the aircraft has completed its landing run and is beached at a ramp.
(iii) For helicopters, "flight" begins upon engagement of the rotors for the purpose of take-off and continues until the aircraft has returned to the ground and rotors are disengaged.
(iv) For vertical take-off aircraft, "flight" begins upon disengagement from any launching platform or device and continues until the aircraft has been reengaged to any launching platform or device.
(3) "Flight crew members" means the pilot, co-pilot, and unless otherwise provided in the Schedule, the flight engineer, navigator, bombadier-navigator, and defense systems operator as required, when assigned to their respective crew positions to conduct any flight on behalf of the Contractor.
(b) This clause takes precedence over any other provision of this contract (particularly paragraph (g) of the Government Property (Cost-Reimbursement, Time-and-Materials, or Labor-Hour Contracts) clause and paragraph (c) of the Insurance--Liability to Third Persons clause).
(c) Unless the flight crew members previously have been approved in writing by the Government Flight Representative, who has been authorized in accordance with the combined regulation entitled "Contractor's Flight and Ground Operations" (Air Force Regulation 55-22, Army Regulation 95-20, NAVAIR Instruction 3710.1C, and Defense Logistics Agency Manual 8210.1), the Contractor shall not be--
(1) Relieved of liability for damage, loss, or destruction of aircraft sustained during flight; or
(2) Reimbursed for liabilities to third persons for loss or damage to property or for death or bodily injury caused by aircraft during flight.
(d) (1) The loss, damage, or destruction of aircraft during flight in an amount exceeding $100,000 or 20 percent of the estimated cost of this contract, whichever is less, is subject to an equitable adjustment when the Contractor is not liable under--
(i) The Government Property (Cost-Reimbursement, Time-or Labor-Hour Contracts) clause, and
(ii) Paragraph (c) of this clause.
(2) The equitable adjustment under this contract for the resulting repair, restoration, or replacement of aircraft shall be made
(i) In the estimated cost, the delivery schedule, or both; and
(ii) In the amount of any fee to be paid to the Contractor.
(3) In determining the amount of equitable adjustment in the fee, the Contracting Officer will consider any fault of the Contractor, its employees, or any subcontractor that materially contributed to the damage, loss, or destruction.
(4) Failure to agree on any adjustment shall be a dispute concerning a question of fact within the meaning of the Disputes clause of this contract.
(e) The Contractor agrees to be bound by the operating procedures contained in the combined regulation entitled "Contractor's Flight and Ground Operations" in effect on the date of contract award.
(End of clause)
252.228-7003 Capture and Detention.
As prescribed in 228.370(d), use the following clause:
CAPTURE AND DETENTION (DEC 1991)
(a) As used in this clause--
(1) "Captured person" means any employee of the Contractor who is
(i) Assigned to duty outside the United States for the performance of this contract; and
(ii) Found to be missing from his or her place of employment under circumstances that make it appear probable that the absence is due to the action of the force of any power not allied with the United States in a common military effort; or
(iii) Known to have been taken prisoner, hostage, or otherwise detained by the force of such power, whether or not actually engaged in employment at the time of capture; provided, that at the time of capture or detention, the person was either--
(A) Engaged in activity directly arising out of and in the course of employment under this contract; or
(B) Captured in an area where required to be only in order to perform this contract.
(2) A "period of detention" begins with the day of capture and continues until the captured person is returned to the place of employment, the United States, or is able to be returned to the jurisdiction of the United States, or until the person's
death is established or legally presumed to have occurred by evidence satisfactory to the Contracting Officer, whichever occurs first.
(3) "United States" comprises geographically the 50 states and the District of Columbia.
(4) "War Hazards Compensation Act" refers to the statute compiled in Chapter 12 of Title 42, U.S. Code (sections 1701-1717), as amended.
(b) If pursuant to an agreement entered into prior to capture, the Contractor is obligated to pay and has paid detention benefits to a captured person, or the person's dependents, the Government will reimburse the Contractor up to an amount equal to the lesser of--
(1) Total wage or salary being paid at the time of capture due from the Contractor to the captured person for the period of detention; or
(2) That amount which would have been payable if the detention had occurred under circumstances covered by the War Hazards Compensation Act.
(c) The period of detention shall not be considered as time spent in contract performance, and the Government shall not be obligated to make payment for that time except as provided in this clause.
(d) The obligation of the Government shall apply to the entire period of detention, except that it is subject to the availability of funds from which payment can be made. The rights and obligations of the parties under this clause shall survive prior expiration, completion, or termination of this contract.
(e) The Contractor shall not be reimbursed under this clause for payments made if the employees were entitled to compensation for capture and detention under the War Hazards Compensation Act, as amended.
(End of clause)
252.228-7004 Bonds or Other Security.
As prescribed in 228.170, use the following provision:
BONDS OR OTHER SECURITY (DEC 1991)
(a) Offerors shall furnish a bid guarantee in the amount of $_________ with their bids. The offeror receiving notice of award shall furnish--
(1) A performance bond in the penal amount of $_________; and
(2) Payment in full of any sum due the Government.
(b) The Contractor shall furnish the performance bond to the Contracting Officer within _____ days after receipt of the notice of award. The Contracting Officer will not issue the notice to proceed until receipt of an acceptable performance bond and payment of any sum due the Government.
(c) Bonds supported by sureties whose names appear on the list contained in Treasury Department Circular 570 are acceptable. Performance bonds from individual sureties are acceptable if each person acting as a surety provides a SF 28, Affidavit of Individual Surety, and a pledge of assets acceptable to the Contracting Officer.
(End of provision)
252.228-7005 Accident Reporting and Investigation Involving Aircraft, Missiles, and Space Launch Vehicles.
As prescribed in 228.370(e), use the following clause:
ACCIDENT REPORTING AND INVESTIGATION INVOLVING AIRCRAFT, MISSILES,
AND SPACE LAUNCH VEHICLES (DEC 1991)
(a) The Contractor shall report promptly to the Administrative Contracting Officer all pertinent facts relating to each accident involving an aircraft, missile, or space launch vehicle being manufactured, modified, repaired, or overhauled in connection with this contract.
(b) If the Government conducts an investigation of the accident, the Contractor will cooperate and assist the Government's personnel until the investigation is complete.
(c) The Contractor will include a clause in subcontracts under this contract to require subcontractor cooperation and assistance in accident investigations.
(End of clause)
252.228-7006 Compliance with Spanish Laws and Insurance.
As prescribed at 228.370(f), use the following clause:
COMPLIANCE WITH SPANISH LAWS AND INSURANCE (JUN 1997)
(a) The Contractor shall, without additional expense to the United States Government, comply with all applicable Spanish Government laws pertaining to sanitation, traffic, security, employment of labor, and all other laws relevant to the performance of this contract. The Contractor shall hold the United States Government harmless and free from any liability resulting from the Contractor's failure to comply with such laws.
(b) The contractor shall, at its own expense, provide and maintain during the entire performance of this contract, all workmen's compensation, employees' liability, bodily injury insurance, and other required insurance adequate to cover the risk assumed by the Contractor. The Contractor shall indemnify and hold harmless the United States Government from liability resulting from all claims for damages as a result of death or injury to personnel or damage to real or personal property related to the performance of this contract.
(c) The Contractor agrees to represent in writing to the Contracting Officer, prior to commencement of work and not later than 15 days after the date of the Notice to Proceed, that the Contractor has obtained the required types of insurance in the following minimum amounts. The representation also shall state that the Contractor will promptly notify the Contracting Officer of any notice of cancellation of insurance or material change in insurance coverage that could affect the United States Government's interests.
Type of Insurance |
Coverage per
|
Coverage per
|
Property Damage |
Comprehensive General Liability |
$300,000 |
$1,000,000 |
$100,000 |
(d) The Contractor shall provide the Contracting Officer with a similar representation for all subcontractors that will perform work under this contract.
(e) Insurance policies required herein shall be purchased from Spanish insurance companies or other insurance companies legally authorized to conduct business in Spain. Such policies shall conform to Spanish laws and regulations and shall--
(1) Contain provisions requiring submission to Spanish law and jurisdiction of any problem that may arise with regard to the interpretation or application of the clauses and conditions of the insurance policy;
(2) Contain a provision authorizing the insurance company, as subrogee of the insured entity, to assume and attend to directly, with respect to any person damaged, the legal consequences arising from the occurrence of such damages;
(3) Contain a provision worded as follows: ``The insurance company waives any right of subrogation against the United States of America that may arise by reason of any payment under this policy.'';
(4) Not contain any deductible amount or similar limitation; and
(5) Not contain any provisions requiring submission to any type of arbitration.
(End of clause)
252.229-7000 Invoices Exclusive of Taxes or Duties.
As prescribed in 229.402-1, use the following clause:
INVOICES EXCLUSIVE OF TAXES OR DUTIES (JUN 1997)
Invoices submitted in accordance with the terms and conditions of this contract shall be exclusive of all taxes or duties for which relief is available.
(End of clause)
252.229-7001 Tax Relief.
As prescribed in 229.402-70(a), use the following clause:
TAX RELIEF (JUN 1997)
(a) Prices set forth in this contract are exclusive of all taxes and duties from which the United States Government is exempt by virtue of tax agreements between the United States Government and the Contractor's government. The following taxes or duties have been excluded from the contract price:
NAME OF TAX: (Offeror Insert) RATE (PERCENTAGE): (Offeror Insert)
(b) The Contractor's invoice shall list separately the gross price, amount of tax deducted, and net price charged.
(c) When items manufactured to United States Government specifications are being acquired, the Contractor shall identify the materials or components intended to be imported in order to ensure that relief from import duties is obtained. If the Contractor intends to use imported products from inventories on hand, the price of which includes a factor for import duties, the Contractor shall ensure the United States Government's exemption from these taxes. The Contractor may obtain a refund of the import duties from its government or request the duty-free import of an amount of supplies or components corresponding to that used from inventory for this contract.
(End of clause)
ALTERNATE I (JUN 1997)
As prescribed in 229.402-70(a), add the following paragraph (d) to the basic clause:
(d) Tax relief will be claimed in Germany pursuant to the provisions of the Agreement Between the United States of America and Germany Concerning Tax Relief to be Accorded by Germany to United States Expenditures in the Interest of Common Defense. The Contractor shall use Abwicklungsschein fuer abgabenbeguenstigte Lieferungen/Leistungen nach dem Offshore Steuerabkommen (Performance Certificate for Tax-Free Deliveries/Performance according to the Offshore Tax Relief Agreement) or other documentary evidence acceptable to the German tax authorities. All purchases made and paid for on a tax-free basis during a 30-day period may be accumulated, totaled, and reported as tax-free.
252.229-7002 Customs Exemptions (Germany).
As prescribed in 229.402-70(b), use the following clause:
CUSTOMS EXEMPTIONS (GERMANY) (JUN 1997)
Imported products required for the direct benefit of the United States Forces are authorized to be acquired duty-free by the Contractor in accordance with the provisions of the Agreement Between the United States of America and Germany Concerning Tax Relief to be Accorded by Germany to United States Expenditures in the Interest of Common Defense.
(End of clause)
252.229-7003 Tax Exemptions (Italy).
As prescribed in 229.402-70(c), use the following clause:
TAX EXEMPTIONS (ITALY) (JUN 1997)
(a) The Contractor represents that the contract prices, including the prices in subcontracts awarded hereunder, do not include taxes from which the United States Government is exempt.
(b) The United States Government is exempt from payment of Imposta Valore Aggiunto (IVA) tax in accordance with Article 72 of the IVA implementing decree on all supplies and services sold to United States Military Commands in Italy.
(1) Upon receipt of the invoice, the paying office will stamp the following statement on one copy of the invoice:
``I certify that this invoice is true and correct and reflects expenditures made in Italy for the Common Defense by the United States Government pursuant to international agreements. The amount to be paid does not include the IVA tax, because this transaction is not subject to the tax in accordance with Article 72 of Decree Law 633, dated October 26, 1972.''
(2) This certified copy, signed by an authorized Government official, will be returned together with payment to the Contractor. The payment will not include the amount of IVA tax.
(3) The Contractor must retain this copy of the invoice with the representation to substantiate non-payment of the IVA tax.
(c) In addition to the IVA tax, purchases by the United States Forces in Italy are exempt from the following taxes:
(1) Imposta di Fabbricazione (Production Tax for Petroleum Products).
(2) Imposta di Consumo (Consumption Tax for Electrical Power).
(3) Dazi Doganali (Customs Duties).
(4) Tassa di Sbarco e d'Imbarco sulle Merci Transportate per Via Aerea e per Via Maritima (Port Fees).
(5) Tassa de Circolazione sui Veicoli (Vehicle Circulation Tax).
(6) Imposta di Registro (Registration Tax).
(7) Imposta di Bollo (Stamp Tax).
(d) The Contractor's administrative procedures for claiming and validating the exemptions are as follows:
(1) Contract offer price shall reflect IVA or any other tax or duty.
(2) Contract number must be set forth on Contractor invoices, which should state the exemptions claimed pursuant to Article 72 of Decree Law 633, dated October 26, 1972, for IVA exemption.
(3) Fiscal code for appropriated funds payments by Aviano Air Base is: 91000190933.
(4) Questions may be addressed to the Ministry of Finance, 11th District, Rome (06) 5910982.
(End of clause)
252.229-7004 Status of Contractors as a Direct Contractor (Spain).
As prescribed in 229.402-70(d), use the following clause:
STATUS OF CONTRACTOR AS A DIRECTOR CONTRACT (SPAIN) (JUN 1997)
(a) ``Direct Contractor,'' as used in this clause, means an individual, company, or entity with whom an agency of the United States Department of Defense has executed a written agreement that allows duty-free import of equipment, materials, and supplies into Spain for the construction, development, maintenance, and operation of Spanish-American installations and facilities.
(b) The Contractor is hereby designated as a Direct Contractor under the provisions of Complementary Agreement 5, articles 11, 14, 15, 17, and 18 of the Agreement on Friendship, Defense and Cooperation between the United States Government and the Kingdom of Spain, dated July 2, 1982. The Agreement relates to contacts to be performed in whole or part in Spain, the provisions of which are hereby incorporated into and made a part of this contract by reference.
(c) The Contractor shall apply to the appropriate Spanish authorities for approval of status as a Direct Contractor in order to complete duty-free import of non-Spanish equipment, materials, and supplies represented as necessary for contract performance by the Contracting Officer. Orders for equipment, materials, and supplies placed prior to official notification of such approval shall be at the Contractor's own risk. The Contractor must submit its documentation in sufficient time to permit processing by the appropriate United States and Spanish Government agencies prior to the arrival of the equipment, material, or supplies in Spain. Seasonal variations in processing times are common, and the Contractor should program its projects accordingly. Any delay or expense arising directly or indirectly from this process shall not excuse untimely performance (except as expressly allowed in other provisions of this contract), constitute a direct or constructive change, or otherwise provide a basis for additional compensation or adjustment of any kind.
(d) To ensure that all duty-free imports are properly accounted for, exported, or disposed of, in accordance with Spanish law, the Contractor shall obtain a written bank letter of guaranty payable to the Treasurer of the United States, or such other authority as may be designated by the Contracting Officer, in the amount set forth in paragraph (g) of this clause, prior to effecting any duty-free imports for the performance of this contract.
(e) If the Contractor fails to obtain the required guaranty, the Contractor agrees that the Contracting Officer may withhold a portion of the contract payments in order to establish a fund in the amount set forth in paragraph (g) of this clause. The fund shall be used for the payment of import taxes in the event that the Contractor fails to properly account for, export, or dispose of equipment, materials, or supplies imported on a duty-free basis.
(f) The amount of the bank letter of guaranty or size of the fund required under paragraph (d) or (e) of this clause normally shall be 5 percent of the contract value. However, if the Contractor demonstrates to the Contracting Officer's satisfaction that the amount retained by the United States Government or guaranteed by the bank is excessive, the amount shall be reduced to an amount commensurate with contingent import tax and duty-free liability. This bank guaranty or fund shall not be released to the Contractor until the Spanish General Directorate of Customs verifies the accounting, export, or disposition of the equipment, material, or supplies imported on a duty-free basis.
(g) The amount required under paragraph (d), (e), or (f) of this clause is (Contracting Officer insert amount at time of contract award).
(h) The Contractor agrees to insert the provisions of this clause, including this paragraph (h), in all subcontracts.
(End of clause)
252.229-7005 Tax Exemptions (Spain).
As prescribed in 229.402-70(e), use the following clause:
TAX EXEMPTIONS (SPAIN) (JUN 1997)
(a) The Contractor represents that the contract prices, including subcontract prices, do not include the taxes identified herein, or any other taxes from which the United States Government is exempt.
(b) In accordance with tax relief agreements between the United States Government and the Spanish Government, and because the incumbent contract arises from the activities of the United States Forces in Spain, the contract will be exempt from the following excise, luxury, and transaction taxes:
(1) Derechos de Aduana (Customs Duties).
(2) Impuesto de Compensacion a la Importacion (Compensation Tax on Imports).
(3) Transmissiones Patrionomiales (Property Transfer Tax).
(4) Impuesto Sobre el Lujo (Luxury Tax).
(5) Actos Juridocos Documentados (Legal Official Transactions).
(6) Impuesto Sobre el Trafico de Empresas (Business Trade Tax).
(7) Impuestos Especiales de Fabricacion (Special Products Tax).
(8) Impuesto Sobre el Petroleo y Derivados (Tax on Petroleum and its By-Products).
(9) Impuesto Sobre el Uso de Telefona (Telephone Tax).
(10) Impuesto General Sobre la Renta de Sociedades y demas Entidades Juridicas (General Corporation Income Tax).
(11) Impuesto Industrial (Industrial Tax).
(12) Impuesto de Rentas Sobre el Capital (Capital Gains Tax).
(13) Plus Vailia (Increase on Real Property).
(14) Contribucion Territorial Urbana (Metropolitan Real Estate Tax).
(15) Contribucion Territorial Rustica y Pecuaria (Farmland Real Estate Tax).
(16) Impuestos de la Diputacion (County Service Charges).
(17) Impuestos Municipal y Tasas Parafiscales (Municipal Tax and Charges).
(End of clause)
252.229-7006 Value Added Tax Exclusion (United Kingdom).
As prescribed in 229.402-70(f), use the following clause:
VALUE ADDED TAX EXCLUSION (UNITED KINGDOM) (JUN 1997)
The supplies or services identified in this contract are to be delivered at a price exclusive of value added tax under arrangements between the appropriate United States authorities and Her Majesty's Customs and Excise (Reference Priv 46/7). By executing this contract, the Contracting Officer certifies that these supplies or services are being purchased for United States Government official purposes only.
(End of clause)
252.229-7007 Verification of United States Receipt of Goods.
As prescribed in 229.402-70(g), use the following clause:
VERIFICATION OF UNITED STATES RECEIPT OF GOODS (JUN 1997)
The Contractor shall insert the following statement on all Material Inspection and Receiving Reports (DD Form 250 series) for Contracting Officer approval:
``I certify that the items listed on this invoice have been received by the United States.''
(End of clause)
252.229-7008 Relief From Import Duty (United Kingdom).
As prescribed in 229.402-70(h), use the following clause:
RELIEF FROM IMPORT DUTY (UNITED KINGDOM) (JUN 1997)
Any import dutiable articles, components, or raw materials supplied to the United States Government under this contract shall be exclusive of any United Kingdom import duties. Any imported items supplied for which import duty already has been paid will be supplied at a price exclusive of the amount of import duty paid. The Contractor is advised to contact Her Majesty's (HM) Customs and Excise to obtain a refund upon completion of the contract (Reference HM Customs and Excise Notice No. 431, February 1973, entitled ``Relief from Customs Duty and/or Value Added Tax on United States Government Expenditures in the United Kingdom'').
(End of clause)
252.229-7009 Relief from Customs Duty and Value Added Tax on Fuel (Passenger Vehicles) (United Kingdom).
As prescribed in 229.402-70(i), use the following clause:
RELIEF FROM CUSTOMS DUTY AND VALUE ADDED TAX ON FUEL
(PASSENGER VEHICLES) (UNITED KINGDOM) (JUN 1997)
(a) Pursuant to an agreement between the United States Government and Her Majesty's (HM) Customs and Excise, fuels and lubricants used by passenger vehicles (except taxis) in the performance of this contract will be exempt from customs duty and value added tax. Therefore, the procedures outlined in HM Customs and Excise Notice No.
431B, August 1982, and any amendment thereto, shall be used to obtain relief from both customs duty and value added tax for fuel used under the contract. These procedures shall apply to both loaded and unloaded miles. The unit prices shall be based on the recoupment by the Contractor of customs duty in accordance with the following allowances:
(1) Vehicles (except taxis) with a seating capacity of less than 29, one gallon for every 27 miles.
(2) Vehicles with a seating capacity of 29- 53, one gallon for every 13 miles.
(3) Vehicles with a seating capacity of 54 or more, one gallon for every 10 miles.
(b) In the event the mileage of any route is increased or decreased within 10 percent, resulting in no change in route price, the customs duty shall be reclaimed from HM Customs and Excise on actual mileage performed.
(End of clause)
252.229-7010 Relief from Customs Duty on Fuel (United Kingdom).
As prescribed in 229.402-70(j), use the following clause:
RELIEF FROM CUSTOMS DUTY ON FUEL (UNITED KINGDOM) (JUN 1997)
(a) Pursuant to an agreement between the United States Government and Her Majesty's (HM) Customs and Excise, it is possible to obtain relief from customs duty on fuels and lubricants used in support of certain contracts. If vehicle fuels and lubricants are used in support of this contract, the Contractor shall seek relief from customs duty in accordance with HM Customs Notice No. 431, February 1973, entitled ``Relief from Customs Duty and/or Value Added Tax on United States Government Expenditures in the United Kingdom.'' Application should be sent to the Contractor's local Customs and Excise Office.
(b) Specific information should be included in the request for tax relief, such as the number of vehicles involved, types of vehicles, rating of vehicles, fuel consumption, estimated mileage per contract period, and any other information that will assist HM Customs and Excise in determining the amount of relief to be granted.
(c) Within 30 days after the award of this contract, the Contractor shall provide the Contracting Officer with evidence that an attempt to obtain such relief has been initiated. In the event the Contractor does not attempt to obtain relief within the time specified, the Contracting Officer may deduct from the contract price the amount of relief that would have been allowed if HM Customs and Excise had favorably considered the request for relief.
(d) The amount of any rebate granted by HM Customs and Excise shall be paid in full to the United States Government. Checks shall be made payable to the Treasurer of the United States and forwarded to the Administrative Contracting Officer.
(End of clause)
252.231-7000 Supplemental Cost Principles.
As prescribed in 231.100-70, use the following clause:
SUPPLEMENTAL COST PRINCIPLES (DEC 1991)
When the allowability of costs under this contract is determined in accordance with Part 31 of the Federal Acquisition Regulation (FAR), allowability shall also be determined in accordance with Part 231 of the Defense FAR Supplement, in effect on the date of this contract.
(End of clause)
252.232-7000 Advance Payment Pool.
As prescribed in 232.412-70(a), use the following clause:
ADVANCE PAYMENT POOL (DEC 1991)
(a) Notwithstanding any other provision of this contract, advance payments will be made for contract performance in accordance with the Determinations, Findings, and Authorization for Advance payment dated __________________________.
(b) Payments made in accordance with this clause shall be governed by the terms and conditions of the Advance Payment Pool Agreement between the United States of America and (insert the name of the contractor). The Agreement is incorporated in the contract by reference.
(End of clause)
252.232-7001 Disposition of Payments.
As prescribed in 232.412-70(b), use the following clause:
DISPOSITION OF PAYMENTS (DEC 1991)
Payment will be by a dual payee Treasury check made payable to the contractor or the (insert the name of the disbursing office in the advance payment pool agreement), and will be forwarded to that disbursing office for appropriate disposition.
(End of clause)
252.232-7002 Progress Payments for Foreign Military Sales Acquisitions.
As prescribed in 232.502-4-70(a), use the following clause:
PROGRESS PAYMENTS FOR FOREIGN MILITARY SALES ACQUISITIONS (DEC 1991)
If this contract includes foreign military sales (FMS) requirements, the Contractor shall--
(a) Submit a separate progress payment request for each progress payment rate; and
(b) Submit a supporting schedule showing--
(1) The amount of each request distributed to each country's requirements; and
(2) Total price per contract line item applicable to each separate progress payment rate.
(c) Identify in each progress payment request the contract requirements to which it applies (i.e., FMS or U.S.);
(d) Calculate each request on the basis of the prices, costs (including costs to complete), subcontractor progress payments, and progress payment liquidations of the contract requirements to which it applies; and
(e) Distribute costs among contract line items and countries in a manner acceptable to the Administrative Contracting Officer.
(End of clause)
252.232-7003 Flexible Progress Payments.
As prescribed in 232.502-4-70(b), use the following clause:
FLEXIBLE PROGRESS PAYMENTS (DEC 1991)
(a) This contract is subject to flexible progress payment procedures as set forth in this clause and Defense FAR Supplement 232.502-1-71.
(1) The progress payment rate of this contract is _____ percent. This percentage applies instead of the customary uniform progress payment rate and liquidation rate of the Progress Payments clause.
(2) The progress payment rate of this contract was determined by the DoD Cash Flow Computer Model (name) dated _________________, using _____ percent as the minimum rate for the Contractor's investment (as a weighted average of costs) in its work in process inventory over the life of the contract.
(b) If actual and projected cash flow data generated during contract performance reveal that the customary flexible progress payment rate will result in a Contractor investment in work in process inventory more than two percentage points higher or lower than the minimum rate of Contractor investment specified in paragraph (a)(2) of this clause, the progress payment rate shall be redetermined by using the DoD Cash Flow Computer Model. Unless it contained an error, the version of the DoD Cash Flow Computer Model identified in paragraph (a)(2) of this clause shall be used for any redetermination. The customary flexible progress payment rate shall not be less than the customary uniform progress payment rate that would have applied to this contract absent flexible progress payment procedures, and the progress payment rate shall not be greater than 100 percent.
(c) Notwithstanding paragraph (b) of this clause, if at any time the flexible progress payment rate is determined to be overstated because any factual data submitted by the Contractor in support of the rate computation was not current, accurate, and complete at the time the flexible progress payment rate was established, the progress payment rate shall be reduced to the rate that should have been calculated using the model specified in paragraph (a)(2) of this clause. The Contractor shall pay interest in accordance with paragraph (d) of this clause on all resulting overpayments, computed from the date of the Government's overpayment, to the date of liquidation of the overpayment. Payment of any unliquidated overpayment and interest shall be due 30 days after the date of the first written demand for payment.
(d) Interest shall be simple interest at the rate established by the Secretary of the Treasury as provided in Section 12 of the Contract Disputes Act of 1978 (Pub. L. 95-563), which is applicable at the time the Government made the overpayment, and then at the rate applicable for each six month period as fixed by the Secretary, until the overpayment is liquidated.
(e) Flexible progress payment terms will be made available to subcontractors in accordance with paragraph (j) of the Progress Payments clause and Defense FAR Supplement 232.502-1-71(b)(4).
(End of clause)
252.232-7004 DoD Progress Payment Rates.
As prescribed in 232.502-4-70(b) and (c), use the following clause:
DOD PROGRESS PAYMENT RATES (FEB 1996)
(a) If the contractor is a large business, the Progress Payments clause of this contract is modified to change each mention of the progress payment rate and liquidation rate (including paragraph (k), Limitations on Undefinitized Contract Actions) to 75 percent.
(b) If the contractor is a small business, the Progress Payments clause of this contract is modified to change each mention of the progress payment rate and liquidation rate (excepting paragraph (k), Limitations on Undefinitized Contract Actions) to 90 percent.
(c) If the contractor is a small disadvantaged business, the Progress Payments clause of this contract is modified to change each mention of the progress payment rate and liquidation rate (excepting paragraph (k), Limitations on Undefinitized Contract Actions) to 95 percent.
(d) The above rates are the customary uniform progress payment rates for DoD contracts.
(End of clause)
252.232-7005 Reimbursement of Subcontractor Advance Payments - DoD Pilot Mentor-Protege Program.
As prescribed in 232.412-70(c), use the following clause:
REIMBURSEMENT OF SUBCONTRACTOR ADVANCE PAYMENTS
- DOD PILOT MENTOR-PROTEGE PROGRAM (DEC 1991)
(a) The Government will reimburse the Contractor for any advance payments made by the Contractor, as a mentor firm, to a small disadvantaged business, as a protege firm, pursuant to an approved mentor-protege agreement, provided--
(1) The Contractors subcontract with the protege firm includes a provision substantially the same as FAR 52.232-12, Advance Payments;
(2) The Contractor has administered the advance payments in accordance with the policies of FAR Subpart 32.4; and
(3) The Contractor agrees that any financial loss resulting from the failure or inability of the protege firm to repay any unliquidated advance payments is the sole financial responsibility of the Contractor.
(b) For a fixed price type contract, advance payments made to a protege firm shall be paid and administered as if they were 100 percent progress payments. The Contractor shall include as a separate attachment with each Standard Form (SF) 1443, Contractor's Request for Progress Payments, a request for reimbursement of advance payments made to a protege firm. The attachment shall provide a separate calculation of lines 14a through 14e of SF 1443 for each protege, reflecting the status of advance payments made to that protege.
(c) For cost reimbursable contracts, reimbursement of advance payments shall be made via public voucher. The Contractor shall show the amounts of advance payments made to each protege on the public voucher, in the form and detail directed by the cognizant contracting officer or contract auditor.
(End of clause)
252.232-7007 Limitation of Government's obligation.
As prescribed in 232.705-70, use the following clause:
LIMITATION OF GOVERNMENT'S OBLIGATION (AUG 1993)
(a) Contract line item(s) * through * are incrementally funded. For these item(s), the sum of $ * of the total price is presently available for payment and allotted to this contract. An allotment schedule is set forth in paragraph (i) of this clause.
(b) For item(s) identified in paragraph (a) of this clause, the Contractor agrees to perform up to the point at which the total amount payable by the Government, including reimbursement in the event of termination of those item(s) for the Government's convenience, approximates the total amount currently allotted to the contract. The Contractor will not be obligated to continue work on those item(s) beyond that point.
The Government will not be obligated in any event to reimburse the Contractor in excess of the amount allotted to the contract for those item(s) regardless of anything to the contrary in the clause entitled "Termination for Convenience of the Government." As used in this clause, the total amount payable by the Government in the event of termination of applicable contract line item(s) for convenience includes costs, profit, and estimated termination settlement costs for those item(s).
(c) Notwithstanding the dates specified in the allotment schedule in paragraph (i) of this clause the Contractor will notify the Contracting Officer in writing at least ninety days prior to the date when, in the Contractor's best judgment, the work will reach the point at which the total amount payable by the Government, including the cost for termination for convenience, will approximate 85 percent of the total amount when allotted to the contract for performance of the applicable item(s). The notification will state (1) the estimated date when that point will be reached and (2) an estimate of additional funding, if any, needed to continue performance of applicable line items up to the next scheduled date for allotment of funds identified in paragraph (i) of this clause, or to a mutually agreed upon substitute date. The notification will also advise the Contracting Officer of the estimated amount of additional funds that will be required for the timely performance of the item(s) funded pursuant to this clause, for a subsequent period as may be specified in the allotment schedule in paragraph (i) of this clause or otherwise agreed to by the parties. If after such notification additional funds are not allotted by the date identified in the Contractor's notification or by an agreed substitute date, the Contracting Officer will terminate any item(s) for which additional funds have not been allotted, pursuant to the clause of this contract entitled "Termination for Convenience of the Government."
(d) When additional funds are allotted for continued performance of the contract line item(s) identified in paragraph (a) of this clause, the parties will agree as to the period of contract performance which will be covered by the funds. The provisions of paragraphs (b) through (d) of this clause will apply in like manner to the additional allotted funds and agreed substitute date, and the contract will be modified accordingly.
(e) If, solely by reason of failure of the Government to allot additional funds, by the dates indicated below, in amounts sufficient for timely performance of the contract line item(s) identified in paragraph (a) of this clause, the Contractor incurs additional costs or is delayed in the performance of the work under this contract and if additional funds are allotted, an equitable adjustment will be made in the price or prices (including appropriate target, billing, and ceiling prices where applicable) of the item(s), or in the time of delivery or both. Failure to agree to any such equitable adjustment hereunder will be a dispute concerning a question of fact within the meaning of the clause entitled "Disputes."
(f) The Government may at any time prior to termination allot additional funds for the performance of the contract line item(s) identified in paragraph (a) of this clause.
(g) The termination provisions of this clause do not limit the rights of the Government under the clause entitled "Default." The provisions of this clause are limited to the work and allotment of funds for the contract line item(s) set forth in paragraph (a) of this clause. This clause no longer applies once the contract is fully funded except with regard to the rights or obligations of the parties concerning equitable adjustments negotiated under paragraphs (d) or (e) of this clause.
(h) Nothing in this clause affects the rights of the Government to terminate this contract pursuant to the clause of this contract entitled "Termination for Convenience of the Government."
(i) The parties contemplate that the Government will allot funds to this contract in accordance with the following schedule:
On execution of contract $
(month) (day), 199x $
(month) (day), 199y $
(month) (day), 199z $
(End of clause)
ALTERNATE I (AUG 1993) If only one line item will be incrementally funded, substitute the following paragraph (a) for paragraph (a) of the basic clause:
(a) Contract line item is incrementally funded. The sum of $ * is presently available for payment and allotted to this contract. An allotment schedule is contained in paragraph (i) of this clause.
*To be inserted after negotiation
252.232-7008 Assignment of Claims (Overseas).
As prescribed in 232.806(a)(1), use the following clause:
ASSIGNMENT OF CLAIMS (OVERSEAS) (JUN 1997)
(a) No claims for monies due, or to become due, shall be assigned by the Contractor unless--
(1) Approved in writing by the Contracting Officer;
(2) Made in accordance with the laws and regulations of the United States of America; and
(3) Permitted by the laws and regulations of the Contractor's country.
(b) In no event shall copies of this contract or of any plans, specifications, or other similar documents relating to work under this contract, if marked ``Top Secret,'' ``Secret,'' or ``Confidential'' be furnished to any assignee of any claim arising under this contract or to any other person not entitled to receive such documents. However, a copy of any part or all of this contract so marked may be furnished, or any information contained herein may be disclosed, to such assignee upon the Contracting Officer's prior written authorization.
(c) Any assignment under this contract shall cover all amounts payable under this contract and not already paid, and shall not be made to more than one party, except that any such assignment may be made to one party as agent or trustee for two or more parties participating in such financing. On each invoice or voucher submitted for payment
under this contract to which any assignment applies, and for which direct payment thereof is to be made to an assignee, the Contractor shall--
(1) Identify the assignee by name and complete address; and
(2) Acknowledge the validity of the assignment and the right of the assignee to receive payment in the amount invoiced or vouchered.
(End of clause)
[Added per D.L. 98-009, DFARS Case 98-D-012, Effective 1 JUNE 1998]
252.232-7009 [Payment by Electronic Funds Transfer (CCR).
As prescribed in 232.1103, use the following clause:
Payment by Electronic Funds Transfer (CCR) (JUN 1998)
(a) Method of payment.
(1) All payments by the Government under this contract shall be made by electronic funds transfer (EFT), except as provided in paragraph (a)(2) of (b) of this clause. As used in this clause, the term ``EFT'' refers to the funds transfer and may also include the payment information transfer.
(2) In the event the Government is unable to release one or more payments by EFT, the Contractor agrees to either (i) accept payment by check or some other mutually agreeable method of payment, or (ii) request the Government to extend the payment due date until such time as the Government can make payment by EFT (but see paragraph (e) of this clause).
(b) Alternative contractor certification. If the Contractor certifies in writing, as part of its registration with the Central Contractor Registration (CCR) database that it does not have an account with a financial institution and does not have an authorized payment agent, payment shall be made by check to the remittance address contained in the CCR database. All contractor certifications will expire on January 1, 1999.
(c) Contractor's EFT information. Except as provided in paragraph (b) of this clause, the Government shall make payment to the Contractor using the EFT information contained in the CCR database. In the event that the EFT information changes, the Contractor shall be responsible for providing the updated
information to the CCR database.
(d) Mechanisms for EFT payment. The Government may make payment by EFT through either an Automated Clearing House subject to the banking laws of the United States or the Federal Reserve Wire Transfer System.
(e) Suspension of payment. If the Contractor's EFT information in the CCR database is incorrect and the Contractor has not certified under paragraph (b) of this clause, the Government need not make payment to the Contractor under this contract until correct EFT information or certification is entered into the CCR database; and any invoice or contract financing request shall be deemed not to be a proper invoice for the purpose of prompt payment under this contract. The prompt payment terms of the contract regarding notice of an improper invoice and delays in accrual of interest penalties apply.
(f) Contractor EFT arrangements. If the Contractor has identified multiple payment receiving points (i.e., more than one remittance address or EFT information set) in the CCR database, and the Contractor has not notified the Government of the payment receiving point applicable to thiscontract, the Government shall make payment to the first payment receiving point (EFT information set or remittance address as applicable) listed in the CCR database.
(g) Liability for uncompleted or erroneous transfers.
(1) If an uncompleted or erroneous transfer occurs because the Government failed to use the Contractor's EFT information in the correct manner, the Government remains responsible for--
(i) Making a correct payment;
(ii) Paying any prompt payment penalty due; and
(iii) Recovering any erroneously directed funds.
(2) If an uncompleted or erroneous transfer occurs because the Contractor's EFT information was incorrect, or was revised within 30 days of Government release of the EFT payment transaction instruction to the Federal Reserve System, and--
(i) If the funds are no longer under the control of the payment office, the Government is deemed to have made payment and the contractor is responsible for recovery of any erroneously directed funds; or
(ii) If the funds remain under the control of the payment office, the Government shall not make payment, and the provisions of paragraph (e) of this clause shall apply.
(h) EFT and prompt payment. A payment shall be deemed to have been made in a timely manner in accordance with the prompt payment terms of this contract if, in the EFT payment transaction
instruction released to the Federal Reserve System, the date specified for settlement of the payment is on or before the prompt payment due date, provided the specified payment date is a valid date under the rules of the Federal Reserve System.
(i) EFT and assignment of claims. If the Contractor assigns the proceeds of this contract as provided for in the assignment of claims terms of this contract, the Contractor shall require as a condition of any such assignment, that the assignee register in the CCR database and be paid by EFT in accordance with the terms of this clause. In all respects, the requirements of this clause shall apply to the assignee as if it were the Contractor. EFT information that shows the ultimate recipient of the transfer to be other than the Contractor, in the absence of a proper assignment of claims acceptable to the Government, is incorrect EFT information within the meaning of paragraph (e) of this clause.
(j) Liability for change of EFT information by financial agent. The Government is not liable for errors resulting from changes to EFT information made by the Contractor's financial agent.
(k) Payment information. The payment or disbursing office shall forward to the Contractor available payment information that is suitable for transmission as of the date of release of the EFT instruction to the Federal Reserve System. The Government may request the Contractor to designate a desired format and method(s) for delivery of payment information from a list of formats and methods the payment office is capable of executing. However, the Government does not guarantee that any particular format or method of delivery is available at any particular payment office and retains the latitude to use the format and delivery method most convenient to the Government. If the Contractor has certified in accordance with paragraph (b) of this clause or if the Government otherwise makes payment by check in accordance with paragraph (a) of this clause, the Government shall mail the payment information to the remittance address contained in the CCR database.
(End of clause)]
252.233-7001 Choice of Law (Overseas).
As prescribed in 233.215-70, use the following clause:
CHOICE OF LAW (OVERSEAS) (JUN 1997)
This contract shall be construed and interpreted in accordance with the substantive laws of the United States of America. By the execution of this contract, the Contractor expressly agrees to waive any rights to invoke the jurisdiction of local national courts where this contract is performed and agrees to accept the exclusive jurisdiction of the United States Armed Services Board of Contract Appeals and the United States Court of Federal Claims for hearing and determination of any and all disputes that may arise under the Disputes clause of this contract.
(End of clause)
252.234-7000 Notice of Earned Value Management System.
As prescribed in 234.005-71(a), use the following provision:
NOTICE OF EARNED VALUE MANAGEMENT SYSTEM (MAR 1998)
(a) The offeror shall provide documentation that the cognizant Administrative Contracting Officer (ACO) has recognized that the proposed earned value management system (EVMS) complies with the EVMS criteria of DoD 5000.2-R, Mandatory Procedures for Major Defense Acquisition Programs (MDAPs) and Major Automated Information System (MAIS) Acquisition Programs, or that the proposed cost/schedule control system has been accepted by the Department of Defense.
(b) If the offeror proposes to use a system that does not meet the requirements of paragraph (a) of this provision, the offeror shall submit a comprehensive plan for compliance with the EVMS criteria.
(1) The plan shall--
(A) Describe the EVMS the offeror intends to use in performance of the contract;
(B) Distinguish between the offeror's existing management system and modifications proposed to meet the criteria;
(C) Describe the management system and its application in terms of the 32 EVMS criteria;
(D) Describe the proposed procedure for administration of the criteria as applied to subcontractors; and
(E) Provide documentation describing the process and results of any third-party or self-evaluation of the system's compliance with EVMS criteria.
(2) The offeror shall provide information and assistance as required by the Contracting Officer to support review of the plan.
(3) The Government will review the offeror's plan for EVMS before contract award.
(c) Offerors shall identify the major subcontractors, or major subcontracted effort if major subcontractors have not been selected, planned for application of the criteria. The prime contractor and the Government shall agree to subcontractors selected for application of the EVMS criteria.
(End of provision)
252.234-7001 Earned Value Management System.
As prescribed in 234.005-71(b), use the following clause:
EARNED VALUE MANAGEMENT SYSTEM (MAR 1998)
(a) In the performance of this contract, the Contractor shall use an earned value management system (EVMS) that has been recognized by the cognizant Administrative Contracting Officer (ACO)
as complying with the criteria provided in DoD 5000.2-R, Mandatory Procedures for Major Defense Acquisition Programs (MDAPs) and Major Automated Information System (MAIS) Acquisition Programs.
(b) If at the time of award, the Contractor's EVMS has not been recognized by the cognizant Administrative Contracting Officer (ACO) as complying with the EVMS criteria (or the Contractor does not have an existing cost/schedule control system that has been accepted by the Department of Defense), the Contractor shall apply the system to the contract and shall be prepared to demonstrate to the ACO that the EVMS complies with the EVMS criteria referenced in paragraph (a) of this clause.
(c) The Government may require an integrated baseline review within 180 calendar days after (1) contract award, (2) the exercise of significant contract options, or (3) the incorporation of major modifications. The purpose of the integrated baseline review is for the Government and the Contractor to jointly assess areas, such as the Contractor's planning, to ensure complete coverage of the statement of work, logical scheduling of the work activities, adequate resourcing, and identification of inherent risks.
(d) Unless a waiver is granted by the ACO, Contractor proposed EVMS changes require approval of the ACO prior to implementation. The ACO shall advise the Contractor of the acceptability of such changes within 30 calendar days after receipt of the notice of proposed changes from the Contractor. If the advance approval requirements are waived by the ACO, the Contractor shall disclose EVMS changes to the ACO at least 14 calendar days prior to the effective date of implementation.
(e) The Contractor agrees to provide access to all pertinent records and data requested by the ACO or duly authorized representative. Access is to permit Government surveillance to ensure that the EVMS complies, and continues to comply, with the criteria referenced in paragraph (a) of this clause.
(g) The Contractor shall require the following subcontractors to comply with the requirements of this clause.
(Contracting Officer to insert names of subcontractors selected for application of EVMS criteria in accordance with 252.234-7000(c).)
----------------------------------------------------------------------
----------------------------------------------------------------------
----------------------------------------------------------------------
----------------------------------------------------------------------
(End of clause)
252.235-7000 Indemnification Under 10 U.S.C. 2354--Fixed Price.
As prescribed in 235.070-3, use the following clause:
INDEMNIFICATION UNDER 10 U.S.C. 2354--FIXED PRICE (DEC 1991)
(a) This clause provides for indemnification under 10 U.S.C. 2354 if the Contractor meets all the terms and conditions of this clause.
(b) Claims, losses, and damages covered--
(1) Claims by third persons for death, bodily injury, sickness, or disease, or the loss, damage, or lost use of property. Claims include those for reasonable expenses of litigation or settlement. The term "third persons" includes employees of the contractor;
(2) The loss, damage, and lost use of the Contractor's property, but excluding lost profit; and
(3) Loss, damage, or lost use of the Government's property.
(c) The claim, loss, or damage--
(1) Must arise from the direct performance of this contract;
(2) Must not be compensated by insurance or other means, or be within deductible amounts of the Contractor's insurance;
(3) Must result from an unusually hazardous risk as specifically defined in the contract;
(4) Must not result from willful misconduct or lack of good faith on the part of any of the Contractor's directors or officers, managers, superintendents, or other equivalent representatives who have supervision or direction of--
(i) All or substantially all of the Contractor's business;
(ii) All or substantially all of the Contractor's operations at any one plant or separate location where this contract is being performed; or
(iii) A separate and complete major industrial operation connected with the performance of this contract;
(5) Must not be a liability assumed under any contract or agreement (except for subcontracts covered by paragraph (h) of this clause), unless the Contracting Officer (or in contracts with the Department of the Navy, the Department) specifically approved the assumption of liability; and
(6) Must be certified as just and reasonable by the Secretary of the department or designated representative.
(d) The Contractor shall buy and maintain, to the extent available, insurance against unusually hazardous risks in the form, amount, period(s) of time, at the rate(s), and with such insurers, as the Contracting Officer (or, for Navy contracts, the Department) may from time to time require and approve. If the cost of this insurance is higher than the cost of the insurance the Contractor had as of the date of the contract, the Government shall reimburse the Contractor for the difference in cost, as long as it is properly allocable to this contract and is not included in the contract price. The Government shall not be liable for claims, loss, or damage if insurance was available and is either required or approved under this paragraph.
(e) A reduction of the insurance coverage maintained by the Contractor on the date of the execution of this contract shall not increase the Government's liability under this clause unless the Contracting Officer consents, and the contract price is equitably adjusted, if appropriate, to reflect the Contractor's consideration for the Government's assumption of increased liability.
(f) Notice.
The Contractor shall--
(1) Promptly notify the Contracting Officer of any occurrence, action, or claim that might trigger the Government's liability under this clause;
(2) Furnish the proof or evidence of any claim, loss, or damage in the form and manner that the Government requires; and
(3) Immediately provide copies of all pertinent papers that the Contractor receives or has received.
(g) The Government may direct, participate in, and supervise the settlement or defense of the claim or action. The Contractor shall comply with the Government's directions and execute any authorizations required.
(h) Flowdown.
The Government shall indemnify the Contractor if the Contractor has an obligation to indemnify a subcontractor under any subcontract at any tier under this contract for the unusually hazardous risk identified in this contract only if--
(1) The Contracting Officer gave prior written approval for the Contractor to provide in a subcontract for the Contractor to indemnify the subcontractor for unusually hazardous risks defined in this contract;
(2) The Contracting Officer approved those indemnification provisions;
(3) The subcontract indemnification provisions entitle the Contractor, or the Government, or both, to direct, participate in, and supervise the settlement or defense of relevant actions and claims; and
(4) The subcontract provides the same rights and duties, the same provisions for notice, furnishing of papers and the like, between the Contractor and the subcontractor, as exist between the Government and the Contractor under this clause.
(i) The Government may discharge its obligations under paragraph (h) of this clause by making payments directly to subcontractors or to persons to whom the subcontractors may be liable.
(j) The rights and obligations of the parties under this clause shall survive the termination, expiration, or completion of this contract.
(End of clause)
252.235-7001 Indemnification Under 10 U.S.C. 2354--Cost Reimbursement.
As prescribed in 235.070-3, use the following clause:
INDEMNIFICATION UNDER 10 U.S.C. 2354--COST REIMBURSEMENT (DEC 1991)
(a) This clause provides for indemnification under 10 U.S.C. 2354 if the Contractor meets all the terms and conditions of this clause.
(b) Claims, losses, and damages covered--
(1) Claims by third persons for death, bodily injury, sickness, or disease, or the loss, damage, or lost use of property. Claims include those for reasonable expenses of litigation or settlement. The term "third persons" includes employees of the Contractor;
(2) The loss, damage, and lost use of the Contractor's property, but excluding lost profit; and
(3) Loss, damage, or lost use of the Government's property.
(c) The claim, loss, or damage--
(1) Must arise from the direct performance of this contract;
(2) Must not be compensated by insurance or other means, or be within deductible amounts of the Contractor's insurance;
(3) Must result from an unusually hazardous risk as specifically defined in the contract;
(4) Must not result from willful misconduct or lack of good faith on the part of any of the Contractor's directors or officers, managers, superintendents, or other equivalent representatives who have supervision or direction of--
(i) All or substantially all of the Contractor's business;
(ii) All or substantially all of the Contractor's operations at any one plant or separate location where this contract is being performed; or
(iii) A separate and complete major industrial operation connected with the performance of this contract;
(5) Must not be a liability assumed under any contract or agreement (except for subcontracts covered by paragraph (i) of this clause), unless the Contracting Officer (or in contracts with the Department of the Navy, the Department) specifically approved the assumption of liability; and
(6) Must be certified as just and reasonable by the Secretary of the department or designated representative.
(d) A reduction of the insurance coverage maintained by the Contractor on the date of the execution of this contract shall not increase the Government's liability under this clause unless the Contracting Officer consents, and the contract price is equitably adjusted, if appropriate, to reflect the Contractor's consideration for the Government's assumption of increased liability.
(e) Notice.
The Insurance--Liability to Third Persons clause of this contract applies also to claims under this clause. In addition, the Contractor shall--
(1) Promptly notify the Contracting Officer of any occurrence, action, or claim that might trigger the Government's liability under this clause;
(2) Furnish the proof or evidence of any claim, loss, or damage in the form and manner that the Government requires; and
(3) Immediately provide copies of all pertinent papers that the contractor receives or has received.
(f) The Government may direct, participate in, and supervise the settlement or defense of the claim or action. The Contractor shall comply with the Government's directions, and execute any authorizations required.
(g) The Limitation of Cost clause of this contract does not apply to the Government's obligations under this clause. The obligations under this clause are excepted from the release required by the Allowable Cost, Fee, and Payment clause of this contract.
(h) Under this clause, a claim, loss, or damage arises from the direct performance of this contract if the cause of the claim, loss, or damage occurred during the period of performance of this contract or as a result of the performance of this contract.
(i) Flowdown.
The Government shall indemnify the Contractor if the Contractor has an obligation to indemnify a subcontractor under any subcontract at any tier under this contract for the unusually hazardous risk identified in this contract only if--
(1) The Contracting Officer gave prior written approval for the Contractor to provide in a subcontract for the Contractor to indemnify the subcontractor for unusually hazardous risks defined in this contract;
(2) The Contracting Officer approved those indemnification provisions;
(3) The subcontract indemnification provisions entitle the Contractor, or the Government, or both, to direct, participate in, and supervise the settlement or defense of relevant actions and claims; and
(4) The subcontract provides the same rights and duties, the same provisions for notice, furnishing of paper and the like, between the Contractor and the subcontractor, as exist between the Government and the Contractor under this clause.
(j) The Government may discharge its obligations under paragraph (i) of this clause by making payments directly to subcontractors or to persons to whom the subcontractors may be liable.
(k) The rights and obligations of the parties under this clause shall survive the termination, expiration, or completion of this contract.
(End of clause)
252.235-7002 Animal Welfare.
As prescribed in 235.071(a), use the following clause:
ANIMAL WELFARE (DEC 1991)
(a) The Contractor shall register its research facility with the Secretary of Agriculture in accordance with 7 U.S.C. 2316 and 9 CFR Subpart C, and Section 2.30, and furnish evidence of such registration to the Contracting Officer before beginning work under this contract.
(b) The Contractor shall acquire animals only from dealers licensed by the Secretary of Agriculture under 7 U.S.C. 2133 and 9 CFR Subpart A, Sections 2.1 through 2.11, or from sources that are exempt from licensing under those sections.
(c) The Contractor agrees that the care and use of animals will conform with the pertinent laws of the United States and regulations of the Department of Agriculture (see 7 U.S.C. 2131 et. seq. and 9 CFR Subchapter A, Parts 1 through 4).
(d) The Contracting Officer may immediately suspend, in whole or in part, work and further payments under this contract for failure to comply with the requirements of paragraphs (a) through (c) of this clause.
(1) The suspension will stay in effect until the Contractor complies with the requirements.
(2) Failure to complete corrective action within the time specified by the Contracting Officer may result in termination of this contract and removal of the Contractor's name from the list of contractors with approved Public Health Service Welfare Assurances.
(e) The Contractor may request registration of its facility and a current listing of licensed dealers from the Regional Office of the Animal and Plant Health Inspection Service (APHIS), United States Department of Agriculture (USDA), for the region in which its
research facility is located. The location of the appropriate APHIS regional office, as well as information concerning this program may be obtained by contacting the Senior Staff Officer, Animal Care Staff, USDA/APHIS, Federal Center Building, Hyattsville, MD 20782.
(f) The Contractor shall include this clause, including this paragraph (f), in all subcontracts involving research of live vertebrate animals.
(End of clause)
252.235-7003 Frequency Authorization.
As prescribed in 235.071(b), use the following clause:
FREQUENCY AUTHORIZATION (DEC 1991)
(a) The Contractor shall obtain authorization for radio frequencies required in support of this contract.
(b) For any experimental, developmental, or operational equipment for which the appropriate frequency allocation has not been made, the Contractor shall provide the technical operating characteristics of the proposed electromagnetic radiating device to the Contracting Officer during the initial planning, experimental, or developmental phase of contract performance.
(c) The Contracting Officer shall furnish the procedures for obtaining radio frequency authorization.
(d) The Contractor shall include this clause, including this paragraph (d), in all subcontracts requiring the development, production, construction, testing, or operation of a device for which a radio frequency authorization is required.
(End of clause)
ALTERNATE I (DEC 1991)
Substitute the following paragraph (c) for paragraph (c) of the basic clause if agency procedures authorize use of DD Form 1494, Application for Frequency Authorization:
(c) The contractor shall use DD Form 1494, Application for Frequency Authorization, to obtain radio frequency authorization.
252.235-7004 Option to Extend the Term of the Contract.
As prescribed in 235.015-71(i)(2), use the following clause:
OPTION TO EXTEND THE TERM OF THE CONTRACT (DEC 1991)
If the Contractor's proposal covers an additional period(s) which could be treated as an optional period(s), the Contracting Officer may--
(a) Add the additional period(s) to the contract as an option(s); and
(b) Exercise such option(s) by written notice of exercise at any time during the performance period or any extensions thereof.
(End of clause)
252.235-7005 Contractor-Acquired Property.
As prescribed in 235.015-71(i)(2), use the following clause:
CONTRACTOR-ACQUIRED PROPERTY (DEC 1991)
(a) Definition.
"Property," as used in this clause, means all nonexpendable tangible personal property (except material)--
(1) Described in FAR 45.101, including automatic data processing equipment as defined in FAR 31.001, and facilities as defined in FAR 45.301;
(2) Which is acquired with funds provided under this contract for the conduct of research;
(3) Which the Contractor has specifically identified in its proposal; and
(4) Which the Contracting Officer has authorized the Contractor to acquire.
(b) The Contracting Officer may accept the identification and description in the Contractor's proposal of property to be Contractor-acquired property as advance notification required by subparagraphs (a) and (b) of the clause of this contract entitled "Subcontracts Under Cost-Reimbursement and Letter Contracts."
(c) Except for those items specifically identified in the contract as required by Block 27a of the DD Form 2222 (Research Contract (SFRC)/Modification, Short Form), award of this contract constitutes the Contracting Officer's written consent to acquire property in the Contractor's proposal.
(d) The Contracting Officer will approve or disapprove subcontracts to acquire the items listed in Block 27a of the DD Form 2222 after the award of any contract resulting from this solicitation.
(End of clause)
252.235-7006 Title to Contractor-Acquired Property.
As prescribed in 235.015-71(i)(2), use the following clause:
TITLE TO CONTRACTOR-ACQUIRED PROPERTY (DEC 1991)
(a) Definition.
"Property," as used in this clause, has the meaning given in the Contractor-Acquired Property clause of this contract.
(b) Title shall vest in the Contractor without further obligation when the property--
(1) Has an acquisition cost of $1,000 or more;
(2) Was specifically identified in the Contractor's proposal; and
(3) Is property other than that property for which a determination of title is deferred. Property for which the determination of title is deferred shall be identified in Block 27b of the DD Form 2222, Research Contract (SFRC)/Modification, Short Form.
(c) Title in all property which--
(1) Has an acquisition cost of $1,000 or more; and
(2) Was not specifically identified in the Contractor's proposal; or
(3) Is property for which a determination of title is deferred, may vest--
(i) In the Government;
(ii) In the Contractor; or
(iii) In the Contractor, subject to the right of the Government to direct transfer of the title back to the Government or third parties. The Government may exercise this right at any time up to and including the twelfth month after completion or termination of the contract. The Government at any time may remove an item of property from this category, give up the right to direct transfer of the title back to the Government or third parties, and transfer title to the Contractor.
(d) Transfer of title back to the Government or third parties shall not be the basis for any claim by the Contractor. The Government Property (Cost-Reimbursement, Time and Material, or Labor Hour Contracts) clause and its Alternate I of this contract apply to any changes in property.
(e) Property acquired with funds made available under this contract shall be considered Government property subject to the Government Property clause until title to such property vests in the Contractor without right of the Government to direct transfer of the title back to the Government or third parties.
(f) Within 45 days following the end of the calendar year or the Contractor's fiscal year, the Contractor shall furnish the Contracting Officer a list of all property with an acquisition cost of $1,000 or more which the Contractor acquired under this contract during that year and to which title has not vested in the Contractor.
(End of clause)
252.235-7007 Advance Payments.
As prescribed in 235.015-71(i)(2), use the following clause:
ADVANCE PAYMENTS (DEC 1991)
The advance payment pool agreement between the Contractor and one or more military departments which is in effect as of the date of, and applies to, this contract shall govern advance payments made under this contract. If such an agreement is not in effect as of the date of this contract, the Allowable Cost and Payment clause of this contract shall govern payments to the Contractor.
(End of clause)
252.235-7008 Inspection and Acceptance.
As prescribed in 235.015-71(i)(2), use the following clause:
INSPECTION AND ACCEPTANCE (DEC 1991)
The Scientific Program Officer designated in Block 11 on the DD Form 2222 (Research Contract (SFRC)/Modification, Short Form) of this contract shall conduct inspection and acceptance of the final delivery. The Scientific Program Officer shall have at least 30 days after contractual delivery for acceptance.
(End of clause)
252.235-7009 Restriction on Printing.
As prescribed in 235.015-71(i)(2), use the following clause:
RESTRICTION ON PRINTING (DEC 1991)
The Contractor is authorized to reproduce reports, data, or other written materials, if required, provided the material produced does not exceed 5,000 production units of any page, and items consisting of multiple pages do not exceed 25,000 production units in the aggregate. The Contractor shall obtain the express prior written authorization of the Contracting Officer to reproduce material in excess of these quantities.
(End of clause)
252.235-7010 Acknowledgment of support and disclaimer.
As prescribed in 235.071(c), use the following clause:
ACKNOWLEDGMENT OF SUPPORT AND DISCLAIMER (MAY 1995)
(a) The Contractor shall include an acknowledgment of the Government's support in the publication of any material based on or developed under this contract, stated in the following terms: This material is based upon work supported by the (name of contracting agency(ies)) under Contract No. (Contracting agency(ies) contract number(s)).
(b) All material, except scientific articles or papers published in scientific journals, must, in addition to any notices or disclaimers by the Contractor, also contain the following disclaimer: Any opinions, findings and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of the (name of contracting agency(ies)).
(End of clause)
252.235-7011 Final scientific or technical report.
As prescribed in 235.071(d), use the following clause:
FINAL SCIENTIFIC OR TECHNICAL REPORT (MAY 1995)
The Contractor shall submit two copies of the approved scientific or technical report delivered under this contract to the Defense Technical Information Center (DTIC), Attn: DTIC-OC, Cameron Station, Alexandria, VA 22304-6145. The Contractor shall include a completed Standard Form 298, Report Documentation Page, with each copy of the report. For submission of reports in other than paper copy, contact the Defense Technical Information Center, Attn: DTIC-OC, Cameron Station, Alexandria, VA 22304-6145.
(End of clause)
252.236-7000 Modification Proposals - Price Breakdown.
As prescribed in 236.570(a), use the following clause:
MODIFICATION PROPOSALS - PRICE BREAKDOWN (DEC 1991)
(a) The Contractor shall furnish a price breakdown, itemized as required and within the time specified by the Contracting Officer, with any proposal for a contract modification.
(b) The price breakdown--
(1) Must include sufficient detail to permit an analysis of profit, and of all costs for--
(i) Material;
(ii) Labor;
(iii) Equipment;
(iv) Subcontracts; and
(v) Overhead; and
(2) Must cover all work involved in the modification, whether the work was deleted, added, or changed.
(c) The Contractor shall provide similar price breakdowns to support any amounts claimed for subcontracts.
(d) The Contractor's proposal shall include a justification for any time extension proposed.
(End of clause)
252.236-7001 Contract Drawings, Maps, and Specifications.
As prescribed in 236.570(a), use the following clause:
CONTRACT DRAWINGS, MAPS, AND SPECIFICATIONS (DEC 1991)
(a) The Government--
(1) Will provide the Contractor, without charge, ______ sets (five unless otherwise specified) of large-scale contract drawings and specifications except publications incorporated into the technical provisions by reference;
(2) Will furnish additional sets on request, for the cost of reproduction; and
(3) May, at its option, furnish the Contractor one set of reproducibles, or half-size drawings, in lieu of the drawings in paragraph (a)(1) of this clause.
(b) The Contractor shall--
(1) Check all drawings furnished immediately upon receipt;
(2) Compare all drawings and verify the figures before laying out the work;
(3) Promptly notify the Contracting Officer of any discrepancies; and
(4) Be responsible for any errors which might have been avoided by complying with this paragraph (b).
(c) Large scale drawings shall, in general, govern small scale drawings. Figures marked on drawings shall, in general, be followed in preference to scale measurements.
(d) Omissions from the drawings or specifications or the misdescription of details of work which are manifestly necessary to carry out the intent of the drawings and specifications, or which are customarily performed, shall not relieve the contractor from performing such omitted or misdescribed details of the work, but shall be performed as if fully and correctly set forth and described in the drawings and specifications.
(e) The work shall conform to the specifications and the contract drawings identified on the following index of drawings:
Title File and Drawing No.
(End of clause)
252.236-7002 Obstruction of Navigable Waterways.
As prescribed in 236.570(b)(1), use the following clause:
OBSTRUCTION OF NAVIGABLE WATERWAYS (DEC 1991)
(a) The Contractor shall--
(1) Promptly recover and remove any material, plant, machinery, or appliance which the contractor loses, dumps, throws overboard, sinks, or misplaces, and which, in the opinion of the Contracting Officer, may be dangerous to or obstruct navigation;
(2) Give immediate notice, with description and locations of any such obstructions, to the Contracting Officer; and
(3) When required by the Contracting Officer, mark or buoy such obstructions until the same are removed.
(b) The Contracting Officer may--
(1) Remove the obstructions by contract or otherwise should the Contractor refuse, neglect, or delay compliance with paragraph (a) of this clause; and
(2) Deduct the cost of removal from any monies due or to become due to the Contractor; or
(3) Recover the cost of removal under the Contractor's bond.
(c) The Contractor's liability for the removal of a vessel wrecked or sunk without fault or negligence is limited to that provided in Sections 15, 19, and 20 of the River and Harbor Act of March 3, 1899 (33 U.S.C. 410 et.seq.).
(End of clause)
252.236-7003 Payment for Mobilization and Preparatory Work.
As prescribed in 236.570(b)(2), use the following clause:
PAYMENT FOR MOBILIZATION AND PREPARATORY WORK (JAN 1997)
(a) The Government will make payment to the Contractor under the procedures in this clause for mobilization and preparatory work under item no. ________________.
(b) Payments will be made for actual payments by the Contractor on work preparatory to commencing actual work on the construction items for which payment is provided under the terms of this contract, as follows--
(1) For construction plant and equipment exceeding $25,000 in value per unit (as appraised by the Contracting Officer at the work site) acquired for the execution of the work;
(2) Transportation of all plant and equipment to the site;
(3) Material purchased for the prosecution of the contract, but not to be incorporated in the work;
(4) Construction of access roads or railroads, camps, trailer courts, mess halls, dormitories or living quarters, field headquarters facilities, and construction yards;
(5) Personal services; and
(6) Hire of plant.
(c) Requests for payment must include--
(1) An account of the Contractor's actual expenditures;
(2) Supporting documentation, including receipted bills or certified copies of payrolls and freight bills; and
(3) The Contractor's documentation--
(i) Showing that it has acquired the construction plant, equipment, and material free from all encumbrances;
(ii) Agreeing that the construction plant, equipment, and material will not be removed from the site without the written permission of the Contracting Officer; and
(iii) Agreeing that structures and facilities prepared or erected for the prosecution of the contract work will be maintained and not dismantled prior to the completion and acceptance of the entire work, without the written permission of the Contracting Officer.
(d) Upon receiving a request for payment, the Government will make payment, less any prescribed retained percentage, if--
(1) The Contracting Officer finds the--
(i) Construction plant, material, equipment, and the mobilization and preparatory work performed are suitable and necessary to the efficient prosecution of the contract; and
(ii) Preparatory work has been done with proper economy and efficiency.
(2) Payments for construction plant, equipment, material, and structures and facilities prepared or erected for prosecution of the contract work do not exceed--
(i) The Contractor's cost for the work performed less the estimated value upon completion of the contract; and
(ii) 100 percent of the cost to the contractor of any items having no appreciable salvage value; and
(iii) 75 percent of the cost to the contractor of items which do have an appreciable salvage value.
(e) (1) Payments will continue to be made for item no. _________, and all payments will be deducted from the contract price for this item, until the total deductions reduce this item to zero, after which no further payments will be made under this item.
(2) If the total of payments so made does not reduce this item to zero, the balance will be paid to the Contractor in the final payment under the contract.
(3) The retained percentage will be paid in accordance with the Payments to Contractor clause of this contract.
(f) The Contracting Officer shall determine the value and suitability of the construction plant, equipment, materials, structures and facilities. The Contracting Officer's determinations are not subject to appeal.
(End of clause)
252.236-7004 Payment for Mobilization and Demobilization.
As prescribed in 236.570(b)(2), use the following clause:
PAYMENT FOR MOBILIZATION AND DEMOBILIZATION (DEC 1991)
(a) The Government will pay all costs for the mobilization and demobilization of all of the Contractor's plant and equipment at the contract lump sum price for this item.
(1) ______ percent of the lump sum price upon completion of the contractor's mobilization at the work site.
(2) The remaining ______ percent upon completion of demobilization.
(b) The Contracting Officer may require the Contractor to furnish cost data to justify this portion of the bid if the Contracting Officer believes that the percentages in paragraphs (a)(1) and (2) of this clause do not bear a reasonable relation to the cost of the work in this contract.
(1) Failure to justify such price to the satisfaction of the Contracting Officer will result in payment, as determined by the Contracting Officer, of--
(i) Actual mobilization costs at completion of mobilization;
(ii) Actual demobilization costs at completion of demobilization; and
(iii) The remainder of this item in the final payment under this contract.
(2) The Contracting Officer's determination of the actual costs in paragraph (b)(1)of this clause is not subject to appeal.
(End of clause)
252.236-7005 Airfield Safety Precautions.
As prescribed in 236.570(b)(3), use the following clause. At some airfields, the width of the primary surface is 1,500 feet (750 feet on each side of the runway centerline). In such instances, substitute the proper width in the clause.
AIRFIELD SAFETY PRECAUTIONS (DEC 1991)
(a) Definitions.
As used in this clause--
(1) "Landing areas" means--
(i) The primary surfaces, comprising the surface of the runway, runway shoulders, and lateral safety zones. The length of each primary surface is the same as the runway length. The width of each primary surface is 2,000 feet (1,000 feet on each side of the runway centerline);
(ii) The "clear zone" beyond the ends of each runway, i.e., the extension of the primary surface for a distance of 1,000 feet beyond each end of each runway;
(iii) All taxiways, plus the lateral clearance zones along each side for the length of the taxiways (the outer edge of each lateral clearance zone is laterally 250 feet from the far or opposite edge of the taxiway, e.g., a 75-foot-wide taxiway would have a combined width of taxiway and lateral clearance zones of 425 feet); and
(iv) All aircraft parking aprons, plus the area 125 feet in width extending beyond each edge all around the aprons.
(2) "Safety precaution areas" means those portions of approach-departure clearance zones and transitional zones where placement of objects incident to contract performance might result in vertical projections at or above the approach-departure clearance, or the transitional surface.
(i) The "approach-departure clearance surface" is an extension of the primary surface and the clear zone at each end of each runway, for a distance of 50,000 feet, first along an inclined (glide angle) and then along a horizontal plane, both flaring symmetrically about the runway centerline extended.
(A) The inclined plane (glide angle) begins in the clear zone 200 feet past the end of the runway (and primary surface) at the same elevation as the end of the runway. It continues upward at a slope of 50:1 (1 foot vertically for each 50 feet horizontally) to an elevation of 500 feet above the established airfield elevation. At that point the plane becomes horizontal, continuing at that same uniform elevation to a point 50,000 feet longitudinally from the beginning of the inclined plane (glide angle) and ending there.
(B) The width of the surface at the beginning of the inclined plane (glide angle) is the same as the width of the clear zone. It then flares uniformly, reaching the maximum width of 16,000 feet at the end.
(ii) The "approach-departure clearance zone" is the ground area under the approach-departure clearance surface.
(iii) The "transitional surface" is a sideways extension of all primary surfaces, clear zones, and approach-departure clearance surfaces along inclined planes.
(A) The inclined plane in each case begins at the edge of the surface.
(B) The slope of the incline plane is 7:1 (1 foot vertically for each 7 feet horizontally). It continues to the point of intersection with the--
(1) Inner horizontal surface (which is the horizontal plane 150 feet above the established airfield elevation); or
(2) Outer horizontal surface (which is the horizontal plane 500 feet above the established airfield elevation), whichever is applicable.
(iv) The "transitional zone" is the ground area under the transitional surface. (It adjoins the primary surface, clear zone, and approach-departure clearance zone.)
(b) General.
(1) The Contractor shall comply with the requirements of this clause while--
(i) Operating all ground equipment (mobile or stationary);
(ii) Placing all materials; and
(iii) Performing all work, upon and around all airfields.
(2) The requirements of this clause are in addition to any other safety requirements of this contract.
(c) The Contractor shall--
(1) Report to the Contracting Officer before initiating any work;
(2) Notify the Contracting Officer of proposed changes to locations and operations;
(3) Not permit either its equipment or personnel to use any runway for purposes other than aircraft operation without permission of the Contracting Officer, unless the runway is--
(i) Closed by order of the Contracting Officer; and
(ii) Marked as provided in paragraph (d)(2) of this clause;
(4) Keep all paved surfaces, such as runways, taxiways, and hardstands, clean at all times and, specifically, free from small stones which might damage aircraft propellers or jet aircraft;
(5) Operate mobile equipment according to the safety provisions of this clause, while actually performing work on the airfield. At all other times, the Contractor shall remove all mobile equipment to locations--
(i) Approved by the Contracting Officer;
(ii) At a distance of at least 750 feet from the runway centerline, plus any additional distance; and
(iii) Necessary to ensure compliance with the other provisions of this clause; and
(6) Not open a trench unless material is on hand and ready for placing in the trench. As soon as practicable after material has been placed and work approved, the Contractor shall backfill and compact trenches as required by the contract. Meanwhile, all hazardous conditions shall be marked and lighted in accordance with the other provisions of this clause.
(d) Landing areas.
The Contractor shall--
(1) Place nothing upon the landing areas without the authorization of the Contracting Officer;
(2) Outline those landing areas hazardous to aircraft, using (unless otherwise authorized by the Contracting Officer) red flags by day, and electric, battery-operated low-intensity red flasher lights by night;
(3) Obtain, at an airfield where flying is controlled, additional permission from the control tower operator every time before entering any landing area, unless the
landing area is marked as hazardous in accordance with paragraph (d)(2) of this clause;
(4) Identify all vehicles it operates in landing areas by means of a flag on a staff attached to, and flying above, the vehicle. The flag shall be three feet square, and consist of a checkered pattern of international orange and white squares of 1 foot on each side (except that the flag may vary up to ten percent from each of these dimensions);
(5) Mark all other equipment and materials in the landing areas, using the same marking devices as in paragraph (d)(2) of this clause; and
(6) Perform work so as to leave that portion of the landing area which is available to aircraft free from hazards, holes, piles of material, and projecting shoulders that might damage an airplane tire.
(e) Safety precaution areas.
The Contractor shall--
(1) Place nothing upon the safety precaution areas without authorization of the Contracting Officer;
(2) Mark all equipment and materials in safety precaution areas, using (unless otherwise authorized by the Contracting Officer) red flags by day, and electric, battery-operated, low-intensity red flasher lights by night; and
(3) Provide all objects placed in safety precaution areas with a red light or red lantern at night, if the objects project above the approach-departure clearance surface or above the transitional surface.
(End of clause)
252.236-7006 Cost Limitation.
As prescribed in 236.570(b)(4), use the following provision:
COST LIMITATION (JAN 1997)
(a) Certain items in this solicitation are subject to statutory cost limitations. The limitations are stated in the Schedule.
(b) An offer which does not state separate prices for the items identified in the Schedule as subject to a cost limitation may be considered nonresponsive.
(c) Prices stated in offers for items subject to cost limitations shall include an appropriate apportionment of all costs, direct and indirect, overhead, and profit.
(d) Offers may be rejected which--
(1) Are materially unbalanced for the purpose of bringing items within cost limitations; or
(2) Exceed the cost limitations, unless the limitations have been waived by the Government prior to award.
(End of provision)
252.236-7007 Additive or Deductive Items.
As prescribed in 236.570(b)(5), use the following provision:
ADDITIVE OR DEDUCTIVE ITEMS (DEC 1991)
(a) The low offeror and the items to be awarded shall be determined as follows--
(1) Prior to the opening of bids, the Government will determine the amount of funds available for the project.
(2) The low offeror shall be the Offeror that--
(i) Is otherwise eligible for award; and
(ii) Offers the lowest aggregate amount for the first or base bid item, plus or minus (in the order stated in the list of priorities in the bid schedule) those additive or deductive items that provide the most features within the funds determined available.
(3) The Contracting Officer shall evaluate all bids on the basis of the same additive or deductive items.
(i) If adding another item from the bid schedule list of priorities would make the award exceed the available funds for all offerors, the Contracting Officer will skip that item and go to the next item from the bid schedule of priorities; and
(ii) Add that next item if an award may be made that includes that item and is within the available funds.
(b) The Contracting Officer will use the list of priorities in the bid schedule only to determine the low offeror. After determining the low offeror, an award may be made on any combination of items if--
(1) It is in the best interest of the Government;
(2) Funds are available at the time of award; and
(3) The low offeror's price for the combination to be awarded is less than the price offered by any other responsive, responsible offeror.
(c) Example.
The amount available is $100,000. Offeror A's base bid and four additives (in the order stated in the list of priorities in the bid Schedule) are $85,000, $10,000, $8,000, $6,000, and $4,000. Offeror B's base bid and four additives are $80,000, $16,000, $9,000, $7,000, and $4,000. Offeror A is the low offeror. The aggregate amount of offeror A's bid for purposes of award would be $99,000, which includes a base bid
plus the first and fourth additives. The second and third additives were skipped because each of them would cause the aggregate bid to exceed $100,000.
(End of provision)
252.236-7008 Contract Prices--Bidding Schedules.
As prescribed in 236.570(b)(6), use the following provision:
CONTRACT PRICES--BIDDING SCHEDULES (DEC 1991)
(a) The Government's payment for the items listed in the Bidding Schedule shall constitute full compensation to the Contractor for--
(1) Furnishing all plant, labor, equipment, appliances, and materials; and
(2) Performing all operations required to complete the work in conformity with the drawings and specifications.
(b) The Contractor shall include in the prices for the items listed in the Bidding Schedule all costs for work in the specifications, whether or not specifically listed in the Bidding Schedule.
(End of provision)
252.236-7009 Option for Supervision and Inspection Services.
As prescribed in 236.609-70, use the following clause:
OPTION FOR SUPERVISION AND INSPECTION SERVICES (DEC 1991)
(a) The Government may--
(1) At its option, direct the Contractor to perform any part or all of the supervision and inspection services for the construction contract as provided under Appendix A of this contract; and
(2) Exercise its option, by written order, at any time prior to six months after satisfactory completion and acceptance of the work under this contract.
(b) Upon receipt of the Contracting Officer's written order, the Contractor shall proceed with the supervision and inspection services.
(End of clause)
252.236-7010 Overseas Military Construction-Preference for United States Firms.
As prescribed in 236.570(c)(1), use the following provision:
OVERSEAS MILITARY CONSTRUCTION-PREFERENCE FOR
UNITED STATES FIRMS (JAN 1997)
(a) Definition.
"United States firm," as used in this provision, means a firm incorporated in the United States that complies with the following:
(1) The corporate headquarters are in the United States;
(2) The firm has filed corporate and employment tax returns in the United States for a minimum of 2 years (if required), has filed State and Federal income tax returns (if required) for 2 years, and has paid any taxes due as a result of these filings; and
(3) The firm employs United States citizens in key management positions.
(b) Evaluation. Offers from firms that do not qualify as United States firms will be evaluated by adding 20 percent to the offer.
(c) Status. The offeror ____ is, _____is not a United States firm.
(End of provision)
252.236-7011 Overseas Architect-Engineer Services-Restriction to United States Firms.
As prescribed in 236.609-70(b), use the following provision:
OVERSEAS ARCHITECT-ENGINEER SERVICES-RESTRICTION TO
UNITED STATES FIRMS (JAN 1997)
(a) Definition.
"United States firm," as used in this provision, means a firm incorporated in the United States that complies with the following:
(1) The corporate headquarters are in the United States;
(2) The firm has filed corporate and employment tax returns in the United States for a minimum of 2 years (if required), has filed State and Federal income tax returns (if required) for 2 years, and has paid any taxes due as a result of these filings; and
(3) The firm employs United States citizens in key management positions.
(b) Restriction. Military construction appropriations acts restrict award of a contract, resulting from this solicitation, to a United States firm or a joint venture of United States and host nation firms.
252.236-7012 Military Construction on Kwajalein Atoll--Evaluation Preference.
As prescribed in 236.570(c)(2), use the following provision:
MILITARY CONSTRUCTION ON KWAJALEIN ATOLL--
EVALUATION PREFERENCE (Mar 1998)
(a) Definitions. As used in this provision--
(1) "Marshallese firm" means a local firm incorporated in the Marshall Islands, or otherwise legally organized under the laws of the Marshall Islands, that--
(i) Is more than 50 percent owned by citizens of the Marshall Islands; or
(ii) Complies with the following:
(A) The firm has done business in the Marshall Islands on a continuing basis for not less than3 years prior to the date of issuance of this solicitation;
(B) Substantially all of the firm's directors of local operations, senior staff, and operating personnel are resident in the Marshall Islands or are U.S. citizens; and
(C) Most of the operating equipment and physical plant are in the Marshall Islands.
(2) "United States firm" means a firm incorporated in the United States that complies with the following:
(i) The corporate headquarters are in the United States;
(ii) The firm has filed corporate and employment tax returns in the United States for a minimum of 2 years (if required), has filed State and Federal income tax returns (if required) for 2 years, and has paid any taxes due as a result of these filings; and
(iii) The firm employs United States citizens in key management positions.
(b) Evaluation. Offers from firms that do not qualify as United States firms or Marshallese firms will be evaluated by adding 20 percent to the offer, unless application of the factor would not result in award to a United States firm.
(c) Status. The offeror is ________ a United States firm; ________ a Marshallese firm; ________ Other.
(End of provision)
(c) Status. The offeror confirms, by submission of its offer, that it is a United States firm or a joint venture of United States and host nation firms.
(End of provision)
252.237-7000 Notice of Special Standards of Responsibility.
As prescribed in 237.203-70(d)(1), use the following provision:
NOTICE OF SPECIAL STANDARDS OF RESPONSIBILITY (DEC 1991)
(a) To be determined responsible, the Offeror must meet the general standards of responsibility set forth at FAR 9.104-1 and the following criteria, as described in Chapter 3, General Standards, of "Government Auditing Standards."
(1) Qualifications;
(2) Independence; and
(3) Quality Control.
(b) "Government Auditing Standards" is issued by the Comptroller General of the United States and is available for sale from the:
Superintendent of Documents
U.S. Government Printing Office
Washington, DC 20401
Stock number 020-000-00243-3.
(c) The apparently successful Offeror, before award, shall give the Contracting Officer evidence that it is licensed by the cognizant licensing authority in the state or other political jurisdiction where the Offeror operates its professional practice.
(End of provision)
252.237-7001 Compliance with Audit Standards.
As prescribed in 237.203-70(d)(2), use the following clause:
COMPLIANCE WITH AUDIT STANDARDS (DEC 1991)
The Contractor, in performance of all audit services under this contract, shall comply with--
(a) Government Auditing Standards set forth in "Government Auditing Standards" issued by the Comptroller General of the United States.
(b) Office of Management and Budget Circular No. A-73, Audit of Federal Operations and Programs.
(End of clause)
252.237-7002 Award to Single Offeror.
As prescribed in 237.7004(a), use the following provision:
AWARD TO SINGLE OFFEROR (DEC 1991)
(a) Award shall be made to a single offeror.
(b) Offerors shall include unit prices for each item. Failure to include unit prices for each item will be cause for rejection of the entire offer.
(c) The Government will evaluate offers on the basis of the estimated quantities shown.
(d) Award will be made to that responsive, responsible offeror whose total aggregate offer is the lowest price to the Government.
(End of provision)
ALTERNATE I (DEC 1991)
As prescribed in 237.7004(a), substitute the following paragraph (d) for paragraph (d) of the basic provision:
(d) Award will be made to that responsive, responsible offeror whose total aggregate offer is in the best interest of the Government.
252.237-7003 Requirements.
As prescribed in 237.7004(b), use the following clause:
REQUIREMENTS (DEC 1991)
(a) Except as provided in paragraphs (c) and (d) of this clause, the Government will order from the Contractor all of its requirements in the area of performance for the supplies and services listed in the schedule of this contract.
(b) Each order will be issued as a delivery order and will list--
(1) The supplies or services being ordered;
(2) The quantities to be furnished;
(3) Delivery or performance dates;
(4) Place of delivery or performance;
(5) Packing and shipping instructions;
(6) The address to send invoices; and
(7) The funds from which payment will be made.
(c) The Government may elect not to order supplies and services under this contract in instances where the body is removed from the area for medical, scientific, or other reason.
(d) In an epidemic or other emergency, the contracting activity may obtain services beyond the capacity of the Contractor's facilities from other sources.
(e) Contracting Officers of the following activities may order services and supplies under this Contract--
_______________________________________
_______________________________________
_______________________________________
(End of clause)
252.237-7004 Area of Performance.
As prescribed in 237.7004(b), use the following clause:
AREA OF PERFORMANCE (DEC 1991)
(a) The area of performance is as specified in the contract.
(b) The Contractor shall take possession of the remains at the place where they are located, transport them to the Contractor's place of preparation, and later transport them to a place designated by the Contracting Officer.
(c) The Contractor will not be reimbursed for transportation when both the place where the remains were located and the delivery point are within the area of performance.
(d) If remains are located outside the area of performance, the Contracting Officer may place an order with the Contractor under this contract or may obtain the services elsewhere. If the Contracting Officer requires the Contractor to transport the remains into the area of performance, the Contractor shall be paid the amount per mile in the schedule for the number of miles required to transport the remains by a reasonable route from the point where located to the boundary of the area of performance.
(e) The Contracting Officer may require the Contractor to deliver remains to any point within 100 miles of the area of performance. In this case, the Contractor shall be paid the amount per mile in the schedule for the number of miles required to transport the remains by a reasonable route from the boundary of the area of performance to the delivery point.
(End of clause)
252.237-7005 Performance and Delivery.
As prescribed in 237.7004(b), use the following clause:
PERFORMANCE AND DELIVERY (DEC 1991)
(a) The Contractor shall furnish the material ordered and perform the services specified as promptly as possible but not later than 36 hours after receiving notification to remove the remains, excluding the time necessary for the Government to inspect and check results of preparation.
(b) The Government may, at no additional charge, require the Contractor to hold the remains for an additional period not to exceed 72 hours from the time the remains are casketed and final inspection completed.
(End of clause)
252.237-7006 Subcontracting.
As prescribed in 237.7004(b), use the following clause:
SUBCONTRACTING (DEC 1991)
The Contractor shall not subcontract any work under this contract without the Contracting Officer's written approval. This clause does not apply to contracts of employment between the Contractor and its personnel.
(End of clause)
252.237-7007 Termination for Default.
As prescribed in 237.7004(b), use the following clause:
TERMINATION FOR DEFAULT (DEC 1991)
(a) This clause supplements and is in addition to the Default clause of this contract.
(b) The Contracting Officer may terminate this contract for default by written notice without the ten day notice required by paragraph (a)(2) of the Default clause if--
(1) The Contractor, through circumstances reasonably within its control or that of its employees, performs any act under or in connection with this contract, or fails in the performance of any service under this contract and the act or failures may reasonably be considered to reflect discredit upon the Department of Defense in fulfilling its responsibility for proper care of remains;
(2) The Contractor, or its employees, solicits relatives or friends of the deceased to purchase supplies or services not under this contract. (The Contractor may furnish supplies or arrange for services not under this contract, only if representatives of the deceased voluntarily request, select, and pay for them.);
(3) The services or any part of the services are performed by anyone other than the Contractor or the Contractor's employees without the written authorization of the Contracting Officer;
(4) The Contractor refuses to perform the services required for any particular remains; or
(5) The Contractor mentions or otherwise uses this contract in its advertising in any way.
(End of clause)
252.237-7008 Group Interment.
As prescribed in 237.7004(b), use the following clause:
GROUP INTERMENT (DEC 1991)
The Government will pay the Contractor for supplies and services provided for remains interred as a group on the basis of the number of caskets furnished, rather than on the basis of the number of persons in the group.
(End of clause)
252.237-7009 Permits.
As prescribed in 237.7004(b), use the following clause:
PERMITS (DEC 1991)
The Contractor shall meet all State and local licensing requirements and obtain and furnish all necessary health department and shipping permits at no additional cost to the Government. The Contractor shall ensure that all necessary health department permits are in order for disposition of the remains.
(End of clause)
252.237-7010 Facility Requirements.
As prescribed in 237.7004(b), use the following clause:
FACILITY REQUIREMENTS (DEC 1991)
(a) The Contractor's building shall have complete facilities for maintaining the highest standards of solemnity, reverence, assistance to the family, and prescribed ceremonial services.
(b) The Contractor's preparation room shall be clean, sanitary, and adequately equipped.
(c) The Contractor shall have, or be able to get, catafalques, church trucks, and equipment for Protestant, Catholic, and Jewish services.
(d) The Contractor's funeral home, furnishings, grounds, and surrounding area shall present a clean and well-kept appearance.
(End of clause)
252.237-7011 Preparation History.
As prescribed in 237.7004(b), use the following clause:
PREPARATION HISTORY (DEC 1991)
For each body prepared, or for each casket handled in a group interment, the Contractor shall state briefly the results of the embalming process on a certificate furnished by the Contracting Officer.
(End of clause)
252.237-7012 Instruction to Offerors (Count-of-Articles).
As prescribed in 237.7102(a), use the following provision:
INSTRUCTION TO OFFERORS (COUNT-OF-ARTICLES) (DEC 1991)
(a) The Offeror shall include unit prices for each item in a lot. Unit prices shall include all costs to the Government of providing the services, including pickup and delivery charges.
(b) Failure to offer on any item in a lot shall be cause for rejection of the offer on that lot. The Contracting Officer will evaluate offers based on the estimated quantities in the solicitation.
(c) Award generally will be made to a single offeror for all lots. However, the Contracting Officer may award by individual lot when it is more advantageous to the Government.
(d) Prospective offerors may inspect the types of articles to be serviced. Contact the Contracting Officer to make inspection arrangements.
(End of provision)
252.237-7013 Instruction to Offerors (Bulk Weight).
As prescribed in 237.7102(b), use the following provision:
INSTRUCTION TO OFFERORS (BULK WEIGHT) (DEC 1991)
(a) Offers shall be submitted on a unit price per pound of serviced laundry. Unit prices shall include all costs to the Government of providing the service, including pickup and delivery charges.
(b) The Contracting Officer will evaluate bids based on the estimated pounds of serviced laundry stated in the solicitation.
(c) Award generally will be made to a single offeror for all lots. However, the Contracting Officer may award by individual lot when it is more advantageous to the Government.
(d) Prospective offerors may inspect the types of articles to be serviced. Contact the Contracting Officer to make inspection arrangements.
(End of provision)
252.237-7014 Loss or Damage (Count-of-Articles).
As prescribed in 237.7102(c), use the following clause:
LOSS OR DAMAGE (COUNT-OF-ARTICLES) (DEC 1991)
(a) The count-of-articles will be--
(1) The count of the Contracting Officer; or
(2) The count agreed upon as a result of a joint count by the Contractor and the Contracting Officer at the time of delivery to the Contractor.
(b) The Contractor shall--
(1) Be liable for return of the number and kind of articles furnished for service under this contract; and
(2) Shall indemnify the Government for any loss or damage to such articles.
(c) The Contractor shall pay to the Government the value of any lost or damaged property using Federal supply schedule price lists. If the property is not on these price lists, the Contracting Officer shall determine a fair and reasonable price.
(d) The Contracting Officer will allow credit for any depreciation in the value of the property at the time of loss or damage. The Contracting Officer and the Contractor shall mutually determine the amount of the allowable credit.
(e) Failure to agree upon the value of the property or on the amount of credit due will be treated as a dispute under the Disputes clause of this contract.
(f) In case of damage to any property that the Contracting Officer and the Contractor agree can be satisfactorily repaired, the Contractor may repair the property at its expense in a manner satisfactory to the Contracting Officer, rather than make payment under paragraph (c) of this clause.
(End of clause)
252.237-7015 Loss or Damage (Weight of Articles).
As prescribed in 237.7102(d), use the following clause:
LOSS OR DAMAGE (WEIGHT OF ARTICLES) (DEC 1991)
(a) The Contractor shall--
(1) Be liable for return of the articles furnished for service under this contract; and
(2) Indemnify the Government for any articles delivered to the Contractor for servicing under this contract that are lost or damaged, and in the opinion of the Contracting Officer, cannot be repaired satisfactorily.
(b) The Contractor shall pay to the Government _________ per pound for lost or damaged articles. The Contractor shall pay the Government only for losses which exceed the maximum weight loss in paragraph (e) of this clause.
(c) Failure to agree on the amount of credit due will be treated as a dispute under the Disputes clause of this contract.
(d) In the case of damage to any articles that the Contracting Officer and the Contractor agree can be satisfactorily repaired, the Contractor shall repair the articles at its expense in a manner satisfactory to the Contracting Officer.
(e) The maximum weight loss allowable in servicing the laundry is ______ percent of the weight recorded on delivery tickets when the laundry is picked up. Any weight loss in excess of this amount shall be subject to the loss provisions of this clause.
(End of clause)
252.237-7016 Delivery Tickets.
As prescribed in 237.7102(e), use the following clause:
DELIVERY TICKETS (DEC 1991)
(a) The Contractor shall complete delivery tickets in the number of copies required and in the form approved by the Contracting Officer, when it receives the articles to be serviced.
(b) The Contractor shall include one copy of each delivery ticket with its invoice for payment.
(End of clause)
ALTERNATE I (DEC 1991)
As prescribed 237.7102(e)(1), add the following paragraphs (c), (d), and (e) to the basic clause:
(c) Before the Contractor picks up articles for service under this contract, the Contracting Officer will ensure that--
(1) Each bag contains only articles within a single bag type as specified in the schedule; and
(2) Each bag is weighed and the weight and bag type are identified on the bag.
(d) The Contractor shall, at time of pickup--
(1) Verify the weight and bag type and record them on the delivery ticket; and
(2) Provide the Contracting Officer, or representative, a copy of the delivery ticket.
(e) At the time of delivery, the Contractor shall record the weight and bag type of serviced laundry on the delivery ticket. The Contracting Officer will ensure that this weight and bag type are verified at time of delivery.
ALTERNATE II (DEC 1991)
As prescribed in 237.7102(e)(2), add the following paragraphs (c), (d), and (e) to the basic clause--
(c) Before the Contractor picks up articles for service under this contract, the Contracting Officer will ensure that each bag is weighed and that the weight is identified on the bag.
(d) The Contractor, at time of pickup, shall verify and record the weight on the delivery ticket and shall provide the Contracting Officer, or representative, a copy of the delivery ticket.
(e) At the time of delivery, the Contractor shall record the weight of serviced laundry on the delivery ticket. The Contracting Officer will ensure that this weight is verified at time of delivery.
252.237-7017 Individual Laundry.
As prescribed in 237.7102(f), use the following clause:
INDIVIDUAL LAUNDRY (DEC 1991)
(a) The Contractor shall provide laundry service under this contract on both a unit bundle and on a piece-rate bundle basis for individual personnel.
(b) The total number of pieces listed in the "Estimated Quantity" column in the schedule is the estimated amount of individual laundry for this contract. The estimate is for information only and is not a representation of the amount of individual laundry to be ordered. Individuals may elect whether or not to use the laundry services.
(c) Charges for individual laundry will be on a per unit bundle or a piece-rate basis. The Contractor shall provide individual laundry bundle delivery tickets for use by the individuals in designating whether the laundry is a unit bundle or a piece-rate bundle. An individual laundry bundle will be accompanied by a delivery ticket listing the contents of the bundle.
(d) The maximum number of pieces to be allowed per bundle is as specified in the schedule and as follows--
(1) Bundle consisting of 26 pieces, including laundry bag. This bundle will contain approximately _______ pieces of outer garments which shall be starched and pressed. Outer garments include, but are not limited to, shirts, trousers, jackets, dresses, and coats.
(2) Bundle consisting of 13 pieces, including laundry bag. This bundle will contain approximately _____ pieces of outer garments which shall be starched and pressed. Outer garments include, but are not limited to, shirts, trousers, jackets, dresses, and coats.
(End of clause)
252.237-7018 Special Definitions of Government Property.
As prescribed in 237.7102(g), use the following clause:
SPECIAL DEFINITIONS OF GOVERNMENT PROPERTY (DEC 1991)
Articles delivered to the Contractor to be laundered or dry-cleaned, including any articles which are actually owned by individual Government personnel, are Government-owned property, not Government-furnished property. Government-owned property does not fall under the requirements of any Government-furnished property clause of this contract.
(End of clause)
252.237-7022 Services at Installations Being Closed.
As prescribed in 237.7402, use the following clause:
SERVICES AT INSTALLATIONS BEING CLOSED (MAY 1995)
Professional employees shall be used by the local government to provide services under this contract to the extent that professionals are available in the area under the jurisdiction of such government.
(End of clause)
252.239-7000 Protection Against Compromising Emanations.
As prescribed in 239.7102-3(a), use the following clause:
PROTECTION AGAINST COMPROMISING EMANATIONS (DEC 1991)
(a) The Contractor shall provide or use only computer equipment, as specified by the Government, that has been accredited to meet the appropriate security requirements of--
(1) The National Security Agency National TEMPEST Standards (NACSEM No. 5100 or NACSEM No. 5100A, Compromising Emanations Laboratory Test Standard, Electromagnetics (U)); or
(2) Other standard specified by this contract.
(b) Upon request of the Contracting Officer, the Contractor shall provide documentation supporting the accreditation.
(c) The Government may, as part of its inspection and acceptance, conduct additional tests to ensure that equipment or systems delivered under this contract satisfy the security standards specified. The Government may conduct additional tests--
(1) At the installation site or contractor's facility.
(2) Notwithstanding the existence of valid accreditations of equipment prior to the award of this contract.
(d) Unless otherwise provided in this contract under the Warranty of Supplies or Warranty of Systems and Equipment clauses, the Contractor shall correct or replace accepted equipment or systems found to be deficient within one year after proper installations.
(1) The correction or replacement shall be at no cost to the Government.
(2) Should a modification to the delivered equipment be made by the Contractor, the one year period applies to the modification upon its proper installation.
(3) This paragraph (d) applies regardless of f.o.b. point or the point of acceptance of the deficient equipment/systems.
(End of clause)
252.239-7002 Access.
As prescribed in 239.7411(a), use the following clause:
ACCESS (DEC 1991)
(a) Subject to military security regulations, the Government shall permit the Contractor access at all reasonable times to Contractor furnished facilities. However, if the Government is unable to permit access, the Government at its own risk and expense shall maintain these facilities and the Contractor shall not be responsible for the service
involving any of these facilities during the period of nonaccess, unless the service failure results from the Contractor's fault or negligence.
(b) During periods when the Government does not permit Contractor access, the Government will reimburse the Contractor at mutually acceptable rates for the loss of or damage to the equipment due to the fault or negligence of the Government. Failure to agree shall be a dispute concerning a question of fact within the meaning of the Disputes clause of this contract.
(End of clause)
252.239-7003 Facilities and Services to be Furnished--Common Carriers.
As prescribed in 239.7411(a), use the following clause:
FACILITIES AND SERVICES TO BE FURNISHED--COMMON CARRIERS (DEC 1991)
(a) The Contractor shall furnish any classes of services or facilities that the Contractor offers or furnishes under published tariffs.
(b) When it is mutually agreed that the Contractor shall furnish nontariffed services, the Government shall order them under the Ordering of Facilities and Services clause of this agreement/contract. These nontariffed services may include the engineering, installation, alteration, or maintenance of facilities owned either by the Contractor or the Government, wherever located.
(c) Upon request of the Contracting Officer, the Contractor agrees to interconnect its facilities with any Government-owned or furnished telecommunications equipment, facilities, or transmission media. The Contractor shall use established technical criteria for ensuring continuity of service and traffic without damage to or degradation of commercial facilities.
(End of clause)
252.239-7004 Orders for Facilities and Services--Common Carriers.
As prescribed in 239.7411(a), use the following clause:
ORDERS FOR FACILITIES AND SERVICES--COMMON CARRIERS (DEC 1991)
The Contractor shall acknowledge a communication service authorization or other type order for supplies and facilities by--
(a) Commencing performance; or
(b) Written acceptance by a duly authorized representative.
(End of clause)
252.239-7005 Rates, Charges, and Services--Common Carriers.
As prescribed in 239.7411(a), use the following clause:
RATES, CHARGES, AND SERVICES--COMMON CARRIERS (DEC 1991)
(a) Definition.
"Governmental regulatory body" means the Federal Communications Commission, any statewide regulatory body, or any body with less than statewide jurisdiction when operating under the state authority. Regulatory bodies whose decisions are not subject to judicial appeal and regulatory bodies which regulate a company owned by the same entity which creates the regulatory body are not "governmental regulatory bodies."
(b) The Contractor shall furnish the services and facilities under this agreement/contract in accordance with--
(1) All applicable tariffs, rates, charges, rules, regulations, or requirements;
(i) Lawfully established by a governmental regulatory body; and
(ii) Applicable to service and facilities furnished or offered by the Contractor to the general public or the Contractor's subscribers;
(2) Rates, terms, and conditions of service and facilities furnished or offered by the Contractor to the general public or the Contractor's subscribers; or
(3) Rates, terms, and conditions of service as may be agreed upon, subject, when appropriate, to jurisdiction of a governmental regulatory body.
(c) The Government shall not prepay for services.
(d) For nontariffed services, the Contractor shall charge the Government at the lowest rate and under the most favorable terms and conditions for similar service and facilities offered to any other customer.
(e) Recurring charges for services and facilities shall, in each case, start with the satisfactory beginning of service or provision of facilities or equipment and are payable monthly in arrears.
(f) Subject to the Cancellation or Termination of Orders--Common Carriers clause, of this agreement/contract, the Government may stop the use of any service or facilities furnished under this agreement/contract at any time. The Government shall pay the contractor all charges for services and facilities adjusted to the effective date of discontinuance.
(g) Expediting charges are costs necessary to get services earlier than normal. Examples are overtime pay or special shipment. When authorized, expediting charges shall be the additional costs incurred by the Contractor and the subcontractor. The Government shall pay expediting charges only when--
(1) They are provided for in the tariff established by a governmental regulatory body; or
(2) They are authorized in a communication service authorization or other contractual document.
(h) When services normally provided are technically unacceptable and the development, fabrication, or manufacture of special equipment is required, the Government may--
(1) Provide the equipment; or
(2) Direct the Contractor to acquire the equipment or facilities. If the Contractor acquires the equipment or facilities, the acquisition shall be competitive, if practicable.
(i) If at any time the Government defers or changes its orders for any of the services but does not cancel or terminate them, the amount paid or payable to the Contractor for the services deferred or modified shall be equitably adjusted under applicable tariffs filed by the Contractor with the regulatory commission in effect at the time of deferral or change. If no tariffs are in effect, the Government and the Contractor shall equitably adjust the rates by mutual agreement. Failure to agree on any adjustment shall be a dispute concerning a question of fact within the meaning of the Disputes clause of this contract.
(End of clause)
252.239-7006 Tariff Information.
As prescribed in 239.7411(a), use the following clause:
TARIFF INFORMATION (JUL 1997)
(a) The Contractor shall provide to the Contracting Officer--
(1) Upon request, a copy of the Contractor's current existing tariffs (including changes);
(2) Before filing, any application to a Federal, State, or any other regulatory agency for new or changes to, rates, charges, services, or regulations relating to any tariff or any of the facilities or services to be furnished solely or primarily to the Government; and
(3) Upon request, a copy of all information, material, and data developed or prepared in support of or in connection with an application under paragraph (a)(2) of this clause.
(b) The Contractor shall notify the Contracting Officer of any application that anyone other than the Contractor files with a governmental regulatory body which affects or will affect the rate or conditions of services under this agreement/contract. These requirements also apply to applications pending on the effective date of this agreement/contract.
(End of clause)
252.239-7007 Cancellation or Termination of Orders--Common Carriers.
As prescribed in 239.7411(a), use the following clause:
CANCELLATION OR TERMINATION OF ORDERS--COMMON CARRIERS
(JAN 1997)
(a) If the Government cancels any of the services ordered under this agreement/contract, before the services are made available to the Government, or terminates any of these services after they are made available to the Government, the Government shall reimburse the Contractor for the actual nonrecoverable costs the Contractor has reasonably incurred in providing facilities and equipment for which the Contractor has no foreseeable reuse.
(b) The amount of the Government's liability upon cancellation or termination of any of the servicesordered under this agreement/contract will be determined under applicable tariffs governing cancellation and termination charges which--
(1) Are filed by the Contractor with a governmental regulatory body, as defined in the Rates, Charges, and Services--Common Carriers clause of this agreement/contract;
(2) Are in effect on the date of termination; and
(3) Provide specific cancellation or termination charges for the facilities and equipment involved or show how to determine the charges.
(c) The amount of the Government's liability upon cancellation or termination of any of the services ordered under this agreement/contract, which are not subject to a governmental regulatory body, will be determined under a mutually agreed schedule in the communication services authorization (CSA) or other contractual document.
(d) If no applicable tariffs are in effect on the date of cancellation or termination or set forth in the applicable CSA or other contractual document, the Government's liability will be determined under the following settlement procedures--
(1) The Contractor agrees to provide the Contracting Officer, in such reasonable detail as the Contracting Officer may require, inventory schedules covering all items of property or facilities in the Contractor's possession, the cost of which is included in the Basic Cancellation or Termination Liability for which the Contractor has no foreseeable reuse.
(2) The Contractor shall use its best efforts to sell property or facilities when the Contractor has no foreseeable reuse or when the Government has not exercised its option to take title under the Title to Telecommunications Facilities and Equipment clause of this agreement/contract. The Contractor shall apply any proceeds of the sale to reduce any payments by the Government to the Contractor under a cancellation or termination settlement.
(3) The Contractor shall record actual nonrecoverable costs under established accounting procedures prescribed by the cognizant governmental regulatory authority or, if no such procedures have been prescribed, under generally accepted
accounting procedures applicable to the provision of telecommunication services for public use.
(4) The actual nonrecoverable costs are the installed costs of the facilities and equipment, less cost of reusable materials, and less net salvage value. Installed costs shall include the actual cost of equipment and materials specifically provided or used, plus the actual cost of installing (including engineering, labor, supervision, transportation, rights-of-way, and any other items which are chargeable to the capital accounts of the Contractor) less any costs the Government may have directly reimbursed the Contractor under the Special Construction and Equipment Charges clause of this agreement/contract. Deduct from the Contractor's installed cost, the net salvage value (salvage value less cost of removal). In determining net salvage value, give consideration to foreseeable reuse of the facilities and equipment by the Contractor. Make allowance for the cost of dismantling, removal, reconditioning, and disposal of the facilities and equipment when necessary either to the sale of facilities or their reuse by the Contractor in another location.
(5) The Basic Cancellation Liability is defined as the actual nonrecoverable cost which the Government shall reimburse the Contractor at the time services are cancelled. The Basic Termination Liability is defined as the nonrecoverable cost amortized in equal monthly increments throughout the liability period. Upon termination of services, the Government shall reimburse the Contractor for the nonrecoverable cost less such costs amortized to the date services are terminated. Establish the liability period as mutually agreed to but not to exceed ten years.
(6) When the Basic Cancellation or Termination Liability established by the CSA or other contractual document is based on estimated costs, the Contractor agrees to settle on the basis of actual cost at the time of termination or cancellation.
(7) The Contractor agrees that, if after settlement but within the termination liability period of the services, should the Contractor make reuse of equipment or facilities which were treated as nonreusable or nonsalvable in the settlement, the Contractor shall reimburse the Government for the value of the equipment or facilities.
(8) The Contractor agrees to exclude--
(i) Any costs which are not included in determining cancellation and termination charges under the Contractor's standard practices or procedures; and
(ii) Charges not ordinarily made by the Contractor for similar facilities or equipment, furnished under similar circumstances.
(e) The Government may, under such terms and conditions as it may prescribe, make partial payments and payments on account against costs incurred by the Contractor in connection with the cancelled or terminated portion of this agreement/contract. The Government may make these payments if in the opinion of the Contracting Officer the total of the payments is within the amount the Contractor is entitled. If the total of the payments is in excess of the amount finally agreed or determined to be due under this clause, the Contractor shall pay the excess to the Government upon demand.
(f) Failure to agree shall be a dispute concerning a question of fact within the meaning of the Disputes clause.
(End of clause)
252.239-7008 Reuse Arrangements.
As prescribed in 239.7411(a), use the following clause:
REUSE ARRANGEMENTS (DEC 1991)
(a) When feasible, the Contractor shall reuse cancelled or terminated facilities or equipment to minimize the charges to the Government.
(b) If at any time the Government requires that telecommunications facilities or equipment be relocated within the Contractor's service area, the Government shall have the option of paying the costs of relocating the facilities or equipment in lieu of paying any termination or cancellation charge under the Cancellation or Termination of Orders-Common Carriers clause of this agreement/contract. The Basic Termination Liability applicable to the facilities or equipment in their former location shall continue to apply to the facilities and equipment in their new location. Monthly rental charges shall continue to be paid during the period.
(c) When there is another requirement or foreseeable reuse in place of cancelled or terminated facilities or equipment, no charge shall apply and the Basic Cancellation or Termination Liability shall be appropriately reduced. When feasible, the Contractor shall promptly reuse discontinued channels or facilities, including equipment for which the Government is obligated to pay a minimum service charge.
(End of clause)
252.239-7009 Reserved.
252.239-7010 Reserved.
252.239-7011 Special Construction and Equipment Charges.
As prescribed in 239.7411(b), use the following clause:
SPECIAL CONSTRUCTION AND EQUIPMENT CHARGES (DEC 1991)
(a) The Government will not directly reimburse the Contractor for the cost of constructing any facilities or providing any equipment, unless the Contracting Officer authorizes direct reimbursement.
(b) If the Contractor stops using facilities or equipment which the Government has, in whole or part, directly reimbursed, the Contractor shall allow the Government credit for the value of the facilities or equipment attributable to the Government's contribution. Determine the value of the facilities and equipment on the basis of their foreseeable reuse by the Contractor at the time their use is discontinued or on the basis of the net salvage value, whichever is greater. The Contractor shall promptly pay the Government the amount of any credit.
(c) The amount of the direct special construction charge shall not exceed--
(1) The actual costs to the Contractor; and
(2) An amount properly allocable to the services to be provided to the Government.
(d) The amount of the direct special construction charge shall not include costs incurred by the Contractor which are covered by--
(1) A cancellation or termination liability; or
(2) The Contractor's recurring or other nonrecurring charges.
(e) The Contractor represents that--
(1) Recurring charges for the services, facilities, and equipment do not include in the rate base any costs that have been reimbursed by the Government to the Contractor; and
(2) Depreciation charges are based only on the cost of facilities and equipment paid by the Contractor and not reimbursed by the Government.
(f) If it becomes necessary for the Contractor to incur costs to replace any facilities or equipment, the Government shall assume those costs or reimburse the Contractor for replacement costs at mutually acceptable rates under the following circumstances--
(1) The Government paid direct special construction charges; or
(2) The Government reimbursed the Contractor for those facilities or equipment as a part of the recurring charges; and
(3) The need for replacement was due to circumstances beyond the control and without the fault of the Contractor.
(g) Before incurring any costs under paragraph (f) of this clause, the Government shall have the right to terminate the service under the Cancellation or Termination of Orders clause of this contract.
(End of clause)
252.239-7012 Title to Telecommunication Facilities and Equipment.
As prescribed in 239.7411(b), use the following clause:
TITLE TO TELECOMMUNICATION FACILITIES AND EQUIPMENT (DEC 1991)
(a) Title to all Contractor furnished facilities and equipment used under this agreement/contract shall remain with the Contractor even if the Government paid the costs of constructing the facilities or equipment. A mutually accepted communications service authorization may provide for exceptions.
(b) The Contractor shall operate and maintain all telecommunication facilities and equipment used under this agreement/contract whether the Government or the Contractor has title.
(End of clause)
252.239-7013 Obligation of the Government.
As prescribed in 239.7411(c), use the following clause:
OBLIGATION OF THE GOVERNMENT (DEC 1991)
(a) This basic agreement is not a contract. The Government incurs no monetary liability under this agreement.
(b) The Government incurs liability only upon issuance of a communications service authorization under the terms of this agreement.
(End of clause)
252.239-7014 Term of Agreement.
As prescribed in 239.7411(c), use the following clause:
TERM OF AGREEMENT (DEC 1991)
(a) This agreement shall continue in force from year to year, unless terminated by either party by 60 days written notice.
(b) Termination of this agreement does not cancel any communication service authorizations previously issued.
(End of clause)
252.239-7015 Continuation of Communication Service Authorizations.
As prescribed in 239.7411(c), use the following clause:
CONTINUATION OF COMMUNICATION SERVICE AUTHORIZATIONS (DEC 1991)
(a) All communication service authorizations (CSAs) issued by ____________________ under Basic Agreement Number __________, dated __________, are transferred to this basic agreement. The CSAs shall continue in full force and effect as though placed under this agreement.
(b) Communication service authorizations currently in effect which were issued by the activity in paragraph (a) of this clause under other agreements with the Contractor may also be transferred to this agreement.
(End of clause)
252.239-7016 Telecommunications Security Equipment, Devices, Techniques, and Services.
As prescribed in 239.7411(d), use the following clause:
TELECOMMUNICATIONS SECURITY EQUIPMENT, DEVICES, TECHNIQUES, AND
SERVICES (DEC 1991)
(a) Definitions.
As used in this clause--
(1) "Securing" means the application of Government-approved telecommunications security equipment, devices, techniques, or services to contractor telecommunications systems.
(2) "Sensitive information" means any information the loss, misuse, or modification of which, or unauthorized access to, could adversely affect the national interest or the conduct of Federal programs, or the privacy to which individuals are entitled under 5 U.S.C. 552a (the Privacy Act), but which has not been specifically authorized under criteria established by an Executive Order or Act of Congress to be kept secret in the interest of national defense or foreign policy.
(3) "Telecommunications systems" means voice, record, and data communications, including management information systems and local data networks that connect to external transmission media, when employed by Government agencies, contractors, and subcontractors to transmit--
(i) Classified or sensitive information;
(ii) Matters involving intelligence activities, cryptologic activities related to national security, the command and control of military forces, or equipment that is an integral part of a weapon or weapons system; or
(iii) Matters critical to the direct fulfillment of military or intelligence missions.
(b) This solicitation/contract identifies classified or sensitive information that requires securing during telecommunications and requires the Contractor to secure telecommunications systems. The Contractor agrees to secure information and systems at the following location: (Identify the location.)
(c) To provide the security, the Contractor shall use Government-approved telecommunications equipment, devices, techniques, or services. A list of the approved equipment, etc. may be obtained from (identify where list can be obtained). Equipment, devices, techniques, or services used by the Contractor must be compatible or interoperable with (list and identify the location of any telecommunications security equipment, device, technique, or service currently being used by the technical or
requirements organization or other offices with which the Contractor must communicate).
(d) Except as may be provided elsewhere in this contract, the Contractor shall furnish all telecommunications security equipment, devices, techniques, or services necessary to perform this contract. The Contractor must meet ownership eligibility conditions for communications security equipment designated as controlled cryptographic items.
(e) The Contractor agrees to include this clause, including this paragraph (e), in all subcontracts which require securing telecommunications.
(End of clause)
252.241-7000 Superseding Contract.
As prescribed in 241.501-70(a), use the following clause:
SUPERSEDING CONTRACT (DEC 1991)
This contract supersedes contract No. _________________, dated _____________ which provided similar services. Any capital credits accrued to the Government, any remaining credits due to the Government under the connection charge, or any termination liability are transferred to this contract, as follows:
CAPITAL CREDITS: (List years and accrued credits by year and separate delivery points.)
OUTSTANDING CONNECTION CHARGE CREDITS:
(List by month and year the amount credited and show the remaining amount of outstanding credits due the Government.)
TERMINATION LIABILITY CHARGES:
(List by month and year the amount of monthly facility cost recovered and show the remaining amount of facility cost to be recovered.)
(End of clause)
252.241-7001 Government Access.
As prescribed in 241.501-70(b), use the following clause:
GOVERNMENT ACCESS (DEC 1991)
Authorized representatives of the Government may have access to the Contractor's on-base facilities upon reasonable notice or in case of emergency.
(End of clause)
252.242-7000 Postaward Conference.
As prescribed in 242.570, use the following clause:
POSTAWARD CONFERENCE (DEC 1991)
The Contractor agrees to attend any postaward conference convened by the contracting activity or contract administration office in accordance with Federal Acquisition Regulation Subpart 42.5.
(End of clause)
252.242-7003 Application for U.S. Government Shipping Documentation/Instructions.
As prescribed in 242.1404-2-70, use the following clause:
APPLICATION FOR U.S. GOVERNMENT SHIPPING
DOCUMENTATION/INSTRUCTIONS (DEC 1991)
The Contractor shall request Government bills of lading by submitting a DD Form 1659, Application for U.S. Government Shipping Documentation/Instructions, to the--
(a) Transportation Officer, if named in the contract schedule; or
(b) Contract administration office.
(End of clause)
252.242-7004 Material Management and Accounting System.
As prescribed in 242.7206, use the following clause:
MATERIAL MANAGEMENT AND ACCOUNTING SYSTEM (SEP 1996)
(a) Definitions.
As used in this clause--
(1) "Material management and accounting system" means the Contractor's system or systems for planning, controlling, and accounting for the acquisition, use, issuing, and disposition of material. Material management and accounting systems may be manual or automated. They may be stand-alone systems or they may be integrated with planning, engineering, estimating, purchasing, inventory, accounting, or other systems.
(2) "Valid time-phased requirements" means material which is--
(i) Needed to fulfill the production plan, including reasonable quantities for scrap, shrinkage, yield, etc.; and
(ii) Charged/billed to contracts or other cost objectives in a manner consistent with the need to fulfill the production plan.
(3) "Contractor" means a business unit as defined in section 31.001 of the Federal Acquisition Regulation.
(b) General.
The Contractor agrees to--
(1) Maintain a material management and accounting system (MMAS) that--
(i) Reasonably forecasts material requirements;
(ii) Ensures that costs of purchased and fabricated material charged or allocated to a contract are based on valid time-phased requirements; and
(iii) Maintains a consistent, equitable, and unbiased logic for costing of material transactions.
(2) Assess its MMAS and take reasonable action to comply with the MMAS standards in paragraph (f) of this clause.
(c) Applicability.
Paragraphs (d) and (e) of this clause apply only if the Contractor--
(1) Is a large business; and
(2) Received, in its fiscal year preceding award of this contract, Department of Defense prime contracts or subcontracts, and their modifications totaling--
(i) $70 million or more; or
(ii) $30 million or more (but less than $70 million), and is notified in writing by the Contracting Officer that paragraphs (d) and (e) apply.
(d) Disclosure, demonstration, and maintenance requirements.
(1) The Contractor shall--
(i) Disclose its MMAS to the Administrative Contracting Officer in writing; and
(ii) If requested by the Administrative Contracting Officer, demonstrate that the MMAS conforms to the standards in paragraph (f) of this clause.
(2) An MMAS disclosure is adequate when the Contractor has provided the Administrative Contracting Officer with documentation which--
(i) Accurately describes those policies, procedures, and practices that the Contractor currently uses in its MMAS; and
(ii) Provides sufficient detail for the Government to reasonably make an informed judgment regarding the adequacy of the MMAS.
(3) An MMAS demonstration is adequate when the Contractor has provided the Administrative Contracting Officer--
(i) Sufficient evidence to demonstrate the degree of compliance of its MMAS with the standards at paragraph (f) of this clause; and
(ii) Identification of any significant deficiencies, the estimated cost impact of the deficiency, and a comprehensive corrective action plan.
(4) The Contractor shall disclose significant changes in its MMAS to the Administrative Contracting Officer within 30 days of implementation.
(5) If the contractor desires the Government to protect such information as privileged or confidential, the Contractor shall--
(i) Notify the Government representative to whom the information is submitted, i.e., the ACO, or the auditor; and
(ii) Ensure an appropriate legend is on the face of the document(s) at the time of submission.
(e) Deficiencies.
(1) If the Contractor receives a report which identifies deficiencies in its MMAS, the Contractor agrees to respond as follows--
(i) If the Contractor agrees with the report findings and recommendations, the Contractor shall--
(A) Within 30 days, state its agreement in writing; and
(B) Within 60 days, correct the deficiencies or submit a corrective action plan.
(ii) If the Contractor disagrees with the report findings and recommendations, the Contractor shall, within 30 days, state its rationale for each area of disagreement.
(2) The Administrative Contracting Officer shall evaluate the Contractor's response and notify the Contractor of the--
(i) Determination concerning remaining deficiencies;
(ii) Adequacy of any proposed or completed corrective action plan; and
(iii) Need for any new or revised corrective action plan.
(f) MMAS standards.
MMAS systems shall have adequate internal accounting and administrative controls to ensure system and data integrity, and comply with the following:
(1) Have an adequate system description including policies, procedures, and operating instructions which comply with the Federal Acquisition Regulation and Defense FAR Supplement;
(2) Ensure that costs of purchased and fabricated material charged or allocated to a contract are based on valid time-phased requirements as impacted by minimum/economic order quantity restrictions--
(i) A 98 percent bill of material accuracy and a 95 percent master production schedule accuracy are desirable as a goal in order to ensure that requirements are both valid and appropriately time-phased.
(ii) If systems have accuracy levels below these, the Contractor shall demonstrate that--
(A) There is no material harm to the Government due to lower accuracy levels; and
(B) The cost to meet the accuracy goals is excessive in relation to the impact on the Government;
(3) Provide a mechanism to identify, report, and resolve system control weaknesses and manual override. Systems should identify operational exceptions such as excess/residual inventory as soon as known;
(4) Provide audit trails and maintain records (manual and those in machine readable form) necessary to evaluate system logic and to verify through transaction testing that the system is operating as desired;
(5) Establish and maintain adequate levels of record accuracy, and include reconciliation of recorded inventory quantities to physical inventory by part number on a periodic basis. A 95 percent accuracy level is desirable. If systems have an accuracy level below 95 percent, the Contractor shall demonstrate that--
(i) There is no material harm to the Government due to lower accuracy levels; and
(ii) The cost to meet the accuracy goal is excessive in relation to the impact on the Government;
(6) Provide detailed descriptions of circumstances which will result in manual or system generated transfers of parts;
(7) Maintain a consistent, equitable, and unbiased logic for costing of material transactions--
(i) The Contractor shall maintain and disclose written policies describing the transfer methodology and the loan/pay-back technique.
(ii) The costing methodology may be standard or actual cost, or any of the inventory costing methods in 48 CFR 9904.411-50(b). Consistency shall be maintained across all contract and customer types, and from accounting period to accounting period for initial charging and transfer charging.
(iii) The system should transfer parts and associated costs within the same billing period. In the few circumstances where this may not be appropriate, the Contractor may accomplish the material transaction using a loan/pay-back technique. The "loan/pay-back technique" means that the physical part is moved temporarily from the contract, but the cost of the part remains on the contract. The procedures for the loan/pay-back technique must be approved by the Administrative Contracting Officer. When the technique is used, the Contractor shall have controls to ensure--
(A) Parts are paid back expeditiously;
(B) Procedures and controls are in place to correct any overbilling that might occur;
(C) Monthly, at a minimum, identification of the borrowing contract and the date the part was borrowed; and
(D) The cost of the replacement part is charged to the borrowing contract;
(8) Where allocations from common inventory accounts are used, have controls (in addition to those in paragraphs (b)(2) and (7) of this clause) to ensure that--
(i) Reallocations and any credit due are processed no less frequently than the routine billing cycle;
(ii) Inventories retained for requirements which are not under contract are not allocated to contracts; and
(iii) Algorithms are maintained based on valid and current data;
(9) Notwithstanding FAR 45.505-3(f)(1)(ii), have adequate controls to ensure that physically commingled inventories that may include material for which costs are charged or allocated to fixed-price, cost-reimbursement, and commercial contracts do not compromise requirements of any of the standards in paragraphs (f)(1) through (8) of this clause. Government furnished material shall not be--
(i) Physically commingled with other material; or
(ii) Used on commercial work; and
(10) Be subjected to periodic internal audits to ensure compliance with established policies and procedures.
(End of clause)
252.242-7005 Cost/Schedule Status Report.
As prescribed in 242.1107-70(a), use the following clause:
COST/SCHEDULE STATUS REPORT (MAR 1998)
(a) The Contractor shall use management procedures in the performance of this contract that provide for--
(1) Planning and control of costs;
(2) Measurement of performance (value for completed tasks); and
(3) Generation of timely and reliable information for the cost/schedule status report (C/SSR).
(b) As a minimum, these procedures must provide for--
(1) Establishing the time-phased budgeted cost of work scheduled (including work authorization, budgeting, and scheduling), the budgeted cost for work performed, the actual cost of work performed, the budget at completion, the estimate at completion, and provisions for subcontractor performance measurement and reporting;
(2) Applying all direct and indirect costs and provisions for use and control of management reserve and undistributed budget;
(3) Incorporating changes to the contract budget base for both Government directed changes and internal replanning;
(4) Establishing constraints to preclude subjective adjustment of data to ensure performance measurement remains realistic. The total allocated budget may exceed the contract budget base only after consultation with the Contracting Officer. For cost-reimbursement contracts, the contract budget base shall exclude changes for cost growth increase, other than for authorized changes to the contract scope; and
(5) Establishing the capability to accurately identify and explain significant cost and schedule variances, both on a cumulative basis and projected at completion basis.
(c) The Contractor may use a cost/schedule control system that has been recognized by the cognizant Administrative Contracting Officer (ACO) as complying with the earned value management system criteria provided in DoD 5000.2-R, Mandatory Procedures for Major Defense Acquisition Programs (MDAPS) and Major Automated Information System (MAIS) Acquisition Programs.
(d) The Government may require an integrated baseline reviews. Such reviews shall be scheduled as early as practicable and should be conducted within 180 calendar days after (1) contract award, (2) the exercise of significant contract options, or (3) the incorporation of major modifications. The objective of the integrated baseline review is for the Government and the Contractor to jointly assess areas, such as the Contractor's planning, to ensure complete coverage of the statement of work, logical scheduling of the work activities, adequate resourcing, and identification of inherent risks. The Contractor shall provide necessary documents and data which describe the methods of planning, control and data generation in actual operation and satisfy the requirements of paragraph (a) of this clause.
(e) The Contractor shall provide access to all pertinent records, company procedures, and data requested by the ACO, or authorized representative, to--
(1) Show proper implementation of the procedures generating the cost and schedule information being used to satisfy the C/SSR contractual data requirements to the Government; and
(2) Ensure continuing application of the accepted company procedures in satisfying the C/SSR data item.
(f) The Contractor shall submit any substantive changes to the procedures and their impact to the ACO for review.
(g) The Contractor shall require a subcontractor to furnish C/SSR in each case where the subcontract is other than firm-fixed-price, is 12 months or more in duration, and has critical or significant tasks related to the prime contract. Critical or significant tasks shall be defined by mutual agreement between the Government and Contractor. Each subcontractor's reported cost and schedule information shall be incorporated into the Contractor's C/SSR.
(End of clause)
252.242-7006 Cost/Schedule Status Report Plans.
As prescribed in 242.1107-70(b), use the following provision:
COST/SCHEDULE STATUS REPORT PLANS (MAR 1997)
(a) The offeror shall submit a written summary of the management procedures it will establish, maintain, and use in the performance of any resultant contract to comply with the requirements of the clause at 252.242-7005, Cost/Schedule Status Report.
(b) If the offeror proposes to use a cost/schedule control system that has been recognized by the cognizant Administrative Contracting Officer as complying with the earned value management system criteria of DoD 5000.2-R, Mandatory Procedures for Major Defense Acquisition Programs (MDAPS) and Major Automated Information System (MAIS) Acquisition Programs, the offeror may submit a copy of the documentation of such recognition instead of the written summary required by paragraph (a) of this provision.
(End of provision)
[per DFARS Case 95-D708 and D.L. 97-015, dated 29 July 97]
252.243-7000 Engineering Change Proposals.
As prescribed in 243.205-70, use the following clause:
ENGINEERING CHANGE PROPOSALS ([JUL 1997])
(a) The Contracting Officer may ask the Contractor to prepare engineering change proposals for engineering changes within the scope of this contract. Upon receipt of a written request from the Contracting Officer, the Contractor shall prepare and submit an engineering change proposal in accordance with the instructions of MIL-STD-973, in effect on the date of contract award.
(b) The Contractor may initiate engineering change proposals. Contractor initiated engineering change proposals shall include a "not to exceed" price* or a "not less than" price* and delivery adjustment. If the Contracting Officer orders the engineering change, the increase shall not exceed nor the decrease be less than the "not to exceed" or "not less than" amounts**.
(c) When the price** of the engineering change is $500,000 or more, the Contractor shall submit
(1) A completed SF 1411, Contract Pricing Proposal Cover Sheet, [(Cost or Pricing Data Required)] and
(2) At the time of agreement on price*, [or on another date agreed upon between the parties] a signed Certificate of Current Cost or Pricing Data.
(End of clause)
ALTERNATE I ([MAY 1994])
As prescribed in 243.205-70, add the following paragraph (d) to the basic clause:
(d) If the price* of a Contractor initiated engineering change is __________*** or less, the change, if ordered, shall be made at no adjustment in the contract price*.
* Use a term suitable for the type of contract
** In cost reimbursement type contracts, replace this sentence with the following: "Change orders issued under the Changes clause of this contract are not an authorization to exceed the estimated cost in the schedule unless there is a statement in the change order, or other contract modification, increasing the estimated cost."
*** Insert a percentage of the contract price or a dollar amount
252.243-7001 Pricing of Contract Modifications.
As prescribed in 243.205-71, use the following clause:
PRICING OF CONTRACT MODIFICATIONS (DEC 1991)
When costs are a factor in any price adjustment under this contract, the contract cost principles and procedures in FAR Part 31 and DFARS Part 231, in effect on the date of this contract, apply.
(End of clause)
252.243-7002 Requests for Equitable Adjustment.
As prescribed in 243.205-72, use the following clause:
REQUESTS FOR EQUITABLE ADJUSTMENT (MAR 1998)
(a) The amount of any request for equitable adjustment to contract terms shall accurately reflect the contract adjustment for which the Contractor believes the Government is liable. The request shall include only costs for performing the change, and shall not include any costs that already have been reimbursed or that have been separately claimed. All indirect costs included in the request shall be properly allocable to the change in accordance with applicable acquisition regulations.
(b)In accordance with 10 U.S.C. 2410(a), any request for equitable adjustment to contract terms thatexceeds the simplified acquisition threshold shall bear, at the time of submission, the following certificate executed by an individual authorized to certify the request on behalf of the Contractor:
I certify that the request is made in good faith, and that the supporting data are accurate and complete to the best of may knowledge and belief.
----------------------------------------------------------------------
(Official's Name)
----------------------------------------------------------------------
(Title)
(c) The certification in paragraph (b) of this clause requires full disclosure of all relevant facts, including--
(1) Cost or pricing data if required in accordance with subsection 15.403-4 of the Federal Acquisition Regulation; and
(2) ) Information other than cost or pricing data, in accordance with subsection 15.403-3 of the FAR, including actual cost data and data to support any estimated costs, even if cost or pricing data
are not required.
(d) The certification requirement in paragraph (b) of this clause does not apply to----
(1) Requests for routine contract payments; for example, requests for payment for accepted supplies and services, routine vouchers under a cost-reimbursement type contract, or progress payment invoices; or
(2) Final adjustment under an incentive provision of the contract.
(End of clause)
252.244-7000 Subcontracts for Commercial Items and Commercial Components (DoD Contracts).
As prescribed in 244.403, use the following clause:
SUBCONTRACTS FOR COMMERCIAL ITEMS AND COMMERCIAL COMPONENTS
(DOD CONTRACTS) (FEB 1997)
In addition to the clauses listed in paragraph (c) of the Subcontracts for Commercial Items and Commercial Components clause of this contract, the Contractor shall include the terms of the following clause, if applicable, in subcontracts for commercial items or commercial components, awarded at any tier under this contract:
252.225-7014, Preference for Domestic Specialty Metals, Alternate I (10 U.S.C. 2241 note).
(End of clause)
252.245-7000 Government-Furnished Mapping, Charting, and Geodesy Property.
As prescribed in 245.310-70, use the following clause:
GOVERNMENT-FURNISHED MAPPING, CHARTING, AND GEODESY PROPERTY
(DEC 1991)
(a) Definition.
"Mapping, charting, and geodesy (MC&G) property" means geodetic, geomagnetic, gravimetric, aeronautical, topographic, hydrographic, cultural, and toponymic data presented in the form of topographic, planimetric, relief, or thematic maps and graphics; nautical and aeronautical charts and publications; and in simulated, photographic, digital, or computerized formats.
(b) The Contractor shall not duplicate, copy, or otherwise reproduce MC&G property for purposes other than those necessary for performance of the contract.
(c) At the completion of performance of the contract, the Contractor, as directed by the Contracting Officer, shall either destroy or return to the Government all Government-furnished MC&G property not consumed in the performance of this contract.
(End of clause)
252.245-7001 Reports of Government Property.
As prescribed in 245.505-14(a), use the following clause:
REPORTS OF GOVERNMENT PROPERTY (MAY 1994)
(a) The Contractor shall provide an annual report--
(1) For all DoD property for which the Contractor is accountable under the contract;
(2) Prepared in accordance with the requirements of DD Form 1662, DoD Property in the Custody of Contractors, or approved substitute, including instructions on the reverse side of the form;
(3) In duplicate, to the cognizant Government property administrator, no later than October 31.
(b) The Contractor is responsible for reporting all Government property accountable to this contract, including that at subcontractor and alternate locations.
(End of clause)
252.246-7000 Material Inspection and Receiving Report.
As prescribed in 246.370, use the following clause:
MATERIAL INSPECTION AND RECEIVING REPORT (DEC 1991)
At the time of each delivery of supplies or services under this contract, the Contractor shall prepare and furnish to the Government a material inspection and receiving report in the manner and to the extent required by Appendix F, Material Inspection and Receiving Report, of the Defense FAR Supplement.
(End of clause)
252.246-7001 Warranty of Data.
As prescribed in 246.710(1), use the following clause:
WARRANTY OF DATA (DEC 1991)
(a) Definition.
"Technical data" has the same meaning as given in the clause in this contract entitled, Rights in Technical Data and Computer Software.
(b) Warranty.
Notwithstanding inspection and acceptance by the Government of technical data furnished under this contract, and notwithstanding any provision of this contract concerning the conclusiveness of acceptance, the Contractor warrants that all technical data delivered under this contract will at the time of delivery conform with the specifications and all other requirements of this contract. The warranty period shall extend for three years after completion of the delivery of the line item of data (as identified in DD Form 1423, Contract Data Requirements List) of which the data forms a part; or any longer period specified in the contract.
(c) Contractor Notification.
The Contractor agrees to notify the Contracting Officer in writing immediately of any breach of the above warranty which the Contractor discovers within the warranty period.
(d) Remedies.
The following remedies shall apply to all breaches of the warranty, whether the Contractor notifies the Contracting Officer in accordance with paragraph (c) of this clause or if the Government notifies the Contractor of the breach in writing within the warranty period:
(1) Within a reasonable time after such notification, the Contracting Officer may--
(i) By written notice, direct the Contractor to correct or replace at the Contractor's expense the nonconforming technical data promptly; or
(ii) If the Contracting Officer determines that the Government no longer has a requirement for correction or replacement of the data, or that the data can be more reasonably corrected by the Government, inform the Contractor by written
notice that the Government elects a price or fee adjustment instead of correction or replacement.
(2) If the Contractor refuses or fails to comply with a direction under paragraph (d)(1)(i) of this clause, the Contracting Officer may, within a reasonable time of the refusal or failure--
(i) By contract or otherwise, correct or replace the nonconforming technical data and charge the cost to the Contractor; or
(ii) Elect a price or fee adjustment instead of correction or replacement.
(3) The remedies in this clause represent the only way to enforce the Government's rights under this clause.
(e) The provisions of this clause apply anew to that portion of any corrected or replaced technical data furnished to the Government under paragraph (d)(1)(i) of this clause.
(End of clause)
ALTERNATE I (DEC 1991)
As prescribed in 246.710(2), substitute the following for paragraph (d)(3) of the basic clause:
(3) In addition to the remedies under paragraphs (d)(1) and (2) of this clause, the Contractor shall be liable to the Government for all damages to the Government as a result of the breach of warranty.
(i) The additional liability under paragraph (d)(3) of this clause shall not exceed 75 percent of the target profit.
(ii) If the breach of the warranty is with respect to the data supplied by an equipment subcontractor, the limit of the Contractor's liability shall be--
(A) Ten percent of the total subcontract price in a firm fixed price subcontract;
(B) Seventy-five percent of the total subcontract fee in a cost-plus-fixed-fee or cost-plus-award-fee subcontract; or
(C) Seventy-five percent of the total subcontract target profit or fee in a fixed-price or cost-plus-incentive-type contract.
(iii) Damages due the Government under the provisions of this warranty are not an allowable cost.
(iv) The additional liability in paragraph (d)(3) of this clause shall not apply--
(A) With respect to the requirements for product drawings and associated lists, special inspection equipment (SIE) drawings and associated lists, special tooling drawings and associated lists, SIE operating instructions, SIE descriptive documentation, and SIE calibration procedures under MIL-T-31000, General Specification for Technical Data Packages, Amendment 1, or MIL-T-47500,
General Specification for Technical Data Packages, Supp 1, or drawings and associated lists under level 2 or level 3 of MIL-D-1000A, Engineering and Associated Data Drawings, or DoD-D-1000B, Engineering and Associated Lists Drawings (Inactive for New Design) Amendment 4, Notice 1; or drawings and associated lists under category E or I of MIL-D-1000, Engineering and Associated Lists Drawings, provided that the data furnished by the Contractor was current, accurate at time of submission, and did not involve a significant omission of data necessary to comply with the requirements; or
(B) To defects the Contractor discovers and gives written notice to the Government before the Government discovers the error.
ALTERNATE II (DEC 1991)
As prescribed at 246.710(3), substitute the following paragraph for paragraph (d)(3) of the basic clause:
(3) In addition to the remedies under paragraphs (d)(1) and (2) of this clause, the Contractor shall be liable to the Government for all damages to the Government as a result of the breach of the warranty.
(i) The additional liability under paragraph (d)(3) of this clause shall not exceed ten percent of the total contract price.
(ii) If the breach of the warranty is with respect to the data supplied by an equipment subcontractor, the limit of the Contractor's liability shall be--
(A) Ten percent of the total subcontract price in a firm fixed-price subcontract;
(B) Seventy-five percent of the total subcontract fee in a cost-plus-fixed-fee or cost-plus-award-fee subcontract; or
(C) Seventy-five percent of the total subcontract target profit or fee in a fixed-price or cost-plus-incentive-type contract.
(iii) The additional liability specified in paragraph (d)(3) of this clause shall not apply--
(A) With respect to the requirements for product drawings and associated lists, special inspection equipment (SIE) drawings and associated lists, special tooling drawings and associated lists, SIE operating instructions, SIE descriptive documentation, and SIE calibration procedures under MIL-T-31000, General Specification for Technical Data Packages, Amendment 1, or MIL-T-47500, General Specification for Technical Data Packages, Supp 1, or drawings and associated lists under level 2 or level 3 of MIL-D-1000A, Engineering and Associated Data Drawings, or DoD-D-1000B, Engineering and Associated Lists Drawings (Inactive for New Design) Amendment 4, Notice 1; or drawings and associated lists under category E or I of MIL-D-1000, Engineering and Associated Lists Drawings, provided that the data furnished by the Contractor was current, accurate at time of submission, and did not involve a significant omission of data necessary to comply with the requirements; or
(B) To defects the Contractor discovers and gives written notice to the Government before the Government discovers the error.
252.246-7002 Warranty of Construction (Germany).
As prescribed in 246.710(4), use the following clause:
WARRANTY OF CONSTRUCTION (GERMANY) (JUN 1997)
(a) In addition to any other representations in this contract, the Contractor warrants, except as provided in paragraph (j) of this clause, that the work performed under this contract conforms to the contract requirements and is free of any defect of equipment, material, or design furnished or workmanship performed by the Contractor or any subcontractor or supplier at any tier.
(b) This warranty shall continue for the period(s) specified in Section 13, VOB, Part B, commencing from the date of final acceptance of the work under this contract. If the Government takes possession of any part of the work before final acceptance, this warranty shall continue for the period(s) specified in Section 13, VOB, Part B, from the date the Government takes possession.
(c) The Contractor shall remedy, at the Contractor's expense, any failure to conform or any defect. In addition, the Contractor shall remedy, at the Contractor's expense, any damage to Government-owned or -controlled real or personal property when that damage is the result of--
(1) The Contractor's failure to conform to contract requirements; or
(2) Any defect of equipment, material, or design furnished or workmanship performed.
(d) The Contractor shall restore any work damaged in fulfilling the terms and conditions of this clause.
(e) The Contracting Officer shall notify the Contractor, in writing, within a reasonable period of time after the discovery of any failure, defect, or damage.
(f) If the Contractor fails to remedy any failure, defect, or damage within a reasonable period of time after receipt of notice, the Government shall have the right to replace, repair, or otherwise remedy the failure, defect, or damage at the Contractor's expense.
(g) With respect to all warranties, express or implied, from subcontractors, manufacturers, or suppliers for work performed and materials furnished under this contract, the Contractor shall--
(1) Obtain all warranties that would be given in normal commercial practice;
(2) Require all warranties to be executed in writing, for the benefit of the Government, if directed by the Contracting Officer; and
(3) Enforce all warranties for the benefit of the Government as directed by the Contracting Officer.
(h) In the event the Contractor's warranty under paragraph (b) of this clause has expired, the Government may bring suit at its expense to enforce a subcontractor's, manufacturer's, or supplier's warranty.
(i) Unless a defect is caused by the Contractor's negligence, or the negligence of a subcontractor or supplier at any tier, the Contractor shall not be liable for the repair of any defects of material or design furnished by the Government or for the repair of any damage resulting from any defeat in Government-furnished material or design.
(j) This warranty shall not limit the Government's right under the Inspection clause of this contract, with respect to latent defects, gross mistakes, or fraud.
(End of clause)
252.247-7000 Hardship Conditions.
As prescribed in 247.270-7(a), use the following clause:
HARDSHIP CONDITIONS (DEC 1991)
(a) The Contractor shall promptly notify the Contracting Officer of unusual conditions associated with loading or unloading a particular cargo, which will work a hardship on the Contractor if loaded or unloaded at the basic commodity rates.
(b) Unusual conditions include, but are not limited to, inaccessibility of place of stowage to the ship's cargo gear, side port operations, and small quantities of cargo in any one hatch.
(c) The Contracting Officer shall investigate the conditions promptly after receiving the notice. If the Contracting Officer finds that the conditions are unusual and do materially affect the cost of loading or unloading, the Contracting Officer will authorize payment at the extra-labor rates set forth in the schedule of rates of this contract.
(End of clause)
252.247-7001 Price Adjustment.
As prescribed in 247.270-7(b), use the following clause:
PRICE ADJUSTMENT (JAN 1997)
(a) The Contractor warrants that the prices set forth in this contract--
(1) Are based upon the wage rates, allowances, and conditions set forth in the collective bargaining agreements between the Contractor and its employees, in effect as of (insert date), and which are generally applicable to the ports where work under this contract is performed;
(2) Apply to operations by the Contractor on non-Government work as well as under this contract; and
(3) Do not include any allowance for cost increases that may--
(i) Become effective under the terms of the collective bargaining agreements after the date in paragraph (a)(1) of this clause; or
(ii) Result from modification of the collective bargaining agreements after the date in paragraph (a)(1).
(b) The Contractor shall notify the Contracting Officer within 60 days of receipt of notice of any changes (increase or decrease) in the wage rates, allowances, fringe benefits, and conditions that apply to its direct labor employees, if the changes--
(1) Are pursuant to the provisions of the collective bargaining agreements; or
(2) Are a result of effective modifications to the agreements; and
(3) Would change the Contractor's costs to perform this contract.
(c) The Contractor shall include in its notification--
(1) A proposal for an adjustment in the contract commodity, activity, or work-hour prices; and
(2) Data, in such form as the Contracting Officer may require, explaining the--
(i) Causes;
(ii) Effective date; and
(iii) Amount of the increase or decrease in the Contractor's proposal for the adjustment.
(d) Promptly upon receipt of any notice and data described in paragraph (c), the Contractor and the Contracting Officer shall negotiate an adjustment in the existing contract commodity, activity, or man-hour prices. However, no upward adjustment of the existing commodity, activity, or work-hour prices will be allowed in excess of ________ percent per year, except as provided in the Changes clause of this contract.
(1) Changes in the contract prices shall reflect, in addition to the direct and variable indirect labor costs, the associated changes in the costs for social security, unemployment compensation, taxes, and workman's compensation insurance.
(2) There will be no adjustment to increase the dollar amount allowances of the Contractor's profit.
(3) The agreed upon adjustment, its effective date, and the revised commodity, activity, or work-hour prices for services set forth in the schedule of rates, shall be incorporated in the contract by supplemental agreement.
(e) There will be no adjustment for any changes in the quantities of labor that the Contractor contemplated for each specific commodity, except as may result from modifications of the collective bargaining agreements. For the purpose of administering this clause, the Contractor shall submit to the Contracting Officer, within five days after award, the accounting data and computations the Contractor used to determine its estimated efficiency rate in the performance of this contract, to include the Contractor's computation of the costs apportioned for each rate set forth in the schedule of rates.
(f) Failure of the parties to agree to an adjustment under this clause will be deemed to be a dispute concerning a question of fact within the meaning of the Disputes clause of this contract. The Contractor shall continue performance pending agreement on, or determination of, any such adjustment and its effective date.
(g) The Contractor shall include with the final invoice submitted under this contract a statement that the Contractor has not experienced a decrease in rates of pay for labor, or that the Contractor has given notice of all such decreases in compliance with paragraph (b) of this clause.
(End of clause)
252.247-7002 Revision of Prices.
As prescribed in 247.270-7(c), use the following clause:
REVISION OF PRICES (DEC 1991)
(a) Definition.
"Wage adjustment," as used in this clause, means a change in the wages, salaries, or other terms or conditions of employment which--
(1) Substantially affects the cost of performing this contract;
(2) Is generally applicable to the port where work under this contract is performed; and
(3) Applies to operations by the Contractor on non-Government work as well as to work under this contract.
(b) General.
The prices fixed in this contract are based on wages and working conditions established by collective bargaining agreements, and on other conditions in effect on the date of this contract. The Contracting Officer and the Contractor may agree to increase or decrease such prices in accordance with this clause.
(c) Demand for negotiation.
(1) At any time, subject to the limitations specified in this clause, either the Contracting Officer or the Contractor may deliver to the other a written demand that the parties negotiate to revise the prices under this contract.
(2) No such demand shall be made before 90 days after the date of this contract, and thereafter neither party shall make a demand having an effective date within 90 days of the effective date of any prior demand. However, this limitation does not apply to a wage adjustment during the 90 day period.
(3) Each demand shall specify a date (the same as or subsequent to the date of the delivery of the demand) as to when the revised prices shall be effective. This date is the effective date of the price revision.
(i) If the Contractor makes a demand under this clause, the demand shall briefly state the basis of the demand and include the statements and data referred to in paragraph (d) of this clause.
(ii) If the demand is made by the Contracting Officer, the Contractor shall furnish the statements and data within 30 days of the delivery of the demand.
(d) Submission of data.
At the times specified in paragraphs (c)(3)(i) and (ii) of this clause, the Contractor shall submit--
(1) A new estimate and breakdown of the unit cost and the proposed prices for the services the Contractor will perform under this contract after the effective date of the price revision, itemized to be consistent with the original negotiations of the contract;
(2) An explanation of the difference between the original (or last preceding) estimate and the new estimate;
(3) Such relevant operating data, cost records, overhead absorption reports, and accounting statements as may be of assistance in determining the accuracy and reliability of the new estimate;
(4) A statement of the actual costs of performance under this contract to the extent that they are available at the time of the negotiation of the revision of prices under this clause; and
(5) Any other relevant data usually furnished in the case of negotiations of prices under a new contract. The Government may examine and audit the Contractor's accounts, records, and books as the Contracting Officer considers necessary.
(e) Negotiations.
(1) Upon the filing of the statements and data required by paragraph (d) of this clause, the Contractor and the Contracting Officer shall negotiate promptly in good faith to agree upon prices for services the Contractor will perform on and after the effective date of the price revision.
(2) If the prices in this contract were established by competitive negotiation, they shall not be revised upward unless justified by changes in conditions occurring after the contract was awarded.
(3) The agreement reached after each negotiation will be incorporated into the contract by supplemental agreement.
(f) Disagreements.
If, within 30 days after the date on which statements and data are required pursuant to paragraph (c) of this clause, the Contracting Officer and the Contractor fail to agree to revised prices, the failure to agree shall be resolved in accordance with the Disputes clause of this contract. The prices fixed by the Contracting Officer will remain in effect for the balance of the contract, and the Contractor shall continue performance.
(g) Retroactive changes in wages or working conditions.
(1) In the event of a retroactive wage adjustment, the Contractor or the Contracting Officer may request an equitable adjustment in the prices in this contract.
(2) The Contractor shall request a price adjustment within 30 days of any retroactive wage adjustment. The Contractor shall support its request with--
(i) An estimate of the changes in cost resulting from the retroactive wage adjustment;
(ii) Complete information upon which the estimate is based; and
(iii) A certified copy of the collective bargaining agreement, arbitration award, or other document evidencing the retroactive wage adjustment.
(3) Subject to the limitation in paragraph (g)(2) of this clause as to the time of making a request, completion or termination of this contract shall not affect the Contractor's right under paragraph (g) of this clause.
(4) In case of disagreement concerning any question of fact, including whether any adjustment should be made, or the amount of such adjustment, the disagreement will be resolved in accordance with the Disputes clause of this contract.
(5) The Contractor shall notify the Contracting Officer in writing of any request by or on behalf of the employees of the Contractor which may result in a retroactive wage adjustment. The notice shall be given within 20 days after the request, or if the request occurs before contract execution, at the time of execution.
(End of clause)
252.247-7003 Termination.
As prescribed in 247.270-7(d), use the following clause:
TERMINATION (DEC 1991)
(a) Either the Contracting Officer or the Contractor may terminate this contract at any time upon 60 days (or such other number of days provided in the Schedule) written notice to the other. Termination under this clause does not affect any obligation or liability that may have accrued before the termination.
(b) Upon termination of this contract under either paragraph (a) or the Default clause of this contract, the Government shall pay the Contractor any amount due for services performed under this contract to the date of termination.
(c) In the event of partial termination, payment for services furnished under the portion of the contract not terminated shall be in accordance with the terms of this contract.
(d) Any payments under this clause shall be without prejudice to any Government claim against the Contractor. The Government has the right to offset any such claims against any such payment.
(End of clause)
252.247-7004 Indefinite Quantities--Fixed Charges.
As prescribed in 247.270-7(e), use the following clause:
INDEFINITE QUANTITIES--FIXED CHARGES (DEC 1991)
The amount of work and services the Contractor may be ordered to furnish shall be the amount the Contracting Officer may order from time to time. In any event, the Government is obligated to compensate the Contractor the monthly lump sum specified in the Schedule entitled Fixed Charges, for each month or portion of a month the contract remains in effect.
(End of clause)
252.247-7005 Indefinite Quantities--No Fixed Charges.
As prescribed in 247.270-7(f), use the following clause:
INDEFINITE QUANTITIES-NO FIXED CHARGES (DEC 1991)
The amount of work and services the Contractor may be ordered to furnish shall be the amount the Contracting Officer may order from time to time. In any event, the Government shall order, during the term of this contract, work or services having an aggregate value of not less than $100.
(End of clause)
252.247-7006 Removal of Contractor's Employees.
As prescribed in 247.270-7(g), use the following clause:
REMOVAL OF CONTRACTOR'S EMPLOYEES (DEC 1991)
The Contractor agrees to use only experienced, responsible, and capable people to perform the work. The Contracting Officer may require that the Contractor remove from the job, employees who endanger persons or property, or whose continued employment under this contract is inconsistent with the interest of military security.
(End of clause)
252.247-7007 Liability and Insurance.
As prescribed in 247.270-7(h), use the following clause:
LIABILITY AND INSURANCE (DEC 1991)
(a) The Contractor shall be--
(1) Liable to the Government for loss or damage to property, real and personal, owned by the Government or for which the Government is liable;
(2) Responsible for, and hold the Government harmless from, loss of or damage to property not included in paragraph (a)(1); and
(3) Responsible for, and hold the Government harmless from, bodily injury and death of persons, resulting either in whole or in part from the negligence or fault of the Contractor, its officers, agents, or employees in the performance of work under this contract.
(b) For the purpose of this clause, all cargo loaded or unloaded under this contract is agreed to be property owned by the Government or property for which the Government is liable.
(1) The amount of the loss or damage as determined by the Contracting Officer will be withheld from payments otherwise due the Contractor.
(2) Determination of liability and responsibility by the Contracting Officer will constitute questions of fact within the meaning of the Disputes clause of this contract.
(c) The general liability and responsibility of the Contractor under this clause are subject only to the following specific limitations. The Contractor is not responsible to the Government for, and does not agree to hold the Government harmless from, loss or damage to property or bodily injury to or death of persons if--
(1) The unseaworthiness of the vessel, or failure or defect of the gear or equipment furnished by the Government, contributed jointly with the fault or negligence of the Contractor in causing such damage, injury, or death; and
(i) The Contractor, his officers, agents, and employees, by the exercise of due diligence, could not have discovered such unseaworthiness or defect of gear or equipment; or
(ii) Through the exercise of due diligence could not otherwise have avoided such damage, injury, or death.
(2) The damage, injury, or death resulted solely from an act or omission of the Government or its employees, or resulted solely from proper compliance by officers, agents, or employees of the Contractor with specific directions of the Contracting Officer.
(d) The Contractor shall at its own expense acquire and maintain insurance during the term of this contract, as follows--
(1) Standard workmen's compensation and employer's liability insurance and longshoremen's and harbor workers' compensation insurance, or such of these as may be proper under applicable state or Federal statutes.
(i) The Contractor may, with the prior approval of the Contracting Officer, be a self-insurer against the risk of this paragraph (d)(1).
(ii) This approval will be given upon receipt of satisfactory evidence that the Contractor has qualified as a self-insurer under applicable provision of law.
(2) Bodily injury liability insurance in an amount of not less than $300,000 on account of any one occurrence.
(3) Property damage liability insurance (which shall include any and all property, whether or not in the care, custody, or control of the Contractor) in an amount of not less than $300,000 for any one occurrence.
(e) Each policy shall provide, by appropriate endorsement or otherwise, that cancellation or material change in the policy shall not be effective until after a 30 day written notice is furnished the Contracting Officer.
(f) The Contractor shall furnish the Contracting Officer with satisfactory evidence of the insurance required in paragraph (d) before performance of any work under this contract.
(g) The Contractor shall, at its own cost and expense, defend any suits, demands, claims, or actions, in which the United States might be named as a co-defendant of the Contractor, resulting from the Contractor's performance of work under this contract. This requirement is without regard to whether such suit, demand, claim, or action was the result of the Contractor's negligence. The Government shall have the right to appear in such suit, participate in defense, and take such actions as may be necessary to protect the interest of the United States.
(h) It is expressly agreed that the provisions in paragraphs (d) through (g) of this clause shall not in any manner limit the liability or extend the liability of the Contractor as provided in paragraphs (a) through (c) of this clause.
(i) The Contractor shall--
(1) Equitably reimburse the Government if the Contractor is indemnified, reimbursed, or relieved of any loss or damage to Government property;
(2) Do nothing to prevent the Government's right to recover against third parties for any such loss or damage; and
(3) Furnish the Government, upon the request of the Contracting Officer, at the Government's expense, all reasonable assistance and cooperation in obtaining recovery, including the prosecution of suit and the execution of instruments of assignment in favor of the Government.
(End of clause)
252.247-7008 Evaluation of Bids.
As prescribed in 247.271-4(a), use the following provision:
EVALUATION OF BIDS (DEC 1991)
(a) The Government will evaluate bids on the basis of total aggregate price of all items within an area of performance under a given schedule.
(1) An offeror must bid on all items within a specified area of performance for a given schedule. Failure to do so shall be cause for rejection of the bid for that area of performance of that Schedule. If there is to be no charge for an item, an entry such as "No Charge," or the letters "N/C" or "0," must be made in the unit price column of the Schedule.
(2) Any bid which stipulates minimum charges or graduated prices for any or all items shall be rejected for that area of performance within the Schedule.
(b) In addition to other factors, the Contracting Officer will evaluate bids on the basis of advantages or disadvantages to the Government that might result from making more than one award (multiple awards).
(1) In making this evaluation, the Contracting Officer will assume that the administrative cost to the Government for issuing and administering each contract awarded under this solicitation would be $500.
(2) Individual awards will be for the items and combinations of items which result in the lowest aggregate cost to the Government, including the administrative costs in paragraph (b)(1).
(c) When drayage is necessary for the accomplishment of any item in the bid schedule, the Offeror shall include in the unit price any costs for bridge or ferry tolls, road use charges or similar expenses.
(d) Unless otherwise provided in this solicitation, the Offeror shall state prices in amounts per hundred pounds on gross or net weights, whichever is applicable. All charges shall be subject to, and payable on, the basis of 100 pounds minimum weight for unaccompanied baggage and a 500 pound minimum weight for household goods, net or gross weight, whichever is applicable.
(End of provision)
ALTERNATE I (DEC 1991)
As prescribed in 247.271-4(a), add the following paragraph (e) to the basic clause:
(e) Notwithstanding paragraph (a), when "additional services" are added to any schedule, such "additional services" items will not be considered in the evaluation of bids.
252.247-7009 Award.
As prescribed in 247.271-4(b), use the following provision:
AWARD (DEC 1991)
(a) The Government shall make award by area to the qualified low bidder under each of the specified schedules to the extent of the bidder's stated guaranteed daily capability as provided in this solicitation and the Estimated Quantities Schedule.
(b) The Government reserves the right to make an award of two or more areas to a single bidder if such award will result in an overall lower estimated cost to the Government.
(c) The Government also reserves the right to award additional contracts, as a result of this solicitation, to the extent necessary to meet its estimated maximum daily requirements.
(End of provision)
252.247-7010 Scope of Contract.
As prescribed in 247.271-4(d), use the following clause:
SCOPE OF CONTRACT (DEC 1991)
(a) The Contractor shall furnish services and materials for the preparation of personal property (including servicing of appliances) for movement or storage, drayage and related services. Unless otherwise indicated in the Schedule, the Contractor shall---
(1) Furnish all materials except Government-owned containers (Federal Specification PPP-B-580), all equipment, plant and labor; and
(2) Perform all work in accomplishing containerization of personal property for overseas or domestic movement or storage, including--
(i) Stenciling;
(ii) Cooperage;
(iii) Drayage of personal property in connection with other services;
(iv) Decontainerization of inbound shipments of personal property; and
(v) The handling of shipments into and out of the Contractor's facility.
(b) Excluded from the scope of this contract is the furnishing of like services or materials which are provided incident to complete movement of personal property when purchased by the Through Government Bill of Lading or other method/mode of shipment or property to be moved under the Do-It-Yourself moving program or otherwise moved by the owner.
(End of clause)
252.247-7011 Period of Contract.
As prescribed in 247.271-4(e), use the following clause:
PERIOD OF CONTRACT (DEC 1991)
(a) This contract begins January 1, 19__, and ends December 31, 19__, both dates inclusive. Any work ordered before, and not completed by the expiration date shall be governed by the terms of this contract.
(b) The Government will not place new orders under this contract that require that performance commence more than 15 days after the expiration date.
(c) The Government may place orders required for the completion of services (for shipments in the Contractor's possession) for 180 days past the expiration date.
(End of clause)
252.247-7012 Ordering Limitation.
As prescribed in 247.271-4(g), use the following clause:
ORDERING LIMITATION (DEC 1991)
(a) The Government will place orders for items of supplies or services with the contractor awarded the initial contract to the extent of the contractor's guaranteed maximum daily capability. However, the contractor may accept an additional quantity in excess of its capability to accommodate a single order.
(b) Orders for additional requirements will be placed in a like manner with the next higher contractor to the extent of its guaranteed maximum daily capability. The Government will repeat this procedure until its total daily requirement is fulfilled.
(c) In the event the procedure in paragraphs (a) and (b) does not fulfill the Government's total daily requirement, the Government may offer additional orders under the contract to contractors without regard to their guaranteed maximum daily capability.
(End of clause)
252.247-7013 Contract Areas of Performance.
As prescribed in 247.271-4(h), use the following clause and complete paragraph (b) by defining each area of performance as required (see 247.271-2(b)):
CONTRACT AREAS OF PERFORMANCE (DEC 1991)
(a) The Government will consider all areas of performance described in paragraph (b) as including the Contractor's facility, regardless of geographical location.
(b) The Contractor shall perform services within the following defined areas of performance, which include terminals identified therein: ________________________.
(End of clause)
252.247-7014 Demurrage.
As prescribed in 247.271-4(i), use the following clause:
DEMURRAGE (DEC 1991)
The Contractor shall be liable for all demurrage, detention, or other charges as a result of its failure to load or unload trucks, freight cars, freight terminals, vessel piers, or warehouses within the free time allowed under applicable rules and tariffs.
(End of clause)
252.247-7015 Requirements.
As prescribed in 216.505(d), substitute the following paragraph (f) for paragraph (f) of the basic clause at FAR 52.216-21.
ALTERNATE I (DEC 1991)
(f) Orders issued during the effective period of this contract and not completed within that time shall be completed by the Contractor within the time specified in the order. The rights and obligations of the Contractor and the Government for those orders shall be governed by the terms of this contract to the same extent as if completed during the effective period.
252.247-7016 Contractor Liability for Loss or Damage.
As prescribed in 247.271-4(k), use the following clause:
CONTRACTOR LIABILITY FOR LOSS OR DAMAGE (DEC 1991)
(a) Definitions.
As used in this clause--
"Article" means any shipping piece or package and its contents.
"Schedule" means the level of service for which specific types of traffic apply as described in DoD 4500.34-R, Personal Property Traffic Management Regulation.
(b) For shipments picked up under Schedule I, Outbound Services, or delivered under Schedule II, Inbound Services--
(1) If notified within one year after delivery that the owner has discovered loss or damage to the owner's property, the Contractor agrees to indemnify the Government for loss or damage to the property which arises from any cause while it is in the Contractor's possession. The Contractor's liability is--
(i) Non-negligent damage.
For any cause, other than the Contractor's negligence, indemnification shall be at a rate not to exceed sixty cents per pound per article.
(ii) Negligent damage.
When loss or damage is caused by the negligence of the Contractor, the liability is for the full cost of satisfactory repair or for the current replacement value of the article.
(2) The Contractor shall make prompt payment to the owner of the property for any loss or damage for which the Contractor is liable.
(3) In the absence of evidence or supporting documentation which places liability on a carrier or another contractor, the destination contractor shall be presumed to be liable for the loss or damage, if timely notified.
(c) For shipments picked up or delivered under Schedule III, Intra-City and Intra-Area--
(1) If notified of loss or damage within 75 days following delivery, the Contractor agrees to indemnify the Government for loss or damage to the owner's property.
(2) The Contractor's liability shall be for the full cost of satisfactory repair, or for the current replacement value of the article less depreciation, up to a maximum liability of $1.25 per pound times the net weight of the shipment.
(3) The Contractor has full salvage rights to damaged items which are not repairable and for which the Government has received compensation at replacement value.
(End of clause)
252.247-7017 Erroneous Shipments.
As prescribed in 247.271-4(l), use the following clause:
ERRONEOUS SHIPMENTS (DEC 1991)
(a) The Contractor shall--
(1) Forward to the rightful owner, articles of personal property inadvertently packed with goods of other than the rightful owner.
(2) Ensure that all shipments are stenciled correctly. When a shipment is sent to an incorrect address due to incorrect stenciling by the Contractor, the Contractor shall forward it to its rightful owner.
(3) Deliver to the designated air or surface terminal all pieces of a shipment, in one lot, at the same time. The Contractor shall forward to the owner any pieces of one lot not included in delivery, and remaining at its facility after departure of the original shipment.
(b) Forwarding under paragraph (a) shall be--
(1) With the least possible delay;
(2) By a mode of transportation selected by the Contracting Officer; and
(3) At the Contractor's expense.
(End of clause)
252.247-7018 Subcontracting.
As prescribed in 247.271-4(m), use the following clause:
SUBCONTRACTING (DEC 1991)
The Contractor shall not subcontract without the prior written approval of the Contracting Officer. The facilities of any approved subcontractor shall meet the minimum standards required by this contract.
(End of clause)
252.247-7019 Drayage.
As prescribed in 247.271-4(n), use the following clause:
DRAYAGE (DEC 1991)
(a) Drayage included for Schedule I, Outbound, applies in those instances when a shipment requires drayage to an air, water, or other terminal for onward movement after completion of shipment preparation by the Contractor. Drayage not included is when it is being moved from a residence or other pickup point to the Contractor's warehouse for onward movement by another freight company, carrier, etc.
(b) Drayage included for Schedule II, Inbound, applies in those instances when shipment is delivered, as ordered, from a destination Contractor's facility or other destination point to the final delivery point. Drayage not included is when shipment or partial removal of items from shipment is performed and prepared for member's pickup at destination delivery point.
(c) The Contractor will reposition empty Government containers--
(1) Within the area of performance;
(2) As directed by the Contracting Officer; and
(3) At no additional cost to the Government
(End of clause)
252.247-7020 Additional Services.
As prescribed in 247.271-4(o), use the following clause:
ADDITIONAL SERVICES (DEC 1991)
The Contractor shall provide additional services not included in the schedule, but required for satisfactory completion of the services ordered under this contract, at a rate comparable to the rate for like services as contained in tenders on file with the Interstate Commerce Commission, state regulatory bodies, or the Military Traffic Management Command, in effect at time of order.
(End of clause)
252.247-7021 Returnable Cylinders and Other Containers.
As prescribed in 247.305-70, use the following clause:
RETURNABLE CONTAINERS OTHER THAN CYLINDERS (MAY 1995)
(a) "Returnable container," as used in this clause, includes reels, spools, drums, carboys, liquid petroleum gas containers, and other returnable containers when the Contractor retains title to the container.
(b) Returnable containers shall remain the Contractor's property but shall be loaned without charge to the Government for a period of ______(insert number of days) calendar days after delivery to the f.o.b. point specified in the contract. Beginning with the first day after the loan period expires, to and including the day the containers are delivered to the Contractor
(if the original delivery was f.o.b. origin) or are delivered or are made available for delivery to the Contractor's designated carrier (if the original delivery was f.o.b. destination), the Government shall pay the Contractor a rental of $______ (insert dollar amount for rental) per container per day, computed separately for containers for each type, size, and capacity, and for each point of delivery named in the contract. No rental shall accrue to the Contractor in excess of the replacement value per container specified in paragraph (c) of this clause.
(c) For each container lost or damaged beyond repair while in the Government's possession, the Government shall pay to the Contractor the replacement value as follows, less the allocable rental paid for that container:
(Insert the container types, sizes, capacities, and associated replacement values.)
These containers shall become Government property.
(d) If any lost container is located within (insert number of days) calendar days after payment by the Government, it may be returned to the Contractor by the Government, and the Contractor shall pay to the Government the replacement value, less rental computed in accordance with paragraph (b) of this clause, beginning at the expiration of the loan period specified in paragraph (b) of this clause, and continuing to the date on which the container was delivered to the Contractor.
(End of clause)
252.247-7022 Representation of Extent of Transportation by Sea.
As prescribed in 247.573(a), use the following provision:
REPRESENTATION OF EXTENT OF TRANSPORTATION BY SEA (AUG 1992)
(a) The Offeror shall indicate by checking the appropriate blank in paragraph (b) of this provision whether transportation of supplies by sea is anticipated under the resultant contract. The term "supplies" is defined in the Transportation of Supplies by Sea clause of this solicitation.
(b) Representation.
The Offeror represents that it--
_____ Does anticipate that supplies will be transported by sea in the performance of any contract or subcontract resulting from this solicitation.
_____ Does not anticipate that supplies will be transported by sea in the performance of any contract or subcontract resulting from this solicitation.
(c) Any contract resulting from this solicitation will include the Transportation of Supplies by Sea clause. If the Offeror represents that it will not use ocean transportation, the resulting contract will also include the Defense FAR Supplement clause at 252.247-7024, Notification of Transportation of Supplies by Sea.
(End of provision)
252.247-7023 Transportation of Supplies by Sea.
As prescribed in 247.573(b), use the following clause:
TRANSPORTATION OF SUPPLIES BY SEA (NOV 1995)
(a) Definitions.
As used in this clause--
(1) "Components" means articles, materials, and supplies incorporated directly into end products at any level of manufacture, fabrication, or assembly by the Contractor or any subcontractor.
(2) "Department of Defense" (DoD) means the Army, Navy, Air Force, Marine Corps, and defense agencies.
(3) "Foreign flag vessel" means any vessel that is not a U.S.-flag vessel.
(4) "Ocean transportation" means any transportation aboard a ship, vessel, boat, barge, or ferry through international waters.
(5) "Subcontractor" means a supplier, materialman, distributor, or vendor at any level below the prime contractor whose contractual obligation to perform results from, or is conditioned upon, award of the prime contract and who is performing any part of the work or other requirement of the prime contract. However, effective May 1, 1996, the term does not include a supplier, materialman, distributor, or vendor of commercial items or commercial components.
(6) "Supplies" means all property, except land and interests in land, that is clearly identifiable for eventual use by or owned by the DoD at the time of transportation by sea.
(i) An item is clearly identifiable for eventual use by the DoD if, for example, the contract documentation contains a reference to a DoD contract number or a military destination.
(ii) "Supplies" includes (but is not limited to) public works; buildings and facilities; ships; floating equipment and vessels of every character, type, and description, with parts, subassemblies, accessories, and equipment; machine tools; material; equipment; stores of all kinds; end items; construction materials; and components of the foregoing.
(7) "U.S.-flag vessel" means a vessel of the United States or belonging to the United States, including any vessel registered or having national status under the laws of the United States.
(b) The Contractor shall employ U.S.-flag vessels in the transportation by sea of any supplies to be furnished in the performance of this contract. The Contractor and its subcontractors may request that the Contracting Officer authorize shipment in foreign-flag vessels, or designate available U.S.-flag vessels, if the Contractor or a subcontractor believes that--
(1) U.S.-flag vessels are not available for timely shipment;
(2) The freight charges are inordinately excessive or unreasonable; or
(3) Freight charges are higher than charges to private persons for transportation of like goods.
(c) The Contractor must submit any request for use of other than U.S.-flag vessels in writing to the Contracting Officer at least 45 days prior to the sailing date necessary to meet its delivery schedules. The Contracting Officer will process requests submitted after such date(s) as expeditiously as possible, but the Contracting Officer's failure to grant approvals to meet the shipper's sailing date will not of itself constitute a compensable delay under this or any other clause of this contract. Requests shall contain at a minimum--
(1) Type, weight, and cube of cargo;
(2) Required shipping date;
(3) Special handling and discharge requirements;
(4) Loading and discharge points;
(5) Name of shipper and consignee;
(6) Prime contract number; and
(7) A documented description of efforts made to secure U.S.-flag vessels, including points of contact (with names and telephone numbers) with at least two U.S.-flag carriers contacted. Copies of telephone notes, telegraphic and facsimile message or letters will be sufficient for this purpose.
(d) The Contractor shall, within 30 days after each shipment covered by this clause, provide the Contracting Officer and the Division of National Cargo, Office of Market Development, Maritime Administration, U.S. Department of Transportation, Washington, DC 20590, one copy of the rated on board vessel operating carrier's ocean bill of lading, which shall contain the following information--
(1) Prime contract number;
(2) Name of vessel;
(3) Vessel flag of registry;
(4) Date of loading;
(5) Port of loading;
(6) Port of final discharge;
(7) Description of commodity;
(8) Gross weight in pounds and cubic feet if available;
(9) Total ocean freight in U.S. dollars; and
(10) Name of the steamship company.
(e) The Contractor agrees to provide with its final invoice under this contract a representation that to the best of its knowledge and belief--
(1) No ocean transportation was used in the performance of this contract;
(2) Ocean transportation was used and only U.S.-flag vessels were used for all ocean shipments under the contract;
(3) Ocean transportation was used, and the Contractor had the written consent of the Contracting Officer for all non-U.S.-flag ocean transportation; or
(4) Ocean transportation was used and some or all of the shipments were made on non-U.S.-flag vessels without the written consent of the Contracting Officer. The Contractor shall describe these shipments in the following format:
ITEM CONTRACT
DESCRIPTION LINE ITEMS QUANTITY
TOTAL
(f) If the final invoice does not include the required representation, the Government will reject and return it to the Contractor as an improper invoice for the purposes of the Prompt Payment clause of this contract. In the event there has been unauthorized use of non-U.S.-flag vessels in the performance of this contract, the Contracting Officer is entitled to equitably adjust the contract, based on the unauthorized use.
(g) The Contractor shall include this clause, including this paragraph (g) in all subcontracts under this contract, which exceed the simplified acquisition threshold in Part 13 of the Federal Acquisition Regulation.
(End of clause)
252.247-7024 Notification of Transportation of Supplies by Sea.
As prescribed in 247.573(c), use the following clause:
NOTIFICATION OF TRANSPORTATION OF SUPPLIES BY SEA (NOV 1995)
(a) The Contractor has indicated by the response to the solicitation provision, Representation of Extent of Transportation by Sea, that it did not anticipate transporting by sea any supplies. If, however, after the award of this contract, the Contractor learns that supplies, as defined in the Transportation of Supplies by Sea clause of this contract, will be transported by sea, the Contractor--
(1) Shall notify the Contracting Officer of that fact; and
(2) Hereby agrees to comply with all the terms and conditions of the Transportation of Supplies by Sea clause of this contract.
(b) The Contractor shall include this clause, including this paragraph (b), revised as necessary to reflect the relationship of the contracting parties, in all subcontracts hereunder except (effective May 1, 1996) subcontracts for the acquisition of commercial items or components.
(End of clause)
252.247-7025 Reflagging or Repair Work.
As prescribed in 247.573(d), use the following clause:
REFLAGGING OR REPAIR WORK (MAY 1995)
(a) Definition.
Reflagging or repair work, as used in this clause, means work performed on a vessel--
(1) To enable the vessel to meet applicable standards to become a vessel of the United States; or
(2) To convert the vessel to a more useful military configuration.
(b) Requirement. Unless the Secretary of Defense waives this requirement, reflagging or repair work shall be performed in the United States or its territories, if the reflagging or repair work is performed--
(1) On a vessel for which the Contractor submitted an offer in response to the solicitation for this contract; and
(2) Prior to acceptance of the vessel by the Government.
(End of clause)
252.248-7000 Preparation of Value Engineering Change Proposals.
As prescribed in 248.270, use the following clause:
PREPARATION OF VALUE ENGINEERING CHANGE PROPOSALS (MAY 1994)
Prepare value engineering change proposals, for submission pursuant to the value engineering clause of this contract, in the format prescribed by the version of MIL-STD-973 in effect on the date of contract award.
(End of clause)
252.249-7000 Special Termination Costs.
As prescribed in 249.501-70, use the following clause:
SPECIAL TERMINATION COSTS (DEC 1991)
(a) Definition.
"Special termination costs," as used in this clause, means only costs in the following categories as defined in Part 31 of the Federal Acquisition Regulation (FAR)--
(1) Severance pay, as provided in FAR 31.205-6(g);
(2) Reasonable costs continuing after termination, as provided in FAR 31.205-42(b);
(3) Settlement of expenses, as provided in FAR 31.205-42(g);
(4) Costs of return of field service personnel from sites, as provided in FAR 31.205-35 and FAR 31.205-46(c); and
(5) Costs in paragraphs (a)(1), (2), (3), and (4) of this clause to which subcontractors may be entitled in the event of termination.
(b) Notwithstanding the Limitation of Cost/Limitation of Funds clause of this contract, the Contractor shall not include in its estimate of costs incurred or to be incurred, any amount for special termination costs to which the Contractor may be entitled in the event this contract is terminated for the convenience of the Government.
(c) The Contractor agrees to perform this contract in such a manner that the Contractor's claim for special termination costs will not exceed $________. The Government shall have no obligation to pay the Contractor any amount for the special termination costs in excess of this amount.
(d) In the event of termination for the convenience of the Government, this clause shall not be construed as affecting the allowability of special termination costs in any manner other than limiting the maximum amount of the costs payable by the Government.
(e) This clause shall remain in full force and effect until this contract is fully funded.
(End of clause)
252.249-7002 Notification of Anticipated Contract Termination or Reduction.
As prescribed in 249.7003(c), use the following clause:
NOTIFICATION OF ANTICIPATED CONTRACT TERMINATION OR REDUCTION
(DEC 1996)
(a) Definitions.
"Major defense program" means a program that is carried out to produce or acquire a major system (as defined in 10 U.S.C. 2302(5)) (see also DoD Instruction 5000.2-R, Mandatory Procedures for Major Defense Acquisition Programs (MDAPs) and Major Automated Information System (MAIS) Acquisition Programs.
"Substantial reduction" means a reduction of 25 percent or more in the total dollar value of funds obligated by the contract.
(b) Section 1372 of the National Defense Authorization Act for Fiscal Year 1994 (Pub.L. 103-160) and Section 824 of the National Defense Authorization Act for Fiscal Year 1997 (Pub. L. 104-201) are intended to help establish benefit eligibility under the Job Training Partnership Act (29 U.S.C. 1661 and 1662) for employees of DoD contractors and subcontractors adversely affected by contract terminations or substantial reductions in major defense programs.
(c) Notice to employees and state and local officials.
Within 2 weeks after the Contracting Officer notifies the Contractor that contract funding will be terminated or substantially reduced, the Contractor shall provide notice of such anticipated termination or reduction to--
(1) Each employee representative of the Contractor's employees whose work is directly related to the defense contract; or
(2) If there is no such representative, each such employee;
(3) The State dislocated worker unit or office described in section 311(b)(2) of the Job Training Partnership Act (29 U.S.C. 1661(b)(2)); and
(4) The chief elected official of the unit of general local government within which the adverse effect may occur.
(d) Notice to subcontractors.
Not later than 60 days after the Contractor receives the Contracting Officer's notice of the anticipated termination or reduction, the Contractor shall--
(1) Provide notice of the anticipated termination or reduction to each first-tier subcontractor with a subcontract of $500,000 or more; and
(2) Require that each such subcontractor--
(i) Provide notice to each of its subcontractors with a subcontract of $100,000 or more; and
(ii) Impose a similar notice and flowdown requirement to subcontractors with subcontracts of $100,000 or more.
(e) The notice provided an employee under paragraph (c) of this clause shall have the same effect as a notice of termination to the employee for the purposes of determining whether such employee is eligible for training, adjustment assistance, and employment services under section 325 or 325A of the Job Training Partnership Act (29 U.S.C. 1662d, 1662d-1). If the Contractor has specified that the anticipated contract termination or reduction is not
likely to result in plant closure or mass layoff, as defined in 29 U.S.C.2101, the employee shall be eligible only for services under section 314(b) and paragraphs (1) through (14), (16), and (18) of section 314(c) of the Job Training Partnership Act (29 U.S.C. 1661c(b) and paragraphs (1) through (14), (16), and (18) of section 1661c(c)).
(End of clause)
252.251-7000 Ordering From Government Supply Sources.
As prescribed in 251.107, use the following clause:
ORDERING FROM GOVERNMENT SUPPLY SOURCES (MAY 1995)
(a) When placing orders under Federal Supply Schedules or Personal Property Rehabilitation Price Schedules, the Contractor shall follow the terms of the applicable schedule and authorization. Include in each order:
(1) A copy of the authorization (unless a copy was previously furnished to the Federal Supply Schedule or Personal Property Rehabilitation Price Schedule contractor).
(2) The following statement:
This order is placed under written authorization from________________________ dated _____________.In the event of any inconsistency between the terms and conditions of this order and those of your Federal Supply Schedule contract or Personal Property Rehabilitation Price Schedule contract, the latter will govern.
(3) The completed address(es) to which the Contractor's mail, freight, and billing documents are to be directed.
(b) If a Federal Supply Schedule contractor refuses to honor an order placed by a Government contractor under an agency authorization, the Contractor shall report the circumstances to the General Services Administration, FFN, Washington, DC 20406, with a copy to the authorizing office.
(c) When placing orders under nonmandatory schedule contracts and requirements contracts, issued by the General Services Administration (GSA) Office of Information Resources Management, for automated data processing equipment, software and maintenance, communications equipment and supplies, and teleprocessing services, the Contractor shall follow the terms of the applicable contract and the procedures in paragraph (a) of this clause.
(d) When placing orders for Government stock, the Contractor shall--
(1) Comply with the requirements of the Contracting Officer's authorization, using FEDSTRIP or MILSTRIP procedures, as appropriate;
(2) Use only the GSA Form 1948-A, Retail Services Shopping Plate, when ordering from GSA Self-Service Stores;
(3) Order only those items required in the performance of Government contracts; and
(4) Pay invoices from Government supply sources promptly. For purchases made from DoD supply sources, this means within 30 days of the date of a proper invoice (see also Defense Federal Acquisition Regulation Supplement (DFARS) 251.105). For purposes of computing interest for late Contractor payments, the Government's
invoice is deemed to be a demand for payment in accordance with the Interest clause of this contract. The Contractor's failure to pay may also result in the DoD supply source refusing to honor the requisition (see DFARS 251.102(f)) or in the Contracting Officer terminating the Contractor's authorization to use DoD supply sources. In the event the Contracting Officer decides to terminate the authorization due to the Contractor's failure to pay in a timely manner, the Contracting Officer shall provide the Contractor with prompt written notice of the intent to terminate the authorization and the basis for such action. The Contractor shall have 10 days after receipt of the Government's notice in which to provide additional information as to why the authorization should not be terminated. Such termination shall not provide the Contractor with an excusable delay for failure to perform or complete the contract in accordance with the terms of the contract, and the Contractor shall be solely responsible for any increased costs.
(e) Only the Contractor may request authorization for subcontractor use of Government supply sources. The Contracting Officer will not grant authorizations for subcontractor use without approval of the Contractor.
(f) Government invoices shall be submitted to the Contractor's billing address, and Contractor payments shall be sent to the Government remittance address specified below:
Contractor's Billing Address (include point of contact and telephone number):
Government Remittance Address (include point of contact and telephone number):
(End of clause)
252.251-7001 Use of Interagency Fleet Management System (IFMS) Vehicles and Related Services.
As prescribed in 251.205, use the following clause:
USE OF INTERAGENCY FLEET MANAGEMENT SYSTEM (IFMS) VEHICLES
AND RELATED SERVICES (DEC 1991)
(a) The Contractor, if authorized use of IFMS vehicles, shall submit requests for five or fewer vehicles and related services in writing to the appropriate General Services Administration (GSA) Regional Customer Service Bureau, Attention: Motor Equipment Activity. Submit requests for more than five vehicles to GSA headquarters: General Services Administration, FTM, Washington, DC 20406. Include the following in each request:
(1) Two copies of the agency authorization to obtain vehicles and related services from GSA.
(2) The number of vehicles and related services required and the period of use.
(3) A list of the Contractor's employees authorized to request vehicles and related services.
(4) A list of the makes, models, and serial numbers of Contractor-owned or leased equipment authorized to be serviced.
(5) Billing instructions and address.
(b) The Contractor should make requests for any unusual quantities of vehicles as far in advance as possible.
(c) The Contractor shall establish and enforce suitable penalties for employees who use or authorize the use of Government vehicles for other than performance of Government contracts.
(d) The Contractor shall assume, without the right of reimbursement from the Government, the cost or expense of any use of IFMS vehicles and services not related to the performance of the contract.
(e) Only the Contractor may request authorization for subcontractor use of IFMS vehicles. The Contracting Officer will not grant authorization for subcontractor use without approval of the Contractor.
(End of clause)